Panel, Conference Presentation
Diversity is a reality, but inclusion is a choice
- Global events such as Brexit and elections are expected to sustain diversity and inclusion as a critical business priority, with leaders predicting that progress requires a personal understanding of one's own "in-group" and a shift from isolated HR units to strategy integration.
- State Street Management plans to embed diversity into core strategy across Europe, linking specific metrics to management objectives in six countries including the UK, Poland, and Italy, with the aim of accelerating to 50% diversity and beyond while increasing executive-level female representation in Europe by 4.8% since 2014.
- Investment and governance trends indicate that 15% average outperformance is correlated with greater diversity at the top, leading investors to increasingly challenge companies on diversity, vote against non-diverse management teams, and potentially increase fees for law firms that do not provide diverse partner panels.
- Organizational strategies to address talent retention and recruitment include creating country-specific metrics, establishing allies groups for LGBT issues, sponsoring code competitions for girls, recruiting from specific local areas like Tower Hamlets, and adjusting interview processes where female candidates are advised to prioritize qualifications over needs.
- Predictions regarding workforce culture and leadership suggest that engaging workforces are more innovative, that meritocratic claims can hinder bias challenges, and that inclusive leadership requires reorienting self-interest toward helping others succeed while removing fear of speaking up.
- Structural barriers to diversity, such as women staying at the VP level for six years longer than men before promotion and the perception that financial services requires math proficiency, are identified as key issues requiring cultural change, image improvement, and the replacement of "sameness" with diverse perspectives in investment and product teams.
- Future performance relies on setting specific cultural metrics, such as ensuring 30% of speakers are women, proactively addressing team construction, and providing visible career trajectories, as organizations failing to welcome disruption or adapt to demographic shifts risk failing to retain talent and achieve full potential.