In an article published a few weeks ago at the Fast Company, it is stated that although a small number of female executives targeted to be female CEOs, it was reported that there is an important source of motivation for female leaders in the present.
It is a fact that Gender Equality has a positive impact on business processes both economically and culturally. According to a research conducted by Catalyst, presence of female senior executives in executive management results in earning more than 41% in company income and 34% in shareholder profit.
Besides, only 5% of companies in the Fortune 500 are women, but 7% of total revenue in Fortune 1000 is obtained by companies where the female CEOs are in control.
There is unconscious bias throughout the business life. Even in Google image surveys, algorithms work based on gender preferences. Research shows that the image of the company is equally influenced by the presence of male and female CEOs.
In the ‘Female Reputation Premium’ report, a significant part is reserved for the reputation of CEOs. The 1750 executives (non-CEO role) of the medium and large scale companies from 19 countries participated in the test. 62% of the participants consisted of men and 38% of women. Unlike the predictions of men and women, more common leadership behaviors have been followed.
Among these; Competitiveness, Innovation, Stability, Collaboration, Inspiration, Taking Risk, Honesty, Being Ethical, Effective Listening, Valuing and Information can be listed. When gender-specific reviews of CEO evaluations are examined, it is especially important for men to see the big picture and make a strategy through:
– Having a clear vision
– Managing the crisis
– Having a global business agenda.
– It is also seen that they are evaluated more effectively in terms of rewarding.
When we look at women, they seem more effective in these areas, parallel to basic prejudices and expectations;
– Being open and reachable
– Taking care of others.
Another important result is that female CEOs are more inclined to talk in the media than men. (W- 39% M- 33%) In social media, female CEOs are more active than men. (W-% 20 / M-% 15) A small note was given to the report.
It is a fact that 23 female CEOs in the Fortune 500 are either unwillingly or unintentionally exposed to media spots.
Another interesting fact is that even though male and female leaders do not have numerical equality in their leadership roles, they both estimate the numbers positively. For example, Fortune 500 of the companies have a female CEO ratio of 5%, while male and female managers estimate this ratio as 23%.
The female leader rate targeting the CEO seat is not very high. Only 23% of the female managers who participated in the study indicated that they aimed to be CEO (1/4), whereas this rate was 32% for men. We see that the female CEO is becoming a role model for other women, and the targets for women are getting higher. In such a case, we see that the interest rate increases from 23% to 39% globally.
The gender and reputation of the CEO have been shown to positively influence the rate of female employees’ staying in the workplace and their commitment. 70% of female managers said that there is a female CEO and her reputation is absolutely positive for them to stay in the company.
As women become more likely to be role models in organizations, more women will be mentored and more women will be seen in CEO roles. As the presence of women increases at the level of management, the wage inequality of women also improves rapidly.
Although there are not many women on the wish list who want to be in the top management, organizations will continue to invest in diversity cultures to enhance talent pools and better respond to consumer habits.
(*) The contents of the article and the research report were taken from the article entitled “The Business Case for Women in the C-Suite” published by Lydia Dishman at Fast Company.