Defining Diversity, Opening Doors
With the Global Sullivan Principles as a guide, General Motors seeks to improve quality of life for its employees, their families and communities in which we operate.
General Motors and its leadership have a long history of commitment to diversity and equal employment opportunity. GM was the first automaker to launch a minority dealer initiative, a minority supplier initiative, and a women’s retail initiative.
GM's core value of individual respect and responsibility helps ensure a sustainable commitment to diversity and sets fundamental expectations for behaviors and actions that create an environment that allows everyone to fully contribute.
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GM's Diversity Strategy is built on a broad definition of diversity – much more than race, gender, and ethnicity. Our strategy encompasses such dimensions as age, family status, religion, sexual orientation, level of education, physical abilities, union representation, years of service, language, thinking styles, and personality type. "Many People, One GM, Now" reflects GM's global diversity commitment. We believe that our differences contribute to our ability to achieve common goals and objectives for total customer enthusiasm. Diversity at General Motors is defined as the collective mix of peoples’ differences in the workplace, society, families, and communities.
GM's diversity vision is to create an environment that naturally enables employees, suppliers, dealers, and communities worldwide to contribute fully to the pursuit of total customer enthusiasm.
GM's Diversity Initiatives has oversight for GM's long-term, comprehensive diversity strategy based on three guiding principles:
Specific leadership behaviors help drive integration of diversity principles into the business. These behaviors include:
In addition, supporting GM’s Diversity Strategy includes an extensive group of leaders and volunteers who are involved in the Diversity Network, such as:
Strategic champions – responsible for integration and alignment across all major interfaces (Consumers, Dealers, Employees, Communities, and Suppliers).
Diversity partners – Volunteers across GM who act as change agents and points of contact for information and resources.
Affinity Groups and Affinity Group Council – with over 3,000 members, GM’s Affinity Groups represent ten broad constituencies responsible for the recruitment, retention, and development of their constituents. They also support marketing and product development. Each Affinity Group has a senior leadership liaison acting as champion and mentor for its membership.
Leadership Liaisons – senior-level executives assigned to Affinity Groups, who provide advice and ideas about effective leadership within the context of GM culture, challenge the group to be successful, hold the groups accountable to add value and contribute to GM, probe for ways to show support, act as an advocate at leadership and management meetings, share learnings about constituencies with other executives, and finally learn about the constituency’s issues and concerns – understand and monitor group issues on an ongoing basis.
Diversity affiliates – a broad network of individuals who have indicated interest in receiving diversity materials.
Employee nexus group – This cross-functional group of individuals met for a two-day discussion about the diversity of functions within GM resulting in a powerful video series titled "Behavior x Results = Success.”
In 2005, Diversity Initiatives launched a diversity “Owner’s Manual” that is available to any employee and provides tools, information, and resources to build individual and organizational competence around diversity. In addition, Diversity Initiatives launched the new “Reaching Farther” award given to employees who demonstrate leadership, taking individual responsibility for driving diversity at GM. The communication strategy has been enhanced and the GM intranet web site is continually updated to provide a comprehensive set of resources for all GM employees. Diversity Initiatives has begun collecting success stories to demonstrate how diversity contributes to GM’s bottom line.
GM has a number of policies for guidance in this area:
Between 2000 and 2005, the Hispanic population in the United States grew 13.1 percent. During that time, Hispanic new light vehicle retail purchases increased 28.7 percent. As of 2005, Hispanics accounted for 14.2 percent of the U.S. population and 8.2 percent of new light vehicle retail sales. These numbers are enhanced with global population trends, particularly in the developing world. Globally diverse markets are GM's future.
GM's diversity markets growth strategy includes:
Consumer diversity is not only about ethnicity. In the UK, for example, Vauxhall Mobility has been the market leader, since 2000, in the supply of vehicles to disabled customers on the UK's Motability initiative. In excess of 40,000 cars are delivered to Motability customers by Vauxhall Mobility each year, supported by a specialist dedicated customer care center and more than 400 Motability accredited retailers.
GM was the first U.S. automaker to institute a structured minority dealer initiative. For more than 30 years, GM has been committed to growing a diverse and financially successful dealer network. Since 1972, GM has offered an industry-leading training program to minorities to help prepare them to become future dealers.
Today, more than 80 percent of GM's approximately 340 minority dealers own their dealerships outright. The selection process for identifying new dealerships has been standardized and aligned with GM field operations, nationwide. Additionally, GM launched the Women's Retail Initiative in January 2001, and is the only automaker to offer this assistance to help women become dealers. This initiative mirrors the Minority Dealer Program, focusing on recruitment, training, and placement. Today, GM has 265 women-owned dealerships.
For more information about the Dealer Development program, please visit www.identifythebest.com/GMDD.
GM's recruiting process strives to make globally diverse candidates aware of GM, attract them to the company, consider GM an employer of choice, commit to GM's vision, join the team, and be placed where they can fully contribute to total customer enthusiasm.
In the U.S., GM's recruiting efforts include campus recruiting and using experienced professionals. GM recruits 80 percent of all new college graduates, interns, and co-ops from Key Institutions and Key Recruiting Organizations (KRO). The remaining 20 percent come from local or niche schools. The teams involved in the recruiting process are made up of GM employees from various functions, positions, levels, schools, and service dates. The ten Affinity Groups play an important role and have made significant contributions toward the recruitment, retention, and development of GM employees.
The GM Talent Acquisition activity supports a number of Diversity Key Recruiting Organizations (for example, the Hispanic Engineer National Achievement Awards Conference, Women of Color, and Black Engineer of the Year Awards) who have conducted awards competitions each year since 1990. GM employees have participated and been recognized in many ceremonies at these prestigious national conferences.
In 2005, General Motors continued to lead the automotive industry in suppler diversity, spending $5.6 billion with U.S.-based minority suppliers, and raised the total to nearly $57 billion since the industry's first program was established in 1968.
GM has retained its supplier diversity-leadership position despite a continued reduction in U.S. vehicle sales which had, in some instances, influenced spending throughout the company. Compared to 2004, GM's minority spending dropped from $6.6 billion in 2004 to $5.6 billion in 2005.
GM's Tier 1 spending with minority suppliers dropped from
$4.2 billion in 2004 to $3.6 billion in 2005. Tier 2 minority spending dropped from $2.4 billion in 2004 to $2 billion in 2005.
Minority suppliers provide content and support services for a variety of important GM products, ranging from the new full-size trucks to the upcoming launch of three cross-over vehicles. GM tracks spending by ethnic minority, as certified by the National Minority Supplier Development Council. For 20 consecutive years, GM Tier 1 minority spending has been $1 billion or more.
In April 2005, GM awarded five minority suppliers with its Supplier of the Year award: Black River Plastics; Bridgewater Interiors LLC; MPS Group, Inc.; NYX, Inc.; and The Ideal Group, Inc.
Employees give back to various GM communities through their gifts of time and talent, participating with organizations and community groups that have value for them. GM supports this form of community investment, through volunteerism, and respects a philosophy of ‘personal time, personal choice' regarding how people choose to get involved in community needs and issues.
The GM Volunteer PLUS International program, which encourages GM employees to be involved in the communities where they live and work, continues to launch in new locations around the world. The program is now available to GM employees in Argentina, Australia, Brazil, Canada, Chile, Colombia, Ecuador, Germany, Kenya, Poland, South Korea, United Kingdom, United States, and Venezuela.
(See Economic Section: Community Investment for more details.)
In 2005, GM won the Michigan Governor’s Service Award for Volunteerism due, in part, to important new work with the GM Volunteer PLUS International program and internal partnerships leveraging employee relationships through GM Diversity Initiatives.
GM and the GM Foundation are reaching even farther by improving opportunities and community resources for civic engagement. YouthMove Michigan is one example. A pilot project with Youth Service America of Washington, D.C., YouthMove Michigan (www.youthmove.org) is a unique web site offering volunteer service activities for Michigan young people from all walks of life.
Additionally, collaboration with Domestic Corps of The Ross School of Business at the University of Michigan and the SOLV organization, the largest volunteer-based charity of the American northwest, has led to an innovative study for improving community engagement in the State of Michigan through episodic volunteerism. Called the 'Our Michigan' Project, students from the University of Michigan worked closely with SOLV of Oregon and the Michigan Community Service Commission to compile an assessment and business plan that will lead to the formal proposal of an enhanced model for volunteerism in the State of Michigan to benefit all diverse Michigan communities.
GM's Diversity Partners and employees demonstrated this model through a 2005 pilot activity on Make a Difference Day, partnering with SOLV and six local charities.
Acting as a catalyst, the SOLV pilot resulted in each charity managing a volunteer-based community activity that invited involvement not only from GM employees, but also from the stakeholder community at large. Locally driven, the end result had many facets, including:
Through community partnerships, new models of volunteerism and a commitment to diversity, GM is raising the bar on volunteerism while touching lives and making a difference. A few examples of external recognition for our performance are: