The demand for women board members is on the rise. In order for organisations to thrive, their boardrooms must reflect society. Do you have what it takes to join a board? Download our free eBook to find out.
Studies by McKinsey & Company have shown that companies with a diverse workforce and leadership team achieve financial performance above their industry median.
Today, women control nearly two-thirds of global consumer demand and spend about $28 trillion a year.
In order for companies to thrive and grow, their boardrooms must reflect the diversity of their consumer base.
A research project called, Board Diversity and Effectiveness in FT350 Companies, found that:
- Higher levels of gender diversity of boards positively correlate with better future financial performance (as measured by EBITDA margin).
- Boards with well-managed gender diversity contribute to higher stock returns and are less likely to experience shareholder dissent.
- Diversity affects boardroom dynamics, and the percentage of women is highly correlated with an emphasis on boardroom relationships and collaboration.
The research also found that the skills needed in the diverse boardrooms of the future included adaptability and resilience, strategic thinking, stakeholder engagement, interpersonal skills and embracing diversity.