Gender diversity in corporate leadership positions adds value
The Credit Suisse Research Institute has published the 2021 edition of its "Gender 3000" report, which examines the current situation of gender diversity by analyzing 33,000 senior executives positions from over 3,000 listed companies in 46 countries. The data indicate an overall improvement in the percentage of women in management positions and on boards of directors of the companies analyzed. According to the report, there is a " positive correlation between increased gender diversity in leadership positions and superior returns on capital, Environmental, Social and Governance (ESG) and stock performance”.
The key takeaways from the report are as follows:
- Between 2015 and 2021, the percentage of women on boards globally increased by 8.9 percentage points and "more than doubled if judged from the beginning of the decade." Europe and North America led the global average with 34.4% and 28.6% of women on boards. Within Europe, France leads with 45% of women directors on boards.
- Positive movements in all countries, improving in Oceania and Southeast Asia (Australia/New Zealand, Singapore and Malaysia). In Asia and Latin America progress has not been high compared to the rest of the regions.
- The percentage of CEO and CFO positions held by women is rising. The number of women CEOs worldwide has increased by 27% but they still represent only 5.5% of the total. Meanwhile, the number of CFOs who are women has increased by 17% and they now account for 16% of all CFO positions globally.
- According to the report, the growing importance of ESG factors (environmental, social and corporate governance) is reflected in the increasing number of ESG goals within executive compensation plans, being predominant those related to diversity and inclusion.