Increasing diversity a business problem, needing business solutions

Tuesday, 5 September 2017

New Zealand businesses are being told, if they want to develop women into the highest ranks of leadership, they will sometimes need to deploy a blunt instrument to help them.

Westpac chief executive David McLean is one of Global Women's Champions for Change, a group of high-level leaders who have pledged to work to improve diversity and inclusion in Kiwi businesses.

McLean said it was something Westpac had worked on for a number of years, and he was proud of the progress that had been made.

'When you find that there's not many women in certain segments – in our business that's IT and the financial markets – you can't assume that's going to correct itself. You can go through at a micro level and identify all the little things built into the system that are stopping women coming through but that takes a long time and you might never find them all… Sometimes you just have to use a blunt instrument.'

**READ MORE:

* Not just a women's issue: Global Women's 1 Day for Change

* Businesses told to look deeper to confront biases that limit women's pay**

He said Westpac now required that, before appointing a new recruit, those hiring produce a candidate shortlist with at least two women on it. 'People sometimes roll their eyes and say there aren't any,' he said. 'But they invariably come back a month later and say they've found some really good women. It's forcing them to look.'

Miranda Burdon, Global Women's chief executive in New Zealand, said businesses need to make a conscious effort if they wanted to see change. 'Companies that have achieved great success have been focused on the development of their talent pool for many years. Things don't happen unless there are effective policies in behind them.'

ASK OUR PANEL: Stuff is chairing a panel session at the 1 Day for Change Event, where questions will be put to key speakers. Do you have any questions about diversity in business, or the changing workforce? Do you want high-level feedback on a particular topic or issue? Email susan.edmunds@fairfaxmedia.co.nz

She said, when people who were appointed as a token nod to diversity, without systemic change, it would not prove sustainable. 'Businesses should recognise that diversity is a commercial challenge that needs commercial resources behind it.'

Nicole Rosie, chief executive of WorkSafe New Zealand, went through Global Women's Breakthrough Leaders programme in 2012, while employed at Fonterra.

She said it helped her to identify the challenges that women faced in the workplace and to understand how she could help to confront them. 'It showed I was part of the problem,' she said, 'Everybody has unconscious biases.'

Rosie said she now focused on trying to create an enabling environment for women. 'When I'm talking about women, I'll focus on their strengths. We are far more likely as women to focus on and talk about our weaknesses. We are far more critical of ourselves than others.'

She said she also worked to be transparent with women about the salaries she thought were fair for their roles. When she advised women, she suggested they add 30 per cent to what they thought they should be paid 'and ask for that. I've done that with six or seven women and not a single person has had a no.'

While women needed to think about the mental barriers that were stopping them from being paid what they were worth, employers should also question themselves if they were willing to pay a woman less than a man who was asking more.

Rosie said many women would discount what they thought was fair because they wanted flexibility to take time out for children or other family commitments.

'But the guy next door doesn't say 'I'm planning to go to the ruby and come in hungover for the next two days so I'll discount myself'. How do you support women to value the contribution they make… like for like, women's productivity is the same. The biggest change to be made is to support women to be confident in their value.'

Kim Ballinger, director at Tip Top and Fonterra Brands, agreed. She also instructed those hiring to ensure they had a diverse candidate pool. 'I don't say 'hire a certain person' but make sure you have a wider pool.'

But she said women needed to be encouraged to put their hands up for leadership roles.

'Even when the women themselves don't think they are ready, or believe it is too big a job to do with their family commitments.  We then have an obligation to wrap the right support around them to make them successful - this includes workplace flexibility, work life balance mechanisms, coaching, networks and development.'

McLean said it was important that businesses made improving diversity just another business problem to solve. It should be in staff key performance indicators and scoreboards, he said.

'It's the right thing to do,' he said. 'It's important in an organisation to make sure we have a wide range of thinking and people coming from different backgrounds and ways of approaching problems.'

Global Women development director Jo Nicol said it was important that leadership development programmes were aligned with the businesses' strategic goals.

'You see some cool, funky programmes that have no commercial relevance at all.'

Many chief executives and HR profressionals did not pay enough attention to the architecture of their programmes, she said.

Leaders would also needed to look at their unconscious biases and become more candid and honest about what they were, she said.

'A lot of top-team professionals have got there for a particular strength in their leadership. In order for women to get to the top, some of those at the top have to turn the spotlight on their blind spots. Every leader has to think about themselves - how do I view women? - they've just got to have that self-awareness.'

* Registrations for Global Women's 1 Day for Change summit on 19 September are now open, and places are filling fast. Find out more, view the speakers and buy your ticket at http://globalwomen.org.nz/1dfcnz