More Dialogue Sought in Boardrooms To Boost Corporate Diversity
Transparency and accountability are crucial to increase diversity in corporate boardrooms and executive suites, business, trade association and advocacy group representatives said Wednesday at a Multicultural Media, Telecom and Internet Council's conference. Discussion by two afternoon panels centered around the need for large corporations in the media, tech and telecom industries to create a more diverse "C-suite."
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"Accountability is the key," said Maria Arias, Comcast vice president-diversity and inclusion. Arias said that companies should set goals and know how they envision the diversity of their workforce and boardroom. "You really have to figure out who you are and what your culture is," she said. "You have to have a reality check. You have to understand what diversity and inclusion really are. It's not just checking off boxes."
Fred Humphries, Microsoft vice president-U.S. government affairs, said the number of African-Americans, Hispanics, women and individuals from other minority groups represented in the C-suite "isn't good enough." Prior to the panel discussion, Executive Leadership Council President Ronald Parker presented statistics from a 2012 study. It found that of the 5,488 combined board seats of Fortune 500 companies, 303 were held by black men and 103 by black women. The data showed that 87 percent of boardroom seats were filled by white males, Parker said. Humphries said that Microsoft is a "very diverse company," but the number of African-Americans and Latinos at all positions in the company and in the C-suite is "not something to be proud of." Microsoft's executives and board members "totally embrace" what the company is trying to do to build diversity, Humphries said.
"My experience is that corporate leaders know the scenario as well or better than we do," said Adonis Hoffman, diversity advocate and former chief of staff to FCC Commissioner Mignon Clyburn. Most CEOs, executives and board members say that the diversity of their C-suites or a lack of diversity within their companies isn't an issue they actively think about, Hoffman said. He suggested using facts and data when discussing diversity to corporate leaders, and said to center the conversation on any potential loss caused by lack of diversity. "Whatever the fear of loss is, that's where the discussion has to go," Hoffman said.
Arias said that a company can make a lot of progress by diversifying its talent pipeline and developing that talent. "You have to have a wide array of experience, you have to have exposure, you have to develop that talent," she said. Arias said that the most effective way to create change is to have direct conversations with executives. "It's not just the numbers, the reporting, the sponsorships. It's figuring out a way to talk with the boardroom leaders," said Arias. Outside pressure and accountability work, Humphries said, but "you need to make sure you're just not throwing money at the problem, you need to throw commitment at the problem." The "discussion really has to be how can they put legitimate pressure on these companies so it makes the needle move," said Hoffman.
During the final discussion of the day, panelists talked about opportunities for companies to diversify through mergers and acquisitions, infrastructure and the supply chain. USTelecom depends, in part, on the success of minority-owned business members, said CEO Walter McCormick. "When it comes to minority-owned businesses, we want these businesses to be our customers," he said. "We feel that our success and the minority business's success is reciprocal." Comcast and NBCUniversal Supplier Diversity and Strategic Procurement Executive Director Ajamu Johnson said the telecom and media industries are constantly evolving, which creates the need for an evolving and diverse vendor group. "The key is to create a landscape so all vendors have access and have a level playing field," Johnson said.
There is a workforce issue and a lot of headroom for an increase in diversity in the wireless industry, said Zachary Champ, PCIA government affairs director. Although panelists agreed on a definite need for more employment diversity in big businesses and their supply chains, they acknowledged that some changes and improvements to the issue have been made. "If you nod at the wheel for a second," said California Public Utilities Commissioner Emeritus Timothy Alan Simon, "things are going to [return] to the status quo."