CEO Commitment Web Seminar. Barbara Frankel Senior Vice President, Executive Editor May 22, 2012
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1 CEO Commitment Web Seminar Barbara Frankel Senior Vice President, Executive Editor May 22, 2012
2 Assistance 2 For conference-call assistance, press *0 on your touch-tone phone. For other assistance, contact Customer Service at Thank you! DiversityInc. Reproduction Prohibited.
3 DiversityInc Top 50 3 Based only on empirical data, constantly evolving DiversityInc Top 50 Participation DiversityInc. Reproduction Prohibited.
4 Four Areas of Measurement 4 Accountability Personal Communications Visibility Diversity Councils CEO CEO Commitment Human Human Capital 5 Management Levels Promotions Into Management Promotions in Management Mentoring Resource Groups Philanthropy Consistency Effectiveness Corp. Corp. && Org. Comm. Supplier Diversity Women/Minority Businesses, Lesbian, Gay, Bisexual and Transgender, People with Disabilities, Veterans Spend RFPs Accountability In the 2011 scoring process, more emphasis was placed on consistency across all 4 areas In the 2012 scoring process, more emphasis was placed on diversity councils, mentoring and resource groups DiversityInc. Reproduction Prohibited.
5 2012 DiversityInc Top 50 Companies for Diversity 5 1. PricewaterhouseCoopers 2. Sodexo 3. Kaiser Permanente 4. AT&T 5. Procter & Gamble 6. Ernst & Young 7. Kraft Foods 8. Deloitte 9. Prudential Financial 10. Colgate-Palmolive 11. Johnson & Johnson 12. Accenture 13. Novartis Pharmaceuticals Corporation 14. American Express 15. MasterCard Worldwide 16. Merck & Co. 17. IBM 18. Cummins 19. Health Care Service Corporation 20. Abbott 21. Marriott International 22. KPMG 23. CSX 24. Aetna 25. Cox Communications 26. Dell 27. Automatic Data Processing 28. General Mills 29. Eli Lilly and Company 30. Target 31. Bank of America 32. Starwood Hotels & Resorts Worldwide 33. Wells Fargo 34. WellPoint 35. jcpenney 36. Booz Allen Hamilton 37. Allstate Insurance Company 38. Medtronic 39. Verizon Communications 40. Time Warner 41. Toyota Motor North America 42. Northrop Grumman 43. Rockwell Collins 44. Monsanto 45. Chrysler Group 46. The Coca-Cola Company 47. Capital One 48. Lockheed Martin 49. Kellogg Company 50. MetLife DiversityInc. Reproduction Prohibited.
6 Innovation Starts at the Top 6 Diversity to me equals innovation. Mixing that together, to say that diversity and innovation are interchangeable, is really where we are headed with the company. George Chavel, President and CEO, Sodexo 90.5% 13.9% 28.6% 20.5% CEO Signs Off on Executive Compensation Tied to Diversity CEO Chairs Diversity Council CEO Meets With Resource Groups CEO Has Diversity Quote on Homepage % Increase ( DiversityInc Top 50) DiversityInc. Reproduction Prohibited.
7 Senior Leaders Ensure Consistency of Initiatives 7 At AT&T, diversity at every level of our company is the key to our success. It helps spark innovation, elevate customer care and strengthen connections to the communities we serve. Randall Stephenson, Chairman and CEO, AT&T 206.3% 123.8% 72.4% 63.3% 21.6% Resource Groups Used for Recruiting Resource Groups Used for On-Boarding Resource Groups Used for Talent Development Track Diversity Metrics in Succession-Planning Program Require Diverse Slates of Candidates for Top 2 Levels % Increase ( DiversityInc Top 50) DiversityInc. Reproduction Prohibited.
8 Senior Leaders Extend Commitment Externally 8 Innovation comes from constructive clashes of different ideas, and from that, the sparks create some brilliance At Ernst & Young, it s making sure that all of our people think about the world outside the windows and not about the world here. Jim Turley, chairman and CEO, Ernst & Young 48.4% 33.8% 60.0% Senior Executives Sit on Boards of Multicultural Nonprofits % of Senior Executives That Sit on Boards of Multicultural Nonprofits % of Companies' Philanthropic Spend Directed to Multicultural Nonprofits % Increase ( DiversityInc Top 50) DiversityInc. Reproduction Prohibited.
9 Senior Leaders Ensure Inclusive Recruiting 9 Our passion for diversity is part of P&G s DNA because we consider it a business imperative. Diversity is critical to innovation, and innovation is critical to P&G. Our employees must reflect the diversity of the world s consumers whose lives we strive to touch and improve. Bob McDonald, Chairman, President and CEO, Procter & Gamble 22.9% 20.5% Have Formal Program to Recruit LGBT Employees Have Formal Program to Recruit Employees With Disabilities % Increase ( DiversityInc Top 50) DiversityInc. Reproduction Prohibited.
10 Senior Leaders Create Creating Inclusive Workplaces 10 Fostering an inclusive workplace is essential for Abbott s success. We count on having a variety of perspectives to drive the innovation we need to bring our science, and our company, to a higher level. Miles D. White, Chairman and CEO, Abbott 46.7% Mandate Diversity Training for Entire Workforce % Increase ( DiversityInc Top 50) DiversityInc. Reproduction Prohibited.
11 CEO COMMITMENT Linda Jimenez, Chief Diversity Officer VP Diversity & Inclusion May 2012 Company Confidential For Internal Use Only Do Not Copy
12 Our One Minute Infomercial WellPoint is the nation s leading health benefits company serving the needs of 36 million members nationwide WellPoint is included in the S&P 500 index. One in nine Americans receives coverage for their medical care through WellPoint's health plans. WellPoint is Indiana domiciled and is a Blue Cross or Blue Cross Blue Shield licensee in 14 states: California, Colorado, Connecticut, Georgia, Indiana, Kentucky, Maine, Missouri, Nevada, New Hampshire, New York, Ohio, Virginia, and Wisconsin. We offer a broad range of medical and specialty products. 2 nd largest Fortune 50 company with a female President and CEO. Company Confidential For Internal Use Only Do Not Copy 12
13 Defining Diversity and Inclusion Diversity is the mix of people we engage with that reflect differences and similarities in race, ethnicity, gender, age, abilities, sexual orientation, gender identity, religion, etc. Inclusion is how we leverage that mix and making that mix work requires us to be culturally competent enough to constructively call out our differences and similarities and exploring and understanding how we work together Company Confidential For Internal Use Only Do Not Copy 13
14 Stewardship CEO Commitment What Its All About... Unequivocal in their position Challenging in their approach Focused on continuous improvement Visionary in anticipating the future Compelling and poignant storytellers Company Confidential For Internal Use Only Do Not Copy 14
15 1. Publishes CEO diversity statement 2. Meets regularly with CDO 3. Provides yearly updates to BOD 4. Meets with all ARGs at least once a year 5. Provides annual updates to associates 6. Requires metrics and holds people accountable Our People Our Culture Our Communities How Our CEO Shows Commitment to Diversity Angela Braly - Chair, President & CEO / WellPoint, Inc. Company Confidential For Internal Use Only Do Not Copy 15
16 Start at the top... Publish CEO Diversity Statement Internet / Intranet Corporate Responsibility Report Speeches / Interviews At WellPoint we see diversity management as more than just a strategy, it s a fundamental part of how we do business. Focusing on diversity helps us to better understand and meet the health care needs of the unique communities we serve while actually becoming part of their cultural fabric. Together, our associates, partners and customers are accomplishing WellPoint s mission of transforming the health care industry one person, one family, and one community at a time. Company Confidential For Internal Use Only Do Not Copy 16
17 Meets Regularly with CDO Annual review of D&I Strategy and goals Quarterly review of workforce demographics Annual review of EEO / AA Compliance Signs off on annual EEO Statement Ongoing review of multicultural requests Provides support around diversity training initiatives Bi-Monthly talent reviews Requires diversity mix in all leadership development programs Company Confidential For Internal Use Only Do Not Copy 17
18 Updates to Board... Workforce Composition Associate Engagement through Associate Resource Groups (ARGs) Equal Opportunity and Compliance External Recognition Supplier Diversity Social Responsibility Sources of Competitive Strength / Opportunities and Focus for Continuous Improvement Company Confidential For Internal Use Only Do Not Copy 18
19 Updates to Associates... Company Confidential For Internal Use Only Do Not Copy 19
20 Updates to Associates... Regularly meets with all Associate Resource Groups (8) Manager Meetings CEO Corner (intranet) Quotes Press Releases External Communications Quarterly Lunch-n-Learns Enterprise Wide Training Modules Video Introductions Company Confidential For Internal Use Only Do Not Copy 20
21 Metrics and Accountability... Sustain and/or improve racial / gender diversity at Staff VP (now --- Director) level and above Sustain and/or improve Supplier Diversity efforts ELT CDO Chief Procurement Officer Bi-Monthly Talent Review Yearly Succession Planning Process / Talent Calibration Sessions Company Confidential For Internal Use Only Do Not Copy 21
22 Part of the Fabric of our Culture... Visible and ongoing support from senior management Clear articulation of the business case for diversity Focus on enhancing our cultural competency Programs directed at education and awareness, conflict resolution, team building, mentoring, coaching Associate engagement and empowerment Company Confidential For Internal Use Only Do Not Copy 22
23 THANK YOU! LINDA JIMENEZ Chief Diversity Officer VP Diversity & Inclusion Visit us at: Company Confidential For Internal Use Only Do Not Copy 23
24 The Commitment to Diversity & Inclusion May 22, 2012
25 About CSX One of the Nation s leading transportation suppliers Approximately 32,000 employees The CSX Transportation network encompasses about 21,000 route miles of track in 23 states, the District of Columbia and the Canadian provinces of Ontario and Quebec More than two-thirds of Americans live within CSX s service territory Vision To be the safest, most progressive North American railroad, relentless in the pursuit of customer and employee excellence
26 CSX s Diversity & Inclusion Journey 10-year journey; began in 2002 Michael Ward became CEO in 2002 Appointment of Chief Diversity Officer Benchmarked within and outside industry Identified gaps and opportunities In 2005 hired diversity consultant, Hattie Hill of Hattie Hill Enterprises Developed annual CSX Inclusion Forum Corporate Cultural Assessment in 2006 Three-year strategy and multi-faceted training program Redesign of performance management system with emphasis on people leadership and development Development of Employee Resource Groups since 2002 CSX continues its efforts to embed diversity and inclusion in all aspects of the business
27 Diversity & Inclusion Starts at the Top CEO Commitment Success requires commitment from the top Visible Leadership Leading by Example At CSX Annual Inclusion Forum In the Community Edward Waters College, Wounded Warriors Verbal and Written Communication Consistent Messaging Michael s Weekly Voic s Corporate Communications Event Participation Executive Sponsorships
28 Diversity & Inclusion Starts at the Top Setting Expectations for Diversity Board of Directors actively recruited diverse slate The Executive Team (E-Team) follow CEO s lead Executive Searches Set tone for Voice of Employee survey with first ever cultural assessment Personal philanthropy Founder of Associate Development Program (ADP)
29 Executive Inclusion Council It starts at the top and filters down EIC created in 2010 Governing body that ensures D&I strategies are effectively implemented across CSX to achieve desired vision and results Comprised of 15 senior leaders Establish priorities and help ensure accountability for inclusion at CSX Ensure inclusion becomes foundational to the company and provide policy recommendations to the Executive Team Five areas of Focus Engagement Partnerships Talent Communication / Technology :
30 Succession Management Performance Management Annual Performance Reviews Talent Reviews Performance Potential Development Action Plans Key Job Succession Planning Role Review Diverse Candidates Employees New to the Plan Review of Development Plans Executive Team Succession Planning
31 Employee Development Develop Employees Employee Resource Groups (ERGs) Associate Development Program (ADP) Career Progression Planning (CPP) Management Trainee Program (MTP) Participation in External Diverse Programs: National African American Women s Leadership Institute (NAAWLI) Hispanic Association on Corporate Responsibility (HACR) Moving Up Management Intensive (MUMI) Executive Leadership Council (ELC) National Association of Black Accountants (NABA) Develop External Pipeline Diverse network of Colleges and Universities Developing relationships to foster talent acquisition U.S. Business Leadership Network (USBLN) Edward Waters College Internships
32 Executive Team Commitment & Engagement Employee Engagement Survey 2011 Diversity Celebration MLK Memorial Donation Edward Waters College We Celebrate Success! CSX Inclusion Forum DiversityInc Top 50 National Disability Matters Workplace Award
33 CEO Commitment At CSX, diversity is a business imperative and a critical element of our vision to be the safest, most progressive North American railroad, relentless in the pursuit of customer and employee excellence. Our diversity goals recognize that to be prepared for the future, our workforce must represent the potential pool of new employees, our customers, our shareholders, and the communities in which we operate. Michael J. Ward Chairman, President and CEO
34 Send In Your Questions! 34 You may submit your questions via the web by using the text chat box on your screen. Simply type in your question and click send. DiversityInc. Reproduction Prohibited.
35 2012 Web Seminar Schedule 35 DiversityInc Top 50 Best Practices June 19, 2012 Talent Development July 17, 2012 Mentoring Sept. 18, 2012 Diversity Councils Oct. 16, 2012 Succession Planning Nov. 20, 2012 DiversityInc. Reproduction Prohibited.
36 DiversityInc Events 36 DiversityInc s second Innovation Fest! Sept. 12 in New York City Managing the Relationship Between HR & Diversity Departments Sept. 13 in New York City 2012 DiversityInc Special Awards & Top Regional Companies for Diversity Oct in New York City For more information on all upcoming events, visit DiversityInc. Reproduction Prohibited.
37 Thank You for Attending the Web Seminar 37 You will receive a follow-up from us containing the link to download this presentation for future reference The presentation will be available approximately 72 hours after this event Questions? Call (973) DiversityInc. Reproduction Prohibited.
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