Shana Cochrane Smith, General Counsel, NII Holdings, Inc.

NII Holdings, Inc., a provider of wireless communications services under the Nextel brand in Brazil, is a US publicly traded company listed on the Nasdaq. GC Smith considers the importance of cultural understanding in both the marketplace and corporate life, and how senior teams can become more diverse.

We’ve always had a lot of diversity in the workplace. We worked to bring people into our headquarters from Peru, Mexico, Argentina, Chile and Brazil to ensure that we were getting great insight into what was happening in our marketplaces, but also to ensure that our management and operating team in the US was diverse and appropriately represented our company.

Marketing, in particular, was very clear that when it comes to selling products in another country, it’s really important that you have people on board and working on the marketing campaigns that understand how things are going to be perceived. So the business teams would come to legal and HR and say, ‘We are expanding into this area and we think it would be important to make sure that we have representation of these groups – can you help us to make that happen?’

A few years ago, it was pretty easy to bring people from our markets to the US for a period of time on specific types of visas, and they would bring their families. The company would sponsor them; these are people that were going to be contributing to our company and to our society, and the US was very open to doing this. Now there have been some changes that are making these visas more difficult.

There have been some recent discussions where some of these doors will be opened again, but it hasn’t happened yet, so we have run into some barriers. Now what we’re doing is working with people in the market in Brazil, without them coming and living in the US. It has become too expensive and difficult right now for us to continue to do this the same way that we used to. Companies are challenging the visa issue, particularly tech companies, because they rely on people from all over the world – it’s going to be a major issue.

We have a joint venture with a group that has operations in a number of countries, and English is our business language. You may be speaking English to each other, but there may not be a meeting of the minds just because of cultural differences. Those differences can be based in how people view the world, and that can happen on the legal side very easily, because law is something where we are so grounded in how our country views and uses a legal system and looks at regulations and the courts. All that comes together as we draft contracts and agreements, and when you don’t view things the same way it can be difficult to ensure parties are having a meeting of the minds – so everyone is shaking their heads in the affirmative, as though there is a common understanding, yet there isn’t. We’ve figured out that we need to have full discussions and then follow up in writing so that people can have an opportunity to think about it, and then raise their hand if they think there may be an issue.

The other issue, of course, is when you have people working in their second or third language. Technical terms, and in particular foreign legal terms, are not what you learn in school – they can be very difficult, and we have done a better job over the years of ensuring that we provide clear definitions and resources. You have to have people who are willing to put in a little more work on these things, and it’s worth it, it definitely pays off, but it does take a little more work.

Some of these things we have gotten from meetings and consulting with some of the Big Four, outside legal teams, large business consulting firms and investment bankers. We watch how these multinational advisory firms bring together people from all over the world and put them in a room and how they work together on things, and we have learned some lessons. For example, if there’s going to be a meeting where you have people from a number of different countries coming to the table, it’s very helpful for people to receive materials ahead of time so that they have an opportunity to review them. You just can’t throw up the slide presentation at the meeting and expect that everyone is going to clearly understand what you’re talking through.

Inclusion makes everybody comfortable, which can lead to a much more effective business environment. People are able to raise their hands when there’s an issue and speak up, because they feel like they are part of a group that accepts them and is willing and able to work with them on concerns. And that’s not just for looking at cultural and ethnic diversity, but also gender diversity and all forms of diversity. Religious diversity, for example, doesn’t come up as often at work, but there are situations that arise where people need time off for religious reasons and it’s certainly easier to raise those issues when you feel that you are part of a group that is properly and fairly represented.

As the head of legal, and as a woman, I do what I can to ensure that any time we have a large project with a big law firm there are women on the account, and that I would really like a female partner to be a part of the group that’s providing service to us. In the US, a lot of women go to law school, but law firms are not doing a great job of retaining women through partnership, and there’s a variety of reasons for that. I believe the law firms are working on this, but I feel that, as a company, I can help to ensure that law firms do what they can to support their female associates by requiring, in order to get our business, a female partner for this job. It’s actually been interesting and fulfilling to watch law firms work to meet these requests, and they have – and that’s wonderful.

The legal team is also in charge of drafting and updating our ethics and compliance guidelines and training and, through those, we set an example and provide principles on how the company should be thinking about diversity. And then when it comes to actually trying to think about diversity in hiring, it is really important that legal be involved in that as well – because while diversity is a factor that can and should be considered, it can’t be a reason that we select one person who is not as qualified over someone who is qualified. It’s a balancing act, and I think it’s important that the legal team remains involved, and it has to be something that the legal team cares about for it to really work effectively at a company.

One area that’s a little bit concerning to me right now, not just in the US but also in Europe, is this idea of requiring a certain number of women on boards. It’s a great idea, but I am a little concerned about how boards meet those requirements and ensure that the right people are given the seat. Boards often want to appoint new members that have board experience, and when there’s a small group of people that have that experience, what you’re doing is just appointing the same group to all of the boards. So I think it is about people working to expand their skillsets, and boards also being advised by the legal team – both outside counsel and inside counsel – that they need to consider diversity and the importance of having fresh perspectives. That means providing opportunities to people who don’t have board seats already on their résumé.

I think it’s making sure that people are being given the opportunity to stretch their wings, and allowing people potentially to stumble a little bit, because you learn a lot when things don’t work out exactly the way you want them to. It’s about saying to senior leaders, boards and executives, ‘Make sure that you give people opportunities, and that you are there for them and available as they try to work through these projects.’