BRAVO TO THE Credit Suisse Research Institute for a new, comprehensive study ("Gender Diversity and Corporate Performance") on the impact of women directors. Looking at 2,400 companies worldwide, Credit Suisse found that the stocks of companies with at least one woman on its board have outperformed companies with no women by 26% from 2005 to 2011.
Why? According to the report, a company with female board directors shows that the company has a wider talent pool, a better mix of leadership, and already is well-run and performing better.
Hundreds of business and academic studies over the years show mixed results over whether the "d" word -- diversity -- is good for business and the bottom line. But the sweeping Credit Suisse report seems to go beyond political correctness, corporate marketing, or the cautious findings of scholars. It appears to be a strong indicator that diverse leadership is starting to pay off for companies.
- Credit Suisse Research Institute, "Does Gender Diversity Improve Performance?" by Mary Curtis, Investment Banking Securities.
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