Raghav Singh

Redefining Diversity

Raghav Singh

Chris Callahan

Redefining Diversity - ERE Expo Spring 2008

Raghav SinghPartner at the A-List

Chris CallahanFounder, Ingenium Staffing Solutions


Agenda

The value of diversity

Expanding the definition

Making a business case

Integrating diversity with recruitment


The Value of Diversity


The “Business Case”

In a global marketplace, a company that employs a diverse workforce is better able to understand the demographics of the marketplace it serves and is thus better equipped to thrive in that marketplace than a company that has a more limited range of employee demographics.

- Wikipedia


The Benefits

Better serve customers Higher employee satisfaction Higher productivity Higher retention


Outperformed the DOW by 48% over the last 10 years!


DJIA:

Jan 1, 1997 6813

to Dec 31, 2007 13264

Increase 9.5% per year

+ 48% 14% per year

NYSE Companies that match 399


Diversity

Innovation

Teamwork

Customer Satisfaction

Productivity

The Value Proposition


Empirical Research

The Paradoxical Effects of Diversity, 2004

Thomas Kochan

MIT

E Pluribus Unum: Diversity and Community in the Twenty-first Century, 2007

Robert D. Putnam

Harvard University


MeasuresCommitment

Innovation

Teamwork

Exploring new perspectives


Findings

No impact of race and gender diversity on team performance or bonuses

Gender diversity improved teamwork

Racial diversity inhibited teamwork


Findings

No impact of race or gender diversity on sales, revenue, customer satisfaction

Racial diversity positively impacts growth of business portfolios


Findings

At retail stores:

No evidence that in diverse communities customers buy more from stores with diverse workforces

No evidence that customers care that salespeople that serve them are of the same race and gender


Criticisms

Defy logic

Research teams were not diverse

Makes no sense

Irrelevant

Not representative

Expanding the Definition


DefinitionRace

Gender

?

?

?

?


Innovation

Productivity

Customer Satisfaction

Teamwork

Skills

Race

Gender


The Value of Diversity

TrustAttracting

Talent

Cohesiveness

Effectiveness

Understanding


Diversity

+Assimilation

Cohesiveness


Assimilation

Shared Values

Shared Identity

Shared Purpose

Making a Business Case


Goals

Cohesiveness

Understanding

Recruitment

Retention

Innovation?

Sales?

Revenue?


Process

Define the problem

Identify Core Values

Define metrics


Case Study - Ford Taurus, 1986

The Problem

Powerful competitors

Poor design

Poor reliability



The Problem Solvers

Management

Laborers

Designers

Car lovers

Ford lovers

Ford haters

Soccer moms



Motor Trend Car of the Year


The Economic Value of Diversity

Reducing attrition

Attracting talent

Increasing competition among suppliers

Winning government contracts

The Economic Value of DiversityWhite Paper - Katzenbach Partners, 2007

Integrating Diversity with Recruitment


The Process

The desired outcome

Problem definition

Select the teamUnity of purpose

Values

Assimilation


Unity of Purpose


Key Principles

All human behavior is goal-directed

People want to make decisions that affect their jobs

Human behavior occurs in a social context

People are influenced by their environments


Putting it TogetherAll human behavior is goal-directed


Putting it TogetherPeople want to make decisions that affect their jobs


Putting it TogetherHuman behavior occurs in a social context


Putting it TogetherPeople are influenced by their environments.


Putting it Together

VALUE