Philanthropic organizations, in particular, are starting to recognize and integrate diversity and inclusiveness practices, coming to understand them as necessary and logical management elements in response to globalization, changing demographics and the issues affecting underserved populations around the world.

Proponents of “diversity in philanthropy” believe that diversity in any organization is best achieved when it is prioritized and fully integrated into the operations of an organization and supported by executive leadership. Recognizing and leveraging the benefits of diversity from a human resource perspective should no longer need a moral argument and definitely not a legal mandate; instead, incorporating diversity into philanthropy could be viewed as a practical and realistic opportunity for philanthropic organizations and foundations to maximize their strength and impact in the sector to effect greater change.

Diversity is about recognizing and respecting differences based on ethnicity, gender, color, race, religion, physical ability, national origin and sexual orientation. Diversity also encompasses a range of individual characteristics including, but certainly not limited to, personal and professional experiences, educational background, subject interests and economic status—all of which influence individual perspectives. Creating standardized measurements of diversity and common definitions of “minority-lead” organizations may devalue the process and intent of giving. There is so much more at stake and the common denominator is to advance the impact of philanthropy by increasing performance; gaining a competitive advantage requires tapping into all of the unique perspectives associated with hiring and recruiting a diverse staff and board. But the reality is that the philanthropic sector has yet to take some of that advantage.

The challenge for most institutions, whether they be philanthropic or not, is integrating diversity and inclusive in a manner that is beneficial and meaningful to shareholders, consumers, employees and members of the local community. There are, of course, a lot of unanswered questions as to why the philanthropic sector may not be as diverse as it could be. According to the Diversity in Philanthropy Project, there is no harm or additional cost associated with maintaining a diverse and inclusive staff and board.

Diversity and inclusiveness start with practical organizational integrations, and there are many resources in the field that support diversity and inclusiveness practices. But one of the first steps of taking advantage of institutional diversity is acknowledging the value that diversity can bring to philanthropy, and then instilling and integrating those values in the culture, processes, functions and goals as the institution carries out its philanthropic mission.