The views and opinions expressed in this article are those of the authors. They do not purport to reflect the views or opinions of the authors’ employers.
By Adeola Coker, Ph.D., Professor, Pharmaceutical Sciences, University of the Incarnate Word, Feik School of Pharmacy; Paul Fielder, Ph.D., Vice President of PTPK & OMNI Biomarker Development, Genentech; Lorraine Lavet, M.B.A., Senior Client Partner, Head of the National Association Specialty Practice within Association, Government, Nonprofit, Korn Ferry; Tina Morris, Ph.D., Executive Director, AAPS; Cindy Perettie, M.B.A., Head of Roche Molecular Labs, Roche Diagnostics, Roche; Erik Burns, Ed.D., Director of Corporate Engagement, AAPS; Joy Davis, Managing Director of Member Products, AAPS
Lorraine Lavet, M.B.A., is confident there is a rich pool of qualified candidates who are diverse in every way–experience, education, ethnicity, orientation—available for every opening she assists a board or CEO in filling.
The challenge is not a lack of candidates, she said. Rather, it is often in the approach used by boards and executives to source top diverse talent when they have an opening in their team.
"It is a matter of not just recruiting diverse talent at the moment you need to hire for a position,” said Lavet, a Senior Client Partner at Korn Ferry, where she is Head of the National Association Specialty Practice within Association, Government, Nonprofit. “All year long it is incredibly important to invest the time to build and cultivate relationships with organizations and networks where you are likely to meet or network with top talent."
Lavet joined panelists Paul Fielder, Ph.D., Vice President of PTPK & OMNI Biomarker Development at Genentech, and Cindy Perettie, M.B.A., Head of Roche Molecular Labs, Roche Diagnostics at Roche, in presenting How to Build a Diverse Organization Where You Work: Advice for Scientists, during AAPS’ 2020 PharmSci 360 meeting. The panel was moderated by Adeola Coker, Ph.D.
Diversity Grows the Bottom Line
Fielder said organizations that seek diversity, equity, and inclusion (DEI) at all levels have a higher rate of profitability and overall performance when measured.
"It is really the right thing to do for society, and it makes very good business sense as well,” he said. “Diverse teams bring a very diverse set of knowledge, life experiences, and approaches to solving problems. Data suggests diverse teams very much outperform non-diverse teams."
Diverse companies have a competitive edge, according to recent research from The Wall Street Journal. In 2019 the publication’s research analysts reported that the 20 most diverse companies in the S&P 500 index have better operating results on average than the lowest scoring firms, and their shares generally outperform those of the least-diverse firms. Those companies had an average annual stock return of 10% over five years, versus 4.2% for the 20 least diverse companies.1
McKinsey & Company reports that organizations with strong gender diversity were 15% more likely to see higher profits; those with strong ethnic diversity 33% more likely to realize higher-than-average profits.2 Diverse organizations are more innovative and, thus, more profitable.3,4
Achieving this kind of impact on a company’s innovation and profitability requires a long-term, whole-organization commitment to finding, developing, and retaining talent, the panelists said. Employees must be trained to work in an organization that is diverse at every level, equitable in its operations, and consistently inclusive over years.
A single individual cannot accomplish this change, no matter what title they hold or office they occupy. Building diversity is a systemic matter, and addressing it must start at the very top, with the board, CEO, and executive leadership team, who must then hold all employees accountable for achieving DEI goals and objectives.
Figure 1: Steps to Building A Diverse Organization
Pipelining
It all starts with what can be easily seen: the numbers.
"Look at your data,” Perettie said. “Understand where you have gaps. You have to absolutely recognize that having that diverse talent pool is what makes you innovative."
Then, begin “pipelining” as Fielder termed it. The diverse candidates a company will be seeking in a year–or in a decade–will not be found in traditional education and program pathways.
"Engage early and often in diverse talent,” Fielder said. "We lose a lot of diversity early on in high schools and college because some students do not have a lot of support, or people do not know about careers, especially about careers in, say, pharmaceutical sciences."
Offer support, rotations, training programs, and internships to high-school, college, and graduate students from minority populations. Form partnerships with organizations that attract diverse populations. Advertise for your programs in multiple channels that reach your potential hires where they are today: social media, university connection pages, special focus groups, and through organizations like AAPS.
Potential, Not Pedigree
Recruitment must be rigorous and intentional, Perettie said. When hiring, the only acceptable candidate pool is a diverse one that ensures a range of experience, gender, ethnicity, sexual orientation, etc., regardless of the level of the position that is open. Cultivating relationships and partnerships with academic institutions and organizations with diverse talent pools is key.5
Consider opening more entry level or junior positions to help attract early career talent.
“Focus on hiring potential, and not so much pedigree,” Fielder said. “If we all continue to hire the same way we do, by going after the same schools and the same publications, and the same skillsets, we are just not going to get the diversity we need.”
Build a Workplace That Retains Talent
The pipeline must also be supported by an inclusive workplace, one that carefully recruited talent will want to work in for years to come. It is important to cultivate an environment where employees have a strong sense of belonging and are comfortable being their authentic selves.
This means managers and employees need to move beyond reciting a company’s values and attending its DEI training programs, and into conversations about day-to-day work.
"How do you enable great conversations?" Perettie said. "The words we choose in conversations matter. We took some time to put together a ‘Words Matter Guide.’ I know this may sound very simplistic, but it was a guide to allow people to have really difficult conversations, or have challenging conversations, or conversations that are meaningful in the case of an interview or thinking through promotions."
Perettie also emphasized that while DEI goals are driven from the top down, leaders must, “listen from the bottom up,” to complement data with insight and understanding. She listens to her company’s Employee Resource Networks (ERNs) for women, communities of color, and individuals identifying as LGBTQ to guide the organization on recruitment practices and culture.
Hiring Into the C-Suite
When a vacancy appears at the top of an organization, Boards and executives must ensure that even the search committee itself is diverse, since these individuals influence which competencies are sought in candidates through position descriptions and interviews, Lavet said. Companies using a search organization like hers must hold the consulting firm accountable for building the “best plate” —one that includes diversity in gender, ethnicity, experience, etc.
Rather than reaching back to the same pool of talent, companies must purposefully pursue top performers in the marketplace who are great candidates, even if they are not typical ones.
“It is intentional, it is direct, and it is amazing,” she said. “Many people just have not been asked."
The full recording of the panel’s presentation, including their responses to audience questions about the challenge of bias and how individuals can ensure diversity in their personal networks, is available through AAPS e-Learning.
References
- Holger, Dieter. The Business Case for More Diversity. Wall Street Journal, 2019 Oct 26. Available from:
- McKinsey & Company. Delivering Through Diversity [Internet]. 2018 Jan.
- Vivian Hunt, Dennis Layton, and Sara Prince. Why Diversity Matters [Internet]. 2015 Jan.
- Levine SR. Diversity confirmed to boost innovation and financial results. Forbes Magazine [Internet]. 2020 Jan 15 [cited 2021 May 6]
- Collaborating with Associations to Tap a Diverse Talent Pipeline [Internet]. Diversitybestpractices.com. [cited 2021 May 6].