Why do scaleups shed diversity?

Over time I have noticed that as startups scale up, the teams become less diverse. Why is this, and can it be prevented?

Higher education has a problem with diversity and particularly in attracting applicants from Black, Asian and other minority communities. This is well documented.

But in my experience of internal (corporate) startups over 20 plus years, I have noticed that it is often easier to attract more diverse talent to new initiatives and experimental projects than to business-as-usual teams.

Also in my experience, this diverse talent are among the first to leave startups as they scale and mature.

And we often lose neurodiverse colleagues as we scale.

Why should this be? Is my experience typical of a broader pattern (as some colleagues have suggested), and if so, what might we do to prevent this happening?

Are scaleups by nature less inclusive or less supportive than startups? Is it the change in intensity of (or interest/challenge in) the work, the greater formality of management and organising, the size of teams, or something else?

What can we do to prevent our startups shedding diversity as they scale and mature?

I am keen to hear others’ experience and insights on this.

Thanks.

(Photo: steve: they can’t all be zingers!!! (primus) on Flickr)