Dan Lasik, Partner The Importance of Diversity Education in the Workplace: A Workshop for Virginia Tech Faculty and Staff

Agenda for the day ► Why diversity and inclusiveness is important ► Perspectives from Virginia Tech alumni ► How you can make an impact

The global business environment ► Global Trends: ► Increased sophistication of global markets ► Outsourcing/Offshoring ► Impact of US Regulations ► Convergence of accounting standards ► Shift in demographics ► Our clients are global ► Domestic companies with operations abroad ► Foreign companies with domestic operations ► Investors have a global focus ► Cross border capital flows

Why diversity and inclusiveness is important to Ernst & Young. EMEIA People:68,000+ Revenue:$11 billion Americas People: 41,500+ Revenue: $10 billion Driving seamless, consistent, high-quality client service worldwide Asia Pac People:27,000+ Revenue:$2billion Japan People:7,000+ Revenue:$1 billion

► Diversity and inclusiveness. We must be the clear leader in diversity and inclusiveness in order to recruit the best talent, develop our people to their full potential and team effectively. ► Global mindset and integration. We must extend our leadership in global integration and mindset in response to clients' desires for seamless global service, and the shift of capital from West to East and from developed to emerging markets. Ernst & Young’s Transformational Priorities

INCLUSIVENESS DIVERSITY 4-B Diversity & Inclusiveness at EY Visible and invisible differences, thinking style, leadership style, gender, ethnicity, religious background, sexual orientation, age, experience, culture etc. A quality of the organizational environment that maximizes and leverages the diverse talents, backgrounds and perspectives of all employees Mix of our people Leveraging the mix

Execute on Campus Build Pipeline/ Systemic Change Student Pathways to EYStudentsUniversity Attract high school students to priority schools Accounting & Business Awareness Programs Employer Branding Inclusiveness Visits Faculty Diversity and Inclusiveness Roundtable Faculty Inclusiveness Award NEW: Thought Leadership: Inclusive Business Schools Influence freshman to choose Accounting /Business as a major NEW: Ernst & Young’s Launch Program Emerging Leaders Summit Offer early exposure opportunities within EY Discover Tax Horizon Internship Encourage and support MSA/MST degrees Supporting Master’s Degrees at Priority Schools High Performing Staff and Seniors National Conferences Howard University Leadership Program Driving our Inclusiveness Recruiting Strategy: From high school to high performing EY staff and seniors

Our Expectations… ► Universities ► Recruits

Perspectives from Virginia Tech Alumni ► Ashley Perry ’11, Assurance Staff, Richmond ► Andre Crawford, Transfer Pricing Manager, Detroit

Making an impact ► Share with you a glimpse of the learning experience that all of our partners and senior managers have attended ► Provide you with a few resources

“Frames of Reference” Our individual “system of meaning”: How we perceive, evaluate, and relate in a social context Biases and preferences we apply in our interactions based on visible and invisible cues

Factors influencing our Frames of Reference Age Sex Physical & Mental Qualities Sexual Orientation Skin Color Personality Etc. Gender Identity Socio ‐ Economic Status Ethnicity/Race Regional Culture Disability Religion Generation Etc. Life Experiences Education Professional Training Work Background Marital Status Parental Status Lifestyle Etc. BiologicalSocial/Cultural Individual

Example: The ladder of inference Frame of reference in action Jane speaks once during classroom seminar Jane is a junior and should speak up to contribute Jane knows the content yet is not assertive enough to speak up during class Jane may not feel comfortable in a Big 4 environment Jane would not be a strong candidate for Big 4 internship Ladder of Inference, Source: The Fifth Discipline Fieldbook by Peter Senge Add meanings Observable data Make assumptions Draw conclusions Adopt beliefs Take actions Select data Frame of Reference

Example: Change the frame of reference Jane is a strong candidate for a Big 4 internship Jane made a very insightful comment on the issue Jane would be successful in a Big 4 environment Jane’s technical skills would be valued on an engagement team Add meanings Observable data Make assumptions Draw conclusions Adopt beliefs Take actions Select data Frame of Reference Jane speaks once during classroom seminar Ladder of Inference, Source: The Fifth Discipline Fieldbook by Peter Senge

Insider-Outsider dynamics Insiders ► Have the formal and/or informal power ► Set expectations and reinforce and reward ► Have the most to gain from the maintenance standards Outsiders ► Have little or no power ► Expected to adhere to the dominant standards ► Are put at a disadvantage Depending on the situation and circumstances, each of us can be either an insider and outsider.

Resources: ► Is your business school environment inclusive? ► Building a global mindset. ► Global and Inclusive leaders.