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Presents at 2020 HMG Live! Global Women in Technology Summit

Oct 26, 2020

Hunter Muller
President and CEO, HMG Strategy

Next up, we have our final panel session, Driving Cultural Change into 2021 and Beyond. I'd like to invite our panelists, Jennifer Hartsock, VP and CIO of Baker Hughes, Gerri Martin-Flickinger, Janet Sherlock, CIO of Ralph Lauren, and Angela Yochem, the EVP and CDO and Technical Officer at Novant Health. Good to see you, Jen.

Jennifer Hartsock
VP and CIO, Baker Hughes

How's it going, Hunter?

Hunter Muller
President and CEO, HMG Strategy

Jen, it's going great. How are you?

Jennifer Hartsock
VP and CIO, Baker Hughes

Fantastic.

Hunter Muller
President and CEO, HMG Strategy

Thank you for making it and being here. Really, truly appreciate it. When this topic comes to mind, you want to set a little context on Baker Hughes for folks who might not know the scale that you operate on, Jen, and your opening thoughts regarding the topic here.

Jennifer Hartsock
VP and CIO, Baker Hughes

Yeah, absolutely. Baker Hughes is an energy technology company, so we provide equipment and services into energy, and a lot of that is into oil and gas. Over the last three-plus years of our existence, we have been created out of a pretty significant merger of like-minded equals, which was a large segment of what was the General Electric portfolio and then what was Baker Hughes. Last year, we had $24 billion of revenue, 67,000 employees operating in 120 countries. It's a pretty large organization to try and influence with a lot of different constituents and needs.

Hunter Muller
President and CEO, HMG Strategy

The scale that you're working on is massive, right, across all those countries. When you think about culture and the changing workforce and having an inclusive, diverse culture, what comes to mind?

Jennifer Hartsock
VP and CIO, Baker Hughes

Well, I think, again, the 120 countries is absolutely really key in that conversation, but it's not the only contributing factor to how you think about diversity, equity, inclusion. How do you really use our roles as technology leaders to influence that? It's you have to understand, certainly, the cultural differences of the different organizations around the world, the different countries we work in. We understand the different cultural needs of the different types of work that we perform across the company, and it is really important, of course, looking at the United States, we have our own set of diversity understandings that have to be considered as well. Of course, as we look at the last several months and looking to 2021 and beyond, it has changed. Our roles as technology leaders are probably even more critical now than they were a year or five years ago.

I think that most of us would agree that just deploying technology is not what makes our lives interesting. It's the adoption and the outcome that that technology is intended to provide. For that, we have to be change leaders. We have to be talking about the cultural factors. We have to help our colleagues across the executive team think about how our changes are going to be received into each and every one of those demographics for all of the constituents, employees, communities that we serve, our shareholders, our customers. That means that we have to think absolutely like business leaders that happen to have responsibility for technology.

Hunter Muller
President and CEO, HMG Strategy

Excellent. Great. Thanks, Jen. We'll circle back to you in a minute. Hey, Janet, I know you have a broader message regarding the impact of diversity and inclusion in our tech industry. A little context for folks who don't know how big Ralph Lauren is and how you're pivoting digitally.

Janet Sherlock
CIO, Ralph Lauren

I do have a larger message, the pivot digitally has been largely, well, we've all been in digital transformations, I think not just in the retail industry, but across the board. Particularly with COVID, we've had to shift a lot of things, whether it's in our retail stores. I'm looking at Gerri, who can't sell a virtual cup of coffee. In retail, we've had virtual appointments and lots of digital contact with the end consumers, and a lot of different omni-channel kind of capabilities. Beyond that, Hunter, even things like going to the showrooms. The way wholesale partners buy from lines like Ralph Lauren or other lines is they go to a showroom, and they touch and they feel the product, and they make their purchases from that experience. We've had to create virtual showrooms.

At a company like Ralph Lauren, as well as other companies, we've been doing 3D product development for a while, but we would still bring in physical samples for our design teams and merchants to approve. They would look at them and touch them and feel them. We now do product approvals through 3D virtual samples. I believe that the changes that we have incurred in 2020 will continue through 2021 and beyond. What I just hope is that culturally, this culture of ingenuity, of shifting paradigms, and not doing everything the way we've been doing it, will continue to progress for all of our organizations and our businesses and our industries. I'm just so thrilled to be in the technology space, getting to drive that change.

Hunter Muller
President and CEO, HMG Strategy

Excellent. You have a broader mission or idea now regarding a new initiative that you're taking part of.

Janet Sherlock
CIO, Ralph Lauren

Thank you. I'll take the moment to bring up that initiative. Thanks, Jen, for bringing up diversity and inclusion. We've all been focused on diversity and inclusion, I believe, there's just been such a spotlight since this summer. I'm working with about 12 technology executives and leaders, some from Novant Health, where Angela is from, as well as from Estée Lauder, Deloitte and Boeing. We got together, and we said, "We really do need to make a difference in the technology space." We all, our organizations, I'm sure, are working on how we can increase diversity inclusion. If you ever look at the statistics of a technology organization, they're different than what you will see in the rest of the organization.

We still lag further behind in representation for women in just the managerial and individual contributor roles, and especially in the executive roles. We also lag behind Latinx and Black and African American further than a lot of our other peer professions. We've created a group called the Tech Pact, which, if anybody's interested in agreeing, it's going to be a pledge, a personal pledge, that you'll take to support diversity and inclusion. The vision of the Tech Pact is to create a world where everyone with a passion for technology has the ability to succeed. There's going to be lots of programs, lots of partnerships with groups like NPower and Year Up and other groups that support diversity and inclusion. We believe this is going to spread like wildfire throughout the technology community. I would love it.

I'll be seeking for everyone to be agreeing to the Tech Pact pledge. If you want the information on it, we're going to launch on October 29th. In the meantime, please reach out to me, janet.sherlock@ralphlauren.com, and I will make certain to make sure that you get the information about the Tech Pact, which we're launching. I'm so excited about it. Thank you for allowing me to speak about it.

Hunter Muller
President and CEO, HMG Strategy

Excellent. Great. Thanks, Janet. Angela, good to see you. It's been a while.

Angela Yochem
EVP and Chief Digital and Technology Officer, Novant Health

Hey, great to see you.

Hunter Muller
President and CEO, HMG Strategy

Yeah, you've been through quite a bit with the digital pivot and had quite a bit of success in really racing into that digital space. Any updates in terms of what you're working on next? What's next?

Angela Yochem
EVP and Chief Digital and Technology Officer, Novant Health

Okay. Just a little bit of background for people who may not know what Novant Health is. We are a super regional integrated healthcare system based in the Southeastern U.S. We have about 30,000 team members and 700 locations, and we directly provide healthcare to people. We have hospitals, we have clinics, physician centers, outpatient centers, that sort of thing. Healthcare itself as an industry is under quite a bit of change and has been for a while. It's a highly fragmented industry. It's rapidly evolving due to changes in the regulatory landscape, changes in the payer community, certainly consumer appetites, as has affected, of course, all of our industries.

My company recognized this a few years back and hired me and gave me the remit to do a pretty significant transformation of the underlying digital capability to bring us into where we think healthcare is going. When you think about some of the things that have been discussed thus far, and I'm so glad we're having this conversation about culture and cultural change, it's particularly impactful, important inside of healthcare organizations. Because not only do we have historically had so much to do, at least within Novant Health, to bring our technology capability up to where it can make a significant difference in patient access to care and quality of care, but also, the industry itself is shifting around us. You have to very intentionally manage your culture. That's, it's just been a thrilling activity.

Throughout COVID, we, of course, did what everyone else did. We already had a strong digital health capability. We had up to 10,000, 15,000. I think we had, one of our days, we may have had over 20,000 virtual visits in one day. We have tens of thousands of visits on a daily basis throughout the course of the crisis, the shutdown. I think we're averaging about 2,000 a day today. That's about 1,900 more than we would typically average a day before the COVID crisis. It's nice to see people being willing to access care through unconventional means. Of course, we enhance this through devices that have advanced sensor capabilities that allow us to give very detailed exam remotely, which has been very helpful as well in adoption. We do things like, let's see. Well, you know what?

I could go for much longer than anyone would care to listen, things like a significant AI investment that are doing some truly remarkable work in stroke care and heart failure and breast cancer and all the rest of it. If and when you have a panel about those sorts of advanced tech things, I would love to tell you a little bit more. Drugs. Don't forget the drugs.

Hunter Muller
President and CEO, HMG Strategy

Wow. A little bit more though, Angela, on the responsibility regarding culture, learning, and research as part of your senior C-suite duties.

Angela Yochem
EVP and Chief Digital and Technology Officer, Novant Health

You know Misty Reagan. She's our VP of culture, learning, and research. She and her team have been extraordinarily helpful, not just in helping us, as I mentioned before, be very intentional about the way we manage the change and keeping everyone engaged and invested in shifting and making more contemporary the ways in which we operate our digital products and services organization. Also in the longer term, preparing for that shift that we talked about a minute ago. It is inevitable, the cultural change required is going to span many years, not just the next few months of continued transformation. It's a good foundational capability, I believe, to have in place if you are in an industry that is rapidly changing.

Hunter Muller
President and CEO, HMG Strategy

It's actually a part of your role, though, right? This new expanded responsibility.

Angela Yochem
EVP and Chief Digital and Technology Officer, Novant Health

This has been part of my role for years. Yes, I've been with the company just under three years. I hired Misty to run this part.

Hunter Muller
President and CEO, HMG Strategy

Great.

Angela Yochem
EVP and Chief Digital and Technology Officer, Novant Health

Six months in, wasn't it? I think. Yeah.

Hunter Muller
President and CEO, HMG Strategy

Love it. Excellent. Thanks, Angela. Hey, Gerri, back over to you. You were early on one of a conference call with me back in March, and you said, "Hey, Hunter, realize what we're going through here on a global level, this is not a sprint. It's more like a marathon." I might even say it's more like an Ironman.

Gerri Martin-Flickinger
EVP and CTO, Starbucks

Oh, yeah.

Hunter Muller
President and CEO, HMG Strategy

It is more and more extended, right? How long this is going to play out.

Gerri Martin-Flickinger
EVP and CTO, Starbucks

Yeah.

Hunter Muller
President and CEO, HMG Strategy

When you think of leading massive cultural change in a global pandemic in a global organization, what's that like for you?

Gerri Martin-Flickinger
EVP and CTO, Starbucks

Well, it's funny. Janet said you can't have coffee virtually, but we can get you almost to your coffee pretty virtually. I'm betting everyone's doing that now. You're ordering your coffee through the app, you're doing curbside, you're doing delivery. Without a doubt, from a business perspective, our channel saturation around digitally enabled orders is huge. It's happened very quickly in a growth, and I can't really say more than that. I think we're all experiencing that. We're experiencing that in all parts of our life. I want to shift, though, for a second and talk a little bit about the culture at Starbucks and what this pandemic has felt like inside. I think most people know that Starbucks is grounded in this sense of community coffee house culture.

You come to a Starbucks, it's always been the place to sit and visit with people, to grab your coffee and be there on a weekend or have a meeting, whatever. The same is true of the culture in the corporate headquarters, which is in Seattle in a really old historic building. In fact, it was probably one of the most shocking things to me when I joined Starbucks five years ago, because really, when they say there's a corporate building, there is a corporate building. That's where most people who are in any kind of corporate function sit, in Seattle, in this historic building. The idea of having video conference meetings five years ago was pretty novel, and I would say was not a cultural trend that the actual corporate way of work made easy.

It's the kind of culture where people really mean meeting at the coffee machine. You actually meet at coffee tables inside the corporate building. You have coffee tastings to start nearly every meaningful meeting that you have. I would have coffee all day long, probably a tasting at least four or five or six times a day. Talking about the coffee is much like talking about wine. You talk about the taste and the smell. You can only imagine when all of a sudden one day, literally, we walk into an all-hands meeting, and we say, "We want everyone to go work from home now. Starting now." Not a month from now, not a week from now. Now. Right now. We did that earlier than most other businesses. As you know, Washington State was very early on the entire U.S. pandemic experience.

We really did overnight go home. The number of phone calls I got from executives throughout the company, really worried, was quite insightful. People were really worried, like, "How is this going to work? How can we possibly function." As we all know, as technologists, of course, we could function. We had a Teams license. We were totally ready to have everyone on Teams, and people didn't really believe it. Lo and behold, the next day, we just start working remote. As we went through those first few weeks, people were truly amazed at how quickly the culture shifted. It wasn't slow and tedious. It was literally overnight.

Much so that when we did our first pulse survey shortly after we all started working from home, most of our partners, which is what our employees are called, immediately responded with they really liked working remote, and they could see doing that for a very long period of time. We recently announced that we will not be going back into our Seattle headquarters until next October, so an entire year from now. We're not worried about getting work done. We want to make sure we refit the building so that it's prepared for a new way of working when we get back, because now that everyone is loving this new digital mode of connecting, we even have coffee tastings. We still have coffee tastings. We just do them a little differently now. I don't know.

I always thought culture took a long, long time to shift, and I think I've been excited that we've watched this pandemic. A silver lining is that a culture that believed they really couldn't maintain community and connection virtually has just discovered they can. I probably talked too long about that, but boy, it's been really amazing to feel it.

Hunter Muller
President and CEO, HMG Strategy

Hey, Gerri, perhaps one of the more innovative companies in the past few decades, Starbucks. When you think about accelerators of innovation and inhibitors, where do you fall out on that topic at Starbucks?

Gerri Martin-Flickinger
EVP and CTO, Starbucks

Well, we've done a lot of pretty innovative technology and continue to, and I think one of the things that has helped us is we spent several years really rebuilding our architectural foundation so that when we got to the point of needing to accelerate like we've done in the last nine months or so, we were able to do things like unlock new channels, delivery, curbside, without rebuilding anything. We literally put a little bit of icing on a cake and leveraged all of the foundational infrastructure and technology we'd built. I think everyone on this call, we're all technologists, and we're all in leadership of technology. We know how important good architecture is and architecting for the future, not to respond to your needs today.

It does feel like it's been a bit of a case study for when we did that, and we took our time to do that the right way. We have been able to go faster.

Hunter Muller
President and CEO, HMG Strategy

Excellent. Thank you. Jen, over to you. When you think about this whole pandemic that we're in and working from home and so forth, it puts a lot of challenges on diversity and inclusion. There are also some opportunities. What's the upside and the downside?

Jennifer Hartsock
VP and CIO, Baker Hughes

Yeah, I appreciate really all the comments of the fellow panelists, because I think we were all nodding for a reason, because there's so much commonality, even across all these different industries that we represent, the different geographies that we work in. Hunter, I think that you're right. There's both an opportunity to level the playing field with remote work. There's also an opportunity for us to potentially leave some folks behind. I think from a diversity, equity, and inclusion perspective, we have to be every bit as intentional as we are right now. Gerri, I really appreciate you sharing the Starbucks story about really taking another year to refit the work environment. One of the things that I felt like was a big enabler to diversity, equity, and inclusion this year is that we put everybody remotely. Now, I have a globally diverse team.

We're all over the world. There was a bit of a headquarters perspective in our culture, where if you weren't near a center of gravity, sometimes maybe your voice didn't get heard quite as clearly as if you were. With everyone moving remotely, we took away the advantage factor of face time, hallway time, et cetera. We had to be a little bit more intentional. Now, if you were outside of that center of gravity, this felt like a fantastic opportunity to step up and be seen differently. I hope we don't lose that. That's one of the things that we're trying to retain, is that how do we make sure we have a really intentional inclusion?

The other part that I would say that we've had to be a little bit more thoughtful of is, as a global team, we're heavily reliant on global travel to bring people together for ideation and innovation. Now, it's episodic, so we bring people together, they work for a little bit, and then they go back to their corners of the world. When you're trying to do that across 16 time zones, and you're trying to make sure that people who are in an apartment with two or three generations of family, and it's the middle of their night, really thinking through how do we make sure that we don't create undue burden on those with different life circumstances or different geographies has also been a part of our journey. We've had to find some creative ways. Candidly, we don't have it all figured out yet.

We'll change shifts. Sometimes we make it really convenient for those that are in the U.S. Sometimes it's really convenient for those in India or Malaysia, and we try to do that in a way that we're accommodating people working from home in different scenarios. We've also found that in some cases, we're willing to open up an office for people a little sooner because it really was more effective and more productive for them to be in a physical office and maybe away from some of the chaos that some of our home lives looks like right now. We've had to work through a lot of different scenarios, and I think that just like non-COVID times, it really is a function of being incredibly intentional about making sure that you're creating the right opportunity and then giving people the right opportunity to show up and be successful.

For us, we've actually seen some really great progress, and one of the things that I think that we're trying to really grasp a hold of is how do we not lose this ground on creating this level playing field for people to more equitably compete for really great work and great opportunities for promotion and advancement?

Hunter Muller
President and CEO, HMG Strategy

Thanks, Jen. Great job. Hey, Janet, over to you. When you think about the technology in driving cultural change and how we'll work today and into the future, what comes to mind?

Janet Sherlock
CIO, Ralph Lauren

I think it's a lot of the things that we've spoken about. Oops. My screen was doing something strange there. Jen brought up a really good point. There's some really positive outcomes from the COVID situation for organizations. This is not just at Ralph Lauren or Baker Hughes, or it's been in every company, which is there's the corporate phenomenon, and when you're not a corporate, and there's this corporate phenomenon. This has made it so that really minimizes that. I love that there's a few things that are going to support recruiting. If you don't need to actually be in the office any longer, does that open up where you recruit people from? This whole equalization of the corporate centers of gravity, as Jen put it. I think that culturally, we're all going to be more nimble than we were before.

I think that the paradigms of we had to do things this way have been broken this year. The other thing as well that's been interesting I think our partners have just realized we all had to snap to it. When COVID hit, in technology, I had a very similar situation as Gerri. Fortunately for me, I had architecture in place that I was poised for curbside. We hadn't delivered it yet. It wasn't high on our priority list, but I had the architecture ready for that. I guess, what we showed our partners was, is when the pressure's on, we can really deliver. I think that there's maybe an expectation that we're going to be a little bit more nimble and be able to deliver a little bit more quickly than maybe in the past.

I think that there's a lot of changes for our business partners, as well as expectations for us in technology, that we're going to see continue into 2021 and beyond.

Hunter Muller
President and CEO, HMG Strategy

Love it. Thanks, Janet. We have about one minute to wrap up here. Just a quick comment. Exciting time to be in technologist and probably one of the most interesting times, right? I always say it's the best time, but it always seems like the next day is the best day. Very challenging, but do you love what you're doing? Any comment? Gerri? Jen? Gerri?

Gerri Martin-Flickinger
EVP and CTO, Starbucks

Oh my gosh, it's an amazing time. I think in addition to everything else we're dealing with, this time when diversity and inclusion is forefront for all of us and all of our companies, is going to make the future a very different place in a very good way.

Hunter Muller
President and CEO, HMG Strategy

Awesome. Jen?

Jennifer Hartsock
VP and CIO, Baker Hughes

Sort of add, yeah, for us, we have this nice phrase that we say, which is the who is our how. We're entirely dependent on really great intellectual capability and diverse perspectives around the world, and what better time to take the who of technology and bring it to really incredibly impactful hows. Yeah, I'm with you, Hunter. Today is a great day to be in tech.

Hunter Muller
President and CEO, HMG Strategy

Love it. Janet?

Janet Sherlock
CIO, Ralph Lauren

I've been inspired all day today. Have you noticed how many people spoke just from the heart about, and being very transparent about confidence and feeling like you belonged. I think that there is an exposure to our true selves and an openness that I think that as women we bring to the table. I believe this time, this year, 2020, has just opened up this environment that really helps us to be empathetic, more patient, and more kind to each other. I thank you for this forum, for us to speak as women, and I believe that is going to help carry us through to all being better corporate citizens and better partners in our work environments.

Hunter Muller
President and CEO, HMG Strategy

Hey, thank you, Janet, and well said. Brilliant. Angela, final word?

Angela Yochem
EVP and Chief Digital and Technology Officer, Novant Health

No, I think 2020 has really separated the wheat from the chaff. The folks that you've heard on this panel and on all of the prior panels have described how the diversity of thought and the inclusive culture that they've cultivated and the good forward-thinking technology decisions and investments that they've made up to this point allowed them to thrive during very difficult times, unanticipatable times that we've encountered in 2020. I think this sort of event has been extraordinary for all of us to share stories and to celebrate the good work done here so far.

Hunter Muller
President and CEO, HMG Strategy

Yeah. Thanks, Angela. Thanks Gerri and Jen and Janet, for all of your engagement and support over the years and sharing your experience, right? You guys are all really world-class rock stars. It is the most challenging time ever, right, in our careers. You're right, Angela, I think, and Janet and Jen, Gerri, the folks that we had show up today on the agenda and the attendees, they were all really leaning in and you're living that kind of that champion moment, right? We're what, eight, nine months into this? Could be another year or two as it plays out the long tail.

That kind of vision and leadership and courage and authenticity and leading authentically with humility and balance of a servant leadership is all part of a kind of a style, a leadership style that you've all developed over the years, decades you've been in this, but in the last nine months, it really pushed it to the edge, right? Great thanks to you all.