EDITORIAL: GENDER DIVERSITY AND BOARD PERFORMANCE

As boards adjust to the social and business consequences of Covid-19 and geopolitical tensions, they appear to be at a cusp moment with respect to diversity. Following the long-awaited achievement of the Hampton-Alexander Review’s 33% target for women on boards, and considering the level of the impetus behind diversity in the corporate world as well as in the wider social and cultural arena, where does the conversation on this topic go next?

While the growing diversity on boards is clearly laudable, simply focusing on the numbers only goes so far. UK plc can perhaps congratulate itself that a growing proportion of boards are no longer ‘male, pale and stale’, but anecdotally there are still boards which are motivated by targets rather than a genuine appreciation of how a more diverse board can lead to superior performance.

A new study by Linstock, in association with the 30% Club, seeks to take this conversation forward. Lintstock’s extensive experience of working with corporate boards definitively evidences the nuances between male and female director engagement, demonstrating that a gender-balanced board is greater than the sum of its parts.

Through examining the engagement of male and female directors in board reviews, this study aims to illustrate how gender diversity contributes positively to board performance, over and above signalling that the board understands and serves all sections of the company and the wider community.

Better gender balance is not only a question of fairness – the Lintstock findings show that it is also a matter of effectiveness. Diversity of gender contributes to the diversity of thought around a number of board performance areas, broadening the board’s horizons and bolstering the support and challenge that directors are able to provide as a collective. They also take the opportunity to highlight areas where there was no meaningful disparity in views between genders.

You can read the full study findings here. 

Lintstock is hosting a free webinar on Wednesday 14th June from 08.30 – 09.30 am to summarise the key findings from the research. You can register for free here.