New York Times and Sunday Times bestselling author Linda Davies wrote this guest article for theglasshammer.com about how she succeeded as an investment banker and then made the leap from corporate life into full-time self employment as a novelist. This is surely a dream that many people share, but is it really that easy?
The GH: Linda, tell us about your career in finance in the city of London?
Linda: When I first stepped into the hallowed streets of the City of London as a callow twenty one year old graduate fresh out of Oxford, I only ever intended to stay for a few years.From when I was a little girl, I had always wanted to be a writer.Corporate life was a means to that end.
In the City, I had two objectives: one was to make as much money as I could legally in as short space of time as possible, and the second was to prove a point to myself and whoever I fancied might be watching.
The City lured you in with the promise of money but it had another USP that appealed to my young and foolish ego: it prided itself on its hair-cloth-shirt toughness, insinuating that you had to be something of a superhero to survive let alone thrive.
There weren’t any super heroines back then in the American investment bank I went to work for.I was the first woman they employed in European corporate finance.Back then, the glass ceiling was at entry-level and I was thrilled to have smashed it.
The work was an intellectual challenge, but the environment was not a fit for me..
Dealing in astronomical sums of money and being lavishly rewarded can be very corrupting, can lead you to think that you deserve the money, that you are entitled to the money, and that you need that amount of money to live a satisfactory life.
I had a plan and I stuck to it. I deviated occasionally and allowed myself indulgences, but the greatest indulgence of all is time and money buys time in my opinion. After seven years as a leveraged buyout and high-risk specialist, it was time to leave.
I had for several years been searching for a plot, and then, one day, I was sitting at my desk, feeling particularly annoyed with my boss, and wondering idly how much trouble I could cause financially, when the bare bones of a story leapt into my head.
It was a totally illegal plan, it would have made a lot of money, but I like to sleep easy at night, and so instead of doing it, I wrote about it. After six months, I knew that this plot could turn into a book.
I was young, free, and single. After seven years I had saved up enough money. It was time to take a risk, to turn my back on my large six-figure salary and bonus, and the status and security that went with it.
I remember the day I handed in my notice. I felt as if I had jumped out of an airplane without a parachute. It seemed like I was in freefall for weeks afterwards. It was a gloriously heady feeling.
The GH: Ok, so that is definitely a moment that some people would consider scary, possibly even risky! How did you go from quitting your day job to realizing your dream?
I wrote for 18 months, refining the plot until it was time to test the reality of my dream. Through a friend of a friend I was introduced to a literary agent. I went to see him, handed over my manuscript. It was a Thursday.
Then in some strange feat of serendipity, a kind of fortune favors the brave moment, a bizarre thing happened over the weekend.
About four months earlier, I had written a speculative letter to the Sunday Times, where I suggested writing an article about my experiences in the City. I was contacted a few weeks later by the editor of the Sunday Times Magazine who said absolutely, yes please, do write an article for us about what it is like to be a woman in that extremely testosterone-fuelled environment.
I had no idea when the article would appear, but, as luck would have it, it came out, covering six pages, on the Sunday immediately following my Thursday meeting with the literary agent.
This produced two rather wonderful and wholly anticipated results: one, an auction ensued amongst a number of publishing houses to buy my novel and two, I was contacted by about six different highly prestigious and successful financial boutiques and offered jobs (I have to say at this point, nothing in my article suggested that I wished to return to finance.)
This was 20 years ago.The book was Nest of Vipers – an adrenaline fuelled insight into the life of an investment banker, Sarah Jensen, who was recruited by the Governor of the Bank of England to go undercover in her investment bank to investigate an insider-trading ring that stretched from a central bank to the Mafia. Unbeknownst to her, she was also working for MI6.The novel went on to be published in over thirty territories and to be optioned three times for movies.
I am now on book number 13. Jumping out of my investment banking career had been a risk worth taking on every level.
The GH: What advice would you give our readers today?
I suspect that a number of you reading this are contemplating or have contemplated leaving the corporate system and so my advice to you would go along the following lines:
* While you are inside the system, be wary of buying into it and into the lifestyle to match it if you are intending to leave it, particularly in highly paid professions such as investment banking. Investment banking is a great way to amass money, but only if you do not spend like an investment banker.
* Many women in corporate life can still in some ways feel like outsiders. As the first woman employed by Bankers Trust’s European corporate finance department, I was patently and obviously an outsider and always felt like one. That was a real advantage. Relish and use that feeling. It gives you perspective, the ability to stand aside and look at your position and your broader options in the outside world and gives you greater flexibility in terms of the choices you might go on to make. There is no wonderfully set career path stretching out ahead of you. You have far greater freedom to make it up as you go along.
It’s been shown in personality tests/behavioral profiles that entrepreneurs are overwhelmingly outsiders. Being too wedded to corporate life can blunt your desire and ability to take risks with your career. Being an able quantifier of risk for your organization often does not extend to being able to quantify risk as regards your own life.
I’m a contrarian by nature and it’s led to some odd but potentially beneficial opportunities: the first was my Sunday Times article which I had thought was a very public exercise in boat-burning, in deliberately removing any fallback position, any hint of a Plan B should Plan A fail.I believed that the very absence of a Plan B would make me work harder to ensure Plan A worked!
How contrary was it then that my article and my attitude produced all these offers. I’m sure had I gone knocking on their doors the week before those same doors would have remained closed to me.
Being an author these days really means that you are an entrepreneur so a lot of my experiences and the lessons I have drawn from them can be applied across the spectrum to different areas of entrepreneurship besides writing.I hope some of these above might be of help.For those of you who are budding writers here are a few tips that have helped me.
* Write a whole draft before you begin editing.Writing and editing at the same time is a dispiriting and inhibiting process.Just get the first draft down and then you can play around with it.
* Make use of the most current technology to help you.I don’t type really well or very quickly but I have always typed out my novels on my desktop computer.However, just over a year ago, an old friend of mine who is an investigative journalist told me I was mad not to write about the story of my kidnap and detention in Iran.I started to think about it, suggested it to my agent who leapt at the idea.He said, look if you can write it in the next two months, we can publish it at the same time as your latest thriller, Ark Storm, which was due to be published nine months later.
Two months is a tight deadline, especially for someone who cannot type very well.So I did something I had been contemplating for a while.I installed Dragon Dictate voice recognition software on my computer.And I dictated the book, the memoir, which would go on to be called Hostage, Kidnapped on high seas, the true story my captivity in Iran.And I discovered a very welcome side benefit.I had wanted this memoir to sound much more intimate than my novels. I wanted it to read as if it were a tale being told at a dinner party perhaps to someone I had just met, one of those rare and special human beings who manage to elicit the most candid of confessionals.
And it worked. The act of dictating bypassed the overthinking intellectual part of my brain and turned out to be some of the best writing I have ever done. Instead of having to do my customary ten drafts I did only three.
If you are writing Instead of dictating, still read your work aloud. You will pick up many infelicities and awkwardnesses in the writing that silent reading and editing just will not detect.
We all know the maxim, write what you know, but also research and use what you know. Dictate great snatches of fabulous dialogue that you have heard in the workplace into your phone and then email them to yourself to save them and use them.This hones your ear for dialogue and also keeps fresh the characterizing lexicon of whatever workplace you happen to be in and will render your book much more immediate and real to readers.
Remember, everything is material. As I found during my seven years in the City, there’s always a silver lining.
Linda Davies’ latest book, Longbowgirl, a novel for children and Young Adults, is published on September 3rd by Chicken House Books.
To find out more about Linda and her novels and her memoir, Hostage, please see: www.lindadavies.com
www.longbowgirl.com
You can also find her on Twitter @LindaDaviesAuth
Thought Leader: Deborah Lorenzen, Managing Director & Chief Operating Officer, Global Product & Marketing; State Street Global Advisors
Thought LeadersSince 2008, acquiring talent in the financial services sector has largely been a buyer’s market, where it’s been easier for firms to pick and choose the talent they want to bring in. Consequently, they haven’t had to spend as much time or effort making sure people are enthusiastic about joining the firm. But, says Lorenzen, savvy firms know they need to be prepared for the next cycle, which she calls the “War for Talent.”
“We can dramatically improve the front end of our hiring process, but we don’t spend enough time on it,” she says.To that end, she is currently focused on improving three different phases of the talent acquisition cycle.
Making Job Descriptions More Inclusive
First, she says that job descriptions need an overhaul, recommending that they be stripped of corporate speak and made more gender neutral. “Beyond articulating the job requirements, job descriptions are a marketing document, since they are read by hundreds of people who never even apply,” she says. “The majority of those who read them are people in my industry, and I want to leave them with a positive impression of my company.”
One remedy is tools that use an analytical perspective to identify which words attract which people by mapping the factors of a job description that ultimately led to a certain type of hire.
Entering existing job descriptions into the tool yields instant feedback, such as which words are likely to attract female or male candidates, which can then be used to incorporate more balanced verbiage. One lesser-known fact is that if your job description is filled with acronyms, research shows that men are more likely to apply even if they don’t understand the corporate jargon.
“We’re excluding large swaths of the population by how we word things,” Lorenzen says.
Maintaining Consistency Throughout the Interview Process
While competency-based interviews have become the norm, there is still a need to improve consistency. To that end, Lorenzen has helped create tools that lead to better interviews. Managers can quickly select the key competencies for the job they are filling, which brings up a set of pre-worded questions that will give them insight into candidates by prompting specific, measurable examples specific to that skill, such as “Give me an example of a time that you displayed teamwork.” For a trait such as global acumen, managers can choose different questions based on the depth of expertise required by the position level.
After key questions are chosen and position specific questions are added, the manager then can print out the job interview form and use it consistently with all of their candidates. “It allows them to compare apples to apples rather than having different experiences with different people,” she says. “The tools should be intuitive so we set our managers up for success.”
Pre-boarding for Success
In the United States, there is typically a two-week lag from when someone accepts the job until they actually start. In other parts of the world, people might have up to 90 days, a lengthy transition period when companies must engage with their future employees throughout the gap.
Among the support her division supplies are links to company information, “acronym decoders” and details on what to expect the first day. “This is about emotional engagement, so our new hires believe they have made the best decision of their career.”
For example, new employees will learn what to expect on the first day, and what activities to expect in the first 10 days. Setting expectations improves time-to-productivity, which is a key metric for the business.
Another key component of pre-boarding is discussing the wide variety of Employee Resource Groups available. “We want them to know that our company is proud of our diversity and whatever their gender, orientation, culture or background, there’s someone like them here already.”
Data Analytics Drive Decisions
In addition to a focus on better hiring, Lorenzen is immersed in technology infrastructure and data analytics. “Data is the key to understanding both our current environment and our next move,” she says. We can use data to identify products which are high performers and which aren’t meeting expectations, and track those products in real time.
Since decision science is a relatively new field, Lorenzen and her team are constantly tasked with finding the best talent. “They have to come in with diversity of thought, which comes from diversity of experience,” she says. “We must have a variety of perspectives in the room since there’s constant demand to improve the technology architecture.”
A Word for Women
Finally, Lorenzen believes that women have a special role in the industry to help others. And while she sees this as a responsibility, the rewards are mutual. “It gives me great joy to watch young people come up in the organization,” she says.
And she adds, there are few industries that are more competitive. “People are always going to be looking to take you out, but it’s not because you’re a girl, it is because you are competition. We need to raise our voices, as uncomfortable and dangerous as it can feel, when we see bias.” Why? Because for our businesses to thrive in this rapidly changing landscape we need the smartest, most innovative team we can muster, which by definition brings a diversity of thought to the table. This is an obligation for senior executives, including women.
The views expressed in this material are the views of Deborah Lorenzen of State Street Global Advisors through the period ended April 13, 2016.
The whole or any part of this work may not be reproduced, copied or transmitted or any of its contents disclosed to third parties without State Street express written consent.
State Street Corporation, One Lincoln Street, Boston, MA 02111-2900
© 2016 State Street Corporation – All Rights Reserved
Adopting the Premortem Technique to Enhance Your Career
LeadershipRead more
Is it time for a vacation?
Career Advice, Career Tip of the Week!Science indicates that breaks help increase productivity and whilst short breaks during your working day may improve concentration, longer breaks and vacations can improve overall job performance. They help improve the state of our mental health by giving us better life perspective and making us more motivated to achieve our goals when we return to work.
So, my advice this week is to take more vacations, as recharging your batteries can make you more productive! On that note, whilst I’m on vacation in Florida, Career Tip will return next week.
By Nicki Gilmour, Executive Coach and Organizational Psychologist
Contact nicki@glasshammer2.wpengine.com if you would like to hire an executive coach to help you navigate the path to optimal personal success at work
Change Leader: A Q&A with Christine Hurtsellers, CIO Fixed Income, Voya
Thought LeadersNicki: What has changed since we last interviewed you back in 2010?
Christine: I still have the same role, however, following our IPO in May 2013 and separation from ING Group, we rebranded as Voya. It’s been an exciting process to define Voya’s values and recalibrate our investment policies. In 2015, Pensions & Investments Magazine named Voya IM one of its “2015 Best Places to Work in Money Management” list for the first time. The firm also recently received distinction as one of the World’s Most Ethical Companies® by the Ethisphere Institute for the third year in a row.
Nicki: Why do you think it is so important to help advance good talent, including more women in the industry?
Christine: I am passionate about making the investment industry better. I want to help rising stars in the industry that are women and provide them with a toolkit. I believe that women can be phenomenal investors, and I want to challenge and speak with them to help them grow as thoughtful investors. People entering this industry are looking for more than a paycheck. They value experience and want to work for places that are more values-based. I think it is great that millennials are thinking way more about linking their values to their workplace experience than previous generations.
Nicki: What is your advice to someone entering the industry or who is in the early stages of her career?
Christine: The cost of doing business is increasing and as a result we will see some consolidation. Some products are becoming more commoditized with ETFs showing up more for retail investors on that side of the business. It is an interesting time to be in the industry as institutional clients look for unique, customized approaches for their portfolio. The road is becoming more and more bifurcated. For people entering the industry, there is a temptation to become specialized early at a boutique firm. I believe it is critical to stay flexible to learn a variety of skills for the first 8-9 years of your career. My advice is to look for companies with multi-dimensional businesses to give yourself that opportunity.
Nicki: You recounted to me how one time a woman said you were an unrealistic role model. How did that make you feel?
Christine: I don’t want to be the poster child for women at work because I have five kids and I run marathons, that isn’t everyone’s version of life. How do we lift as we climb? That is the bigger question, and I think the answer is to share with people my failures and some of the decisions I have made. I try to be real and make sure my advice is very content oriented about the markets and investing. By challenging and teaching people, I can be a better role model. Lastly, if I can use my network to help women and make appropriate introductions, then I know I am walking the talk.
I try to hire women and I use my network because a long time ago a woman did the same for me and she was instrumental in helping me get my next job. She was in fixed income sales and she introduced me to many clients and people in the industry. This was crucial in me securing my next role at what is now Alliance Bernstein
Looking out for each other in times of trials is so important. To have someone put her credibility on the line and say “hey, talk to this person” is incredible, and this woman did that for me, so I want to pay it forward.
Nicki: How do we ensure other leaders are as accountable as they think they are for real change?
Christine: I think the best way to engage leaders in the discussion of having diversity in their teams is to challenge them to think about what they do to shape the culture.
Sometimes it isn’t obvious to other leaders that they need to create pathways and a culture for success for women that goes beyond mentioning their women’s network and other HR policies.
I want to see accountability for diversity, and if I start with the numbers – literally asking how many women are in senior roles – then it usually opens up an honest conversation with most male leaders to think more about how they can approach hiring and developing more women.
Nicki: How have you successfully built relationships in the industry – both within your firm and with people in other firms?
Christine: Networking can be such an implicit action; it’s just something we do. You meet interesting people along the way and share relevant insights with them – add value to the other person and they will reciprocate – like in a marriage you have to love and you have to love first.
I joined the Treasury Borrowing Advisory Committee in 2014 and I am enjoying working with really talented and intelligent people on a very interesting subject that has real consequences. I work at leaning in with them. Sending an article to a small group who share common interests, dropping them a note from time to time. It is about contributing as best as you can to further the task and mission. Building relationships is ongoing, and it is an honor to work with such great people providing recommendations to Treasury on a variety of debt management issues.
Nicki: Do women help other women at work?
Christine: I would go as far as saying that I believe that women help women in tough situations, more than men help other men. It is also important to look for your advocates in male and female leaders as I have great examples of how men have believed in me. Rob Leary, now CEO at TIAA Asset Management, was the person who gave me the job at Voya. I wasn’t the most obvious candidate, and he took a risk on me. He knew I was great with people and an exceptional investor, and I delivered for him.
Nicki: What is the one thing you know now that you wish you had known when you were first starting your career?
Christine: I went it alone for a long time. The power of networking peers and mentoring is something I wish I had considered when I started my career. I wish I had focused more on the quality of management, their values and ethics, and the culture they create at the company.
In life, you take every opportunity and you learn – in careers, as long as you maximize learning, you are on the right path. I ended up fine tuning my experience in mortgage derivatives when I made a move to Freddie Mac. Many advised me against it, but I knew it was important for me to spend more time with my family as previously I wasn’t seeing them from Sunday night to Friday afternoon. I learned so much. It meant I could come to Voya due to my deep knowledge, and for my life at that time it meant my family and I could be happy, which is of course really important.
It’s about making the best out of any experience.
Christine is also a panelist at our upcoming event – theglasshammer.com’s 5th Annual Navigating your career event on May 4th 2016.
Apples-to-Apples, the Gender Pay Gap Exists
Career Advice, Gender Pay Gap, Money Talks, This Month's FeatureAccording to the Demystifying The Gender Pay Gap survey by Glassdoor, the biggest myth about the gender pay gap is that it doesn’t exist at all, as 7 in 10 employees across seven countries assumed men and women received the same pay for the same work. But even when narrowed down to an apples-to-apples comparison within companies, researchers found a significant gender gap exists.
The Apples-to-Oranges Gap
Every time the gender pay gap comes up, it seems we have the apples-to-oranges data and the apples-to-apples data. Apples-to-oranges data compares men’s earnings to women’s earnings without breaking down the factors at play.
The recent Catalyst data summary of Women’s Earnings And Income reports that in the U.S. in 2014, women earned 79% as much as men in annual earnings. Based on Census data of median weekly earnings in 2015, full-time working women earned 81% as much as men, but only 72% as much within full-time management, professional, and related occupations.
Data has shown that female income tends to level off around age 35-40, as gendered workplace penalties reach full swing, while male income doesn’t level until 50-55 years old. The American Association of University Women reports that “women are typically paid about 90 percent of what men are paid until around the age of 35, at which point median earnings for women start to grow much more slowly than median earnings for men. From around age 35 through retirement, women are typically paid 75 to 80 percent of what men are paid.”
This difference has a significant impact on women’s lives, resulting in an average of $10,800 less in annual earnings, or nearly a half million dollars across a career, and a dramatically lower retirement security (44% less median income) for longer-living women, which ultimately spells an economy issue.
The Apples-to-Apples Gap
In their recent survey, Glassdoor created apples-to-apples salary comparisons by factoring in “differences in education, experience, age, location, job title, industry and even company.”
In the U.S, they found an apples-to-oranges 24% pay gap, or that women earned 76% as much as men. When they controlled for age, education, and years of experience, the gap was 19%.
When they looked at the same job title at the same employer at the same location, the highly “adjusted”apples-to-apples gap was still 5.4% – women earned 94.6 cents on the dollar of her male peer sitting next to her.
For a full-time working woman at median earnings, that’s a $2,140 loss per year. But for a woman who earns $100,000 a year, the loss is $5,400 annually.
The “adjusted gap”also increased with age – 6.2% at 35-44 years old, 9.5% at 45-54 years old, and 10.5% at 55-64 years old.
Among industries, the “adjusted”pay gap for insurance was among the biggest at 7.2% and finance was 6.4%. Among occupations, C-Suite professionals had one of the largest gender pay gaps (27.7%).
Apples-to-Oranges Is Still a Gender Bias Issue
Gender bias is still a significant driver of an apples and oranges comparison – it’s a big factor of the context that makes the difference exist at all.
According to Robert Hohman, CEO of Glassdoor, “occupational sorting”explains 54% of the overall “unadjusted”pay gap – the sorting of men and women into different industries and different roles in the economy, through non-subtle and subtle societal influences.
Education and experience were minor factors of explanation (14%). In fact, an April Gender Pay Inequality report from the U.S. Congress Joint Economic Committee stated, “The typical woman with a graduate degree earns $5,000 less than the typical man with a bachelor’s degree,”and that “women’s median earnings are lower at every level of education.”
Sincerity Is Transparency
The gender pay gap has been stagnant for the last decade 2006 to 2015 (change was 20 times faster in the preceding decade) and is not except to close until 2059.
Recent executive proposals by President Obama to target the gender pay gap by having the Equal Employment Opportunity Commission collect companies salary data has prompted reactions of government overreach, but the overall intention is to get targeted with a persistent problem.
As long as the persistent gender gap belongs to everyone, it belongs to nobody, and that’s why transparency matters. 70% of employees feel salary transparency is good for employee satisfaction and for business.
Certainly, a pointed finger sparks transparency, especially if it’s being pointed publicly or by shareholders, and especially if there’s nothing to hide. With the recent Glassdoor finding that female computer programmers experience one of the highest “adjusted”occupation pay gaps at 28.3%, the big names in Tech have been coming out to champion their equal pay.
On Monday, both Facebook and Microsoft announced publicly that men and women earn equally at their companies. Amazon and Apple have publicly stated similar findings based on employee pay surveys, prompted by shareholder proposals requesting disclosure of pay equity assessments, filed or co-filed by Pax World. Intel also shared their equal pay findings recently.
Now what if companies began to feel the same external pressure to disclose their C-Suite pay findings around that whopping 27.7% discrepancy?
When it comes to the gender pay gap, it seems the only real language of sincerity is indeed transparency, and companies have the chance now to use it.
By Aimee Hansen
Mover and Shaker: Christine Molloy, Manager, Accenture Consulting
Movers and ShakersMolloy understands what it takes to continue to raise through the ranks in her career as she comments,
“Many of my assumptions entering the corporate world were around work-life balance. In the beginning of my career, I believed the more I worked, the faster I would stand out and get ahead. I quickly realized this was old thinking – working smart and taking time to focus on your own well-being are extremely important to creating a successful career path.”
When asked about professional achievements so far, she replied,
“I am proud of several professional achievements I have had throughout my career. The ones that stand out most are when I have brought teams together to deliver great outcomes and, subsequently, when clients have been the most satisfied. I think it is about adding value.”
She goes on to give an example of having been a member of a team across geographies that was working across multiple US states, as well as Canada and India. The team had been working to solve a complex problem for a client and the team was struggling to integrate together around the task. Molloy comments,
“I guided the group to come together as a team, realize common ground and deliver a solution that was agreeable to all and beneficial to the client – and that felt like I added a lot of value.”
She also talks about a recent project that she has just completed, which consisted of a SAP Customer Information System and business intelligence implementation project for a large utility project. She states,
“This was such an exciting project because I got to work on it from the early stages through to a successful go-live. I was responsible for consolidating two systems into a single solution to improve operational efficiency and enhance customer experience. The nature of the work was complex and rewarding since my client was an early adopter of the technology.”
Molloy repeatedly cites her strong team and a good company as a key element in her success and also mentions sponsorship as playing a significant role in her career. She states,
“I would not be where I am today if it was not for the mentors and sponsors who have helped guide me. Everyone needs a strong team of support but, in many cases, you will have to seek out and identify mentors and sponsors that will be there for you along the way. “
Equally she recognized that it is important to take the time to support and mentor others,
“My father, now retired, taught me what it means to be a leader, to work hard and also to put family first. I owe my leadership skills to him and I know that as I continue to learn, build my network and give back to those around me, I too will be successful.”
Molloy states that she has learned the most from working with a diverse array of people, on her own teams at Accenture, with clients and with other people she interacts with daily. She enjoys working with people who have different ways of working, who expect the highest performance and people in different geographies with cultural nuances. She states,
“Working alongside people with a variety of differences can be difficult but, ultimately, it improved my listening skills, increased my flexibility and taught me how to better apply my own social style.”
Accenture has numerous programs and initiatives across the company to support women in succeeding and advancing and personally Molloy is involved with the Miami Women’s Enterprise Resource Group. She comments,
“We have a strong network of women within the company and in our local community. As a part of this, I lead several local women’s groups at different client sites to encourage our women to collaborate and learn from one another in the communities that we work in while traveling.”
Molloy is also the corporate citizenship lead for Accenture’s Miami office and is currently working with a nonprofit partner called Covenant House Florida on several exciting initiatives. Covenant House is a homeless shelter for youth that served more than 51,000 youth last year across 6 countries and 21 cities in North America, providing nearly 700,000 nights of shelter.
She excitedly shared that in a few months, Accenture volunteers will be helping them roll out a STEM (Science, Technology, Engineering and Math) awareness program. “I currently lead a mock interview initiative where we bring Accenture volunteers to the nonprofit to work one-on-one with disadvantaged youth to prepare them for job interviews and the working world.”
She lives in Fort Lauderdale, FL with her husband and enjoys paddle boarding, traveling and spending time at the beach.
Are Investors the key to increasing the number of women leaders?
Career Advice, Leadership, This Month's FeatureFor nine years theglasshammer has reported on the stagnant numbers of women on boards and in senior management. Yet there is an ever growing body of research the latest of which comes from McKinsey in January 2015 that shows that companies which commit to diverse leadership are more likely to have financial returns as much as 35 percent above their national industry median.
So, why is there still a disconnect? What can give companies the carrot or the stick that they need to do better beyond fluffy aspirational goals and lip service when it comes to promoting women?
One group that can help create change are investors. State Street’s newly launched ETF index fund – the SSGA SPDR SHE Gender Diversity ETF as well as the Sallie Krawcheck endorsed fund – the PAX Ellevate Fund allows for options when as an investor you want to see companies hire and promote women into senior leadership.
So what has changed?
Simply put, there are three things that are changing the game:
Firstly, data for who is on boards and in senior management team has only been relatively newly available. BoardEX and MSCI have dedicated teams to produce independent data on the gender breakdown of large companies’ executive teams.
Secondly, the continued bifurcation of the market is providing more choice for investors. ETFs and other passively managed and more commoditized products are in direct conjunction with more actively managed fund approaches and is certainly driving down costs and increasing transparency.
Thirdly, investors want to live their values and are more aware of what their values are
We aren’t just talking about a handful of aware women putting a few dollars into their pension plan. The California State Teachers’ Retirement System (CalSTRS) announced its initial investment of $250 million in the SSGA Gender Diversity Index, a large- cap U.S. stock index primarily tilted toward companies with a greater than usual number of women in senior leadership positions.
CalSTRS Chief Investment Officer Christopher J. Ailman. “We are entering a new era of impact investing — one based on looking for values or purpose that generate investment returns based on diversity of thoughts and perspectives, while also creating change with our capital. I believe it’s time to change the face of Wall Street and corporate America.”
What is the SHE index?
The SHE index itself is an index which is based on a methodology involving measuring the number of women at senior management levels in the largest firms.
The resulting product is an ETF that tracks a newly created, proprietary gender diversity index comprised of the largest companies in the US with senior women leaders relative to other firms within their sector. Rather than wait for companies to take action themselves or rely on legislation to be enacted, SHE provides a way for people to fight the gender gap directly by investing in companies that put a premium on women in leadership positions.
Jennifer Bender, Managing Director and creator of the SHE index explained to theglasshammer.com that prior to launching this ETF product, Statestreet has been working with rule based large data sets on the institutional side of the business. She comments that it seemed like a natural transition to provide retail investors with the same ability. She comments,
“If investors want to vote with their feet plus get the long term equity return they are looking for then this product allows them to do this.”
When asked about how the companies are picked for the index, Jenn Bender explains that top firms are picked to meet specific criteria using independent research. She explains,
“We want the index to be sector constrained so that we have similar sector weights as the US large cap universe which ensures we have a diverse group of industries represented. The companies in our index have the highest ratios of female senior managers in their sector. “
Walking the talk
Allison Quirk, executive vice president and chief human resources and citizenship officerat State Street believes that it is another way to tackle gender equality work.
When asked about the new SHE index, she sees the importance of reflecting the work State Street continues to do the inside to create that pipeline of female leaders with an external commercial product that aligns with the State Street culture. She comments,
“It is good for business to ensure women have what they need to navigate – it is our responsibility to engage the entire talent pool to ensure a sustainable pipeline of female leaders. We have eighteen female EVPs now who each sponsor other women just below them, this effort along with our male colleagues taking the lead also on mentoring and sponsoring women, means that we really believe we will see the rewards of paying it forward. “
With 27% of their SVP’s and 23% of their EVP’s being women, it seems that this firm is taking gender parity seriously.
State Street’s SHE fund also has an innovative charitable component to it that focuses on the next generation of women leaders. The company will take a portion of revenues and direct them to the newly created Donor Advised Fund, which will in turn support organizations that inspire and equip girls to be future business leaders – particularly in industries where women have low representation today, such as STEM (Science, Technology, Engineering and Math).
Pipeline at all levels is what more firms need to think about.
Power – How Do You Feel About This Word?
Career Advice, Career Tip of the Week!Power is sometimes seen as a dirty word for women and many will tell you that they do not want it (even if their data says otherwise), yet power is really just another word for authority and control over what you are responsible for delivering. You should want some power, as otherwise you might find you lack the resources to follow through on your remit.
Own your personal power as you see fit, but at work it is equally important to ensure your authority to execute on a task is aligned with the level of responsibility you have to see it all get done!
By Nicki Gilmour, Executive Coach and Organizational Psychologist
Contact nicki@glasshammer2.wpengine.com if you would like to hire an executive coach to help you navigate the path to optimal personal success at work
Voice of Experience: Wendy Mahmouzian, America’s Head of Corporate Services and Real Estate and Global Head of Hospitality, Goldman Sachs
Voices of Experience“You have to understand that we’re all somewhere different on the work/life spectrum, and there’s no one answer to the question on how to achieve balance. It’s up to you to determine what it takes to make you feel comfortable and allow you to bring your best self to work,” she says. “It might be your family, sports, culture or education that allows you to achieve that balance, enabling you to bring 100 percent of yourself to work and perform at your best.”
For Mahmouzian, performing at her best has meant constantly learning new skills and being willing to take on new challenges, all while continuously looking for ways to solve problems and create new opportunities for clients. During her 20-year career at Goldman Sachs, she has spent the latter half with the Corporate Services and Real Estate (CSRE) team, first as global chief of staff and now as head of the team for the Americas and global head of hospitality. She joined the firm in the Global Investment Research division and subsequently co-managed the Securities e-Commerce group. Common themes in all of her positions have been contributing to transformative change and enhancing engagement with clients.
A Diverse Set of Priorities That Range From Crisis Response to Sustainability
One of Mahmouzian’s most significant undertakings was leading the team in 2009 that opened the firm’s world headquarters at 200 West Street, overseeing the startup of operations and multi-month migration of employees to the new building. Ensuring that everyone in the new headquarters could be productive on day one was a significant undertaking.
She remains focused on improving the firm’s workplace strategy to respond to business needs and creating a high-performance environment that enables the flow of business, promotes client engagement, maximizes productivity and reflects the firm’s commitment to sustainability and inclusion. She is currently involved in a number of projects, including refurbishing existing buildings, developing new campuses and ensuring that the firm’s spaces meet the needs of employees, clients and guests.
Reviewing past milestones, Mahmouzian notes the vital role her team plays in supporting the firm during key events, including Superstorm Sandy. During the 2012 storm, she organized the team that managed the firm’s response. “We focused on protecting the firm’s assets, particularly its people, and making sure that the business remained up and running throughout the storm and its aftermath,” says Mahmouzian. “The intersection of planning, communication, managing risk and being nimble enabled the team to ensure the firm’s business continuity and was a hallmark of our response.”
Mahmouzian also helps manage the firm’s environmental and operational impacts through innovative strategies in energy efficiency, investments in green building and initiatives to ensure a sustainable and inclusive supply chain.
Advice Along the Career Ladder
For Mahmouzian, patience and listening were skills she developed over time, but she also notes the importance of individuals’ establishing their own voice and speaking up. “You have to learn how to balance soliciting the opinions of team members with articulating your own view as well,” she says.
She also advises women, especially those early in their careers, not to be deterred by a historically male-dominated field like real estate, but to seek as role models more experienced women who have succeeded professionally in the space. “Your capabilities will make you successful, so don’t be intimidated by a room full of people that look different from you.”
While Mahmouzian also supports hospitality, a typically female-dominated field, she says it’s important for both hospitality and real estate to cast a wide net and seek diverse talent that is accretive to the team and delivers for clients.
“Embrace the strengths of those around you and use them to your advantage – engage, encourage and enable,” she says, adding that as she has become more senior, a big part of her job is supporting high-potential talent and creating a platform for their success.
Helping Evolve Women’s Initiatives
One of the projects that Mahmouzian undertook in the CSRE division was to help formalize the division’s women’s network. A cornerstone of this effort was establishing a signature women’s conference that features speakers and a wide range of professional development initiatives to enhance participants’ skills. Over the years this conference has evolved into a global event via video conferencing. She is also proud that many male colleagues have increased their attendance and advocacy. “It’s gratifying that they are eager to support and sustain broader efforts to advance women in the firm,” she noted.
Work/Family Balance Comes From Being Present in the Moment
For Mahmouzian, balance depends on being present in the moment. “With today’s technology, demands are coming from all different angles, and we need to remember that five minutes of focused attention on a challenge or in a discussion will yield a better outcome than an hour of distracted work. Take the time to listen, interpret and have a clear mind,” she says.
She brings that ethic home to her husband and two daughters, whom she calls her “support network.” Being present in the moment is the best way to ensure we have quality time, she says, adding that they love to ski and value the time they spend together as a family.
Superstorm Sandy offered a situation that allowed her to test the merits of this approach. Her family understood that she needed to continue working throughout the weekend in response to the storm: “They knew that in this crisis, my focus was to protect the firm and our people, and they gave me the freedom to do what I needed to do.” As the crisis subsided, her work team returned the favor, ensuring she could hand over the reins to be with her family. “Being present is the cornerstone of success, whether it’s work or family.”
Intrepid Woman: Linda Davies, Banker to Bestselling Author
Intrepid Women SeriesThe GH: Linda, tell us about your career in finance in the city of London?
Linda: When I first stepped into the hallowed streets of the City of London as a callow twenty one year old graduate fresh out of Oxford, I only ever intended to stay for a few years.From when I was a little girl, I had always wanted to be a writer.Corporate life was a means to that end.
In the City, I had two objectives: one was to make as much money as I could legally in as short space of time as possible, and the second was to prove a point to myself and whoever I fancied might be watching.
The City lured you in with the promise of money but it had another USP that appealed to my young and foolish ego: it prided itself on its hair-cloth-shirt toughness, insinuating that you had to be something of a superhero to survive let alone thrive.
There weren’t any super heroines back then in the American investment bank I went to work for.I was the first woman they employed in European corporate finance.Back then, the glass ceiling was at entry-level and I was thrilled to have smashed it.
The work was an intellectual challenge, but the environment was not a fit for me..
Dealing in astronomical sums of money and being lavishly rewarded can be very corrupting, can lead you to think that you deserve the money, that you are entitled to the money, and that you need that amount of money to live a satisfactory life.
I had a plan and I stuck to it. I deviated occasionally and allowed myself indulgences, but the greatest indulgence of all is time and money buys time in my opinion. After seven years as a leveraged buyout and high-risk specialist, it was time to leave.
I had for several years been searching for a plot, and then, one day, I was sitting at my desk, feeling particularly annoyed with my boss, and wondering idly how much trouble I could cause financially, when the bare bones of a story leapt into my head.
It was a totally illegal plan, it would have made a lot of money, but I like to sleep easy at night, and so instead of doing it, I wrote about it. After six months, I knew that this plot could turn into a book.
I was young, free, and single. After seven years I had saved up enough money. It was time to take a risk, to turn my back on my large six-figure salary and bonus, and the status and security that went with it.
I remember the day I handed in my notice. I felt as if I had jumped out of an airplane without a parachute. It seemed like I was in freefall for weeks afterwards. It was a gloriously heady feeling.
The GH: Ok, so that is definitely a moment that some people would consider scary, possibly even risky! How did you go from quitting your day job to realizing your dream?
I wrote for 18 months, refining the plot until it was time to test the reality of my dream. Through a friend of a friend I was introduced to a literary agent. I went to see him, handed over my manuscript. It was a Thursday.
Then in some strange feat of serendipity, a kind of fortune favors the brave moment, a bizarre thing happened over the weekend.
About four months earlier, I had written a speculative letter to the Sunday Times, where I suggested writing an article about my experiences in the City. I was contacted a few weeks later by the editor of the Sunday Times Magazine who said absolutely, yes please, do write an article for us about what it is like to be a woman in that extremely testosterone-fuelled environment.
I had no idea when the article would appear, but, as luck would have it, it came out, covering six pages, on the Sunday immediately following my Thursday meeting with the literary agent.
This produced two rather wonderful and wholly anticipated results: one, an auction ensued amongst a number of publishing houses to buy my novel and two, I was contacted by about six different highly prestigious and successful financial boutiques and offered jobs (I have to say at this point, nothing in my article suggested that I wished to return to finance.)
This was 20 years ago.The book was Nest of Vipers – an adrenaline fuelled insight into the life of an investment banker, Sarah Jensen, who was recruited by the Governor of the Bank of England to go undercover in her investment bank to investigate an insider-trading ring that stretched from a central bank to the Mafia. Unbeknownst to her, she was also working for MI6.The novel went on to be published in over thirty territories and to be optioned three times for movies.
I am now on book number 13. Jumping out of my investment banking career had been a risk worth taking on every level.
The GH: What advice would you give our readers today?
I suspect that a number of you reading this are contemplating or have contemplated leaving the corporate system and so my advice to you would go along the following lines:
* While you are inside the system, be wary of buying into it and into the lifestyle to match it if you are intending to leave it, particularly in highly paid professions such as investment banking. Investment banking is a great way to amass money, but only if you do not spend like an investment banker.
* Many women in corporate life can still in some ways feel like outsiders. As the first woman employed by Bankers Trust’s European corporate finance department, I was patently and obviously an outsider and always felt like one. That was a real advantage. Relish and use that feeling. It gives you perspective, the ability to stand aside and look at your position and your broader options in the outside world and gives you greater flexibility in terms of the choices you might go on to make. There is no wonderfully set career path stretching out ahead of you. You have far greater freedom to make it up as you go along.
It’s been shown in personality tests/behavioral profiles that entrepreneurs are overwhelmingly outsiders. Being too wedded to corporate life can blunt your desire and ability to take risks with your career. Being an able quantifier of risk for your organization often does not extend to being able to quantify risk as regards your own life.
I’m a contrarian by nature and it’s led to some odd but potentially beneficial opportunities: the first was my Sunday Times article which I had thought was a very public exercise in boat-burning, in deliberately removing any fallback position, any hint of a Plan B should Plan A fail.I believed that the very absence of a Plan B would make me work harder to ensure Plan A worked!
How contrary was it then that my article and my attitude produced all these offers. I’m sure had I gone knocking on their doors the week before those same doors would have remained closed to me.
Being an author these days really means that you are an entrepreneur so a lot of my experiences and the lessons I have drawn from them can be applied across the spectrum to different areas of entrepreneurship besides writing.I hope some of these above might be of help.For those of you who are budding writers here are a few tips that have helped me.
* Write a whole draft before you begin editing.Writing and editing at the same time is a dispiriting and inhibiting process.Just get the first draft down and then you can play around with it.
* Make use of the most current technology to help you.I don’t type really well or very quickly but I have always typed out my novels on my desktop computer.However, just over a year ago, an old friend of mine who is an investigative journalist told me I was mad not to write about the story of my kidnap and detention in Iran.I started to think about it, suggested it to my agent who leapt at the idea.He said, look if you can write it in the next two months, we can publish it at the same time as your latest thriller, Ark Storm, which was due to be published nine months later.
Two months is a tight deadline, especially for someone who cannot type very well.So I did something I had been contemplating for a while.I installed Dragon Dictate voice recognition software on my computer.And I dictated the book, the memoir, which would go on to be called Hostage, Kidnapped on high seas, the true story my captivity in Iran.And I discovered a very welcome side benefit.I had wanted this memoir to sound much more intimate than my novels. I wanted it to read as if it were a tale being told at a dinner party perhaps to someone I had just met, one of those rare and special human beings who manage to elicit the most candid of confessionals.
And it worked. The act of dictating bypassed the overthinking intellectual part of my brain and turned out to be some of the best writing I have ever done. Instead of having to do my customary ten drafts I did only three.
If you are writing Instead of dictating, still read your work aloud. You will pick up many infelicities and awkwardnesses in the writing that silent reading and editing just will not detect.
We all know the maxim, write what you know, but also research and use what you know. Dictate great snatches of fabulous dialogue that you have heard in the workplace into your phone and then email them to yourself to save them and use them.This hones your ear for dialogue and also keeps fresh the characterizing lexicon of whatever workplace you happen to be in and will render your book much more immediate and real to readers.
Remember, everything is material. As I found during my seven years in the City, there’s always a silver lining.
Linda Davies’ latest book, Longbowgirl, a novel for children and Young Adults, is published on September 3rd by Chicken House Books.
To find out more about Linda and her novels and her memoir, Hostage, please see: www.lindadavies.com
www.longbowgirl.com
You can also find her on Twitter @LindaDaviesAuth