Meaning ● The “Diversity ROI Paradox” describes a circumstance wherein small and medium-sized businesses (SMBs) invest in diversity and inclusion (D&I) initiatives, expecting positive returns like enhanced innovation and market reach, yet observe stagnant or negative financial performance. This paradox often stems from failures in implementation, automation, and integrating D&I with core business processes, resulting in diluted benefits and unrealized potential. Further complicating matters, poorly defined metrics for measuring D&I impact hinder accurate ROI assessment for SMBs.
