Top 10 Employers Have More Women, Minority Leaders

April 19, 2016 10:22 pm

DI-2016-Top50-350Companies With Diversity Minded CEOs, a Focus on Employee Resource Groups and Metrics Are Among the Most Equitable

By Eve Tahmincioglu

A strong commitment from the corner office, a focus on employee resource groups and a total embrace of analyzing metrics to gauge diversity and inclusion success are the hallmarks of many of the Top 10 most diverse companies in the country.

These corporations have reached near parity when it comes to the number of women in management and among top earners, and they all blow away the majority of companies in the United States when it comes to hiring, retaining and promoting women, minorities, people with disabilities, LGBT and veterans. And they’re also ahead of the curve when it comes to utilizing a diverse pool of suppliers to run their businesses.

“Smart employers know promoting diversity drives the bottom line,” said Luke Visconti, DiversityInc’s founder and CEO. “And that means giving more than lip service to D&I efforts by having buy-in from leadership and keeping a keen eye on analytics — something that DiversityInc has also emphasized as we further improve our survey data.”

 DiversityInc offers a glimpse at why the top ten companies on the 2016 Top 50 Companies for Diversity list are among the best of the best.

  1. Kaiser Permanente

The company’s Chairman and CEO Bernard J. Tyson personally signs off on executive compensation tied to diversity, diversity metrics and progress and goals and achievements for supplier diversity. In addition, many of Kaiser Permanente’s employees participate in Employee Resource Groups (ERGs), which they refer to as Multicultural Business Resource Groups (MBRGs) or Unit Based Teams (UBTs). The company has a total of 12 groups, which are open to all employees, and more than 3,500 chapters.

KEY RESULTS

  • Blacks, Asians and Latinos in Total Management: 66.6% higher than the Top 10 companies, double the Top 50 average and more than double the national average
  • Asians in Total Management: More than double the Top 10 average and triple the Top 50 average
  • Blacks in Senior Leadership: 77.8% higher than the Top 10 and twice the Top 50 average
  1. Novartis Pharmaceuticals Corporation

Under the leadership of U.S. Country Head, President of Novartis Corporation and Novartis Pharmaceuticals Christi Shaw, Novartis Pharmaceuticals Corporation maintains a proven commitment to promoting women into management positions. The company also continues enhancing the level of D&I competencies for human resources professionals and leaders through learning focused on unconscious bias, inclusive leadership, disabilities/accommodations and compensation/pay equity.

KEY RESULTS

  • Promotions for Women into Management: 37.8% higher than the Top 10 and 52.2% higher than the Top 50
  • Supplier Diversity: Double the Top 10 average and triple the Top 50 average on subcontractors who are minority owned
  • Supplier Diversity: Four times higher than the Top 10 average and nine times higher than the Top 50 average of subcontractors who are women owned
  1. EY

Leaders throughout EY are held accountable for mentoring, sponsoring and advancing diverse talent, and are recognized for leading the diversity charge. Since EY understands that, based on research, white men are far more likely to be sponsored than women and ethnic minorities, the company has implemented several formal programs designed to connect professionals with EY leaders to help them navigate their careers.

KEY RESULTS

  • Women in Senior Leadership: Nearly 8% higher than the Top 50 and 43.2% higher than U.S. companies overall
  • Supplier Diversity: 38.3% higher than the Top 10 and 59.1% higher than the Top 50 on prime suppliers who are women owned
  • Mentoring by All Managers: 56.8% higher than the Top 10 and nearly twice the average of the Top 50
  1. AT&T

AT&T focuses on what it calls four pillars of diversity: employees, community, marketing and suppliers. On the employee front, the company said it hired an even more diverse talent pool in 2015, increasing employment for veterans, Blacks and Hispanics. To help this process along, AT&T launched the “#iCount Self-ID” campaign to encourage veterans, LGBT and people with disabilities to self identify in order to better capture diversity statistics.

KEY RESULTS

  • Blacks, Latinos and Asians in Senior Leadership: 7.4% higher than the Top 10, 31.5% higher than the Top 50 and 51.3% higher than U.S. companies (19.6% higher among Blacks and 21% higher among Latinos than the Top 10)
  • Managers in Mentoring: 36.5% higher than the Top 10, double the Top 50 average and more than double the average of U.S. companies
  • Supplier Diversity: More than double the Top 10 average as well as the Top 50 average of prime suppliers who are minority owned
  1. PwC

PwC Chairman and Senior Partner Bob Moritz leads the firm’s diversity efforts. He attributes the firm’s success to its initiatives addressing diversity. Moritz is a major proponent of driving conversations about race and diversity in the workplace and of having those discussions with other CEOs and corporate leaders. The firm is also a long-time leader in outreach to white men to get them to understand that diversity and inclusion is not a zero-sum game.

KEY RESULTS

  • Mentoring by Second-Level Senior Managers: 47.8% higher than the Top 10 and 80.5% higher than the Top 50
  • Mentoring by Third-Level Senior Managers: 59.5% higher than the Top 10 and double the Top 50 average
  • Supplier Diversity: 29.7% higher than the Top 10 and 49.2% higher than the Top 50 on prime suppliers who are women owned
  1. Sodexo

Sodexo conducted an internal study this year, analyzing data from 100 global entities and covering 50,000 managers. The objective was to understand how gender balance at all levels of management impacts financial and non-financial performance. The preliminary results revealed that entities with gender balanced management performed better in all the performance indicators. Over the years, the company has demonstrated a metrics-focused nimbleness in developing its diversity-management initiatives.

KEY RESULTS

  • Blacks, Latinos and Asians in Senior Leadership: 14% higher than the Top 10, 40% higher than the Top 50 and 61% higher than U.S. companies overall
  • Promotions for Blacks into Management: Almost double the Top 10 average and double the Top 50 average
  • Blacks in Senior Leadership: Double the Top 10 average and more than double the Top 50 average
  1. MasterCard

The company has put an increased focus on its eight resource groups, which MasterCard calls Business Resource Groups (BRGs). About half of MasterCard’s employees participate in these groups, of which there are 52 chapters worldwide. MasterCard reported that 12 new chapters were created in 2015 alone. The BRGs are open for all employees to join. President and CEO Ajay Banga meets with these groups quarterly.

KEY RESULTS

  • Asians in Senior Leadership: 80.6% higher than the Top 10 and double the Top 50 average
  • Employee ERG Membership: Nearly 50% higher than the Top 10 and more than double the Top 50 average
  • Blacks, Latinos and Asians in Senior Leadership: 25.4% higher than the Top 10, 53.5% higher than the Top 50 and 76.7% higher than the national average
  1. Johnson & Johnson

Leaders at Johnson & Johnson are always held accountable. The company’s top 200 global leaders attended a training session regarding unconscious bias and how it could impact decision making. Since then, J&J made a commitment to support a global enterprise roll for all people managers.

KEY RESULTS

  • Latinos in Senior Leadership: 53.7% higher than the Top 10 and double the Top 50 average
  • Women in Senior Leadership: 27.7% higher than the Top 10, 50.2% higher than the Top 50 and double the national average
  • ERG Sponsorship by Second-Level Senior Managers: 22.1% higher than the Top 10 and double the Top 50 average
  1. Marriott International

Marriott International’s diversity commitment starts at the very top with its Committee for Excellence. This group, established in 2003, is comprised of senior-level executives. Board members meet regularly and identify diversity objectives at all levels of the organization. The company also has 18 different resource groups, which Marriott calls Diversity and Inclusion Councils and Associate Networks. President and CEO Arne Sorenson meets with these groups annually.

KEY RESULTS

  • Blacks in Total Management: 68% higher than the Top 10 and twice the Top 50 average
  • Latinos in Total Management: Double the Top 10 average and more than double the Top 50 average
  • Mentoring by Third-Level Senior Managers: 30.8% higher than the Top 10 and twice the Top 50 average
  1. Prudential Financial

Prudential Financial continues to be a diversity and inclusion leader under the guidance of Chairman and CEO John R. Strangfeld and Vice President and Chief Diversity Officer Michele C. Meyer-Shipp. Strangfeld signs off on executive compensation tied to diversity, meets with business resource groups (BRGs) quarterly and is a visible supporter of Newark, N.J., where Prudential is headquartered.

KEY RESULTS

  • Employee ERG Membership: 34% higher than the Top 10 and double the Top 50 average
  • Mentoring by CEO and Direct Reports: 18.6% higher than the Top 10 and 49.6% higher than the Top 50
  • CEO Sign-Off on Executive Pay Tied to Diversity: 11.1% higher than the Top 10 and 22% higher than the Top 50