15 660 Strategic Human Resource Management MIT Sloan School of Management Gender Differences The Evidence PERCENT FEMALE IN OCCUPATIONS Marketing Financial Managers Lawyers Engineers Nurses Elementary Teachers 1970s 1990s 7 19 5 1 97 83 37 50 26 8 93 84 PERCENTAGE WOMEN 500 TOP FIRMS BY SALES CORPORATE OFFICERS 12 CORPORATE OFFICERS WITH LINE RESPONSIBILITY 7 HR FINANCE ACCOUNTING LEGAL REGULATORY SALES MARKETING 15 2 11 2 7 SOURCE BETRAND AND HALLACK ILRR 10 01 HOURS OF WORK MEN WOMEN 35 10 5 28 9 40 40 4 19 3 PAY TOP FIVE OFFICERS S P 500 MIDCAP 400 SMALLCAP 600 MEN 1 333 000 WOMEN 894 000 ALL SOURCES SIZE OF FIRM 33 OF GAP SIZE PERSON S AGE 53 OF GAP SOURCE BETRAND AND HALLOCK ILRR 10 01 THE PRICE TO BE PAID AMONG CORPORATE OFFICERS 1986 MEN AGE EVER MARRIED DIVORCED HAVE KIDS 51 99 4 95 WOMEN 44 80 20 50 SOURCE FUCHS Two Paths Legal Organizational Title VII of the Civil Rights Act of 1964 Unlawful to discriminate on the basis of race sex religion or national origin Applies to all firms and organizations with at least 15 workers who have been employed for a period of 20 weeks in a calendar year Administered and enforced by the Equal Employment Opportunity Commission EEOC Discrimination Disparate Treatment Disparate Impact Reasonable Accommodation From Affirmative Action to Affirming Diversity AA EEO Diversity Special Program Cultural Shift Benefits Disadvantaged Benefits the Organization Focus on Hiring Retention Promotion Focus on Performance Legally Mandated Strategically Important Diversity Paradigms David A Thomas and Robin J Ely Making Differences Matter A New Paradigm for Managing Diversity Harvard Business Review September October 1996 Pages 79 90 Examples The legal profession Boston Symphony Orchestra Deloitte Touche MIT PART TIME LAWYERS Women are 28 of lawyers at 100 largest firms in Massachusetts but 40 of lawyers who leave annually are women 90 of firms offer part time work Part time women leave firms at a rate 70 higher than full time men Boston Globe 12 4 2000 THERE ARE MORE SUBTLE PROBLEMS Once a women decides to work less than 60 hours a week she gets fewer challenging cases people will see you in the elevator and say Oh you ve been with the kids but in fact you ve been in court Boston Globe 12 4 2000 Blind Auditions at the Boston Symphony Orchestra BEFORE 10 of new hires were women AFTER 35 of new hires were women NO LEAVE OF ABSENCE or TURNOVER DIFFERENCE BETWEEN MEN AND WOMEN SOURCE GOLDIN AND ROUSE AER 9 2000 Deloitte Touche 1991 5 of partners are women Female turnover much higher than male turnover 4 50 Partner candidates were women SOURCE HBS Case and HBR article 2000 14 of partners are women Female and male turnover are equivalent Overall turnover falls from 25 to 18 saving 250 000 000 in hiring and training costs Deloitte Touche Process COMMIT DEFINE THE PROBLEM ESTABLISH TASK FORCE PERSONALLY CHECK ATTENDANCE PERSONALLY CALL OFFICES FOR DATA INVESTIGATE EDUCATE TASK FORCE GATHERED DATA ON TURNOVER PROMOTION RATES QUALITY OF ASSIGNMENTS WORKSHOPS 100 ATTENDANCE OF 5000 PROFESSIONALS TEACH CULTURE CHALLENGE ASSUMPTIONS SURFACE PRACTICES CHANGE POLICIES FLEXIBLE ACCOUNTABILITY MANAGERS HELD RESPONSIBLE FOR PROGRESS DIFFERENT THAN AFFIRMATIVE ACTION FORMAL CAREER PLANNING PROCESS NETWORKING EVENTS WORK FAMILY POLICIES AND CULTURE Does MIT Discriminate Women in Science Gender issues in the entire university MIT S STAGES HUH INDIVIDUAL FIXES SYSTEMIC FIXES MIT PROCESS SENIOR LEADERSHIP REPORT PUBLICITY HIRING PRACTICES MONITORED FINANCIAL HIRING INCENTIVES WORK FAMILY POLICIES AND CLOCK STOPPING DIVERSITY STRATEGIES STAFFING recruitment goals and timetables succession planning TRAINING CULTURAL CHANGE SENIOR LEADERSHIP COMPLAINT MECHANISMS EEO STAFF POLICIES E G FLEX TIME WORK FAMILY AFFINITY GROUPS ORGANIZATIONAL CHANGE SENIOR LEADERSHIP MEASURE AND REWARD MANAGERS STAFFING PROCEDURES RECRUITMENT GOALS POSTING BIDDING MENTORING WORK FAMILY DOES A FIRM HAVE ANY RESPONSIBILTY FOR WORK FAMILY ISSUES OR AN EMPLOYEES PERSONAL LIFE MOVTIVATION FOR WORK FAMILY IT S THE RIGHT THING TO DO SOLVE ISSUES SUCH AS ABSENTEEISM BUILD LOYALITY AND COMMITMENT ATTRACT A PARTICULAR WORKFORCE PROFILE GARNER GOOD PUBLICITY MOTIVATION FOR WORK FAMILY PROGRAMS SOLVE ABSENTEEISM ETC 41 HELP RECRUIT KEY EMPLOYEES 41 CHEAPER THAN WAGE INCREASE 19 DEMONSTRATE THAN WE CARE 73 Source Osterman 1992 WORK FAMILY PROGRAMS DAY CARE ON SITE DAY CARE SUBSIDIES PAID PARENTAL LEAVE FLEXIBLE HOURS UNPAID PARENTAL LEAVE REFERRAL SERVICES SEMINARS SOME WORK FAMILY COMPLICATIONS BACKLASH WHAT TO DO FOR EMPLOYEES WITH NO WORK FAMILY ISSUES I WANT TWO WEEKS OFF TO GO MOUNTAIN CLIMBING WHETHER WORKERS FEEL COMFORTABLE UTILIZING THE BENEFITS ORGANIZATIONAL CULTURE IS IT FAIR IS IT WIN WIN OR ARE THERE LOSERS SHOULD POLICIES BE SHAPED TO INDIVIDUAL CIRCUMSTANCE OR SHOULD THE SAME RULES APPLY TO EVERYONE MEANING OF MERIT SAME SKILLS BACKGROUND EXPERIENCE SAME OUTCOME WHAT COUNTS AND WHAT WEIGHTS ARE PLACED ON DIFFERENT ATTRIBUTES WHERE DO SKILL BACKGROUND AND EXPERIENCE DIFFERENCES COME FROM PROCESSES INTERNAL TO FIRM PRE EMPLOYMENT FAMILY CIRCUMSTANCES DOES THE FIRM HAVE ANY RESPONSIBILITY