How can business leaders ensure that their organisations are primed for innovation and agility in the age of growing complexity and constant change? The evidence is clear that increasing diversity is not only a moral commitment, but it is also a powerful business imperative. According to a report by BCG, those who do not address their diversity failings will not survive the technological shocks of the upcoming decade.
The benefits of diversity are outstanding: diverse teams have a higher capacity for innovation, are more willing to take risks and bounce back from failures quicker, find unconventional solutions, and turn challenges into opportunities. Research shows that the most diverse companies can outperform more homogenous peers on profitability – the cash flow per employee is 2.5 times higher in heterogenous teams and inclusive teams are, on average, 35% more productive. But more diverse teams also underperform more homogenous teams. The difference is in whether that diversity can work together. Strong organisational culture and robust structural foundation are critical for reaping the benefits of cultural diversity without paying costs. Yet, meaningful diversity and inclusion initiatives are particularly challenging to implement and measure.
Dr Muthukrishna has applied these same insights to closing the cultural gap and increasing retention in mergers and acquisitions and guiding companies in global scale up.
Culturalytik: Cultural Measurement Analysis
Dr Michael Muthukrishna, Associate Professor of Economic Psychology at the Department of Psychological and Behavioural Science, uses research in cultural evolution for public policy, applying the findings to solve real-world problems. He has developed tools embodied in Culturalytik, for cultural measurement, analysis, and behavioural intervention design. The approach uses cutting-edge techniques to highlight accurate, actionable aspects of culture.
“The goal is to identify and preserve aspects of culture to maximise retention, increase innovation, continue customer satisfaction and other key performance indicators, and aid global expansion.”
– Dr Michael Muthukrishna
Culturalytik’s unique approach includes data collection methods that ensure genuine answers to sensitive questions and proprietary analyses that “slice” organisations by strategically targeting groupings such as locations, teams, work functions, and tenure, decomposed into different cultural dimensions.
A Roadmap to Becoming an LSE Spinout
With LSE Innovation’s support, Culturalytik has had successful pre-contract engagements with the world’s largest companies active in global mergers and acquisitions in order to secure commercial partnerships and relevant income streams.
LSE Innovation supported Culturalytik in three key areas – market assessment, market engagement, and market validation – and will continue to assist Culturalytik in the development of the commercialisation plan to enable Culturalytik to become a financially self-sustainable spinout.
If you are interested in this service or exploring how LSE Innovation can support you in commercialising your idea, please get in touch with us via email@example.com.