Women play an important role in corporate society in a variety of ways. There are many challenges they must overcome along the way, as women have always faced throughout history. There is no exception to this rule in the corporate world. It is extremely difficult for women to establish themselves in their current organization as an employee, and even more difficult when they are attempting to achieve a leadership role.
“To be successful, a woman has to be better at her job than a man.”
– Golda Meir, former Prime Minister of Israel
It is a testament to the progress that the world of business is making when a woman occupies a leadership position or sits on a corporate board. But there is still much change that is needed.
Statistics About Women In Corporate/Leadership Roles
The statistics regarding women in corporate positions indicate that, despite progress, there is still a significant gender gap in leadership and executive positions. Consider the following statistics regarding women in corporate or leadership positions.
- Of all CEO positions in organizations around the world, women account for only 7% of them. This includes Fortune 500 companies.
- The positions help by women pales in comparison to that of men. Women account for only 28% of senior vice president positions, 21% of executive vice president positions, and 19% of board seats.
- For every single woman in a powerful leadership role, there are at least five men in similar or the same roles (in the same or different organizations).
- Women of color are particularly underrepresented in leadership positions, as they only hold 4% of all leadership roles. This includes roles as CEO and corporate board seat.
- The gender pay gap persists in many industries and at all levels of seniority. On average, women still earn less than men for performing the same work, with Black and Hispanic women experiencing even wider pay gaps.
In spite of these challenges, the corporate world has become increasingly aware of gender diversity and inclusion issues. A number of companies are making efforts to increase the number of women and other underrepresented groups in leadership roles, to implement policies to support work-life balance and equity, and to promote inclusive cultures in which diversity is valued.
The Factors At Play
Whenever women begin to hold positions in the corporate world, many factors must be taken into consideration. Firstly, gender diversity is represented. As a result, better decision-making processes can be achieved, as well as increased innovation, higher levels of creativity, and even an improvement in financial performance. Organizations with more women in leadership positions or on corporate boards have higher profitability, return on equity, and return on assets.
Additionally, women have unique perspectives and experiences that can enhance an organization’s understanding of its customers. As a result, they are able to connect more easily with them. As well as being excellent collaborators, women also contribute to the creation of more effective teams. In terms of communication, there is no one better than a woman to fill this role. It may result in more effective outcomes, fewer mistakes at work, and better workplace communication for all employees.
Representing gender equality on your leadership team and in the corporate world can assist women in advancing in their careers. Top talent is attracted and retained by organizations while remaining relevant during their tenure in a top position.
Young professionals seeking employment (fresh out of college) prefer to be employed by organizations that prioritize diversity, equity, and inclusion (DEI). By failing to do so, organizations may miss out on the best talent of today, causing them to fall behind in the trends of tomorrow. Organizations should prioritize gender diversity, equity, and inclusion as it will benefit both employees and the organization in many ways.
The Benefits Of Gender Diversity In Corporate Roles
Organizations that prioritize gender diversity in corporate roles can reap a number of benefits. Let’s review them.
Improved Financial performance
There have been studies that have shown that organizations with a greater level of gender diversity throughout are more likely to be profitable in the long run and in the short run. It is because of the fact that diverse teams and employees bring forth a different perspective and a different way of tackling problems as a result of their diverse backgrounds. In turn, this can facilitate the acquisition of more creative problem-solving skills as well as a better sense of decision-making.
Employees and teams from diverse backgrounds represent innovative ideals and solutions within the company. Bringing different perspectives to light can prove crucial in helping organizations keep up with the changing pace of the market in an effort to stay competitive. The elements of this include understanding the changing dynamics of the marketplace, identifying new growth opportunities (for promotion and growth), and the ability to stay ahead of the competition by staying relevant and up-to-date.
There is a greater likelihood of avoiding groupthink when teams are diverse. Consequently, they are able to consider a broader range of options and perspectives. As a result, employees and their organizations as a whole benefit from enhanced decision-making skills.
More Engagement And Productivity In The Workplace
By prioritizing gender diversity, employers will send a message to all employees (past, present, and future). Their message will be that they are an important member of the team and organization. By doing so, employee turnover rates are reduced, retention rates are improved, productivity is increased, and employee engagement is increased. As a result, employees will be motivated to contribute to the organization’s success.
Meet And Exceed Stakeholder Expectations
Stakeholders have become increasingly concerned about this issue. This includes, but is not limited to, customers, investors, leaders, and employees. An organization can demonstrate its commitment to social responsibility by prioritizing gender diversity throughout the organization. In addition, stakeholders will be satisfied and willing to invest in the organization in the future as a result of this meeting and exceeding their expectations.
Women are often underrepresented in leadership positions, including on corporate boards of directors. An organization can help to change all of that by prioritizing gender diversity within the organization. Embracing diversity, equity, and inclusion (DEI) can improve financial performance, drive innovation, enhance decision-making progress, encourage employee engagement and productivity, and allow the organization to meet (and exceed) the stakeholder expectations, resulting in continued success for the organization.