Nudge Theory in DEI: An Effective Strategy

An employee writes notes down from his laptop. He is seated at a table with a cup of coffee against the background of a brick wall.

Innovation in DEI learning is key as more and more organizations begin to adopt diversity, equity and inclusion in their values, corporate strategy and day-to-day practices. Learning strategies that use concepts like nudge theory can make all the difference when it comes to running effective DEI programs and initiatives.

Coined by economist Richard Thaler, nudge theory provides direction for the choices we make, without taking away our autonomy or decision-making power. 

Nudge theory is applicable in public policy, healthcare, Human Resources, and any area that aims to incite beneficial behavioural change in people. In DEI, nudge theory can help employees learn and make real changes to their practices and interactions, while making their own decisions. In this article, we look at how nudge theory can be leveraged in DEI to promote learning and organizational change.

Choice Architecture 

A key part of nudge theory is the role “choice architecture” plays in our daily decisions. In Thaler and Cass Sunstein’s book Nudge: Improving Decisions About Health, Wealth, and Happiness, choice architecture defines how the context in which people make decisions, can be organized to influence those decisions. 

For instance, to encourage flexible work, the New South Wales government’s Behavioral Insights Unit experimented with changes to workplaces. To nudge employees to avoid early and late meetings and rigid 9 to 5 working hours, they reduced the default available times during which meetings could be scheduled in Microsoft Outlook. By also prompting managers to model flexible working and holding a competition for the most flexible team, they saw an increase in the number of off-peak arrivals and departures from the workplace. In all, these low cost nudge interventions led more employees to adopt flexible working practices. 

Nudge Theory and DEI Learning

Two groups of two colleagues have separate conversations. One employee works on their own.

At its core, DEI learning creates awareness, initiative and mutual understanding, to incite behavioural change that benefits the workplace and its employees. Examples of these changes can include building stronger connections between colleagues, improving cross-cultural communication, or enhancing productivity by creating safe environments where employees feel accepted at work.

In DEI, nudge theory helps employees engage in positive behavioural change that directly leads to inclusive action at work, and is good for the bottom line. Here’s how:

Employees make decisions for how they want to approach DEI

Ineffective DEI initiatives can often be a result of mandatory one-off training sessions that are meant to ‘check off a box’. Pushback from employees towards DEI programming can also be caused by a lack of tailored learning, and misguided or unclear approaches. 

Empowering employees to guide their own learning journey is essential for successful DEI programming. Research shows that when employees are psychologically empowered and engaged in their own learning, they are able to learn better in the workplace. But in January 2021, only 39% of U.S. employees were reported to be ‘fully engaged’ in their workplaces. With nudge theory, employees are enabled to make more inclusive decisions at work and learn according to their preferences. 

Nudge interventions have proven effective in diverse hiring at educational institutions. ‘Blinding’ certain application details so that reviewers are unable to glean the gender or race of a candidate, helps to mitigate bias in the hiring process.

Greater learning efficiency and more inclusive action taken 

Nudges theory helps to direct conscious behavioural changes into real inclusive action in the workplace. Nudge interventions are often small changes that are brief, avoid giving overt directional guidance and leave opportunity for decision-making. They tie in well with concise styles of learning - such as microlearning, to improve retention, engagement and learning efficiency. See our article on microlearning to read how short bursts of content combine with a nudge-based learning model to enhance workplace learning.

Crescendo Moments: Leveraging nudge theory with DEI 

A computer screen and phone screen show a screenshot of Crescendo Moments in Slack. A moment with content on Black joy and a moment with content on non-binary identity are shown on screen.

Crescendo’s microlearning solution, Crescendo Moments uses a nudge-based learning model to help employees learn and take action in their organization. Employees are empowered with the ability to choose DEI learning topics that interest them. They are then sent regular content related to these topics to engage with at their own pace and according to their schedule. 

Here’s a Crescendo user on how their Moments helped nudge them to seek out other perspectives:

The Crescendo content really made me slow down and find the perspective of a few different people. It’s helped me understand the privilege I carry around and think about what I can do for other people.
— Saul, QA Engineer. Crescendo user since 2019.

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