Board Diversity: The Other Corporate Dividend

Looking for More Women in the Boardroom

Women are Still Absent from the Boardroom

In 2007, the nonprofit organization Catalyst, Inc. published a study in which it found that “Fortune 500 companies with the highest representation of women board directors attained significantly higher financial performance, on average, than those with the lowest representation of women board directors” (The Bottom Line: Corporate Performance and Women’s Representation on Boards, Catalyst, Inc., 2007). In response to the report, numerous private and public companies drafted initiatives to increase the number of women directors on their boards and to increase visible board diversity in general. But nine years later, progress in achieving those goals has been slow, and the “good ol’ boy” stereotype of corporate governance stubbornly persists as reality. Recent legislative resolutions and government agency policy declarations seek to kick-start a serious new effort to diversify corporate boards.

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