The challenges of diversity in finance roles within private equity backed SME's - Blackwaters

1. Diversity in finance roles within private equity-backed SME's We see first-hand the challenges that companies face when it comes to inclusion and diversity. While the business case for diversity is clear, it is still an area where many SME’s and even larger organisations struggle to make progress. With our wealth of experience hiring for financial roles, we look to explore some of the challenges facing the finance sector when it comes to diversity and inclusion and offer some practical advice on how companies can create a more inclusive workplace.

2. The finance sector has long been known for its lack of diversity, particularly at the senior levels. According to a study by the Financial Times, just 13% of executive committee members at UK financial services companies are women, and only 6% are from ethnic minority backgrounds. This is despite there being a wealth of evidence showing that diverse teams are more innovative, more productive, and better able to navigate complex challenges. So, why is the finance sector still struggling with diversity? Finance is an industry that has traditionally been dominated by men, particularly in senior and C-suite positions. This has created a culture where women and other underrepresented groups may feel excluded or undervalued. Additionally, the industry's focus on technical skills and qualifications may have unintentionally led to a lack of diversity in hiring for these kinds of roles. To address these challenges, companies need to take a holistic approach to diversity and inclusion. This means looking beyond just gender and ethnicity and considering factors such as age, disability, sexual orientation, and socio-economic background. It also means creating a culture where all employees feel valued and supported, and where differences are celebrated rather than seen as a barrier to success. One practical step that companies can take is to focus on improving their recruitment practices. This may include creating more diverse shortlists, using blind CVs to eliminate unconscious bias, and providing training for interviewers on how to identify and avoid bias. Companies should consider reaching out to a specialist finance recruitment and search partner such as Blackwaters, to ensure they are tapping into a wide and diverse range of talent. Another key area to focus on is career development and progression. Companies should ensure that all employees have equal access to training, mentoring, and leadership development opportunities, regardless of their background. They should also create clear pathways for career progression, with transparent criteria for promotion and regular performance reviews. Of course, creating a diverse and inclusive workplace is not just the responsibility of the employer. It is also up to employees to challenge bias and discrimination when they see it, and to create a culture where all voices are heard and valued. This may involve speaking up when you witness discriminatory behaviours, actively seeking out diverse perspectives and experiences, and supporting colleagues who may be experiencing discrimination.

3. Blackwaters on Diversity We have made diversity and inclusion a key priority and have witnessed the way diverse teams can influence performance. By prioritising this, businesses can create a culture where all employees feel valued and supported, helping to attract and retain top talent from a wide range of backgrounds. This will not only help businesses become more innovative and productive but will also improve their reputation as a responsible and forward-thinking employer. The finance sector still has a long way to go when it comes to diversity and inclusion. However, by taking this holistic approach, focusing on recruitment and career development, and creating a culture where all employees feel valued and supported, companies can create a more inclusive workplace that benefits everyone. As experts in the finance recruitment sector, we share responsibility with finance directors and CFOs to lead the way in creating a more diverse and inclusive industry and to ensure that all employees can reach their full potential. For more information, please visit: https://www.blackwaters.co.uk/insight-post/the- challenges-of-diversity-in-finance-roles-within-private-equity-backed-sme