Following on from the hot-topics event last week, one of the really interesting panels was on “Barriers to Entry: Diversity in the 2023 Business”. The panel was made up of Albi van Zyl, Nidhi Howell, Maria Pilar Varela Sepulveda, Nafy Diagne and Anna Brailsford. It was an interesting conversation, and as such we were inspired to do some of our own research and provide some interesting reading.
So to start, a few stats taken from the event:
However, less than 7% of Fortune 500 companies have women as their CEOs, and less than a quarter of C-suites are made up of women.
Here, we look into the different facets of diversity in the C-suite community, underscoring why it’s not merely a tick in the corporate social responsibility box, but a critical driver of sustainable success.
Gender Diversity: A Long Road to Parity
Women and people from underrepresented groups have made great strides in business. However, there is still a long way to go before true equality in senior executive, C-Suite, and boardroom opportunities.
csuitediversity.comA clear theme in the event was that there were so few female role models to help women develop, so if young women “can’t see it, they can’t be it”. Or, to put it more simply, if just 7% of these businesses have CEOs who are women, then how can they possibly believe they can achieve the C-Suite level?
What to do?
You can’t solve things overnight, but equally Anna Brailsford was clear that the status quo has to be challenged. We have been talking about this for a long time, and she even suggested that those who put themselves out there to drive this change put a target on their back. It is crazy to think that to speak up about this could stop your chances of progression, despite its proven impact. Albi van Zyl suggested that programmes encouraging and mentoring women to deal with the self-doubt that is almost hard-coded into young women will help solve the problem.
Men are important
Yes, you read that right. Everyone on the panel agreed that men are critical in this conversation. Men are out there asking for help, as they clearly see the benefits (by data alone) of having a more diverse group of people at the C-Suite level. Indeed, it is possible that some women are also part of the problem: not willing to make the path easier because they themselves found the path hard, or applying further passive discrimination, recognising that being a mother to children is hard and thus assuming they may not be able to balance the demands of being a C-Suite member and a mother.
This is therefore not a gender-versus-gender problem, but a lack of action and investment into solving it. Interesting stuff! There is no clear solution, but what is evident is that the real challenge is inaction.
Age Diversity: A Springboard for Innovation
Age diversity in the C-suite enhances innovation, but also contributes to a balanced approach towards both short-term and long-term organisational goals. The insights from various experts and studies underline the need for a well-rounded and diverse C-suite to navigate the complex business environment effectively and drive sustainable innovation.
Socio-economic Diversity: An Untapped Vein of Richness
While data on socio-economic diversity in the C-suite remains minimal, evidence is beginning to show that it is an essential aspect, creating better engagement with a broader range of stakeholders and potential customers. The new generation not only have a lot to offer, but equally they want to see and work with businesses who are embracing their values, for example the ESG agenda.
Psychometric Testing: A Step Towards Holistic Diversity
Increasingly, psychometric testing for C-suite positions has become more prevalent, and hints at a broader recognition of the need for diverse cognitive abilities and behavioural traits in organisational leadership.
The Path Forward
The journey towards a diverse C-suite is laden with challenges, from unconscious biases and structural barriers to a lack of mentorship opportunities. Yet the reward, a leadership that’s reflective of the global marketplace and poised for innovative thinking, is well worth the effort.
As organisations slowly but steadily wake up to the imperatives of diversity and inclusion policies at the board level, the narrative is gradually shifting from “why diversity” to “how can we achieve and nurture diversity”. Again, to the panel’s input: we need to stop talking and start doing. Let’s explore it more.