To mark International
Women’s Day on the 8th March, we take a look at the incredible impact women can
have in senior leadership roles, and how businesses can support women as they
climb the career ladder.
The current status of
women in leadership roles
Around 40% of
positions on FTSE 100 boards are held by women, according to a report released in
2022. That’s a step in the right direction - 10 years ago, it was 12.5%.
But there’s a lot of progress that
still needs to happen. When you look more closely at the 40% figure, you find
that only 9% of that number of women are CEOs.
That is an alarming lack of diversity.
Businesses need to do more to boost women
into leadership roles, especially when you consider the positive impact women
can have when they have a seat at the board table.
The positive impact
of women at board level
Board diversity can truly impact
business success, and gender diversity is proven to improve profits.
Let’s look at the stats:
- Companies with better diversity at board and
C-suite level outperform those with below average
diversity
- Better gender diversity on executive teams
means companies are 25% more likely to show above-average
profitability
- Companies with no women on executive
committees had a net profit margin of 1.5%, while those with more than a
third of women had a 15.2% net profit margin
Having women in leadership positions
massively benefits companies. It brings a different perspective and outlook to
boards, women are more likely to focus on
inclusion, they can help to improve ESG and they can achieve greater
innovation.
So, if your organisation doesn’t have
enough women leaders, how can you support them into these types of roles?
How to empower women
leaders in your organisation
A lot needs to be done to improve
gender diversity on boards and advance women into senior positions. Here’s what
organisations can do:
1. Understand the
workplace from a woman’s point of view
There’s plenty of research and
statistics around how women view the workplace, the common challenges they face
and what a good workplace looks like for them. This ‘Women in
the Workplace’ report by McKinsey is a good starting point.
Then, compare this with your own
workplace and conduct a sort of gap analysis. What could you be doing better?
Where are the areas for improvement? What could you be doing more (or less) of?
Simply understanding how women see and
are seen in the workplace will give you a good idea of how you can improve
their career possibilities.
2. Improve succession planning
There must be more accountability
around succession
planning and diversity. Examine your succession
plan for gender gaps,
look at the women in your organisation who have the potential to become leaders
and include them in your plans.
3. Create a mentoring programme
Encourage the female leaders in your
organisation to become mentors to more junior women. Recognising
yourself in someone more senior than you can boost your chances of success, and
real-life examples show you that if someone else can do it, so can you.
From a business point of view, you’ll
also be ensuring that your values are being upheld and passed on by your
mentors.
4. Ensure your policies are equitable
Take a look at the policies and
practices in place at your organisation. Are they truly equitable? Are they
fair to everyone, no matter their gender (or race, or ethnicity)? It’s often a
good idea to get an external perspective on this.
5. Offer flexibility
A hot topic for debate, flexibility in
the workplace is often a must for women, especially women with families (and
the same flexibility of course must be given to men, too).
But it’s simply a fact that women are
often the caretakers for their families, and providing flexibility enables
women to do their job better. It’s a win-win though - women are more likely to
be loyal to an organisation that treats them fairly and provides this flexibility.
Not only that, but have you thought about how your organisation supports women through perimenopause and menopause?
6. Give women a voice
Women (and indeed everyone) should feel
comfortable and empowered to share their thoughts and opinions. Being
intentional about hearing women and providing them with space to express
themselves is crucial - not only to them, but to your business, too. You’ll get
to hear fresh ideas, new ways of doing things and different perspectives.
7. Consider your workplace culture
Ensure that women are visible and
valued in your workplace. Shining a light on great work and achievements will help
women be recognised across the organisation for their contributions and feel
empowered and confident. Creating this type of workplace
culture is beneficial for everyone, and also helps businesses to retain and
attract high-performing talent.
If you would like to discuss this topic in more detail please do get in touch.
