EXPLORING THE BUSINESS CASE Why are organizations investing in Diversity and Inclusion? DEBORAH GRIMES RN, JD, MSHQS CDO UAHS

OUR OBJECTIVE TODAY TAKE AWAYS.. Increase awareness regarding why organizations are focusing on INCLUSION As a positive shift towards better understanding of Diversity Programs Discuss Best Practice examples of how to develop an INCLUSIVE environment

Benefits of Diverse Leadership According to a McKinsey & Company report, Diversity Matters: Companies that are committed to establishing diverse leadership are more successful Companies in the top quartile for racial and ethnic diversity are 35% more likely to have financial returns above the national benchmark For every 10% increase in diversity on a leadership team, earnings before interest & tax increase 0.8%

Benefits of Diverse Leadership Researchers from the University of Maryland & Columbia Business School found that companies with at least one woman in top management tend to be more innovative The presence of one woman in upper management creates 1% more economic value for the organization. 1% economic value = $40 Million

Why are diverse teams more successful? According to Harvard Business Review diverse teams: Are smarter Require you to adopt new ways of thinking Require you to look at facts more critically Improve company performance Create a more inclusive culture where employees see people who share their backgrounds in influential executive roles

The Ongoing Chatter Ninety-eight percent (98%) of non- profit organizations surveyed by the Koya Leadership Partners and Education Pioneers indicated support for diversity Many companies claim to commit to diverse hiring and creating an inclusive work culture Many conclude that it is important that the leadership at organizations reflect diversity

The Reality Diversity in leadership is lacking 16 Fortune 500 Companies indicated that “white men” represented 72% of corporate leadership Research by Catalyst showed that only 4.7% of executive, senior-level and management roles at S & P 500 Companies were occupied by “women of color”

SO WHAT IS REALLY HAPPENING?

Diversity Doesn’t Stick Without Inclusion “Diversity” and “Inclusion” are so often lumped together that they’re assumed to be the same thing- This is FALSE Within the workplace diversity equals representation Without inclusion, the crucial connections that attract diverse talent, encourage their participation, foster innovation and lead to business growth won’t happen

Lack of Networking & Visibility For women and people of color, the key to rising above the uneven playing field is sponsorship A sponsor is a leader who elevates your visibility, advocates for key assignments and promotions, and puts their reputation on the line for your advancement Sponsorship invigorates ambition and drives engagement Having a sponsor increases satisfaction with the rate of career development

Without Inclusion, There’s Often A Diversity Backlash 41% of senior-level African-Americans, 20% of senior level Asians, and 18% of senior level Hispanics feel obligated to sponsor employees of the same gender or ethnicity Sponsors are however hobbled by the perception of “giving special treatment” and concern that protégés’ might not “make the grade” The result: Just 18% of Asians, 21% of African Americans, and 25% of Hispanics step up to sponsorship

Lack of Authenticity 37% of African Americans and Hispanics and 45% of Asians say they “need to compromise their authenticity” to conform to their company’s standards of demeanor and style Research in the Science, Engineering & Technology Industries shows that regardless of gender, acting “like a man” provides an advantage in becoming a leader This is a waste of creative energy and employers’ diversity dollars

No Clear Career Paths For women, Disabilities individuals, and people of color, the map to career success is murky 45% of women off-ramp to take care of children 24% leave to care for aging relatives Employees with Disabilities and people of color struggle to find solutions to blocked career paths The majority groups within organizations tend to be the ones who presumes the reasons for minority groups not advancing

Six Behaviors of Inclusive Leaders Ensuring that team members speak up and are heard Making it safe to propose novel ideas Empowering team members to make decisions Taking advice and implementing feedback Giving actionable feedback Sharing credit for team success

What does an Inclusive leader’s team Look like? Of employees who reported that their team leader has at least three (3) of the aforementioned traits: 87% say they feel welcome and included 87% say they feel free to express their views and opinions 74% say they feel that their ideas are heard and recognized

Outcomes of an Inclusive Environment Employees with inclusive managers are 1.3 times more likely to feel that their innovative potential is unlocked Employees who are able to bring their “whole selves” to work are 42% less likely to intend to leave their job within a year Employees with sponsors are 62% more likely to have asked for and have received a promotion 69% of women who off-ramp would have stayed at their companies if they had flexible work options

Moving Forward Companies must: Develop an understanding and acceptance of different perspectives Value each perspective Work to identify and remove barriers to diverse leaders in the workforce Formulate plans and programs that offer options for diverse individuals to find the path that’s right for their career

Does the organization Mission Incorporate Inclusion? The HCA Example “We believe in delivering exceptional health care, and that is built on a foundation of inclusion, compassion and respect for our patients and for each other. We will foster a culture of inclusion across all areas no matter a person’s race, color, religion, sex, national origin, age, disability, sexual orientation, gender identity or veteran status.”

Other examples of Mission incorporate Inclusion? The John Hopkins Example This organization defines inclusion by Civility and Respect Invests in Education And Training

Its also about training for Inclusion? John Hopkin’s Focus on Education & Training Managers & Supervisors: New Manager’s Orientation Managing Diversity and Creating an Inclusive Workplace The Unrestrained Brain- Managing Implicit Bias Impact In the Workplace Managing Four Generations in the Workplace

Diversity without Inclusion A story of missed opportunities Employees are to being overlooked they do not share ideas/insights Diversity with Inclusion Provides a potent mix of Talent, Retention, Engagement and Innovation that fuels organizational growth and productivity

QUESTIONS