More Women in Top Positions can Enhance Your Business Reputations
“The male, if constituted in some respect contrary to nature, is by nature more specialist in leadership than the female.” These words by the ancient Greek philosopher Aristotle may sound archaic, but current figures on the percentage of women at the senior level of industry appear to show that the workplace is still overwhelmingly male-dominated.
Women presently occupy just 5.4% of Fortune 500 CEO positions, although the total number of women on board in the Uk is about 22%. These figures are especially shocking considering the many benefits of seeing more women in leadership positions and seated at the conference room table.
Not only is it easier to consider your clients if the organisation is inclusive of them in its executive team, but there is also a lot of hard proof to substantiate the strategic plan for gender parity in leadership. Researches have, for example, illustrated the correlation between – anti-male boards and stable financial success. For example, the accounting firm Grant Thornton noticed that all-male boards had underperformed female boards with the ratio of an asset of about 2% lower.
The lack of gender equity at both the C-suite and the board level may also have an effect on corporate reputation. In a highly competitive world in which more than 50% of the consumer revenue comes from intangible properties, it is important for organisations not to underestimate the drivers of a good reputation. For example, Susan Bosco’s academic study showed that having a higher number of women on the board of directors was linked with businesses being ranked on the “most responsible company list.”
Moreover, lacking the chance to close the gender divide could make a significant difference in the battle on talent. The prestige of a corporation as an employer may be influenced, making it more difficult to recruit top talent—both male and female—with several reports finding a strong connection between organisational reputation and the ability to attract and maintain the best people. In addition, less-skilled females will be willing to join the enterprise as one of the core requirements for a good employer brand is a job development opportunity.
Impact of women on corporate reputation
A positive reputation is more than just a feeling. It will persuade customers to choose your product from that of a rival or attract the best talent to come and work with you. Research has found that customers are obsessed with different aspects, such as how a business operates and what it invests in its employees.
The Gender Forward Pioneer Index (GFP) announced that the world’s most reputable businesses had more women in senior management. According to the GFP index, just 10.9 per cent of senior executives of the world’s top 500 firms are women, while almost 40 per cent are men’s representatives. But the index also reveals that firms with the most admired status have twice as many women in leadership as those with lower standing.
Why you should promote gender equality in your business?
The best businesses are really diverse. They appreciate creativity and positively promote the race and gender equality. Younger employers tend to see greater equity in leadership positions, with more people who look like them – this may be particularly relevant when it comes to tackling skills deficit sectors. Companies ought to cater to new generations of males and females to recruit and hold the top talent.
And the stakeholders, customers, and influencers are easier to comprehend and will feel more valued when their ethnicity or gender is mirrored in senior management.
The percentage of women in senior positions is subject to heightened media scrutiny. Focusing on gender wage disparities and the #metoo hashtag, there has never been a more critical time to dig within to see if this issue can be addressed.
If the gaps have been identified, it is important to set clear objectives and a rigorous strategy to resolve them. Finally, create a culture of accountability by monitoring and documenting progress in order to ensure adequate follow-up on board and governance evaluations. And you’ll reach the heights within no time.