Women's talents going to waste

Studies show females possess all the qualities of good leaders, yet few are given top roles in business

Women might account for more than half the population, but do they really- as Mao Zedong once famously said- hold up half the sky? Although women are now a clear majority at many university campuses around the world, they still hold a relatively small percentage of leadership positions in business.

According to the Catalyst Census of Women Board Directors of Canada, women in that country hold just 11.2 per cent of board positions in the Financial Post 500, up from 9.8 per cent in 2001. “That is less than a 2 per cent gain,” Carol Stephenson, dean of the Richard Ivey School of Business in Canada, said. “And the proportion of companies with no women directors has remained the same since 2001 at 51.4 pre cent. What’s more, women chair only three of the 243 publicly traded companies on the Financial Post 500.”

Considering the many challenges now facing businesses, Professor Stephenson said that was a huge waste of resources. “I believe the business world needs more female leaders and their special leadership strengths. It needs leaders who listen and communicate, who understand and motivate, who focus on possibilities, rather than on limits, and who care about the bigger picture.”

Business has changed profoundly in recent years. Cost-cutting, downsizing and accounting scandals have practically become the norm. Employees are working longer and harder than ever.

Burnout is becoming an ever greater problem and company loyalty is almost a thing of the past.

“A recent survey of Canadian workers found that the majority would quit their jobs tomorrow if something better came along,” Professor Stephenson said.

Some of the special qualities that woman tend to excel in are actually qualities that all good leaders possess. These include self-confidence, dedication, an ability to work hard, integrity and vision.

“Confidence, dedication and vision are the qualities of traditionally effective leaders,” Professor Stephenson said. “But, along with these strengths, leaders must bring vital new qualities to the executive office today. I believe, and research proves me right, that women have these vital leadership qualities. One such quality is a refined ability to communicate effectively. It’s essential in a business environment characterized by rapid change and increasing complexity.”

It is generally accepted that women have superior communication skills. “They speak clearly and honestly. They listen with intent and invite feedback. And they act on what they learn. This honest and openness engenders trust, reinforces relationships and secures employee loyalty. It also breeds the transparency so critical to constructive discussions around the board table,” Professor Stephenson said.

When the Conference Board of Canada tracked the performance of boards of directors over several years, it found that boards with three or more women were far more likely to have conflict of interest guidelines and codes of conduct than all-male boards.

Another key issue is stress management and an ability to keep in touch with employee feelings. “Women are empathetic by nature,” Professor Stephenson said. “They are attuned to feelings. They acknowledge the importance of addressing emotion. This serves to counteract stress. As I have found throughout my career, when employees know that their leaders appreciate what they are going through- no matter how grim the outlook or how great the challenge- they take comfort in that knowledge.”

Because women have empathy, they tend to demonstrate more respect for the thoughts and opinions of others. “As such, they understand the value of a diversity pf perspectives and experiences in cultivation knowledge,” Professor Stephenson said.

“They know how to create working environments where employees learn, where ideas and innovation flourish. This empathy and the broader outlook it engenders level. As the Conference Board Further concludes from its research, the diversity that women bring enriches ‘the leadership palette’ of organizations with ‘different perspectives'.”

Female leaders also have a greater understanding of the role that business plays in society. “They recognize that a company has a purpose as part of a larger community,” Professor Stephenson said. “Female-led companies actively contribute to their communities. Their leaders often have a vision for their companies that employees can be proud of, that customers believe in, and that investors understand.”

According to another Conference Board finding, when more women serve on a board, non-financial performance measures- such as innovation and social community responsibility- increase significantly.

South China Morning Post
Saturday, October 14,2006