The people in any business are the critical element in providing a competitive edge. As you will see in this report which contains excellent examples of best practice, a diverse workforce does not just make good business sense, it makes societal sense as well. It’s the smart thing to do.
Continue reading “Diversity – the external counsel perspective”
There’s change afoot out there in the world, a world in which any remaining Luddites can no longer sit with their hands over their ears in a state of denial. We are in a period of digital technology which is so disruptive that the only thing that comes close to it in human history has been the first industrial revolution. That movement overturned the trajectory humans had been on through various contemporaneous developments in mechanical engineering, chemistry, metallurgy, and other disciplines, and its advancements altered the landscape of human history. Our digital revolution will effectively lay waste to that landscape created by the first industrial revolution and something entirely new will have to take its place.
Continue reading “Ghost in the machine: AI, law, ethics – what does it mean for you?”
In 1981, Xerox devised and released the first computer (though Charles Babbage and Ada Lovelace might well disagree on this point) which took only four hours to master the basics of, and cost a tidy $16,595. It even had an ‘unusual control device’ – or, as we like to call it these days, a mouse.
One aspect we felt was key in approaching this project was to have a certain amount of practical guidance. We asked all of our interviewees for some tips when we spoke to them.
We have synthesised these into some thoughts and frameworks for approaching the different aspects of diversity and inclusion.
It’s easy to think of diversity and inclusion as something about ‘them’ – but the reality is, diversity is all about you. Diversity is a much broader issue and will impact the vast majority of people in their careers.
Top Tip: Start with you. Why is this important to you? If you can clearly articulate that and make that central to your message, it will be easier to convince others.
Ask yourself if you have the time, energy and commitment to make your idea a reality.
Lesley Wan from Lloyds Bank has run a number of D&I projects, including some independently of her organisation. Her advice is: ‘Be agile in your thinking and flexible as to how you structure your project.’
Think – what does a diverse and inclusive workplace look like?
Approach other thought leaders, think tanks or charities to help define and refine your vision and understand what best practice really is.
Understand what best practice might look like for your company.
It’s not about building quotas or hitting numbers, but rather, creating an environment where the message is embedded in your corporate DNA. Tim Hailes of J.P. Morgan advised to keep thinking about the ‘soft cultural indica.’
Targets and measures can be helpful but are often more effective when approached as a product of, or in tandem with, cultural change.
Top Tip: Start with one definable project such as a networking group, mentoring programme or work experience project.
If diversity is truly to take root within an organisation, it has to be a core business initiative – not an addendum tacked onto the tail end of a human resources policy. To achieve that, strategic buy-in from the top table is essential.
Knowing the touch points for your industry and business is crucial here. Decide what will be more compelling – internal or external drivers.
From an internal perspective, embracing diversity and inclusion in the workplace has been proven to improve employee engagement, creativity and innovation.
Ask yourself:
Do you need sponsorship for your project? Will this be internal or include external sponsorship? External sponsorship can assist in helping to gain traction with internal buy-in. Look at your current network and make a target list of potential sponsors/supporters who can help you.
Do you need funding? Be clear in what you need to start and what it will be being used for before you make approaches. Be prepared to show potential return on investment even if this is only hypothetical. Figures from consultants such as McKinsey (see below) can be helpful with this.
Top Tip: What tends to be universally convincing – regardless of the business and industry – is the overall effect on the bottom line. When McKinsey & Co investigated the effect of diversity on the composition of boardrooms in Europe, those which ranked in the top quartile for executive diversity handily outperformed their less-diverse peers, earning on average 53% higher ROE (return on equity) and 14% higher EBIT (earnings before interest and tax).
How do your current policies operate in practice – both soft and hard rules? There is sometimes a gap between policy and practice so be aware of both sides when evaluating the picture.
Consider all policies which relate to the employee life cycle; recruitment and attraction, on-boarding, performance assessment, training and development, and career advancement. Think – how do these align with the organisation we are now and the diverse and inclusive organisation we want to be?
Surveys and focus groups may help with this process of evaluation.
Top Tip: Set limits and rules for this evaluation process so it does not spiral out of control.
It’s an old management cliché, but ‘what gets measured, gets done.’ Start with a baseline level to work from and goals for the organisation in place – both aspirational and tangible.
Remember though, you have to be counted to count, and diversity goes far beyond our visible differences. While characteristics like race and gender are more outwardly evident, factors like sexuality, socio-economic background and disability are not necessarily obvious.
Be prepared to engage in a constant process of evaluation, re-evaluation and repositioning the goal posts. Diversity is a fluid process and it will take time to adjust.
Top Tip: Don’t let the measurements obscure the importance of more subjective indicators and the need for cultural change. The numbers can be good but the experience can be awful if cultural change has not really taken root.
When people don’t feel comfortable being their true self, they’re investing emotional energy into censoring themselves and adjusting their behavior to fit in. That energy and thought power could be harnessed far more effectively into productive areas, once those barriers are removed.
Top Tip: Role models are key here. Role models show the possibility of success and are a fantastic way to inspire hope.
Network groups are a good means of creating a dialogue with key identity groups.
But remember network groups don’t just have to talk about diversity and inclusion. Some companies use their networks as a great way to get employees’ perspectives on key strategic issues and approach problems in a different way. This can then be a clear example of the strategic benefits of diversity in avoiding ‘group think.’
Ally programmes show that the initiatives are about everyone and are fundamental in promoting the idea of a safe workplace. This can be especially key in jurisdictions where for legal or cultural reasons, certain identity groups have to be less visible.
Are there any obvious role models already within the organisation?
According to Sandie Okoro of HSBC Asset Management, telling the story from a place of authenticity is the real crux of being a role model. This can be done on a small scale initially and then potentially used as part of a larger project down the line.
Top Tip: To get strategic buy-in and make any D&I project truly meaningful it’s got to be seen to be about merit – highlighting role models that are good at their job first, and who happen to be diverse second.
Discover the different paths to leadership in the management of your organisation. There may be interesting stories you don’t know as not all diversity is visible.
Role models don’t necessarily have to be part of the community or group they are championing – in fact, sometimes the opposite can be even more powerful. For example, at PageGroup the champion of Pride@Page, their LGBT network, is a straight man.
But be sensitive as to how non-community role models are presented. Best practice advice from internal sources, network groups, other organisations and think tanks for example can all be helpful here.
It’s not you, it’s me…
Start with yourself. If you are responsible for hiring, make sure you are always asking for or considering a diverse pool.
If your company sees diverse candidates but they don’t make it though the interview process, consider unconscious bias training to assess whether there are factors with how candidates are viewed.
If you cannot find diverse candidates, ask why?
Are your criteria wrong?
Interrogate the criteria in place – is a 2:1 from a Russell Group university essential or nice to have?
Try and think laterally in terms of what skills the roles require outside of academic qualifications.
Top Tip: Consider techniques such as blind CVs and contextual hiring.
Are you looking in the wrong places?
Outreach programmes and work experience programmes with schools can be key here. Support is available from organisations such as The Sutton Trust, PRIME and LSMP.
Our interviewees who run work experience all counsel that it is less work than you may think. Once you develop a programme it can be re-used year on year and refined each time. You don’t have to reinvent the wheel with every intake.
The infrastructure and CSR capability of law firms you use can be a significant help.
What is your messaging like? Is there a photo of a white man in a suit on all job adverts? A picture can speak a thousand words.
Often we don’t think about how we are working and make assumptions that this is just how it has always been and how it will always be. Consider how traditional working practices may be impacting your attraction and retention of talent.
What is needed to get your job done – what’s the optimum mix working on a computer versus face-to-face interaction?
Technology is crucial for this, so evaluate whether your workplace is currently set up to allow for truly agile or flexible working.
Thinking about jobs in terms of hours worked over a week or a month, rather than on a daily basis can be liberating in determining what is needed to do a job; as can focusing more on projects or outcomes.
How much does it come down to outcomes versus time? Increasingly companies are focusing on outcome-based approaches versus time in the workplace.
Top Tip: Agile working can be a way of being truly inclusive, as most successful companies we spoke to use it on a universal basis. These include Barclays, Unilever and Accenture. This can have other benefits such as impacting space needed in the workplace, as well as real estate costs.
Top Tip: Individual fit between the mentor and mentee is the most significant aspect. Don’t skimp on the time and energy invested in this part of the process. Kristin McFetridge of BT tells us: ‘If someone doesn’t connect with their mentor, despite all the will in the world, it will be fruitless.’ Talk to architects of successful mentoring programmes to find out what works.
Think laterally, as mentors don’t have to be in the same business line as their mentees. In certain cases, going outside of the organisation may even be best.
Make sure you set really clear boundaries for both time and outcomes. As Sandie Okoro cautions: ‘People come to you because you have been successful and they want to share that success. Being a mentor is not the same as being a sponsor, so make sure they are very clear that they are your mentee.’
Don’t come with preconceived ideas as a mentor or assume that the only right way is the way you have chosen.
Be prepared to talk about failure as well as success as a mentor.
Let the mentee set the pace of communication but also be aware of your own limitations in regards to time.
Be aware of cultural differences in communication styles when mentoring. Double check that the other person has understood you and that there is no misunderstanding by checking in with neutral questions.
Setting a reasonable but finite time boundary for the relationship can be helpful in terms of both manageability and measuring effectiveness. Most of our interviewees found a year worked well as an initial starting point.
Use your own network and beyond; reach out to other companies who have programmes you admire and think could work within your own organisation.
Remember that diversity is all about inclusion – so don’t be afraid to engage one of the multitude of external organisations which exist to support diversity. Whether it’s looking for the facts, figures and metrics that help build a strong strategic case for management, or support with implementing diversity initiatives within your business – there is no shortage of organisations willing to provide assistance and resources to help get diversity across the line.
Tim Murphy has worked for MasterCard for 16 years. Starting out as an in-house lawyer, he then spent over ten years in non-legal business roles, serving as president of the U.S. region and chief product officer. In 2014, he stepped back into legal to assume the mantle of general counsel. In the second of a two-part interview, GC caught up with him to hear how the integration of the legal and business teams are impacting the company’s programmes.
There are some things in life that don’t seem quite right when put together: take Jerry Hall and Rupert Murdoch, everything about Donald Trump and the presidential race, kids and matches, high heels and a nice polished floor. Another awkward anomaly is the procurement department sidling up with in-house legal and attempting to make nice.
I meet and spend time with many GC’s from both large, and not so large, organisations. It can be an enriching experience, and though I’ve had the odd crippling disappointment, I enjoy the learning I always gain. Let’s face it – these are, quite frankly, privileged interactions. Recently I had a meeting with a highly respected and well-regarded GC who leads the legal function for a major FTSE 100 company. I hadn’t spoken with them before and had been looking forward to our meeting, as they’ve been written about by others and identified as a role model for those in-house. It took an age to get access and then to finally get the meeting scheduled. To say I was filled with anticipation would be an understatement.
In a world experiencing both economic and political upheaval, North America remains a relative bastion of stability and prosperity globally, with Mexico playing an increasingly important role. Economic growth in particular has been steady, with the International Monetary Fund ranking Mexico as having the 11th highest GDP in the world based on purchasing power parity, and the fifth largest of the ‘emerging markets’ behind China, Brazil, Russia, and India. Trade agreements and a string of key reforms have contributed to the success of the economy, gradually dismantling the perception of Mexico as a third world nation plagued with powerful drug cartels and mass migration to the U.S.
When I joined ICTSI two and a half years ago as their first GC, we recruited additional in-house counsel around the globe. One of the biggest challenges remains the different time zones. When we open for business in Manila on a Tuesday morning, our colleagues in Latin America are getting ready for dinner on their Monday evening, but with planning, continuous communication and frequent meetings, this can be managed.
Continue reading “In-house life: Ton van den Bosch, International Container Terminal Services, Inc.”
GC: Can you tell me about the UN Global Compact and what ‘sustainability’ means for businesses?
Ursula Wynhoven (UW): The Global Compact is the UN’s corporate sustainability initiative. ‘Corporate sustainability’ in this context means the creation of long-term value by businesses in four dimensions: in economic, social, environmental, and ethical or governance terms.