ALEXANDRIA, Virginia – SHRM (the Society for Human Resource Management), a global professional association that supports members of human resources and business management, in conjunction with the National Association of Corporate Directors (NACD), the authority on boardroom practices representing more than 23,000 directors, and Vista Equity Partners (Vista), a leading global investment firm focused exclusively on enterprise software, data and technology-driven businesses, today announced the launch of a new program aimed at increasing diversity among directors serving on the compensation and nomination committees of the boards of private and public companies.
“Now more than ever, companies are starting to realize that it is critical that we have HR representation around the board table. Diversity of perspectives and backgrounds as a strategic imperative is a necessity in the boardroom. advice and gives businesses a distinct competitive advantage,” said Johnny C. Taylor, Jr., SHRM-SCP, Chairman and CEO of SHRM and an outside board member of iCIMS, a Vista Equity portfolio company. Partners. “It is a privilege to partner with NACD and Vista on this new pipeline program that will empower talented but underrepresented individuals in our business community from diverse backgrounds and create expanded opportunities for Boards of Directors. of the companies in which they sit.”
The program announced today offers people from underrepresented backgrounds access to 12 months of detailed curriculum tailored to prepare for board service on compensation, nominating and governance committees, highlighting the focus on corporate affairs, human resources and committee preparation. SHRM will lead the program to identify and search for diverse, high-performing executives. Vista and NACD will partner to equip the cohort with a deep understanding of the responsibilities associated with effectively performing a board role and provide exposure to board opportunities across their ecosystems more wide.
“Paramount for Vista’s DE&I [diversity, equity and inclusion] is creating a diverse pool of talent within the company, our portfolio and the business community as a whole,” said Bessie Watts, Vista’s External Board Program Director. “By working with SHRM and NACD to establish this new program, we are helping to create a diverse talent pool for board oversight roles, which, alongside our other programs and initiatives, will ensure representation from diverse backgrounds. and perspectives at all levels of an organization. »
These new efforts build on a program established last year by Vista and NACD that aims to increase diversity among professionals who wish to serve on the audit committees of private and public company boards. The first cohort of this program, announced in November 2021, is completing its program and its members are striving to achieve NACD leadership certification.® identifiers.
“NACD has been at the forefront of building a diverse, equitable, and inclusive boardroom, and we are excited to continue that work through our partnership with SHRM and Vista,” said Peter Gleason, President and CEO of NACD. “With the new program, we will offer executives from diverse backgrounds access to our industry-leading director education, including the opportunity to earn their NACD director certification.® degrees, continuing education sessions, extensive networking opportunities, and access to key NACD governance research and resources. »
Despite the record number of new directors from historically underrepresented groups in the 2021 proxy year, the overall representation of certain demographic groups on S&P 500 boards was lower than their representation in the U.S. population (42%). Even with the progress made that year, people of color made up only 21% of all S&P 500 directors; only 49 S&P 500 companies (10%) were led by Black/African American, Hispanic/Latino/A, Asian, Native American/Alaskan, or multiracial CEOs; and 8% of independent board chairs and 10% of independent board lead directors were from historically underrepresented ethnic or racial groups. (Source: USA Spencer Stuart Board Index 2021 Highlights, p. 3.).
SHRM, the Society for Human Resource Management, creates better workplaces where employers and employees thrive together. As the voice of all things work, workers and the workplace, SHRM is the foremost expert, convener and thought leader on issues impacting the changing workplaces of today. More than 95% of Fortune 500 companies rely on SHRM to be their go-to resource for all things work and their business partner in creating next-generation workplaces. With more than 300,000 HR members and business leaders in 165 countries, SHRM impacts the lives of more than 115 million workers and families around the world. Learn more at SHRM.org and on Twitter @SHRM.
About the NCD
For more than 40 years, NACD has been at the forefront of corporate governance, setting standards of excellence that have elevated board performance. NACD provides today’s directors with ideas and education that advance their mission, while preparing a new generation of board leaders to meet the greatest challenges of tomorrow. NACD is a community of more than 23,000 directors driven by a common goal: to be trusted catalysts of economic opportunity and positive change, in companies and in the communities they serve. To learn more about NACD, visit nacdonline.org.
About Vista Equity Partners
Vista is a leading global investment firm with $96 billion in assets under management as of March 31, 2022. The firm invests exclusively in enterprise software, data and technology organizations through capital-equity strategies. investment, permanent capital, credit and private equity, bringing an approach that prioritizes the creation of sustainable market value for the benefit of its global ecosystem of investors, companies, customers and employees. Vista’s investments are built on a strong long-term capital base, experience in structuring technology-driven transactions, and proven, flexible management techniques that promote sustainable growth. Vista believes the transformative power of technology is the key to an even better future – a healthier planet, a smarter economy, a diverse and inclusive community, and a broader path to prosperity. Further information is available at vistaequitypartners.com. Follow Vista on LinkedIn, @Vista Equity Partners and on Twitter, @Vista_Equity.
Vista Equity Partners
Brian W. Steel