There is much debate and discussion about the impact of the Covid crisis on Diversity and Inclusion. There are concerns in relation to how this will set back progress, and that employers will be focused on fighting the fires of survival and thus be inclined to put ‘Diversity and Inclusion’ on the backburner for when they emerge into better times.
As we enter a new decade it is an opportune time to reflect on the progress of diversity on Boards and the challenges that lie ahead.
This past decade has been one where female participation in the business world has exploded into the headlines and onto our Boardrooms.
In the UK we started the decade with the Davis Report in 2011 which sort to drive a voluntary target of 25% of women on Boards’ of FTSE 100 companies by 2015. The target was successfully achieved and then superseded by a 33% target by 2020, which is also likely to be achieved. This model of targeted voluntary compliance has proved successful but there is still much to do in creating further diversity in the executive pipeline. Targeted compliance has provided a catalyst for increasing gender participation on the executive committee and subsequently feeding onto Boards. While less explosive and headline grabbing, this approach has largely avoided the accusation of under qualification and under experienced women on Boards, often thrown at the quota approach.
The amount of energy being 'token woman' on a board demands leads women to leave sooner, or it could be that they're being pushed experts warn
Women on FTSE 100 boards serve shorter tenures and are less likely to be promoted to senior roles, according to Cranfield University School of Management’s annual Female FTSE Board Report.
The sustainability of companies and businesses able to contribute and benefit all of their stakeholders, is increasingly at the forefront of the minds of Politicians, Regulators, Society Pressure groups and Individuals. It is also the clarion call of the massive Pension Investment sector focused on aligning investments to positive benefits and stewardship for society.
Written by Team NEDonBoard
On Jan 30th, NEDonBoard held its best practice evening on succession planning. Following an initiative by NEDonBoard, the professional body for non-executive directors and board members in the UK, chaired by Helen Pitcher OBE, we host a panel evening to present this new guide. NEDonBoard raises governance standards on boards across the UK by providing board best practice guidance on succession planning.
