Alternative ways to resolve a conflict


Mediation Losing Its Effectiveness: Lack of Diverse Mediators

Diversity happens when it has a positivejeopardize their relationship with Shell.
impact on the bottom line. This was theOnce again Shell has come to the forefront by
overall consensus of representativeintroducing supplier diversity to the ADR
corporations and law firms this past year atprofession and announced that Shell will
an ABA Dispute Resolution Section Diversityextend business opportunities to certified
Forum. Mediation is losing its effectivenessminority and women ADR neutrals. These
because mediation panels are not diverse andefforts, coined as "second tier" allow Shell
do not reflect the gender and race of theirto influence prime or majority ADR firms,
employees.with whom they do business, to also contract
with minority and women owned ADR firms
The corporate panel, who was represented bywithin the business community. Shell's
corporate counsel from Cingular Wireless andmessage is driven by contract language and
T-Mobile and employee internal disputesharing information on benefits of engaging a
resolution directors from Coca Colamore representative group of suppliers. In
Enterprises and Shell, agreed that awarenessthe upcoming months Shell will be targeting
needs to be raised and that the professionprime firms that provide ADR services to
needs to become more diverse. The lack ofparticipate in second tier efforts. Shell
diversity is problematic in the employmentastutely recognizes that by embracing the
arena. Corporations are finding thatconcept of inclusion, the company will rise
mediation is losing its effectiveness andto a higher level, reflecting its belief that
they are losing their credibility withit "will benefit from diversity through
employees when they can only offer abetter relationships with customers,
homogenous group of neutrals to resolvesuppliers, partners, employees, government
workplace disputes. Corporations have anand other stakeholders, with positive impact
immediate need for Diverse ADR neutrals andon  the  bottom  line."
the national ADR providers they use are not
delivering  a  diverse  panel.Law firms agreed that law firm Diversity
initiatives did not gain any momentum until
Shell, which has an employee internal disputecorporations made demands that law firms
resolution program 'RESOLVE', is notcommit to diversity or they would lose the
comfortable with just raising awareness.corporation as a client. Diversity in the
Shell is taking affirmative steps to makeADR profession needs to take place, but that
sure that it can choose neutrals from ait is the economic motivation that will move
diverse ADR panel. Shell is committed toDiversity forward in the ADR profession. If
the economic development of minority andcorporations make demands that law firms use
women owned suppliers and actively engages inADR providers that are diverse in mediating
efforts to provide for inclusion byor arbitrating their cases, or risk losing
partnering with certified firms. Severalbusiness, they will use diverse ADR panels.
years ago, Shell Oil Company was one of theUnless it affects the bottom line,
first corporations to carry the torch and askentities will not be motivated to move
its majority law firms to demonstrate aforward and embrace diversity in ADR.
commitment to diversity. Many firms canShell Oil has taken the step to carry the
attest to the fact that a failure tobottom line torch which will ignite the
demonstrate a commitment to diversity wouldDiversity fire in the ADR profession.



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