Organizational Change
The ‘Secret Sauce’ of Inclusion, Governance — Inside and Outside the Brand

During the first half of SB’19 Detroit, Caesars Entertainment, Dave’s Killer Bread, Gap, Kellogg, Patagonia and more shared insights and strategies aimed at addressing governance inside and outside their organizations.

Workplace equality — it’s not just about gender

By Shannon Houde

L-R: ALDO Group's Valérie Martin, Lora Picini, Porter Novelli's Soon Mee Kim (moderator), Anna Blue, Lisa Kenney | Image credit: SB

This panel on DE&I was diverse in and of itself — with a Korean American, a Quebequois, a Canadian American immigrant and a gender non-binary representative. These speakers made us think differently and challenge our unconscious biases, as well as our use of terminology when discussing diversity. The covered issues such as representation of women in the workplace, Gen Z, getting a sponsor vs. a mentor, and non-binary gender definitions.

According to Anna Blue, Co-Executive Director of GirlUp, diversity is not just about women — it also includes race, religion, culture, sexual orientation, gender identity, politics, age, generation, mental health & wellbeing.

Women are underrepresented at every level of the corporate hierarchy — and women of color are the most underrepresented group of all, lagging behind white men, men of color and white women. Two-thirds of women experience what is called “micro aggressions” — subtle, indirect discrimination — in the workplace; and, fun fact: Fortune 500 companies are more likely to have a CEO named John than a female CEO.

McKinsey did its first “Women in the Workplace” study in 2015; since then, corporate America has done little to improve women’s representation. The 2018 McKinsey report, “Delivering Through Diversity” proved how diversity delivers financial results.

Caesars Entertainment’s VP of Equity, Strategic Policy & Regulatory Affairs, Lora Picini, noted that having a sponsor, rather than a mentor, is the most important thing a woman can do to advance:

“A mentor is someone who gives you advice, whereas a sponsor invites you to a meeting and introduces you to senior leadership to give you exposure.” — Lora Picini, Caesars Entertainment

Blue shared some impressive statistics about the next generation of talent, after Millennials: Gen Z. At 70 million, they are the largest generation in existence — which means that they will be 30 percent of the workforce and 40 percent of the consumer market by 2020. 65 percent of them will work in jobs that don’t yet exist, and that 67 percent support brands that take a stand on social issues.

Gender Spectrum Executive Director Lisa Kenney challenged the fact that we have been talking about gender from a binary perspective — men and women. On challenges around inclusion, Kenney pointed out, “We are talking about the fact that it’s not working but not about why it’s not working.” They noted that 12 percent of Millennials identify as transgender/gender non-conforming (according to a GLAAD-Harris Poll survey), and that they are the first generation to say they see gender as non-binary. Kenney also noted that we are excluding men from the gender conversation.

The takeaway: It’s not all about boys or girls, blue or pink; our world is no longer binary when it comes to gender and diversity.


The SB Brand Transformation Roadmap: How to take your sustainability journey to the next level

By Shannon Houde

This Monday morning workshop kicked off with Kevin Hagen, VP of ESG Strategy at Iron Mountain, asking the packed room, “So, why haven’t all companies been able to become sustainable? We’ve been doing this a long time — why aren’t we there yet?

There is a notion that many companies experience a plateau in their sustainability journey and the data backs it up. Hagen and SB’s Director of Knowledge & Insights, Dimitar Vlahov, sit on the SB Working Group — with 10 colleagues and an advisory board of 50 — that has created a new orientation and navigation tool, the SB Brand Transformation Roadmap, to help business leaders become inspired, informed and equipped to succeed and stand out. The Roadmap:

· Works for beginners and advanced practitioners

· Is user-friendly and comprehensive

· Enables internal and external engagement

So, after surveying the thinking in the field, the Council designed the Roadmap with 5 characteristics of a sustainable brand, and at the 5 levels of the journey to become a Sustainable Brand:

Hagen and Vlahov asked: “How many sustainable brands are in the US? The world? The answer: (Almost) None.”

All businesses start at Level 1. When a company reaches a plateau on its journey, it is a sign that it is time to jump to the next step. We are all trying to move the bell curve of the organization up on these 5x5. Each phase has clear and consistent behaviors that mark where you are on the journey.

Companies can self-assess where they are in each box to ask:

  • Where am I today?

  • What can I be doing differently?

  • What can I do to help my company make the jump to the next phase?

The tool has a one-pager on each of the 5 Characteristics and what it looks like to move from Level 1 to Level 5 for each.

A visual report is then mapped to show consolidated results to help companies see more clearly their areas for improvement.

The destination for all of our companies is to become sustainable — no one is there yet, but we are all heading in the right direction.

SB’19 Detroit attendees have FREE ACCESS to the SB Brand Transformation Roadmap ntil June 14 — use the Self-Assessment Tool to uncover and define where your company is on the journey. The Council welcomes feedback! Contact [email protected] for the link.


Kellogg’s pledges “Next Generation Better Days” by 2030

By Mia Overall

Steve Cahillane | Image credit: SB

Kellogg CEO Steve Cahillane took center stage Monday afternoon to launch new company goals that address food insecurity — which affects a shocking 821 million people (1 in 9) around the world.

Kellogg’s “Next Generation for Better Days” commitment intends to literally take a bite out of this problem. By 2030, Kellogg’s has committed to create better days for three billion people around the world, or roughly 41 percent of the global population. Drilling down, the company has committed to:

  • supporting one million farmers

  • conserving natural resources along the food chain

  • reducing food waste, and

  • transitioning to 100 percent recyclable or reusable packaging

  • providing food to 1 billion hungry people, including 375 million through food donation

  • ensuring an ethical supply chain

  • increasing employee volunteerism and supplier diversity.

To accomplish all of this, Kellogg’s is partnering with organizations around the world — including Feeding America and The Nature Conservancy, amongst others.

The company’s previous strategy — the “Breakfast for Better Days” platform — was launched in 2013, towards which Kellogg’s has already achieved 1.2 billion better days by donating 1.1 billion servings of food, along with a range of other contributions.

Cahillane reminded the audience that “sustainable brands” are world-class brands that deliver superior quality now, and help deliver the “good life” of tomorrow. He ended with a call to action:

“We need to make collective commitment to go farther. All of us in this room can look for ways to go farther than we could otherwise go alone.” — Steve Cahillane

One brand, he noted, can create incremental progress, but many can create sustained progress.


America’s got hidden talent: Bringing purpose to your workforce strategy

By Shannon Houde

These three panelists’ companies are investing in the future and diversity of their talent base by recruiting and developing opportunity youth and ex-convicts. As Head of FSG’s Talent Rewire program, moderator Kimberly Shin kicked off the session with some shocking statistics:

  • 1 in 7 youth are opportunity youth

  • 1 in 3 American adults have a criminal record

  • 2030 is the year that the majority of young workers under 30 will be people of color

  • We are in the tightest labor market in the last 50 years

Gap Foundation is committed to providing opportunity youth their first jobs with a goal of hiring 10K youth through “This Way Ahead” program by 2020. Manager Allie Barwise mentioned that getting and then keeping that first job is really important. She sees four ingredients to Gap Foundation’s secret sauce of expanding the diversity of their workforce at an early-career stage:

  1. Work with a community partners in 70 cities around the world
  2. Employees volunteer with that community partner
  3. Hire for potential
  4. Offer post-hire support for youth

Barwise said Old Navy is already getting 130 percent ROI on the work it is doing with this program.

Patagonia is running an internship program to attract opportunity youth to work at its retail stores. Carly Huey, HR Manager for Retail and Corporate Employees, said she found that existing retail store staff, who go through a rigorous inclusion training program in order to serve as mentors, got as much out of mentoring the youth as the interns did.

“Inclusion training is critical to everyone on the team, and creates a commitment and energy in everyone.” — Carly Huey, Patagonia

Meanwhile, Dave’s Killer Bread’s Second Chance Employment program hires those who have a criminal background that are ready to change their lives for the better. Executive Director Genevieve Martin shared that Dave’s Killer Bread is #1 sliced organic bread in the US and Canada. Consumers are fans and they care; the Second Change program and cause has allowed the company to attract and maintain customers. Dave’s believes that we should hire for skills — whoever can do the job — not excluding those with a troubled past. 40 percent of Dave’s workforce has a criminal record, but the data show that people with convictions perform at the same level as counterparts, their tenure is longer, and they promote at a higher pace than others.

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