Overcoming Today’s DEI Leadership Challenges - Sun and Planets Spirituality AYINRIN
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Overcoming Today’s DEI Leadership Challenges
by Ania G. Wieckowski
September 14, 2023
Summary.
Corporate interest in and action on diversity, equity, and inclusion (DEI), which had risen sharply following the #MeToo and Black Lives Matter movements, has faded as economic uncertainty, shrinking profits, and political attacks have shifted leaders’ priorities. Daisy Auger-Domínguez, until recently the chief people officer at VICE Media, kept the company focused on DEI principles as it navigated these changes. Her success came in part from persistence and in part from how she and her team were able to embed DEI principles into many of the company’s core employee and management processes.close
The last few years have been something of a roller coaster for HR and diversity, equity, and inclusion (DEI) professionals, particularly in the United States. Momentum created by the #MeToo and Black Lives Matter movements faded as companies grew more concerned about the Great Resignation and, quickly thereafter, economic uncertainty, shrinking profits, and the need for workforce reductions. At the same time, political attacks scared some companies away from pursuing their DEI efforts. As chief people officer of VICE Media from the spring of 2020 to the summer of 2023, Daisy Auger-Domínguez was on the front lines of managing these changes. A seasoned HR executive who previously worked for Moody’s Investors Service and Google, she describes the challenges she faced — and the ones she sees ahead.
HBR: When you arrived at VICE in 2020, what was its attitude toward DEI?
Auger-Domínguez:
First, remember that VICE is a young media company. Nearly 80% of its
employees are under 40, many of them Gen Zers, and that’s a population
demanding fairness, equity, transparency, a sense of safety, and a sense
of agency from their employers. I joined on May 15, and 10 days later
George Floyd was murdered. The reactions at the office were striking: It
was as if a significant portion of white employees throughout the
organization, including managers and senior leaders, had suddenly become
aware of racism. So I felt like I was at the right place at the right
time to help lead the company through this complicated moment.
Our
CEO and I did a listening series with employees in more than 20
countries. It consisted of moderator-led sessions in which we asked
structured questions and heard from people about the conditions on the
ground and where they expected to see change. We found that their main
concerns were around career advancement, pay equity, and a sense of
belonging, which is driven by the behavior of peers and managers.
To
solve the career advancement issue, we implemented a mundane solution.
We didn’t even have job architecture and leveling at the time, so we
created clarity and transparency about what it takes to move up in the
organization and equipped managers to have thoughtful, engaging
performance conversations with employees.
On the equity issue, we did a pay study that resulted
in adjustments for a small percentage of our workforce, and we
continued to monitor and adjust pay equity throughout later
restructurings.
Improving
everyone’s sense of belonging comes down to managers: They are the ones
responsible for building a workplace culture where people feel seen,
heard, and valued. We found that many managers hadn’t been trained on
the fundamentals, such as how to give feedback well and how to ask good
questions of an employee. So we focused on training team leaders in what
we call the beautiful basics of management.
In
all of these situations, addressing inequity involved improving core
management processes — which means that we were able to embed DEI into
the key functions of the business, rather than having it be a siloed,
separate part of what we do.
Over the next few years, how did the momentum shift?
During
periods of economic uncertainty, DEI work inevitably faces the threat
of budget cuts. At VICE, we underwent organizational transformations
that included the restructuring of teams. We stayed committed to
maintaining diversity throughout this process by consistently evaluating
factors such as gender, race, and other identities. But there were
still instances where the departure of people of color resulted in
noticeably lower representation in leadership positions.
And
then there was the Great Resignation phenomenon. I distinctly recall a
period where our attrition rates ranged from 20% to 30%. This placed
immense pressure on managers, who desperately needed to fill vacant
seats with bodies as quickly as possible. It took steadfast commitment
and constant attention to bring in a diverse talent pool. While I can’t
claim that the percentage of people of color at VICE in the United
States increased during that time, I can proudly affirm that it remained at just over 40%, which was a win.
Soon, though, you and many other HR leaders were looking at layoffs. How were your DEI efforts affected?
Cost-saving
measures, including workforce reductions, are guided by financial
analysis and driven by leadership. Our job in HR is to ensure these
actions are carried out with the utmost thoughtfulness.
We
conducted a legal analysis for each reduction to assess potential
negative impacts on different groups of employees. That helped us
identify areas of potential risk for the organization, such as a
disproportionate reduction of women or people of color in specific
teams. However, we didn’t stop there. We took that analysis back to
leaders and asked: “What kind of organization do you want to have on the
other side of this?” Our goal was to empower managers by helping them
visualize and strengthen their commitment to building a diverse
workforce, even when confronted with internal and external pressures.
HR
and managers also sat down to review individual team composition, who
was doing what work, and what work was necessary going forward. At this
stage it was important to call out elephants in the room. We would say
things like, “You may want to reduce this role, but this decision may
impact a woman versus a man, or a person of color versus a white person —
and maybe they never had the right management support, training, or
clarity about their outcomes.” We really tried hard to reflect on
whether we were making the right decisions.
After
the final decisions were made, we guided managers on how to engage in
human-centered conversations. That meant giving impacted employees the
necessary information and the space for processing. We coached managers
to consider who each individual employee was as a person. Once more, we
would call out race and other identities: How can you approach the
layoffs kindly, while understanding that a Black woman may respond very
differently than an Asian American man? Sometimes white leaders resisted
and would say, “I can’t believe you’re talking about race now.” But
whether we talk about it or not, it’s real. Race profoundly shapes the
experience of your employees, and it is your responsibility to sit
through any discomfort that may cause you. People are not just names to
cross off a list; each one deserves thoughtful attention before moving
on.
It
sounds like DEI work can continue through budget-tightening as long as
it’s already embedded into the organization’s culture and processes, and
leaders stay relentlessly focused on keeping it there.
The
vision has always been that DEI is integrated into how we do business.
At times when there’s pushback, you can demonstrate that these efforts
not only add value to the organization but also solve for systemic gaps.
When every step of the employee journey is seen from the prism of
equity and inclusion, DEI can’t be
cut — because it’s how you hire and engage all of your people, and how
you build the great culture that you tell the world you have.
You
just left VICE for a sabbatical. I’ve noticed a broader exodus of DEI
leaders, particularly women of color, from corporate America. That seems
like a bad sign.
Some
of it is individual and some of it is systemic. The media industry, for
one, is going through a huge transformation, and senior executives are
leaving businesses that haven’t matured enough to see DEI as an integral
part of how they work.
As
for me, the past three years were enough to prompt me to explore new
paths. Women of color tend to shoulder so much of this work, and we push
ourselves to depletion and the brink of exhaustion. Advocating for
change can be a hard fight, and humans need breaks. I’ve been surprised
and heartened by the positive support I’ve received about taking this
time off.
I
also think that when the DEI pressure was high, some well-intentioned,
brilliant, capable leaders were put in DEI roles but were set up to fail
because organizations didn’t fully understand the problems they were
trying to solve or how to support those new leaders. As the context
shifted, some organizations transitioned from empathy to apathy, leaving
these individuals vulnerable. Unfortunately, many companies still see
diversity, equity, and inclusion as nice-to-haves. They’re not. They
need to be integrated into every aspect of strategic planning.
Where do you see corporate DEI efforts going from here?
While
it’s somewhat premature to give a definitive outlook, I’m seeing the
familiar pattern of ebb and flow that DEI work has witnessed over the
decades. During economic uncertainty or organizational shifts, the
commitment to DEI initiatives often wanes and we see budget reductions,
less emphasis in corporate communications, and decreased attention from
leaders. We hoped that the progress we achieved post-2020 would maintain
momentum, but instead we’re now seeing enthusiasm for DEI continuing to
wane, fueled in part by legal actions like the U.S. Supreme Court’s
recent ruling against affirmative action.
As
a result, I doubt we will hear as many CEOs openly denounce systemic
racism and white privilege or use terms like “equity” in their corporate
communications. We will also likely see fewer grand gestures of
commitment to DEI. That isn’t necessarily bad; history shows that
superficial pronouncements and lofty ideals won’t suffice. However, we
might simultaneously see reduced energy around what’s come to be a
foundational aspect of this work: establishing DEI processes throughout
the employee journey.
Meanwhile,
DEI practitioners, particularly those well versed in navigating this
cycle, are revisiting their strategies to safeguard the progress they’ve
made. Reviving the business case for DEI initiatives has been a common
first step in this part of the cycle through the decades. But while it
has always been essential to align DEI initiatives with business
priorities — by highlighting their relevance to innovation, talent
strategies, and sustainability, for example — we must not overlook the
ongoing need to connect on both
human and business levels to tackle structural inequalities and foster a
sense of belonging. These steps are equally important in building
workplaces that work for everyone.
Despite
the current trend of organizations pulling away from DEI commitments,
doing so poses a substantial risk of alienating a company’s potential
future hires, its existing workforce, and its customer base. We’ve
witnessed that in recent incidents involving Target and Bud Light.
Leaders — especially those whose firms announced strong DEI commitments
in 2020 — need to be wary of these risks and of breaking their promises
to constituents. Was this article helpful? Connect with me.
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