Culture is a powerful driver of organizational success. It shapes employee behaviors, fosters engagement, and ultimately fuels business performance. Research underscores this significance: 78% of CEOs rank culture among the top three factors influencing firm value, while 91% of senior executives equate culture’s importance to that of strategy. Given its central role, it’s no surprise that 93% of CEOs emphasize the importance of a strong corporate purpose reflected in their organizational culture.
Yet, for all its importance, developing a culture of belonging—a workplace where inclusion, diversity, and equity (IDE) are foundational—remains a formidable challenge. Many organizations struggle to move from aspiration to action, finding it difficult to weave IDE into the fabric of their daily operations.
This challenge was the focus of the Inclusion, Diversity, and Equity (IDE) Event on November 19, 2024, where contributors ranging from corporate leaders to functional managers gathered to explore these issues. They identified practical steps for cultural transformation and learned about KPMG’s proven methodology for embedding IDE into organizational DNA.
While the push for IDE is gaining global momentum, several practical obstacles hinder progress. In the Netherlands, for example, IDE efforts are often perceived as optional rather than essential. Common barriers include:
Lack of time and knowledge: Organizations often struggle with IDE initiatives due to tight schedules that limit time for training and implementation, and a lack of knowledge.
- IDE as an HR issue: Many organizations mistakenly silo IDE initiatives within HR, limiting their reach and strategic impact.
- Competing priorities: Leaders may struggle to prioritize IDE amidst other pressing business objectives.
- Lack of governance: Without clear accountability structures, IDE efforts risk stagnating, with no mechanisms to track or enforce progress.
Addressing these challenges requires a structured, intentional approach that integrates IDE into the core of organizational culture.
KPMG’s Inclusion Model 2.0: A framework for belonging
Developing a culture of belonging requires deliberate action across multiple dimensions of the organization. KPMG’s Inclusion Model 2.0 identifies eight interconnected dimensions, together with five maturity levels, used for identifying gaps and areas of strength, and setting aspirations for short and long-term cultural transformation:
Workspace Environment
An inclusive workspace goes beyond aesthetics—it’s about creating a physical environment that supports, inspires, and empowers all employees. Intentional design and adaptability are crucial.
Organizations can foster belonging by offering flexibility, such as hybrid working models or open-plan layouts without assigned seating, and by designing spaces that align with company values. Features like nursing rooms, prayer rooms, and gender-neutral restrooms underscore a commitment to inclusivity. Transforming offices into people-centric spaces—removing badge restrictions at entrances, incorporating greenery to enhance mental well-being, and providing private areas for confidential conversations—are impactful changes that demonstrate an organization’s dedication to employee comfort and trust.
Leadership and Behaviors
Leadership sets the tone for inclusion. Leaders who model inclusive behaviors and hold themselves accountable for fostering IDE create a ripple effect across the organization.This requires embedding diversity into leadership structures and decision-making. For example, establishing governance boards with diversity-focused sponsorships ensures that IDE remains a strategic priority. Additionally, training programs focused on inclusive leadership equip managers with the tools to build safe spaces where employees feel valued, empowered and heard.
Milica van Leeuwen: “Creating and sustaining an equitable and inclusive environment where everyone can belong and thrive.”
Formal and Informal Structures
Structures within an organization—both formal and informal—shape how IDE is experienced daily. Formal initiatives, such as affinity groups or mental health teams, provide crucial support systems. Informal networks, meanwhile, foster community and camaraderie among employees. For example, some organizations establish allyship programs, pairing employees from diverse backgrounds with sponsors who advocate for their career growth. These structures create channels for equity and amplify voices that might otherwise go unheard.
