As we launch the IFoA’s first diversity, equity and inclusion (DEI) demographics survey for IFoA volunteers, we talk to members of the Finance and Investment Board (F&I Board) about the importance of data in DEI and their journey so far.
Clara Hughes, Head of Automation and Insight at the Pensions Insurance Corporation (PIC), is Chair of the F&I Board.
Sophie Wright is a member of the F&I Board and Risk Management Board. Sophie is also a Risk and Strategy adviser with various organisations including the International Banking Federation and European Women on Boards.
Peter Towers is a member of the F&I Board and Head of Financial Regulation Planning and Industry Funding at the Central Bank of Ireland.
Clara, Sophie and Peter, we are gathering diversity demographics data from our full suite of IFoA volunteers for the first time. Why is data so important in supporting DEI?
Clara: It’s key to start with a clear picture of where we are as an organisation, then build on that baseline to make tangible progress we can measure. That’s why gathering and publishing diversity monitoring data is one of the cornerstones of the IFoA’s DEI strategy.
Sophie: That’s exactly right – a proactive DEI approach requires a couple of core factors: an awareness mindset, so that we are mindful of our individual differences and the potential composition of our practice areas and corporate groups, and transparent information about the actual composition of our volunteers.
Normally, what gets measured, gets tracked. Without clear data, it’s hard to know if we are attracting and retaining a wide variety of volunteers successfully, in order to better represent our members’ communities.
Peter: I agree and so was really pleased to be able to contribute to the design of the IFoA volunteer DEI demographics survey, although it was with some trepidation as it was my first formal foray into DEI.
I worked with Rajinder Poonian, Associate Director at 4most, to hone the draft questions, which were then further refined by the IFoA team. These were circulated to a sample of the target survey pool for feedback, as it’s important to make sure respondents are comfortable with the questions and the way the data is being collected, stored and processed.
Can you tell us about some of the work the F&I Board has been doing to embrace DEI?
Clara: Under recent chairs, including Dick Rae and Gareth Mee, the F&I Board has prioritised bringing in a broad pool of talented leaders. This shows that promoting diversity is achievable, even against the backdrop of the F&I industry landscape.
For example, currently on the board we have Sophie, who is a non-actuary, as well as Peter, Adeline Tan and Kudzai Chigiji who are representatives of our international community. In addition, Alexandra Miles has just kicked off a new working party looking into the pensions gap.
Sophie: I have found the F&I Board to be refreshingly forward thinking and outward looking, believing in diversity of thought as a key element of an effective board. Peter Towers has been a good example of a male ally championing the first pilot survey being launched.
We also organised various webinars and several events around this for the IFoA Conference in June 2022, as part of the F&I and Risk Management Practice Boards collaboration. The sessions focused on neurodiversity, gender equality in senior and board roles, and diversity of thought. Keynote speakers included Barbara Schonhofer MBE, Jenny Garrett OBE, Charlotte Valeur, Mark Freed and Lisa Jones (representing Group for Autism, Insurance, Investment & Neurodiversity (GAIN) and ISC Group, Reflexion Associates, Global Governance and ION, Men for Inclusion, Women on Boards UK respectively).
Why is it important for your board to embrace DEI?
Sophie: Diversity of thought is a key element for an effective board, as for any organisation. The fact that F&I board members are balanced across gender and ethnicity and include international representation means we can serve our community better and reduce group think.
Clara: It’s great for practice boards to lead the way and show what can be done. Role models that people can relate to are catalysts for bringing further talent through the pipeline, so we hope to spur change for the future.
Looking more broadly, research has established that company outcomes improve when there’s a diverse inclusive environment, so we are collaborating with organisations that support diverse talent such as GAIN, ISC Group, and Race Action Through Leadership (RATL).
Peter: I’d echo what Sophie and Clara have said. Someone said to me recently that they tend to see diversity of thinking in a business or professional context as analogous to seeking diversification benefits in the investment world – combining perspectives and views with ‘lower correlations’ to help avoid group think.
What are some of the challenges you’ve faced on this journey?
Clara: Working towards a board strategy that everyone felt was achievable but would still have an impact was a long, involved process. There was a lot of passionate debate! We also took time to align with the IFoA DEI strategy and collaborate with the other boards and the IFoA Diversity Action Group (DAG).
Sophie: Cross-practice collaboration can be a challenge as focus areas may be different. However, the F&I Board has been able to benefit from the opportunity to engage with other parties.
Peter: Yes, it’s been a long journey to get this far, which has taken persistence, but we are only at the start. The real opportunity will be what we collectively do once the results of the IFoA volunteer DEI demographics survey come in.
What would your advice be to boards or other groups wanting to embrace DEI more fully?
Clara: Be brave. Stand up for what you believe in. Be curious. Find out about other perspectives, accept constructive challenge through the process but don’t let it stop progress!
Sophie: Collaborate with others in the field instead of reinventing the wheel, to learn from each other’s experience. DEI is not a short-term issue or fix, but rather a long-term strategic initiative!
Peter: I would say it’s important to think broadly about what we mean by diversity. There are many different angles. Sophie noted some of them earlier, but we also need to think about neurodiversity, socioeconomic background, age and career stage, and much more.
How can we as a profession better support diversity of leadership and culture in our industry?
Clara: The recent IFoA DEI strategy is a huge step forward, with the senior leadership being truly engaged with getting positive outcomes. This has been embodied in the new Progress Together initiative and publication for the first time of diversity monitoring data for IFoA Council, Management Board, Regulatory Board and Executive Leadership Team members in the 21/22 IFoA annual report.
Sophie: This is true – the IFoA DEI strategy is fully endorsed by the IFoA senior management, as was evident at the June Conference. I was really inspired by the DEI plenary session with a truly diverse panel, hosted by Chika Aghadiuno, Chair of DAG. I was deeply moved by the real passion for the topic and the clear guidance from the panel during the session. My key takeaway is that we all have a role to play in DEI every day, for the initiative to succeed.
Peter: As Sophie says, we each have to play our role by using whatever influence we have, which could be the recruitment choices we make at work or encouraging individuals who may not have considered getting involved in IFoA activities to give it a go!
Find out more about how the IFoA’s DEI strategy values diversity in our leadership and culture.
