The More Perfect Union

CUSTOM ADVERTISING SECTION THE MORE PERFECT UNION WRITTEN BY JUDITH L. TURNOCK CUSTOM ADVERTISING SECTION he Executive Leadership Council (The ELC) has seized the opportunity presented by what seemed at first to be unimaginable events beginning Tearlier this year. First the coronavirus pandemic, continuing to roll across the United States and the globe, laid bare the gaping inequities in health care services and health outcomes that have stressed Black Ameri- cans for centuries. Then videos of the death of George Floyd at the hands of a police offi- cer coalesced in the minds of many Ameri- cans the long history of unjustified violence by law enforcement, igniting protests in cit- ies and towns across the country. The protests continue, escalated by more violence against protesters, local, state and federal military-like responses to them, and then the provocation of white armed “militia.” This is not the America we want. We can- not continue to ignore the contradiction between the founders’ written ideals and the fact of slavery and its legacy. Reconcilia- tion is the only path toward the more perfect union our Constitution anticipated. “We are unapologetically Black on the issues of systemic racism in corporate Amer- ica and the lack of Black representation in CRYSTAL E. ASHBY C-suites, as CEOs, and in boardrooms,” The Executive Leadership Council Interim President and CEO declares Crystal E. Ashby, interim president and CEO of The ELC as of January 1, 2020, and the first woman to hold that title. “We are unapologetically Black “We know the changes that must occur, and we embrace using our voice and power on the issues of systemic racism in to effect that change,” she continues. “But let me be clear: I see this inflection point in our corporate America and the lack of Black history not as Black vs. White. It is Black vs. racism, which means it’s got to be every- representation in C-suites, as CEOs, and one vs. racism. If Black people could have solved this problem on our own, we would in boardrooms…But let me be clear: have done so already. No one gets to stand on the sidelines anymore. Everyone has to I see this inflection point in our history be an ally. The future has to be different from this moment.” not as Black vs. White. It’s Black vs. In fact, major corporations were among the first to speak out against centuries of dis- racism, which means it’s got to parate treatment and present governmental overreach, recognizing that paying lip ser- be everyone vs. racism… vice to inequities is no longer acceptable. Speaking directly to corporate America, Everyone has to be an ally.” CEO Ashby asks: “Having allies is critical to effecting real change. What political capi- tal are you willing to spend to ensure that tomorrow is better than today?” Included in this narrative are excerpts of conversations between CEO Ashby and five select corporate CEOs whose insights offer a change in the race narrative. They have been edited for length and clarity. 2 | DIVERSITY, EQUITY & INCLUSION CUSTOM ADVERTISING SECTION The ELC is partnering The ELC’s 2020 Juneteenth session, where all five speakers –M arvin Call to Action Ellison, CEO of Lowe’s; Clarence Otis, Jr., with corporations as Immediately following the protests Lead Director, Verizon, and former CEO against the murder of George Floyd, CEO of Darden Restaurants; Carol Tomé, they navigate an end Ashby seized The ELC’s microphone, CEO, UPS; David G. Clunie, Executive calling on the CEOs of ELC member cor- Director of the Black Economic Alliance to the deep inequities porations to join The ELC’s Juneteenth (BEA); and Dr. Robert W. Livingston, Pub- Convening. “If Black lives don’t matter, lic Policy Lecturer at Harvard’s Kennedy spotlighted by the no lives matter,” CEO Ashby declared. School of Government – called on par- “Silence and inaction are unaccept- ticipants to face the root causes of rac- twin pandemics of able.” Barely three weeks later, The ELC ism in America, still reverberating today, Covid-19 and racism. convened – virtually – nearly 240 ELC and to begin the journey to enduring members and current and former CEOs change, both inside and outside their of member companies, “Juneteenth was corporations. After decades of research, philanthropy, our stake in the ground,” she says. “You CEO Ashby first asserted the obvious: and leadership development, The ELC can’t deny the racism pandemic any- “There is no risk attached to investing in plays a central role as a change agent, more. You have to act on it.” Black talent.” She then asked each CEO with its time-tested, unique services to ELC member memories of personal to “own the path forward…be intentional members, corporate America, entrepre- discriminatory experiences set the tone. and transparent…and stay the course.” neurs, and the broader Black community ELC Board Chair Tonie Leatherberry She added, “Invest in HBCUs [Historically in the US and the world. The ELC is part- opened the meeting with reflections on Black Colleges and Universities] and nering with corporations as they navigate the defining moments of racism in her invest in and cultivate Black businesses to an end to the deep inequities spotlighted own life. “The trauma is real,” she stated. begin closing the racial wealth gap.” by the twin pandemics of Covid-19 and “We are at the tipping point in our busi- A copy of The ELC report ELC racism to: (1) increase the representation nesses and within ourselves. The emer- Juneteenth CEO Convening – CEOs of Black executives in the C-suite, in the gence of Covid-19 has amplified health Combat Systemic Racism: A Framework CEO office, and in the boardrooms of disparities and educational inequities for Success was distributed. It provides the top 500 companies, and (2) build an that now force us, as leaders, to look a road map for achieving a transformed ever-increasing pipeline of Black Ameri- at things differently. We must employ corporate culture through immediate cans at all levels of operation who are economic, business, and community CEO steps, longer-term strategies for ready to step into those roles for genera- perspectives to face these challenges systemic change, scorecards to measure tions to come. Black Excellence, ignored together, and these are all economic and progress, and radical steps to advance for decades – really centuries – must be a business challenges.” racial justice. part of the new reality. CEO Ashby moderated the hour-long “To paraphrase famed architect Buck- minster Fuller,” concluded CEO Ashby, “we are building a new model that makes the old model obsolete. We are here to help, and together we can create a different future that delivers value to society and to our shareholders.” The Disappointing Status Quo: Facts about Black Inclusion at the Top The ELC’s focus, to see corporate Black Excellence rewarded, is compelling, for Black Americans as well as for all Ameri- can business. But progress has been slow, often agonizingly slow. Since the death of George Floyd, sev- eral companies have already stepped up to increase their Black board representation, some by filling vacancies and others by increasing the size of their boards. And a number of companies and individuals Target CEO Brian Cornell (r.) makes a point to P&G CEO David S. Taylor during the have reached out to The ELC for its deep 2019 CEO GameChanger Conference. pool of qualified candidates. DIVERSITY, EQUITY & INCLUSION | 3 CUSTOM ADVERTISING SECTION “Black men and women together held only 486 (8.6%) of 5,670 board seats at Fortune 500 and equivalent companies…” Deloitte that women and minorities will most senior executives, just under 2%, represent 40% of those boards by 2024 and that figure includes two Black execu- is certainly welcome, but it glosses over tives who have since retired. the fact that Black representation, when What holds back Black board CEO ELC Board Chair Tonie Leatherberry addresses disaggregated, is far below a critical and C-suite representation? “Black cor- ELC members at the 2020 Winter Meeting mass and is not trending up. Black men porate leaders are in your organizations in Florida. and women together held only 486 (8.6%) now, despite what I often hear,” answers of 5,670 board seats at Fortune 500 and CEO Ashby. A 2019 study jointly con- The finding from Missing Pieces: equivalent companies, 332 by Black men ducted by The ELC and Korn Ferry, The The 2018 Board Diversity Census of (5.9%) and 154 (2.7%) by Black women. Black P&L Leader Report, proved that cur- Women and Minorities on Fortune 500 Other recent surveys do not improve rent Black P&L leaders not only exist but Boards, published January 2019 by these statistics. Black CEOs of Fortune that they share all the skills, experiences the Alliance for Board Diversity (ABD) 500 or equivalent companies, as of Sep- and competencies, drivers and traits of (a collaboration among The ELC, tember 2020, still total less than 1%, none their white counterparts. “They simply lack Catalyst, HACR (Hispanic Association of them women. A July 2020 USA TODAY opportunities for advancement,” explains on Corporate Responsibility), and review of proxy statements from the top CEO Ashby. “They’re overwhelmingly not LEAP (Leadership Education for Asian 50 Standard & Poor’s 100 found only five seen, not valued as highly as their peers, Pacifics)), and Diversified Search and Black executives among the 279 named not positioned for success.” We’re building on our commitment to do more for racial equality and economic opportunity This year, we’ve come together — as a company Within our company, our Black Executive Leadership and across the world — with intensified passion for Council includes more than 200 senior Black leaders racial equality.

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