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Volume 4, Number 2 • March/April 2002

IBM Corporation An Interview with Ted Childs, Part II

JPMorgan Chase

The Diversity Education Center of Excellence: Bringing the Learning Together

SBC Communications

Stairway To Success Experienced and diverse leadership backs Abbott Laboratories’ CEO Miles White thanks to an aggressive “pipeline” program of education and support

The Evolution of a Successful Diversity Program

National Security Agency Think Ability

Ford Motor Company Keeping the Momentum

Plus ideas from top thought leaders ... Dr. Jeffrey Howard, Dr. R. Roosevelt Thomas, Terrence Simmons, Dr. Ed Hubbard, Karen Stinson, and Dr. George F. Simons.

WW W.F O R D .C O M

INGREDIENTS:

BETTER IDEA #29

D iver s i ty GLOBAL

The nice thing about our world is that there’s

room for everyone. ford

There’s something truly special about people who work tirelessly to make the world a kinder place. For this reason, we would like to offer both our thanks and appreciation to those who do so much to promote understanding. We’re proud to support you and your efforts to promote diversity. Marisela Reyes, Arvin Ramachandran, Marsialle Arbuckle, Lewis Thompson and Ellen Enloe are all actively involved in Diversity and Worklife initiatives. Making this a group that understands the importance of understanding.

www.ford.com

contents

Volume 4, Number 2 • March/April 2002

Raising The Bar

Corporate and Non-profit Perspectives

Stairway To Success Building a Diverse Leadership Pipeline at Abbott Laboratories

Think Ability

Opportunity On The Line

Winning the Battle of Retention

20 24 34 38

The National Security Agency’s Center for Computer Assistive Technology SBC Communications’ potential for professional growth is the constant behind their diversity initiative

Special Feature 9

Ideas from Diversity’s Thought Leaders

RSM McGladrey’s People Philosophy serves as the foundation for all of its people initiatives The Diversity Education Center of Excellence at JPMorgan Chase

A Promise Held Dear An Interview with IBM’s Ted Childs: Part II

Keeping the Momentum The work that keeps you in drive is at the local level Ford Motor Company

Avoiding Diversity Crises: a Business Imperative

A new UK government diversity training programme from the Centre for Management and Policy Studies

Measuring Diversity Results

Natural Resources

In the Long Run, Inclusion is the Answer

Asanti’s Dilemma

How Much Progress?

A Diversity Metrics Primer with Hubbard & Hubbard Statistics to show the correlation of diversity to profitability from Diversity Best Practices Dr. Jeff Howard on the terms diversity vs. inclusion Second in a series of hypothetical situations offering management solutions from Karen Stinson of ProGroup Corporations must move forward as pioneers to eliminate racial discrimination in the corporate world Dr. R. Roosevelt Thomas, Jr.

Ten Red Flags in a Diversity Initiative They fly in many corporations considered “best in class” for diversity. How to recognize and avoid them, with Simmons Associates, Inc.

Reflections

An Evolving Curriculum 28

Bringing the Learning Together

dQ: The Emotionally Intelligent Approach to Diversity

Just how does this diversity strategy add value to our business? Peter L. Bye

The Changing Landscape

Proactive measures help corporate America retain and expand “new markets” Holland & Knight LLP

The Business Aligned Strategy

Defining Moments

Advertising for European Diversity When it comes to crossing cultures, the advertising industry has got to get it right Dr. George F. Simons

Dartmouth College’s ambitious 3-year plan

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Profiles in Diversity Journal

• March/April 2002

page 3

Whatâ&#x20AC;&#x2122; s possible when 70,000 people with diverse cultural, national, and family backgrounds, skills and life experiences work together toward one common vision?

Anything. Sharon Larkin, mother of two active boys and Divisional Vice President of Human Resources.

Abbott Laboratories. www.abbott.com

Diversity Journal Profiles in

Sharing Workforce Diversity Experiences

PUBLISHER / MANAGING EDITOR James R. Rector

pointofview From the editorial staff of Profiles in Diversity Journal

SENIOR EDITOR Katherine Sandlin

Dig Deeper!

EDITORIAL CONSULTANT Laurie Fumic Coca-Cola’s Doug Daft PRINTING Master Printing

May/June 2002

OVERSEAS CORRESPONDENTS Dr. Myrtha Casanova, President European Institute for Managing Diversity, Barcelona Spain Graham Shaw, Director Centre for Business and Diversity London UK

Dig deeper—that’s been the rallying cry of contributors whose work you’ll see in this issue of Profiles in Diversity Journal. And as you read through this incredible edition, you’ll see that they did just that—from Abbott Laboratories’ account of building formal career paths so that more can succeed, to the story from the National Security Agency on their groundbreaking use of technology to enable their employees with disabilities—you’ll find the kind of detailed information, candid accounts, and resource building that you need to get your corporate Bill Harrison JPMorgan Chase diversity initiative into high gear. July/August

LETTERS TO THE EDITOR Commentaries or questions should be addressed to: Profiles in Diversity Journal P.O. Box 45605 Cleveland, Ohio 44145-0605 All correspondence should include author’s full name, address, e-mail Shell Oil’s Steve Miller and phone number. September/October 2002 DISPLAY ADVERTISING 28263 Center Ridge Road Suite E-11 Cleveland, Ohio 44145 Tel: 440.892.0444 FAX: 440.892.0737 e-mail: profiles@diversityjournal.com SUBSCRIPTIONS U.S. $49.95 one year; $89.95 two years; in Canada, add $10 per year for postage. Other foreign orders add $15.00 per year. U.S. funds only. Subscriptions can be ordered on our web site: http://www.diversityjournal.com or call customer service at 800.573.2867 from 8:00 a.m. to 5:00 p.m. EST.

November/December “Women At The Top” including Anne Mulcahy, Xerox Corporation; Barbara J. Krumsiek of Calvert Group; and Marilyn Carlson Nelson, Carlson Companies

Profiles in Diversity Journal® is published bi-monthly by Rector, Inc., Principal Office: P.O. Box 45605, Cleveland, Ohio 44145-0605. Jim Rector, Publisher, Rector, Inc. All Rights Reserved. The views expressed in this publication are those of the authors and may or may not represent the views of the publisher. Reproduction in whole or in part without written permission is prohibited. Registered in U.S. Patent Office.

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As our 2002 editions begin to take shape, we can’t help but get excited about the information we’ll be able to share with you. For example: • Our May/June issue will feature an in-depth interview with Doug Daft, Chairman of the Board and Chief Executive Officer of The Coca-Cola Company, as they kick-off their Diversity Leadership Academy. • JPMorgan Chase and their Chairman/CEO Bill Harrison will be the focus of our July/August cover story. For background in the consolidation of diversity activities there, don’t miss “Bringing the Learning Together” in this issue. • Shell Oil’s CEO Steve Miller brings us into the fall season as we discuss the challenges of managing diversity for this industry giant. • We’ll wrap up the year with an issue devoted to the women at the top— stories from some of the world’s top female CEOs, including Anne Mulcahy, Xerox Corporation Chairman and CEO; Marilyn Carlson Nelson, Chairman and CEO of Carlson Companies, Inc.; and Barbara J. Krumsiek, President and CEO of Calvert Group, Ltd. • And to kick off the new year, we’ll feature one of the foremost authorities on diversity today, Harvard Professor Dr. David A. Thomas, in our January/February 2003 issue and, in March/April 2003, Chairman and CEO of the DaimlerChrysler Group Dr. Dieter Zetsche. Obviously, this is not the year to let your subscription lapse! Nor is it the year to let this opportunity to communicate your efforts go to waste. We invite you to “dig deeper,” too—make 2002 the year you join the world’s leading companies in sharing your corporate diversity experiences through Profiles in Diversity Journal.

Dr. David A. Thomas January/February 2003

Dr. Dieter Zetsche March/April 2003

Profiles in Diversity Journal

Jim Rector Publisher • March/April 2002

Kathie Sandlin Senior Editor page 5

Raising The Bar

Abbott Laboratories

or Abbott, as with all companies that develop health care products, it is well known that business success depends largely on a company's ability to have a variety of products in the research and development pipeline at all levels â&#x20AC;&#x201D;from medicines in pre-clinical trials that are five-to-ten years from going to market, to those soon to become marketed products with bottom-line impact.

Abbott views people development in much the same fashion, with a keen focus on building its talent pipeline with a variety of skills, backgrounds and competencies at all levels. With $13.75 billion in sales, this 113-year-old health care company has a rich product portfolio tha t spans the globe, as well as the health care continuum, with leadership positions in the diagnostics, nutritional, medical device and pharmaceutical markets. As a global enterprise, Abbott places a high priority on having an employee population that mirrors the customers and markets it serves. It is a focused effort: today, minorities make up 30 percent of the company's U.S. workforce; within the past four years, the company has increased the number of minorities in management by 85 percent. Abbott has also substantially increased the number of women in management, increasing the number of female managers in the United States by 90 percent

FOR INFORMATION, CONTACT:

since 1996 and the number of female department/division heads in the United States by 94 percent in the same time period. Today, Abbott is one of a small percentage of Fortune 500 companies with two or more women on its board of directors. In fact, at Abbott, women make up more than 18 percent of the companyâ&#x20AC;&#x2122;s corporate officers, as compared to the national average of 12.5 percent. Just how does Abbott go about developing such a richly diverse management consortium?

Developing Diverse Talent: The Talent Pipeline Abbott focuses its efforts on building its talent pipeline long before people reach the organization's management ranks. In fact, the company's

recruiting efforts start before students graduate from college, or, in some cases, even high school. For example, Abbott has a number of innovative community programs designed to encourage local high school students to pursue careers in science. In addition, the company's awardwinning internship program, which hosts more than 250 college students each summer, has strong representation among women (52 percent) and minorities (43 percent) of interns this year. Abbott's professional development programs (PDPs) also provide an important source of talent. Through these programs, the company offers defined career opportunities in a variety of disciplines including engineering, finance, manufacturing, quality assurance, pharmaceutical sales

stairway to

success

Building a Diverse Leadership Pipeline at Abbott Laboratories

Sharon Larkin Divisional Vice President, Human Resources Ann Fahey-Widman Manager, Public Affairs Abbott Laboratories Dept 383, Building AP6D 100 Abbott Park Road Abbott Park, IL 60064-6048 Tel: 847.938.6388

sharon.larkin@abbott.com ann.fahey@abbott.com page 6

Profiles in Diversity Journal

â&#x20AC;˘ March/April 2002

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stairway to success raising the Bar and information technology. Many of the company's top leaders are graduates of Abbott's development programs. One development program alumnus, Lamarr Lark, was recently promoted to lead the human resources organization in the company's pharmaceutical products division. “I honestly believe that I would not have achieved the level of success that I have today if I had not started in the development prog ram,” said Lark. “Abbott's development programs really help to shape careers and get our employees started on the right track.” In addition to the company's development programs, mentoring—both formal and informal— plays a critical role in developing the company's leadership ranks. According to Lark, who has had three mentors during his more than 10-year Abbott career, “Mentors have been extremely importa nt in my career. I could not have gotten this far without their guidance, recommendations and career mapping.”

opening Minds/opening Doors Two innovative executive development programs —the Abbott Leadership Development Program and the Abbott Management Challenge— demonstrate the personal and professional growth that one can achieve when the mind is open to ideas from all avenues. For example, executives might participate in a community service project with the homeless, ex-convicts, or developmentally challenged adults or children. One-on-one, community-based projects like these have become an integral part of the leadership pipeline, teaching much needed empathy and listening skills, and strengthening the ability to work with groups different from themselves.

From the cover: At the top of Abbott’s staircase (front, left to right) Sandra E. Burke, Ph.D., Volwiler Associate Research Fellow; Thomas Chen, Vice President, Pacific Asia and Africa Operations; Sharon Larkin, Divisional Vice President, Human Resource Programs and Business Integration; James Walton, Divisional Vice President, U.S. Sales, Abbott Diagnostic Division; (back row) Heather Mason, Vice President, Pharmaceutical Specialty Operations; Miles D. White, Chairman and Chief Executive Officer; Mary T. Szela, Vice President, Primary Care Pharmaceutical Operations. each other and take ourselves to a new level—bringing innovative, powerful results.” Mason, Abbott's vice president of pharmaceutical products, specialty operations, comes from a varied background herself. An MBA with an engineering undergraduate degree, Mason joined Abbott 11 years ago in the company's pharmaceutical sales operation. In a decade, she has worked her way up and around the corporation to her current position as a corporate vice president and one of the company's eight female corporate officers. In addition to managing a successful career, Mason is the mother of two boys, Dominick, 9, and Ryan, 5.

A school volunteer and soccer coach, Mason, who answered her own phone for this interview because, “I let my assistant go home early to do some Christmas shopping,” feels that supporting her team and their individual needs is one of the most important parts of her job. In fact, she mentors a number of Abbott employees, as well as people at other organizations, through her volunteer position with Mentium, a national According to the program's director, Elai ne Gern, mentoring organization. Abbott's director of executive career management, “These are leadership skills that we need to “The people who work for me are one of my top priorities,” she said. “I strongly run a business and to be better employees and colleagues. These interactions teach Abbott lead- believe that it's my responsibility, and that of every leader in this or ganization ers to be more open to different types of people or any other, to find talent and put them that come from very different backgrounds and in positions that allow them to move to create an environment where everyone can their way up the ladder.” learn from each other.” “Having a diverse team is critical to our s uccess,” says Heather Mason, a graduate of Abbott's executive development program. “When you can access different points of view, the whole is far greater than the sum of its parts. We all challenge www.diversityjournal.com

abbott leaders spiral up and around the staircase Metaphorically speaking, the career path at Abbott is not the typical “corporate ladder,” with one, straight path to the Profiles in Diversity Journal

top. Like Mason, many Abbott leaders have had a variety of assignments with the company, winding their way up more of a spiral staircase toward the top of the organization. It is not uncommon for Abbott employees to stop off at a landing, move laterally, and then wind their way up another route. In fact, the company encourages crossfunctional, cross-divisional moves, many of which are lateral or deve lopmental moves. Abbott believes strongly that encouraging diverse experiences results in the product and people innovations that set the company apart. Mason, for example, has taken four lateral job changes during her tenure with the company, gaining valuable experience each step of the way. “Sometimes you have to move sideways to move up,” continued Mason. “That's a reality at Abbott and in the indust ry as a whole.” The difference is that Abbott supports, and even encourages, these types of moves, knowing that with movement comes different

Vice President Heather Mason, shown here with her most important “projects,” sons Dominick and Ryan, is one of eight female corporate officers at Abbott. “I strongly believe that it's my responsibility to find talent and put them in positions that allow them to move their way up the ladder.”

• March/April 2002

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raising the Bar

stairway to success

experiences and new viewpoints. In 2000, close to 3,000 Abbott employees made developmental moves throughout the corporation.

Diversity and the succession planning process For Thomas Chen, vice president of Abbott's operations in Pacific Africa and Asia, reflecting the various nationalities and cultures of Abbott's customers and patients is fundamental. Overseeing a team of more than 6,000 employees in more than 30 countries on three continents, Chen says, “With more than 40 percent of our business derived from outside of the United States, it is absolutely critical for Abbott to be a truly global company with management talent from all over the world.” Abbott's succession planning process has a keen focus on accomplishing just that— building a global management team with diverse tale nt from around the world. Currently, close to 40 percent of candidates identified for top positions in the company are women and close to 30 percent of potential candidates for top jobs are minorities. As part of this process, the company's senior management pays close attention to diversity of experience, making sure that leaders have the cross-functional, cross-divisional experience they need to move Abbott forward. “Diverse experiences are critical at Abbott,” said Sharon Larkin, Abbott's divisional vice president in charge of the company's workforce diversity and work/life integration programs. “As a global company, our leaders are responsible for managing different people and a variety of products and business strategies to deliver innovative results.”

In addition to succession planning, Abbott holds hiring managers accountable for ensuring that the company's leadership reflects the audiences it serves. Twenty percent of managers' goals are directly impacted by their ability to hire and promote women and minorities and manage diverse teams. “For Abbott, building an inclusive environment is not simply an HR initiative. Being inclusive is an integral part of the way we do business every day,” said Lark in. “Just like we focus on improving and measuring our performance in finance, marketing and other areas of our business, we focus on improving and measuring our performance in building a truly inclusive environment.”

Commitment from the top For Abbott, there is one overarching principle that is more important than any of these individual programs or goals in building the company's diverse talent pipeline—a commitment from the top.

In addition to his role as CEO, Miles White is the company's chief diversity champion. He chairs the company's Executive Inclusion Council, sets diversity and inclusion goals and expectations, and most importantly, believes that building an inclusive environment is simply the right thing to do. For White, this philosophy was a top priority long before he filled the company's top post. More than 15 years ago, White hired the first female into the company's national accounts sales organization. He later promoted the company's first African American research and development vice president. As CEO, he built a $10 million on-site child care center, raised the bar on the company's commitment to workplace flexibility and launched the Abbott Women's Leadership Initiative, a mentoring and networking organization for the company's female managers. “Our company's success largely depends upon the wide variety of viewpoints and experiences we share,” said White. “By providing an environment where every individual contributes, it is our goal to bring seventy thousand diverse backgrounds together as one Abbott.”

uP anD arounD tHe stairCase: abbott leaders follow a well-laid path to success page 8

Abbott’s awardwinning internship program, which hosts more than 250 college students each summer, has strong representation among women and minorities. At left, President and CEO Miles White with some of Abbott’s intern alumni. At right, one development program alumnus, Lamarr Lark, was recently promoted to lead the human resources organization in the pharmaceutical division. “I honestly believe that I would not have achieved this level of success had I not started in the development program.”

At Abbott, it also seems that 70,000 diverse backgrounds have ample opportunity to find their own stairway to success. PDJ Profiles in Diversity Journal

• March/April 2002

www.diversityjournal.com

special Feature

the businessaligned strategy

Just how does this diversity strategy add value to our business?

et’s imagine that you are the Director of Diversity at XYZ Corporation, and you have just finished briefing the CEO on your proposed diversity plan. You know that the CEO is keenly focused on creating shareowner value as well as positive quarterly results. You also know that XYZ has a culture that values innovation and team effectiveness.

The CEO reflects for a moment and then responds: “Sounds interesting; let me tell you what’s running through my mind. How does this add value to our business? We’re really going all out to meet the 2002 sales and expense targets; can we afford the time for this? Also, this sounds like a long-term project. If we proceed, how would we communicate to leaders and employees? How would we measure our progress and know when we’re done?” What would you say? While you cer tainly should have answers to these questions, it’s even better to develop your plan in a way that builds in the answers right up front. This article introduces a six-step process you might use. We’ll also consider some of the obstacles that you might confront (and suggest some ways around them!). While the wording assumes that the strategy is for an entire forprofit company, the process is easily adap ted to one part of a company or a not-for-profit by www.diversityjournal.com

By Peter L. Bye thinking about how business is done in your organization.

step 1. Form a diverse team and establishing it as a diversity council. Diversity is a culture change that must be tightly linked to business need and that takes sustained commitment within the company. Your human capital management processes (e.g., performance management and succession planning) need to encourage this. So, you need team members who can drive this type of change. For your first step, you need to select people, form a team, and focus the team on the company’s diversity strategy. Who should participate on the team? Typical functions to consider include: the CEO or President; Senior Leadership Team (CEO direct reports or Business Unit leaders); Vice Presidents/Senior Leadership of Human Resources, Public Relations, and/or Employee Communications; selected employees; and the Chief Labor Attorney. While the team must be representative and diverse in many respects, it’s best to limit membership to about fifteen people so that you can move forward expeditiously. No, you don’t need everyone listed above. However, here are some Profiles in Diversity Journal

• March/April 2002

ways to keep the team manageable while still being inclusive: • Include the CEO and one or two senior leaders. Keep the rest of the senior leadership team apprised of your progress and give them periodic opportunities to provide input. • Identify core team members and a close set of “allies” who provide input through a core team member. • Consult with your labor attorney periodically rather than having her /him on the core team. For employee members, there are several options. If a significant part of your workforce is unionized, it is important to involve union leadership. If you already have employee affinity networks, the group leaders are excellent candidates for team membership. Ask human resources and line managers to identify key employees who are respected amongst their peers. It’s very important to consider how the people you select will come together as an effective team. The people on the team need to develop strong relationships so that the conversations can “go deep” while remaining respectful and productive. Consider a team formation meeting with the following agenda: • A diversity-related icebreaker to get people talking with and starting to know each other. • A strong personal charter by your CEO or page 9

special Feature

the Business aligned strategy

President about the business and competitive advantages of diversity and the importance she/he attaches to this work. (Best done when the CEO or President is on the team or commits to meet regularly with the team.) • Develop agreement on how the team will work together (e.g., be on time, fulfill commitments, be open, address issues sincerely, don’t hurt others, respect and consider everyone’s opinions, focus on the good of the company). • Check if there are any key areas or functions that are not represented on the team. • Brief the team about diversity and its linkage to business results. You might do this using your business case research. Or you might bring in an outside speaker—someone from another company or a consultant. • Agree on a work plan and a tentative schedule. If your company is just starting on diversity, it may be important to build awareness within your team. The diversity briefing might become a full day session. At this point, you will have formed a team, focused it on diversity in a way that aligns with business need, and agreed upon a work plan.

step 2. assess Current Work environment The action plans to come will be based on your overall strategy, the current situation in your work environment, and your desired operating state. In Step Two, the team develops an understanding of the current work environment in the company. Take the time to make an honest inventory for an inclusive work environment: • What is working well? Where is there room for improvement? • Does the representation of people of color and women in our workforce compare favorably to the U.S. Civilian Labor Force or some other suitable benchmark? What about in our executive workforce and particularly in the key operating positions? • Do people of color and women leave our workforce in proportion or out of proportion (high or low) to representation? • Does everyone have equal access to developmental opportunities and assignments? • Does everyone see an equally supportive work environment regardless of background? • Are there workplace tensions that limit page 10

peoples’ ability to work well together? • Do people have the awareness and skills they need to work well in diverse teams? • In teams, are everyone’s ideas fully heard and considered? • Do we emphasize doing bu siness with minority, women, and veteran owned businesses? Is it easy for them to register and do business with us? • Do external organizations regard us well? (Social change or community groups, regulatory bodies, media, peer companies/organizations.) • Do we effectively design, market, and sell our products for different market segments?

Feel good about changing your objectives. It’s a sign that you’re making progress and that you’re staying in tune with business needs. Where does the team get this type of information? More than you suspect may be waiting for a chance to be helpful (i.e., gathering dust on shelves). To the greatest extent possible, I encourage you to use existing sources. Some information will be very sensitive; this may have only limited availability. For example, you will want to consider information gathered from employee opinion surveys, information from exit interviews, assessments or reports from local diversity councils, customer and supplier satisfaction surveys, workplace complaints and requests, and the like. You may be told that some of this information, especially workplace complaints, has no merit and is not worth consideration; however, these pieces do represent peoples’ perception of the work environment. Regardless of merit, they may represent the opportunity to make the work environment more supportive, help reduce the future number of complaints, or help “zero in” on the real source of the dissatisfaction. Despite the list above, sometimes there simply Profiles in Diversity Journal

• Summer 2001

is not enough information already available for the assessment. Before you come to this conclusion, ask yourself if you’re getting “analysis paralysis.” Avoid the tendency to over-collect data in order to generate the “perfect” plan. Collect enough for a reasoned assessment, and move on. With these caveats, here are some ways the team can collect new information for its assessment: • Focus groups. Conside r running focus groups (approximately 10 employees each) in different parts of the company. Develop a consistent set of open-ended questions so that you can look at responses across the groups. (The list at the beginning of this section is one starting point.) • Interviews. The interview explores more deeply than a focus group. Since they require more effort and typically are done individually, you may re ach relatively few people. Interviews can be used to gain a better understanding of recurring issues raised in focus groups. Now the team has a pile of data. Look for recurring themes. Rank order them with a combination of “magnitude of issue,” “importance to business results,” and “ease of change.” Issues that score highly in all three dimensions are clear candidates for immediate focus.

step 3. Determine stakeholders Most important to your Company To be effective, the diversity strategy must be tightly linked to business purpose and help achieve business results. In this step, the team develops a list of the people or functions most important to your company’s business success. You will probably create a long list that will need scaling back—I suggest aiming for about three or four key sets of stakeholders. Possibilities include: Employees External • Individual • Shareowners contributors • Union leaders • Middle managers • Suppliers • Team leaders • Community • Employee union organizations leaders • Prominent • Affinity group community leaders leaders • Regulatory • Senior leaders authorities • CEO/President • Legislative or and COO executive branch of federal, state and local governments www.diversityjournal.com

the Business aligned strategy Develop your “short list,” keeping Steps Four and Five in mind. Pick the critical few stakeholders whose perspectives about how the company is doing are most important to your business success.

• How companies measure their progress.

step 4. Develop a Picture of What success looks like

step 6. Monitor Progress, Communicate, and adjust as needed

What would it look like at your company if your key stakeholders felt that you were leveraging diversity successfully? Start with your primary business drivers. For a corporation, these may be revenue, expense, and company/brand reputation. Your goal is to improve these business drivers and better position your company as an employer of choice and as a company that values diversity. The inclusive work environment questions in Step Two are a starting point to develop this picture. Of whom do you ask these questions? Practicality is a factor here. You certain ly can go to internal key stakeholders. Assuming that you have external people or organizations on your list, can you go directly to them? If so, that is the best approach. If not, use other sources close to them. For example: Instead of getting input directly from customers, you might go to your consumer marketing team, customer satisfaction surveys, or industrywide rankings. Other possible sources include the media “best” surveys (e.g. 50 Best Companies for _______) and benchmarking studies.

step 5. establish long-term Goals and initial objectives You now have a good sense of what you need to achieve. How do you get there? This is the time for benchmarking to obtain the following types of information: • The business impact of working on diversity • How other executives focus their time and energy on a diversity initiative • Best practices and practices to avoid • How other companies have addressed the processes important to you (i.e., recruiting, performance management, mentoring, career development, compensation, etc.) • Timelines other companies have followed • Sources of effective training, development, and consulting expertise • How other companies have communicated to their employees about diversity www.diversityjournal.com

Form a diverse team and establish as a diversity council Assess current work environment

special Feature

the six step Process to Define and Manage a Diversity strategy

Determine stakeholders most important to your business Develop a picture of “what success looks like”

Develop a scorecard for your annual objectives and show your progress towards them. Fit this on one page, and back it up with charts and other supporting information. Monitor some goals quarterly (e.g., profile representation, recruiting, supplier diversity results) and others annually, based on how often you think you’ll see meaningful change and the speed with which you want to adjust tactics if you’re not achieving the needed results. Keep everyone aware of the strategy, progress, and results. Frame all your communications in the perspective of identifying the need, the overall plan, and the specific topic or results under discussion. I call this “communicating in the context.” There is tremendous value in continually reminding everyone of the big picture and your continuing focus on diversity. Assume that you must communicate at least every six months, and preferably more frequently, about your diversity initiative to keep it fresh in the minds of your audience. Your communications plan needs to engage everyone. Your best communication tools: sample annual objectives, briefings with local diversity councils, tools to enhance team effectiveness, recruiting aids and the like. Always consider the sensitivity of the information you are about to communicate: some aspects of profile representation data, staffing decisions, and corporate policies and positions may be too sensitive to communicate widely. Confer

Establish long-term goals and initial objectives Monitor progress, communicate, and adjust as needed

with your labor attorney and your HR policy and public relations strategists when in doubt. You will need to adapt the plan because (a) you will make progress, (b) the needs of your business will change, and (c) the expectations of your primary internal and external stakeholders will evolve. I suggest that you re-examine Steps Four and Five annually. Hopefully, you will find that your long-term goals remain fairly stable. Feel good about changing your objectives. It’s a sign that you’re making progress and that you’re staying in tune with business needs. PDJ

recommended resources: Resources to further your diversity efforts are abounding, but you have to know where to look. Mr. Bye recommends starting with: Catalyst: www.catalystwomen.org Diversityinc.com: www.diversityinc.com Profiles in Diversity Journal: www.diversityjournal.com society for Human resources Management: www.shrm.org/diversity u.s. Census Bureau: www.census.gov For a listing of available printed research materials that can help keep your diversity initiatives on course, please contact the author at 973.533.0841.

Peter Bye is the President of MDB Group Inc., a consulting firm that specializes in leveraging diversity to achieve business results. The firm consults on diversity strategies, leader engagement, executive coaching, brand positioning, team effectiveness, and affinity groups. Previously, Pete was the Corporate Diversity Director at AT&T. He welcomes contact by people wanting to explore these issues in greater depth, and can be reached at MDBGroup@att.net. Profiles in Diversity Journal

• March/April 2002

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raising the Bar

National Security Agency

think ability “As a critical part of the NSA/CSS workforce, our talented employees with disabilities help us to maintain our advantage over an ever growing and extremely diverse target set. Through our Center for Computer Assistive Technology (CCAT), we are able to maximize the potential of our employees with disabilities as they contribute to the Agency’s mission of protecting national security.” lieutenant General Michael v. Hayden Director, National Security Agency/Chief, Central Security Service

here are over 60 million people with disabilities in the United States, representing virtually every skill field. In order to attract, train, retain and enable this largely untapped talent pool, the National Security Agency (NSA) maintains an enabling technology center called the Center for Computer Assistive Technology (CCAT). In the early 1990s there was a strong desire to create an enabling technology center to serve employees with disabilities in the NSA. Some of the factors contributing to this desire included the passage of the Americans with Disabilities Act, rapid advances in assitive technologies, failure to meet desired hiring goals, and an increased need to help employees who develop disabilities maintain their level of predisability productivity.

Michael o’Hara Director of the Office of Diversity Management National Security Agency 9800 Savage Road, Suite 6779 Ft. George G. Meade, MD 20755-6779 contact Lisaanne Davis NSA Public Affairs Tel: 301.688.6524

ldavis@nsa.gov page 12

While the desire was strong, we were starting with no more than a concept. Making progress seemed more like a dream than a possibility. There was a prevailing “NO” everywhere we turned—no: • Pre-existing business imperative • Space • Corporate commitment • People • Sponsorship • Money • Leader/Champion Considering the environment at the time, it seemed like the best place to locate such a center would be under the sponsorship of the Office of Equal Employment Opportunity

Profiles in Diversity Journal

• March/April 2002

(OEEO), as part of the Disability Employment Program. The Director of the OEEO agreed to be the corporate sponsor, expanding the role of the current Disability Employment Program Manager to include the role of Chief of the Center for Computer Assistive Technology. To begin, the new chief assembled a small group of 2-3 people to do the research necessary to develop a business case. Included in the business case would be the set of products and services for the center, as well as the resources (human, fiscal, infrastructure) necessary to acquire and provide them. The business case was developed and approved; however all resources would have to come from existing programs. An initial investment of approximately $60,000 was set aside from other programs to get started. Diligence, devotion and exceptional talent enabled the early pioneers to attract additional people, equipment, money and space. It seems almost unimaginable that such a meager beginning would lead the NSA to having the worldclass enabling center we have today. Much is owed to the vision and hard work of those who began the journey. Today, the CCAT has a fulltime chief, three full-time assistive technology engineers, a business manager, two full-time sign language interpreters and some contracted engineering and research assistance. The mission of the center is incorporated in the NSA www.diversityjournal.com

think disability raising the Bar

Just a few short years ago, Agency information was predominantly provided in hard copy. Today, a paperless environment has allowed us to make tremendous progress in the area of accessibility for persons who are blind. To accommodate our blind individuals, we provide several peripherals to their basic computer system. For example, all blind employees use screen readers such as the Dec Talk to provide speech output of a screen’s contents. Another item used by most of those constituents is a special keyboard, which outputs the screen contents in Braille. For our low-vision customers, there are a variety of screen magnification products to include: software,closed circuit television, and hand-held and desk top magnifiers as well as large computer monitors (up to 36 inches). Deaf accommodations include telecommunication devices for the deaf (TDDs), which are provided to every deaf individual. These allow two persons to communicate directly, in real time, by writing out messages over the telephone lines. On the deaf technology island, we also have an Icommunicator system, which is stored on a laptop. The software translates the spoken word into sign language. In addition, we house a video teleconferencing system which allows either two deaf individuals to communicate via sign language, or, allows a sign language interpreter to provide services remotely. To accommodate our hard-of-hearing individuals, we currently provide a selection of assistive listening devices that amplify speech from televisions, microphones or briefings. In addition, we have amplifying devices to enhance the reception from telephones.

improvement of voice recognition software. This software enables a person to input (“type”) into his/her computer by speaking at a normal rate into a microphone, which results in those words appearing in real time on the screen. In order to maneuver through a windows operating system, pointing devices such as the HeadMouse are available. The

“Islands” of technology enable individuals with physical handicaps to perform duties comfortably and competently.

HeadMouse is a device that translates the movements of a user’s head into directly proportional movements of the computer mouse pointer. A new “system of the future” that is available for the most severe cases is the EyeGaze. This eye tracker uses a video camera that remotely observes a person’s eye to measure where he/she is looking. With the knowledge of what a person is looking at on the computer display, computer programs can analyze visual activity and interact with people in ways not possible with the traditional keyboard and mouse. Ergonomic issues are becoming significant in the entire working world. Repetitive strain is accounting for a major portion of Workers’ Compensation cases. Our Agency has allowed us to be extremely proactive in this area. We have placed several items in our stock system, which allows any employee beginning to experience discomfort to acquire one or more devices. This equipment repeatedly assists in keeping a permanent or disabling condition from developing. Items such as ergonomic keyboards, mice/trak balls, wrist rests, foot rests, chairs, and even ergonomic pens are available upon request.

Mobility impairment has been a difficult challenge in the past but there have been some recent developments which have allowed us to enable employees with severe mobility issues, such as quadriplegics, to continue productively working. Of major significance is the development and steady

Through effective communication and education, we can translate individual and organizational requirements into alternatives and solutions to minimize barriers faced by persons with disabilities. In addition to our products, the CCAT offers a variety of services to our employees: Needs Assessments, Captioning,

www.diversityjournal.com

Profiles in Diversity Journal

• March/April 2002

Photos courtesy of the National Security Agency

Strategic and Business Plan and its current chief has been in place for over five years. We have a full-blown laboratory that consists of individual technology islands for blindness and low vision, deafness and diminished hearing, mobility impairment, and repetitive strain injury.

Sign Language Interpreting, Tutoring, Learning Disability Testing, Counseling, CCAT Tours, Readers for the Blind, and Workforce Education. The products and services offered by the Center for Computer Assistive Technology are manifestations of the National Security Agency’s investment in our people—in this instance, those of us who are differently able. Differently and uniquely able to understand our adversaries, differently and uniquely able to gather, process and disseminate intelligence information, and differently and uniquely able to ensure the protection of vital national security information. When we stop thinking of people with disabilities as being unable, and we focus on their unique talents, knowledge, skills and abilities, we are able to create critical win-win situations for our business and our nation and win-lose situations for our nation over our adversaries. If your company or organization is stuck on the mindset that people with disabilities are unable to help you rise above the competition, regardless of the nature of your business, it’s time to ask yourself—who’s got the real “dis” ability? PDJ page 13

raising the Bar

SBC Communications Inc.

opportunity ontheline

Professional growth is the constant behind sBC’s ever-evolving diversity initiative.

know firsthand about opportunity at SBC.

Today, I am SBC’s executive director of workforce diversity and compliance at the company’s San Antonio headquarters. What many people don’t know is that I started at the company as a telephone operator in California. Yes, it’s surprising, but not out of the ordinary at SBC. Even our chairman and chief executive officer, Edward E. Whitacre, Jr., got his start with this company hanging wire in Texas.

When I started working for the company, I never would have guessed I’d someday be in this position. I’m always learning. My experience as an operator and in the many jobs that followed gave me insight into our customers, not to mention our workforce, thus better preparing me for my position today. Professional diversity strengthens the company. And diversity of opportunity helps make that happen.

eric Mitchell Executive Director Workforce Diversity & Compliance SBC Communications Inc. 175 E. Houston San Antonio, TX 78205 Tel: 210.351.3731 FAX: 210.228.1160

emp1975@corp.sbc.com page 14

As a company that connects millions of people across the country every day, SBC Communications Inc. long has tailored its philosophy of fostering diversity to meet the needs of the communities and customers we serve. This means having a workforce that mirrors our communities, and employees who know and understand their needs. SBC’s workforce of nearly 200,000 individuals is 50 percent women and 38 percent people of color, reflective of the communities we serve. From our chief decision-makers to our employees who interact with customers on a daily basis, SBC Profiles in Diversity Journal

• March/April 2002

ensures that diverse backgrounds permeate our business. People of color make up 11 percent of SBC’s senior management team, and 20 percent of corporate officers. Women make up 30 percent of SBC’s senior managers, and 26 percent of corporate officers. As it has evolved into a global data and communications leader, SBC has shared growth opportunities with its employees. I know about that firsthand. So do my colleagues, as evidenced in some of the stories I’ll share.

Maintaining a Dynamic environment Years ago, diversity referred to someone’s race or gender. Today, it’s about each part of an individual’s background that makes them unique, from their ethnicity to their religious beliefs to their sexual orientation. While its definition is ever changing, diversity is not about guesswork. And that’s why we’ve developed a targeted, strategic approach: to weave the thread of diversity in all that we do, from our employee programs to our philanthropic efforts to our business spending. To make diversity inherent in our th inking. To use the very things that make us different to bring us together. To equate diversity with inclusion. A company’s diversity efforts must rest on a dynamic, successful foundation. At SBC that foundation starts with a commitment at the top. Our chief executive officer firmly values diversity and communicates this value with the entire workforce.

www.diversityjournal.com

opportunity on the line raising the Bar opportunity: Pay it Forward. cialists who are available by phone or e-mail. Four years ago, Roland Rojas came to SBC as a student intern Through SBC’s Center for Learning, employees can access 2,600 courses in professional and and was offered a spot in the personal growth. SBC provides all employees Leadership Development with equal access to self-enrichment programs. Program. Now, Rojas is a With a concerted effort to open career opportechnical sales specialist at SBC tunities to our entire workforce, it’s no surprise with experience in marketing, that 78 percent of our management jobs are engineering and management filled internally. under his belt, and like many of the employees at SBC, works within his community to “pass the SBC targets high-pote ntial, diverse employees for career development and advancement. For opportunity on.” “Diversity isn’t something we take for granted at SBC,” Whitacre says. “Understanding the needs of the people we serve has helped us excel as an industry leader. That’s why our commitment to providing opportunities for our employees, customers and business partners is unwavering.” SBC has long used and enhanced a variety of programs to nurture a diverse workforce. But just as the definition of diversit y has evolved, so too have SBC’s programs evolved to foster and ensure our company’s holistic, inclusive approach. Our initiatives are organic, which allows us, as changes in the business occur, to adapt them as necessary to meet our needs, and the needs of our communities.

recruitment and retention It starts with the basics of our minority hiring practices. It gets back to inclusion, and showing each prospective employee that they are valued. At SBC, it means proactively working with diverse schools and professional associations to educate and recruit their members. And it sometimes means being a pioneer in offering our diverse employees the benefits they deserve—such as the domestic partner benefits SBC offers to all employees.

tion, OASIS – the Organization of Asian Indians of SBC.

accountability From day one, every SBC employee is educated about the company’s commitment to diversity through initial training and interacting with supervisors. SBC seeks to consistently provide a positive work environment for all employees, and ensures that our diversity philosophy is a part of this through diversity training and accountability mechanisms. SBC provides programs and opportunities to train employees at all levels in diversity management, and performance reviews for management personnel include accountability for diversity initiatives and support of the company’s programs. Managers’ diversity goals must be meaningful and measurable, and can address a wide range of activities , from external community projects to internal structure and supplier spending practices.

example, our Leadership Development Program (LDP) identifies high-potential college graduates and prepares them to be future SBC leaders. The program, started in 1988, has ensured a steady infusion of diverse new leaders, almost 50 percent female and more than 40 percent people of color. Participants in the LDP gain exposure to all a reas of the business through assignments that rotate to new areas each year. An example is Roland Rojas, who came to SBC as a student intern and was later offered a spot in the LDP program. Just four years later and now a technical sales specialist at SBC, Rojas already has marketing, engineering and management experience under his belt. “Working at SBC, I’ve seen the benefits of a varied workforce f irsthand,” says Rojas. “A diverse team leads to new and innovative ideas, which are crucial for success.”

Beyond Formalized Programs

training and Career Growth

Maintaining this diverse environment is crucial to retaining the emp loyees that were attracted to the company because of it. SBC encourages participation in many employeeinitiated organizations, such as HACEMOS (Hispanic Association of Communications Employees of SBC) and Community NETWork (the African American Telecommunications Professionals of SBC), who celebrate diversity, encourage professional development of their members and perform acts of community service. This year, SBC welcomed a new employee-initiated organiza-

To reflect the changing face of diversity, SBC has adapted its training accordingly. SBC has long included a diversity module in its standard “Manager’s Camp” basic managerial training. This year, amid a renewed focus on training, all directors will attend a new General Manager’s camp for advanced leadership training. Among other things, the camps will help us all recognize and understand how the meaning of diversity has changed—as the company itself has become more diverse.

At SBC, there are no limits for committed, talented employees. For example, SBC’s Accommodations Resource Team recently equipped an operator who has a degenerative sight condition with a tool to enlarge the print on his monitor. The employee since has been trained to expand his range of duties and was promoted to an administrative specialist position. In his new position, he regularly communicates with customers in need of service calls and accesses multiple databases using magnification and speaking software.

Opportunity is essential to an appealing work environment. That’s why we make sure that our career development programs and job opportunities support the diversity of our workforce. Our virtual SBC Career Cen ter helps employees evaluate their skills and create career development strategies with career spe-

Part of maintaining our talented and diverse workforce is extending these opportunities beyond SBC to the community. The company’s supplier diversity program has se t the standard for corporate America, presenting solid benchmarks and replicable best practices that other

www.diversityjournal.com

Profiles in Diversity Journal

• March/April 2002

continued page 45 page 15

raising the Bar

RSM McGladrey, Inc.

winning thebattleof retention

“Our People Philosophy serves as the foundation for all of our people initiatives, a solid base from which we’ve launched a broad-based approach to win our battle for retention.” Tom Rotherham, CEO

he accounting industry has historically shared a common challenge—how to retain accounting professionals. In RSM McGladrey’s case, the departure of women after four to six years directly impacted the degree of diversity in leadership positions throughout the national accounting, tax and consulting firm, based in Bloomington, Minnesota. To effectively reduce voluntary turnover, Kathy Kenny, senior vice president, Human Resources, who joined the firm in 1998, knew she had to take a broad-based approach that addressed all stages of an employee’s experience, from recruiting through his or her exit interview.

tammy Dehne Senior Director of Retention RSM McGladrey, Inc. 3600 West 80th St., Suite 500 Bloomington, MN 55431-1082 Tel: 952.835.9930 FAX: 952.921.7701

tammy_dehne@rsmi.com page 16

While Kenny admits there is still much work to be done, she was pleased to report at the firm’s 2001 annual meeting that employee turnover was down at all levels, and that the organization had accomplished its initial goal of reducing voluntary turnover of client-serving professionals to 20 percent, a significant reduction from previous years. In addition, the number of women at the executive vice president and senior vice president levels has increased.

Defining a People Philosophy One of the first steps Kenny took to address employee retention was to gain leadership agreement on a firmwide People Philosophy that laid the foundation for all of the organization’s human resources programs and initiatives. “The issues impacting retention are cultural,” Kenny explaines. “You can’t Profiles in Diversity Journal

• March/April 2002

combat retention with piecemeal programs. Our People Philosophy serves as the umbrella for all of our people initiatives, and when we introduce an initiative, we connect the dots for people by clearly communicating how the new initiative relates back to our People Philosophy. “We believe it is our leaders’ responsibility to ensure their actions support our People Philosophy,” said Kenny. To ensure this, the firm’s managing directors/partners participate in a 360-degree evaluation process that offers them feedback on their managerial effectiveness and, in essence, whether they are “walking the talk.” This feedback and involvement in people activities, such as recruiting and coaching, constitute a meaningful part of their annual evaluation, which is tied to their rewards.

retention starts During the recruiting Process For the past three years, RSM McGladrey’s Human Resources Department has managed a recruiting outreach program designed to begin the assimilation process prior to new hires joining the firm. Accounting candidates are often recruited and job offers made and accepted more than 12 months before the employee is scheduled to begin. For a young person, this can be a long, dry spell without some type of communication from his or her future employer. The outreach program, managed by Jane Katz in RSM McGladrey’s retention office, includes www.diversityjournal.com

Winning the Battle of retention raising the Bar “Simple, one-shot fixes won’t work. help identify areas where perhaps An all-encompassing effort is the only the firm or a local office could be way to truly impact retention and doing a better job of living the create long-lasting results.” People Philosophy.” Carole Thornton . Consulting services Director annual People survey learning solutions The exit survey is just one measurefrom a thorough orientation program, manment tool designed to evaluate the firm’s culaged by the Office of Retention and impleture. In addition, all employees participate in an mented by local human resources directors. As annual People Survey, which is also written to part of this program, new employees receive reflect the firm’s People Philosophy. The firm’s electronic Welcome Note messages twice overall People Score has trended upward since weekly for six weeks after 1998, signaling increasing employee satisfaction they join the firm. These with the firm’s overall organizational culture. “... When we introduce an initiative, we Welcome Notes reinforce connect the dots for people by clearly information employees Tammy Dehne, senior director in charge of communicating how the new initiative may have received retention, is especially pleased with employee relates back to our People Philosophy.” through orientation materesponses to two Employer of Choice stateKathy Kenny rials or other communicaments they were asked to rank: (1) Overall, Senior Vice President, Human Resources tion which cover a variety McGladrey is an excellent place to work; (2) I of topics, including health would recommend McGladrey to a close friend benefits, company acronyms, organizational as a good place to work. Based on the ranking “This is a very low-cost outreach program, structure, and other organizational issues. assessment of these two statements, the firm but we have had very positive feedback from “The last Welcome Note offers advice on scored a 3.95 out of a possible 5. it,” Katz pointed out. “Before this program, things new employees can do to help ensure a we had some offices that were doing very successful career with the firm,” said Katz, who Focus on Women— little to keep in touch with these future has stacks of emails from new employees Women’s advisory employees.” expressing their gratitude for information proGroup organized vided in the Welcome Notes. “The final note An important step in After employees join the firm, they benefit encourages them to accept “This is a very low-cost personal responsibility for rsM McGladrey People Philosophy taking their career to the next outreach program, but we have had very positive step.” Commitment: our promise to our people feedback from it.” • reward people commensurate with the value they contribute Jane Katz Katz also manages the firm’s • ensure that our actions support our People Philosophy Director, Retention Group process, tracking exit survey • embrace diversity why employees leave and retaining and developing women was to organ• encourage our people to lead fulfilling personal and sharing the results with local ize an advisory committee of men and women professional lives HR directors so they can in the firm who could provide input on new • integrate people into our organization monitor any ongoing issues. initiatives and generate ideas to address these • Provide timely, relevant, and useful information to our people For employees who leave issues. In a culture that is, at its heart, a partnerwithin the first two years, the ship model, inclusion of key people in decisions Competence: our commitment to excellence exit survey contains a drilllike this is essential, according to Dehne. The • attract, develop, and retain talented people down menu, which seeks to Advisory Group’s mission is to build awareness • Provide continuous learning opportunities identify why these relatively of retention and diversity issues and help • teach business skills new employees have chosen champion new initiatives that are introduced. • encourage entrepreneurship to leave. • Build effective teams

monthly communications to all new accounting hires while they complete their education. Sometimes the monthly messages include a gift, a copy of the firm’s employee magazine, or simply a card recognizing a holiday. Katz sends the messages to the local offices so they can be signed and mailed by a local human resources director and others who have had contact with a specific recruit. Last year this was an ongoing campaign to more than 150 recruits.

• Provide high quality technical and non-technical training Character: the center that sustains us • Believe that leaders develop from the “inside out” • Believe in personal responsibility • speak the truth and treat one another with respect • act with integrity and fairness • listen to understand • encourage community involvement www.diversityjournal.com

Women’s initiative introduced

“We really want to know if there’s anything we could have done to retain these new hires,” she said, explaining that the exit survey questions are built around the People Philosophy statements. “Our hope is that the questions will

Profiles in Diversity Journal

• March/April 2002

RSM McGladrey’s Women’s Initiative was developed to focus on specific strategies to improve retention and development of women client servers at all staff levels. “Our plans to improve retention really had to focus some attention on retaining women and developing them as leaders,” explained

continued page 44 page 17

the Changing landscape

Hubbard & Hubbard, Inc.

tim e eff ort inn ova ti dev elo p mar ket i

measuring results y t i s r e v di

FIRST IN A SERIES

Dr. ed Hubbard President & CEO Hubbard & Hubbard, Inc. 1302 Holm Road Petaluma, CA 94954-1164 Tel: 707-763-8380 FAX: 707-763-3640 edhub@aol.com

page 18

Author of such works as “Measuring Diversity Results” and “How to Calculate Diversity Return on Investment (DROI),” Dr. Ed Hubbard offers us all a selfteaching tool for discovering the power of diversity metrics through this exclusive series for Profiles in Diversity Journal. This is the ideal primer for those who want to understand diversity metrics and their value in assessing and guiding the use of diverse workforce resources for organizational performance and success.

iversity professionals are increasingly challenged to take a more strategic perspective regarding their role in producing results for the organization. It has been my experience that, as diversity professionals respond to these challenges, measuring diversity’s performance and its contribution to the organization’s results consistently emerges as a critical theme. This should really come as no surprise, since over the last 5-7 years there has been an ever-increasing appreciation for the value of the “softer, people side” or “intangible assets” of the organization’s business. New opportunities for diversity professionals, new demands for diversity’s accountability, and new perspectives on measuring diversity results and diversity’s return on investment have all converged. This series is intended to guide organizations using diversity metrics through the challenges of these converging trends. To kick-off the series, we will start with a basic framework for understanding a context to apply successful diversity measurement strategies, and end with a six step process called the “Diversity Management Contribution Model.”

Building a Financial Mindset using the Diversity Management Contribution Model Let’s suppose that you have a meeting with your senior leadership team next Friday and they have asked you to be prepared to talk about the organization’s diversity initiatives and key issues. You have attended these meetings before and presented the business case Profiles in Diversity Journal

• March/April 2002

for diversity; however, you have never really used financial approaches for making the case. As you review and prepare your meeting presentation strategy you review this model, which has five prerequisites and six steps.

Prerequisites • Review your organization’s definition of diversity and its values and vision statements. Make a poster-size copy of each to post on the wall of the meeting room. • Next, you must fully understand and have in your mind a model of how your organization does business. What are its products, services, and customer markets? That is, who supplies the organization with its raw goods, how are they processed, and how are they sold? You must know how the organization makes money and should be familiar with key operations issues, etc. In essence, if you want to connect diversity to the business, you must know how the business operates. Answer the question: “What key organizational issues keep your senior leadership team up at night?” “What problems can diversity help them solve?” • Ask the participants attending the meeting to bring their day-timers or calendars that reflect issues they or their staffs have had to handle in the last 3-4 weeks. • Review the steps of the Diversity TM Management Contribution Model • Bring a calculator. Once you have the prerequisites completed, you are ready to implement the Diversity www.diversityjournal.com

Measuring Diversity results the Changing landscape translating Diversity into Financial terms

Management Contribution ModelTM approach.

Getting started Start your presentation by explaining its purpose, and briefly review the organization’s vision, values, and diversity definition. Make certain you present some examples of the organization’s diversity and its application to performance as you review the statement (such as working styles, thinking styles, bilingual customer service or ethnic markets, etc.). Use the group’s diversity in some of the examples where possible. Next, ask the group to review their day-timers or calendars for the last 3-4 weeks and list the types of issues they or their staffs dealt with in meetings, with customers, or with the community, related to production, sales, marketing, personal or departmental conflicts, etc. Chart these on an easel pad and post them. Summarize the list by examining them for links to your organization’s diversity definition and/or the organization’s values statement. Next, ask the group, “What real or perceived barriers seem to get in the way of employees doing their absolute personal best work?” Give examples and relate these to the issues of diversity. Next, connect them to the stated vision and values of the organization. Include things such as issues of respectful treatment by managers and co-workers, having their ideas used, being included in succession and promotion plans, being given access to key information, trust, stereotyping, prejudice, discrimination, feeling valued, being seen as capable, etc. Chart the group’s responses. Finally, ask the group the following question which starts the Diversity Management Contribution Model process; “What percentage of an average 8 hour day is NOT SPENT on sales, marketing, production, etc. (in other words, mission critical work) due to real or perceived barriers in the workplace?” If necessary, refer back to the list on the wall or easel pad. Gather example percentages and list them on the chart as participants call them out. Once the frequency of responses dies down, take the lowest average percent or the number mentioned most frequently and complete the following six steps. (Note: Be prepared. In some groups, some attendees may say it doesn’t have any impact www.diversityjournal.com

Step

Calculation

Description 25% This calculation uses the estimate taken from the x 8 hours participants and multiplied by 8 hours. 2 hours per day per person

2 hours The result from step 1 is multiplied by the average wage x $12 per hour of all employees. A conservative figure is used. $24 per day per person

$24 x 5,000 people The result of step 2 is multiplied by the total number of $120,000 per day people in the organization (FTEs).

4 5

$120,000 The result of step 3 is multiplied by 260 days to x 260 days annualize the number. $31.2 Million per year The participant is asked to estimate, “On a scale of 0% $31.2 Million contribution to this $31.2 Million to 100% contribux 45% contribution tion, what amount of this number is attributable to $ 14.04 Million diversity related issues” (review chart). Next, the result of step 4 is multiplied by the percent selected. $14.04 Million Finally, the participant is asked, “To ensure an estimate x 85% confidence factor of error, on a scale of 0% confidence in this 45% $11.9 Million estimate to 100% confidence in this estimate, how confident are you of this estimate?” Next, the result of step 5 is multiplied by this estimated percentage.

(0 percent). If this happens, ask them to try to answer from the viewpoint of the first-level employees.) Insert the percentage into the calculation’s first step. For the sake of this example, I will use 25 percent as my figure, with an average wage of $12/hour, and a 5,000-person organization. To annualize the number, I will use 260 workdays in the year (2080 hours = 260 days, or a 40 hour work week with 2 weeks of vacation).

• This estimate did not include benefits, bonuses and other perks. • The estimate did not include people taking “mental health” days due to stress, or interviewing for another job on sick leave time.

What if you Get resistance?

Key Points to Make

If they would like a more accurate number than an estimate, ask them to let you survey employees and use focus groups to see what percentage they come up with. (In my experience, this has always resulted in a higher number than estimated by management.)

By the time you reach step six, you have the senior leadership team talking about diversity management in financial terms. Many of them will be surprised at the size of the dollar figure. You can mention the following things to help them get an even bigger picture: • We used the lowest percentage. Others may have been higher. • We used $12/hour. Some people make more than this amount. • We pay people for 8 hours worked, not 6 hours, therefore, this is real money sunk as a lost opportunity cost.

You might ask a question like “If you had this kind of financial loss in Marketing, Sales, Operations, etc., would this issue be important enough to get it on track and obtain the best possible return on investment?” “What if 50-60 percent of this loss could be put back into productivity, creativity, innovation, etc.?” Finally, if the group believes this amount is reasonable to lose and the cost will be incurred no matter what, you could always mention that since they see this as a write-off, put the dollars into your diversity budget for next year! PDJ

Profiles in Diversity Journal

• March/April 2002

page 19

raising the Bar

JPMorgan Chase

bringing thelearningtogether the Diversity education Center of excellence

hallenge: How do you ensure consistency of message and content in a Diversity Education program when you are a huge, multinational corporation?

For F. Chase Hawkins, Vice President of Diversity Education at JPMorgan Chase, part of the answer lay in the creation of a Diversity Education Center of Excellence, bringing together diversity education professionals from across the organization to form a single, cohesive council with a common focus. That focus, simply stated, is to bring the corporation closer to achieving its Diversity Vision by delivering the best possible and most effective diversity curriculum available today to JPMorgan Chase’s enormous employee base.

F. Chase Hawkins

Mr. Hawkins, who stepped into his current role almost ten months ago, inherited a Corporate Diversity education curriculum that included nearly 40 different instructor-led classes. After only a brief time in the position, he realized through interactions with other education professionals across the Firm that this was merely the tip of the iceberg where diversity education resources were concerned.

Vice President Corporate Diversity Education Manager JPMorgan Chase One Chase Plaza – 27th Floor New York, NY 10081 Tel: 212 552-3876 Fax: 212 383-0417

chase.hawkins@jpmchase.com page 20

“We follow a model for diversity here at JPMorgan Chase which provides a great deal of autonomy to each line of business, functional area and geographical region, to drive the Corporate Diversity agenda forward in the manner that they feel is most appropriate for their own area,” Hawkins stated. “The good news is that this empowerm ent allows each area to create dynamic and effective diversity programs, uniquely tailored to the needs of Profiles in Diversity Journal

• March/April 2002

at JPMorgan Chase

their individual populations.” So what’s the challenge? “The challenge becomes apparent when you realize that with so many different individuals responsible for diversity education working in their business silos, a significant amount of redundant effort is taking place; no vehicle existed previously that encouraged them to come together as a community to share ideas and leverage best practices.” Hawkins discovered that many of the various areas of the firm often utilized diversity resources that were different from those that Corporate offered and from each other. In fact, Hawkins was surprised to learn that e ducation sessions were being developed with vendors that were similar or identical to education offerings already implemented elsewhere in the organization. In addition to the inefficient and wasted use of time spent developing these redundant resources, not all employees were receiving the same messages with respect to diversity education, a fact that deeply concerned him. Clearly, there was a strong need to bring together this community of diversity education practitioners. “As an outgrowth of our Corporate Learning Council activities, we had already implemented a successful model for the formation of various education-related Centers of Excellence, focused on such topics as e-learning and education metrics,” Pat Coglianese, who also chairs the Corporate Learning Council, shared with Diversity Journal. “I suggested that he expand the concept to include Corporate Learning professionals on the team, and create a new Center of Excellence focusing exclusively on diversity education. That way, we could also bring togethwww.diversityjournal.com

Bringing the learning together raising the Bar er and leverage the expertise and knowledge of the broader education community, to the benefit of the diversity education practitioners’ community. It’s a win-win situation for everyone involved.” Although implemented only a few short months ago, already the feedback has been tremendously positive. “With the Diversity Education Center of Excellence, we’ve been able to bring together all of the people resp onsible for diversity education at the same table. It’s an effort that has gone a long way toward leveraging a collective knowledge set,” said Steve Young, Diversity Executive. “They are also creating standard processes and procedures where diversity education resources are concerned that allow us to ensure consistency of message across the organization.” So how has all of this sharing impacted the fir m’s bottom line?

Courtesy of Michael DiVito

“In addition to reducing a tremendous amount of redundant effort by leveraging proven best practices from area to area, we are also able to realize significant cost savings where diversity resources that we all use are concerned, especially in the area of vendor relationships.” A company the size of

much potential existed for significant synergies between Diversity Education and Employee Relations Education,” said Janice Won, a senior vice president responsible for HR Policy Decision in Corporate Employee Relations, a function that focuses on corporate policies such as sexual harassment, among others. “We have already successfully partnered with

“... It’s an effort that has gone a long way toward leveraging a collective knowledge set.” Steve Young Senior Vice President, Corporate Diversity

Diversity Education to produce a disabilities awareness program which addresses educational, policy and legal implications from a business standpoint. Now, ER Education is in the process of forming its own Center of Excellence, which will work closely with the Diversity Education CoE to identify opportunities to deliver comprehensive awareness and training in one package, where appropriate.” Ms. Won also added, “A major advantage to this integrated “... It maximizes the learning opportunities and approach is that it maximizes the learning helps address the time constraints that are always a opportunities and helps address the time challenge in our dynamic business environment.” constraints that are always a challenge in our Janice Won, Senior Vice President dynamic business environment.”

HR Policy Decision in Corporate Employee Relations

Another major benefit that has already resulted from bringing together the diversity education community has been the increased awareness of the dangers of materials that are marketed as diversity resources, but aren’t always what they seem to be.

“Diversity resources have become big business today, but not everything that is labeled a ‘diversity education resource’ is “... It’s a win-win appropriate for your environsituation for everyone ment,” Hawkins warned. “We are involved.” constantly bombarded by vendors Patricia Coglianese seeking to promote their products Senior Vice President and resources, but you have to Corporate Education make sure you are screening these JPMorgan Chase, with items very carefully.” The fact is, Hawkins has 100,000 employees in over 52 countries, has seen specific cases where some areas of the significant purchasing cl out … when that purfirm were being courted to roll out vendorchasing is negotiated in an aggregated manner. supplied resources such as videos or books that This produces dramatic quantity-based saves not only didn’t support the Corporate on both vendor contract services as well as Diversity Vision and strategic themes, but also items such as the purchase of videos in some cases actually contradicted them. and books. “Now that we are all at the same table, we can establish formal approval processes for such What are some of the other benefits that have resources, as well as share which ones have materialized as a result of forming the CoE? worked well in other areas … and which Partnerships! “During discussions with the have not.” Learning Council, we fully realized just how www.diversityjournal.com

With so many different issues on the table to be addressed, how will the CoE sort through them all and decide on an approach? “When we first came together and shared the issues that each area faced, it became apparent that there were broad issues that all of us were challenged with, as well as issues that more uniquely related to either the nature of a certain business or the geographical region. This in tuitively lent itself to grouping the issues according to commonalities, which is further evolving into the formation of subteams. These teams will be composed of the key stakeholders around those specific issues, and will work on providing process solutions, while the larger CoE team will address broader issues that affect the entire group.

Profiles in Diversity Journal

• March/April 2002

“An example are the challenges associated with delivering divers ity education across the geographic regions of Europe, Latin America, and Pacific Asia, where the diversity needs, and even the understanding of what diversity is, differs significantly from the North American region. What’s become clear is that a cookie-cutter approach to diversity education cannot be used in a global institution such as ours.” While Hawkins is very excited by the possibilities generated by bringing together this group of diversity education professionals, he is also under no illusion that this is going to be an easy task. “Deploying the model and bringing together the community of practice is the easy part,” Hawkins acknowledges. “The challenge that we face now is to work together to exploit every potential synergy that this model affords us, and bring our global firm further along t he path of achieving our Diversity Vision.” Thanks to the Diversity Education Center of Excellence, the JPMorgan Chase vision of creating “an environment that is inclusive, open, flexible, fair and courageous” just moved one step closer. PDJ page 21

the Changing landscape

Diversity Best Practices

Examples of the types of marketing statistics compiled from several sources include:

nformation is power, and no one knows that better than Edie Fraser, president of Diversity Best Practices. “Diversity is the business case,” says Fraser. “Diversity is the workforce and the marketplace. With the information we compile, we help corporations achieve their goals and build strategies to measure the bottom lines.”

The goal of Diversity Best Practices is to be able to provide cutting-edge information on what works strategically in diversity, nationally and globally. “We are, in effect, a one-stop information center for diversity and benchmarking,” says Fraser. “This information is vital to quantify the correlation of diversity to profitability. Nine out of ten company executives we interview see diversity as part of the business case for success.”

Diversity Marketplace Their latest compilation, WOW! Facts 2002, is a significant resource for diversity departments seeking to make such a correlation.

The total collective buying power of Hispanic Americans, Asian Americans, African Americans, Native Americans, Gays and Lesbians, and People with Disabilities totals $2.789 trillion in 2001. That is a 64.7 percent faster rate than the overall U.S. buying power. (Selig Center for Economic Growth at the University of Georgia, Santiago & Valdes Solutions) Increased purchasing power. In the past 10 years: • Hispanic buying power increased 118 percent • Asian American buying power increased 124.80 percent • African American buying power increased 85 percent • Native American buying power increased 81 percent. (Santiago & Valdes Solutions, U.S. Pan Asian American Chamber of Commerce, Datamonite, Selig Center for Economic Growth at the University of Georgia, DiversityInc.com, National Organization on Disability, EmployAbility) 2000 Census data confirms multicultural segments of the population are the fastestgrowing in population. (Census data) Hispanic Purchasing Power • In 2000, the country’s 31 million Latinos— 12.5 percent of the population—spent $400 billion on goods and services, and is growing at triple the rate of inflation, a faster rate than that of the general market. Growing numbers of buying power compete with African American women. (Hispanic-Market.com)

edie Fraser President Diversity Best Practices 1990 M Street, NW Suite 700 Washington, DC 20036 Tel: 202.463.3766 FAX: 202.466.6572

edie@bwni.com page 22

• U.S. Hispanics can serve as a virtual link to Latin America’s population of over 450 million, helping mold and influence the region’s buying patterns. (Hispanic-Market.com)

• The Hispanic market opportunity for corporate America will have surpassed $600 billion by April 2001. (Santiago & Valdes Solutions) Asian American Purchasing Power Asian American buying power is projected to have the highest percentage growth, from $112.9 billion in 1990, to $253.8 billion in 2001. The percent increase surpasses Hispanic Americans, African Americans, and American Indians. (Selig Center for Economic Growth, Georgia) African American Purchasing Power African American women are the driving force behind purchases with $400 billion in buying power, an increase of 15 percent in the last decade. It is the largest buying power minority group in 2001, representing two out of every three dollars spent by minorities. (Niaonline) Gay and Lesbian Purchasing Power It is estimated that the purchasing power of Gays and Lesbians will increase 30.8 percent by 2004. (DiversityInc.com) Disability Purchasing Power The growing market of people with disabilities comprises one-fifth of the U.S. population and represents $1 trillion in annual aggregate spending power. (Packaged Facts, Marketing to Americans with Disabilities) What do these groups buy? Who are the top advertisers to these groups? This is the type of information you’ll need to know to successfully compete. “Find a resource you’re comfortable with, and refer to it often,” says Fraser. PDJ For information on WOW! Facts 2002 and related resources, contact Diversity Best Practices at 202-463-3781.

When it comes to arguing the correlation of diversity to profitability, you don’t need to have all the information. you just need to know where to get it.

natural

resources

Profiles in Diversity Journal

• March/April 2002

www.diversityjournal.com

A World of Opportunity. Decades before television and the Internet, two brothers named Williams began building the infrastructure to drive a new era of American prosperity. They also embraced a set of traditional values that would guide their company into the next century. Nearly one hundred years later, a lot has changed in the world.

     

But at Williams, we still abide by the enduring values that set us apart. We have used these values to create an environment that attracts a high-performing, diverse workforce. Above all, these tenets focus on the importance of people — our employees, investors, customers and communities. It’s the success of these people that determine our own success.

At Williams, we believe that when individuals are allowed to maximize their own potential, we all win. That’s why we strive to treat everyone with dignity and respect. It’s more than just a business philosophy or a management style. It’s the Williams way.

(800) WILLIAMS NYSE:WMB williams.com

Champions of Diversity: An intimate Portrait

iBM corporation

DivErSiTy JournAl: Are the diversity challenges faced by U.S. corporations similar to those faced by corporations in other countries? CHilDS: First, it is important to note that American companies should not be driven by U.S. affirmative action legislation when we look at the global landscape. We have to look

a n i n t e rv i e w

apromise

with

helddear

councils around the world, including a global council, councils in Canada and South Africa, and 29 women’s councils for our regions in Pacific Asia, the Americas and Europe, the Middle East, and Africa. We also have 26 individual country-specific councils including Japan, Korea, Brazil, France, the United Kingdom, Germany, South Africa, Canada, and, of course, the U.S.

ted childs

Competing in the global technology market is tricky enough; leading it demands innovative vision and solid skills in corporate diversity. IBM Corporation’s Ted Childs, a 34-year company “veteran” and Vice President of Workforce Diversity, offers us again a rare and candid look at the diversity workings of a global employer in this exclusive interview for Profiles in Diversity Journal.

s e c o n d o f a t w o - pa r t s e r i e s

at values and cultures from the perspective of a particular country, but be guided by our own corporate values, and how those values facilitate our behavior. Where those values are restrictive and intolerant because they are U.S.-based, and not Global in perspective, they must be reassessed. U.S. companies must ask some basic questions as they do business around the world: “Who are our customers and employees, and what do they look like?” We should see women, the disabled, Gay and Lesbian people and ethnic minorities. When we don’t see those people in an employee or customer context, that should at least justify a discussion. Another question that should be asked is: “Do we want to be viewed as a U.S. company doing business in a foreign country, or a local company, led by local people and respectively, valuing local customs?”

For information, please contact:

FAX: 914.765.5290

From an IBM perspective, we want to ensure that our leadership in each country is looking at their people as they are—not influenced by U.S. legislation—but influenced by IBM behavioral expectations. That is how we’re going to create a workplace where the best talent, from all groups, views IBM as the place where they would want to work. We want people to want to not only come here, but also to stay here.

sinocchi@us.ibm.com

To help our leadership understand and evaluate these issues, we have 65 workforce diversity

page 24

Profiles in Diversity Journal

Jim Sinocchi Director, Diversity Communications IBM Corporation North Castle Drive, Armonk, NY 10504 Tel: 914.765.6638

• March/April 2002

The purpose of these councils is to advise local management on local workforce diversity issues. Our progress on a number of fronts, I believe, reflects our senior executive commitment. The growth that we’ve achieved in our women executive appointments worldwide over the last six years is up 246%, but more importantly, our growth for women executives outside of the United States is more than 10 times what it was in 1995. We now have women serving as country general managers in areas such as Peru, France, Spain, Singapore, Hong Kong and Indonesia. We now have a Black South African as the general manager for IBM South Africa. We just inducted a woman from IBM Japan, who is blind, into our prestigious IBM Scientific Academy. And, we now have a global focus on our employment of people with disabilities, including a focus on ensuring that our products are accessible by the disabled. By virtue of their positions, these role models send a positive message to our customers, employees, future workers and society at large. These new leaders not only represent a changing of the guard—in the makeup of our global corporate leadership—but also reflect IBM’s willingness to see the world as it changes. We also have more than 121 employee diversity network groups—and four of them are outside of the U.S. Last year we announced a global Work/Life Fund, a $50 million fund supporting our child and dependent care initiatives, and 60 percent of its resources are committed to investment outside of the U.S.

www.diversityjournal.com

iBM’s Ted Childs

Champions of Diversity: An intimate Portrait

issue as a business topic—in the same manner that we talk about race, gender, religion, age, and disability. Frankly, the Gay and Lesbian community has waited a long time to be included in the civil rights debate. So in that context, the arrival of the Gay and Lesbian issue, framed as a business issue, is recent. When we talk about gender identity, I think we're talking about labels—labels to help us frame the discussion. We've had a continuum of discussion beginning with homosexuality, moving to Gay and Lesbian, shifting to discussions of bisexual and transgender, and now, for some, gender identity. My sense is that many are not yet The questions comfortable with the Bisexual or presented to Transgender component of the GLBT discussion and yet we're Mr. Childs were collected from human resources and already dealing with gender diversity professionals from IBM as well as from public identity. The Gay and Lesbian and not-for-profit organizations. Submitters were asked to community should ultimately provide questions about the most critical issues facing determine whatever the label diversity professionals and business leaders today. becomes. I've lived long enough to be called Colored, Negro, African American and Black. It's an evolution of Those are examples of how IBM is trying to terminology. The people who are being ensure that our vision of diversity, as a global discussed should cast the final vote on what issue, is supported by our behavior patterns. the label ought to be. DivErSiTy JournAl: How prevalent are I might add that another important example issues involving sexual orientation and gender of conflict with labels is around the issue of identity in corporate America? sports teams and Native Americans. The conflict involves how we respond to our CHILDS: The evolution of this topic is Native American constituents’ judgment important to understand. When I took a leave about those labels. We have to talk to one of absence from IBM in the early eighties— another, not about one another. And on this I worked for Benjamin Hooks at the NAACP issue of labels, we have to listen to the people as his executive assistant for a year and a who are being discussed. half—I noticed that the Gay and Lesbian community supported civil rights leaders of Ultimately, the concept of gender identity and other groups. They marched with the Black expression is going to embrace multiple issues leaders, and they marched with women. within the GLBT community. Currently there is an inclination to think about this subject in Although Gay and Lesbian activists may have the context of someone who is in conflict been “freedom fighters” or simply identified about their personal identity and who chooses with the fairness content of a particular issue, to do something to become more comfortable they did so knowing that, as a group, they with who they are. couldn't demand to be treated fairly or even fight for their own causes. That may include dressing as the genderperson they feel most comfortable with. But it Then in the nineties, we saw subtle changes to may also include having an operation that the point where Gay and Lesbian issues were physically alters their gender. We have had a talked about more openly. Only in the last 10 number of employees at IBM elect to proceed years have we been able to talk about this www.diversityjournal.com

Profiles in Diversity Journal

• March/April 2002

Who’s in the closet? “The issue of closets is not an insignificant point. Being in the closet implies living two lifestyles. Although we seem to want to credit the Gay and Lesbian community with inventing the concept of closets, they didn't. “I have known people who were Jewish who passed as Gentile, Italians who dropped the vowel from their names, and Black people who were light-skinned enough to pass for white. Those are examples of people trying to conceal who they really are. They believed that if others learned the ‘secret’ they were trying to hide, the revelation would create risks for them professionally or personally. “When someone has to be two people, they're involved in a very complex, ongoing lie that requires a great deal of energy to sustain and that detracts from their ability to do their jobs. “Better that they can be themselves, be comfortable with who they are, be comfortable with who their family is, and not feel that they have to be someone else while their straight colleagues are welcomed and their lifestyles are accepted. “From a workplace perspective, a discussion about the GLBT community should not be about sexual behavior. It should be a discussion about human beings and their personal relationships. When we talk about an employee and their husband, wife or children, we consider that to be a natural point of discussion. A Gay or Lesbian discussion about their family or their partner should be no less important if they are to feel like valued members of our workplace.”

with surgery as a legitimate medical situation. The surgical procedures are covered by IBM’s benefit plans. Our medical and employee relation teams work closely with the employee and the employee's manager through this process. Our company’s response to this issue is based on a fundamental value of respect for the individual. DivErSiTy JournAl: Although most companies are quite happy to learn more about nondiscrimination based on sexual orientation as part of a corporate training program, how should a company handle those who object to inclusive training? How does IBM handle this issue?

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reflections

George Simons International/France

recent European high tech service company ad pictures an aged couple intensely focused on something in front of them while the voice-over talks about serving the diversity of customers not as groups, but as individuals. The camera zooms out. We see from the controllers in their wrinkled and liver-spotted hands that the couple are passionately playing a video game together. In a world that promises "any thing we want" and that we can "have it our way," the cultural component of our personal desires, however unlikely, becomes of enormous interest to suppliers of goods and services. The glory of the industrial age was mass production. Henry Ford offered the average person an affordable Model T—as long as it was black. Today you may build your own car on the Internet and have it delivered in a couple of days. Mass personalization is the latest trend in the evolution of product development and perhaps the best positioned to both serve and take advantage of cultural diversity.

To everyone’s taste …

Dr. George F. Simons George Simons International 236 Plateau Avenue Santa Cruz, CA 95060 USA L'Argentière - Bât. A 637 Bd de la Tavernière 06210 Mandelieu-la Napoule France USA Voice Mail +1-888-215-3117 France direct +33 4 92 97 57 35

gsimons@diversophy.com page 26

Outside the village of Mandelieu-la Napoule on the Côte d’Azur, there is a commercial center dominated by a Géant hypermarket. Géant is, true to its name, a giant store where one can buy virtually everything for the table, the home, the office, the playroom, the wardrobe, or the

garage. You can preshop for bargains online to get discounts when you arrive. Unlike stores of this size in North America, there are not only the standard shelves laden with products and produce from Europe and the rest of the world, but also regular feature presentations where several aisles are created to promote the cuisine or products of a specific country. What really catches one's attention, however, are the almost weekly appearances of stalls set up to promote the delicious, high quality products of terroirs or regions of France. Next door to the Géant is a McDonald’s restaurant complete with a large indoor play area for the children. Sensitive to its situation as a global player with a very U.S. American profile, MacDo, as the French call it, has taken up the challenge of marketing to the French palate. It, too, has regular campaigns in which Big Macs are transformed for worldwide tastes (Mexican, Chinese, East Indian flavored burgers). Recently, MacDo bravely tackled the French terroirs using a dozen varieties of local breads,

Advertising for europeAn diversity in the “net Age”

Profiles in Diversity Journal

• March/April 2002

www.diversityjournal.com

Advertising for European Diversity reflections

condiments, and sauces, to dress up the humble Mac à la Provençale, à la Bretonne, and in half a dozen other regional guises. Currently the flavors are following the itinerary of Asterix to Egypt from the film Asterix and Cleopatra. Meanwhile, a kilometer away in the old town of Napoule, La Maison du Bon Poulet, a traditional traiteur specializing in roast chicken, with a scant 25 square meters of floor space, is designing its web site in five languages to take orders from the laptop-toting tourists and the resident international community. The real question here is whether, in the case of MacDo, Géant, or even La Maison du Bon Poulet, we are looking at respect for or dilution of cultural values. The realistic answer is probably both. Culture is a living thing that changes with all forms of contact and has always done so. The difference today is that there is infinitely more contact between cultures than before. That puts the responsibility on us to either intelligently debate and try to guide its course or dig in and resist contact to preserve what we want, using some prototype of what we (subjectively) as individuals or a group feel to be the correct or best expression of the culture. This too, inevitab ly changes culture. Whether one is a radical constructionist who believes that saying things creates them in reality or an Islamic fundamentalist cleric enforcing the strictest sharia, one is in fact changing culture. This is why the active search for added value in diversity is the safest and most substantial means for sustaining culture and cultural life. It is also why we need both real and cyber-muse ums of all kinds to preserve strains of culture that both give us comfort about who we have been and are, and that may be rediscovered to add value at a future time. Advertising is today actually an extremely important stage for both preservation and transformation of culture.

www.diversityjournal.com

Getting it right When it comes to crossing cultures, the advertising industry, because of its enormous stake, has got to get it right. They need the added value of diverse perspectives to succeed at their job. Advertisers receive relatively quick feedback, at least in the form of sales response. They need to be in touch with the stereotypes that move people as well as the ones that annoy them, and constantly monitor the cultural fads. The truly pan-European ad is a rarity, and for advertisers, a "Holy Grail" that, in many cases, may not merit the quest. In spite of globalization, very few products seem identical all over the world. Among them are Coca-Cola, Mars, Mach3 by Gillette, Pampers, Pringles chips, Ariel for washing clothes, Nivea cream and the detergent Ajax. According to AC Nielsen, an expert in marketing and market analysis, these products succeeded in becoming global as they can have similar prices and customers perceive them through the same types of advertisement [Dipollina, A., "Europa divisa al supermarket." Il Venerdì di Repubblica, 9 June 2000, p. 75-78.]. For the rest, it is the skill at adaptation to local culture that counts. Here is how it works. Current marketing strategy attempts to identify the essence of the brand and then pay attention to local values and preferences in its storyboard and execution. Let's look at McDonald’s once again. The Leo Burnett agency in London created campaigns that characterized the McDonald’s brand as a safe family place for sharing food and intimacy: "... An ad from Belgium, in which a small boy, obviously distraught because he has new eyeglasses, is taken by his mother to McDonald’s, sees how the glasses seem to magnify the hamburgers, flirts with a little girl, and cheers up. In an ad from Sweden, a working mother who schemes to get out of a business meeting, only to have her boss cancel it, takes her daughter to Profiles in Diversity Journal

• March/April 2002

When it comes to crossing cultures, the advertising industry, because of its enormous stake, has got to get it right. They need the added value of diverse perspectives to succeed at their job. McDonald’s and sees the boss there with his son. In a British ad called 'The Go-Between,' a boy maneuvers his father into taking him to McDonald's, where the dad runs into his estranged wife and chats sweetly with her—to their son's delight. Finally ... from the avantgardes in Norway—a stunning, elegiac blackand-white spot in which a boy is led by his grandmother through a city full of strange sights—l ong-haired, shouting men, Asian glam rockers, a girl with studs in her tongue—and arrives safely, in the end, at McDonald's." [Heilemann, John. "All Europeans are not alike." New Yorker. 28 April - 5 May 1997.] In sum, it is heartening to observe that a good deal of European advertising has taken up the challenge of valuing diversity and bringing us, without a great sense of political correctness and therefore perhaps a bit more safely, into the diverse future by affirming people, their values, their traditions, their dilemmas, their feelings and what delights them. Dr. George Simons writes from Europe, where he is involved in the development of intercultural media and online initiatives. He is the editor of “EuroDiversity: A business guide to managing difference for value within and beyond the European Union” (forthcoming from Butterworth Heinemann) and, with Walt Hopkins, he is the creator of the training design of the new Video Arts training program, “Not my type ... Valuing Diversity.” PDJ

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An Evolving Curriculum

WE ARE AS MUCH THE VISION WE IMPART AS THE CHALLENGE WE WORK TO OVERCOME

dartmouth college

defining moments “W

There is nothing simple about diversity on a college campus. Dartmouth College’s ambitious 3-year plan will change the view its students ... and faculty ... have of the world around them.

hat do you mean when you say diversity?” is a question I often hear and it is one that is particularly pressing now, in the wake of the September 11 events. Most of us have thought deeply about the importance and the meaning of diversity in the global context, but I would suggest that we challenge ourselves to be as specific as possible, articulating a clear and unambiguous vision of concepts that are difficult to characterize.

ozzie Harris Special Assistant to the President for Institutional Diversity and Equity Dartmouth College 7 Lebanon St.

First, it is important to say that a community that supports and values diversity is anti-racist and provides meaningful and substantive opportunities for women. The community must be open to and accepting of a variety of gender roles and identities. Additionally, diversity requires that we create access for people with disabilities. Being diverse means that we are conscious of our heterosexual privileges and resistant to homophobic statements that are meant to demean and humiliate. Diversity also means we are tolerant and embracing of different religions and traditions. A community that cares about diversity must also be open to the ethnic and cultural perspectives created by different histories and places of national origin. And, finally, diversity means that we are aware of the ambiguities of class and alert to the tension they exert on our aspirations.

ozzie.harris@dartmouth.edu

There is nothing simple about diversity on a college campus. To answer the question, “What do you mean when you say diversity?” we have to understand that diversity is about complexity, pluralism and inclusion. At places like Dartmouth College, which are simultaneously

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Profiles in Diversity Journal

Hanover, NH 03755 Tel: 603-646-3661

• March/April 2002

selective, egalitarian, prestigious and democratic, appreciating diversity is one of our first and most important challenges.

Developing Meaning: it’s up To All of us Before we can appreciate the meaning or significance of diversity, we need to provide opportunities for learning, trust and conversation. Everyone in our community has a stake in answering the question of what diversity means, and one of our primary tasks is to provide forums in which those discussions can take place. We are approaching this in a number of ways this year: • A team of 16 students and administrators attended “Race Relations on New England Campuses,” a conference organized by the U.S. Department of Education and held at Northeastern University in Boston. • The Committee on Civil Discourse has recommended training facilitator s to assist the campus in talking about a variety of diversityrelated themes. To that end, 24 students and staff from a variety of departments and organizations were selected for facilitator training in The Anti-Defamation League “Campus of Difference” program. We hope to train another 40 facilitators in the next two years. • Additionally, Dartmouth sent a team to the American Council on Education ( ACE) conference, “Educating All of One Nation. Affirming Diversity in the 21st Century: Developing a Proactive Agenda.” Participants in these conferences and sessions became natural teams––across race, sexual orientation, gender, and other boundaries. Since www.diversityjournal.com

Defining Moments An Evolving Curriculum returning to campus, these groups are already helping us reach a better understanding of diversity that works for our community. Contact, collaboration, and interaction among individuals, departments, and divisions frequently separated from each other by roles and responsibilities are critical to our success. Our teams are as diverse in the roles they play on campus as they are in their cultural or ethn ic makeup. How often do our human resources staff interact with our faculty, for instance? What are the opportunities for development professionals to probe diversity’s complex issues with administrators in student affairs? The communication of even mundane information is difficult in today’s decentralized environments. There is a fundamental need to provide context and time for conversations about var ious aspects of diversity so that trust can develop and plans take root. At Dartmouth, we know this face-to-face communication is essential if we are to allow for new ideas or foster better communication about older ideas that are still serving us well. Better communication means enhanced alignment of ideals and actions across departments and divisions. Our society is diverse. Our society is complex. We are educating ourselves and our students to live and work in a diverse world. In this open and collaborative environment, we begin to see the vital connections between student life, alumni relations, faculty retention and a host of other diversity elements that can sometimes seem unrelated to our own individual efforts or domains of interest. Moreover, better alignment between our thought and deeds wi ll improve our chances of successfully providing an environment that supports our institutional goal of learning about and addressing diversity issues in all of their complexity.

staff and students in a basic diversity awareness curriculum. The pi lot was thoroughly evaluated and generally found to be successful as an introductory diversity awareness program. We are now initiating a three-year plan that will provide a comprehensive program for administrators, faculty, staff, and students. The program will train more than 60 facilitators (administrators, faculty, staff, and students) and attempt to reach every campus

“It is relatively easy to issue statements about the virtues of diversity and believe that we have fulfilled our responsibilities. Appreciating diversity in ways that turn what we say into the everyday reality of the lived experience of our community is much more difficult.” department and recognize d student organization. This ambitious initiative is designed to reach 5,000 students and 4,000 faculty and employees, a significant investment in time and creative energy.

The Anti-Defamation League’s “Campus of Difference” (CoD) program workshops are being planned for 9,000 members of our academic community. Our current CoD efforts build on work that was initiated several years ago. President James Wright’s directives in July have given us the opportunity to be much more systematic and intentional as we implement the second phase of the Campus of Difference diversity awareness program. The first, or pilot, phase lasted three years. During that time we enrolled approximately 1,200

We are asking each and every campus department and organization to set aside one day (eight hours) a year to discuss a variety of diversity issues. Students, faculty and administrators are working to foster more robust student conversations––in administrative offices, residence halls, fraternities, sororities, and residential academic affinity houses. The hope is that these more coordinated and focused conversations and explorations of social identity and experience will help to model healthy interactions and create a foundation for trust and open communication. The CoD will be complemented by our Diversity Reading Group project and a variety of seminars and programs. The Office of Institutional Diversity & Equity provides workshops, events, and seminars that address sexual harassment, to complement the CoD program. We are also exam-

www.diversityjournal.com

Profiles in Diversity Journal

Teams in Action: Diversity Awareness Programs

• March/April 2002

ining other programs including individually paced computer software programs, interactive theatre, and other curriculum driven discussion sessions.

Do We Mean What We Say? Diversity Statements and Plans It is relatively easy to issue statements about the virtues of diversity and believe that we have fulfilled our responsibilities. Appreciating diversity in ways that turn what we say into the everyday reality of the lived experience of our community is much more difficult. At Dartmouth, the President is asking that divisions and departments think deeply about what diversity means for them and turn those thoughts into strategic planning documents. But we are not stopping there. For example, it is important for us to: • Choose public art in our offices that represents the diversity of our campus and i nvites all to be a part of our community. • Enhance retail services to various minority

continued page 44 page 29

working here takes you places Exceptional performance is driven by exceptional people — working at a place where they can leverage their experiences, strengths and perspectives. At JPMorgan Chase, we’ve created an environment where everyone can reach their fullest potential. Our people build strong networks, meet new challenges head-on, grow their careers and take themselves — and our firm — to new heights.

© 2001 J.P. Morgan Chase & Co. All rights reserved. J.P. Morgan Chase & Co. An Equal Opportunity and Affirmative Action Employer M/F/D/V. JPMorgan Chase is a marketing name for J.P. Morgan Chase & Co. and its subsidiaries worldwide.

the Changing landscape

J. Howard and Associates

ew initiatives aimed at “managing diversity” achieve lasting effects. All too often, they confuse work done to increase diversity representation with the critical, and more difficult task of inclusion; that is, developing the potential and harnessing the capabilities of the full range of employees represented. This article emphasizes the distinction between two terms often used interchangeably—diversity and inclusion—and argues for the strategic primacy of the latter in 21st century corporate competitiveness and success.

“Diversity” has been, and remains, an important concept. But as a framework for thinking about the range of issues related to full participation of people from different groups—perhaps the most critical global issue we face—it is limited, and we must be careful about loading too much onto it. I will offer a new, and more sharply drawn definition of diversity: Diversity is a measure of the demographic complexity in a particular environment, and the harmony between the different groups represented.

Jeffrey P. Howard, Ph.D. Chairman & Chief Learning Officer J. Howard & Associates, Inc. Brighton Landing West 10 Guest Street, Suite 300 Boston, MA 02135-2067 Tel: 617.254.7600 FAX: 617.254.7117

jhoward@jhoward.com www.diversityjournal.com

A diverse environment is one with meaningful representation from groups that differ in socially significant ways. In everyday usage (at least in the U.S.), our idea of diversity goes one, crucial step further; when we say an institution or any other social unit is diverse, we make an assumption that the relations between groups are characterized by more or less peaceful coexistence— that is, not subject to open hostility, or the expectation of violence. Most of us don’t think of societies engaged in open ethnic or religious conflict, for example, as diverse—even if the combat ants live in close physical proximity. By this definition, the United States today is diverse. Kosovo, Rwanda and Northern Ireland are not, even though different groups live in close proximity in all three societies. It should be noted that the idea of “peaceful coexistence” need not denote a total absence of inter-group tensions or strains—just the absence of outright hostility or aggression. Followin g this logic, in corporate America over the past few decades “diversity” has come to signify something very specific—namely a workforce roughly representative of the diversity of our society, operating in more or less peaceful coexistence. Given the fact that, until recently, white men dominated corporate America, most “diversity programs” have thus focused on achieving greater representation of previou sly underrepresented groups, and working to ensure their peaceful coexistence. Toward that end, companies have worked to recruit and retain greater numbers of women and people of color and, perhaps, to acknowledge that not all sexual orientations are hetero. These efforts have been motivated by a range of needs and objectives, from avoidance of litigation, to a desire to have workforces that reflect c ustomer bases, to strongly felt moral imperatives of fairness and equity. Increasing workplace diversity is obviously important, but we must be clear about what it does not do: greater representation does not guarantee that members of previously excluded groups will enjoy engagement in the important

inthelongrun From the author of “Rumors of Inferiority,” for The New Republic and “You Can’t Get There from Here,” for Daedalus: Journal of the American Academy of Arts and Sciences.

Profiles in Diversity Journal

work of the business, or increased learning opportunities, or stronger contributions to the bottom line. These objectives—engagement, learning and contribution—might be called stage two objectives, which only come into full focus after a reasonable degree of diversity has been achieved. In stage two, inclusion takes center stage. In simple terms, if diversity is a measure of what kinds of people are represented, inclusion is a measure of where people are placed , what they are learning to do, and the quality of the support they get from managers and peers. Inclusion happens at an organization’s leading edge; in assignments in core businesses and critical functions, projects to improve products or processes, or forays into new markets—the positions where people can learn how their business works, and how it is changing. These assignments represent “platforms for learning”, where people learn new skills and gain insights that increase their long-term value to the organization. They are the prizes in the drive for inclusion. The prizes are not equitably distributed in most organizations. Members of favored groups are far more likely to be in such positions, and be supported in their participation, and members of less favored groups are far more likely to be excluded, or, if included, to be isolated and unsupported. Exclusion and lack of support work in a variety of ways, including high turnover rates among women and people of color (the “revolving door” phenomenon) resulting in people leaving the business before they can really learn it; “glass ceilings” where they rarely attain positions of responsibility at the leading edge; and the related phenomenon of “stacking,” where minorities and women are greatly over-represented in non-strategic areas of the business, and under-represented in more strategic areas. And then there is the problem of “backlash,” where aggressive initiatives to break “the glass ceiling” and distribute important assignments more equitably trigger accusations of lowered standards

continued page 45

inclusion

is the answer

• March/April 2002

page 31

the Changing landscape: Diversity Dilemma

ProGroup

asanti’sdilemma seConD in a series

of Diversity Dilemma columns from Karen Stinson, CEO of ProGroup. Each column presents a hypothetical situation based on actual client situations encountered over the past 20 years by her organization. For each situation, she and her team of experts will offer concrete solutions based on real-life experiences. If you have a dilemma you’d like Karen and her team to address in a future column, please e-mail it to her at kstinson@progroupinc.com.

hen we last left Asanti Jones, the new Director of Global Diversity for Henderson Manufacturing, she had gone from being overwhelmed and clueless about what to do in her new job to having a plan for first steps based on the G.R.I.D., ProGroup’s framework for a successful diversity initiative.

Level I: INFORM involves communicating a clear diversity vision aligned with core business strategies and a commitment to take the actions necessary to create an organization that fully engages everyone. Level II: EDUCATE involves activities that will increase diversity awareness and skills so that individuals can interact effectively in a diverse environment to improve business results. Level III: PERFORM includes systems that hold people accountable for their decisions and actions related to achieving the organization’s goals. Level IV: MODEL means, “walking the talk.” People are making decisions and exhibiting behaviors congruent with the organization’s values.

Karen stinson CEO ProGroup Riverplace, One Main Street SE, Suite 200 Minneapolis, MN 55414 Tel:

800.651.4093

FAX: 612.379.7048

kstinson@progroupinc.com page 32

Level V: LEAD is attributed to an organization that attains a fully engaged workforce and is recognized for synergy, creativity, speed of implementation, and receptivity to change.

the inform level: a Good Place to spend a year Asanti’s first year has correctly been spent on the Inform Level. She has worked on a communication strategy around the diversity initiative for Henderson. She has been successful, with her boss John’s help, at meeting with the leaderProfiles in Diversity Journal

• March/April 2002

ship team and educating them about what diversity is, how a successful diversity plan links to a successful bottom line at Henderson, and what they can do to champion the initiative.

setting a Baseline for Measurement Asanti knew it was time to set up a measurement process. In order for that process to be successful, she needed a baseline. To set up a baseline about where Henderson’s culture was at the time the initiative started, Asanti spearheaded a cultural audit that started with a survey. Due to Henderson’s variety of locations and employee positions, employees at all locations were given the option of doing either an on-line survey or a telephone IVR (interactive voice response) survey depending on their access to and comfort with venues. Both surveys were offered in four languages as well. Through the results of this survey, Asanti and her team got a depth of knowledge about what issues were “hot” for various segments of Henderson’s employee base. To get more depth of knowledge of the specific “hot” issues raised in the audit, Asanti and other facilitators held focus groups and interviews of representatives of various homogeneous groups within Henderson. She ended up with a clear snapshot of the cur rent culture of Henderson from a variety of perspectives which became her baseline information. That baseline information was used to identify some of Henderson’s measurement factors that would be used to define the success of the global diversity initiative. Those were the cultural factors. www.diversityjournal.com

asanti’s Dilemma

the Changing landscape: Diversity Dilemma

G.r.i.D.

complete the Inform level of the G.R.I.D.

Framework for a sustainable Diversity initiative

The other group, headed by Skylar, would concentrate on developing an educational plan and making it happen. That would move Henderson into the Educate level of the G.R.I.D.

ProGroup’s

GroW • retain • inCluDe • DeveloP level i inForM

level ii eDuCate

level iii PerForM

level iv MoDel

level v leaD

Clarify/ Promote

Understand/ Acknowledge

Direct/ Measure

“Walk the Talk”/ Sustain

Embed/ Inspire

Recognize/ Endorse

Understand/ Acknowledge

Apply/ Oversee

Motivate/ Reinforce

Empower/ Celebrate

C. Human Resources

Clarify/ Promote

Understand/ Acknowledge

Direct/ Oversee

Model/ Reinforce

Embed/ Expand

D. Employees

Accept/ Value

Understand/ Acknowledge

Act/ React

Demonstrate/ Support

Expand/ Grow

A. Senior Management B. Managers & Supervisors

Asanti then met with a selected group of the leadership team to identify other measurement factors that were linked to two aspects of the company: • Reinforcing Henderson’s mission and key values. • The achievement of Henderson’s business goals. Those were the business case and bottom line factors, and then success indicators were put into place.

selecting a Diversity action team Asanti became increasingly aware that she couldn’t do all of this alone, so she recruited people to be part of a Diversity Action Team. Following advice she’d gotten, she sent out a notice throughout the organization asking for people to apply to be part of the Diversity Action Team. The application form explained the Diversity Action Team, its purpose, and the time commitment it would involve, and asked four questions: 1. Why do you want to be part of the Diversity Action Team? 2. What would you contribute to the Diversity Action Team in terms of skills, talents, and background? 3. What would your hopes be for the Diversity Action Team? 4. Do you have the time and your manager’s support to be an active member of the team? Asanti then read the applications and decided on twenty people to interview in person based on what they would bring to the team. Her goal was also to have a mix of people from throughout Henderson and a team that represented a variety of roles, cultural backgrounds, genders (including White males), sexual orientations, and lengths of tenure. www.diversityjournal.com

Asanti’s first year has correctly been spent on the Inform level. She has worked on a communication strategy around the diversity initiative for Henderson. As she interviewed the candidates, she looked for people whose agenda was to create a better organization and avoided those who had their own personal agendas. Asanti went through exercises with the Diversity Action Team to help them to get acquainted with each other’s backgrounds, experiences, and strengths. They then received clarity on their roles and responsibilities around the Diversity Initiative and were ready to get to work.

Diversity action team’s top Priorities Asanti started by sharing with them the top five priorities that were a result of her previous work. They were: 1. Communicating a clear business case for diversity to all employees and customers. 2. Building sales to increasingly diverse global customers. 3. Increasing representation of women and members of diverse groups at all levels. 4. Developing and implementing an educational plan to build a more respectful environment for everyone. 5. Higher customer satisfaction and more repeat business across all aspects of diversity. Asanti decided that, according to the G.R.I.D., they must first concentrate on goals one and four, so she split her team into two groups for the next step. One group, headed up by Virginia, would work on creating and co mmunicating the business case for diversity to all employees and customers. That would Profiles in Diversity Journal

• March/April 2002

skylar’s First Meeting Skylar held his first meeting of the Education Group. He felt uniquely qualified to lead this team since he was Henderson’s Manager of Training and Development. He looked at his team and said, “To start with, what are your thoughts about our educational plan?” The responses were: From Luis, “I think it should be all on-line training. They can just click on the computer whenever they want and go.” From Dion, “No. Everyone needs to experience diversity up close and personal. We need to get mixed groups in a classroom together for a day or two and give them a chance to feel each other’s pain.” From Samantha, “Let’s control costs and just concentrate on training the leaders. Once they have the insight and skills, it’ll trickle down to everyone else.” From Yuji, “The leaders aren’t involved in the day-to-day interactions. They’ve learned enough already from Asanti, and the rest can be covered in memos. Concentrate on the employees, starting with the people on the line. That’s how our culture will change.” From Bill, “Let’s have one big event to launch it. We’ll get every employee into the cafeteria, have a multicultural lunch, have Asanti or one of the officers give a little speech about the value of diversity, and we can check that one off.” Skylar’s head started aching. He knew he was in for a long meeting. PDJ Next issue, we will address the Education Group’s suggestions in terms of their merit and effectiveness and advise Asanti and Skylar through the Education Level of the G.R.I.D.

page 33

raising the Bar

Ford Motor Company

keeping themomentum the work that keeps you in drive is at the local level

Diversity and Worklife initiatives are an integral part of Ford’s focus on getting back to basics: quality and customer satisfaction.

ord Motor Company is facing many challenges. We’ve been asked what will happen to our diversity and worklife initiatives during these trying times. Our response to everyone is that Ford Motor Company’s commitment to diversity remains strong. Building a talented, committed and engaged workforce is at the heart of our diversity initiative and is a key and critical aspect of rebuilding our business.

Some of the most powerful work in this area is being done at the local level, by our employees. Ford’s Local Diversity Councils—called LDCs—will continue to take an active role this year to engage the workforce through education and training about diversity and worklife integration issues.

rosalind Cox Manager, Diversity and Worklife Planning Ford Motor Company One American Road Dearborn, MI 48126-2798 Tel: 313.248.7505 FAX: 313.390.0385

rcox4@ford.com page 34

Many of the company’s largest councils increased their emphasis on education and training in 2001, with plans to continue the trend throughout 2002. The LDCs are in a unique position to educate and inspire employees at the local level, where all true cultural change really begins. Training provided to organizations by their councils has made an impact throughout the company, and supports our overall strategic goals regarding diversity and inclusion. One of these organizations is Marketing Sales and Services, where the “Dialogues in Diversity” series has been gaining momentum Profiles in Diversity Journal

• March/April 2002

since it was introduced in 1996. The events bring in noted speakers who “shine a light on diversity issues,” said Myles Romero, manager, Diversity Initiatives. Only 27 employees attended the first “Dialogues in Diversity” event; recently, more than 1,000 gathered in the world headquarters auditorium and via broadcast link to listen to news anchor Hugh Downs and actress Rita Moreno discuss age-related issues. Other guest speakers have included actress Diahann Carroll, who spoke on cultural diversity, and former Detroit Lions football player Mike Utley, a wheelchair user who discussed disability and mobility. “Understanding always begins with conversation,” said Romero. “The most important part of diversity is having the ability to step into another person’s shoes. ‘Dialogues in Diversity’ often is the spark that begins those conversations.” Within the company’s Powertrain Operations, the emphasis has been on worklife integration. The Diversity Council held a full-day Worklife Integration Seminar and later developed three training modules that focused on employee satisfaction leadership through workload management, stress reduction and worklife integration. “Each of the programs was tailored to the needs of Powertrain, which faces unique challenges posed by the plant environment,” said Cathy Myers, Diversity and Worklife Planning manager. www.diversityjournal.com

Keeping the Momentum raising the Bar Innovative concepts that have emerged as a result of the training include “Weekend Warriors,” a pilot program that brings in specially trained college students to relieve managers on weekends. A series of special events also have been planned around religious topics, including sessions intended to heighten sensitivity and awareness of Christianity, Judaism and Islam. The Product Development organizat ion held a series of “Lunch and Learn” events that invited employees from many areas to come together in small groups for lunchtime sessions on topics of interest, such as creating more flexibility by utilizing employee programs and new technologies.

A highlight of 2001 included the one-day “Product Development Diversity Summit,” which called together the LDC leaders within Product Development to discuss diversity and worklife management in the context of Ford’s strategies and business objectives.

The role of an effective diversity and worklife consultant is to provide solid, measurable and objective advice to their clients with respect to the business case for diversity.

This “meeting of the minds” was so successful that another major (and successful) event, “Designability,” which promoted mobility awareness, was held late last year. Each of the LDCs has a key contact who meets on a monthly basis with representatives from my office. At these meetings, we share information regarding activities and corporate direction and work to ensure synergy among the various organizat ions. It was decided in that forum that we would coordinate the first Diversity and Worklife Business Planning meeting for the key contacts and selected members of LDCs and Employee Resource Groups. That Business Planning meeting was held in mid January. Participants were given the opportunity to develop business plans that aligned with the Company’s strategic areas of focus, define the keys to success ful diversity and worklife consulting, and identify opportunities for synergy among their organizations. The comments from the participants were so favorable that we’ve decided to meet and review our strategies at least twice a year. The year 2002 will prove to be a challenging year for Ford Motor Company. The Local Diversity Councils have focused their business plans on initiatives and activities that wi ll have the greatest impact on business results. The work that they do is invaluable and will ensure a continued focus on diversity and worklife at Ford. PDJ

above: Hugh Downs and Rita Moreno at Ford Motor Company for a “Dialogues in Diversity” event. top: Ford employees at break-out meetings to share best practices from their diversity and worklife initiatives. Center: Keeping your eye on the ball—local diversity and worklife council members share best practices at their annual summit on diversity and worklife. right: Dr. Tyrone Holmes leads Local Diversity Council representatives in a dialogue on diversity consulting.

www.diversityjournal.com

Profiles in Diversity Journal

• March/April 2002

page 35

Dr. R. Roosevelt Thomas, Jr. How much progress has been made toward eliminating racial discrimination in the corporate world? To offer a sincere and truly positive response, corporations will have to move forward as pioneers with both traditional and post-traditional options.

howmuch

progress?

uring the annual period of Martin Luther King celebrations, media reporters often inquire: “How much progress have companies made in eliminating racial discrimination?” Predictably, two schools of thought emerge.

One points to the increased representation of racial minorities in corporations, the expanding number of African American CEOs in large companies, and the growing racial pluralism of corporate managerial ranks. Adherents to this point of view easily conclude that corporate America has made remarkable progress in eliminating racial discrimination and, indeed, should be commended.

a special Guest editorial Dr. r. roosevelt thomas, Jr., DBa CEO, R. Thomas Consulting & Training 4153B Flat Shoals Parkway, Suite 200 Decatur, GA 30034 Tel: 404.212.5015 FAX: 404.212.5503

info@rthomasconsulting.com page 36

As evidence of less progress, the second school cites recent high profile class action racial discrimination lawsuits against major corporations, enduring glass ceilings, and the continuing under-representation of racial minorities in managerial ranks. Members of this group also easily reach their conclusion: “Little has changed.”

not effectively engage all qualified employees from racial minority groups. Members of the second school would ask, “How do you account for this circumstance, if not racial discrimination?” One possible causal factor is the “diversitychallenged” corporation. These are companies where managers individually and collectively have difficulty making quality decisions in the midst of differences and similarities, independent of the presence or absence of racism. Diversity-challenged entities behave in ways that can easily—but not necessarily—be attributed to racial discrimination. So, to eliminate this offensive behavior, diversity-challenged corporations have to minimize racism and enhance their ability to address mixtures characterized by differences and similarities. Stated differently, they must simultaneously seek representation, eliminate racial discrimination and enhance their diversity management capability.

What is reality? For me, the answer to the “how much progress” question is, “Yes, we have made great progress, but …”. Without a doubt, credible evidence exists that substantial, sustainable movement has been achieved. Few are the overt or covert racists roaming the halls of corporations looking for ways to oppress minorities.

Previously, in this space, I have described the pursuit of representation and efforts to minimize racial discrimination as the “traditional approach to diversity,” and the process of becoming diversity-capable as the “post-traditional” option. Most corporations have focused only on the traditional and therefore have done little—if anything—about the possibility of being diversity-challenged.

Nevertheless, equally compelling data indicates that corporate cultures in America do

A major obstacle preventing corporations from simultaneously pursuing both the

Profiles in Diversity Journal

• March/April 2002

www.diversityjournal.com

How Much Progress? traditional and post-traditional is a lack of readiness for the diversity of the two approaches. Paradoxically, to make greater progress with diversity and the elimination of behavior that looks like racial discrimination, diversity-challenged corporations must cope with the diversity mixture of the two approaches (traditional and non-traditional) before they become diversity-capable. This is like having to swim for your life before you have learned how to swim. While not an impossibility, learning how to before having to typically would be preferable. What are key implications for practice? Ideally, a company’s executives wish to be able to state, “We have made progress in eliminating racial discrimination and minimizing dysfunctional behavior related to our being diversity-challenged. As a result, we effectively engage all qualified individuals regardless of race, and offer equal access and equal opportunity across racial lines.” To achieve this position, the company’s executives will have to do at least the following:

• Seek conceptual clarity. Executives must recognize that the two approaches (traditional and non-traditional) exist and learn as much about each as they can. This conceptual clarity is essential for effective planning and implementation. Conceptual confusion guarantees failure in practice. • Establish goals and strategies for each approach. What do you wish to achieve within each approach? What action steps will be required for success? What circumstances will hinder or facilitate progress? • Avoid commoditizing the two approaches. When individuals do not understand a diversity mixture, or feel insecure in their ability to manage the complexity of the situation, they often minimize its diversity. One way of doing this with the mixture of the two approaches would be to say that they are the same—that really all approaches to diversity are identical. I refer to this as commoditizing, treating the approaches as if they are like units of electricity and cannot be differentiated. Essentially, managers must avoid this defensive practice.

n itio Do! d E u ital re Yo g i he rD Ou nyw A oes

Recognize you are learning how to manage diversity while simultaneously implementing the two approaches. Accordingly, executives should expect some false starts and proceed in a learning mode. Otherwise, they may become frustrated, insecure and defensive, and abandon the challenge. In sum, if executives are to be able to offer an unqualified affirmative response to the “how much progress” inquiry, they will have to move forward as pioneers with the traditional and post-traditional options. These pioneering executives would not only provide leadership to their corporate peers, but also to leaders in other sectors. The best-selling author of Building a House for Diversity, Dr. R. Roosevelt Thomas, Jr. is America’s leading spokesperson on managing diversity, and founder and Senior Research Fellow for the American Institute for Managing Diversity, Inc. PDJ ©2001-2002 R. Thomas & Associates, Inc.

Good To Go.

introducing the Profiles in Diversity Journal® Digital edition All the features, case studies and ideas from today’s successful organizations and thought leaders that make Profiles in Diversity Journal your essential diversity benchmarking and education tool—with the same full-color layout and the same original articles, graphics and advertising as the printed edition! • Immediate access anytime on your computer • Perform search on any person or topic through keyword searches • Save time by keeping past issues on your computer, with full digital capabilities, for quick reference later Download a single issue of PDJ today for only $12.95, • Print copies of any page or an annual subscription for $49.95—a savings of 35% off the single copy price! Powered by

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page 37

raising the Bar

Holland & Knight LLP

avoiding diversity ises: cr a business imperative

Proactive measures help corporate america retain and expand “new markets.” introducing a new series from this Washington attorney specializing in diversity counseling.

Weldon H. latham Senior Partner Holland & Knight LLP 2099 Pennsylvania Avenue Suite 100 Washington DC 20006-6801 Tel: 202.663.7252 FAX: 202.663.7249

contact: jkmahtesian@hklaw.com

page 38

if not international, brand names (previously o most readers of Diversity Journal, the recognized solely for their quality products and case for an effective and proactive diversity corporate presence) have been severely damaged program and a record of positive diversity by widely publicized and provocative allegations performance is obvious, but some corporate of racial or gender discrimination. Such allegaexecutives have been slow to recognize why tions, where credible, in turn have evoked seri“diversity” is much more than just “the right ously negative reactions from the buying public, thing to do.” Diversity, to successful members stockholders, women, minorities, and employees of the business community, particularly in as well as from prospective customers, the investrecent years, has become a “business imperament community, recruits for key positions, govtive,” crucial to any major company’s continued viable access to the broadest possible mar- ernment regulators, and the public at large. ketplace. Minorities and women represent the Some brands have unfortunately become so tainted that they become better known for their fastest-growing sources of new and expanding alleged discriminatory conduct than for the qualbuying power in this country; thus the term ity of the goods and services they sell. “new markets” has emerged to describe this growing segment of the buying public. African Enlightened CEOs, General Counsel, Chief Am ericans and Hispanics reportedly represent nearly $600 billion and $400 billion, respective- Public Relations Officers, Chief Diversity Officers, and other senior executives charged ly, of buying power in the United States. For companies to grow and continue to be success- with broad responsibility for their companies’ overall financial performance have, to varying ful they must attract an increasing percentage degrees, recognized the need to include diversity of these so-called new markets. Operation of initiatives among the corporations’ most signifieffective corporate diversity and inclusionary cant priorities. Diversity Journal serves as a programs as well as avoidance of even the resource to corporate America in the diversity appearance of insensitivity to these new arena, and seeks to serve as a forum for the dismarkets has become extremely important to cussion and an effective means to seek resolution the business community. of vexing diversity problems. Toward that end, Diversity Journal has enlisted a new Thus, it is imperative that corporations avoid Contributing Writer with extensive practical adverse circumstances and related publicity experience assisting and advising major corporathat would undermine their successful tions that must address a wide range of corpocorporate diversity efforts. Evidence of this rate diversity issues, as well as develop and implenew paradigm is borne out by many recent ment meaningful solutions to diversity problems. dramatic examples. Highly regarded national,

Profiles in Diversity Journal

• March/April 2002

www.diversityjournal.com

avoiding Diversity Crises: a Business imperative the Changing landscape Weldon H. Latham, Diversity Journal’s newest contributor, is a senior partner with one of the nation’s top 10 law firms, Holland & Knight LLP. Mr. Latham is the founder and Practice Area Leader of the firm’s Corporate Diversity Counseling Group, the only such group of attorneys practicing in any of the nation’s largest firms. He and his Group advise a number of Fortune 200 CEOs and several other internat ional corporations and institutional clients. Mr. Latham notes that, in his broad diversity experience, he finds major corporations and other large institutions that seek to improve their diversity performance and profile generally fall into three categories of players: (1) “proactives,” with no apparent diversity problems, (2) “risk avoiders,” with signs of brewing problems, and (3) “crisis responders ,” already in the midst of a diversity disaster. The “proactives” are usually motivated by a desire to improve diversity for the sake of the business or because they have learned from the mistakes of other companies. The “risk avoiders” are responding to warning signs of potentially disastrous public diversity disputes, e.g., rapid unexplained increases in EEO charges, agitation from minority and femal e employees, or secret reports of visits with employees by out-of-town plaintiffs’ attorneys who specialize in large dollar, high profile discrimination cases. The “crisis responders” have missed all the subtle, and even the not so subtle, warnings and are now inadvertent newsmakers, in the midst of crisis—hit with a class action discrimination lawsuit as well as the attendant adverse publicity and econ omic consequences. Each of the above-mentioned corporate players, especially the crisis responders, urgently need expert advice and counsel as well as represent unique challenges and opportunities for a diversity “change agent.” Weldon Latham is such a change agent, some say a pioneer in this field, and we at Diversity Journal are pleased that he will be a frequent contributor.

employees was released to the media. Texaco emerged from the ensuing f irestorm of protest with a new dedication to diversity, a stronger company, and an improved company image. Latham joins Business Week and

The “Texaco experience” caused a sea change in the manner in which major corporations deal with threats of, and actual, class action race and/or gender discrimination lawsuits.

It is Mr. Latham’s view that the “Texaco experience” caused a sea change in the manner in which major corporations deal with threats of, and actual, class action race and/or gender discrimination lawsuits. As readers will recall, Texaco made national headlines in 1996 when an audio tape of some of its executives speaking in a derogatory manner about minority

Fortune magazines in praising then Texaco CEO, Peter Bijur, for his prompt and decisive handling of the major diversity crisis that ensued. Latham is also extremely complimentary about the efforts of current Coca-Cola CEO Douglas Daft, who became CEO in the midst of Co ca-Cola’s diversity crisis, rescued that company from the crisis, and led its efforts to become one of the best diversity companies in America, in part by launching its widely reported and highly successful “Billion Dollar Plan” that recaptured the imagination of the new market communities, temporarily estranged by the adverse media reports. Daft’s Billion Dollar Plan demonstrated Coca-Cola’s continuing commitment to broadening its relationships with minority and female communities nationwide. While these cases currently represent the two largest discrimination class action settlements in U.S. history at $176 and $193 million, respectively, they are more importantly a demonstration by two different CEOs of the ability to turn a negative situation into a positive change for each company’s future resurg ence. In fact, the Texaco and Coca-Cola diversity matters are viewed by many as ideal Harvard Business School case studies—with many differences but several important similarities that can be the source of good “lessons learned.” Both cases settled, both companies recognized the importance of re-establishing their diversity bona fides in all aspects of their businesses, both CEOs were committed to recap turing their company’s leadership roles in diversity, and both companies retained Weldon Latham and his team to assist in their efforts. Most importantly, both

www.diversityjournal.com

Profiles in Diversity Journal

• March/April 2002

companies adopted, publicly announced, and successfully implemented comprehensive diversity plans which thoroughly reinvigorated and enhanced each company’s diversity performance, profile, and credibility with their customers, stockholders, employees, minority communities (“new markets”), investors, and the public at large. Latham states that a comprehensive corporate approach to diversity is essential for any company that is seeking both an externally and internally successful program, capable of reaping the full benefits of being a “model” diversity company—without the necessity of the pain of a diversity crisis. PDJ Weldon latham is a senior partner and Practice Area Leader of the Holland & Knight LLP Corporate Diversity Counseling Group. He serves as Counsel to the Coca-Cola Procurement Advisory Council and is a Founding Member and General Counsel of the National Coalition of Minority Businesses. During his career, Mr. Latham has held positions with three administrations: as Assistant General Counsel, White House Office of Management and Budget, Ford Administration; General Deputy Assistant Secretary, Department of Housing & Urban Development, Carter Administration; and as a member of the Department of Defense Advisory Committee on Procurement and Technical Data Rights, Bush Administration. He has also served as Civilian Aide to the Secretary of the Army, Clinton Administration, on the U.S. Small Business Administration National Advisory Council; and on the Board of Directors and Chair, Legal Committee, Metropolitan Washington Airports Authority. He is a former Guest Professor, University of Virginia School of Law and Adjunct Professor, Howard University Law School. Beginning in our May/June issue, Mr. Latham will discuss various aspects of comprehensive corporate diversity programs, including: 1) diversity in corporate governance and senior management, 2) workforce diversity, equal pay, and the OFCCP, 3) procurement diversity and business partnering, 4) diversity-responsive community and government relations, 5) minority communications and media outreach, 6) diversity marketing and corporate image, and 7) diversity in corporate philanthropy. page 39

raising the Bar

Centre for Management and Policy Studies / UK

emotionallyintelligent approach to diversity A new UK government diversity training programme is believed to be the first to use the principles of Emotional Intelligence (EQ) to help people understand and deal with difference in the workplace. And while we are familiar with the strategic and organisational imperatives for diversity, it is “about people and how they conduct their relationships as they go about their work,” says Roy Howells of CMPS.

he UK Civil Service is currently undergoing significant reform, driven largely by rising expecta tions of citizens, the pressures of globalisation and the opportunities brought by new technology. Delivery is the watchword, and nothing is sacrosanct as the UK Government pursues it. The Government wants a service that not only reflects the diversity of the society it serves, but also “manages diversity” well in order to make full use of available talent. Part of the work of CMPS involves training c ivil servants in such areas. The UK Government believes that people who are of differing cultural, ethnic, racial and gender backgrounds (not forgetting differences in religion, sexual orientation, nationality, age, disability and so forth) bring welcome perspectives to the challenges facing government— and their presence is required at senior levels. Nevertheless, it remains the case that such positions in public service tend to be occupied by white males (although progress has been made) and that relatively few females, people from ethnic minorities and disabled people progress past relatively junior levels (1).

roy Howells dQ Programme Director Centre for Management and Policy Studies (CMPS) Civil Service College 11 Belgrave Road London SWIV 1RB

England

Tel: 44.0.1344.634508 FAX: 44.0.1344.634451

roy.howells@college-cmps.gsi.gov.uk page 40

Government departments have set themselves “challenging diversity targets for all their people at levels nationally and regionally,” and have “on the basis of a rigorous assessment of where t hey are now, included diversity objectives and targets, with measurable outcomes, in their next business plans and all managers’ job

Profiles in Diversity Journal

• March/April 2002

plans.” However, target-setting is solely focused on “bringing people in” and “bringing people on,” whilst the outcomes we are seeking concern more than numbers. If the end of the diversity project is to ensure that the Civil Service make the most of available talent, then the coalface of change lies in the myriad everyday interactions involving civil servants and the assumptions that support them. Th e day-to-day reality for the busy manager lies not in the composition of the Senior Civil Service, but in solving problems, getting results and dealing with whoever needs to be dealt with along the way. The subject of diversity, then, must be shaped to fit these realities as well as the more abstract corporate need. Understanding diversity requires that we explore how we feel about the differences be tween ourselves and others—however insignificant they might appear at first glance. It’s about gaining insight into why we think and feel the way we do, and acknowledging the effects of the things we do and say. Few people feel truly confident speaking about many issues of difference—and if we can’t discuss them, we certainly won’t understand them. Giving people the opportunity and confidence to do s o without fearing that they may cause offence is central to a new training programme we have developed at CMPS. As one of the UK’s foremost exponents of training in Emotional Intelligence (EQ), and a principal contributor to the UK Government’s reform drive, it became increasingly apparent to us that www.diversityjournal.com

dQ: an emotionally intelligent approach raising the Bar EQ had a significant role to play in our understanding of diversity. The d of dQ represents diversity, and the Q Emotional Intelligence.

emotional intelligence Since it was first published in the UK in 1995, Daniel Goleman’s book “Emotional Intelligence—Why it can matter more than IQ” has sold millions of copies worldwide, and is still going strong. The book’s central thesis is that emotional competence is a learnable prerequisite for good people and good societies, and that its absence causes problems. We all know people who seem to have a “knack” of getting along with and getting the best from others—who form bonds quickly and take the heat from difficult situations by trying to understand alternative points of view. In short, they are positive, empathetic and good to be around. People listen to them, a nd they listen back. This, simplistically speaking, is EQ. Proponents of EQ challenge the conventional idea that IQ, or rational intelligence, is the principal attribute of a successful manager. Goleman maintains that IQ contributes, at best, only 20 percent of the factors that determine whether we succeed in life. Rather, it is those with a good mix of IQ and EQ that tend to get ahead, with results of the limited research that has been conducted suggesting that it is EQ, rather than IQ, that makes the difference between a good performer and a “star.” Whilst a good performer might excel in the technical and intellectual demands of the job, star performers go the extra mile in terms of personal discipline and the way they relate to colleagues, customers, suppliers and other stakeholders.

Diversity and emotional intelligence If EQ is largely about considering where others are “coming from,” and responding with this in mind, diversity would seem to be a natural territory in which to apply it. In 2001, the first programme took place involving 12 participants from organisations across the UK public services. An important part of the group work during the course of the four day event involved people discussing their experiences of being discriminated against. Quite consciously, this work relied on the participants themselves for structure. A gamble on our part, we felt that more valuable discussion would result www.diversityjournal.com

from this approach than if we were to proscribe what was discussed, and how.

I’ve helped my staff despite the fact that I’ve been unsympathetically managed myself.”

Our gamble paid off, and bit-by-bit our participants shared their stories and came to realise that discrimination c an happen to anybody, and that it is unpleasant and disabling. I think we also achieved our aim of helping people find a voice for discussing difference without embarrassment.

usually concerned with issues rather than people ...

We’ll make changes to the course in the light of our experiences and the feedback we’ve been given by participants, but the early signs are that it is powerful and relevant. More importantly, I think we sent a dozen people back to their workplaces with clear ideas about where they stand on the subject of difference, the skills to manage it well and a plan for using what they have learned for the greater good.

More than i bargained for ... “I took this job because I wanted to make a difference, and I haven’t always felt that I’ve been able to do that,” said Kay Rowlinson, Housing Services Manager for the UK Ministry of Defence Housing Executive. Kay is responsible for the management of staff and 3,000 properties. “My line manager, who recently retired, was dismissive of my inclusive approach to management, describing it as ‘pink and fluffy.’ In turn, I could be intolerant with the lack of urgency in our work, and the attitudes of ‘old Kay Rowlinson guard’ civil Housing Services Manager servants—I wanted UK Ministry of Defence the course to help me take greater tolerance back to the office with me. I took back more than I had bargained for. “I went on the course because I wanted to find ways of managing diversity better, but I came away with a much greater understanding of how I had been mismanaged myself, and the responses it provoked in me. I left with a feeling of vindication for the way I choose to manage others. I’ve come to the conclusion that my approach has been a good one, and that Profiles in Diversity Journal

• March/April 2002

An officer with West Midlands Police and an experienced trainer, Sergeant Tony Guest is currently on secondment to Birmingham City Council. “My job is to try and ‘oil the wheels’ of the relationship between the Police and the Council and, as a consequence, I spend my time on liaison and strategic issues,” says Tony. “I’ve also delivered diversity training for West Midlands Police, and for the last 10 years I’ve been involved in community-based sergeant tony Guest relations West Midlands Police on secondment training for to Birmingham City Council officers. “This course was an interesting departure from the Police approach to such issues. I expected to explore issues such as race, gender and sexuality, but it took a broad, interpersonal view. The course was intense and seemed unstructured in parts, which at times I found rather unsettling. I think the group struggled with this at first but, despite occasional irritation, on reflection I think it helped us to open up as people and explore our thoughts and feelings properly. “I think we came to realise how paradoxical and complex we all are, and from there it’s a short step to grant the same attributes to the people you work with. We can all be very simplistic and mechanical about diversity, concerning ourselves with issues rather than people. We become clever at determining what we can and can’t say and how to react to things, and this needs challenging. Coming from the Police culture where we like to ‘get things done,’ I tend to get a bit impatient with the local authority culture’s more measured approach to action. The course has helped me understand that we have different experiences and we bring different solutions to problems.” (1) Equal Opportunities in the Civil Service Data Summary 1999

PDJ page 41

the Changing landscape

Simmons Associates, Inc.

he purpose of this series is to identify the Ten Red Flags that undermine diversity initiatives and how to avoid or overcome them.

ten redflags

in a diversity initiative

Surprisingly, these red flags fly even in many “best in class for diversity” companies. But typically they aren’t recognized until the diversity initiative stalls. At that point, Senior HR and Diversity practitioners call us to discuss how to “reinvigorate” their diversity initiatives, to “gain traction.” They are understandably proud of certain accomplishments in diversity—especially those who have won the coveted Diversity Awards. They are simply “seeking additional tools to get to the next stage.” We hear: “This year we’ve increased our entry level minority hiring, but …” “We’re doing pretty well for women, but ...” “Our training program has been well-received, but ...” “We have a broad set of metrics, but …”. After asking a few basic questions, we consistently find common denominators and our answer is resolute: Stop what you are doing and take a step back. No, take ten steps back. After stunned silence, their question follows, “Why back—and not one step but ten?” Because there are ten primary reasons for failure of a Diversity Initiative and invariably their organization has committed one if not more of them. Further, not only are there ten opportunities for failure, but these elements are inextricably linked and must occur in a specific sequence. The failure or premature introduction of one will, at some point, bring the whole plan to a halt.

reD FlaG #1 Misunderstanding the Challenge: the Diversity = eeo/aa Paradigm

terrence r. simmons

Peggy Hazard

Founder, Chief Executive Officer

Managing Director and

and Managing Partner

Executive Committee Member

Simmons Associates, Inc.

31 N. Sugan Road, P.O. Box 712

New Hope, PA 18938

Tel: 215.862.3020

FAX: 215.862.1457

www.simmonsassoc.com

peggyh@simassoc.com

page 42

Profiles in Diversity Journal

• March/April 2002

We cannot solve a problem or leverage opportunities if we (a) don’t understand and clearly define the challenge or (b) don’t rigorously address the challenge we have defined. As obvious as this may sound, these two scenarios frequently chip away at the success of many diversity initiatives. The first scenario—not understanding or clearly defining diversity—is due primarily to the fact that, for many of today’s corporate business l eaders, the concept of diversity originally sprang from concern over compliance with EEO laws, Affirmative Action regulations and the associated emphasis on race and gender, i.e., www.diversityjournal.com

ten red Flags the Changing landscape making special efforts to ensure the success of minorities and women. Unless these leaders gain exposure to paradigm-breaking experiences which broaden their understanding of diversity, they continue to think of it as an extension of EEO and AA and fail to recognize the full meaning of diversity and the tremendous business upside of managing it to its fullest level.

organization better. If the skills necessary to manage diversity have not been identified and developed, it may actually lead to decreased commitment, ineffective teamwork and lowered productivity along with major increases in conflict and costs.

If “Diversity” is understood as sy nonymous with the laws and regulations, two potentially lethal problems are bound to arise. The first of these problems is that most white males will feel excluded. At best this prevents buy-in of key stakeholders who cannot see the “W.I.I.F.M. (what’s in it for me?).” At worst it causes the sidelining or scaring of white males and encourages the view that Diversity is “just a new, politically correct term for special treatment,” breeding cynicism and bad morale. This point of view is rarely voiced publicly, but is far more pervasive than one might imagine,

The second scenario—not addressing diversity issues rigorously even when they are understood and defined with appropriate breadth— is pervasive among companies today. Many organizations state an understanding of diversity as going beyond race and gender to include “differences among people including background, thinking styles, culture, age, family status, physical abilities, regional origin, etc.,” and state visions along the lines of “embracing and leveraging these differences, enabling us to better compete and become an employer of choice.” But, then, they fail to

first of a six-part series and as certain to eat away at the underpinnings of a diversity initiative as a termite infestation in a damp wooden house. A less obvious, but equally damaging problem arising from the Diversity = EEO/AA paradigm is that programs, goals and metrics are then designed with gender and race in mind. Training programs tend to focus on awareness so as to combat racism and sexism. Goals and metrics myopically center around representation. If and when everyone has been sent to training and incremental progress is made against these metrics, leaders believe “diversity” is done. One leader of a Fortune 100 firm reports, “We don’t have a problem with diversity. We have x percent women, y percent Hispanics and z percent African Americans. Our people do the right thing, treat each other with respect. We had diversity training for all of them.” While important strides may have been made, this executive is ready to abandon diversity efforts before they have yielded their greatest benefits to the organization.

follow through with actions that would reinforce their well-crafted words. Even a cursory examination of the organization’s accountability system can be quite revealing in this regard. Despite all the visioning and carefully rehearsed rhetoric, what is measured and what are leaders actually held accountable for? The answer is that in most cases, leade rs ultimately are still held accountable for measurable results in only two areas: increasing the representation of women and people of color and insuring that employees attend training. What about accountability for associates once they attend the training? Usually, nothing specific and nothing measurable. Hence, after all is said and done, the focus of the organization’s diversity efforts still am ounts to Affirmative Action and sensitivity training. The true meaning and challenge of diversity is, therefore, circumvented, and for all intents and purposes the organization is once again operating under scenario one.

In fact, becoming “more diverse” and “more aware” does not necessarily make an

Beyond the problems stated in scenario one, this concept-practice disconnect causes an additional problem: Powerful and destructive cynicism among key stakeholders caused by the

www.diversityjournal.com

Profiles in Diversity Journal

• March/April 2002

belief that despite what is claimed, diversity in fact means special treatment for certain groups. One Fortune 150 company, for example, touts a broad definition of diversity and has a comprehensive website stating their inclusive vision. But when asked the definition of diversity during an interview, the Vice President of Sales, a white male, exclaimed, “everyone but white males.” He added, “I’m perfec tly serious. Look at what is really being done and show me any attention or concern to issues that impact white males.” But what about what has been published and is in the CEO’s speeches? “That’s just window dressing. What gets measured gets done. They should just call it what it is.” The only way to counter this negativity is to create and fully realize a broad definition and vision. Which leads u s to the real challenge of diversity: it is not a program or series of special events. It is not a headcount. There is no quick fix or magic recipe. A successful diversity initiative requires a strategic process to change “differences”-related behaviors and achieve enhanced business results. And by behaviors we mean actions encompassing the way all aspects of business are done. Diversity, therefore, requires nothing short of a corporate culture change. The next question is, if it’s so difficult, “Why change?” This will be the topic of the PDJ next article.

In our next issue: “What We Don’t Know Can Hurt us” Red Flag #2: there is no compelling business case for diversity We’ll discuss the need for a customized, rather than generalized, business case. We’ll discuss methods for a comprehensive internal and external needs analysis and offer some specifics on what gets overlooked, such as sales potential and challenges by territory. Simmons Associates is a nationally-known resource team located in New Hope, PA. The firm has provided consultation and training services in Leadership, Diversity, Human Resources and Organizational Development for Fortune 500 organizations for 25 years, and is known for its integrity, client service and strategic, business results-focused approach to diversity. page 43

defining moments groups (food, clothing, haircare) by working with various commercial organizations and businesses (Chamber of Commerce). • Engage with the local towns and school districts in a series of conversations about the importance of diversity. • Provide limited financial and administrative support for faculty and employee associations such as the Black Caucus, the Women’s Caucus, and the Coalition for Gay, Les bian, Bisexual, and Transgender Concerns. • Envision diversity as a benchmark of institutional strength and health in all public conversations and reports in the same manner and tone used to discuss other indicators. Do we talk about our diversity efforts with the same pride as our excellent academic program, our groundbreaking research, or even the performance of our endowment?

recognizing success, ensuring Momentum This year Dartmouth will announce the first recipients of our newly created Martin Luther

Dartmouth College Continued from page 29

King, Jr. Social Justice Awards. Candidates were drawn from the student body, alumni/ae, faculty and staff. The awards are rooted in our belief that recognition of individual efforts to promote civil rights, public health, education, and environmental and social justice, are qualities and values that are foundational to our purpose as a place of teaching and learning. We are also modeling for ourselves, and our students, the possibility of creating a productive and meaningful life by providing service to ideals that extend past our personal ambitions.

discourse about pluralism and community • the review and distribution of funds generously provided by an alumnus, Allen I. Bildner, that support programs for inter-group conversations and actions. The Council is composed of administrators, faculty, staff, and students.

We are attempting to cultivate a culture on campus that empowers members of our community as individuals and as teams. We want to be hel d accountable for our progress by setting realistic goals. And we want to create, through our collective efforts, a momentum that will carry us forward. In order to do this, we will have to be ready We have established a Council on Diversity comto hear concerns and be willing to respond posed of senior academic and administrative appropriately. Our whole institution, in all of its officers. We have also established The Council on complexity, will have to feel ownership of the Inter-Group Relations to propose ideas, assist with programs, and report on institutional needs process, and ultimately our success will depend upon how well we answer the question, “What do that sustain or enhance Dartmouth’s on-going you mean when you say diversity?” PDJ commitment to diversity. The President has defined three basic objectives for the Council: • the creation and promulgation of a “diversity inventory” • the encouragement of campus dialogue and

the battle of retention Kathy Kenny. “While half of our recruits were women, we have been less successful than we want to be retaining and advancing women to leadership positions. We felt improvement in this area could provide immediate, high-impact benefits for the firm.” The Women’s Initiative consists of several successful components. The first to be developed was the Women’s Mentoring Program, which pairs junior women with four-to-six years experience with seasoned managing directors located in another operating unit. (The company has 100 offices nationwide organized into 20-plus operating units.) Fifty-six women have or are currently participating in the program. This initiative also led to development of the Women’s Management Network to provide networking opportunities for women senior managers and managing directors/partners. The group, working in partnership with the firm’s human resources group, has organized the firm’s first Women’s Leadership Conference, scheduled in May. The conference will feature networking opportunities and educational sessions. page 44

rsM McGladrey, inc. Continued from page 17 Performance Management evolves and improves RSM McGladrey continues to refine its performance management system, which to date has consisted of a cycle that begins with performance planning, followed by progress reviews, performance reviews with multi-rater feedback and, for client servers, engagement evaluations. “Helping employees clearly understand performance expectations has been an ongoing challenge,” said Dehne. “In upcoming months, we’ll be adding a critical piece to our performance management system—competencies, or what we will call success factors. We believe a consistent set of expectations will help employees understand what they need to do to help the firm be successful, while also helping them understand how they are evaluated and promoted. Ultimately, we believe this will have a positive impact on retention.”

enhanced Benefits and Work/life Balance Today, a discussion of retention wouldn’t be complete without mentioning the impact of benefits and worklife balance. The balanced lifestyle component has become increasingly Profiles in Diversity Journal

• March/April 2002

important in the accounting industry, which historically has a reputation for long hours, especially during tax season, and the expectation of long grueling days of self-sacrifice on the path to gaining partner status. “We know employees today are less inclined to make the life balance sacrifices of previous generations,” Dehne said. “So, like many employers, we’re approaching these issues differently. We’ve expanded our offerings of enhanced benefits, and you’ll find more people in the firm, both men and women, finding satisfaction through alternative work schedules. We also recently reviewed all of our policies to ensure they are written in a people-friendly tone and that they reflect our People Philosophy.” As RSM McGladrey’s experience has shown, reducing voluntary turnover is a complex issue that must be addressed on several fronts. Simple, one-shot fixes won’t work. An allencompassing effort is the only way to truly impact retention and create long-lasting results. And it’s a process that is never-ending. PDJ

www.diversityjournal.com

on the line

Want more from your diversity initiative? there are seven critical steps an

sBC Continued from page 15 companies use as a model. More importantly, in fostering the growth of our business partners, we’re working to ensure economic vitality in our diverse communities nationwide.

organization should take to achieve a successful diversity initiative. Training and diversity audits are only two of them. the other five steps are often overlooked or unrealized.

Preparing the next Generation We’re also focused on providing opportunities for our future workforce. SBC’s philanthropic arm, the SBC Foundation, places an emphasis on grants and programs for community development and educating the underserved. One unique external application of this holistic approach is The Telecom Opportunity Institute (TTOI), a program for at-risk students in California and Texas, designed to generate awareness and excitement about future long-term career opportunities in the telecommunications industry. With the help of SBC’s $1 million founding grant, TTOI focuses on addressing education and employme nt in underserved communities through the increased use of technology. The institute seeks to create professional and ownership opportunities in the telecommunications industry for ethnic minorities and women in underserved communities, including the nation’s urban and rural areas. TTOI provides programs such as the Computer Use and Internet Training Series and the Telecom Career Academy, which exposes h igh school students to telecommunications professionals and career opportunities. Of the individuals served by TTOI, 93 percent are people of color and 87 percent are women. By reaching out to them, we introduce them to our industry and establish a relationship with their community. It’s about opportunity: for our communities, for our employees and for us to better serve both. PDJ

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inclusion is the answer and “reverse discrimination” from traditionally favored employees, often accompanied by rejection and isolation of those regarded as undeserving. Backlash is an effective mechanism for maintaining the status quo.

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Jeffrey P. Howard, Ph.D. Continued from page 31

challenging assignments, and placing them in work environments that deny them support, ensure that they will never be qualified, and will be forever foreclosed. These problems are commonly mislabeled “diversity issues;” they are better understood as inclusion issues, phenomena that have the effect of keeping people well back from the leading edge of learning and development. They suggest marching orders for the critical second stage: we must refine and sharpen the way we think about, talk about and approach our great Profiles in Diversity Journal

• March/April 2002

national (and global) concern for equality. Unbundling the terms “diversity” and “inclusion” is an important beginning. Diversity, understood as representation and peaceful coexistence, is the first step, something all serious organizations must hold themselves accountable to achieve. Inclusion, the drive to ensure that members of all represented groups are placed in positions that promote important le arning, and strongly supported in these positions, is the second stage. And I believe it is the payoff, the PDJ real prize of all our efforts in this arena. page 45

a promise held dear CHilDs: We should not allow ourselves to be in a state of denial. We can't say that a group of people that legitimately exists really isn’t there. You can't be a workforce of more than 300,000 people and feel that you've got some people who aren't IBM employees. That's just naïve. And when you start down that road, you are endorsing unfair treatment and negating your ability to promote an inclusive point of view. You cannot talk “inclusive” and exclude any group of people. Our goal is to get the best people to work for the IBM company so that we can have the most talented and diverse team in the marketplace. If you're excluding people because of someone's personal views, then you are denying your company access to the points of view and skills available in that constituency. You're also reducing your team's ability to be effective in the workplace and the marketplace. Let me illustrate what I mean by walking through IBM history on the subject of race and gender. IBM hired the disabled in 1914, hired professional women and created a written policy of equal pay in 1935, and hired Black salesmen in 1946. If those milestones had been put to a vote of our workforce or the community at large during that 32-year period, we would not have hired the disabled, or women, and we certainly would not have had Black salesmen.

an interview with iBM’s ted Childs, Part ii Continued from page 25

opportunity, affirmative action and work/life balance as equal members of a “family of issues.” How did we accomplish that? First, within the diversity practice, we had to deal with fairness in the applicant/employer process, and the employee/employer relationship. To make this work, we had to establish zero tolerance for any form of harassment. Second, we had to create a level playing field by expanding who is eligible to benefit from affirmative action programs. Today, this includes race and gender, and anyone who is “disadvantaged.” Finally, the name change allowed us to help incorporate concepts and programs that would help people balance the increasing demands of their jobs and the ongoing demands of their personal lives. The common denominator for this family of issues is “access to the workplace.”

A leader must be able to draw others into the debate and be a catalyst for change; someone who can convince others that helping to change the content and character of the workplace makes the team stronger and a better performer in the marketplace.

Given that background, I don't understand why anyone would think we ought to put it to a vote now. We ought to do what we believe is right and fair. In this case, we're doing that. On the issue of basic fairness, if we have one guideline for women, minorities and the disabled, and change the guideline for our GLBT team members, we are risking our credibility.

The second must-win was creating diversity councils. They were an important tool to allow people to work together, and demonstrate they could address sensitive, personal and often passionate issues—issues that if addressed could help us recruit and keep talent, and better connect to a changing customer set—and if not addressed could at some point be divisive.

Diversity Journal: During your time as a diversity leader, what issues have you viewed as “must-wins” and why?

Third was the establishment of our Workforce Diversity Executive Task Forces. They allowed our CEO to deputize executive leaders from each constituency to help us understand what they saw as problems or perceptions that, if addressed, could improve our workplace climate and marketplace performance.

CHilDs: Changing the name of our department from Equal Opportunity and Affirmative Action to Workforce Diversity was a big mustwin. At first blush, changing a name might not seem important, but in 1991 it represented a new way of thinking. The name change allowed us to honorably embrace the concept of inclusion, and sent a message to white men that they were part of our vision of workforce diversity. We also wanted to connect equal page 46

Fourth was the approval of domestic partner benefits for Gay/Lesbian employees. The reason was fairness. It was difficult to state that our benefits offering was a component of our compensation package and have a group of employees excluded from full access to such an impor-

Profiles in Diversity Journal

• March/April 2002

tant component of the employee/employer relationship. Fifth was having a global Workforce Diversity focus and strategy that was accepted and owned by senior management. That was the only way to ensure that our work was not just tactical, but also strategic. Diversity Journal: Do you have any “mustwins” that you haven’t won yet? CHilDs: Yes, but discussing them in your magazine is not the way to win those debates. Diversity Journal: What defines an effective diversity executive in corporations? Are there certain qualities that a CEO should look for in selecting a diversity leader? CHilDs: I think there are four key attributes. First, the ability to create zones of discomfort without offending, and the ability to break glass and be respected, not fired. If you're going to do diversity-related work and get along with the leadership because you tell them what they want to hear and not what they need to hear, then the one thing you are assured of is not being a change agent. Secondly, a diversity leader must be passionate about diversity as a people issue, and about their company and its business. Third, a diversity leader has to be able to negotiate. Life is about day-to-day politics, and a leader has to be able to debate, argue points of view, win some and lose some, and know when today’s loss must be viewed as a deferred victory, not a defeat, because the issue is a “must-win.” When a diversity leader knows he's right, he must be prepared to come back and fight continuously for important issues. But the most important quality for a diversity leader is the ability to motivate others, to see it as part of their personal day-to-day performance. A leader must be able to draw others into the debate and be a catalyst for change; someone who can convince others that helping to change the content and character of the workplace makes the team stronger and a better performer in the marketplace. Those “others” must include a cross section of management, executive members of the employee constituencies, and employees—all of them working as a team. PDJ www.diversityjournal.com

Creating the of Diversity

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WE SEE THE FUTURE OF BUSINESS, AND SHE LOOKS GOOD. With your ability to deliver the best solutions to an evolving global market, it’s your talent that will take your career as far you want—as fast as you want. As the world’s largest professional services firm, we give you life-long learning and continuing education. We help you tailor your career by listening to your aspirations and through focused mentoring programs. And we value your individuality with initiatives like Minority Scholars, Mentoring Partnerships and Circles networking activities for women and minorities. We help you realize that your future—and ours—is what you make of it.

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Join us. Together we can change the world.SM

A T I O N A L

E C U R I T Y

G E N C Y

F O R Y O UR E Y E S O N LY

There’s never been a more important time to see just how good you are.

At the NSA, you will excel with the organization that carries out a number of the country’s most important intelligence activities — monitoring, gathering and decoding foreign communications (signals) from around the world...Information Assurance — protecting our

country’s own security and communications from exploitation...and transforming data into key intelligence for use by the highest levels of U.S. government decision-makers. So, you see why we seek only the most highly qualified “human intelligence.”

We are now hiring in these areas: • • • •

Computer Science • Computer Engineering Electrical Engineering Foreign Languages • Mathematics Intelligence Analysis

For complete details go to: www.nsa.gov Ready for the challenge? Contact: National Security Agency, Suite 6779, (KUD), 9800 Savage Road, Ft. George G. Meade, MD 20755-6779. Reasonable accommodation provided to applicants with disabilities during the application and hiring process where appropriate. Equal Opportunity Employer. NSA is committed to cultural diversity in its workplace. Positions open to U.S. citizens only.