The five CEOs were selected to lead a discussion on creating diversity in the workplace because of their companies’ strides in that area. Yet not one of the executives said they were even close to fulfilling what they termed a necessity.
“Diversity is finally in the mindset of large corporations. The bad news is we are not moving fast enough,” said Arthur F. Ryan, chairman and CEO of The Prudential Insurance Company of America.
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Ryan, a Providence College graduate, echoed the comments of other executives involved in a forum entitled “Inclusion in the Work Force: The Leadership Challenge in the Global Marketplace,” as part of the Textron/Providence College Business Forum held last month.
Panel members, including Textron’s Lewis B. Campbell, outlined initiatives that should be taken to step up minority and women recruitment, promotion and overall comfort within their organizations. All the CEOs stressed to the audience of more than 100 people that the drive toward diversity has little to do with being “politically correct” more than it does with being competitive.
Having minorities within a company helps the business better understand different cultures that a product is being targeted toward. Also, a diverse workforce helps attract qualified minority professionals.
“It happens to make very good business sense, regardless of the business you’re in,” said Campbell, who represented the only Rhode Island-based corporation at the forum.
Textron and Providence College have been working since 1994 to try to bring the issue to the forefront in the state. The partnership includes a $1.1 million grant from Textron that will be spread over 10 years to continue similar efforts as well as provide scholarships for women and minorities at the school.
The Rev. Terrence Keegan, O.P., executive vice president at the college, sees the event as a tool to be used by all businesses.
“Providence College and Textron will continue to use this unique event to heighten awareness and stimulate honest discussions about successful approaches that advance opportunities for women and minorities in the workplace,” he said.
Providence College graduate Michael T. Smith is the chairman and CEO of Hughes Electronics Corp. of California. He said diversity is an “economic necessity.”
“Someone living on an island is probably the only person who doesn’t think diversity is an issue in business,” said Smith. “Our customers are becoming much more diverse so we will have to cater to their needs. Our work force is becoming much more diverse” so the work environment should suit them.
Gail Snowden, president of First Community Bank, a BankBoston subsidiary, has seen first hand how diversity among employees can be essential in working with the community. First Community Bank, started eight years ago, serves minority, culturally diverse and socially changing urban areas.
“We have proven that being culturally respectful, understanding and speaking their languages and valuing minority customers (is important) to business,” Snowden said. She cited several ways of recruiting minority employees, including seeking them out at predominately black universities and holding career fairs in minority neighborhoods.
Snowden stressed that creating diversity within a company doesn’t end with recruitment. Retention, she said, is also a key.
“We want them to feel comfortable with the different lifestyles, religions and cultures they bring to the workplace. We don’t want them walking through the door and leaving their real selves behind,” she said.
If employees are not happy that can lead to high turnover, absenteeism and poor productivity, she added. “By raising diversity you create the ability to get the best available talent in a changing world,” Snowden said.
Campbell said for an organization to commit to a diverse work force, the CEO will have to lead the charge. It’s something easier said and then done.
“You have to change the hearts and minds of people,” he said.
While many CEOs throughout the country are raising similar questions, there is a concern whether it is having any impact.
“My observation is there is little visual evidence that we in Rhode Island are making much progress on this agenda item: inclusion of women and minorities,” said former State Rep. Joseph Newsome, now of South Providence Development Corp. who addressed the panel.
“As you walk through, as I often do, (the state’s) corporate headquarters I don’t see African-Americans and I don’t see women. I can probably count on one finger vice presidents of corporations here who are African-Americans,” he added.
“Corporations here need to have CEOs who want to educate and champion this issue with their peers.”
