Diversity

Global

Women in business:
building a blueprint
Data

for action
March 2019

Women in business 2019 1

Welcome Contents
05 Global findings 13 Positive actions
06 Drilling down 14 Designing the
08 Regional snapshots blueprint for action
Peter Bodin
12 Barriers to progress 16 Methodology
Global CEO

Grant Thornton’s Women in

business report 2019: building
a blueprint for action
Francesca Lagerberg
This year marks a shift in our reporting on gender diversity Global leader -
in senior management. Beyond publishing the figures network capabilities
and discussing associated recommendations, in 2019
we’re taking a step forward in outlining the conscious and
deliberate action businesses can take – practical steps
to increase the number of women in senior management,
across all job roles, industries and regions.
As leaders of the world’s dynamic businesses, you
hold the power to drive change. The last 12 months have
seen positive progress, but few of us, Grant Thornton
included, can put up our hands and say we are winning
at gender diversity; that business culture, recruitment
policies and staff retention schemes have created gender Kim Schmidt
parity at senior level. “We know this, because for 15 Global leader -
years we’ve crunched the global business numbers on leadership, people
thousands of businesses around the world,” says Francesca and culture
Lagerberg, Grant Thornton International’s global leader -
network capabilities.
“At the beginning of 2018, we looked at what we had
achieved in this space. We, like many other organisations,
had just not progressed far enough,” recognises Kim
Encouragingly, our 2019 research reveals the highest
recorded proportion of women in senior management
“To survive and thrive they are surprised that all businesses aren’t pushing for
balance,” says Francesca. “It’s refreshing to see businesses
Schmidt, global leader - leadership, people and culture globally at 29% – an increase of five percentage points in today’s complex global that have really embraced gender diversity, and it’s
at Grant Thornton International. “We saw that we were over the last year, suggesting a more active, targeted a wake-up call to parts of the world where diversity is
a perfect mirror reflection of what was happening in the approach to improving the situation. environment, organisations regarded as radical.”
external market.” Nonetheless, this falls short of ensuring long-term gender
parity. Businesses still need to take deliberate, ongoing
must drive culture Taking the next step
Doing the right thing action for sustainable change. “Targeted initiatives kick- change, embracing What this year’s research shows is that momentum is
Gender diversity isn’t just the right thing from a social start activity, but where you see a difference is when they starting to build. Now, on the foundations of our reporting,
standpoint; it’s the best thing for business. “There is are rigorously followed through, and where there’s real innovation and inclusion. and first-hand experience of the market, we want to
a significant research base demonstrating a strong
correlation between diversity at a leadership level and
commitment from the senior leadership,” says Francesca.
“It filters through an organisation so everybody knows: this
Diversity is fundamental to design an actionable blueprint for progress. “The time for
deliberate action is right now,” states Kim – and that’s why
business results,” says Kim. “In today’s complex, volatile is how we do things.” the future-fit business.” in 2019 we’re aiming to identify the concrete ways in which
environment, organisations need to be responsive and Some regions are doing better than others and there businesses can move towards gender parity.
innovative. And we know there is a direct link between are lessons to be learned from them: Eastern Europe has By engaging the global business community on this
innovation and diversity. Lasting diversity can only be the highest percentage of women in top roles, with 32% Peter Bodin, global CEO, issue, we hope to help enable positive, lasting change.
achieved by committed action to promote women, through of senior management in the region made up of females, “I look to the future and ask, why would you want an
sponsorship and support, by creating opportunities, compared with Latin America, the worst performing at Grant Thornton International Ltd approach that didn’t embrace diversity? It’s the only way to
removing biases and shaping an inclusive culture.” just 25%. “In countries that already have great diversity, build a team that can succeed,” says Francesca.

2 Women in business 2019 Women in business 2019 3

 “For any organisation to be
able to make an impact on the Global findings
critical yet neglected issue of
gender diversity, it is imperative
to get a complete handle on what
the gender parity data is telling
us – which in itself will create the Maintaining momentum
case for action” Globally, progress on gender diversity in business is being it the first time the proportion of women in senior leadership
made. In the wake of the #MeToo movement and heightened has exceeded one in four.
scrutiny of the gender pay gap, 2019 sees the highest However, positive progress has been slow in coming:
Kavita Mathur, people and culture leader, percentage of women in senior management on record, improvements stand at only 10 percentage points since
Grant Thornton India at 29%. This year also marks the biggest increase in the our reporting began in 2004, while, by 2018, we saw
proportion of women in executive roles around the world, that numbers had remained static from those recorded
rising five percentage points from 24% in 2018, and making a decade ago in 2009.

Global women in leadership in 2019

87% 29%
proportion of senior
proportion of roles held by women
businesses with at
least one woman in
senior management

Encouragingly, over the last five years, the proportion of global businesses employing at least one woman in senior
management has risen by 20 percentage points – 12 points in the last year alone. However, globally the proportion of
women in senior roles is still lying short of the 30% tipping point that is expected to open the gates to gender parity.

Proportion of women in senior management Businesses employing at least one woman in

senior management

30% 90%

20% 80%

10% 70%

0 60
2012 2013 2014 2015 2016 2017 2018 2019 2012 2013 2014 2015 2016 2017 2018 2019

Source: Grant Thornton IBR 2019

4 Women in business 2019 Women in business 2019 5

Drilling down “One action we can take to create
an inclusive culture is to raise
awareness on an ongoing basis.
It’s not about ticking the box and
making sure we’re doing all the
This year, we asked senior executives to identify the major Our 2019 research also shows that women still find it
right things; it’s about doing them
barriers they had overcome on their way to the top. While easier to progress in certain roles. Human resources far every day. And it’s talking about
women reported that they lacked access to networking and outweighs all other departments for female leadership,
development opportunities, both genders felt their key job while of the C-suite, the top finance position has twice as it every day, on every occasion
function left them too little time to focus on promotion. many female appointees as any other role. that arises.”
Leadership roles held by women Macha Pohu, vice president of talent
and culture, Raymond Chabot Grant
Human resources director
Thornton, Canada
43%

Chief finance officer (CFO)

34%

Chief marketing officer (CMO)

20%

Chief operating officer (COO)

18%

Sales director

17%
“I know from my own personal
Chief information officer (CIO) experience that gender diversity
16% leads to higher performance,
Chief executive officer (CEO)/managing director
a more inclusive culture, more
15%
balanced decisions. I believe
a business that is not gender
Corporate controller
balanced is not going to be
14% sustainable. The responsibility to
Partner build that inclusive culture is in
7% the hands of us as leaders.”
Other Peter Bodin, global CEO,
3% Grant Thornton International Ltd
Source: Grant Thornton IBR 2019

6 Women in business 2019 Women in business 2019 7

Regional snapshots “In our firm, we started measuring
leadership skills on assignments
and that has shifted our culture
journey to a more inclusive
environment. We had a lot of
strong female leaders who
Our 2019 research reveals marked regional differences in outperforming the global figure by three percentage points. were not appreciated for their
gender diversity among senior leadership, often rooted in Conversely, Latin America has the lowest figure, with just
country-specific cultural, economic and political factors. 25% of senior managers being women; while failing to leadership skills, and now we have
Leading the way is Eastern Europe with almost a third (32%)
of senior management in the region made up of women,
achieve significant movement in the middle ground are the
EU, Asia Pacific (APAC) and North America, among others.
identified those skills, we also
have more female partners.”

Karitha Ericson, chief operating officer,

Leading the way Grant Thornton Sweden

Eastern European women’s ongoing success (in our 2015 Meanwhile, our 2018 report ‘Diversity snapshot: ethnicity,
‘Women in business’ report, the region accounted for age and gender’ showed African businesses leading the way
seven of the top 10 countries for female senior executives) in both prioritising, and taking action on, gender diversity.
has been shaped by social and political factors. Modern Interviews by McKinsey & Company1 of 35 female business
Eastern Europe has offered opportunities for women to gain leaders identified a universal and robust work ethic because
technical skills and move into male-dominated industries, they “felt they had to work twice as hard as their male
with many women leading in the workplace. Government peers”. At the same time, mobile payment technology has
policies aimed at full employment and entrepreneurialism helped female business owners, particularly in rural areas,
have also inspired and supported women. by opening up access to financial services.

Eastern Europe

85%
proportion of
32%
proportion of senior
businesses with at roles held by women
least one woman in
senior management

Africa

94% 31%
proportion of proportion of senior
businesses with at roles held by women
least one woman in
senior management

8 Women in business 2019 Business 2019 9

Women in business
The middle ground Behind the curve
With the exception of North America, which has breached businesses with at least one woman at executive level: Southern Europe and Latin America both face cultural caring responsibilities outside work act as a barrier to their
the 30% mark, the middle-placed regions all sit just ASEAN leads the way in this group with 94%, followed barriers to the promotion of women within businesses. advancement. Likewise, despite the region’s predilection for
below the global average for the proportion of women by North America with 92%, APAC with 85% and the EU There remains a strong tradition in many Southern female presidents, many Latin American cultures still believe
in senior management, at 28%. With the exception of with 84%. All of these regions have seen a significant European countries that it is a woman’s responsibility to women should focus on family life, creating the “iron ceiling”
ASEAN (Association of Southeast Asian Nations), which has improvement in the proportion of businesses with at least care for the family, as highlighted by María José González, identified by Angélica Fuentes, former CEO of Omnilife3.
dropped from 39% in 2018, all of these regions have made one female senior leader, with APAC seeing the greatest Teresa Jurado and Manuela Naldini in the journal ‘South Our research shows that caregiving is a major issue for
a degree of improvement in this area. change for the better, rising 14 percentage points from European Society and Politics’2. Our research backs this up, women in the regions, with 24% of female managers
There is more variation regarding the number of 71% in 2018 to 85% in 2019. revealing that 27% of female leaders in the region find that citing it as a hurdle to progression.

North America Latin America

92%
proportion of businesses with at least
31%
proportion of senior roles
83%
proportion of businesses with at least
25%
proportion of senior roles
one woman in senior management held by women one woman in senior management held by women

The EU Southern Europe

84%
proportion of businesses with at least
28%
proportion of senior roles
83%
proportion of businesses with at least
26%
proportion of senior roles
one woman in senior management held by women one woman in senior management held by women

APAC

85%
proportion of businesses with at least
28%
proportion of senior roles
one woman in senior management held by women

ASEAN

94%
proportion of businesses with at least
28%
proportion of senior roles
one woman in senior management held by women

10 Women in business 2019 Women in business 2019 11

Barriers to Positive
progress actions
Our research questioned those who have already The business case for diversity in leadership is clear. If
made the leap into senior management roles about every country were to match the progress of the nation in
any barriers they had found it necessary to overcome their region with the fastest improvement towards gender
on their road to promotion. The biggest barrier for both parity, up to USD12 trillion could be added to annual global
men and women had been the difficulty of finding time GDP growth in 2025, according to McKinsey & Company4.
to improve their employment skills alongside core job When businesses understand their own position on
responsibilities, with men identifying this as an issue the gender parity scale, and how men and women move
more frequently than women. In four of the seven main through their promotion pipeline, they are in a position
categories highlighted, women were more likely to say they to take specific, appropriate action. In 2019, we looked at
had faced some barrier, and faced more barriers overall. the most common ways companies are attempting to gain
After job responsibilities, women cite being held back business advantage by having more female leaders.
by a lack of access to developmental work opportunities Our reporting shows that, in line with the positive
– the factor showing the biggest imbalance between the overall progress recorded, 75% of businesses are taking
genders. Restricted networking opportunities and caring deliberate action to improve gender diversity.
responsibilities outside work are the next most likely
hurdles for women to have overcome on their route to
executive roles. Actions to promote gender diversity being taken globally
Meanwhile, among those who felt they faced no barriers
to progression, there is surprisingly little difference in Ensuring equal access to developmental work opportunities
percentage between men and women. In 2019, our research
shows that the regions with the most leaders, both male 34%
and female, saying they perceive no barriers to promotion
are Africa at 42% and North America at 34%. “Diversity is not a women’s Creating an inclusive culture

issue. Women get it. They 31%

The barriers facing senior leaders Women Men

live with it every day.
Enabling flexible working
Change happens when
29%
Finding the time alongside core job responsibilities Caring responsibilities outside of work
leaders take action. So I
32% 25% want to have a conversation Providing mentoring and coaching

with the men in the room. 24%

33% 21%
Embrace it and own it.” Reviewing recruitment approaches

Lack of access to developmental work opportunities Employers not willing to invest in education and skills development 24%
Greg Keith, CEO,
27% 19% Grant Thornton Australia Setting targets/quotas for gender balance at leadership levels

23% 21% 19%

Introducing unconscious bias training

Access to networking opportunities Not having the money to invest in education and skills development 18%
26% 16% Linking senior management rewards to progress on gender balance targets

23% 18% 18%

Source: Grant Thornton IBR 2019 Source: Grant Thornton IBR 2019

12 Women in business 2019 Women in business 2019 13

Designing the
blueprint for action
Our 2019 women in business data clearly shows that,
despite the powerful business case in favour of gender
diversity, change at the top has been too slow in coming.
25%
proportion of women in management
At Grant Thornton, our years of reporting on women in positions, despite women making up 50% of
business, our experience as a global network of firms, and the world’s higher education graduates5
our own efforts to achieve gender balance at executive
level have shown us that progress comes through deliberate
action in targeted areas. By committing to these actions,
all businesses can drive positive change.

The business case for diversity is strong

17%
Our research on the value of diversity estimates the
opportunity cost (in terms of lower returns on assets)
for companies with male-only executive boards was a
staggering USD655 billion in 2014. Meanwhile, a study by proportion of women in positions on
Boston Consulting Group (BCG) of 171 German, Swiss and corporate boards within the G20 (women
Austrian businesses5 showed a clear relationship between make up 12% of executive committees)
diverse management teams and revenues from innovative
products and services. It also showed that innovation Source: ‘Women matter: Time to accelerate – 10 years of insights into gender diversity’,
McKinsey & Company, 2017
performance only increased significantly when more than
20% of management positions were held by women.

We can’t benefit from diverse leadership until gender Canada and Women of Influence7 found that although
bias in recruitment and development is eliminated only 32% of female respondents believed that reaching
Women are still experiencing gender discrimination when the C-suite was an achievable goal, this increased to 49%
applying or interviewing for a job. Add to this bias in talent if they had a mentor, and 61% with a sponsor. It’s equally
identification and hiring sources, and it’s little surprise that telling that organisations ranked highly on Fortune’s
in our research, 26% of women cited access to both internal World’s Most Admired Companies list8 have twice as many
and external networking as a barrier to advancement. But women in senior management as those at the bottom.
bias can be overcome: when a multinational consumer
products company revamped recruitment by demanding If these policies are promoted, we can create an openly We believe the power to create change The conversation for change
diverse lists of candidates, the proportion of women in its inclusive, supportive business culture lies within all of us, and want you to By discussing these areas of focus, the 2019 ‘Women in
leadership increased from 17% to 30% over four years. Research from BCG9 shows that men often overestimate join the conversation on how to design business: building a blueprint for action’ report aims to
the support women have in the workplace. When asked if guide senior business leaders in bringing more women into
a business culture that supports true
Once female talent is recruited, it needs to be retained their company offered support for women from executives leadership roles. “We are working on a blueprint that can
When we asked business leaders for our 2018 report why and middle managers, 72% of male respondents said yes, gender diversity. be implemented by any business to progress and sustain
they had gender equality policies, the most common compared with only 54% of women. And it has an effect: gender diversity, so we can face the future with leadership
response, at 65%, was to attract and keep employees. a Goldman Sachs study10 found that 49% of Japanese Follow our campaign teams that are fit for purpose,” says Kim Schmidt.
Among the most popular policies were paid parental leave women resigned because they felt stalled in their careers. At grantthornton.global/women- With this report, we’re highlighting the realities of the
(59%), flexible hours (57%), part-time working (54%) and in-business-2019, you can read our global situation – that despite recent progress, over two
remote working (40%). The importance of these policies is Aspiring to an inclusive culture includes recognising decades of initiatives in this space, change is too slow.
champions for action Q&As, connect to
shown in research by Catalyst6, which revealed that 83% where you stand right now, through data analysis And we are inviting business leaders from across the globe
of women with access to flexible working arrangements Only by knowing your own situation can you take social media and add your voice to help to contribute to the conversation on how to effect lasting
aspired to the C-suite level, versus 54% of those without. appropriate action. One quantifiable success story is forge the future of balanced business. change. Our champions for action are global business
General Mills USA11, which has increased its focus on figures leading the charge for gender diversity. They will
Opening up development opportunities will keep the diversity KPIs, with senior leaders accountable to the Join the conversation share success stories, advice and practical solutions.
best people moving up CEO for specific metrics. The proportion of women in the #WomenInBusiness And from these challenging discussions we will create
When women see other women in top roles, they are more company’s senior management team increased from 9% a practical blueprint for boosting more women into senior
#BlueprintForAction
likely to aspire to them: a recent study by American Express in 2013 to 33% in 2016. leadership roles.

14 Women in business 2019 Women in business 2019 15

Methodology About Grant Thornton

The Grant Thornton International Business Report (IBR) Grant Thornton is an award-winning globally recognised
is the world’s leading mid-market business survey, professional services network and is one of the world’s
interviewing approximately 4,000 senior executives leading organisations of independent assurance, tax
biannually in listed and privately held companies all over and advisory firms. Grant Thornton is a leading business
the world. Launched in 1992 in nine European countries, adviser that helps dynamic organisations to unlock their
the report now surveys more than 8,000 businesses leaders potential for growth.
in 35 countries on an annual basis, providing insights on Our brand is respected globally, as one of the major
the economic and commercial issues affecting the growth global accounting organisations recognised by capital
prospects of companies globally. markets, regulators and international standards-setting
The findings in this report are drawn from 4,900 bodies. Our global scale across more than 140 countries
interviews and surveys conducted in November and with over 53,000 people means we can meet your
December 2018 with chief executive officers, managing changing needs and provide you with the insight and
directors, chairs, and other senior decision-makers from all agility to help you stay one step ahead.
industry sectors in mid-market businesses in 35 countries. Privately owned, publicly listed and public sector clients
The definition of mid-market varies across the world: in come to Grant Thornton because of our technical skills and
mainland China, we interview businesses with 100 to 1,000 our industry capabilities, but also for our different way of
employees; in the United States, those with USD20 million working. Our member firm partners and teams invest the
to USD2 billion in annual revenues; in Europe, those with time to truly understand your business, provide you with
50 to 499 employees. For the purposes of this research, real insight and a fresh perspective to keep you moving.
senior management is defined as those holding C-suite Whether a business has domestic or international
jobs, such as chief executive officer (CEO), chief operating aspirations, Grant Thornton can help you to unlock your
officer (COO) or chief finance officer (CFO), managing potential for growth.
directors or partners.
Visit grantthornton.global today to find out how we can
help you.

Footnotes
1. ‘Women matter Africa’, McKinsey & Company, 2016
2. ‘Introduction: Interpreting the transformation of gender inequalities in Southern Europe’, María José González, Teresa Jurado and Manuela
Naldini in ‘South European Society and Politics’, Routledge, 2009
3. ‘In Latin America, why women face an iron ceiling’, Angélica Fuentes, ‘Fortune’, 2014
4. ‘Women matter: Time to accelerate – 10 years of insights into gender diversity’, McKinsey & Company, 2017
5. ‘The mix that matters: Innovation through diversity’, Boston Consulting Group, 2017
6. ‘The great debate: Flexibility vs. face time – Busting the myths behind flexible work arrangements’, Catalyst, 2013
7. ‘Women’s Leadership Study’, Nielsen for American Express and Women of Influence, 2015
8. Gender Forward Pioneer (GFP) Index, Shandwick, 2016
9. Getting the Most from Your Diversity Dollars’, Boston Consulting Group, 2017
10. ‘Womenomics 4.0: Time to Walk the Talk’, Goldman Sachs, 2014
11. ‘Getting the Most from Your Diversity Dollars’, Boston Consulting Group, 2017

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