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The opposition to diversity, equity and inclusion in business is strong, but myths obscure the true value of DEI

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Few ideas in business are as misunderstood as DEI.

While opposition to DEI – diversity, equity and inclusion – has a protracted history, it has recently gained momentum.

In 2023, when Silicon Valley Bank collapsed, critics said that the bank’s deal with DEI was responsible – and not the bank’s overinvestment in bonds that suddenly lost much of their value.

Shortly thereafter, when a wall panel detached from an Alaska Airlines aircraft at an altitude of 5,000 meters, opponents claimed without evidence that the corrosive effects of DEI are to blame.

Critics recently suggested this when a cargo ship lost power and crashed into the Key Bridge in Baltimore DEI was someway at fault.

In the face of these attacks, many company leaders remain disturbingly silent about their commitment to DEI. I consider this is a mistake. It allows false ideas to take root and reinforces exclusion and marginalization many employees of color are already experiencing this.

How sociologist specializing in race, gender and workI consider this is a key moment for businesses to strengthen their commitment to DEI.

History of DEI

To start, it’s value taking a take a look at how U.S. firms have moved to DEI and how diversity practices are typically structured.

For the overwhelming majority of U.S. history, employees who weren’t white males weren’t only prohibited by law from holding managerial positions; They might have been forbidden from performing any role in the organization.

The formal exclusion of women of all races and men of color has not grow to be illegal until the transition Civil Rights Act of 1964 This meant that for nearly 200 years after the country’s founding, white men had virtually unrestricted and exclusive access to levels of power in all organizations.

The objective, meritocratic past that DEI criticizes imagine is subsequently a myth. Centuries of systematic exclusion of white women and people of color gives lie to the concept that in the past only the most qualified people received jobs.

After the passage of the Civil Rights Act, firms began to face a brand new reality in which racial and gender discrimination, which had been practiced with impunity for generations, was now illegal. Affirmative motion policy have been a technique that organizations have tried to address past and ongoing discrimination, and many firms have, at the very least for a while, sought to close racial and gender disparities.

But until the Nineteen Eighties. opposition to these goals he was an ascendant. Legal rulings similar to a Supreme Court ruling 1978 Navigating the Hills allowed organizations to consider race as one of many aspects when evaluating applicants, but expressly prohibited the use of quotas. Companies could subsequently consider race as part of the package, but contrary to popular belief, they may not hire candidates simply because they were black (or from one other marginalized group).

An extended line of people waited outside the Supreme Court on October 12, 1977, hoping to hear arguments in the Bakke case.
Bettmann via Getty Images

However, they may consider diversity as significant interest this justified the use of race as one of various aspects in employment decisions. An organization that didn’t employ any black employees could subsequently seek to diversify by taking race, experience, qualifications, education, and other criteria into consideration when considering a candidate.

What this hypothetical company couldn’t do is simply hire a black worker solely because of his race.

Today’s diversity initiatives

In the wake of continued opposition, most firms today have made the move even further from trying to alleviate persistent racial and gender disparities. Instead, they adopt a form of DEI that is under heavy criticism today.

However, DEI today doesn’t necessarily mean a deal with hiring or promoting more Black employees. The focus is not at all times on race. Instead, many DEI managers have struggled to focus their efforts wider on diversity of thought, region or opinion to avoid the kind of backlash they face today.

Additionally, firms often rely heavily on DEI practices similar to mandatory diversity training or short workshops with external consultants reduce the number of black employees – and other employees of color – in leadership positions.

Today’s critics see DEI as unfairly favoring unskilled black employees, but the reality is this firms stopped long focused on closing racial disparities.

The numbers prove it. While white men constitute only 30% of the U.S. population, as of 2017, they made up 80% of members of Congress, 85% of corporate executives, 95% of Fortune 500 CEOs, and 97% of the heads of enterprise capital firms.

The business case for diversity

It is clear that DEI is not transforming America’s strongest institutions in a way that places significant numbers of Black employees in leadership positions.

Instead, researchers know that obstacles similar to employment discrimination, pay inequality, hostile organizational cultures AND blocked paths to promotion still persists for highly expert, expert and motivated black employees.

The irony is that the data very clearly shows that diversity is correlated with clear advantages to organizations. Companies with greater racial and gender diversity amongst managers can boast greater profitability AND more innovations than those without. They have benefits in recruitment, worker satisfaction and responding to market changes and consumer needs.

Organizations which can be truly committed to DEI don’t lose sight of the larger picture; quite, they invest in their long-term financial success.

So, for purely selfish reasons, firms should offer a full defense of DEI. Instead, they entered withdraw.

For example, law firms are withdrawing from programs designed to attract lawyers of color, although it is a legal career mostly made up With white employees. Efforts to increase enterprise capital funding for black women are similar under firealthough in 2018, lower than 1% of the total $130 billion raised went to firms headed by women of color. AND major technology firms are shifting resources away from DEI investments after 2020, although these are Black employees remain significantly underrepresented also in this industry.

DEI practices that work

It doesn’t have to be this manner. Businesses can proceed to depend on evidence-based DEI practices that deliver results. One go is about creating mentoring programs which can be open to everyone. Another is worker training in order that they can develop their skills in different parts of the company while expanding their networks. The third issue involves investing in flexible, family-friendly workplace policies that send employees a signal that they and their needs matter.

None of these programs are reserved for members of a selected racial group, in order that they are subject to the law. The beauty of this approach is that while these initiatives are race neutral, research shows that they profit employees of color greater than requiring annual diversity training.

In addition to such effective measures, I consider that corporate leaders must defend DEI precisely since it is under threat.

Some individuals are already doing it. Jamie Dimon member of JPMorgan Chase described himself as a “full-throated, red-blooded, patriotic, unwoke capitalist CEO” who still plans to maintain the bank’s commitment to DEI, especially when it comes to a net-results approach. Celebrity businessman Marek Kubańczyk he has similarly openly supported DEI, unequivocally labeling it as “good for business.”

Given that research shows a various workforce helps firms increase profits, it surprises me that more and more leaders don’t take this approach. The alternative is to leave unchallenged the false narrative that threatens their development.

This article was originally published on : theconversation.com
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Business and Finance

Crypto surges after Trump’s election – but is it a good ethical investment?

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Estimated 18 million Americans are invested cryptocurrency– says the Federal Reserve. And the United States has just chosen pro-crypto-president.

Cryptocurrencies like Bitcoin have change into trendy digital resource. Supporters say crypto undermines capitalism because it bypasses traditional bankers. Crypto perhaps offer quick riches together with an environment of high-tech sophistication.

Early adopters reaped enormous advantages, and plenty of of them became millionaires and billionaires.

Currently, there are approx 100,000 cryptocurrency millionaires. Moreover, cryptocurrency wealth has been built Fairshake, the most important political lobbying group within the US During the last election, it helped elect 253 pro-crypto candidates.

But is cryptocurrency a good ethical investment?

as business professor who studies the technology and its implications, I even have identified three ethical harms related to cryptocurrency which will give investors pause.

Three wrongs

The first harm is excessive energy consumptionparticularly Bitcoin, the primary decentralized cryptocurrency.

Bitcoins are created or “mined” by tens of hundreds of computers in huge data centers, which contributes significantly to carbon emissions and environmental degradation. Bitcoin mining, which accounts for the lion’s share of cryptocurrency’s energy consumption, uses as much as 0.9% of worldwide electricity demand – near Australia’s annual energy demand.

Secondly, unregulated and anonymous cryptocurrencies are the payment system of alternative for criminals fraud, tax evasion, human trafficking AND ransomware – the latter cost victims an estimated $1 billion in fraudulent cryptocurrency payments.

Until about a decade ago, these bad actors generally moved and laundered money through money and shell corporations. However, around 2015, many individuals switched to cryptocurrency, which is a much less cumbersome type of service dirty money anonymously.

The bank cannot store or transfer money anonymously. By law it is a bank passively complicit in money laundering if not enforced get to know your customer measures to curb bad actors resembling money launderers.

However, within the case of cryptocurrency, legal and ethical responsibility can’t be transferred to the bank – the bank doesn’t exist. So who is complicit? Any member of the cryptocurrency ecosystem will be seen as ethically complicit in enabling illegal activities.

Enegix employees work at a data center in Ekibastus, Kazakhstan, certainly one of the world’s largest Bitcoin mines, January 3, 2023.
Meiramgul Kussainova/Anadolu Agency via Getty Images

I find these first two harms to be probably the most ethically troubling. The first harms the Earth, the second undermines global systems of trust – the interplay of institutions that underpin economic activity and social order.

The third problem of cryptocurrency is its predatory culture.

A predatory system, especially without regulatory oversight, exploits small investors. And some cryptocurrencies have enriched their founders by reaping the advantages lack of investor knowledge about virtual currency.

Some cryptocurrencies, especially smaller coins and initial coin offerings, do Characteristics of Ponzi schemes.

For example, the now defunct Bitconnect promised investors big profits who exchanged their Bitcoins for Bitconnect tokens. New investors’ money paid out “profits” to the primary layer of investors with later investors’ money.

Ultimately, Satish Kumbhani, founding father of Bitconnect, decided to achieve this indicted by a federal grand juryand from 2024 his whereabouts are unknown.

A pernicious myth

In addition to the ethical harms of cryptocurrency, there is a pernicious myth surrounding digital coin. The myth of inclusion is the idea that cryptocurrency has the facility to profit especially socially disadvantaged people without a checking account.

The world’s poor who wouldn’t have bank accounts and who could use cryptocurrency for international money transfers to family back home don’t necessarily enjoy the advantages of cryptocurrencies. It’s for this reason need pay conversion and transfer feessay, dollars to cryptocurrency, after which from cryptocurrency to the local currency of the person receiving the cash transfer.

In fact, the distribution of crypto assets is largely concentrated among the many wealthy. A 2021 study found that simply 0.01% of Bitcoin owners controls 27% of its value.

The democratization of finance is often presented as a move geared toward breaking the dominance of traditional financial institutions – private banks and government central banks. However, this narrative didn’t prove true.

Instead, a latest elite emerged: cryptocurrency creatorsearly supporters of i conservatorswho modify the cryptocurrency’s software code and influence its future direction. This group exercises disproportionate control, including over cryptocurrency management. All of this reflects the concentration of power that cryptocurrency was intended to dismantle.

Just a little more ethical?

To be fair, the cryptocurrency community has not ignored the criticism, including calls for greater environmental awareness.

In early 2021, community members founded Cryptocurrency Agreement. The group has recruited around 250 crypto corporations to cut back environmental damage.

The following 12 months, Ethereum took its most important step with its Ether coin. It has reduced its size energy consumption by over 99% by migrating to a coin mining mechanism called “proof of stake”, which doesn’t require miners to unravel complex, energy-intensive puzzles to validate transactions.

It was a daring move. However, Bitcoin, the most important cryptocurrency, has not followed in Ethereum’s footsteps. Bitcoin stands out in that its energy consumption exceeds that of another cryptocurrency.

A worker stands between two rows of bitcoin mining machines along a wall.
A employee installs a latest row of bitcoin mining machines on the Whinstone US bitcoin mining facility in Rockdale, Texas, October 9, 2021.
Mark Felix/AFP/AFP via Getty Images

To address other harms of cryptocurrency, some Regulatory authorities began to regulate the cryptocurrency market in 2023, the European Union, the United Kingdom and the United States have launched efforts to curb criminality and protect investors.

In January 2024, US regulators listed funds allowedthat are popular investment funds for investing in cryptocurrencies. The move was intended to assist small investors trade in a safer market.

However, normalizing cryptocurrency trading could have perverse ethical consequences.

For example, probably the most successful ‘ethical’ fund in 2023, Nikko Ark Positive Change Innovation Fundwas successful with a 68% return because he bet on cryptocurrencies. Its manager rationalized this investment by repeating the parable that cryptocurrency allows “providing financial services to underbanked people

Where does all this leave the ethical investor?

I consider that investors have two clear ethical options regarding cryptocurrencies: they will abandon Bitcoin or no less than put money into other cryptocurrencies that minimize harm, especially environmental harm.

However, even so-called ethical investments raise hidden ethical issues.

Many ethical investors put money into the so-called ESG funds that emphasize social or environmental impact. Some of those ESG funds may avoid holdings in oil corporations by investing directly or not directly in cryptocurrencies.

This doesn’t seem ethically coherent.

While cryptocurrency offers exciting opportunities and the potential for prime returns, its environmental impact, links to criminality and predatory nature pose significant ethical challenges.

This article was originally published on : theconversation.com
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Business and Finance

Daymond John celebrates the fifth annual Black Entrepreneurs Day

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shark tank, Black Entrepreneurs Day, Daymond, John, deal, stalker, grants, Black entrepreneurs


Daymond John will have a good time the fifth anniversary of Black Entrepreneurs Day in Atlanta for the first time.

November 22, John’s signature Black Entrepreneur Day (BED) will take over Atlanta’s historic Fox Theater to have a good time Black Excellence and Opportunity. This 12 months’s event is free for all to attend and includes brand activations that enable participants to reinforce their business and brand for the foreseeable future.

From insightful discussions with inspiring guests to the NAACP Small Business Powershift Grant Program, which can award over $1 million in grants to over 40 Black-owned businesses, Black Entrepreneurs Day offers the whole lot a Black business owner needs to raise take your corporation to the next level the next level. This 12 months’s event is special for John; In addition to hosting BED in Atlanta for the first time, the event shall be streamed live for all to enjoy.

“We’re doing it live this year and we’re always trying to improve what we have,” John says BLACK ENTERPRISES.

“I think we added another element to it called ‘Entrepreneur Square,’ where if you want to come early, you can come in and a company like Constant Contact takes photos. Hilton for Business, Chase, Chase Wealth Management is there, US Navy. You add a lot of different things to it.”

It shall be a star-studded event featuring Grammy-winning artist and philanthropist Kelly Rowland, iconic artist Flavor Flav, influential media personality Charlamagne tha God, Olympic gymnast Jordan Chiles (presented by JP Morgan Wealth Management), financial educators Rashad Bilal and Troy Millings with “Earn Your Leisure” and a live performance by multi-platinum Atlanta rapper 2Chainz presented by Raising Cane’s.

Through the NAACP small business Powershift grant program, entrepreneurs can do exactly that use to the Powershift Grant program and grow to be one in every of 40 firms awarded a share of grants value over $1 million. This 12 months, partners including JPMorgan Chase, Hilton, T-Mobile for Business and Constant Contact will contribute a complete of $100,000 in grants, with each grant valued at $25,000.

“We are very passionate about what we do,” John says of the Black community. “I think we can now gain more power by democratizing the retail space with solutions like artificial intelligence and social media. Let’s support each other and support each other.”

Given the strong sponsorship support for BED 2024, John sees it as clear evidence that giant corporations recognize the value of investing in the Black community, even in the face of opposition from anti-DEI efforts.

“There are many other cultures that love to support us as well. They love our music, they love our food, they love everything about us and they just want to know how they can support us,” notes John.

“I think if we look at it this way, it means we can never gain or thrive on our shortcomings, but we can always find those gems and ways to grow from what we are. We are a resilient nation loved by all.”

Launched in 2020 to handle the challenges facing the community in the wake of the events surrounding George Floyd, Black Entrepreneurs Day was established to shift the focus from hardship to empowerment. Designed to uplift Black entrepreneurs, the event goals to teach and encourage through conversations with iconic Black leaders and celebrity guests, features celebrity musical performances and offers key financial support through the NAACP Powershift Grant program.

Tickets for Black Entrepreneurs Day 2024 are free and may be purchased at: BlackEntrepreneursDay.com Now. Press play to learn more about this 12 months’s event.


This article was originally published on : www.blackenterprise.com
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Business and Finance

Black Girl Digital on a mission to empower diverse creators

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Black girl digital, LaToya bond, LaToya shambo


Meet Black Girl Digital (BGD Media), one among the fastest-growing multicultural, independent marketing agencies within the makerspace, is led by two dynamic Black women entrepreneurs.

Founded and led by CEO LaToya Shambo and CMO Latoya Bond, Digital black girl goals to deliver revolutionary, data-driven marketing solutions tailored to the brands and creators who’re shaping the longer term of promoting and commerce. With a long time of combined experience, these two business leaders have come together to create an agency uniquely equipped to navigate the complexities of multicultural marketing.

“The mission of Black Girl Digital is really about how to bring brand and creators together to go beyond partnerships and build a deeper relationship,” says Shambo BLACK ENTERPRISES.

The pair first met while collaborating on the 2023 Black Girl Digital Awards. While many individuals discuss women competing in business, Shambo and Bond saw a chance to mix their strengths and platforms.

“We went through the process of working together and I saw her talent and she saw my talent. We noticed that we both had these unique skills that worked really well together,” Shambo says.

Combining Black Girl Digital’s expertise in influencer marketing with the BBM Agency’s strength in celebrity business management, BGD Media is uniquely equipped to handle the intricacies of multicultural marketing.

“Because her company was more involved in paid marketing, brand management and communications strategy, it really complemented what we did on the Black Girl Digital side, through partnerships with corporate brands and diverse creators,” Shambo explains.

“Together, we have been able to join forces and offer our brands and creators a full range of media and marketing services, thanks to which the partnership goes deeper rather than superficial.”

Shambo attributes BGD Media’s success to its multimarketing service offering that “brings the customer closer to the creator and the creator closer to the customer.” One of the newest initiatives is the inaugural Black Influencer Weekend, which goals to showcase to major brands and corporations how Black creators are usually not only setting trends, but additionally driving significant cultural and economic change across industries.

During the three-day event, over 1,500 participants engaged in vigorous discussions and activations focused on community, connection and variety amongst creators. Highlights included the VIP Creator Games Night featuring bowling competitions and life-size Connect 4 video games, creating what Shambo describes as a “creator playland.”

On October 2, participants took part in a day stuffed with inspiring and influential discussions in the course of the Influencer Summit. Speakers included media personality Yandy Smith; creative director of beauty and lifestyle Tiarra Monet; and NCAA champion and ladies’s basketball coach Sydney Carter. Conversations covered topics equivalent to balancing a profession outside of social media, maintaining mental health, and constructing meaningful partnerships.

The weekend concluded with the third annual Black Girl Digital Awards, where content creators equivalent to Druski, Monet McMichael and Kai Cenat were honored for his or her power, position and recognition across various platforms. Additionally, business leaders equivalent to Yandy Smith, Marvet Britto and Mona Scott-Young have been recognized as pioneers of influence and visionaries redefining the digital landscape.

At its core, Black Girl Digital is about tackling the complexities of multicultural marketing, demonstrating that representation matters and that success comes when brands connect with communities on a human and private level.

“It’s not a monolith. This is not just one group of Black people. There are many people and many cultures in the Black community,” Shambo says. “Being able to express it. But that’s really why brands work with us. Because we are able to accommodate the different cultures found in each community.”

“We also mainly focus on the passion points and interests of audiences in these communities,” she added.

What’s next for Black Girl Digital? Shambo seeks global domination.

“These will be the Global Influencer Awards,” he says.


This article was originally published on : www.blackenterprise.com
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