Originally posted by Effenus on LinkedIn
The Backbone of DEI: Impact and Results at McDonalds
"DEI is not a destination but a dynamic process that requires constant recalibration to stay impactful. McDonald’s recent approach exemplifies the SPINE framework—strategy, practice, ideation, need, and execution—showing that true leadership in a VUCA world demands agility, adaptability, and alignment. Their commitment to embedding inclusion into every aspect of their operations is a blueprint for sustainable, values-driven growth." - Effenus Henderson
In a volatile, uncertain, complex, and ambiguous (VUCA) world, the organizations that thrive are those that continuously evolve. McDonald’s recent updates to its diversity, equity, and inclusion (DEI) strategy reflect a deep understanding of this reality. Their approach demonstrates the principles I outline in my book SPINE—the critical framework for ensuring DEI efforts are sustainable, impactful, and aligned with organizational goals.
SPINE—an acronym for Strategy, Practice, Ideation, Need, and Execution—represents the backbone of effective DEI work. It’s a guide for navigating organizational change while ensuring DEI remains embedded in every facet of operations. Let me break this down in the context of McDonald’s recent actions:
S - Strategy
At the core of McDonald’s reassessment is a strategic pivot. By retiring aspirational representation goals and shifting toward embedding inclusion into daily operations, McDonald’s underscores the importance of aligning DEI with long-term business objectives. This move recognizes that goals, once achieved, may lose their relevance. Instead, their updated strategy leverages inclusion as a fundamental driver of business success rather than a separate initiative.
They’ve also rebranded their diversity team as the “Global Inclusion Team.” This change is more than cosmetic—it’s a strategic signal that inclusion is not just an outcome but a process woven into the fabric of the organization. Strategy, as I emphasize in SPINE, is about recalibrating efforts to ensure alignment with the broader mission and external realities. McDonald’s exemplifies this by reassessing their goals in light of recent legal and social changes while reaffirming their commitment to the values that underpin their success.
P - Practice
Practices are where strategy meets action, and McDonald’s comprehensive review of their DEI programs demonstrates a commitment to refining practices that are no longer effective or necessary. For example:
Retiring the Supply Chain Mutual Commitment to DEI pledge and integrating inclusion into broader supplier discussions about performance reflects a focus on embedding DEI into routine business processes.
Pausing external surveys shows an intent to prioritize internal focus and assess the real impact of inclusion practices on the organization’s day-to-day operations.
McDonald’s decision to move away from symbolic efforts to deeply integrated practices aligns perfectly with the SPINEprinciple of Practice. Practices are about creating systems and workflows that don’t just support DEI but make it inseparable from organizational operations.
I - Ideation
Ideation is the creative process of addressing challenges with innovative solutions. McDonald’s leadership engaged in this process by reflecting on past successes, benchmarking against peers, and rethinking DEI in the context of a changing legal and social landscape. This process included:
Conducting a comprehensive Civil Rights Audit to identify areas of improvement.
Engaging with stakeholders, including shareholders, to understand their evolving expectations.
Assessing the implications of the Supreme Court’s ruling on affirmative action and benchmarking against other companies re-evaluating their DEI programs.
Ideation isn’t just about reacting to change; it’s about anticipating it. McDonald’s leadership clearly understands that a proactive and innovative mindset is essential to navigating the complexities of a VUCA environment. They’ve demonstrated a willingness to ask hard questions and explore new paths forward—a hallmark of true DEI leadership.
N - Need
The principle of Need focuses on identifying and prioritizing areas with the greatest potential for impact. McDonald’s reflected on their accomplishments—such as achieving leadership diversity, supplier diversity, and gender pay equity—while recognizing the need to focus on what comes next. Their four guiding principles for inclusion articulate this prioritization clearly:
Thriving through community alignment.
Gaining competitive advantage through early and full adoption of inclusion.
Maximizing individual performance through belonging.
Acting as a responsible and responsive business.
By zeroing in on these areas, McDonald’s ensures their efforts are laser-focused on addressing the most pressing needs for their business and stakeholders. The decision to focus on these priorities reflects their ability to evolve their approach while maintaining an unwavering commitment to inclusion.
E - Execution
Execution is where all the pieces come together, and McDonald’s demonstrates an exemplary model of how to bring a refined strategy to life. They’ve outlined clear steps:
Maintaining accountability for fostering inclusive environments through leadership.
Continuing transparency through demographic reporting in their annual Purpose & Impact Report.
Aligning inclusion initiatives with tangible business performance metrics.
Execution also means making tough decisions, such as retiring outdated initiatives while ensuring new efforts are actionable and aligned with their principles. McDonald’s emphasis on operationalizing inclusion rather than treating it as a standalone goal speaks to their ability to execute a modern DEI strategy.
A Living Example of SPINE in Action
McDonald’s approach embodies the SPINE framework. They’ve strategically recalibrated, refined their practices, engaged in ideation to address emerging challenges, prioritized needs with the greatest impact, and executed with precision and transparency. Their commitment to inclusion remains steadfast, not as a checkbox exercise, but as a foundational element of their global business strategy.
This is what leading in a VUCA environment looks like: agility, adaptability, and alignment. McDonald’s has shown that even as goals are achieved and external pressures mount, an organization can remain rooted in its values while evolving its tactics. It’s a lesson for all leaders striving to ensure DEI efforts remain impactful, sustainable, and integral to organizational success.
Effenus Henderson
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