"No business without diversity"

Why should companies make a strong commitment to diversity and an open society right now? And why is diversity no longer a nice-to-have, but a decisive factor for corporate success?

Recent studies show: European companies with diverse management teams are over 60 percent more likely to be more profitable than average. The greater the diversity in management teams, the better the companies perform in the evaluation of their corporate strategy and in the indicators for attracting and retaining talent (see McKinsey Study 2024). What does this mean in concrete terms and how do we live diversity at REWE Group? Daniela Büchel, Member of the Management Board responsible for HR and Sustainability, explains in an interview.

In the USA, there are currently voices calling for more male influence in business and criticizing quotas for women and diversity initiatives. Many companies are already scaling back their initiatives. How do you view this development?

I am watching this development with concern and personally consider it dangerous and backward-looking. What's more, the momentum that is currently developing in the USA has the potential to spread to other countries. It is therefore more important than ever to take a clear stance in favor of diversity and equality and to actively advocate for them. Regardless of its ethical and moral significance, diversity is a decisive competitive factor. At REWE Group, we are so successful not despite, but because of our great diversity. The Management Board of REWE Group and hopefully our entire workforce firmly believe in this.

To what extent do we at REWE Group benefit from diversity?

We operate in a highly competitive market and have to address a diverse customer base. In order to really understand their needs and be close to them, we need teams with a wide range of experience and perspectives. This not only enables us to develop creative and innovative solutions, but also helps us to react flexibly to changes - something that is urgently needed nowadays. What's more, in times of labor shortages and demographic change, we cannot avoid seeing diversity as an opportunity. Without the workforce of women, older people or people with a history of migration, we would only be able to draw on a fraction of the available workforce. To pick up on my thought from a moment ago: Apart from the fact that we must fundamentally ask ourselves how we want to shape our coexistence as a society, companies should always additionally consider the economic significance of promoting diversity alone. To summarize: Without diversity, there is no business.

That sounds as if diversity happens by itself anyway - so why do we need measures for more diversity and equal opportunities at all?

Because diversity alone won't get us anywhere. It's all about the inclusion of different employees; we need a culture in which different approaches are seen as an opportunity. Ultimately, we all need diversity skills - in other words, the ability to be aware of the differences between people and to value and support them in their diversity. Genuine diversity also requires very specific framework conditions that make it possible in the first place - for example, in terms of compatibility.

Could you explain this in a little more detail?

Two questions are crucial for me. The first: How can we future-proof our company? This is the economic factor; we have to do everything we can to ensure that demographic developments don't fall on our shoulders tomorrow and cause us to lose colleagues. In other words: bring top-qualified colleagues into management, enable compatibility, strengthen labor migration, promote lateral hires. The second question: What kind of world do we want to live in? As a company, we are part of society and have a responsibility. Personally, I want to live in a tolerant, inclusive world in which diversity is valued. That's what we want to stand for in our company.

Where do we currently stand?

We have been working intensively for many years on the topic of reconciling family and career and were the first food retailer in Germany to pass the diversity add-on in the new re-certification cycle of the "berufundfamilie" audit. The prerequisite for this is that diversity and inclusion programs are defined to ensure that everyone has the same opportunities, regardless of age, gender, gender identity, origin, religion/belief, ethnic or social background, sexual orientation or disability.

What has happened in other areas?

Our LGBTIQ+ network DITO now represents the LGBTIQ+ community in the company with around 500 members and various local groups. We have also been a sponsor of various CSDs in Germany, Austria and Italy for years and set an example for diversity with rainbow flags and stickers at our stores and travel agencies. We promote the integration of culturally diverse backgrounds by actively recruiting young refugees for internships and apprenticeships as part of the KIMAT initiative. As part of the "Ehrensache" or "Joblinge" projects, many colleagues act as mentors to help socially disadvantaged young people find an internship, apprenticeship or job. We recently launched the internal "Diversity Network" to anchor diversity in the company across all divisions.

We also set ourselves measurable targets - for example, to achieve gender parity at management level by 2025. However, things are still looking bleak, especially at the top management levels. Why is that?

In fact, at management levels one and two, i.e. the Management Board and senior executives, with a total of just under 250 colleagues, the proportion of women is less than 15 percent. There is no simple answer as to why this is the case. We are trying to make several adjustments - from mentoring programs such as Women's Drive to networks such as f.ernetzt. We are also seeing success across all management levels, where the proportion of women is 45.5 percent. However, as we want to fill our management positions at top level from within our own ranks wherever possible, things are not happening as quickly as we would like. Our managers play a very central role here, and this is another area where we are taking action.

In what way?

Because equality begins in the minds of those who have influence - on who is hired, promoted and promoted. We need more mentors like my fellow board member Peter Maly, for example, who is very keen to promote women in management and at sales levels. My appeal to all managers: promote female talent! Stand up for women - including career changers - in whom you see potential. Encourage them, support them and find solutions together, for example when it comes to flexible working models.

Does equality fail mainly due to the issue of compatibility?

Not only, but this is a major issue that we need to solve for society as a whole. The fact is that women still do most of the care work. If a man takes over child rearing, there are often comments to that effect. We have therefore done a lot in recent years to promote work-life balance. Of course, this is easier in the head offices than in the stores. For example, we offer top positions on a part-time and job-sharing basis. For around five years now, it has also been possible to work part-time as a store manager - we are the only retailer to do so.

How well is this option accepted?

At executive level, it has so far only been women who have taken advantage of the job-sharing or part-time option. We still have to dispel the myths and barriers in people's minds so that this is used more at all levels and also by men. The part-time store manager model is well received in regions where there is more visibility and best practice, such as REWE Süd.

Diversity goes far beyond promoting women. What are we doing to promote inclusion, for example?

Inclusion is important to us and we have not yet exploited the full potential of the inclusive labor market. One example of successful inclusion work can be seen at REWE West, where over 90 people with disabilities were hired last year alone. REWE salesman David Hegemann from Düsseldorf accompanies the first trainee in a wheelchair on his way to becoming a salesman. Salesman Dietmar Tönnies from Odenthal has a deaf colleague in his team - and there are many other positive examples. We have also been working towards greater inclusion since 2017 with a strategic partnership between the REWE Group and Aktion Mensch, as well as a partnership between toom and Lebenshilfe. We are also involved in myAbility, where we offer a coaching and training program to Master's students with disabilities or chronic illnesses. We will continue to promote an inclusive working environment and society.

What have you learned about inclusion?

Our experience shows that it can be challenging to have just one person with a disability on the team. From the perspective of community and mutual support, it makes more sense to include several people per team. This is why our colleagues at BILLA in Austria, for example, focus particularly on larger stores. However, we have also learned that barriers start in the mind. If the culture is right and teams are open to each other, solutions can almost always be found.

What are the biggest challenges?

There is an incredible administrative burden. To avoid placing too much of a burden on the stores, Roderich Dörner, who is responsible for inclusion in the HR department, provides support at REWE West. The retailers have had very positive experiences, both on a personal and economic level, as they receive financial support. We have planned a workshop to see how we can roll out the concept nationally. There is already a list of many retailers who would like to take part. Customers have also reported that they experience a really great atmosphere in the store when inclusion is practiced there. It is important to always employ people where their strengths lie. Strength-based management is an important part of our management programs.

Where are the biggest to-dos when it comes to diversity?

In the IT sector, which is still male-dominated, it is still difficult to form gender-diverse teams and, above all, to have more women in management positions. The sales area is also traditionally quite male-dominated, but we now also have examples of female sales managers such as Elisabeth Promberger at REWE Süd.
And there are diversity dimensions that will become even more important in the future, such as age diversity. 44 percent of the population in Germany is over 50 years old. As job-related knowledge becomes obsolete at ever shorter intervals, often within a few years, it is crucial to take advantage of cross-generational diversity. I believe that when it comes to diversity, the journey really is the destination, and it is absolutely vital that we walk it together.