Confetti, serpentine, dance, costumes, parades, floats, giant puppets and joy… in a simple approach, perhaps this can sum up the Brazilian Carnival. The festival that aimed to thank the gods for soil fertility and production in ancient Greece came to the Brazilian lands under European influence around 1723, being welcomed with open arms by the people. With irreverence and creativity, they created the custom to go to the streets and celebrate with costumes and masks – something that prevails till today.
The fact is that Carnival has become a symbol of Brazil around the world. The event became a fundamental part in the construction of the Brazilian identity, as it developed the creative artistry and the street art. As a historical result of mixing of different peoples and cultures, the Carnival has come to represent, in its essence, the popular, plural, diverse and inclusive revelry, being open to innovation through costumes details, colors and bright images. But most incredible about Carnival is the diversity that exists within a single celebration. Brazil has several types of carnivals around the country, from north to south. The joy of the revelers and the musical richness permeates during six days of pure festivity: from maracatu to samba, from afoxé to frevo, from axé to the marchinhas de carnaval. The giant puppets and floats perpetuate the image of anonymous, personalities and folklore and popular culture symbols.
And just like Carnival, the FCO is also naturally diverse. Support for diversity has become a fundamental part of a broader approach to foreign policy and the provision of consular services. This is why we will be using Carnival week to celebrate diversity in our Embassy and Consulates.
The UK Brazil Network has a diverse team and we believe diversity makes us better by allowing us to incorporate different perspectives into our work. Over recent months we have been building on our existing diversity by hosting a series of talks in Brasilia, Rio and Sao Paulo from people of diverse backgrounds. Last week Adriana Machado, GE Vice-President of Government Affairs and Public Policy for Latin America, recently names one of the most important business women in Brazil gave an inspiring talk in our Consulate General in Sao Paulo about women empowerment.
It is clear that there is a moral case for increased diversity at senior levels in organisations but there is also a business case. A new report from International Consultancy company McKinsey makes the case for diversity by showing a clear correlation between the level of diversity at senior levels and company profits. Taking an international approach, McKinsey looked at over 300 large companies across a range of sectors in the UK, Brazil, US, Canada, Mexico and Chile and found a clear link between company performance and both gender and ethnic diversity in leadership positions. Companies with gender-diverse leadership were 15% more likely to make profits above the national industry average while companies with significant ethnic diversity in leadership were 35% more likely to make higher profits.
Another McKinsey report from 2007 found that companies with more women on their Boards outperform their rivals, with a 42% higher return in sales, 66% higher return on invested capital and 53% higher return on equity. A study conducted by a UK asset management company found that Financial Times and Stock Exchange companies with women making up over 20% of board members achieved markedly higher share performance.
The upper reaches of many UK and Brazilian private and public sector organisations are made up of male senior managers with similar backgrounds, education and cultural references. It is easy to see how this homogeneity leads to group-think which in turn means that bad proposals are agreed without challenge. My own experience of leading a very diverse team in the United Nations Secretariat is that it forces you to consider things that you may otherwise discard.
McKinsey note that the UK still lags some way behind the US in terms of diversity at senior levels. Brazil is even further behind. This lack of diversity may be putting our well-being at risk. Christine Lagarde, Managing Director of the IMF, noted a few years ago that if Lehman Brothers had been Lehman Sisters, the economic crisis would have looked quite different. In 2015, we will kick off with masks: celebrating the Brazilian diversity and aiming to apply its essence to the FCO. Abram alas, Carnival is coming!