How Diversity in Leadership Drives Business Success

For too long, a homogenous group of voices has dominated business leadership in a narrow mold. But the world is changing, and so is the way we view leadership. As a Costa Rican woman leading an international company, I’ve witnessed firsthand how diversity in leadership doesn’t just break the mold; it creates a completely new one, built on a foundation of innovation, inclusivity, and stronger business outcomes.

When I founded The Varela Group, I knew my journey wouldn’t follow the traditional path. In fact, not following that path is what has fueled my success. Growing up in a vibrant, diverse culture in Costa Rica taught me the value of listening to voices from different backgrounds, and that experience has stayed with me throughout my career.

At The Varela Group, I’ve intentionally built a team that reflects a wide range of backgrounds—different nationalities, genders, and skill sets. This is no accident. I’ve always believed that diversity fuels innovation. But beyond belief, the data supports it. A McKinsey study found that companies with diverse executive teams are 33% more likely to outperform their peers on profitability. To me, the business case is clear: Diversity isn’t just a social responsibility; it’s a business strategy.

As we continue to see a shift in leadership across industries, it’s critical that we don’t just accept diversity but actively champion it. That’s where the real transformation happens.

The Power of Diverse Perspectives in Business

One of the most significant advantages of having a diverse leadership team is the variety of perspectives it brings to the table. When you include people from different backgrounds, cultures, and experiences in decision-making processes, you open up a world of creativity and innovation that simply wouldn’t exist in a homogenous team.

In my experience at The Varela Group, I’ve seen how these diverse perspectives fuel problem-solving in ways I couldn’t have anticipated. For example, when we were developing a new service aimed at international markets, our leadership team—comprising members from four different continents—brought up issues and opportunities that I had not considered. A leader from our Asian market pointed out cultural nuances in customer expectations that we could integrate into our service model. Meanwhile, a team member from Europe highlighted regulatory challenges that we needed to overcome. Without these diverse inputs, our product wouldn’t have been as globally adaptable or successful.

When you create an environment that encourages diversity of thought, you generate stronger, more resilient solutions. It’s no surprise that some of the most innovative companies today, such as Google and Apple, are known for their diverse leadership. They understand that innovation comes from looking at problems through different lenses, and this diversity in thought ultimately drives their competitive edge. Similarly, at The Varela Group, we’ve built a culture where every voice, regardless of title or background, has the opportunity to contribute.

Innovation thrives on differences, and when businesses embrace this, they’re not just creating a more inclusive workplace—they’re setting themselves up for success in the long run.

The Link Between Inclusive Leadership and Business Performance

The idea that diversity improves business performance isn’t just a feel-good narrative—it’s backed by solid data. Numerous studies have shown that inclusive leadership leads to better financial outcomes, greater innovation, and higher employee satisfaction. But why is this the case?

At The Varela Group, I’ve witnessed firsthand how inclusive leadership creates a ripple effect that touches every part of the business. When leadership reflects the diversity of the world around us, it creates an environment where employees feel seen, heard, and valued. And when people feel valued, they’re more engaged and motivated to give their best. This directly translates to higher productivity, more innovative solutions, and, ultimately, a stronger bottom line.

Research shows that companies with higher levels of diversity at the leadership level are significantly more likely to capture new markets. Why? Because diversity allows companies to better understand and cater to a broader range of customers. When you have people on your leadership team who come from different cultures and experiences, they can spot opportunities or challenges that others might overlook.

For example, when we expanded our services to Latin America, our leadership team’s understanding of the regional market’s unique needs gave us an edge over competitors who were still thinking in broad, global terms. Having a diverse team allowed us to tailor our offerings more effectively to meet local expectations.

Inclusive leadership doesn’t just bring in new ideas; it helps those ideas thrive, pushing the business forward.

Breaking Barriers: Overcoming Challenges to Diversity

While the benefits of diversity in leadership are clear, achieving it isn’t always easy. There are significant challenges that businesses—and individuals—face when it comes to breaking down the barriers that prevent a truly inclusive leadership team.

One of the biggest challenges I’ve encountered throughout my career is the unconscious bias that exists in many workplaces. These biases, often hidden, can lead to underrepresented groups being passed over for leadership opportunities. I can’t tell you how many times I’ve walked into boardrooms where I was the only woman, or the only person of Latin American descent. It can be daunting, but it also fuels my determination to ensure that others won’t face those same barriers.

Mentorship has been a crucial factor in overcoming these challenges. I’ve been fortunate to have mentors who helped open doors for me and encouraged me to aim higher. That’s why I’m passionate about paying it forward. At The Varela Group, we’ve implemented mentorship programs specifically designed to help women and people from underrepresented communities advance into leadership roles. When you build a system of support, you break down barriers that might otherwise seem insurmountable.

Intentional inclusion is key. It’s not enough to say, “We support diversity.” You have to actively seek out diverse talent, create opportunities for growth, and ensure that the company’s culture allows every voice to be heard. For example, we make a point to create leadership opportunities internally, nurturing talent from within the company so that our leaders reflect the diversity of our team.

Overcoming these barriers requires consistent effort and a willingness to challenge the status quo. It’s about holding difficult conversations, revising outdated policies, and constantly pushing for a more inclusive workplace. The reward? A leadership team—and a company—that’s stronger and more innovative.

Building a Future of Inclusive Leadership

The future of leadership is not just diverse—it’s inclusive. But diversity and inclusion are not destinations; they are ongoing commitments. To truly build a future where inclusive leadership thrives, companies need to put systems in place that support this evolution every step of the way.

One of the core strategies I’ve implemented at The Varela Group is creating an environment where inclusivity is part of our DNA, not just an initiative. This means everything from how we hire, to how we promote, to how we evaluate success as a company. For us, leadership is about more than hitting revenue targets—it’s about building teams that reflect the rich diversity of thought and experience in the world today.

At The Varela Group, we’ve established an internal leadership program aimed at fostering the next generation of diverse leaders. This isn’t just about filling quotas; it’s about giving people the tools, support, and opportunities they need to succeed at the highest levels. We actively promote from within, ensuring that diverse voices are represented at every level of leadership.

Another important aspect of building inclusive leadership is listening. Inclusion means giving everyone a seat at the table and ensuring their perspectives shape the company’s direction. When we embrace diversity in all its forms, we unlock the full potential of our businesses—and ourselves.

Conclusion: A Call for Action

Diversity in leadership is more than just a trend; it’s the future of successful, sustainable businesses. As I’ve seen throughout my career, when we make space for diverse voices, we don’t just create a more inclusive workplace—we create a better, stronger business. Companies with diverse leadership are more innovative, more adaptable, and ultimately more profitable. But this doesn’t happen by accident. It requires intentionality, commitment, and a willingness to break the mold.

If you’re ready to take the next step in building a more inclusive leadership team, I challenge you to start today. Create mentorship programs, invest in leadership training, and most importantly, listen. The future of leadership is inclusive, and we all have a role to play in shaping it.