LEADING WITH VISION: Leveraging an Inclusion-minded C-Suite to Advance Profitability. Darrick Paul Chief People Officer, MUSC Health

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1 LEADING WITH VISION: Leveraging an Inclusion-minded C-Suite to Advance Profitability Darrick Paul Chief People Officer, MUSC Health

2 VIDEO. The new ŠKODA Fabia Attention Test

3 Exclusion

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5 Session Objectives At the completion of this lesson, participants should be able to: Set the tone of Leadership Responsibility Confront your responsibility as a leader and/or CEO Confront your power to make a difference Have a courageous conversation about fostering unity in your closest circles of influence at home, work, and/or social/religious circles

6 2017 Deloitte Global Human Capital Trends CEOs must take ownership and drive accountability among leaders at all levels to close the gap between what is said and actual impact. In this year s survey, the proportion of executives who cited inclusion as a top priority has risen by 32 percent compared with our 2014 survey. Over two-thirds (69 percent) of executives rate diversity and inclusion an important issue (up from 59 percent in 2014). Thirty-eight percent of executives report that the primary sponsor of the company s diversity and inclusion efforts is the CEO.

7 Five Key Business Drivers Talent - Attract, Hire, Advance, Retain the best Performance - Increase Productivity and Operational Excellence Innovation - Leverage New perspectives and Ideas Growth - Expand Markets and Increase Customer Satisfaction Brand - Enhance Reputation and Corporate Responsibility

8 Leaders Drive Growth

9 The Impact of a Diverse and Inclusive Culture on ROI

10 Driving Performance and Innovation: The Business Case

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12 Why are we talking about Diversity and Inclusion? People often think been there, done that when they hear diversity, and brush it off as an important but dated topic. If you follow the news, however, you see questions coming up about diversity daily - this is obviously still an active and relevant issue, especially as it relates to the workplace. Our workforce is becoming ever more diverse, but we re not becoming any less human. And if you think of all the stuff we bring to the table as humans, you quickly see how it influences all of our relationships, including our work relationships. Despite the almost universal acceptance of the business case, even the most wellintentioned companies often run into great difficulty when it comes to achieving diversity and inclusion in practice.

13 Historical Perspective Civil Rights to Full Inclusion Inclusive Workplace Managing Diversity Diversity Equal Employment Opportunity Affirmative Action Civil Rights Movement Melting Pot (Assimilation) Salad Bowl (Multiculturalism) Inclusion (Process & Performance) <<< >>>

14 Legacy Diversity: Reflects differences in physical attributes and social constructs, such as race, ethnicity, age, gender, ability, and sexuality. Experiential Diversity: A function of our physical and social identities; the impact those identities have on our life histories and lived experiences. A powerful example of experiential diversity is the emerging generational diversity within the American workforce today. Thought Diversity: How our neural makeup and lived experiences impact our problem solving, both in terms of the biological hardwiring of the brain and what occurs when two previously unrelated thoughts are connected in a new way - revealing new insights.

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16 A Common Language Diversity is the differences and similarities we bring into every situation Diversity is also about patterns of behavior such as how we staff our teams, how and with whom we network, how and to whom we give feedback, and for whom we design and develop a market. Inclusion ignites the power of our differences Inclusion is also about ensuring that diversity of knowledge, perspectives, and information is sought and applied in the way we solve tasks and make decisions. Engagement is an emotion Engagement is the emotional connection employees have with an organization that influences the extent to which they are willing to demonstrate consistently high levels of commitment and contribution.

17 What prevents Diversity and Inclusion efforts from gaining traction? There is no one size fits all in Diversity and Inclusion work. Each solution needs to be carefully attuned to its organizational context. Individual and Organization Bias Though we like to believe we are rational thinkers, 80 to 90% of the time we re actually relying on the automatic, subconscious system of the brain to make decisions.

18 The Impact of the Brain and the Power of the Subconscious Mind It s as difficult to change the unconscious mind as it is to move an unmotivated six- ton heavy elephant. To promote behavioral change and improve decision making, we must work with the subconscious. System 1 as fast, automatic, associative, emotional, irrational, and subconscious, which is centered in what is called our evolutionary reptilian or primitive brain. System 2 as the slow, controlled, reflective, rational, self-aware/conscious aspect of cognitive processing, centered in the evolutionary newer part of our brain, the neocortex.

19 The Impact of the Brain and the Power of the Subconscious Mind Researchers have estimated that as much as 90% of our thought processes occur automatically; thus our behavior is dominated by our subconscious (System 1). The most powerful drivers in this part of the brain are like/dislike, safe/unsafe, approach/ withdraw and short cuts to save energy. This plays out through conformity, homogeneity, usand-them categories, biases, and selective attention for good and bad. The downside of these very natural and useful processes can be the exclusion of individuals, groups of people, information, and knowledge resulting in lost opportunities, regardless of good intentions to embrace diversity and be truly inclusive.

20 Critical Elements: What s really required to succeed?

21 Leadership Competency in Diversity

22 How do we get there? Ensuring Diversity and Inclusion as a Leadership Competency at the Top It starts with the understanding that the ability to work across differences is a fundamental leadership competency, not just for Chief Diversity Officers, but for all top executives. CEOs should not only insist that it be a well-developed part of the repertoire of the executives on their teams, but also probe for it when hiring top executives, just as they probe for functional expertise or strategic acumen. Only then will diversity truly start at the top, not just because there is a C-level executive responsible for it, but because it is a competency required of everyone in the C-suite and, just as important, everyone who aspires to the C-suite.

23 Business Process Reengineering How do we get there? Leadership Mindset: Recognize your bias; Harvard Bias Impact Analysis Test Challenge assumptions; reduce confirmation bias Open mind to new, untested notions; consider alternative Power and accountability must flow down Sharing power does not=abdicating responsibility Business Processes: Design processes to yield more than one solution Onboarding Mentor Programs Use interdisciplinary teams; encourage divergent thought De-construct silos; employ matrix management Don t fear creative tension; all constructive conflict Align personnel rewards systems accordingly

24 Questions / Comments?