Many people dream of becoming entrepreneurs, and often the biggest...
Letting technology do the heavy lifting for certain monotonous tasks...
Accurate accounting is the bedrock of any successful...
Distinguishing between independent contractors (1099) and employees (W-2)...
April 6, 2022
According to Deloitte’s Women in the Boardroom: A Global Perspective report, women hold just 6.7% of board chair positions and 5% of CEO roles globally. This is despite the fact that businesses with “boards with multi-dimensional diversity experienced less downside and even revenue growth throughout the pandemic.” In particular, companies with more than 30% of board seats held by women outperformed their less gender-diverse counterparts, research shows.
There are many advantages to increasing diversity of boards. Let’s look at five top reasons:
– Research from Catalyst shows that “companies with the highest representation of women on their top management teams experienced better financial performance than companies with the lowest women’s representation.” This holds true for both financial measures analyzed: return on equity, which is 35% higher, and total return to shareholders, which is 34% higher.
– Apart from the obvious diversity in background, female directors contribute to boards by offering specific functional expertise. This expertise increases board heterogeneity, which can increase firm value, study shows. Another benefit of having female directors is better monitoring and oversight ability, according to a study of nearly 400 organizations.
– Female directors do not just improve financial performance metrics; they de-risk company performance by lowering reputational scandals and the likelihood of lawsuits and corporate crime, as well as improving CSR (corporate social responsibility) and ESG (environmental, social and corporate governance) by reducing the chance of environmental infringements and so on. Further, businesses with more women members on their board of directors are more likely to disclose their greenhouse emissions, according to a study.
– Women are less likely to be corrupt than men, according to The Economist. Few traits are as vital to leadership potential as integrity, because power corrupts and toxic leaders destroy teams, companies and even countries.
– A study from the Journal of Empirical Finance shows that “female board representation is positively associated with performance only for firms for which innovation and creativity play a particularly important role.” In fact, an increase of 10% in female representation on boards was associated with an increase of 7% in citations and 6% in innovation patents.
Our team is made up of seasoned professionals who bring years of industry experience to the table. You gain a trusted advisor who understands your business inside out.
Say goodbye to the hassles of hiring, training and managing in-house finance teams. You will never have to worry about unexpected leave of absence or retraining new employees.
Whether you’re a small business or a global powerhouse, our solutions scale with your needs. We eliminate inefficiencies, reduce costs and help you focus on growing your business.
Accurate accounting is the bedrock of any successful business operation. Yet, medium-sized businesses—those that have grown beyond the small-business stage...
Distinguishing between independent contractors (1099) and employees (W-2) is a pivotal compliance matter for U.S. businesses. Misclassification can result in...
Spring symbolizes renewal, making it an apt metaphor for startups aiming to secure fresh capital to fuel their next growth...
Payroll is more than just issuing paychecks—it’s a complex, high-stakes process that can significantly impact employee satisfaction, legal compliance, and...
For startups seeking sustainable growth, every quarter provides a treasure trove of data—but Q2 data can be particularly revealing. By...
By the time Q2 rolls around, many startups have a clearer picture of their performance and market positioning compared to...
For many startups, the summer months can be a dual-edged sword. On one hand, warmer weather and looming vacations can...
Tax season often triggers stress and complexity—especially for startups laser-focused on building products, acquiring customers, and scaling operations. Yet savvy...
The halfway mark of any given year is more than just a date on the calendar; it’s a valuable checkpoint...