Leaders in Diversity and Inclusion: 5 Lessons From Top

Global Companies
David is in charge of workplace diversity management at a global
manufacturing company. He was recently assigned a seemingly basic task.
Focus on minorities, the executive sponsor of the initiative told him. Id like
to see our numbers climb from 25 to 45 percent, he said.
Minorities are largely underrepresented at the company, but David knew that
was only a small part of a larger problem. Women are also grossly
underrepresented, especially among senior employees. Additionally, there are
no current initiatives to hire people with disabilities, nor is there a policy in
place that promotes diverse ways of thinking.
Frustrated at the narrowed focus of his duty, David immediately felt
discouraged. Through his experiences, he has learned that to achieve greater
diversity and inclusion (D&I), organizational efforts will need to focus beyond
just the numbers. To effect positive and measurable change within an
organization, David knows it is imperative to focus efforts on a collective and
multidimensional solution.
Later that day, David chatted with a team of his coworkers in different
countries during a conference call. Some of them echoed something he has
heard plenty of times in the past. Jason, a colleague in Singapore, stated,
Simply focusing on hiring minorities isnt enough. The offices here, for
example, employ a huge number of minorities, but they arent included as key
decision makers, and theyre rarely promoted to executive positions.
David and Jason both agree that their company should continue to hire more
people from underrepresented groups, but that a single focus will not do much
to solve any of the larger problems. They understand that companies with
gender, ethnic and racial diversity are at least 15 percent more likely to
experience above-average financial returns. They also know that companies
within the top quartile for racial and ethnic diversity are 35 percent more likely
to do the same.
These statistics imply a significant relationship between competitive profit
gains and diversity, so why, exactly, is focusing on minorities not enough for a
global company?

Why are members of the global workforce such as David and Jason
frustrated with one-way initiatives that do nothing more than single out certain
groups of people?
And most importantly: what can we learn from top companies successfully
globalizing workplace diversity and inclusion?
Managing diversity and inclusion in the global workplace is, in many ways, an
unmapped territory. As such, we share five lessons from the following top
global companies:

BASF. Earning a spot on DiversityIncs Top 50 in 2015, 2014 and 2013,

BASF is a global force properly leveraging D&I.

Ford Motor Company. Ford made DiversityIncs Top 50 an impressive 11

times.

Sodexo. Sodexo was the recipient of the Catalyst Award in 2012 and
earned a spot on DiversityIncs Top 50 on eight different occasions.

AIG. In 2015, AIG earned a spot on DiversityIncs 25 Noteworthy

Companies list for the second year in a row. The companys talent
pipeline, equitable talent development, CEO and senior leadership
commitment and supplier diversity were assessed.

LOral. In 2006, the World Diversity Leadership Council presented LOral

USA with the Corporate Diversity Innovation Award, as well as the DANDI
Award in 2012.

Deutsche Bank. Named as one of the Top 50 Employers for Women,

Deutsche Bank also won an award for its global sponsorship program
ATLAS, which helps women progress to senior positions.

Bayer. Known for years for its effective eLearning modules and other nontraditional strategies for D&I, Bayer was named a Top 10 Company for
Asian Americans, as well as a Top Global Company by DiversityInc.

Johnson & Johnson. The global healthcare company was listed on

DiversityIncs Top 50 eleven times.

These leading organizations are paving the way for the future of diversity and
inclusion. Between fostering innovation and learning to properly monitor
and model their efforts, we have gleaned from these leading global

companies five important lessons for organizations to successfully implement

diversity and inclusion efforts that will have global relevance.

Lesson 1: Recognize the Shift in Global

Understanding of D&I
As David and Jason realize in the above scenario, diversity today means more
than race and gender. Theres growing significance placed on creating
environments where a variety of different voices are encouraged and heard.
These voices come from people who may or may not be of the same gender,
race, or ethnicity. Diversity in the workplace today can include some of the
following:

Race

Ethnicity

Gender

Sexual orientation

Religious affiliation

Generation

Disability

Personality type

Thinking style

This new way of thinking about D&I focuses on meeting the needs of
the individual and not so much on an HR-centered initiative. Today, it is
not only about having diversity within a company but leveraging that
diversity to produce better products and services.

It is crucial to hire and maintain a diverse workforce, so gender and

racial/ethnic initiatives will be launched and maintained into the
foreseeable future. There is much to learn from leaders in diversity and
inclusion, but it is important to remember that every companys D&I

initiatives will look different. You should tailor your initiatives to address
your specific industry and your companys areas of weakness.
Furthermore, global strategies should be able to be adopted locally.

It is wise to remember that diversity means different things to different

people, and organizations will apply those definitions to their
companies respectively. For example, the percentage of workers of
European ancestry in the UK decreased by almost 10 percentage
points over the last ten years. This presents an area of focus unique to
the UK workforce.

Another example is the focus on people with disabilities in India, where

many people suffer from polio or other diseases because medicine was
not available to treat them. Because of this, Deutsche Bank works with
a non-governmental organization to train people with disabilities to work
at the company.

Its clear that the shift in D&I still includes, but stretches beyond, race
and gender. We are in need of a collective push toward recognizing the
need for diverse thinkers coming from a variety of different
backgrounds, but companies are only slowly moving in this direction.

Take the story of Todd Sears as an example. He began his career as a

Wall Street investment banker in an environment that was not
accepting of homosexuality. He eventually found a position in a more
welcoming environment, where he flourished and eventually went on to
pursue his own firm in a new market: private banking focusing on LGBT
clients.

Sears statement is a testament to the changing forecast of D&I: For

me, its business first, and business as a vehicle to achieve social
justice and civil rights.

His statement provokes further thoughts about for-profit organizations

and their dedication to advancing society on a global level. We all know
intuitively that D&I initiatives are morally right, but realistically speaking,
businesses are going to do what is best for the bottom line. This fact
rouses sentiments about social responsibility, and part of this view
naturally considers supplier diversity.

Few companies are as successful as Ford when it comes to supplier

diversity. In November of 2014, The National Minority Supplier
Development Council named Carla Preston of Ford Motor Company a
Minority Supplier Development Leader. In 2013, Prestons efforts led to
Ford adding 16 new Tier 1 diverse suppliers to its network, accounting
for $4.8 million in spend. That year, Ford granted $1.08 billion of new
business to diverse suppliers.

This example proves that a global entity can indeed leverage diversity
in many ways and see extremely positive results. This is proof that what
is morally right can also be the best business decision.

There are aspects of running a global business that are the same
across the board, such as making a profit and putting forth efforts into
D&I. There are also unique concerns that come with operating through
different cultures and regions.

Lesson 2: Build an Inclusive Environment

Studies show that diversity and inclusion efforts are worthwhile, especially on
a global level. In the United Kingdom, senior executive teams proved a 3.5
percent increase in earnings before interest and taxes with every 10 percent
increase in gender diversity.
This implies that global business leaders should strive to create an
atmosphere where multiple voices are heard, and their opinions are valued
and considered. This fact should be engrained in the company culture. In the
example scenario, David and Jason realized the importance of an inclusive
global workplace, but were frustrated with the focus on a single group of
workers and frustrated that the company culture lacked a focus on global
talent.
Few senior executives have realized the importance of a diverse workforce
powered with voices of people from different backgrounds, personalities and
thinking styles across the global workplace. It has become important to create
environments where all people are encouraged to draw upon their unique
experiences, perspectives and backgrounds to advance business goals. To
achieve this in a global work setting, its crucial to employ effective global
communication and training efforts.

Healthcare provider Johnson & Johnson, for example, realized that to be

successful in global diversity, it needed culturally appropriate efforts launched
for every region. The company was struggling to combine its diversity efforts
in the United States and Europe, so it conducted its first-ever live video
conference on mutual perceptions, diversity and respect. Clients and
employees reported increased productivity, and over 100 survey
participants reported the conference was the most valuable training they had
ever experienced.
Another example of a global company realizing the depth and scope of
inclusive environments is Deutsche Bank, a signatory and founding member
of diversity charters in Germany, Spain and Luxembourg. About 42 percent of
its employees are female. Eileen Taylor of Deutsche explained, We are in 75
countries and we hire the best talent in each locale. Diverse teams and
companies make better decisions.
Considering these examples, its clear that some of the top organizations
around the world have set an example for diverse and inclusive global work
environments. As these organizations continue their efforts and others follow,
how do they continuously improve? And, more importantly, what areas of D&I
are companies still falling short?
Sixty-five percent of 321 executives of large global companies surveyed by
Forbes Insights claimed to have a plan in place to recruit a diverse workforce
but only 44 percent employ retention programs. This signifies a gap in
collective progress when it comes to retaining diversity and inclusion in the
workplace. In other words, you cannot simply have diversity; you must learn to
leverage and nurture it so that it can thrive.

Lesson 3: Use Multiple Practices and Measures

Diversity and inclusion should not be treated as a one-off initiative. Many
leaders struggle with how to manage workplace diversity. Promoting diversity
and inclusion in the workplace is a constant work in progress, and it should be
maintained and nurtured to be effective.
According to a 2014 HUDSON Research & Consulting study that
interviewed interviewed six D&I leaders from leading non-U.S.-based
companies, there is a need for multiple initiatives and many sources of
feedback.

Instead of looking at turnover rates and other numbers, there is a need for
measuring ROI based on different indicators and granular information, such
as employee responses and consistent feedback about policies.
Chemistry giant BASF employs a talent dashboard that allows leaders to
gauge D&I progress by asking comprehensive questions about their thoughts
on the hiring process and retention trends. This ensures that multiple voices
are heard and encourages employees to voice their opinions. Strategies like
this give a voice to employees who might not otherwise express their opinions.
Another example of a successful global company utilizing multiple practices
and measures is the German chemical and pharmaceutical company Bayer. It
uses eLearning modules as a way of providing ongoing education to
employees. This type of resource provides employees with consistent
reminders of the companys values and expectations.
David and Jason at the global manufacturing company would likely appreciate
such efforts. A talent dashboard would allow them to voice their concerns in a
safe atmosphere, as well as show them that leadership cares about their
concerns. The eLearning modules would serve as a way to educate
employees across the globe, placing emphasis on things that matter beyond
racial and gender diversity.
The takeaway is that your global company should have solutions in place to
monitor and retain a talented and diverse workforce, such as any of the
following:

Global mentoring programs

Employee resource groups

Multicultural talent management

Strategic partnership development

e-Learning modules

Lesson 4: Ensure Leaders Model Diversity and

Inclusion

It is critical that senior leadership model diversity and inclusion. When senior
leaders own D&I and make themselves a part of the diversity and inclusion
management process, it sets the tone for the rest of the organization to follow
suit. I have to be the champion of diversity and inclusion, said LOral USA
CEO Frdric Roz. It is my job to be a role model and show how important
this is to our company.
BASF is an excellent example of a global company that introduces D&I
training programs to senior executives to promote diversity throughout the
organization. BASFs Ambassador Network includes over 500 employees
worldwide and encourages the creation of an open corporate culture that
values every individual.
Is there a secret formula to learning how to manage workplace diversity,
especially considering the breadth of differences between global companies?
Here are three steps imperative to obtaining inclusive leadership.
1. Seek diversity
Companies must pull applicants from a diverse pool using the best
techniques. Most global companies understand this fact, but it is not enough.
Best practices include training hiring managers to ensure the hiring criteria
and process is inclusive.
2. Create inclusion
It is not enough to only hire a diverse workforce. It is crucial to leverage
diverse perspectives for the benefit of the business as a whole. It is important
to bring awareness to unconscious bias and discuss it in terms of the
organization. In doing so, multiple perspectives are shared and considered.
3. Drive accountability
Leaders in diversity and inclusion should make it clear that your global
environment promotes free speaking. Encourage employees to speak out
against biases. If necessary, launch a culture change in which every
employee is involved.
This process can be slow and intimidating, but your efforts will pay off when
employees feel empowered to take individual accountability and let you know
when they notice a bias. Diversity and inclusion activities in the workplace are
not always a simple process. In fact, sometimes they can be quite messy. But

it is often in these situations in which employees step outside of their

comfort zones and are faced with new situations and ideas that
tremendous growth occurs.
A global organization catching on to this need for inclusive leadership is Ford
Motor Company, which recognizes the need for leveraging different skills and
perspectives, and for respecting each other, and, in doing so, achieving
profitable growth for all.
Kiersten Robinson, Vice President of Human Resources, Asia Pacific and
Africa at Ford, was born in Ireland and immigrated to Australia as a child. She
experienced cultural differences and was always well aware of her own as an
immigrant. She learned at a young age the positive outcomes born from
leveraging diversity and integrated that knowledge into her career. Robinson
believes that organizations should use varying insights and perspectives as
opportunities to increase customer satisfaction.

Lesson 5: Recognize the Connection Between

Innovation and D&I
Perhaps the most significant lesson is that diversity and inclusion spark
innovation. In AIGs 2014 corporate citizen report, for example, it included
leveraging cognitive diversity to drive innovation as a D&I principle. According
to the global enterprise, diversity and inclusion increase innovation and reduce
business risk.
The enterprise focused its efforts on three areas in 2014:

Nomination programs. It hosted training for 350 employees in nine

countries representing the enterprises every region. The efforts focused
on women and under-represented groups.

Training programs. A global initiative was launched in over 20 countries

to address general diversity and also train managers in cultural
competence, generation diversity and unconscious bias.

Employee resource groups. The enterprises employee resource groups

experienced a growth rate of 76 percent in one year. It expanded to 10
different dimensions of diversity, added to 36 existing chapters and
launched 37 new groups.

This new trend among top global companies fostering innovation in the
workplace encourages other global businesses to do the same.
If you want to begin exploring the concept of cognitive diversity in the
workplace, know that it focuses on diversity of thinking and is composed of
four dimensions:

Perspectives. People represent situations in different ways. In the global

workplace, it will help to have multiple perspectives when it comes to
representing a problem, as they will see different possible solutions.

Interpretations. Employees interpret situations, problems and other

people in different ways, classifying them accordingly. Through diverse
interpretations, teams can discover multiple resolutions.

Heuristics. People resolve issues in different ways, proving there are

multiple ways to arrive at a conclusion.

Predictive models. To make predictions, some people analyze, and

others look for a story. Both are useful to discovering workplace solutions.

Cognitive diversity breeds high performance while completing complex tasks.

Global workforces powered with diverse thinkers hold the ability to foster
innovation. It is important to note that there are two possible roadblocks to this
innovation:

Unconscious bias

A corporate culture that doesnt promote sharing any and all opinions

Unconscious bias is difficult to overcome, but there are steps you can take to
overcome it in the global workplace:

Realize your tendencies and natural reactions to people different from you
in some way.

Expand your support network and go to different people for advice.

Invite more people to make important decisions.

World leader in quality-of-life services Sodexo is well known for its forward
thinking and ability to recognize bias. The company was recognized with one
of Canadas Best Diversity Employers awards for two years in a row. President

of Sodexo Canada Barry Telford explained, Diversity is not just about each
group getting their moment. We must all work together to identify bias and
make a commitment at all levels of the organization not to overlook our most
talented and resilient team members.
Leaders in diversity and inclusion should reward employees who are not afraid
to voice an unpopular opinion or suggest something different than whats
expected. Dr. Rohini Anand of Sodexo USA said, Inclusive leadership starts
with self-awareness, being introspective, knowing your blind spots and
possessing the ability to listen and learn.
The ability to listen and learn can only be valuable if employees are
encouraged to speak their minds, even when they are expressing an
unpopular opinion or suggesting a new idea. Smart, successful global teams
understand that differing opinions spark innovation and that it is a crucial
part of high performance. Without recognizing bias and considering different
viewpoints, growth will likely be slow moving.
David and Jasons global manufacturing company would likely benefit from an
amended corporate culture that promotes diverse thinkers and promotes
recognizing unconscious bias. They would likely experience fewer workplace
frustrations as employees are encouraged to voice their opinions and multiple
solutions are considered.
With so many considerations, it can be difficult to know where to start or
where to focus your efforts. Learning to leverage global workplace diversity is
far from simple, and learning to manage, maintain and measure your efforts
will take time. Leaders in diversity and inclusion have taught us that it is an
ongoing process, and it might require the help of an outside source one
that specializes in global diversity and inclusion in the workplace.

Consider Aperian Global

If you are ready to leverage diversity and create a more inclusive global
workplace, consider Aperian Global. We work with individuals like David to
help navigate the best approach to diversity and inclusion. We will ensure you
develop a solution that is global in reach and local for adaptability.
Our consulting services include globalization of diversity and inclusion
initiatives, employee resource groups and affinity networks, and embedding
diversity and inclusion into the organizations culture.

We also offer consulting, program design and facilitated training programs to

support the creation of an inclusive environment. Some of our learning
solutions include:

Consulting to support the globalization of diversity and inclusion initiatives,

enhancing the effectiveness of employee resource groups & affinity
networks, and embedding diversity and inclusion into organizational
culture

Learning programs to recognize and address Unconscious Bias in the

workplace

Diversity and Inclusion and Inclusive Leadership facilitated, customized

learning programs

Online learning tools to support a inclusive environment such as, Creating

an Inclusive WorkplaceSM &Leveraging Diverse StylesSM

For more information on how we can help your company perform effectively
worldwide, contact us today.