Many executives across the globe are feeling the effects of a recent pivot to hybrid work models. This massive transition represents a significant departure from existing office culture. As business leaders look to operationalize their flexible work model infrastructure, they’re also evaluating what it takes to attract and retain employees in this new landscape. Instead of seeing these as separate initiatives, business leaders have a unique opportunity to collectively overhaul corporate culture, focusing on hybrid work and diversity, equity, and inclusion (DEI) strategies in tandem.

Combining DEI and hybrid work strategies provides a more inclusive culture

Focusing on diversity, equity, and inclusion doesn’t mean business leaders are offering an underrepresented individual a specific role or platform because they fit a certain demographic category. Lack of job quality criteria leads to animosity and cultural inequality. Here, diversity means creating a meritocracy with equal pay and equal opportunity for all.

Organizations that thoughtfully combine DEI and hybrid work strategies will produce cultures that improve employee experience and business agility. Integrated DEI and hybrid workplace support better business outcomes by:

Increasing the total available talent pool. A business must cast a wide net for candidates by expanding how and where it searches. Adding a flexible work schedule policy expands potential talent by allowing parents, caregivers, and others to select the hours that work best for their family obligations. Remote work also holds a higher priority in job seekers’ desires. For example, a FlexJobs survey revealed that 24% of workers say the ability to work from home is so important to them that they are willing to take a 10-20% pay cut to work remotely, and 21% would give up some vacation time.

Creating a more inclusive culture. Job seekers want to work for companies that prioritize DEI. According to a recent CNBC and SurveyMonkey Workforce survey, nearly 80% of workers say that they want to work for a company that values diversity, equity, and inclusion. A DEI-centric work culture allows job seekers to feel like there’s a place for them.

Fostering innovation and profitability with broader perspectives. In general, diversity and inclusion promotes the expression of ideas from people with different backgrounds, leading to breakthroughs in creativity, innovation, and attracting new customers. Workplace DEI programs create an employee base that closely mirrors a customer base. A diverse team is less likely to miss potential market opportunities if representative of a broad range of ethnicity, race, age, assigned sex, and socioeconomic backgrounds. A 2020 McKinsey analysis found that companies in the top quartile for ethnic and cultural diversity on executive teams were 36% more likely to have above-average profitability than companies in the fourth quartile.

Hybrid work should not derail DEI efforts

While there are numerous benefits to integrating DEI and hybrid work strategies, it would be naive to think it won’t bring challenges. Businesses run the risk of creating new inequities and exacerbating existing ones as they move to hybrid models. One potential issue lies in which employees can work remotely. An HBR article shared how pre-Covid less than 30% of all workers could work from home; only 16% of Latinx workers and 19% of Black workers had remote flexibility, compared to 37% of Asian workers and 30% of white workers.

Even for employees who can work remotely, it’s essential to eliminate “proximity bias.” A study by SHRM found that 67% of surveyed supervisors admitted to considering remote workers more easily replaceable than onsite workers at their organization. Additionally, 72% said they would prefer all of their teams to be working in the office.

A successful hybrid environment strikes a balance between flexibility and inclusivity where individuals feel valued, and everyone has equal opportunities for advancement. In another study, researchers concluded that remote workers and office workers were promoted at the same rate, but found that remote workers’ salaries grew more slowly. Leading companies recognize that physically being at the office full-time isn’t necessary to produce great results.

8 steps to creating a diverse hybrid work culture

As DEI becomes a new business imperative, organizations must work to minimize unconscious bias, creating market-based salaries for all workers, and introducing educational programs that support talent development. Here are some concrete steps you can take to get started.

• Educate current and future leaders on DEI and hybrid work issues. As you build hybrid work strategies, it’s crucial to discover and understand unconscious biases. According to Deloitte, companies need a holistic DEI learning strategy, including unconscious bias training and developing the conditions for long-term behavior changes.
• Embrace tools that support DEI and hybrid workplaces. Organizations can leverage technology and AI-enabled HR software to support their efforts. Collaboration tools provide everyone with a voice regardless of where they are (for example, using Spaces for team chats in Google Workspace so that everyone has access to the same information). Video call features such as transcriptions and translation can help the hearing-and-vision-impaired and employees who speak different languages. It’s also possible to purchase recruiting solutions with AI technology to reduce the chance of bias or discrimination when reviewing candidates.
• Strengthen culture by marrying DEI with meritocracy. There should also be explicit guidelines to ensure the systems and processes for hiring and promoting individuals are both transparent and equitable. One method for accomplishing this goal is to define detailed job requirements and metrics per role to understand what skills are associated with specific functions. It’s also essential to ensure you’ve designed these processes in a way that screens out bias. Leading companies will deploy analytics tools to evaluate the systems’ fairness and track if the systems are progressing against diversity targets.
• Create upskilling programs to train employees. Many organizations struggle to find talent with the right skill sets. One solution to this problem is to invest in educating existing employees. Companies must develop diverse talent at every level to create a pipeline of candidates that progresses into senior management. Similar to the way companies offered management training programs to college graduates, organizations should design programs that provide skills enhancement for entry and mid-level employees. Almost every job will require a certain level of technical skill—organizations must upskill existing talent.
• Restructure compensation before employees leave. It’s easier to retain an employee than to onboard and train a new hire. According to the Atlanta Federal Reserve Bank’s wage growth tracker, wages for people who have switched jobs have outpaced those who’ve stayed at one employer since 2011. One way to retain talent is to right-size salaries to a competitive market rate.
• Remember that money isn’t everything. While individuals may switch jobs for money, they often stay in a position for the culture. Creating a leading employee experience helps organizations keep talent. Work from home programs, flexible work schedules, and advanced programs such as childcare benefits help build the foundation. But increasingly, individuals are looking for a sense of belonging. According to research from McKinsey, employees who feel included are three times more likely to report being excited about working for their organization and committed to its success. Another McKinsey report focusing on attrition shows that employees primarily leave companies because they don’t feel valued or don’t have a sense of belonging.
• Don’t forget to commit the resources. Most organizations built their cultures before DEI and hybrid work were requirements. These companies must invest in new work tools and educational programs, and create new hiring and talent management practices. A business can make a more significant impact with fewer resources by ensuring purchases and processes support flexible and inclusive work cultures.
• Make sure actions are backed up with DEI transparency measurements. The pressure to support DEI could lead to situations where activities are celebrated over results. While it’s not easy to be vulnerable and transparent about where the problems exist, employers should take stock of where they are today. They should present this authentically, create goals for the future, and design a measurable action plan to track its progress. With so many variables and unknowns, it’s crucial for talent leaders to track the way that hybrid work and DEI efforts advance.

Diversity should be part of your efforts because it’s the culture you want to create. However, ignoring diversity efforts can also come with ramifications. For example, Goldman Sachs announced in 2021 that the firm would only underwrite IPOs in the United States and Europe for companies with at least two diverse board members. Meanwhile, the U.S. Securities and Exchange Commission adopted new rules this summer that require Nasdaq-listed companies to have at least two diverse directors – including one woman and at least one member of an underrepresented community.

In order for the benefits of diversity to emerge in the workplace, companies need to enact cultural and behavioral change. As stated in the ICSM report, “Never become too comfortable with your efforts, as there is always room for improvement with diversity at your organization, whether you see it or not.” It’s clear that what organizations have done to attract talent in the past isn’t resonating the same way today. A diverse workforce delivers better ideas and stronger communities, building deeper relationships with customers along the way. Moving forward, it’s expected that a company’s investment in a diverse, inclusive, and hybrid work culture will set it apart from its competition, leading to increased business agility and better financial outcomes.

Founded in 1930 and headquartered in Jordan, Arab Bank is one of the oldest banks in the Middle East. Operating out of 28 countries, we’ve earned our customers’ trust with a prudent approach to operations and respect for the cultures and customs in the region. 

With a few exceptions where cloud providers have hosted their datacenter in a Middle Eastern or North African country, the banking sector, in general, in the region has been slow to adopt cloud technology for a number of reasons, including concern about data security, maturity and security controls of cloud services (PaaS and SaaS), and regulations in place. But on the other hand, we saw the opportunity to accelerate our development and testing using the cloud, as well as to partner with the fintech community and digital service providers to integrate their solution in the banking ecosystem. We needed more flexibility to connect with the outside world, and a more open architecture to help us drive our internal innovation at a faster rate with the help of the fintech industry. By collaborating with Google Cloud, we reached those goals and accelerated app development and testing through products like Apigee and Anthos. We’re now offering innovative apps and services to our customers and employees that leverage new technological capabilities to give more agility and flexibility, and to optimize our workloads.

Embracing the cloud in a regulated industry 

To get started with the cloud, we needed to create internal awareness about cloud technology, the API layer, containers and their benefits amongst our leaders and staff. Google helped us educate and get buy-in from key functions by organizing open technology demonstration sessions and discussion panels. When considering potential cloud providers we had four decision criteria: maturity of security controls, ease of use, cost, and scalability / agility for new deployments and continuous innovation. This last factor was critical, and we were impressed by Google Cloud’s innovation roadmap, both via direct conversations and at Google’s Next conference, where we met a lot of people passionate about technology, innovation and building something new.  

Going back to our journey, given the above-mentioned regional limitations, we started to develop a hybrid cloud approach. This helped us continue to operate on-premises for a number of services in production, particularly those that have personally identifiable information (PII) or other sensitive data attached, and to leverage the cloud for development, testing and production workloads that don’t contain customer data. 

In the short term, we didn’t anticipate that our many jurisdictions would allow data to be transported to other countries. But cloud tools will allow us to tokenize or anonymize customer data while maintaining customer data on-premises. This applies to many digital journeys such as customer onboarding, credit facility online applications, or marketplace navigation. In the coming years, we predict our API integration with partners will accelerate and enrich the overall digital value proposition of our business segments, namely consumer banking, small and medium-size businesses and large corporate and institutional clients. 

Building connections and cornerstones in the cloud

The first move in our digital transformation was to implement Apigee, Google Cloud’s API management platform, to connect to the world’s digital banking ecosystem. Apigee provides the security, sharing, mediation policies, and developer portal capabilities for us to successfully meet Open Banking standards while focusing on innovation.  

On the back of the Apigee implementation, we created an accelerator program to incubate Fintech ideas that can, in turn, integrate into our digital platforms and be offered to our customers. We also developed various banking APIs, all designed and documented in accordance with PSD2 and Open Banking regulations, and made them available to our partners. These APIs exposed on our API development portal offer the needed code structure for fintech companies to design creative solutions around them.

Next, we adopted Anthos, Google Cloud’s managed application platform. Anthos has become a cornerstone of our operations because it works across hybrid cloud, offering integration of microservice containers and fueling collaborative opportunities with external parties. Our current Anthos infrastructure includes several hundreds of  microservices now running on containers in Google Kubernetes Engine (GKE) and on-premises. We now use the cloud for collaboration, development and testing, but not for production, which is done on-premises. 

Along the way, Google Cloud’s Professional Services Organization (PSO) helped us through the entire cloud setup process, and with the adoption of Anthos. We originally built on the cloud tools through an iterative process, learning from our successes and errors along the way. Now that we have a better sense of how Anthos operates, we’re building a fresh infrastructure atop a sound, stable, and resilient foundation that will let us scale easily as we work to transform Arab Bank into a digital-first enterprise, that is our ambition. 

Currently products running on Anthos include customer acquisition and onboarding via mobile apps, and our Arabi-Pay app, which allows customers to instantly pay each other via WhatsApp or other messaging platforms. Leveraging Anthos, our instant loan service for Arab Bank salaried employees can grant and disburse loans up to $7,000 in less than seven minutes.

In addition, we’ve built a number of digital journeys for our Small and Medium Enterprise (SME) customers, such as our SME client digital onboarding process and paperless SME lending platform.

While some may think that digital adoption in this part of the world can be slow, as customer contact remains anchored in our customs, the recent COVID-19 pandemic has accelerated the adoption of digital banking services and electronic payments, inspiring more confidence to buy and pay online. Thanks to our rich and user-friendly banking app that relies on Apigee and Anthos for critical customer journeys, over 90% of new-to-bank customers are using our mobile apps. Within the next 18 months, we predict that number will be closer to 100%. 

Of course, with higher customer adoption comes the challenge of potential service interruptions. A single moment of downtime can be highly visible to many digital customers. But Google Cloud’s Anthos and Apigee give us the flexibility to resume processes at a fast rate, so any interruptions are almost invisible to our customers. In fact, when the COVID-19 pandemic hit, though our branches could be open only for limited hours each day, our consumer clients in particular were able to take advantage of our digital services in a very self-sufficient manner. Being well positioned with Google Cloud, we could also keep our internal teams and external partners connected and productive. Without Google Cloud, continuing the digital transformation of the bank at the pace we wanted would have been a big challenge. 

Collaborating across borders and time zones

With Google Cloud, our ability to collaborate and partner has transformed significantly. We operate 24/7 now because our developers are scattered across multiple geographies and different time zones. Because testing and deployment can run around the clock, including on weekends, we currently deploy a new digital journey in a few weeks, faster than ever before. This has given our organization a spirited mindset that prioritizes innovation, and raised the bar in terms of our operating model.  

Another consideration about Google Cloud tools is the elimination of inefficient processes typically seen in a software development lifecycle. We now build in a completely agile manner, from design squads until deployment in production. Compared to where we were two years ago, when we had an annual maximum of two systems releases in production, we now have close to monthly releases of our digital packages. In addition, we also  supplement those monthly releases with additional ad-hoc releases and fixes in between. As a result, we have removed internal silos and improved tremendously the collaboration between the product and sales teams, operations, IT Dev Factory and Infrastructure, as well as our supporting functions.

Through the agile process facilitated by APIs, we introduced Design Thinking workshops involving external customers and prospects early on to understand their true pain points better and emotions during the existing journeys and how to make new digital journeys frictionless. As a result, the relevance of our products for various customer personas has improved tremendously. 

Transcending banking 

With Google Cloud, we can offer our customers so much more than just banking. We’ve become more digitally relevant to their lives. For example, we recently launched a mortgage app that helps customers all the way from home selection through mortgage negotiations and closing, and even to getting the home decorated. It’s an end-to-end journey in which API integration with key regional players was a cornerstone to our success. 

For other digital products, we have an extensive roadmap of lifestyle-based solutions relevant to each segment and age group. We’ve only scratched the surface of the services we can provide, and we see the cloud as the future for everything we want to do.

Read more about Google Cloud’s Open Banking solution to learn how you can simplify and accelerate the process of delivering open banking as required by PSD2. You can also view our video on Open Banking, powered by Apigee API Management.

Like many businesses around the world, Google is trying to combine on-site and off-site work into an efficient hybrid model. And like most businesses, we’re also figuring out how to get it right. As we grow our vision for the best possible hybrid workplace, one theme consistently emerges: the need for collaboration equity. 

Collaboration equity is when all workers have the ability to contribute and communicate equally, regardless of location, role, experience level, language, and device preference. A lack of collaboration equity can stem from hierarchies in video calls or language barriers on international calls. It can mean junior employees don’t feel empowered to speak up in meetings, off-site employees struggle to access their on-site managers, or frontline workers lack the communication tools their office colleagues enjoy.

When these disparities add up, they can damage an individual’s wellbeing, career potential, and effectiveness. When they permeate an organization, team performance suffers, innovation wanes, and talent leaves. In our recently commissioned global survey with Economist Impact, 62% of respondents agreed with the notion that “limited networking opportunities with senior employees and co-workers has a negative impact on career growth.” Proximity bias is just one of many new challenges we face in hybrid work environments. 

We believe the location from which you participate shouldn’t influence your outcome. And while it’s easier to have everyone on-site or everyone off-site, hybrid models demand deeper thinking about social, organizational, and technological challenges. These ideas should be addressed at the C-Suite level with solutions that garner buy-in from every part of the organization. 

So, how do we deliver on the promise of a hybrid workplace where flexibility, wellbeing, and meaningful impact coexist? 

At Google, we’re bridging the gap between the in-person and the “somewhere else” by pushing technology, culture, and physical spaces to be more inclusive and maximize participation. We’re also innovating new Google Workspace features to power collaboration equity for our billions of users worldwide.

To guide our work, we’ve identified three pillars of collaboration equity: representation, participation, and information.

Representation equity

Achieving representation equity means that all employees can be seen, heard, and portrayed equally, whether working off-site or on-site. When the pandemic hit, we were all scrambling to make sure people could simply connect safely with one another. Google’s existing technology for distributed teams was pressure tested, and I’m proud of how well it performed. But we’re now faced with the disconnect that happens when you merge off-site work with on-site work. 

When we were all participating in meetings remotely, everyone shared equal-sized tiles on videos. There was no one sitting in a corner office, no hierarchy—everyone was represented equally. In a hybrid environment, it’s distorted. The people participating remotely appear giant on a conference room monitor, while the people in the conference room appear tiny on screens at home. It can be difficult to decipher who’s even in the room. This is certainly not equal representation.

Some of these issues can be solved with technology. For example, we’ve been working on features like AI-driven video adjustments in Google Meet to compensate for low-light environments and auto-zoom to keep all participants in focus, and both will improve representation equity for hybrid workplaces. Additionally, we can now limit data usage on slow mobile networks so no one has to turn off video during a call. All of these technological innovations improve representation equity for hybrid workplaces, but we also need to adopt new workplace norms as well. For example, some organizations have implemented policies where if one person joins a meeting from off-site, then everyone joins via device so they are all represented equally.

Participation equity 

We think of participation equity as the ability to host, present, and participate equally, regardless of location. At Google, we were already accustomed to joining meetings virtually from different offices. With the new tools we’ve developed in the last 18 months, everyone’s ability to participate equally has grown. Wider adoption of meeting tools like hand raise, polls, Q&A, and breakout rooms gives us an ordered, structured way of talking in distributed groups. 

But how will we interact when many of us are back in the office? How do we ensure that off-site workers can still engage as meaningfully as others? Companion mode, a tool we’ve developed for Google Meet, gives both in-person and off-site attendees the same meeting experience. Each individual can host, present, and participate in meetings in the same way, with the same tools, regardless of their location. 

Teams can also promote participation equity by using meeting moderators who encourage the use of hand-raising features so no one dominates the conversation or interrupts—a challenge that often arises when multiple people are in the same location. While it may feel forced and prevent natural back-and-forths, it does help everyone’s voices be heard. We’ve also learned that many people find it distracting to see their own image, so we’ve enabled users to hide their own video feed. I’ve seen firsthand how these tools and practices are improving participation equity. 

Information equity

Information equity means that regardless of whether people work on- or off-site, they have equal access to information. Ensuring free flow of information is key to better long-term thinking, creativity, and cooperation among teams. As individuals exercise their autonomy for where and how they work best, their preferences affect recruiting and retention. If we’re going to accommodate a range of preferences, how do we best equalize access to information? 

First, we should actively prioritize keeping each other informed. We can support this proactive mindset through technology by ensuring that meetings have agendas, are recorded or transcribed, and have shareable, accessible information. Our tools, including Spaces and Drive, can be used as information hubs where teammates can reliably access crucial files, conversations, and updates. And coworkers can leverage smart suggestions to @-mention others linked to the project, so no one is left out. 

We must commit to solving the information equity problem together or risk ending up in a mushy middle ground where no one is satisfied. Because while most people enjoy working from home, they won’t sacrifice career progression to keep it. If the center of gravity tilts too far toward on-site work, the hybrid model will collapse. We’re not advocating a “choose your own adventure” mentality, nor a one-size-fits-all model. We’re empowering teams to meet the preferences of individual members in a deliberate fashion that supports the larger organization. 

During this pivotal time, we are enthusiastic about how we’re seeing work change and advance around the globe. Delivering on the hybrid-work promise of “the best of both worlds” feels more within our reach than ever before. But if we’re going to succeed, we must strive for collaboration equity. Our experience tells us that when you give people freedom and opportunity, they will amaze you. 

How to build collaboration equity in your hybrid workplace:

✅ Start with representation. Can every employee be seen and heard? Do they have the tools, technology, and devices to be adequately represented?

✅ Enable participation. Is everyone encouraged to provide their input and voice their opinions? What tools and forums exist to provide this input? How is the input acknowledged and acted upon?

✅ Share information. Do people have access to all the information they need to do their jobs? Does information flow freely or is it hoarded?

✅ Let teams and departments design their own hybrid schedules. Hybrid will not work if every individual is “choosing their own adventure.” Consider using on-site days for collaborative, creative, and brainstorming projects and reserving off-site days for deep focus work. 

✅ Reward outcomes, not activities. An employee’s individual preference for how and where to work should not matter as long as they are getting things done. This means flexibility in location and work schedule to maximize impact.

✅ Highlight our shared responsibility to each other. Every manager should ask:

1. What does the team need to know about how you work best? 
2. What are you personally doing to ensure the entire team is successful?

Follow other trends and insights on our Future of Work site.