WHEN: Today, Tuesday, February 2nd
WHERE: CNBC's "Closing Bell"
Following is the unofficial transcript of a FIRST ON CNBC interview with Facebook COO Sheryl Sandberg and Facebook Vice President of People Lori Goler live from the Makers Conference on CNBC's "Closing Bell" (M-F, 3PM-5PM ET) today. Following is a link to the interview on CNBC.com: http://video.cnbc.com/gallery/?video=3000491016&play=1.
All references must be sourced to CNBC.
BOORSTIN: THANK YOU SO MUCH FOR JOINING US, WE HAVE SHERYL SANDBERG COO OF FACEBOOK AND LORI GOLER FACEBOOK'S HEAD OF PEOPLE. WE REALLY APPRECIATE YOU COMING TO TALK BECAUSE I KNOW YOURE ABOUT TO GO ON STAGE HERE AT MAKERS AND PRESENT FACEBOOK'S TRAINING ON HOW TO ADDRESS BIAS. WHAT IS IT YOURE TRYING TO CHANGE IN CORPORATE AMERICA?
SANDBERG: THERES A RECENT MCKINSEY LEAN IN STUDY WHICH SAYS THAT AT OUR CURRENT RATE IT WILL TAKE 100 YEARS TO GET TO PARITY FOR MEN AND WOMEN IN THE C-SUITE AND THATS NOT GOOD ENOUGH. WE KNOW FROM STUDY AFTER STUDY MORE DIVERSE TEAMS PERFORM BETTER. THATS SOMETHING REALLY IMPORTANT TO US AT FACEBOOK. WE KNOW IN ORDER TO GET TO PARITY IN THE WORKFORCE, WE'RE GOING TO HAVE TO HAVE TO ADDRESS THE UNCONSCIOUS BIASES THAT ALL OF US, MEN, WOMEN, ME, ALL OF US HAVE. WE DESIGNED A TRAINING THAT WERE REALLY PROUD OF THAT GETS AT THE HARD ISSUES THAT ARE HARD TO DISCUSS. AND WEVE ALSO MADE IT PUBLICLY AVAILABLE ONLINE SO THAT WE CAN HELP NOT JUST OUR OWN COMPANY BUT OTHERS AND WE'RE GOING TO DO A LITTLE PREVIEW ON THE STAGE HERE AT MAKERS TODAY.
BOORSTIN: LORI WHAT KIND OF RESULTS HAVE YOU SEEN FROM THIS UNCONSCIOUS BIAS TRAINING AT FACEBOOK IN THE PAST YEAR?
GOLER: THERES NO SILVER BULLET BUT WEVE BEEN HAPPY WITH THE IMPACT ITS HAD AT FACEBOOK. PART OF WHAT WE WANTED TO DO SURFACE BIAS AND HAVE PEOPLE KNOW WHAT TO DO WHEN THEY SEE IT HAPPENING IN THE MOMENT AND BE ABLE TO COUNTERACT IT. ONE OF THE GREAT THINGS WEVE SEEN IS THAT WHEN PEOPLE WHO ARE IN THE NONMAJORITY ARE INTERRUPTED IN MEETINGS FOR EXAMPLE WHICH HAPPENS MORE FREQUENT IF YOURE IN THE NONMAJORITY GROUP. PEOPLE ARE ACTUALLY NTERRUPTING THE INTERRUPTORS WHICH IS FANTASTIC AND TELLING STORIES ABOUT HOW THEY INTERRUPTED THE INTERRUPTORS. IT HAS REALLY CHANGED THE VOCABULARY AND THE WAY WE THINK ABOUT IT. WE EVEN HAVE MEN STANDING UP AT OUR WEEKLY Q AND A ASKING HOW THEY CAN HELP.
BOORSTIN: DOES THIS BIAS ISSUE REACH ALL WAY UP TO FEMALE CEOs. MARISSA MAYER CEO OF YAHOO THERE HAVE BEEN A LOT OF QUESTIONS WHETHER SHE HAS BEEN CRITICIZE THE UNFAIRLY BECAUSE SHES A WOMAN. DO YOU THINK SHE IS?
GOLER: I THINK ITS HARD TO JUDGE THE SPECIFICS OF WHATS HAPPENING IN YAHOO!. BUT HERE'S WHAT WE DO KNOW WE KNOW THAT THERE ARENT ENOUGH WOMEN IN THE C-SUITE AT ANY OF OUR COMPANIES AND ITS INCUMBANT ON ALL OF US TO SUPPORT THEM AND THAT'S PART OF WHAT WE ARE ALL DOING HERE TOGETHER TODAY.
BOORSTIN: AND SHERYL I DON'T KNOW WHEN YOU LOOK AT OTHER FEMALE LEADERS AT OTHER COMPANIES, YOU HAVE URSULA BURNS AT XEROX AND ELLEN COLEMAN AT DuPONT, DO YOU THINK THEY ARE UNFAIRLY TARGETED BY ACTIVIST INVESTORS BECAUSE OF BIAS ISSUES?
SANDBERG: I DONT THINK THERES ENOUGH FEMALE CEOs TO HAVE GREAT DATA ON HOW FEMALE CEOs ARE TREATED DIFFERENTLY THAN MEN. BUT THAT'S PART OF THE PROBLEM. EVERYWHERE IN THE WORLD, WOMEN MAKE UP BASICALLY 5% OR LESS OF WHAT IS THE EQUIVALENT OF THE FORTUNE 500 CEOs. AND WE KNOW THAT WE JUDGE FEMALE PERFORMANCE AT ALL LEVELS OF ORGANIZATIONS DIFFERENT THAN MALE PERFORMANCE. IT ACTUALLY STARTS WITH BABIES CRAWLING. MOTHERS. MOTHERS SYSTEMATICALLY OVERESTIMATE THE CRAWLING OF THEIR SONS COMPARED TO THE CRAWLING OF THEIR DAUGHTERS. THERE WAS A GREAT STUDY DONE WHICH SENT OUT RESUMES, ONE WITH A BLACK SOUNDING NAME AND ONE WITH A WHITE SOUNDING NAME. THE DIFFERENCE IN THOSE TWO NAMES, A WHITE SOUNDING NAME WAS WORTH EIGHT YEARS OF EXPERIENCE IN TERMS OF HOW MANY CALLS BACK YOU GOT FOR INTERVIEWS. SO WE KNOW THIS BIAS EXISTS AND I THINK THE BEST WAY TO GET THERE TO FIX THE BIAS IS TO UNDERSTAND IT, FIX IT, INTERRUPT THE BIAS AND THEN GET TO A PLACE WHERE WE HAVE ENOUGH WOMEN AT ALL LEVELS OF OUR ORGANIZATION.
BOORSTIN: YOU'VE BEEN WORKING ON ADDRESSING THE LACK OF DIVERSITY AT FACEBOOK. BUT DESPITE THE FACT THAT YOU'VE MADE THIS A PRIORITY, THE NUMBERS HAVE BARELY BUDGED. THE PERCENTAGE OF WOMEN IN MANAGEMENT POSITIONS, WOMEN OVERALL, PEOPLE WHO ARE NONWHITE. HOW DO YOU ADDRESS THE LACK OF PROGRESS AT FACEBOOK?
GOLER: IT'S BEEN REALLY HARD FOR US TO MOVE THE NUMBERS. AND THE SAME HAS BEEN TRUE FOR ALL THE COMPANIES IN OUR INDUSTRY. AND ONE OF THE THINGS THAT IS HARDEST FOR US IS THE PIPELINE, PARTICULARLY FOR WOMEN IN CS. IN 1985, 35% OF THE COMPUTER SCIENCE DEGREES IN THE UNITED STATES WENT TO WOMEN. TODAY THAT NUMBER IS 18%. SO NOT ONLY IS IT MOVING IN THE WRONG DIRECTION, IT IS MOVING IN THE WRONG DIRECTION BY HALF. SO ONE OF THE THINGS THAT WE'RE REALLY TRYING TO DO IS INVEST IN THE PIPELINES. WE HAVE PARTNERED, FOR EXAMPLE, WITH LINKEDIN AND ANITA BORG TO SUPPORT LEAN IN CIRCLES ON CAMPUSES FOR COMPUTER SCIENCE AND ENGINEERING WOMEN. PART OF WHAT WE'RE TRYING TO DO IS TO GET WOMEN TO CHOOSE CAREERS IN ENGINEERING AND TO STAY THERE.
BOORSTIN: SHIFTING GEARS, I KNOW WE ARE ALMOST OUT OF TIME, SO I JUST WANT TO ASK YOU A QUICK QUESTION ON THE HEELS OF YOUR FANTASTIC EARNINGS RESULTS LAST WEEK AND ALSO GOOGLE'S GREAT EARNINGS RESULTS AFTER THE BELL YESTERDAY. BOTH REALLY DRIVEN BY IMPROVEMENTS IN MOBILE AND VIDEO ADVERTISING. WHAT IS IT GOING TO TAKE FOR FACEBOOK TO BEAT OUT GOOGLE TO BE IN THAT NUMBER ONE SPOT?
SANDBERG: WELL, GOOGLE HAD A GREAT QUARTER AND I WANT TO CONGRATULATE THEM. AND WE HAD A GREAT QUARTER. BOTH COMPANIES ADDED ABOUT $2 BILLION OF NET ADVERTISING REVENUE TO THE QUARTER YEAR OVER YEAR. AND I THINK WHAT THAT SHOWS IS THAT THE CONSUMER SHIFT TO MOBILE IS REALLY WELL UNDERSTOOD. U.S. CONSUMERS, FOR EXAMPLE, ARE SPENDING 25% OF THEIR TIME ON MOBILE DEVICES. AND THAT BUSINESSES KNOW IF THEY WANT TO REACH CUSTOMERS WHERE THEY ARE, THEY HAVE TO BE THERE TOO. OUR CLIENTS ARE NO LONGER ASKING IF THEY SHOULD BE MARKETING ON FACEBOOK, IF THEY SHOULD BE MARKETING ON MOBILE. BUT THEY ARE ASKING HOW, BECAUSE THEY KNOW HOW IMPORTANT IT IS.
BOORSTIN: SO THE FACT THAT YOU BOTH MADE THE SAME GAINS, YOU OFF A SMALLER BASE, DOES THAT MEAN YOU'RE NOT COMPETING DIRECTLY WITH GOOGLE AND YOUTUBE FOR AD DOLLARS? ARE YOU STEALING SHARE FROM ELSEWHERE?
SANDBERG: I THINK THE GENERAL PATTERN IS THAT PEOPLE ARE MOVING ONLINE. WE SAW THE LINES CROSS TWO YEARS AGO FOR THE FIRST TIME WHERE THE AVERAGE U.S. CONSUMER SPENT MORE TIME DIGITALLY. AND THAT'S ON DESKTOP AND MOBILE THAN ON TV. AND SINCE THEN, THOSE LINES HAVE CONTINUED TO CROSS AND THAT DIGITAL LINE IS GROWING. AND SO I THINK TIME IS SHIFTING. AND OVER TIME, MARKETERS WILL SPEND THEIR TIME AND MONEY WHERE PEOPLE ARE. I THINK MOBILE ADVERTISING IS EXCITING. WE STILL THINK WE'RE AT THE VERY BEGINNING OF WHAT'S POSSIBLE. THERE'S SO MUCH MORE TO DO AND WE'RE EXCITED.
BOORSTIN: FANTASTIC. WELL, INTERESTING TO WATCH THE AD DOLLARS FOLLOW THE CONSUMERS. SHERYL SANDBERG, LORI GOLER, THANKS SO MUCH FOR JOINING US HERE BEFORE YOU GO ON STAGE HERE AT MAKERS, WE APPRECIATE IT.
GOLER: THANK YOU.
SANDBERG: THANK YOU FOR HAVING US.
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