David Cameron stepped into the issue of Executive Pay last week on the Andrew Marr Show, and the topic has once again graced the media airwaves. Frustrated at what he called ‘excessive executive salaries’, Cameron argued that his concerns were not so much that Directors within the FTSE 100 earned what they did, but that they earned what they did despite clear corporate market failure. Here are some statistics: between 2008 and the end of 2011, a period of deep economic downturn, figures suggest that whilst pay for the average worker either fell sharply or at best flat-lined, that of Board Directors almost doubled, going up by 49%. Indeed, further evidence suggests that pay rises were born more out of the somewhat accepted state of affairs whereby fellow Board Directors simply rubber-stamped each others inflated s alaries or what is termed ‘Merry-go-round capitalism’ based on a cronyism of ‘old boys’ networks. Of course, this is all to be understood within the backdrop of the fact that executive pay in the UK over the last 20 years has gone up 8 times, the highest in the world, even more than America
The intention here, however, is not actually to directly castigate the practices described above – am sure this has been done several times over. Rather, I actually want to highlight the implications of such practices showing how they negatively impact the very fabric of business ethics. David Cameron used two very interesting words in this regard which rang true to me: ‘Transparency’ and ‘Fairness’. I add a third, ‘Inclusivity’. Continue reading
I was raised in a family that really loves and enjoys a good, tasty meal! I think that my experience of seeing my Mother cook, the ‘natural’ precision with which she added key ingredients to ensure taste, lead to the passion I have today for food and cooking food. I remember in my very early twenties, and whilst abroad on holiday, which was a good number of years ago (!), I was told by friends and acquaintances from other nationalities that the UK compared to other countries had a very bland and basic palate, and was only known for cooking Fish and Chips, and even that, my acquaintances suggested, we cooked badly! Not something I was happy to hear, though at the time, I must admit, there was some truth in it…
Well, I challenge those friends and acquaintances now to re-examine their thinking: In London alone, there now exists over 70 different cuisines, all serving great food as part of the British identity. In fact, a leading analyst has declared that London in particular has been undergoing a “golden age” with more restaurants launched than ever before in its history. Continue reading
I liken the above topic to the following story:
Two friends, Jack and Jill were on their way home from a party in the early hours of the morning. As they sat in their cab ride home Jack said to Jill, “Remind me to get some milk at ‘The 24hr Shop’ around the corner from home”. Jill replied: “We’re at least 30mins away from home, its 2am, will it be open?” Jack looked at her disbelievingly and responded: “What kind of a question is that Jill? It is called ‘The 24hr Shop’. Of course it will be open!!”
I have often wondered why many organisations remain hesitant at placing Diversity at the very heart of overall business strategy. Indeed, many organisations request a business case for diversity to further justify reasons for ‘engaging’ it as a business area. What this may point to, I suggest, is a gap in understanding. It is not business that creates diversity rather it is the very fact of diversity that creates business. Diversity is the coming together of different individuals from cross socio-cultural backgrounds and the different creative ideas they possess that leads to the development of new and fresh strategies needed to create, and keep businesses afloat so that they remain sustainable and competitive.
It is little wonder then that organizations that do not see the fundamental connection between diversity and overall business strategy commit a fundamental flaw in the logic of business strategy akin to the story above: Just as ‘The 24 hrs Shop’ implies within its title that it ought to be open for 24hrs, so too business practice ought to imply the practice of diversity as fundamental to its very existence. Indeed, a 24 hrs shop that is not in fact open for 24 hrs creates a logical absurdity in our minds regarding the choice of the name of the shop. In the same vein, I argue, businesses that do not have diversity as fundamental to business practice commit a logical absurdity in understanding business creation, development and continued sustainable operational success. Continue reading
The focus of our past discussions on this site has been all about attempting to explore what diversity is…
An ancient Greek school of philosophical thought suggested that the best way to discover what a thing is, is to proceed by a process of logical elimination, stating what the thing in question is not, in an attempt to truly find out what it is – hence our approach adopted below in trying to understand what diversity is…
Diversity is not…
- about race
- about the ‘symptoms’ of equality otherwise called ‘the 7 strands’ (race, gender, ethnicity, age, disability, sexual orientation, gender reassignment), etc
- about being compliant or meeting set equality targets
- about equal representation
- about ‘minorities’ or a ‘majority/ minority divide’
- about recruiting untalented, unskilled or unqualified people into an organisation to balance workforce databases
- about being tokenistic
- about doing a ‘favour’
- about doing a ‘good deed’ as part of an organisational Corporate Social Responsibility (CSR) strategy
- a ‘bolt-on’ to add ‘value’ to business strategy or organisational process
- about discrimination
- even about positive action
- about businesses becoming diverse – diversity creates businesses!
….so what is diversity actually about??
This is a question for you to continue to think about as we start the week… indeed, do let us know your thoughts regarding it.
NB: Watch out for a forthcoming article entitled “On: A Philosophy of Diversity” where we will take a look at the concept of diversity purely from a philosophical perspective the aim being to begin attempting to unravel an answer to the question posed above…