Reimagining DEI: The Shift Toward Belonging as a Strategic Imperative

In today’s rapidly evolving corporate landscape, organizations face a pivotal decision: maintain traditional Diversity, Equity, and Inclusion (DEI) programs or embrace a more transformative approach centered around belonging. While DEI initiatives have been integral in promoting inclusive work environments, many organizations are now questioning their efficacy. The answer to this uncertainty is clear: belonging should replace DEI as the next frontier in organizational transformation. This shift, rooted in the desire for a deeper, more meaningful connection between employees and organizations, offers companies the opportunity to cultivate an environment where employees are not only represented but are truly engaged and invested in the company’s mission.

The Limits of Traditional DEI

For years, DEI programs have been the foundation of many organizations’ commitment to fostering diverse, equitable, and inclusive environments. However, companies are now realizing that these programs often fall short of creating a true sense of connection. In fact, the majority of DEI initiatives have been compliance-driven efforts, focused on meeting quotas or adhering to regulations, which leaves employees feeling like diversity is a checklist to be ticked rather than a deep, lasting commitment to genuine inclusion (Dobbin & Kalev, 2016).

A large retail client we worked with—a global leader in consumer products—came to us with a common challenge: their DEI programs, while strong on paper, were no longer resonating with their employees. They were seeing increased turnover, particularly among diverse employees, and a lack of real engagement from their teams. Leadership felt that employees were disengaged and that the organization was failing to move beyond surface-level diversity metrics.

This company, like many others, struggled with disconnection. Despite years of DEI initiatives, employees continued to feel excluded or marginalized. The problem wasn't the absence of diversity—it was the absence of belonging. Employees didn’t feel they were genuinely valued or connected to the organization's core mission. Without the sense of belonging, turnover rates remained high, morale was low, and productivity was stagnating.

Why Belonging Matters

Belonging is not just another buzzword—it's the next essential step in building an engaged, productive workforce. Research consistently shows that employees who feel a sense of belonging are more engaged, productive, and committed to the company’s success (Kahn, 1990). The difference is stark: where DEI emphasizes numbers, belonging emphasizes emotional connection. And that connection drives employees to not only stay with the organization but to thrive within it.

Take our client, for instance. By shifting focus from DEI compliance to building a culture of belonging, they were able to retain employees, foster more meaningful innovation, and significantly enhance employee engagement scores. The emotional pain that their workforce felt from years of surface-level diversity efforts was alleviated once employees began to truly feel seen, heard, and included in meaningful ways. This shift didn’t just increase their retention rate—it transformed the company's productivity and innovation levels.

When employees feel they belong, they are more likely to take risks, contribute new ideas, and challenge the status quo. This enhances creativity and drives business growth. Belonging is not about fitting in; it’s about creating a workplace where employees feel emotionally safe to express their true selves, contribute to the organization's mission, and drive long-term success.

The Role of Employee Resource Groups (ERGs)

As organizations transition from DEI to belonging, Employee Resource Groups (ERGs) must take on a more central role. In our work with organizations, we have seen firsthand how empowering ERGs can spark a cultural transformation. At this same global consumer products client, we helped them rethink their ERGs from support networks to drivers of cultural change. These groups became the central voices in shaping the company’s new focus on belonging, working directly with leadership to create meaningful initiatives that helped employees feel more connected to their work and the broader organizational goals.

By aligning ERGs with a strategic vision of belonging, companies not only empower these groups to drive change, but also encourage an environment where authentic connection becomes the foundation of the entire organization. This shift is more than just symbolic—it actively engages diverse voices in shaping the company’s culture.

A Strategic Shift: From Compliance to Connection

For companies still clinging to DEI programs, the transition to a focus on belonging can feel like a daunting prospect. However, the truth is that those who fail to evolve will inevitably lose out in the competitive race for talent. Without belonging, companies will struggle to engage their workforce, leading to higher turnover rates, poor morale, and lower productivity.

As we helped our client understand, the transition from DEI to belonging doesn’t mean abandoning diversity—it’s about deepening the focus on creating an authentic culture of inclusion that goes beyond mere representation. Our client’s experience clearly showed how empowering leadership to prioritize belonging and give ERGs a voice in driving change not only rejuvenated their workforce but allowed them to outperform competitors in terms of innovation and employee retention.

The Pitfalls of Shame, Blame, and Divisiveness in DEI

In the past, many DEI programs were marred by shame, blame, and divisive language, which often undermined their potential to create lasting change. These programs, while rooted in good intentions, sometimes placed disproportionate focus on guilt rather than growth. Employees, particularly those in historically "privileged" groups, often felt targeted, alienated, or shamed for their role in perpetuating inequalities. This created defensiveness rather than empathy, hindering the collaborative efforts required to build meaningful change (Shore, Cleveland, & Sanchez, 2011).

Furthermore, the use of divisive language, such as “us vs. them” narratives, deepened organizational silos, creating an environment where employees felt like adversaries rather than colleagues working toward shared goals. Instead of uniting the workforce, these programs often exacerbated in-group vs. out-group dynamics, breeding resentment and a lack of trust across teams.

How a Pragmatic, Insurgent Approach Can Help

At Seattle Consulting Group, we take a pragmatic, insurgent approach to helping organizations navigate these challenges. Rather than relying on blame or divisiveness, we focus on creating authentic belonging that encourages inclusive leadership and empowered action. We don’t simply focus on past mistakes but help organizations build forward-looking solutions that encourage growth, accountability, and transformation.

By adopting a strategic mindset that emphasizes collective responsibility and shared purpose, companies can move beyond guilt-driven narratives and foster a culture where everyone feels valued. This insurgent approach emphasizes action over accusation, collaboration over conflict, and empowerment over shame.

Case Study: Microsoft’s Shift Toward Belonging

A prominent example of a company successfully navigating this transition is Microsoft. Under CEO Satya Nadella, Microsoft made a deliberate shift toward fostering a culture of belonging. They recognized that, while DEI programs were important, they were not sufficient on their own to build the type of innovative and resilient culture that Microsoft needed to thrive (Nadella, 2017).

Like our client, Microsoft’s leadership recognized that employees weren’t just looking for diversity—they wanted to feel that they belonged to something greater than themselves. Through empowering Employee Resource Groups (ERGs) and adopting belonging-focused metrics, Microsoft was able to create a more inclusive culture that fostered higher engagement, greater innovation, and a stronger sense of connection among employees (Nadella, 2017).

Conclusion

The shift from DEI to belonging is not just a trend—it is the strategic imperative of the future. As companies struggle with disengagement, high turnover, and lackluster innovation, focusing on belonging offers a clear path to addressing these pain points. At Seattle Consulting Group, we have seen firsthand how focusing on belonging rather than compliance-driven DEI initiatives can completely transform an organization’s culture and performance.

Now is the time for change. If your organization is still clinging to outdated DEI programs, we urge you to act now. Don’t wait until it’s too late—embrace belonging today, and position your company for long-term success.

References

Dobbin, F., & Kalev, A. (2016). Why diversity programs fail. Harvard Business Review. https://hbr.org/2016/07/why-diversity-programs-fail

Ferdman, B. M. (2014). Diversity at work: The practice of inclusion. Jossey-Bass.

Kahn, W. A. (1990). Psychological conditions of personal engagement and disengagement at work. Academy of Management Journal, 33(4), 692-724. https://doi.org/10.5465/256287

Nadella, S. (2017). Hit refresh: The quest to rediscover Microsoft’s soul and imagine a better future for everyone. HarperBusiness.

Shore, L. M., Cleveland, J. N., & Sanchez, D. (2011). Inclusive workplaces: A review and model. Human Resource Management Review, 21(4), 332-339. https://doi.org/10.1016/j.hrmr.2011.03.001