Women make better business decisions than men: Companies with female directors perform better and cut risk of bankruptcy says the study published International Journal of Business.
“Now I assure you being a woman as you can see that the safest place to be on this one is on the fence.
The study goes on to say that there should be more women in the boardroom, and not just in the name of equality. They make better bosses than men because they are fairer and have more scruples. It means companies with women on the board are more likely to make decisions that benefit everyone, from investors to staff, rather than just the top brass Remember these are not my words I have a link to the study below my article for you to take a look for yourself. The study goes on to say that women also tend to consult others in the decision-making process, leading to a more cooperative feeling in the firm. The study, which surveyed 600 board members, concluded that female-influenced companies were more successful than male-dominated ones.
The study, published 2008 in the International Journal of Business Governance and Ethics, also found that male directors prefer to make decisions using rules, regulations and traditional ways of doing business. Female directors, on the other hand, are less constrained by these parameters and more prepared to use initiative than male colleagues.
In addition, female directors – who, globally, make up around nine per cent of corporate boards – are significantly more inclined to make decisions by taking the interests of multiple stakeholders into account in order to arrive at a fair decision.
They also tend to use cooperation, collaboration and consensus-building more often – and more effectively – in order to make sound decisions.
The study was conducted by Chris Bart, professor of strategic management at the DeGroote School of Business at Canada’s McMaster University, and Gregory McQueen, a McMaster graduate and senior executive associate dean at A.T. Still University’s School of Osteopathic Medicine in Arizona.
Bart said: ‘We’ve known for some time that companies that have more women on their boards have better results.
‘Our findings show that having women on the board is no longer just the right thing but also the smart thing to do. Companies with few female directors may actually be short-changing their investors.’
McQueen said: ‘Women seem to be predisposed to be more inquisitive and to see more possible solutions. ‘At the board level where directors are compelled to act in the best interest of the corporation while taking the viewpoints of multiple stakeholders into account, this quality makes them more effective corporate directors.’ Arguments for gender equality, quotas and legislation have done little to increase female representation in the boardroom, despite evidence showing that their presence has been linked to better organisational performance, higher rates of return, more effective risk management and even lower rates of bankruptcy.
Very interesting indeed!!!!!