Uniqueness breeds creative thinking, which together with focus, can lead to great innovation. Diversity is the mantra here, becoming a staunch competitive advantage in the corporate world. The new-age workforce is one that capitalizes upon these synergies – being rooted in principles yet agile in nature, in order to readily adapt to this fast-changing world.
Gender balance is one such pivotal form of diversity, where having an equitable ratio of male and female professionals in-house can significantly steer strategic organizational thinking. The key is to encourage this concept across all areas of the firm, which includes increasing women participation in male-centric boardrooms.
The idea is simple – having a gender balanced board of directors (BOD) will prevent a static environment and monotonous problem-solving style, as women and men have varied thought processes and decision-making skills. They each hold some key distinct leadership traits, which if coupled together in a boardroom setting, can lead to greater efficiency and reduced human error
Many countries have consequently formalized gender inclusion by setting quotas for female representation on boards. India has also followed suit with its Companies Act 2013, which mandates every listed company and public company having a paid-up share capital of INR 100 crore+ or turnover of INR 300 crore+, to have at least one women director on board. Whilst this has surely been a much-welcomed change in the Indian periphery, significantly driving up the quantity of female directorships in the past five years, the substance over form of their representation is still under review. Are companies carrying out this change in full spirit or merely completing this as an act of token to comply with the law? The views are mixed and vary from company-to-company
In order to examine the big picture, Mazars has conducted a data study on the board composition of the BSE 100 (Bombay Stock Exchange) firms, analyzing their career progression of women till date. The aim has been to understand what milestones have been covered post the implementation of Section 149 and assess whether there are any impending gaps that need attention.
We welcome you to explore our Thought Leadership Report – Working Up Women 2.0 – and take part in this diversity drive