Global Diversity and Inclusion - EIU

Global Diversity and Inclusion

Perceptions, Practices and Attitudes

Global Diversity and Inclusion: Perceptions, Practices and Attitudes

A Study for the Society for Human Resource Management (SHRM) Conducted by the Economist Intelligence Unit

TABLE OF CONTENTS 3 Background 5 Introduction 7 Executive Summary 7 Sidebar: Who took the survey? 9 Part I: Opportunities from Diversity

9 Workforce Diversity and Inclusion in multinationals: Facts and trends 10 Sidebar: How diverse is your country? 12 Sidebar: Key findings from the Global Diversity Readiness Index: Top countries 13 The business case for Diversity 17 Supplier Diversity: The next frontier 21 Part II: Challenges of Diversity 21 Divergent paths taken to reach the same goal 22 Internal resistance to Diversity efforts 24 The quota issue 25 Sidebar: Key findings from the Global Diversity Readiness Index: Top regions 27 Part III: Best Practices 27 Management structures 28 Metrics and rewards 29 Internal communications and training 30 External outreach 33 Part IV: Regional Characteristics 33 North America: Embracing change 33 Western Europe: Ladies first 34 Asia/Pacific: Diversity the natural way 39 Middle East: Local talent 41 Conclusion 43 Chart and Table Index 45 Appendix I: Global Diversity Readiness Index: Methodology, Results and Findings 63 Appendix II: Participants in Qualitative Interviews

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Background

More than ever, businesses, governments, non-profits and other organizations are finding it necessary to adopt a global mindset in order to remain viable and relevant in today's global marketplace. As organizations recognize the importance of developing greater cross-cultural competence, Diversity and Inclusion practitioners are often at the forefront of this work. This makes sense, as these professionals have long been engaged in helping individuals and organizations manage and leverage difference in ways that allow people from all backgrounds to hear and be heard, understand and be understood, and work together productively. And some will suggest that one's national culture is the most powerful differentiator there is, greater than ethnicity, gender or language.

And yet, Diversity and Inclusion practitioners are often caught in the same conundrum as those they serve, because--like every other facet of business--the concepts of "Diversity" and "Inclusion" themselves often mean very different things in different countries around the world.

In 2008, the Society for Human Resource Management (SHRM) commissioned the Economist Intelligence Unit (EIU), a subsidiary of The Economist Group, to conduct an International Study on Diversity and Inclusion. The study was launched to provide a deeper understanding of Diversity and Inclusion issues on a global scale, and to offer insight into Diversity and Inclusion best practices worldwide. This groundbreaking study included surveying over 500 executives and interviewing 40 of them. In addition, the Economist Intelligence Unit researched the diversity readiness of 47 different countries to create the Global Diversity Readiness Index (see Appendix II for more

information). This report details the findings of both the research and this groundbreaking new tool.

Following the publication of this research, SHRM will release the Global Diversity Readiness Index as an online tool at diversity; incorporate the findings into future programming, including the SHRM Diversity and Inclusion Strategic Leadership Program; and use the knowledge gained to inform its global business strategy moving forward.

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