Composer detected issues in your platform: Your Composer dependencies require a PHP version ">= 8.1.0". {"id":1293,"date":"2025-01-29T22:32:03","date_gmt":"2025-01-29T21:32:06","guid":{"rendered":"urn:uuid:fbdd9ce7-8107-4fab-a71a-ffc21b5ebf2c"},"modified":"2025-01-29T22:19:26","modified_gmt":"2025-01-29T21:19:26","slug":"how-to-set-dei-goals-moving-from-top-heavy-to-smart-targets","status":"publish","type":"post","link":"https:\/\/www.diversity-inclusion-platform.ch\/en\/how-to-set-dei-goals-moving-from-top-heavy-to-smart-targets\/","title":{"rendered":"How to set DE&I goals: Moving from top-heavy to smart targets"},"content":{"rendered":"\n

While the temptation to make positive diversity, equity and inclusion (DE&I) headlines is undeniable, setting top-heavy DE&I goals (goals focusing on top management, C suite or the board) is not the most promising way to make sustainable progress \u2013 not by a long shot. Let us show you how you can set SMART DE&I goals that are unique to your company\u2019s DE&I needs.<\/strong><\/p>\n\n\n\n\n

To communicate your commitment to gender equity, you might set a bold goal, such as: In three years, women will hold a third of all our top management positions.<\/p>\n\n\n\n\n

This is not a smart way to achieve DE&I progress. It\u2019s also not a SMART goal, that is, a goal that is specific, measurable, achievable, relevant, and time bound, falling short at the very least in the specificity, achievability, and relevance department.<\/p>\n\n\n\n\n

Let\u2019s say your company \u2013 a financial services company \u2013 set itself the goal mentioned above \u2013 one third female top managers in three years. For this company, that\u2019s like reaching for the stars with a ladder. Let\u2019s do the math. The company has 40 top managers (managing directors and similar). Currently, you have 4 women and 36 men in these positions (this fictitious but sadly utterly realistic example of a financial services company). That\u2019s 10% women. You\u2019d need 13 women to get to 33%. In an average year, 3 top managers leave your company due to retirement, to take on a new challenge, or because they were let go. To get even close to your goal, you\u2019d have to replace every single leaver with a woman, not a single female top manager could leave, and you\u2019d still fall short of your goal by one woman (which for sure everybody would happily accept as a job well done).  <\/p>\n\n\n\n\n

Let\u2019s be real:  You won\u2019t be able to make this happen, so your lofty DE&I goal is putting the cart before the horse. If you had done your succession planning to have qualified female talents to rise to top management within the next three years, would there be any need for a top-heavy DE&I goal in the first place? I think not.<\/p>\n\n\n\n\n

Let\u2019s say you want to train your focus on the C-suite instead. After all, Switzerland\u2019s legal gender quotas<\/a> (in force since 2021) posit that women and men have to make up at least 30% of members of boards of directors, and 20% of executive board members in Swiss listed companies of at least 250 employees. Executive board appointments (and especially board of director appointments) are notoriously political. Executive level politics are not a direct reflection of the inclusion culture and employee diversity but rather resemble a black box. There\u2019s also the perilous glass cliff: A Journal of Management study confirms<\/a> that women are more likely appointed to executive boards during times of crisis or into precarious leadership positions that are more likely to be vacant (think: Chief Risk Officer). This isn\u2019t fair to the women, and it is also likely to make your gender equity efforts backfire: \u201cWell, we appointed a woman and she couldn\u2019t handle it. Better go back to the tried and trusted.\u201d<\/p>\n\n\n\n\n

None of this is sustainable and keeps up frustration for women and men, which can result in DE&I resistance. Top-heavy DE&I goals tend to focus on the end result without a plan how you can get there. At best, that\u2019s a performative gesture. At worst, it\u2019s bad PR, a huge waste of valuable resources and opportune ammunition for DE&I critics in your organization. (\u201cSee? There\u2019s no point to this anyway.\u201d) Top-heavy DE&I goals are neither smart nor SMART business. Here\u2019s a more cumbersome and less splashy but more sustainable approach to DE&I goal setting:<\/p>\n\n\n\n\n

Tip 1: Widen your focus to include all your employees<\/strong><\/p>\n\n\n\n\n

Our fictitious financial services company might have 40 top managers, but it also has 1201 employees working in non-management functions who are essential for the functioning of everyday business. It has 796 employees in junior management positions who represent the top leadership 5, 10, 15 years from now. Why not put a considerable share of your focus on the positions where the bulk of your employees do their work? In this case, achievability<\/strong> and impact is in numbers, and the math holds up.<\/p>\n\n\n\n\n

Tip 2: Understand your own unique talent dynamics<\/strong><\/p>\n\n\n\n\n

When it comes to DE&I goals, one size does not fit all. Before setting goals, it\u2019s essential to have a clear and accurate understanding of your organization\u2019s current state regarding diversity and inclusion. There are no short-cuts here (though the CCDI\u2019s consulting services<\/a> can streamline the process for you). You need to gather and analyze data through methods such as surveys, interviews, focus groups, audits, or benchmarking. Trace your on-paper and lived processes to make HR decisions (hiring, promotions, remuneration, etc.) and identify where there is room for unconscious biases to affect decision-making. The data should encompass key aspects, including demographics, workplace culture, policies, practices, employee perceptions, and needs. You should also pinpoint gaps, address challenges, and uncover opportunities for improvement. (If you want to delve deeper into people analytics, read more about the topic here.<\/a>) With our Diversity Works DE&I data platform<\/a>  and customized analyses of the employee perspective<\/a>, the CCDI can help you make sense out of your people dynamics. <\/p>\n\n\n\n\n

Tip 3: Set realistic goals by knowing your industry peers<\/strong><\/p>\n\n\n\n\n

Depending on your industry, what goals are realistic can vary widely. For example, while pharmaceutical companies can draw from a larger talent pool of women, the talent pool looks vastly different from the perspective of a tech or finance company. To set realistic goals, you need to understand the DE&I dynamics of your industry. Using the HSG Diversity Benchmarking<\/a> on Diversity Works, you can benchmark your DE&I performance against peers from your own industry to understand what DE&I goals you can realistically achieve.<\/p>\n\n\n\n\n

Once you have this basis of deep understanding, you can engineer your DE&I goals from the bottom up:<\/p>\n\n\n\n\n