#WHENWOMENTHRIVE. Carole Jackson Principal, Denver
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1 #WHENWOMENTHRIVE Carole Jackson Principal, Denver OCTOBER 2017
2 O B J E C T I V E S F O R T O D A Y WHY DOES GENDER DIVERSITY MATTER? ARE WE MAKING PROGRESS? WHAT IS MERCER DOING INTERNALLY? HOW WILL THE FUTURE EMPLOYMENT LANDSCAPE AFFECT THE JOBS OF TODAY? WHAT DOES FEMALE REPRESENTATION LOOK LIKE IN HIGHER ED? WHAT CAN INSTITUTIONS DO TO ACCELERATE PROGRESS? - 1 -
3 WHY GENDER DIVERSITY MATTERS - 2 -
4 D R I V E S T R O N G E R B U S I N E S S O U T C O M E S W I T H A N I N C L U S I V E W O R K F O R C E Gender Age Diverse workforce Race Focused and deliberate change management Disabled LGBT THE RIGHT THING TO DO A BUSINESS IMPERATIVE - 3 -
5 4 0 R E A S O N S W H Y D I V E R S I T Y M A T T E R S Source: Mercer graphic based on Catalyst s review of the research (
6 AN I M P E R A T I V E F O R B U S I N E S S $12 trillion added to global economy if gender equity achieved McKinsey 25% The Diversity Inc. Top 50 companies outperform stock exchange performance by an average of 25%. Diversity Inc. 42% In terms of return on sales, companies with the highest percentage of female board directors outperform those with the least by 42%. Catalyst 85% Of CEOs whose organizations have a diversity and inclusiveness strategy say it s enhanced performance. PwC, 18th Annual Global CEO Survey 48% Higher operating margins generated by gender diverse management teams. McKinsey $12T 80% Of executives believe diversity is a key element of innovation. Forbes Insights - 5 -
7 W H A T S Y O U R T A K E? S TA N C E O N D I V E R S I T Y A N D I N C L U S I O N THERE S NO REAL ISSUE IT S THE RIGHT THING TO DO IT IS A BUSINESS IMPERATIVE - 6 -
8 A L I G N O N Y O U R B U S I N E S S I M P E R A T I V E I N T E G R AT I O N W I T H M I S S I O N & B R A N D Employee Engagement & Retention Compliance/ Risk Mitigation Innovation & Growth Student Attraction & Retention BUSINESSES HUMAN RESOURCES - 7 -
9 FUTURE EMPLOYMENT LANDSCAPE - 8 -
10 T H E N A T U R E O F W O R K I S C H A N G I N G 3 5 % O F C O R E S K I L L S W I L L C H A N G E B E T W E E N A N D % O F C U R R E N T P R I M A R Y S C H O O L C H I L D R E N W I L L E N D U P I N N E W J O B T Y P E S T H AT D O N T E V E N E X I S T Y E T 4 7 % O F J O B S I N T H E U S A L O N E A R E S U B J E C T T O C O M P U T E R I Z AT I O N Source: Future of Jobs Report, World Economic Forum
11 E M P L O Y M E N T O U T L O O K A C R O S S J O B F A M I L I E S JOBS CHANGE IN THOUSANDS, D E C L I N E G R O W T H O f f i c e a n d A d m i n i s t r a t i v e M a n u f a c t u r i n g a n d P r o d u c t i o n C o n s t r u c t i o n a n d E x t r a c t i o n A r t s, D e s i g n, E n t e r t a i n m e n t, M e d i a L e g a l I n s t a l l a t i o n a n d M a i n t e n a n c e -4,759-1, B u s i n e s s & F i n a n c i a l O p e r a t i o n s +416 M a n a g e m e n t +405 C o m p u t e r a n d M a t h e m a t i c a l +339 A r c h i t e c t u r e a n d E n g i n e e r i n g +303 S a l e s a n d R e l a t e d +66 E d u c a t i o n a n d T r a i n i n g MSource: E R C EFuture R 2 of 0 1Jobs 6 Report (World Economic Forum) 10
12 PROGRESS OR NOISE?
13 V O L U M E A N D F O C U S A R E T U R N E D U P E C O N O M I C I M P E R AT I V E L E G I S L AT I V E M A N D AT E S A C A D E M I A, N G O S & C I V I L S O C I E T Y I N C R E A S E D I N V E S T O R P R E S S U R E
14 I N C R E A S E D F O C U S H A S N O T C H A N G E D R E P R E S E N T A T I O N O R F U T U R E T R A J E C T O R Y T H E AV E R A G E G L O B A L O R G A N I Z AT I O N F E M A L E 20% 80% M A L E 26% 74% 33% 67% 38% 62% 49% 51%
15 WHEN WOMEN THRIVE, BUSINESSES THRIVE RESEARCH FINDINGS
16 R E S E A R C H M E T H O D O L O G Y INDEPENDENT DRIVERS CONTEXTUAL CONTROLS DEPENDENT OUTCOMES 1. POLICIES, PRACTICES AND CULTURE 2. + = OPERATIONAL CONTEXT 3. INTERNAL LABOR MARKET DYNAMICS WHAT YOU OFFER HOW YOU OPERATE YOUR TALENT PIPELINE Evaluation of your organizational programs, policies and practices Information on your operational context such as industry and size Collection of high-level workforce data across five standard career levels
17 W H E N W O M E N T H R I V E, B U S I N E S S E S T H R I V E R E S E A R C H & K E Y F I N D I N G S 800+ O R G A N I Z AT I O N S With workforce data covering 2 M I L L I O N W O M E N 50+ C O U N T R I E S Increased focus on promoting women into executives ranks not supported by systemic practices and pipelines Organizations are fundamentally failing to build future pipelines of female talent
18 W O M E N F A C E C H O K E P O I N T S I N T H E I R C A R E E R Executives H I R E S F : 7 % M : 6 % AV E R A G E N O R T H A M E R I C A N O R G A N I Z AT I O N P R O M O T I O N S 22% 78% E X I T S F : 1 0 % M : 1 0 % Senior Managers F : 7 % M : 8 % F E M A L E F : 8 % 30% M : 7 % 70% M A L E F : 11 % M : 9 % Managers LOWER hire rates Professionals F : 8 % M : 1 0 % F : 1 5 % M : 1 7 % LOWER promotion rates 42% 38% F : 9 % F : 8 % M : 1 0 % M : 8 % 62% 58% HIGHER turnover rates F : 11 % M : 11 % F : 1 4 % M : 1 3 % Support Staff F : 1 9 % M : 2 6 % F : 6 % M : 8 % 58% 42% F : 1 7 % M : 2 1 %
19 % Female % Female (Professionals and and Above) Above) Legend Legend A N D P R O J E C T I O N S A R E N O T F A V O R A B L E US and Canada (n=134) US and Canada (n=134) baseline adj_all baseline adj_all baseline adj_all Summary of representation changes between 2015 baseline adj_all baseline adj_all baseline adj_all 2015 and 2025, baseline 2015 vs. simultaneous changes Summary of representation changes between 2015 and 2025, baseline vs. simultaneous changes Current and Projected Current Period: year Projection: year Projection: 2025 Female Current Representation and Projected% Current Period: year Projection: year Projection: 2025 Baseline Scenario With All Changes Baseline Scenario With All Changes Baseline Scenario With All Changes Female Representation % Baseline Scenario With All Changes Baseline Scenario With All Changes Baseline Scenario With All Changes Professionals and Above 39% 39% 40% 45% 40% 49% Professionals and Above 39% 39% 40% 45% 40% 49% Workforce Projections: % Female Professionals and Above, 2015 to 2025 Workforce Projections: % Female Professionals and Above, 2015 to 2025 Baseline scenario (i.e., no changes to existing flows) With adjusted turnov er Note: Not all colored lines may show Baseline With adjusted scenario hiring (i.e., no changes to existing flows) With adjusted simultaneous turnov adjustments er (hiring, promotion, turnov er) Note: as a result Not all of ov colored erlapping lines may estimates. show With adjusted hiring promotions With simultaneous adjustments (hiring, promotion, turnov er) as a result of ov erlapping estimates. With adjusted promotions 55% 55% 50% 50% 45% 45% 40% 40% 35% 35%
20 S I M I L A R C H A L L E N G E S I N H I G H E R E D U C A T I O N Women Have 50%+ Degrees The Higher, The Fewer Tenure Gap Rise of Adjunct Professors No matter the academic rank, men make more than women and are more likely to hold a tenure track position
21 B A L A N C I N G A C A D E M I A A N D L I F E Over half of Ph.D.s in the US are awarded to women. Female professors have lower marriage rates, and fewer children than male professors. Women with children are twice as likely as men with children to work part-time or nontenure track positions. Men and women in academia retire around the same age but women have less money to rely on
22 O U R W H E N W O M E N T H R I V E, B U S I N E S S E S T H R I V E R E S E A R C H I D E N T I F I E D T H E C R I T I C A L D R I V E R S I N D I V I D U A L O R G A N I Z AT I O N A L Are you/your leaders PASSIONATE? Is achieving success a PERSONAL goal? Do you have what it takes to PERSEVERE? Is your strategy rooted in PROOF? Are the right PROCESSES in place to support your efforts? Are you involved in the right PROGRAMS?
23 F R A M E W O R K F O R A N E F F E C T I V E G E N D E R D I V E R S I T Y S T R A T E G Y S T E P 1 S T E P 2 S T E P 3 S T E P 4 S T E P 5 ALIGN DIAGNOSE ENGAGE TAKE ACTION MEASURE AND REFINE On the business imperative Root your strategy in proof Create passionate leaders and drive personal commitment Ensure you have the right practices, programs and processes in place Ensure you have the advocates, culture, accountability & infrastructure in place to persevere
24 WHAT CAN YOU DO TO ACCELERATE THE PATH FORWARD?
25 F R A M E W O R K F O R A N E F F E C T I V E G E N D E R D I V E R S I T Y S T R A T E G Y S T E P 1 S T E P 2 S T E P 3 S T E P 4 S T E P 5 ALIGN DIAGNOSE ENGAGE TAKE ACTION MEASURE AND REFINE On the business imperative Root your strategy in proof Create passionate leaders and drive personal commitment Ensure you have the right practices, programs and processes in place Ensure you have the advocates, culture, accountability & infrastructure in place to persevere
26 A L I G N O N Y O U R B U S I N E S S I M P E R A T I V E I N T E G R AT I O N W I T H M I S S I O N & B R A N D Employee Engagement & Retention Compliance/ Risk Mitigation Innovation & Growth Student Attraction & Retention BUSINESSES HUMAN RESOURCES
27 D I A G N O S E INTERNAL LABOR MARKET (ILM) ANALYSIS WORKFORCE PROJECTIONS NETWORK ANALYSIS LEVERAGE DATA TO DEVELOP A STRATEGY EMPLOYEE EXPERIENCE INTERVIEWS EMPLOYEE SURVEYS PAY EQUITY ANALYSIS
28 P A Y E Q U I T Y I S T O P O F M I N D F O R L E A D I N G C O M P A N I E S W H Y I T M AT T E R S M ODELS SHOULD IDENTIFY L E GITIMAT E D R I V E R S OF PAY D I F F E R E N CES Organizations that apply a robust pay equity process have greater female representation There are new and developing reporting requirements Companies are looking to protect their brand and reputation Men out-earn women by nearly $14,000 at public institutions and $18,000 at private institutions
29 E N G A G E S T A K E H O L D E R S GOVERNING BOARD LEADERSHIP TEAM MID-LEVEL FACULTY & STAFF ENGAGE AROUND DATA EMPLOYEE RESOURCE GROUPS MEN HIGH POTENTIALS
30 T A K E A C T I O N U S I N G A H O L I S T I C A P P R O A C H P H Y S I C AL AN D E M OTIONAL H E ALT H F I N AN C I AL W E L L N E S S C AR E E R E N GAGEMENT
31 W O M E N H A V E U N I Q U E H E A L T H N E E D S that impact only women far more prevalent in women that impact women differently Women s cancers Fertility/infertility; pregnancy; fetal health Menopause Autoimmune diseases Depressive disorders Eating disorders Migraines Sleep disorders Osteoarthritis Cardiovascular disease Metabolic disorders Obesity Nutrition/wellness Efficacy and side effects of many drugs and devices 22% of educational institutions identify gender specific health needs and provide customized training and education. Source: Kaiser Family Foundation, Women s Health Care Chartbook The Business Case for Women s Health, Anula Jayasuriya
32 W O M E N F A C E T H E P E R F E C T S T O R M F I N A N C I A L L Y Paid less Gaps in employment Part-time employment E M P L O Y M E N T M O N T H L Y E X P E N S E S Worry more about finances and monthly expenses Risk-averse investors Retirement lasts longer I N V E S T M E N T / R E T I R E M E N T F I N AN C I AL AD V I C E Less likely to use a financial advisor 25% of educational institutions offer retirement plans that are customized to different gender behaviors
33 C A R E E R E N G A G E M E N T UNCOVER ANY VARIANCE IN HIRING RATES DIVERSIFY THE SEARCH COMMITTEES VALID ASSESSMENT TECHNOLOGY TO REMOVE BIAS FOCUS ON HIRING EVALUATE THE EVP FOR WOMEN AND UNDER- REPRESENTED GROUPS RECRUIT OUTSIDE OF TYPICAL NETWORKS ENSURE PAY RATES AT HIRE ARE EQUITABLE
34 C A R E E R E N G A G E M E N T STRONG CAREER FRAMEWORK TO SUPPORT DIVERSITY UNCOVER ANY VARIANCE IN PROMOTION RATES REVIEW PERFORMANCE RATINGS BY GENDER FOCUS ON PROMOTION & RETENTION RATES WOMEN S UNIQUE HEALTH & FINANCIAL WELLNESS NEEDS LEAVE POLICIES AND RETURN TO WORK TRAINING ID AND ENSURE ACCESS TO CRITICAL ROLES
35 1 0 T H I N G S Y O U C A N D O T O H A V E A N I M P A C T 1. Reflect on why gender diversity is an imperative for your institution 2. Know your data 3. Engage stakeholders talk about it! 4. Commit to equal pay & transparency 5. Use technology to take biases out of recruitment & promotion 6. Define and communicate career paths 7. Promote workplace flexibility for everyone 8. Consider the unique health & financial needs of women and men 9. Set measurable goals / hold leaders accountable 10. Sponsor a high performing woman or underrepresented employee
36 Q&A
37 Q U E S T I O N S? Carole Jackson carole.jackson@mercer.com
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