Check Warner — Building with Diversity (Turing Fest 2018)

In any early-stage company, there are so many competing priorities and it is often difficult to know which ones to focus on first. Building a diverse and inclusive culture is usually one that is deprioritized, partly because there are few tools and resources relevant to early and growth stage companies, partly because it doesn’t feel urgent. However, having a diverse and inclusive culture and workforce is increasingly giving companies a competitive edge in the war for talent. This talk will focus on practical tips and advice on fostering diversity and inclusion in early-stage companies.

Transcript

1. Building with diversity Why it matters and how to do it from day 0. Check Warner co-founder & CEO @checkwarner @diversityvc www.diversity.vc
2. !2
3. !3 Diversity
4. !4 ! Who I am ! What I mean by diversity ! Why embracing diversity & inclusion is the best way to supercharge your business ! Practical, tangible advice for building in diversity from day one Today
5. Who I am !5 Venture Capitalist & Angel Investor Venture Advisor to the world’s First Space Fund, Seraphim Capital Co-founder & CEO of Diversity VC
6. Where I came from !6 36 investments 128 rounds of funding 3 years Live Better With Predina Papier
7. !7
8. !8
9. !9
10. Presentation for the BVCA 10 So we co-founded Diversity VC
11. Diversity VC comprises four key initiatives DATA Promoting diversity with help of proprietary data and research STUDENTS Helping venture capital firms hire from a diverse talent pool VCs Building a diverse network of venture capital professionals ENTREPRENEU RS & LPS Connecting with a diverse community of entrepreneurs and LPs 11
12. Focussed on action !12 TOOLKIT VC TRAINING INTERNS
13. Presentation for the BVCA We published the first ever study on 
 women in UK VC WOMEN IN U.K. VENTURE CAPITAL 2017 A report by Diversity VC In partnership with the BVCA With data provided by Craft.co Published May 2017 13
14. Presentation for the BVCA We got some attention 14
15. What is diversity? 15 @checkwarner @diversityvc www.diversity.vc
16. Diversity: “the fact of many different types of things or people being 16
17. !17
18. Setting the scene 18 @checkwarner @diversityvc www.diversity.vc
19. !19
20. !20
21. !21 “Cutting corners will come back to bite you. When you fall into debt, the interest rate keeps growing, and at some point your culture is potentially endangered.” - Manu Smadja, co-founder of edtech and financial inclusion startup MPOWER Financing
22. !22
23. !23
24. The numbers 24 @checkwarner @diversityvc www.diversity.vc
25. !25 18% Of companies that raised money in Europe in 2016 did not have all male teams Atomico State of European Tech Report 2016
26. !26 7% Venture bacekd companies Series A had female CEOs Atomico State of European Tech Report 2016
27. !27 2% of companies had a female CTO Atomico State of European Tech Report 2016
28. !28 0.2% PitchBook, 2017 Of capital allocated to black female founders in the US in 2017
29. Women represent just 13% of decision makers in U.K. venture capital n=987 investment professionals n=1,559 employees OF DECISION MAKERS ARE WOMEN 13% OF INVESTMENT PROFESSIONALS ARE WOMEN 47% OF U.K. LABOUR FORCE ARE WOMEN 27% OF OVERALL LABOUR FORCE ARE WOMEN n=660 partners, or equivalent Diversity VC Research (2017) 29 18%
30. Presentation for the BVCA Diversity VC Research (2017) OF FIRMS HAVE NO WOMEN IN THEIR DECISION MAKING TEAM 66% OF FIRMS HAVE NO WOMEN IN THEIR INVESTMENT TEAM n=160 firms 30 48%
31. Why does it matter in small companies? 31
32. !32 Four key reasons Financial performance Talent Decision making Product design
33. 33 Financial performance 21% Improved performance from gender diverse teams 35% Improved performance from ethnically diverse teams Source: McKinsey, Diversity Matters 2018 Source: McKinsey, Diversity Matters 2018 Source: HBR, The Other Diversity Dividend Source: HBR, The Other Diversity Dividend 11 % Lower success rate on exit with shared schools 26 % Lower success rate on exit with shared ethnicity
34. 34 Talent 80% On average of the op-ex of a business goes on talent Source: LinkedIn 2018 3x More likely that people of colour & women will leave a business because of cultural challenges Source: Smash, Corporate Leavers Survey
35. 35 Decision making Cuban Missile Crisis Bay of Pigs Disaster
36. 36 Product design
37. !37 For example The Telephone Email The Scanner
38. 38 A few don’ts ! Diversity committee ! Tackling gender first ! A ‘pledge’ with nothing else that comes out of it ! Ignoring it
39. So how do you do it? 39
40. !40 So how and where do you start? Understand & prioritise Measure & report Onboarding & culture Hiring
41. 41 Understand and make important Training Lead and commit Supplier recommendation: Fearless Futures
42. 42 Measure Supplier recommendation: Gap Square Measure and report any discrepancies between people doing the same jobs at different pay
43. 43 Review hiring (& board) Supplier recommendation: Applied & Nurole
44. 44 Review culture Supplier recommendation: La Fosse Associates
45. 45 & much more! Check out the Diversity VC toolkit for more information & recommendations.
46. Intel If you do not intentionally include, you will unintentionally exclude,” - Barabara Whye, Intel’s chief diversity and inclusion officer 46
47. Habito 47 “The accessible entrance to the building is next to the cafe; if you need any additional information please let me know.” Sophia Clarke, Head of Business Operations, Habito
48. !48 ! Build in diversity & inclusion from day one ! Not just an important thing to do- but impacts the bottom line ! There are some really practical things you can do and some affordable training and software solutions that you can do it with! To conclude
49. THANKS! Francesca Warner CEO, Diversity VC Venture Advisor, Seraphim Capital Check@diversity.vc +44 (0) 7958150339 Diversity VC was established as a non-profit organisation on 11th May 2017. The company was incorporated in the U.K. on 11th May 2017 as a Company Limited by Guarantee (Company Number 10765592). The company is able to take donations for charitable activities. We have five directors, called council members: Francesca Warner Travis Winstanley Farooq Abbasi Lillian Li Anna Boffetta