Which of the following is a benefit of diversity for work teams?

• A. Increased conflicts
• B. Slower decision making
• C. Improved returns
• D. Higher costs

Answer: (C)

Diversity in work teams drives better problem solving and innovation by bringing a wide mix of experiences, skills, and viewpoints. When team members approach problems from different angles, they generate more options, catch blind spots, and challenge assumptions. This leads to higher-quality decisions, creative solutions, and a deeper understanding of diverse customer needs. When these improvements translate into products, services, and strategies that better fit the market, the organization tends to see stronger performance and higher returns over time.

Increased conflicts can occur, but they’re not a benefit and are something teams manage through inclusive leadership and psychological safety. Slower decision making can happen as diverse perspectives are debated, but again, that’s a hurdle rather than a benefit. Higher costs may be a consideration, not a benefit. The positive payoff—improved returns—comes from leveraging diverse insights to drive better business outcomes.