2011 - The Greater Cleveland Partnership

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About the Commission
The Commission on Economic
Inclusion , a program of the
Greater Cleveland Partnership, is
a broad-based coalition of more
than 100 Northeast Ohio
employers who are committed to
making the region’s diversity
a source of strength. The
Commission works to ensure that
economic inclusion is integrated
into all aspects of the business
community’s economic
development agenda.
2 0 11 B O A R D O F A D V I S O R S
Commission Co-Chairs
Lyle G. Ganske
Partner-in-Charge, Midwest Region
Jones Day
Kenneth D. Hardy
President and CEO
Bonnie Speed Logistics™
Committe Co-Chairs
CERTIFICATION ENABLEMENT
Thomas E. Hopkins
Senior Vice President, Human Resources
The Sherwin-Williams Company
Renee Singleton
President
Singleton & Partners
MEMBER PRODUCTS & SERVICES
Anthony Stallion, M.D., FACS, FAAP
Staff Surgeon, The Children’s Hospital
Chair, Diversity Council
Cleveland Clinic
Cheri Webb
Senior Vice President, Human Resources
Huntington National Bank
MEMBERSHIP IMPACT
MINORITY BUSINESS GROWTH/
ACCESS TO CAPITAL
Paul Clark
President, Northern Ohio
PNC Bank
Lonnie Coleman
Chairman, President and Owner
Coleman Spohn Corporation
NOMINATING AND GOVERNANCE
Constance Haqq
Director, Administration & External Affairs
Northeast Ohio Regional Sewer District
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GREATER CLEVELAND PARTNERSHIP
Andrew Jackson
Senior Vice President
Executive Director
Commission on Economic Inclusion
Deborah A. Bridwell
Senior Director, Inclusion Initiatives
Wyatt Brownlee III
Minority Business Portfolio Manager
Brian Barnes
Assistant Minority Business Portfolio Manager
Gareth Vaughan
Deborah Green
President
The Albert M. Higley Construction Company Administrative Coordinator
Scott Harrington
At-Large Members:
Program Coordinator
José C. Feliciano
Judith Malone
Partner, Baker & Hostetler, LLP
Director, Corporate Communications
Brian E. Hall
President and CEO, Innogistics LLC
Dennis M. Lafferty
Executive-in-Residence
Cleveland State University
Henry L. Meyer III
Retired Chairman and CEO
KeyCorp
Edward Hills, DDS, FACD
Chief Operating Officer
The MetroHealth System
Richard W. Pogue
Senior Advisor
Jones Day
Charles A. Ratner
Chairman of the Board
Forest City Enterprises
Ronald B. Richard
President
Cleveland Foundation
Alan D. Rosskamm
CEO, Breakthrough Charter Schools
Commission Staff
David W. Whitehead
Retired Vice President & Corp. Secretary
FirstEnergy
MINORITY BUSINESS DEVELOPMENT AGENCY
BUSINESS CENTER—CLEVELAND
Carmen West
Executive Director
Luis Cartagena
Business Advisor
Della DiSalino
Administrative Coordinator
Raland Hatchett
Business Advisor
A MESSAGE FROM THE CO-CHAIRS
Dear Friends,
As we review our progress for 2011, we consider the ability of the Commission on Economic Inclusion to deliver measurable diversity and inclusion impact for our members
and minority business enterprises (MBEs) in Northeast Ohio. When analyzing how impactful we’ve been, we must ask: (1) Have the services and resources that the Commission
offered enabled our members to increase their board, senior management, workforce and supplier diversity? (2) Have we “moved the needle” for MBEs in terms of connecting
them with deals and creating jobs?
As the region’s economy continues to recover, our members’ actions strongly indicate that they place a high value on advancing diversity and inclusion in the workplace and view
it as an important component of their overall competitive strategy. We are pleased that the commitment of our member CEOs remained strong as evidenced by our ability to
retain current members and attract new ones.
In addition, we are fortunate to have a high level of participation (100 respondents) in our annual employers diversity survey. Demonstrated commitment also is shown by the
growing number of our members utilizing employee resource groups, which are connected to improved recruitment, talent development, retention and marketplace success.
Their value is further confirmed by survey data indicating that more than 80 percent of our members who have such groups provide funding for them. (For a summary of 2011
survey highlights, please see Pages 8-9 of this report.)
Survey results also show an increase in dollars spent by our members with MBEs in the region, which topped $450 million last year. There also have been measurable results in
delivering value to MBEs through the Minority Business Accelerator 2.5+ in terms of job created and the value of deals closed as reported on Page 5.
If the Commission is to continue achieving such positive results and improving our 2011 performance, we must forge even stronger on relationships with our partners—other
organizations with similar economic development and economic inclusion objectives. The opening of the Minority Business Development Agency Business Center—Cleveland
signals the expansion of our footprint as this office is working not only with MBEs in Northeast Ohio but is charged with MBE development across the entire state.
As we chart our course for the coming year, we will continue to refine our existing products and services (Pages 24-25) to enhance our results and better serve our constituents.
We are extremely grateful for the ongoing engagement of our dedicated volunteers who serve on the Commission’s Board of Advisors and to our committee members for their
vision and participation. We also appreciate the support of our parent organization, the Greater Cleveland Partnership, which helps ensure that diversity and inclusion is an
economic development priority. We look forward to building on our progress in the year ahead.
Sincerely,
Commission Co-Chairs
Lyle G. Ganske
Partner-in-Charge, Midwest Region
Jones Day
Kenneth D. Hardy
President and CEO
Bonnie Speed Logistics™
3
From the Executive Director
2 011 A C C O M P L I S H M E N T S
With the help and cooperation of many partners, the Commission
on Economic Inclusion has built a strong system of resources and
services to support both the supply side (minority-owned
businesses) and the demand side (the employer community).
COMMISSION WINS CONTRACT TO OPERATE MBDA OHIO OFFICE
This impact is particularly visible when you consider the $450
million regional diversity spend by Commission members in 2011, an
increase of $111 million from the reported 2010 diversity spend.
We acknowledge the essential roles that our nonprofit,
philanthropic and corporate partners have played in creating and
implementing this system. Working together, we have continued to
achieve success and deliver measurable outcomes that are
advancing economic inclusion and contributing to the economic
vitality of Northeast Ohio.
As presented in more detail on Page 24, we offer a diverse range of
benchmarking tools and educational and networking events to our
corporate members to equip their decision makers as they develop
and implement their diversity and inclusion plans. In addition, we
offer expert business consultation, access to capital, and connection
to business opportunities to our minority business clients.
We thank our partners, other economic inclusion organizations,
Commission corporate members, and funders for enabling us to
make the strides we have in 2011. We look forward to building on
these results.
Andrew Jackson
Senior Vice President, Greater Cleveland Partnership
Executive Director, Commission on Economic Inclusion
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The Commission on Economic Inclusion was selected to operate the
Minority Business Development Agency (MBDA) Cleveland business
center, one of 27 MBDA centers located throughout the U.S., along with six
partner organizations: COSE, the Northern Ohio Minority Supplier Development
Council, the Northeast Ohio Hispanic Chamber of Commerce, JumpStart, Team
NEO and the WECO (Wealth, Education, Collaboration and Opportunity)
Fund, Inc.
The center, which opened in September 2011, supports minority-owned businesses (MBEs) throughout Ohio. Its first-year goal is to help MBEs create 70
jobs and generate $20 million in new revenue by facilitating access to markets,
contracts and capital and providing offer strategic business consulting services.
A grand-opening ceremony featured the presentation of a check representing
a five-year, $1.125 million grant from the U.S. Department of Commerce by
U.S. Senator Sherrod Brown, Congresswoman Marcia L. Fudge, MBDA National
Director David Hinson and Cleveland Mayor Frank G. Jackson.
Speakers at the Minority Business
Development Agency Minority
Business Center-Cleveland grand
opening included Cleveland Mayor
Frank Jackson who observed that
the new center will provide much
needed support to small and
minority-owned businesses.
2 011 A C C O M P L I S H M E N T S
NEW AWARDS RECOGNIZE MEMBER ACHIEVEMENTS
In 2011, the Commission established two awards to: (1) recognize
long-term, pacesetting commitment to workplace diversity and inclusion
(the Commission Hall of Fame); and (2) reinforce Commission members’
progress in building and sustaining diversity and inclusion strategies (the
Commission 50).
155 DEALS CLOSED, 272+ JOBS CREATED
The Minority Business Accelerator 2.5+ has closed a total of 155 deals valued at
$148 million between April 2008, when the first deal was announced, and
December 2011. Of these, 135 deals were closed with African American
minority business enterprises (MBEs) and 13 deals were closed with Hispanic
MBEs. Results include:
●
●
●
BOARDROOM-TO-BOARDROOM RE-LAUNCH CONNECTS
MINORITY, MAJORITY CEOS
272+ jobs created
$2.7 million in lines of credit and bonding secured
More than $1.2 billion in business opportunities
identified over the past three years
The Commission joined with The Presidents’ Council® to re-launch the
Boardroom-to-Boardroom program, which connects minority executives
with CEOs and other executives from leading corporations to gain
feedback on their business challenges and plans.
DEALS ANNOUNCED IN 2011 INCLUDE:
More information on the Hall of Fame’s inaugural class can be found on
Page 11. The 2011 Commission 50 (25 for-profit and 25 nonprofit/
government Commission members with the highest scores in board,
senior management, workforce and supplier diversity as tabulated
from the results of the 2010 Employers Survey on Diversity™) also were
recognized at the Annual Meeting and highlighted on the Commission’s
Web site.
uLow-voltage telecommunication cabling and closet build outs, as well as the fiber optic and copper backbone cable system
installations, for both corporate and retail spaces for a major
financial institution, $445,000 subcontract;
Installation of interior and exterior marble on the world
u
headquarters of a global corporation, $1 million;
uMore than $400,000 in subcontracts for the rehab of the new offices of the Greater Cleveland Partnership, the Commission’s parent organization, which relocated from the Higbee Building to 1240 Huron Road in Playhouse Square in July 2011.
The chairs for this re-launch were Commission Co-chair Lyle Ganske,
Partner-in-Charge, Midwest Region, Jones Day, and Presidents’ Council
Co-chair Darrell McNair, president, MVP Plastics. The first Boardroom
session, for a Hispanic-owned manufacturing company, provided
consulting services from Ernst & Young with participation by CEOs from 10
local corporations. The second Boardroom-to-Boardroom session, with
an African-American manufacturer, was held in February 2012,
utilizing information provided by PricewaterhouseCoopers LLP.
NEW GROUP SUPPORTS MEMBERS’ SUPPLIER DIVERSITY GOALS
The Commission launched a Chief Procurement Officers group to support
its members’ supplier diversity goals. Quarterly meetings will begin in
2012. Goals for the group are to: (1) serve as a resource to increase timely
access to local suppliers with capability and capacity; (2) surface common
needs within the group and creative ways for diverse suppliers to fulfill
those needs; and (3) provide data by which organizations can monitor
supplier diversity efforts.
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2 0 11 E V E N T S
TENTH ANNIVERSARY CELEBRATION
Commission Annual Meeting features
BLACK ENTERPRISE president
Minority Business Accelerator 2.5+ honors first graduating class
Five minority-owned businesses (MBEs) were honored at the Commission’s 2011
Annual Meeting as the first graduating class from the Minority Business Accelerator
2.5+, a Commission initiative that focuses on growing the size, scale and infrastructure
of African American- and Hispanic-owned MBEs with annual revenues of at least $2.5
million. Eligible companies are located in a 16-county area of Northeast Ohio.
All of the companies recognized received financial, technical and/or consultative
services from the program, helping them to at least double their annual sales and add
a combined 71 employees.
More than 400 business and community leaders attended the Commission’s 2011
Annual Meeting that celebrated the organization’s 10th anniversary. Earl G. Graves,
Jr., president and CEO of BLACK ENTERPRISE, was the keynote speaker. Best-in-Class
award winners, inaugural Hall of Fame inductees, and Commission 50 organizations
also were recognized. More information about these awards can be found of Page
10 of this Annual Report.
The event also include presentation of the Commission’s Flame of Excellence
awards to Commission Advisory Board members Steven A. Minter, executive-inresidence, Cleveland State University, and Henry L. Meyer III, retired chairman and
CEO, KeyCorp, for their long-time leadership of, and service to, the Commission.
Commission co-chairs Lyle Ganske (far left) and Kenneth Hardy (far right) with
representatives from the first graduating class of the Minority Business Accelerator
2.5+ (left to right back row): Kenneth McElrath, MAC Installations and Consulting
LLP; Neil Dick, Ralph Tyler Companies; Darryl Lackey, Key General Contractors; Robert
Miller, Start to Finish Construction Company; and Karl Singleton, Hotcards.com. Front
row: Theresa Miller, Start to Finish Construction Company.
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DIVERSITY PROFESSIONALS CONFERENCE EXPLORES
INCLUSION CHANGE MANAGEMENT
More than 220 people attended the third annual
Diversity Professionals Group conference, “Inclusion
Change Management to Achieve Profit and
Sustainability,” with keynote speaker Doug Harris,
CEO of The Kaleidoscope Group; eight breakout
sessions led by local diversity and inclusion experts;
and a closing plenary session with Betsy Silva
Hernandez, Sodexho’s vice president, diversity
learning, consulting and employee networks. In
addition, the conference provided HR Certification
Institute credits. SENIOR EXECUTIVE FORUMS FOCUS ON NEEDS OF C-LEVEL CHANGE LEADERS
The Commission sponsored two Senior Executive Forums to establish and maintain
connections with C-level executives from member organizations whose responsibilities
include oversight for and maintenance of, change efforts. Participation in both forums
doubled the attendance from the inaugural 2010 forum with more than 90 attendees
at each program. Presenters for the April session included executives from Eaton
Corporation and Cleveland Clinic, with opening comments from then KeyCorp
Chairman and CEO Henry L. Meyer III (who retired in May 2011). The December
session featured a keynote address by Kenneth N. Bouyer, Americas director of
inclusiveness recruiting, Ernst & Young LLP.
Conference breakout sessions included a presentation on
inclusion change management in large organizations by
Huntington National Bank executives Cheri Webb, senior
vice president, human resources, and Traci Dunn, senior
vice president, inclusion director.
CEOS OFFER INPUT TO COMMISSION AGENDA
Robert E. (Bob) Moritz, chairman and senior partner of PricewaterhouseCoopers LLP,
was the keynote speaker at the Commission’s 2011 CEO Briefing attended by more
than 70 Commission-member CEOs and senior-level diversity and HR professionals.
PricewaterhouseCoopers was ranked No. 3 in the 2011 DiversityInc Top 50
Companies for Diversity®—its highest ranking in seven appearances on the list—and
its fourth consecutive appearance in the top 10. The event also included interactive
sessions designed to secure participants’ input into the Commission’s agenda.
CEO Briefing keynote speaker
Robert E. (Bob) Moritz (right),
PricewaterhouseCoopers chairman
and senior partner, discussed how
his firm fosters a culture of
inclusion. Also pictured
(left to right): Robert D. Saada,
PricewaterhouseCoopers Lake Erie
Market managing partner; Andrew
Jackson, executive director,
Commission on Economic Inclusion;
and Dr. Jerry Sue Thornton,
president, Cuyahoga Community
College, who introduced Mr. Moritz.
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Survey Highlights
2 0 11 E M P L O Y E R S S U R V E Y O N D I V E R S I T Y ™
(year-to-year group)
For the past 11 years, the Commission on Economic Inclusion’s annual Employers Survey on Diversity™, has provided contextual
information on the status of economic diversity and inclusion efforts within the Northeast Ohio employer community. The survey
serves to: (1) provide individual organizations with a tool for examining their own diversity and inclusion efforts; and (2) offer
insights about the overall diversity management and inclusion practices of Commission member organizations. Survey
participants receive individual scorecards, based on survey comparative data.
Organizational Leadership
Organizational leadership measures
inclusion in board and senior
management. Results indicate almost no
change with a slight increase in both
categories: Minority representation on
boards increased from 15.2 percent to
15.5 percent Minority representation in
senior management increased from 14.8
percent to 14.9 percent. In comparing the
percentage of organizations whose
boards have a written policy on diversity
and inclusion in board membership, there
was an increase from 51 percent to 54
percent.
The 100 Commission members (48 for profits and 52 nonprofits) that participated in the 2011 survey represent about 174,000
employees in Northeast Ohio and about 806,000 employees in total. (Last year, 97 members—with about 181,000 employees
in the region and 560,000 employers in total—completed the survey. )
This summary provides an overview of the 2011 survey results, which present a mixed picture.
For the year-to-year group (the 94 organizations that participated in both the 2010 and 2011 surveys):
Board minority representation held at just above 15
percent (15.2 percent and 15.5 percent).
Senior management minority representation also stayed
even (14.8 percent and 14.9 percent).
On three critical aspects of a successful diversity and
inclusion strategy, responses pointed in different directions:
• CEO commitment: CEOs who personally sign off on
executive compensation tied to diversity rose from 33
percent to 37 percent.
• Holding managers accountable: The percentage of
organizations that hold managers accountable through
performance appraisals and or incentive processes for
demonstrated success in managing diversity effectively in
the workplace was primarily stable with a slight decline
from 64 percent to 63 percent.
• Employee Resource Groups (ERGs) and funding for
those groups: The percentage of organizations that
reported having ERGs grew from 49 percent to 56
percent. The percentage of organizations that provided
funding for such groups increased from 75 percent to 81
percent.
Total aggregate dollars spent with minority-owned
companies increased (for details, see Page 7) as did the
percentage of MBE spend in the region—from 10.4
percent to 11.1 percent. There was a slight decrease in the
percentage of MBE spend nationally from 5.9 percent
to 5.4 percent.
In comparing aggregate results from the survey’s inception in
2001 through the 2011 survey, a few areas represent positive
progress:
• Minorities as a percentage of senior managers has increased from 9 percent to 14 percent.
• The number of participants reporting and the corresponding spend with minorities increased. Six organizations reported a negligible amount for 2001. By comparison in 2011, 51
organizations reported total and/or regional spend of
$2.71 billion.
CEO personally signs off on executive
compensation tied to diversity
64.0%
62.0%
12.8%
60.0%
11.4%
58.0%
56.0%
20.0%
2011
2010
2011
Results improved on three metrics, while
CEO leadership on diversity councils
stayed constant, and CEO participation in
diversity councils declined slightly.
Organizations that hold managers accountable for
demonstrating success in managing diversity
14.1%
2010
• CEO leadership role on diversity
council(s)
• CEO commitment to, and participation in, diversity councils
• Compensation tied to diversity goals
Evidence of diversity metrics
Supplier diversity goals
• Minority inclusion on boards rose from 14 percent to
15 percent.
50.0%
10.0%
This section measures the level of CEO
commitment to diversity and inclusion
reflected in:
Historical Perspective
Board/Senior Management Diversitsity
15.5%
CEO Commitment
2010
2011
2010
2011
2010
2011
2010
2011
Human Capital - Workforce
and New Hires
This area measures the racial composition
of the workforce and new hires. Between
2010 and 2011:
• The percentage of minorities in the
workforce remained steady at 21
percent.
The percentage of minority new hires
grew slightly from 24 percent to 25
percent.
• Respondents having a policy on
minority recruitment decreased from 68
percent to 65 percent.
• Respondents with a policy on minority employee training/development
increased from 34 percent to 37 percent.
Human Capital - Retention
This section tracks the level of inclusion
in retention rates for whites compared to
minorities in the workforce and
management. For 2011, the total
workforce retention rate was higher for
all minority groups (African American,
Latino, Asian and Native American) than
the rate for whites. Among all groups,
only African Americans had a slight
year-to-year increase in total workforce
retention, from 80 percent to 81 percent.
In Northeast Ohio from 2010 to 2011:
workforce retention increased for whites
(78 percent to 80 percent) and African
Americans (79 percent to 80 percent).
By comparison, other minority groups had
higher 2011 retention rates—Asian and
Latino, 82 percent, and Native Americans,
87 percent.
Among managers, the total and
Northeast Ohio retention rates for whites
were lower than for minority groups in
both 2010 and 2011.
Corporate Practices
This section focuses on the level of
commitment to employee resource
groups (ERGs) and diversity training. In
comparing 2010 results to 2011,
improvement was found in:
• Percentage of respondents with official (ERGs): an increase from 49 percent to 56 percent (for profits from 49 percent to 54 percent and nonprofits from 50 percent to 57 percent);
• Percentage of respondents with funding for ERGs: an increase from 75 percent to
81 percent;
• Percentage of organizations offering diversity training: an increase from 79 to 80 percent.
Supplier Diversity
Supplier diversity measures dollars
spent with Minority Business Enterprises
(MBEs). In comparing 2010 results to
Does your company have employee-resource groups,
affinity groups, employee networks or other groups?
2011 for the year-to-year group, the
percentage of total spend with MBEs
decreased from 5.9 percent to 5.4
percent. However, regional spend with
minority-owned companies increased
from 10.4 percent to 11.1 percent of total
procurement dollars.
Data from the aggregate group indicated
an increase in total diversity spend from
$2.23 billion in 2010 to $2.71 billion in
2011. A similar increase was found in
regional spend from $339 million in 2010
to $450 million in 2011.
There, was, however, no change in the
reported presence of a formal supplier
diversity program, which remained at 52
percent.
Conclusion and Next Steps
On leadership (board and senior
management diversity) and workforce
diversity metrics, the survey reflects
incremental increases that have not kept
pace with national workplace averages.
We will continue working with our
members to develop strategies and tactics
that can facilitate a more substantial pace
of improvement in these areas.
By comparison, diversity spend among
our members has continued, each year, to
show improvement, which is
encouraging. As previously noted, in
National Diversity Spend (in billions)
2001, only six organizations could report
their diversity spend, which was
negligible. In 2011, diversity spend among
the aggregate group in the region is up to
$450 million.
The Commission will continue to help
make a difference in supplier diversity
through programs that can assist our
members with creating, sustaining and
enhancing relationships with minority
vendors. We also will remain focused on
developing the capability and capacity
of MBEs in the region. Current programs
include the Minority Business
Accelerator 2.5+, along with two new
resources, the Chief Procurement Officers
group, and the opening of the Minority
Business Development Agency Minority
Business Center—Cleveland.
We strongly encourage all survey
participants to utilize the results of this
survey to identify meaningful
opportunities for change that will benefit
their organizations, local minority
businesses, and the larger economic
community. Please see Page 24 of this
report for an overview of Commission
programs and initiatives that are
available to help our members achieve
their diversity and inclusion goals.
Regional Diversity Spend (in millions)
COMMISSION HONO
The Commission on Economic Inclusion, which provides resources and services to its more than 100 members to assist them with
achieving their diversity and inclusion goals, annually recognizes members’ progress toward their goals with these honors:
Commission on Economic Inclusion
Best-in Class: honorees are selected based on results of the annual
Employers Survey on Diversity™ and follow-up interviews by
Commission staff. The awards are presented for achievement in
board, senior management, workforce and supplier diversity.
We use a 10-step process to choose the winners from a field of three
to six “strong contenders” who are chosen following a review of their
policies and practices and the organizations' relative quantitative scores.
Summaries of the information collected and Commission staff
recommendations are documented and presented to the Membership
Impact Committee, which makes the final decision. Read about this
year’s winners and their best practices on Pages 12-23 of this report.
Commission 50: Members of the Commission 50 are recognized
annually for progress in creating, enhancing and sustaining their
diversity and inclusion strategies. This recognition is based on their
responses to the annual Employers Survey on Diversity™ .
Their scores are tabulated based on the survey’s four metrics: board
senior management, workforce and supplier diversity. The organizations
are ranked by each of the four metrics, and the rankings are combined
to produce a final score. The 50 Commission-member organizations (25
for profit, 25 nonprofit/government) with the highest combined scores
receive this distinguished designation.
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RS & RECOGNITION
Hall of Fame Class of 2012
Supplier Diversity/For Profit
As a three-time Best-in-Class winner (2007, 2008, and 2011) in this category,
KeyCorp is committed to sourcing
with diverse business
enterprises. Highlights and
outcomes of its award-winning
supplier diversity program include:
• The Supplier Diversity team in the Community Development Banking
group provides accountability.
• Key “strongly encourages” majority suppliers to share in its business
strategy of utilizing minority- and women-owned businesses.
Commission members that are
inducted into the Hall of Fame have
consistently demonstrated their
commitment to workplace diversity
and inclusion.
They are recognized as pacesetters
within the Northeast Ohio business
community for their effective diversity
management and inclusion policies
and practices.
Each Hall of Fame inductee is a
multi-year winner of a Commission
Best-in-Class Award.
• Key helps build the economic wealth of the communities it serves
“by providing open opportunities and fair competition.”
• Key is nationally ranked by DiversityInc as a 2012 Top 10 Company for
Supplier Diversity by DiversityInc.
Hall of Fame Class of 2011
Board Diversity
• Nonprofit/Government: Kaiser Permanente
• For Profit: KeyCorp
Senior Management Diversity
• For profit: Eaton Corporation
Workforce Diversity
• For profit: Time Warner Cable, Northeast Ohio
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NONPROFIT/GOVERNMENT
BEST IN CLASS - BOARD DIVERSITY
The University Hospitals Health System (UH) values diversity and inclusion and its system board reflects this.
In 2011, the UH Board included 10 racially diverse individuals (24 percent). This compares with an average of
16.2 percent for the nonprofit / government comparison group.
This is the second consecutive year that UH has been selected for this honor. The UH Board achieves this high
level of representation through strategies that include:
• Approving diversity goals and organizational strategic plans and receiving annual progress reports. The
overall strategic plan incorporates UH’s core values, one of which is diversity. UH leadership has developed a System-wide diversity recruiting and retention framework and strategy that places specific emphasis on increasing diversity in the leadership ranks including the Board.
“At University Hospitals, our commitment to diversity and inclusion extends to our board, employees,
patients, business partners and to the communities
we serve. Maintaining a diverse board and workforce
promotes quality care and enhances our employees’
and physicians’ capacity to relate and work effectively
with our patients and their families in a welcoming
environment.”
• Vesting the UH Board Governance and Community Benefit Committee with responsibility to work with Board leadership to ensure that the processes for consideration of diversity and inclusion in identification and selection of directors and in succession planning for board officers are consistent with the System’s diversity goals;
• Benchmarking its own Board diversity efforts, using statistics on governance diversity from DiversityInc magazine’s “Top 5 Hospitals in the US for Diversity” and similar reports from the Institute for Diversity
Management, an affiliate of the American Hospital Association and the American Association of
Medical Colleges;
• Providing oversight of diversity within the organization, referencing a “Diversity Scorecard” that focuses on recruitment, culture, minority vendors and the needs of the community. At full Board and Board
committee meetings, reports on diversity efforts are provided to demonstrate the organization’s progress relative to internal and external initiatives.
• Reviewing leadership and workforce diversity at least twice yearly via the Board’s Cultural Diversity
Committee, Governance and Community Benefit Committee and the Compensation Committee.
Thomas F. Zenty III
Chief Executive Officer
University Hospitals
12
• Communicating the importance of this topic by endorsing a diversity of candidates on the Board as well as: (1) discussions/presentations regarding UH’s commitment to diversity during Board orientation for
new Directors; (2) defining UH’s core values, a key component of which is the commitment to diversity;
(3) setting the tone for the entire organization through System communications to all personnel and medical staff emphasizing UH’s diversity efforts; and (4) establishing a System-wide Code of Conduct that expressly states diversity as a core value of UH and further confirms that UH promotes diversity and equality
in the workplace.
NONPROFIT/GOVERNMENT
BEST IN CLASS - SENIOR MANAGEMENT DIVERSITY
Cleveland State University (CSU) is a comprehensive metropolitan university committed to providing
affordable education of high quality to students with diverse backgrounds, experiences, interests and needs.
CSU’s commitment to diversity is imbedded in every aspect of its operation. CSU has the highest percentage
of minority faculty of the public four-year universities in Ohio except Central State University (a historically
Black university).
CSU also has the highest percentage of minority students among the same group. Its successful commitment
to diverse leadership is evidenced by a senior management diversity percentage of 35 percent compared to
16.5 percent average for the nonprofit/government group. Strategies for success include:
• Updating the Board of Trustees annually regarding institutional diversity in accordance with the
Board-approved Diversity Action Plan.
“As the only public university in the Greater Cleveland
metropolitan area, the issues of diversity and
inclusion are imperatives. Diversity enriches the
campus environment and enhances the educational
experience of all CSU students, faculty and staff. Our
mission to encourage excellence, diversity and
engaged learning provides an enriching pathway
for our students to a satisfying career in the region
and global society.”
• Commitment by CSU President Ronald Berkman, a champion of diversity and inclusion, evidenced by his
hiring actions: 66 percent minorities and 33 percent women. He has three formal groups charged with
monitoring and making diversity recommendations to the President: President’s Council on Diversity,
President’s Commission on the Role and Status of Women, and President’s Advisory Council on Equal
Access and Opportunity. He meets annually with each group.
• Utilizing an aggressive hiring process embedded with multiple checks and balances to ensure a fair,
thorough search including targeted outreach, requiring search firms to present diverse pools of
candidates, and national advertising incorporating diverse resources;
• Requiring a diverse search committee for the hiring process with all members receiving orientation
regarding the search and hiring procedures. A review is conducted by the Affirmative Action Office or
Human Resources at each stage of the search. In addition, the vice president for institutional diversity
participates in a group interview with finalist candidates for the most senior positions.
• Assigning the vice president for institutional diversity university-wide responsibility for diversity. All senior managers have responsibility for diversity within their areas. The vice president is an officer of the University and meets monthly with the president and members of the president’s cabinet.
Ronald M. Berkman, Ph.D.
President
Cleveland State University
• Empowering college-based diversity committees and councils to achieve relevant outcomes. This
approach includes self-identification of barriers to diversity and development of strategic initiatives to
overcome them. Committee focus areas include demographics related to student enrollment and
graduation and collecting data and articles related to retention and graduation of minority students in STEM (science, technology, engineering and mathematics) fields.
13
NONPROFIT/GOVERNMENT
BEST IN CLASS - WORKFORCE DIVERSITY
Case Western Reserve University has created a multifaceted approach to build and maintain a diverse and
inclusive student body, faculty and staff. The positive impact of this effort is reflected in its 2011 workforce
data: 31 percent of the University’s workforce is diverse, along with 37 percent of newly hired employees.
These numbers compare with averages of 24 percent and 27 percent respectively in these categories within
the comparison nonprofit/government group. Components of the university’s strategy to build and maintain
a diverse workforce include:
• A two-pronged mentoring initiative: (1) senior faculty members are paired with underrepresented
tenure-track faculty and new faculty members; (2) new staff mentoring including on-boarding and
development of opportunities to promote employee retention;
• The university’s Diversity Leadership Council, a cross-department group of faculty and staff that promotes dialogue, provides resources and oversees the implementation of the Diversity Strategic Action Plan (DSAP);
“Diversity is essential to the rich academic and social
environment that Case Western Reserve University
now enjoys. We strive to build a culture of inclusion,
creativity and respect to benefit all the members of
our community.”
• Input by three diversity-related employee groups—the President’s Advisory Council on Minorities, which advises the president and provost on diversity issues and current policies; the President’s Advisory
Council on Women, which provides insight to the president on the campus environment as related to women; and the Staff Advisory Council, which serves as an advisory group for both the administration and staff, giving feedback on policies, and identifying issues that affect the university and the people it serves.
• Recruitment and retention intervention focused on underrepresented staff and faculty and included in the DSAP. Current activities include formal training on unconscious bias for hiring managers, supervisors, and selection committees, professional development opportunities for women and underrepresented groups, and an initiative to identify potential candidates for promotion and advancement.
• A welcoming reception hosted by the Office of Inclusion, Diversity and Equal Opportunity (OIDEO) at the start of the academic year for underrepresented faculty, staff, and students to welcome them, provide
support and develop relationships;
• A talent retention effort, Train the Champion, created by the OIDEO. The eight-month program for faculty and staff included monthly meeting covering various aspects of diversity, opportunities for frank, sustained dialogue in order to develop champions of diversity on campus.
Barbara R. Snyder
President
Case Western Reserve University
14
NONPROFIT/GOVERNMENT
BEST IN CLASS - SUPPLIER DIVERSITY
C MH A
ENRICHING LIVES SINCE 1933
CUYAHOGA METROPOLITAN HOUSING AUTHORITY
The vision statement of the Cuyahoga Metropolitan Housing Authority (CMHA) says: “Our goal is to create
strong communities…linked to the social, educational, economic and religious institutions of the
community-at-large. Our purpose is also to support individuals and families (residents and employees)
to be strong, contributing members to our community.”
CMHA’s supplier diversity accomplishments reflect this vision. In 2011, 28 percent of its national spend ($13
million of $46.5 million) was with minority business enterprises (MBEs), compared to 5.6 percent for the
nonprofit/government survey group. Regionally, 29 percent of CMHA’s spend was with MBEs, compared to
9.5 percent for nonprofit/government survey group. This was accomplished, in part, through:
“Diversity and inclusion are essential components of
our success. Our dedication reaches throughout our
Board, leadership, and employees, resonating with
the residents in Cuyahoga County. Since 1933, our
goal has been to leave an indelible mark on those
families who otherwise would not have had access to
affordable housing by enriching lives and the overall
vibrancy of the community.”
• Diversity practices contributing to the broad-based growth of MBEs. By linking companies, CMHA saves both businesses time and personnel expense while forging long-term relationships. CMHA links
businesses together through its MBE program staff, a certified business list available on its Web site and the CMHA bidding notification system and its procurement practices.
• Seeking MBEs through outreach efforts via the CMHA Web site, presentations to associations such as the Hispanic Business Association and the Hispanic Chamber of Commerce, presentations and specialized
assistance to CMHA residents who are business owners or prospective business owners, staff
participation in matchmaker events and collaborations with the City of Cleveland, Cuyahoga County, Greater Cleveland Regional Transit Authority, and the Northeast Ohio Regional Sewer District, and through the
referral system that matches MBEs with other businesses.
• Soliciting feedback from current and prospective suppliers on what works and where improvements are required. Focus group discussions provide critical insight into how CMHA can address unintended obstacles to successful business partnerships.
• Ensuring that contractors are compliant with diversity goals (including Tier 2) through monthly tracking and monitoring processes. The Purchasing Department and the Construction Department Contract
Compliance unit provide this oversight. These departments and the MBE program staff assist vendors who are not meeting diversity goals to increase minority participation by utilizing CMHA’s MBE/FBE
certified business list and to meet workforce goals regarding residents.
• Encouraging minority business participation through traditional methods such as trade shows and
matchmakers and through seeking good business referrals from both our minority and non-minority
vendors.
Jeffrey K. Patterson
Chief Executive Officer
Cuyahoga Metropolitan Housing Authority
15
LARGE CORPORATION
BEST IN CLASS - BOARD DIVERSITY
FirstEnergy is driven by the leadership, skills, diversity and character of its employees. An important
component of this corporate vision is the diversity of its Board of Directors. Candidates for the Board are
reviewed based on a matrix of skills and experiences to ensure an appropriate balance.
Currently, three of the 14 Board members are minority individuals, a ratio that is more than double the
average composition of the comparison group of for-profit boards. Effective actions to achieve board
diversity include:
• Posting the Corporate Governance Policies and Charter of the Corporate Governance Committee on the
Company’s Web site and making them publicly available: “Any assessment of a prospective Board or
committee candidate includes, at a minimum, issues of diversity, age, background and training; business or administrative experience and skills; dedication and commitment; business judgment; analytical skills; problem-solving abilities; and familiarity with the regulatory environment.”
“At FirstEnergy, we embrace diversity of thought,
value individuality and encourage new perspectives.
We are committed to ensuring that our leaders and
decision makers possess a wide range of perspectives
and experiences, which, in combination, enable us to
excel as a leading regional energy provider.”
• Incorporating the company’s commitment to diversity in its Corporate Vision: “FirstEnergy will be a
leading regional energy provider, recognized for operational excellence, customer service and its
commitment to safety; the choice for long-term growth, investment value and financial strength; and a
company driven by leadership, skills, diversity and character of its employees.”
• Identifying diversity as an assessment criteria used by the Corporate Governance Committee
(per FirstEnergy’s Corporate Governance Policies). The charter of the Corporate Governance
Committee further supports diversity as a requirement in any assessment of a prospective Board or
committee candidate.
• Creating and utilizing a “Female and Minority Candidates for Consideration” list, which is updated and
discussed at each meeting. The Corporate Governance Committee, supported by the Corporate
Governance Policies and Charter, actively seeks and reviews such candidates for recommendation
to the full Board.
• Requiring all Board members to participate in at least eight hours of accredited training within the prior 24 months, which includes, as available, programs that encompass diversity and inclusion issues.
• Reviewing a workforce update that specifically addresses staff diversity at the annual Board of Directors
Strategy Retreat.
Anthony J. Alexander
President and Chief Executive Officer
FirstEnergy
16
• The Corporate Governance Committee periodically reviews benchmarking data against its own efforts and
reports the same to the Board.
LARGE CORPORATION
BEST IN CLASS - SENIOR MANAGEMENT DIVERSITY
Fifth Third Bank’s corporate statement on diversity and inclusion says in part: “Being empowered to achieve
goals is closely related to being accepted and valued for your unique contributions to society. Our ability to
embrace and empower (our employees) is directly proportional to our ability to be the best corporate citizen
we can be. Respect and inclusion is a core value, and when we achieve inclusion, we move closer to
becoming an Employer of Choice.”
The diverse makeup of the senior management team of Fifth Third Bank, Northeastern Ohio exemplifies this
commitment to diversity. Nineteen percent of the team is diverse compared to 12.9 percent for the overall
for-profit group. Actions items leading to this success include:
“Diversity and inclusion requires a culture that
respects and includes everyone’s perspectives, a
culture that makes everyone feel connected, valued
and supported, and that is what we strive for at Fifth
Third Bank. We are honored to receive this award, and
we will continue along the path to ensure our teams
have the resources, continuity and support needed to
drive engagement and inclusion.”
• Minority managers serving across the regional operation, including the Community Development,
Mortgage, and Retail Divisions.
• A mentoring/coaching strategy in which senior leadership is directly involved to assist with development
objectives. The Diversity and Inclusion Council also has a formal role in assisting employees with
professional development and networking access to affiliate leadership.
• Grooming outstanding minority talent for ascension through discussions in annual talent review sessions that are designed to identify future leaders for the organization. Top performers are discussed with senior
executives of each line of business including human resources.
• A detailed development plan is established to identify core competencies, development objectives, and
action steps to assist with achieving objectives. A Regional Leadership Experience Program, including
diversity and inclusion in the selection process, also has been implemented.
• Senior management has established a process through the diversity and recruiting team to identify and address obstacles and barriers to diversity and for implementing initiatives to overcome these barriers.
The team discusses the regional operation performance gaps relative to diversity and implements action
plans that focus on diversity relative to recruiting, talent management, employee engagement, and
employee development.
Jerry Kelsheimer
President and CEO
Fifth Third Bank, Northeastern Ohio
17
LARGE CORPORATION
BEST IN CLASS - WORKFORCE DIVERSITY
U.S. Bank, executes its commitment to a diverse workforce, both regionally and nationally, through an array
of recruitment, development, and retention strategies. In Northeast Ohio, those efforts have paid off with
minority employees comprising 31 percent of the bank’s workforce, compared to a 18.7 percent average
among the for-profit comparison group. In addition, 40 percent of new hires are minority individuals,
compared to 24 percent average for the comparison group. Its approach includes:
• Diversity initiatives that are designed to expand management skills and accountability. All levels of
managers are held accountable for diversity through Talk to US Surveys and organizational success factors, which are part of their annual performance reviews that determine pay decisions. Managers are kept
informed with quarterly diversity metrics reporting. The CEO receives yearly information on workforce
diversity components for each of his direct reports, such as demographics, promotion rates and opportunity, retention and turnover.
“U.S. Bank recognizes our employees as our
greatest asset A diverse and inclusive workplace
allows the company to leverage the power to
attract, retain and develop each employee’s full
potential. Our employees, customers, shareholders
and the communities we serve benefit from this
commitment to a diverse and inclusive workplace.”
• Establishing multicultural tasks force and programs. U.S. Bank, Northeast Ohio, has a highly effective task force that meets regularly to analyze emerging market trends including populations around its branches to enable managers to hire branch personnel who reflect the neighborhood demographics and to determine the best-selling products for that market. The task force also determines which marketing outreach events should be conducted to effectively reach customers.
• Making managing diversity a part of manager performance plans. Managers are reviewed and rewarded based on their performance to goal. There are special incentive opportunities for branch referrals, hires and retention and recognition through various corporate and business line awards and recognitions, such as Circle of Service Excellence, Distinguished Leadership Award, and Excellence in Ethics Award.
• An 18-member Diversity & Inclusion Council representing all business lines and a variety of locations
and focused on developing an inclusive culture at U.S. Bank that will maximize employee engagement,
innovative ideas and community image. The council collaborates across business lines to develop U.S. Bank’s diversity and inclusion vision and execution strategy.
• Posting job openings on U.S. Bank’s career Web site, with an automatic feed to various diversity sites via their third-party vendor. U.S. Bank participates in Historically Black Colleges and Universities (HBCU) career fairs specifically for its Leader Development Program, a three-year rotational program. U.S. Bank’s career
site has a link to recruiting events that it sponsors or in which it participates.
Alan M. Zang
President
U.S. Bank, Northeast Ohio
18
LARGE CORPORATION
BEST IN CLASS - SUPPLIER DIVERSITY
Despite the economic challenges of the past several years, KeyCorp has continued to make supplier diversity
and economic inclusion core components of its overall corporate relationship strategy and model for growth.
They are fully integrated into the overall corporate operations and culture.
For the third time in the past eight years, Key has won this Best-in-Class award, spending 8 percent or $63
million of its total expenditures with minority-owned businesses, as well as 44 percent or $24 million of its
expenditures in Northeast Ohio. Comparison group averages were 5.2 percent and 8.3 percent respectively.
Tactics to support Key’s supplier diversity goals include:
“Our business is built on inclusion, diversity
and respect. We are committed to developing
mutually beneficial business relationships with
minority-, veteran and women-owned suppliers.
We believe this is essential to improving business
performance, understanding our clients, and
supporting job creation and economic
development in the communities we so
proudly serve.”
• Defined expectations that require focused execution from Key’s executive leadership, each line of business, employees and suppliers. Their strategic framework requires clear accountability, prioritization, actionable plans that identify, convert and expand procurement opportunities for diverse suppliers, and
measurable goals.
• Quarterly review meetings with KeyCorp’s executive leadership to discuss progress. The Supplier Diversity Team also generates monthly reports for all business leaders that include data on monthly diverse spend, year-to-date progress, and detailed accounts of all suppliers utilized during the subject month. The monthly report provides a view into KeyBank’s and Functional Authorities supplier diversity spend.
• Development and utilization of a supplier diversity manual to educate all Key employees on the company’s philosophy, commitment, and strategic plan related to various diversity initiatives.
• Recognition of individual and line-of-business successes through annual Supplier Diversity Awards
presented by Chairman and CEO Beth Mooney during KeyCorp’s annual Leadership Conference.
• Ownership of the supplier diversity function as a matrix among Key’s Corporate Procurement Team, the
major lines of business, and Community Development Banking.
• Socializing successful outcomes with various media outlets and business organizations. This focused
execution and commitment to understanding the value of “investing” in our communities has led to
KeyCorp’s recognition by DiversityInc magazine, the National Minority Supplier Development Council,
several of its regional affiliates, and the Greater Cleveland Partnership.
Beth E. Mooney
Chairman and CEO
KeyCorp
• Incorporating and updating second-tier language in each contract when applicable. Key has also leveraged available technology to ensure timely and accurate reporting. One example of a successful outcome from Tier II Strategy: $9.4 million in construction related Tier II spend through KeyCorp’s “Integrated Branch”
work and collaboration with Turner Construction.
19
MIDDLE MARKET
BEST IN CLASS - BOARD DIVERSITY
Lifebanc recognizes its critical mission and the importance of creating a governance structure which reflects
the broad community it serves. It seeks to develop strategies to ensure that its workforce is reflective of the
community population and recognizes the importance of supplier diversity and seeks to contribute to the
development of underused suppliers while diversifying their vendor base.
The organization also worked diligently to craft a board whose membership is 33 percent racially diverse
with six of the 18 board members from minority groups. This proportion compares with an average of 16.2
percent for the nonprofit/government participants in the Commission’s 2011 diversity survey. This level of
success has been achieved by applying initiatives that include:
• A board statement including in part, “Lifebanc supports board diversity and involves our board members in key community leadership positions and committees which support inclusion;”
“Lifebanc values the diversity of those who help to save
lives through organ, eye and tissue donation. We strive
to shape an environment that lets our staff, board and
community know that they are understood, respected
and supported. Through the culture of inclusion,
Lifebanc pursues a future when the decision to donate is
an honor and everyone waiting receives a transplant.”
• Utilizing Business Volunteers Unlimited and networks of current board members and workplace partners to ensure a well-rounded and cross-functional board;
• Including the review of current board composition against a scorecard/roster that outlines parameters
including diversity;
• Becoming the first organization in its industry to create a Multicultural Committee as part of the Board of
Directors. Board members are active and supportive in Lifebanc events surrounding diversity;
• Board members introducing diverse friends and workplace partners to be tracked on individual
scorecards and spreadsheets. Initiatives approved by the board are benchmarked through evaluations and reports;
• Offering diversity training throughout the organization. In addition, the chairperson of the Multicultural
Committee provides training and updates at each board meeting;
• Communicating the board’s stand on diversity through the chairperson of the Multicultural Committee. This committee meets quarterly and includes Lifebanc leadership, staff and community leaders.
Gordon R. Bowen
Chief Executive Officer
Lifebanc
20
MIDDLE MARKET
BEST IN CLASS - SENIOR MANAGEMENT DIVERSITY
Thompson Hine’s clients state that diversity is important to them, so the firm has made a commitment to
reflect the diversity of its clients and the communities it serves by building and retaining a diverse group of
lawyers and staff. The firm embraces the challenge to be a champion for diversity among law firms and in its
communities.
Critical to the firm’s success in achieving its goals is having a leadership team reflective of the firm’s commitment to diversity and focused on sustaining and strengthening its diversity and inclusion efforts. Thompson
Hine’s senior management team is composed of 14.5 percent minority individuals, compared to 12.5 percent
overall in the for-profit sector. The firm has been recognized locally and nationally for its efforts and progress
in this important component of its business strategy. Its diversity and inclusion efforts include:
“Thompson Hine’s strong commitment to diversity and
inclusion permeates all aspects of the firm’s operations.
This necessarily includes maintaining a diverse
leadership team that provides a broad spectrum of
experience and perspectives. We recognize that to be
successful and relevant in the business community, it is
imperative that we reflect the diversity of the clients and
communities we serve.”
• Maintaining a dedication to hiring, retaining and promoting minority professionals across all firm practice groups, staff departments and offices. Senior managers who are minorities include two Executive
Committee members, an Office Partner-in-Charge, the Firm-wide Hiring Partner, the Chief Human Resource Officer and the Diversity & Inclusion Initiative Chair.
• Focusing on diversity and inclusion as key factors in establishing the candidate pool for internal
advancement opportunities, such as practice group leadership, committee appointments and Executive
Committee nominations. To solicit external candidates, the firm requires diverse slates from postings,
recruiters and retained searches.
• Enhancing minority lawyers’ opportunities for advancement by providing internal and external
professional development programs, including an annual diverse lawyer meeting and a sponsor program
for diverse associate lawyers, and encouraging their participation in professional organizations. The
associate lawyers’ performance evaluation process includes a requirement for a professional
development plan.
• Asking partners to outline their individual efforts to promote the firm’s goals of building and maintaining diversity in the firm as part of their annual performance reviews.
• Dedicating a quarterly meeting between the Managing Partner and the chair of the Diversity & Inclusion
Initiative to addressing firm goals and challenges and planning necessary responses and actions.
David J. Hooker
Managing Partner
Thompson Hine LLP
• Engaging teams of lawyers and staff in each office to execute the Diversity & Inclusion Initiative’s plans firm wide. These teams also implement local cultural-awareness activities and relationship building in
their respective geographic areas.
• Ensuring that the firm’s Executive Committee remains apprised of the needs and efforts of the Women’s Initiative and the Diversity & Inclusion Initiative by appointing an Executive Committee liaison to each.
21
MIDDLE MARKET
BEST IN CLASS - WORKFORCE DIVERSITY
Ozanne Construction Company, founded in 1956, is a multidisciplinary construction management and design
build company doing business throughout the Midwestern and southern United States. Its commitment to
inclusion is demonstrated through community engagement, construction project management and workforce
recruitment and retention.
The company’s Web site inclusion statement reads in part: “…We seek the best talent available, including
minorities and women, and provide them with the opportunity for advancement.” Ozanne’s commitment to
inclusion is reflected in a 43.2 percent minority representation contrasted with an average of 18.7 percent for
the comparative group. This high level of diversity within the company has been accomplished by actions that
include:
“Ozanne is firmly committed to best practices in
inclusion. We assist minority, female, and local
businesses and individuals seeking contracting,
employment, and training opportunities. We
also assist young people seeking careers in the
construction industry. We support community
inclusion initiatives in public- and private-sector
construction consistent with the needs and
desires of our clients.”
• Recruiting minority candidates for management positions at colleges and universities both locally and
nationally and summer interns from the Cleveland Metropolitan School District.
• Assigning new full-time employees to project teams as entry-level project administrators to learn the
fundamentals of project management and supervision. Every effort is made to hire both minorities and
women into these positions.
• Discussing project staffing diversity and inclusion in weekly project progress meetings.
• Promoting the triple-bottom-line approach to sustainability, which considers the environmental,
economic and social consequences of the company’s actions.
• Maintaining a management team of approximately 50 percent minority and 30 percent women, which
is another example of economic sustainability. The company’s commitment to social sustainability includes internships and student co-ops and support of internships through the Contractors Assistance
Association and membership in the National Association of Minority Contractors.
• Setting internal corporate goals of 25 percent minority and 5 percent women workforce participation and 25 percent and 10 percent contract participation. Managers are expected to maintain a diverse
workforce, and promotions and bonuses require success in these areas.
• Participating in construction-related and community organizations in the region to promote a positive image of the company and the industry.
Dominic L. Ozanne
President and CEO
Ozanne Construction Company
22
MIDDLE MARKET
BEST IN CLASS - SUPPLIER DIVERSITY
Investments that Federal Reserve Bank of Cleveland (FRB) has made to establish a comprehensive supplier
diversity strategy are yielding success. For the second year in a row, the Bank has achieved positive results in
diverse spend both nationally and in Northeast Ohio.
Ten percent of its national spend ($3 million of $30 million) was with minority business enterprises (MBEs),
compared to 5.6 percent for the nonprofit/government comparison group. Regionally, 20 percent of its spend
was with MBEs compared to the 9.5 percent average. Components of its winning strategy include:
• Support of FRB’s commitment to supplier diversity by the executive leadership committee, which
includes the president, the chief operating officer, and senior vice presidents. Its practices include having at least one diverse vendor for business opportunities of $10,000 or more ($20,000 for construction).
“A lot of growth in the economy comes from small
businesses, and minority small businesses are an
important part of that fabric. It is very important
to our economic growth, both from a region and a
country, to have every individual, every part of the
workforce, fully engaged. I am proud of the results the
leadership team and staff continue to achieve, and I
firmly believe diversity and inclusion continue to be
important to the Bank’s future success.”
• Offering contract payment terms to minority-owned firms doing business with the Bank that support their ability to manage their accounts receivable process. Firms who complete work to the contract specifications also have opportunity to do future business with the Bank.
• Utilizing a Procurement Strategic Supplier Tool (PSST) through which departments inform the
procurement department of an upcoming acquisition of goods or services. A member of the Contracts
Administration and Purchasing Services (CAPS) Department, as well as a member of the Office of
Minority and Inclusion (OMWI), take the submission and search for minority- and women-owned
businesses utilizing available search tools.
• Utilizing the Northern Ohio Minority Supplier Development Council, the National Minority Supplier
Development Council Minority Business Information System, the State of Ohio, the City of Cleveland, Dunn & Bradstreet Supplier Locator, Central Contractor Registration, the Commission on Economic
Inclusion and the Women’s Business Enterprise National Council to source and support its supplier
diversity initiatives.
• Placing the supplier diversity mission, purchasing policy and registration link only one click from the home page on the Bank’s external Web site.
• Producing and disseminating a brochure on doing business with the Federal Reserve Bank of Cleveland, which includes this statement: “The Federal Reserve Bank of Cleveland is committed to providing equal
access to potential business opportunities for qualified minority-owned and small businesses.”
Sandra Pianalto
President and CEO
Federal Reserve Bank of Cleveland
• Communicating the Bank’s supplier diversity commitment to management and staff. A review and
discussion of planned and anticipated business opportunities takes place so that contracts and
procurement staff can source MBEs in advance of the proposal process.
23
COMMISSION
Corporate Development Programs & Services
CEO Briefings
Semi-annual meetings with Commission member CEOs to create
executable strategies to drive change in board, senior management,
workforce and supplier diversity.
Senior Executive Forums
Semi-annual meetings with C-level executives of Commission member
organizations to energize and motivate executives/senior managers to
drive diversity and inclusion results in their organizations.
Comprehensive
Corporate
Development
Tools
Diversity Professionals Group
Quarterly meetings with senior diversity managers from Commission
member organizations focused on networking and educational sessions
on diversity and inclusion best practices.
Benchmark Data™
Detailed report on quantitative and qualitative results from
Commission’s annual Employers Survey on Diversity™ (completed
by all Commission members). Each organization receives confidential
scorecard comparing its results against its sector averages.
Access to Minority Businesses
Commission staff works with members through the Chief Procurement
Officers Group to identify business opportunities and connect them
with MBEs with capability and capacity to fulfill those opportunities.
Best practices repository
Resource to provide sample organizational policies and practices related
to diversity and inclusion.
24
PROGRAMS
Minority Business Accelerator2.5+
Customized technical assistance to build capability and capacity for
minority businesses
Minority Business Development Ini3a3ves
Minority Business Accelerator Estimating Room
Fully equipped blueprint planning and estimating room to assist
minorities in estimating and bidding on construction projects
Boardroom-to-Boardroom
Executive coaching for C-level minority business owners
Bonding Prep Program
Six-week program to educate minority businesses on becoming
bondable
MBE Working Capital Fund
A facility to provide working capital lines of credit for minority
businesses
Comprehensive
Comprehensive
MBE
MBE
Development
Development
Tools
Tools
Minority Business Center
The U.S. Department of Commerce to provide one-stop coordinated
minority business development efforts in Northeast Ohio
25
2 0 11 M E M B E R O R G A N I Z A T I O N S
Akron Children’s Hospital
American Greetings Corporation
Aultman Hospital
Baker & Hostetler LLP
Baldwin-Wallace College
Beck Center for the Arts
Benesch, Friedlander
Bonnie Speed Logistics™
Breakthrough Charter Schools
Calfee, Halter & Griswold LLP
Case Western Reserve University
Cavaliers Operating Company, LLC
City of Cleveland
Cleveland Clinic
The Cleveland Institute of Art
Cleveland Institute of Music
Cleveland Foundation
Cleveland Indians Baseball Club
Cleveland Orchestra
Cuyahoga Metropolitan
Housing Authority
Cleveland Metropolitan School District
Cleveland Museum of Art
The Cleveland Play House
Cleveland Public Library
Cleveland State University
Coleman Spohn Corporation
Cuyahoga Community College
Cuyahoga County
Cuyahoga County Board of
Developmental Disabilities
Cuyahoga County Public Library
The Diversity Center of
Northeast Ohio, Inc.
Dix & Eaton
Dominion East Ohio
Eaton Corporation
EMH Regional Healthcare System
26
Energizer
Ernst & Young LLP
Federal Reserve Bank of Cleveland
Fifth Third Bank Northeastern Ohio
FirstEnergy Corporation
FirstMerit Corporation
Forest City Enterprises, Inc.
Frantz Ward LLP
Gilbane Building Company
Great Lakes Science Center
Greater Cleveland Partnership
Greater Cleveland Regional
Transit Authority
The Albert M. Higley Co.
Hiram College
Huntington National Bank
Innogistics LLC
InfoCision Management Company
Invacare Corporation
Jones Day
Kaiser Permanente
Kent State University
KeyCorp
Lake Health
Lifebanc
The Lubrizol Corporation
Marous Brothers Construction
Medical Mutual of Ohio
Mercy Medical Center - Canton
Mercy Health Partners
The MetroHealth System
Museum of Contemporary Art Cleveland
Myers Industries, Inc.
NASA John H. Glenn Research Center
Nordson Corporation
Northeast Ohio Regional Sewer District
Olympic Steel, Inc.
Ozanne Construction Co., Inc.
Parker Hannifin Corporation
PlayhouseSquare Foundation
PNC Bank, Northern Ohio
Porter Wright Morris & Arthur LLP
PricewaterhouseCoopers LLP
Rock and Roll Hall of Fame and
Museum, Inc.
The Sherwin-Williams Company
Spero-Smith Investment Advisors, Inc.
Squire Sanders
Summa Health System
Taft Stettinius & Hollister LLP
Team NEO
Thompson Hine LLP
Time Warner Cable, Northeast Ohio
TLC Springwater of Ohio
Tucker Ellis LLP
Turner
U. S. Bank
Ulmer & Berne LLP
United Church of Christ
United Way of Greater Cleveland
University Circle Incorporated
University Hospitals
The University of Akron
Vertex Computer Systems
Walsh University
WEWS NewsChannel 5
WVIZ/PBS and 90.3 WCPN
ideastream
YMCA of Greater Cleveland
YWCA of Greater Cleveland
LOOKING AHEAD
In 2012, the Commission on Economic Inclusion will continue to
strengthen and complement its primary intervention strategies
through outcome-based partnerships. These strategies and our
associated current and future partners include:
Expanding our spectrum of access to capital resources: We will
pursue bringing an additional microlending fund to Northeast Ohio
with the addition of the Economic and Community Development
Initiative (ECDI) to complement our spectrum of current funding
sources—the WECO Fund, (micro lending); the MWV Pinnacle Fund
(venture capital); the Commission’s Access to Capital Fund (working
capital); and JumpStart (start-up investment).
Enhancing our successful minority business development programs:
The work of the Minority Business Accelerator 2.5+ and the U.S.
Department of Commerce Minority Business Development Agency
(MBDA) Minority Business Center-Cleveland, and our greatly
appreciated partners (COSE, JumpStart, the Northeast Ohio Hispanic
Chamber of Commerce, the Northern Ohio Minority Supplier
Diversity Council, Team NEO, and the WECO Fund), will be
enhanced by adding regional outreach service centers through
new partnerships with the Urban Leagues of Lorain and Akron.
Broadening services of the Minority Business Accelerator
Estimating Room: This valuable resource, sponsored by Forest City
Enterprises and located in the Terminal Tower, will be expanded
through a consortium of major local construction companies led by
Commission member The Albert M. Higley Company. The
consortium will offer a network of access points for minority
construction companies to prepare bids and manage their projects
while building relationships with prime contractors.
Offering diversity resources through national experts: We will
continue to provide enhanced programming and best practice
examples provided by the well-respected benchmarking and
consulting company DiversityInc and experts such as The
Kaleidoscope Group. We are grateful for the support of our
Commission members, which makes this possible.
Our efforts will continue to be focused on results and motivated by
our commitment to advancing inclusion and enhancing the economic
vitality of Northeast Ohio. We appreciate the ongoing support and
engagement of our members in this important work.
27
1240 Huron Road East
Cleveland, Ohio 44115
P: 216.621.3300
www.commission-inclusion.com
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