Women on boards of directors: Why skirts in seats aren’t enough

an article by Stacey R. Fitzsimmons (Haworth College of Business, Western Michigan University, USA) published in Business Horizons Volume 55 Issue 6 (November–December 2012)

Abstract

Most organizations focus their attention on simply achieving gender diversity on their boards. This approach misses the point.

A complex relationship exists between board gender diversity and good governance whereby such diversity can have a negative, positive, or neutral impact on organisational performance, indicating that organisations may only reap the benefits of gender-diverse boards under proper conditions.

This article examines which conditions allow gender-diverse boards to flourish and which conditions lead to failure.

Organisations usually increase female representation on boards of directors to achieve one of two goals: gender parity or improved governance.

Each of these goals is influenced by different circumstances and thus must be approached in a unique manner. Three recommendations are offered herein for organisations trying to achieve each goal. Gender, ethnic, and cultural board diversity all share related justifications and challenges, so organizations that follow the recommendations in this article will be well positioned to benefit from all three sources of increased diversity on their boards of directors.

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