A new study by accountancy firm Grant Thornton – looking at companies in the UK, US and India – showed that having at least one woman executive on the board will boost performance.
The firm estimated that companies with male-only executive boards missed on $655 billion in 2014. In all three countries, the companies which had at least one woman on board outperformed those who didn’t. In the US, the S&P 500 companies with diverse boards outperformed rivals by 1.91 percent, which would translate into an “opportunity cost” of $567bn. Francesca Lagerberg, global leader for tax services at Grant Thornton, said: “The research clearly shows what we have been talking about for a while, that diversity leads to better decision-making. We only looked at listed companies in three markets and the figures are compelling. Now imagine extrapolating the results for all companies globally.” She added that the research should prompt both investors and governments to instigate change, as they are currently missing out on huge performance benefits.
Read the full story at BusinessWire.