Companies with women on boards achieve higher long-term business results than those headed only by men. That is according to the Gender diversity and corporate performance study by the research institute of the global bank Credit Suisse (Credit Suisse Research Institute). The study compared share price performance of more than 2,360 companies from around the world including the Czech Republic since 2005.
It turned out that companies with at least one woman on board reached a 16% return on equity which is 4% more than the companies with purely male boards. During the six years studied, they managed to increase turnover by 14%, while the purely male boards were able to increase their companies's turnover only by 10%.
Although the study split the studied companies into two groups according to their size, the companies with women on boards were clearly more successful in both the groups. According to study findings, gender diversity bears better company performance because it provides greater efforts of boards, better mix of leadership skills, access to a wider pool of talent and better consideration of customers.
The whole study is available for free download on the Credit Suisse website here.
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