by Ray Poirier |For many years, Terry Lanni, chairman and CEO of MGM MIRAGE Inc. (MGM) has felt that gaming needed a greater diversity initiative in order to improve business results.
Six years ago, he launched his company’s own Diversity Initiative as a means of showing leadership within the industry and with the hopes of improving business.
Each year since, MGM MIRAGE has held a special day to report on its diversity performance and to demonstrate both transparency and accountability in this area. Last week, Lanni reported on the momentum the company has gained in key areas such as human resources, strategic sourcing, construction and corporate philosophy.
"The deepest value – and the deepest impact – that our Diversity Initiative may have on our business lies in the role it is playing in fostering a work culture of peak performance, teamwork and innovation," Lanni said.
He noted significant increases in important metrics such as purchasing and construction spending associated with diversity vendors.
Specifically, he said, in purchasing, the company experienced a more than 65% increase in spending with minority, women and disadvantaged business enterprises. In construction, he added, due to progress of its $9.2 billion CityCenter project, the company also reported a double-digit percentage increase in spending with disadvantage business enterprises.
Lanni emphasized that "Diversity is a significant driver of business success and enhances the ability of our company to compete in today’s global economy. The data we present today show that, once again, we have achieved sizeable gains in the metrics we monitor to assess progress in those areas."
In human resources, he reported, the company’s minority employee representation totaled more than half of the workforce at 60.8%. Women comprised just over half of employees at 50.9%. By ethnicity, the workforce was comprised of 29.3% Hispanic, 14.6% Asian, 12.4% African American, and 0.5% Native American.