Board of Directors (BoD): Suggested guidance to increase diverse representation
Context & Commitment The purpose of the Alliance for Global Inclusion is to be a global network of CEOs and DEI leaders that will amplify and accelerate DEI outcomes.
Alliance Vision: To create a transparent path to improve Diversity, Equity, and Inclusion outcomes for our people, our products, and our communities worldwide through a coalition of DEI business leaders leveraging our strengths.
The Alliance for Global Inclusion is committed to providing tangible, innovative solutions to historical shortcomings in the diversity, equity, and inclusion space, and openly sharing practices, progress and lessons gained. Alliance partners firmly believe the best way to accelerate adoption of inclusive business practices is through transparency and collaboration.
One of the four goals of the Alliance is to develop representation suggested guidance for board of director roles, that reflect the customers and communities served. The Alliance partners commit to adopt the Board of Directors suggested guidance to increase diverse representation.
Goal: Encourage the board of directors to increase diverse representation
Recommendations from emerging best practices
Commitment – Board of Directors commit to:
- The oversight of Diversity, Equity and Inclusion strategy and metrics of the company
- Set up a goal to achieve better BoD representation results than the requirement imposed by Nasdaq
- Define metrics for BoD make up. Set up a goal to attain 30% diverse talent (gender and race/ethnicity)
Transparency
- BoD has a documented and disclosed diversity practice
- Annual statement shows BoD make up with regards to gender; race/ethnicity; nationality. Considered innovative if the BoD discloses additional diverse dimensions such as: Veterans, LGBTQ+ and disabilities
Additional Recommended Actions
- If a BoD talent search firm is hired, the contract includes the expectation to source diverse candidate pools
- If no BoD talent search firm is hired, the selection process includes the expectation to source diverse candidate pools considering sources as Equilar or the 30 Percent Coalition
- BoD membership success planning and board refreshment strategy in place, to increase diverse BoD representation and sustain a diverse and inclusive long-term vision