The article summarizes the arguments of the social debate regarding white delusion in the organization. This article delves into the phenomenon of white delusion, a term coined by the author, Stacey Morin, which signifies a lack of awareness and denial of systemic racial disparities in marginalized communities. The analysis focuses on Morin’s and Bishop’s conceptualization of white delusion in the organization and the subsequent development of the Unmasking White Delusion: DEI model. This model, grounded in the framework of critical race theory, explores the denial, evaluation, and implementation phases, which aim to address and eliminate white delusion within organizations. The research contributes to the ongoing dialogue surrounding diversity and inclusion and addresses a gap in knowledge. The systematization of literary sources and approaches to solving the problem indicates that the white delusion is harmful to the organization. The urgency of addressing this problem stems from the absence of an inclusive and diverse culture, leading to diminished productivity and innovation. Our research methodology followed a logical sequence, beginning with a systematic literature review that critically analyzed the issue of white delusion within the organizational context. The objective was to unravel its complexities and comprehend how it impedes progress toward a more inclusive and equitable culture. The literature was critically analyzed based on concepts aligned with each phase of the Unmasking White Delusion: DEI model within the overarching framework of critical race theory. We contend that adopting the Unmasking White Delusion DEI model will play a pivotal role in mitigating the adverse effects of white delusion within the organization. The results from our thorough analysis of the literature review spurred the development of the Unmasking White Delusion: DEI model. This model serves as a visual guide and strategic tool for organizations seeking to eradicate white delusion and cultivate a culture of psychological safety for minority employees. By applying this model and integrating the Critical Race Theory framework, organizations can effectively confront white delusion through a comprehensive three-phase approach—denial, evaluation, and implementation. This entails organizations recognizing, assessing, and translating insights into actionable strategies, fostering a more inclusive and equitable workplace. The main conclusions of the research highlight the multifaceted process of eliminating white delusion in the organization.