A global study has added weight to a theory that has been garnering support over the last few years–and what many of us intuitively suspect–that gender diversity increases a business's bottom line. The Global Leaders Forecast 2018 by DDI, The Conference Board and EY analysed demographic data from over 2,400 organisations in 54 countries. Overall, gender diversity contributed to these companies being 1.4 times more likely to have sustained profitable growth.
While the study joins the likes of that by Catalyst, MSCI, and The Peterson Institute in demonstrating a positive correlation between gender diversity and financial performance, the workforce doesn't seem to be receiving the message.
Last year, McKinsey's report 'Women in the Workplace' found that only 42% of employees agreed that their company engaged with gender diversity because it leads to 'better business results'.
Based on McKinsey's findings, Phaidon International conducted a global study into why employees are less convinced of the business case than their employers. The feedback to our survey was astounding. We had responses from Cambodia to Cabo Verde and compared to ten percent of our last global survey, almost half of respondents went the extra mile to give a personal comment on the issue. In the Spring, the results will be published alongside concrete recommendations on how company leadership can raise awareness of the business case and turn employees into advocates for improved gender diversity in the workplace.
companies that have at least 30% gender diversity overall, and more than 20% at the senior level, outperform their less diverse counterparts in key leadership and business outcomes