E3 – WORKFORCE DIVERSITY & INCLUSION

In the absence of clear operational guidelines, Workforce Diversity initiatives have failed to meet their desired intent. E3 model gives modern talent managers a blueprint of the steps organizations need to take to become truly diverse in the way they operate.
https://www.topchro.com/article/e3-workforce-diversity-inclusion

Transcript

1. WHITEPAPER E3 – WORKFORCE DIVERSITY & INCLUSION This whitepaper addresses the existent incongruity in the modern workplace, and sets forth models that can empower diversity ini a ves and programs within implemen ng organiza ons, enabling equal opportunity for the capable, regardless of their gender or disability. ©2019 TopCHRO.com All rights reserved.
2. EXECUTIVE SUMMARY: BACKGROUND: PREMISE: E3 Model: Applicability of the model: A word of cau on: THE ELEMENTS OF THE E3 MODEL : Empathy : Sensi za on Program for Human Resources: Hiring: Performance Management: EDUCATE – THE SECOND PHASE OF THE E3 MODEL FOR INCLUSION AND DIVERSITY : Learning and Development: Execute: EXECUTION MODULE OF THE E3 FRAMEWORK: External Benchmarking and enterprise-wide repor ng : Goal Se ng and Incen ves : Quarterly Employee Survey : Inclusion and Diversity in Succession Planning: Whistleblower Protec on Policy: E3 Model Execu on Blueprint: CONCLUSION : CONTENT 03 04 05 06 06 07 07 07 07 08 09 09 09 10 11 11 11 11 12 12 12 15 WHITEPAPER ©2019 TopCHRO.com All rights reserved.
3. EXECUTIVE SUMMARY Over the past few decades, our world has seen a massive transforma on in the varied ways in which HR func ons within organiza ons. Human resource ac vi es are not only managed but are also op mized simultaneously to accommodate rapidly changing mindsets of the common workforce. This has been the subject of much specula on and conjecture. The erstwhile HR department has morphed into a team of talent managers who now perform strategic func ons in people management. Most of the rest of the administra ve tasks, which were once the quintessen al HR management and were once outsourced, are now automated to an extent than human interven on is required only by excep on. But the modern talent managers have failed to break various social and demographic stereotypes, and the opportuni es for development, while available to most who conform to the structures and archetypes of several professions, many have not been all-encompassing as they should be, or claim to be. This whitepaper considers this large and potent poten al talent pool that the modern talent manager can tap into by using systems and process design. The E3 model is a basic concept, and the framework on which diversity and inclusion can be achieved efficiently and effec vely makes a las ng impact on the lives of people who do not deserve the bias they currently face in the corporate world. We hope that the modern, progressive Talent Manager will implement the ini a ves and add her own ideas to the broad methodologies set forth in the E3 model, making the workforce truly diverse and inclusive, miles ahead of its current form. BACKGROUND Eureka Singapore conducted an experiment comparing the performance of specially-abled and regular employees and found out: Herring (2009) conducted a study of over 500 for-profit companies and showed a strong rela onship between gender and race diversity and business performance. Diverse organiza ons showed increased revenues, increased number of customers, greater market share, and greater profits. Employees with visual impairments achieved 2-3 mes more results than employees without any disability. Specially-abled employees were punctual, rarely absent and enthusias c about their work. In the hands of visually impaired staff, the annual turnover rate of Eureka, Singapore plunged to 2% from 40%. ©2019 TopCHRO.com All rights reserved. 03 WHITEPAPER
4. Von Bergen’s (2005), in his study of employment of minori es, showed that based on return-on-sales (ROS), return-on-equity (ROE), return-on-assets (ROA), and return-on-investment (ROI), minority- friendly firms outperformed the market. Various researches have concluded that a diverse workforce brings following tangible and intangible benefits with it: Intangible Benefits: Increased market share Improved produc vity More innova on More employee a rac on Be er employee reten on Improved brand and employer reputa on A posi ve and healthy work environment More opportuni es for growth and development Premise: However, sta s cs world over have a different story to tell. While there is a unanimous consensus on the benefits of hiring and maintaining a diverse workforce, talent managers are at a loss when it comes to appoin ng and including them in mainstream businesses. GENDER DIFFERENTLY ABLED COUNTRY Male Female Specially Abled people Majority Majority People without disability US UK 66 80.3 79 54.6 71.2 65 65.7 81.4 82.5 18.7 51.3 52.8 64 77 36 65 Australia Table 1: Approximate employment ra os in US, UK and Australia Tangible benefits: ©2019 TopCHRO.com All rights reserved. 04 WHITEPAPER
5. In 2012, the US Equal Employment Opportunity Commission received 26, 379 disability employment bias claims. In the board seats of the ac ve F100 companies’ men outnumber women by 4.3:1. 48% of new mothers said they were overlooked for career advancement because they had children. Under 1% of women sit on GCC execu ve commi ees. Women make up 17% of corporate boards and 12% of execu ve commi ees in G 20. Women remain under represented in corporate decision-making posi ons. Since 2011, the Equal Employment Opportunity Commission has received over 45,000 complaints that are directly related to racial discrimina on. A report points out that US employers are more likely to turn away applicants if they have names that sound African-American. Talent management departments miss out on the large untapped poten al of a more diverse and inclusive workforce simply because of their own social bias and the limited perspec ves of the business managers, and senior decision makers in the organiza on. While several remedial ini a ves have been undertaken in almost every organiza on, the resultant metrics fall short. E3 Model: The proposed E3 model in this whitepaper sets forth the models that can empower ini a ves and programs within implemen ng organiza ons hence enabling equal opportunity for the capable people, regardless of their gender or disability. The E3 model of empathy, educa on, and enforcement for the diversity and inclusion, while being an ini a ve of the talent management department of any organiza on, ul mately aims to permeate across the en re organiza onal hierarchy, departments and func ons, breaking down the silos of bias in both hiring and performance management that are widely prevalent today. The elements of the E3 model aim to propagate the sensi za on of workplace inclusion and diversity across all major func ons of Talent Management in the organiza on. This starts at the employee requisi on level and extends across func ons in recruitment, performance management, workplace conduct and policy manuals, and learning and development func ons in the organiza on. Empathy, educa on and, execu on (E3 model) are closely intertwined with several facets of workforce management in the organiza on. It is proposed that the Talent Managers take the responsibility of acquiring sensi za on towards the various discriminated communi es and ensure a roadmap for larger scale of inclusion and diversity based on empathy towards the discriminated. A thorough educa on system with regards to inclusion and diversity that permeates across the enterprise at all levels, from the junior execu ves, through the line managers and lateral support departments and up to the board is the way forward. ©2019 TopCHRO.com All rights reserved. 05 WHITEPAPER
6. Applicability of the Model: The silent facets of the E3 module of inclusion and diversity have been found to be relevant to: The organiza ons seeking to: Secure adequate representa on of women, ethnic minori es, blacks and the specially-abled. Boost workplace culture and overall produc vity. Include discriminated in the relevant business func ons: finance, procurement, administra on, human resources, opera ons, sales, marke ng, customer service, legal, research. Build inclusion and diversity processes: hiring and talent acquisi on, performance management, learning and development, succession planning from diverse talent pools and leadership development. Although some organiza ons stress diversity in their hiring, it has been noted that a paradigm shi in the percep ons of the workforce towards diversity is key. A Word of Cau on: It is important to note that the E3 model does not endorse any forced hiring of diverse workers that may be counter-produc ve to the organiza on. It simply aims to implement a broad framework of ideas that permeate through all major workforce management related func ons, which ensures that a culture and thought process of equal opportunity, inclusivity and diversity are imbibed at granular level. THE ELEMENTS OF THE E3 MODEL Empathy for the especially-abled, working women and minori es must start with the people prac ces in any organiza on, and it is vital to sensi ze every single member of the people prac ce to the importance as well as the economic benefits of having an inclusive and diverse workforce. Empathy begins with increased awareness among the business and line managers about hiring, managing and developing a diverse workforce. Empathy: ©2019 TopCHRO.com All rights reserved. 06 WHITEPAPER
7. A comprehensive orienta on regarding the goals and objec ves of the E3 program, alongside opera on guidelines or departmental prac ce policies and manuals could sensi ze HR department who in turn can spearhead the ini a ve within the organiza on. The tenta ve roadmap is suggested below: Sensi za on Program for Human Resources: Iden fy value differences Establish baselines of expected values Iden fy differences between exis ng the prospec ve employees Iden fy barriers to their engagement Iden fy barriers between thought and behavior Establish ini a ves, methods and behaviors to address these barriers Monitor, Repeat and reinforce It is recommended that the Talent Manager facilitates and drives the en re diversity ini a ve beyond the basic strategies and into executable performance indicators, for both the line managers, team leaders and the talent management system as a whole. Specifica ons of the diversity of prospec ve employee should be included in: • the job descrip on • all job pos ngs • no fica ons, and direc ves to consultants. Hiring : Systems within the ATS of the organiza on should be modified to suit a diverse range of poten al talent. This could include restricted visibility for diversity specific roles, check boxes within applica on forms for diversity specific roles, language assistant and any other changes that may be recommended through collabora on with IT. ©2019 TopCHRO.com All rights reserved. 07 WHITEPAPER
8. Performance Management: The HR should be inducted and trained to think and act in an emo onally intelligent manner. Following a ributes can help: Listen well Pay a en on to non-verbal communica on Take pride in helping other employees help them bring the best out of themselves Understand employee needs and try to meet those needs Leverage diversity, create opportuni es for different kinds of people Relate well with everyone, regardless of their background Be curious about new employees. Chat with them to understand their world and ideas Observe own a tude and mo ves while resolving disputes Remain flexible in approach Understand employee rela onships Ask colleagues for their opinions or feelings regarding a situa on Be sensi ve to others EDUCATE – THE SECOND PHASE OF THE E3 MODEL FOR INCLUSION AND DIVERSITY The second E in the model, Educate, is the most pervasive of the en re framework and extends to almost every individual and stakeholder who deal with the internal and external workforce. This could involve one or many inclusions at mul ple touch points in the en re employee management life cycle. The key objec ve of the educate module is to sensi ze the hiring managers and senior management members to the cri cality of inclusion and diversity, facilitate exposure to any statutory regula on, understand compe tor best prac ces, and gather external consulta on. ©2019 TopCHRO.com All rights reserved. 08 WHITEPAPER
9. Learning and Development: Most organiza ons with a significant headcount have moved to an automated Learning Management System for their employee development ini a ves. It is recommended to include a diversity sensi za on module which is specific to the development and enhancement of empathy towards a diverse workspace. The following key aspects should be included in the module: Sensi za on on the hiring process of a new employee of the diversity category. Sensi za on on workplace conduct, dos and don’ts when dealing with colleagues in the diversity category. Encouraging transparency and incen vizing employees who have proven their ability and willingness to embrace the diversity ini a ves in the workforce, including specific points of contact in each department to whom any discrepancies are to be reported. Ensuring customized accessibility to learning and development. Ensuring LMS accessibility to employees who are physically challenged. A systemized feedback program for the employees to ensure con nuous improvement in the diversity and inclusion specific module. Execute: The final phase of the proposed E3 model is aimed at having a broad scope of implementa on and prominence across the organiza on without being resource intensive. To have a significant posi ve impact on the psyche of the workforce execu on of the strategies aimed at reaching and maintaining the enterprise-wide inclusion and diversity among the workforce be carried out in a phased and mely manner. If the E3 model has been successfully adopted, and in the right sequence, then the workforce is educated in being inclusive and diverse. They already empathize with the challenges that the diversity segment face and overcome on a daily basis. Within the implementa on of this framework so far, they have had a significant shi in percep ons and have an enhanced sensi vity. In other words, it’s me for the human resources team to move into the next phase– the execu on. The Execute module comprises a broad framework of ac on points that the organiza on can impose. This must be done with adequate management approval. Non-invasive policies can ensure that the first two stages of organiza onal empathy and educa on are implemented at both opera onal and management levels within the organiza on. 01 02 03 04 05 06 ©2019 TopCHRO.com All rights reserved. 09 WHITEPAPER
10. EXECUTION MODULE OF THE E3 FRAMEWORK External Benchmarking and Enterprise-wide Repor ng: Goal Se ng and Incen ves: Quarterly Employee Survey: Inclusion and Diversity in Succession Planning: External benchmarking and enterprise-wide repor ng is a two-phased process. The first is to gather market intelligence and consulta on from researchers on what current best prac ces for inclusion and diversity can be implemented, acquiring talent pools of high poten al within the diversity segments, compe tor intelligence, and regulatory guidelines. The second phase, namely the enterprise-wide repor ng, is an important mechanism to ensure transparency in the en re organiza on about the implementa on of the E3 model. A report on the ini a ves being undertaken and milestones achieved against goals set should be compiled. This exercise is expected to lay the founda on for management buy-in for the ongoing efforts as well. It is important that the informa on is disseminated across the organiza on. Set talent acquisi on goals for hiring managers to facilitate hiring and fair management of the diversity segment of the workforce. Incen vized mentoring plans may also be included to ensure adequate growth opportuni es for the diversity segment of the workforce. Incen ves are crucial in this largely because of the sheer amount of change management that the talent manager has to facilitate in each and every department. With the introduc on of both monetary and non-monetary incen ves, enough impetus of the E3 model execu on at the departmental and team levels can be achieved. A quarterly employee survey is recommended. It should encourage feedback from respondents about their views and opinions on the changes in produc vity and performance in the post-implementa on scenario. This will also allow the talent management teams to make the necessary altera ons to op mize the delivery of the E3 model and be er align it to the overall goals and vision of the inclusion and diversity ini a ves of the organiza on. Periodic employee surveys will also ensure the involvement of workers of all ranks within the organiza on. The goal here is to create a con nuous feedback loop and op mize the E3 framework delivery within the organiza on based on business scenarios at any given me. Succession planning, namely leadership development is a core area o en overlooked by both human resources and the board when it comes to the diversity segment of the workforce. High impact performers and poten al leaders should be iden fied over me within the organiza on and a diverse talent pool should be compiled. These performers should be developed and oriented towards leadership responsibili es on a regular basis. Adequate prepara on and succession planning from these pools will put forth strong contenders for top roles in the organiza on who may prove to be valuable assets in the long run, even in other senior management roles. ©2019 TopCHRO.com All rights reserved. 10 WHITEPAPER
11. Whistleblower Protec on Policy: The final facet of the execu on module of the enterprise-wide E3 framework implementa on is the establishment of policies protec ng whistleblowers and workers who report any discrimina on against the diverse segments of the workforce. This is important especially in distributed workforces such as sales organiza ons. • A hotline to human resources with a do ed line to senior management to report any cases of harassment or discrimina on that opposes the vision of inclusion and diversity goals should be provided. • Employees should be encouraged to report such incidents. • Ac on against the offenders must also be made public, to provide significant assurance to the diversity segment, as well as the rest of the organiza on, demonstra ng transparency in these ini a ves. E3 Model Execu on Blueprint: Talent Requisi on and Hiring Employee Manual and Handbook Orienta on for new employees Learning and Development Modules Incen vized Hiring and Performance Management Regulatory Repor ng and Review Scoring of Line Managers Development for a separate Diversity and Inclusion Talent Pool for Each department Ongoing support Inclusion of diversity goals. Sensi za on program towards discriminated communi es. On the goals of an inclusive and diverse workforce. Diversity goals, tools to ensure growth and con nuous learning of the diverse groups in the workforce. Providing hiring and performance targets for management for inclusion of a diverse workforce while providing monetary and non-monetary benefits for the managers who meet the goals. Periodic repor ng from the line managers of the milestone achievements of the inclusion and diversity programs for each department. It should be followed by an alternate scoring system based on the extent that the goals have been achieved. Succession planning for high poten al employees from the diversity talent segment, through con nuous learning and tailored leadership development programs. It should be con nuous. Support helpline for the targeted segments/ whistleblowers against discrimina on. COMPONENT METHOD ©2019 TopCHRO.com All rights reserved. 11 WHITEPAPER
12. TALENT ACQUISITION WORKPLACE CONDUCT POLICY MANUAL LEARNING AND DEVELOPMENT PERFORMANCE MANAGEMENT Talent Requisi on forms Job Descrip ons Enterprise Intranet Query redressal point of contact Specific Circulars and Memos Code of conduct inclusion Flexibility in policies Employee Handbook Surveys and ques onnaires Specific Modules in Enterprise LMS External Consultants- Coaching for business managers External Sources Training by Non-Profits/ NGOs for empathy Inclusion in onboarding process for line managers Orienta on for Senior Management (Internal and External). Flexibility in Goal Se ng Defined KRAs for business managers for promo ng recommended prac ces. Incen viza on for promo on of recommended prac ces. Development of high poten al employees for leadership succession through suitable leadership development programs. ©2019 TopCHRO.com All rights reserved. 12 Recommended Inclusions in SOPs: WHITEPAPER
13. CONCLUSION: The need for an inclusive and diverse workforce in today’s world cannot be overstated. While it is commendable that mul na onal organiza ons are making inroads into their diversity goals through several ini a ves, there are several segments in the global economy, small and medium businesses (SMBs) that remain to be tapped. Similarly, as na ons world over implement more sacrosanct regula ons on inclusion and diversity and social media provides the much needed connec on for employees to share their experiences, it becomes ever more impera ve for businesses of all sizes and sectors to adopt some form of the E3 model as outlined in this whitepaper. Sta s cally, there has been a rise in the reported cases of disability, gender and racial discrimina on in several countries, and the debate surrounding it has risen equally, if not in greater, measure. While the E3 model offers a broad scope of simple and non-invasive implementa ons, it draws on a study of several research papers, freely available sta s cs and consulta ons with human resource managers on how an envisioned roadmap for an inclusion and diversity framework ought to be. The objec ve is to point out that inclusion and diversity in a workforce are equal parts impera ve and produc ve at the same me, and need not be equated with social ini a ves of a company. Researchers have repeatedly pointed out the strong correla ons that exist between higher produc vity, sustainable growth and reduced employee turnover of a diverse workplace. The Empathy, Educa on and Execu on phases have been designed keeping in mind the modern talent manager. The model provides for flexibility in implementa on across services, manufacturing and technology sectors. It also has been kept minimal with the intent of facilita ng management buy-in with tangible performance metrics and repeated reviews in place. No numbers have been specified to enable organiza ons of all sizes and geographies to customize it according to their own needs. Equal opportunity and an -discrimina on ini a ves of an organiza on are the onus of the talent managers and the human resources management team of an organiza on. Because of the complex nature of workforce dynamics, it is largely considered an uphill task, but with some considera on and effort, it doesn’t have to be. The E3 model of inclusion and diversity aims to serve precisely that. ©2019 TopCHRO.com All rights reserved. 13 WHITEPAPER
14. ©2019 TopCHRO.com All rights reserved. 6200 Savoy Dr #630, Houston, TX 77036, USA www.topchro.com © 2019 TopCHRO.com All rights reserved. This whitepaper is a property of TopCHRO.com. The whitepaper or the informa on cited in the whitepaper should be used for informa on purpose only. Facts and figures presented in the paper are subject to change at any me without any prior no fica on. Certain statements made in the whitepaper are forward-looking projec ons. These carry risks and uncertain es and may differ from actual events. TopCHRO™ does not guarantee applica on or validity of informa on and insights in the paper and will not be responsible for any loss that may arise from use of the informa on or insight cited in the whitepaper. Readers are advised to use their own judgment while making related decisions. ABOUT TopCHRO: TopCHRO™ is a one stop portal for best performing CHROs and other HR professionals worldwide. The elite TopCHRO™ line-up of the 100 finest CHROs is the finest group of men and women who have made an impact to the People Func on and industries globally. Apart from highligh ng global top performers, the portal also aims at facilita ng knowledge, informa on and insigh ul discussions among HR professionals. The portal is a collec ve effort and constantly seeks opinions and inputs from meritorious HR professionals. To contribute to our knowledgebase please contact our team at ask@topchro.com Ernst & Young Deloi e HubSpot Department of the Prime Minister and Cabinet (Australian Government) ResearchGate American Sociological Associa on Department of Sociology at the University of Amsterdam (Amsterdam Centre for Inequality Studies) U.S. Equal Employment Opportunity Commission American Bar Associa on REFERENCES: