Culturally competent organizations are better positioned to succeed in an increasingly diverse and global world. In fact, a 2020 report from McKinsey found that companies in the top quartile of ethnic and cultural diversity were 36% more profitable than those in the bottom quartile. Improving cultural competence isn’t just the right thing to do to retain a diverse workforce, it’s also good for the bottom line. Similarly, under-prioritizing cultural competence can result in serious consequences for your business. For one, many employees are actively looking for diverse workplaces. If an organization doesn’t effectively leverage a diverse workforce into a  culturally competent one, it might have difficulty hiring and retaining diverse talent, especially in a competitive labor market.