New Delhi, December 07, 2023: EdelGive Foundation has released their report ‘A Study on Pathways to Leadership for Women in Finance and Economics’ that highlights the slow progress in women's leadership roles in India- only 100 out of 2000 (5%) companies listed on the National Stock Exchange have women CEOs. The launch event included a chat between renowned journalist Faye D’Souza and Shamika Ravi, Economic Advisory Council to the Prime Minister, GoI. Along with secondary research, the study has included in-depth interviews with 55 women professionals in senior finance roles across industries (e.g., CFO, Head of Audit).
The study presents insights from women leaders who have firsthand experience with workplace challenges, illuminating the need for broader support and resources to foster their professional growth.
One such insight of the report from a leader highlights that “While women are far better than men in terms of attention to detail, empathy, and many other aspects of leadership, the only thing they seem to be lacking is strategic thinking. This is because this needs to be built and cannot be acquired through an educational degree. Investments are far and few in between to support women in strategic thinking.”
The study found that diversity goals in recruitment can sometimes be perceived negatively, suggesting favouritism and undermining women's competence. Proactive measures by organisations and regulatory bodies are essential to cultivate supportive environments.
Speaking about the challenges women face in their ascension to leadership roles, Vidya Shah, Executive Chairperson, EdelGive Foundation, said, “The real barriers to women’s attainment of leadership positions start early on in their lives. From the selection of academic subjects in school to the weight of caregiving responsibilities, and the persistent need to disprove entrenched stereotypes at work, women face a layered struggle. They must confront not only immediate challenges but also dismantle the longstanding disparities built over years. Therefore, it is crucial for workplaces to recognize the complexity of these barriers and actively engage in reducing their impact on women's path to leadership.”
The study emphasizes the significant advantages women leaders bring, including pragmatic approaches, innovation, and a focus on ESG (Environmental, Social, and Governance) initiatives. Companies with diverse management teams report 19% higher innovation revenue. However, the current pace of change in women’s representation in corporate leadership – a mere 7.7% increase from 2014 – is insufficient for transformative impact.
On creating a pipeline of women leaders, Naghma Mulla, CEO, EdelGive Foundation, remarked, “Establishing a pipeline of women for leadership positions is critical for the growth of companies. The report serves as a vital guide in this endeavour. It emphasises the importance of diverse leadership perspectives and outlines strategies to nurture women employees. The report also tackles critical issues such as mid-management dropout rates and advocating for better back-to-work policies. These recommendations are key to empowering women, ensuring a steady flow of skilled women leaders who are essential for fostering innovative and inclusive organisational growth.”
The lack of women leaders in the pipeline was strongly emphasised by the respondents as well:
“There are not enough women in mid-management positions. Women tend to take a much larger share of responsibilities at home which automatically translates to them not being able to focus as much as a male would in their careers, and they end up pulling themselves back,” said a research participant who is the Global Head in an IT sector organisation.
Another research participant, a senior HR leader in the IT sector observed “It’s less about women being considered or not for those roles but more about the availability of women in certain fields. Even women who are available don’t necessarily put their hand up and say that they want the position.”
In addition to women leaders, the study also included academic institutions offering MBA courses in finance and economics, and NGOs focusing on women's economic empowerment. Their insights point to the enduring challenge of gender disparity in women’s ascent to leadership positions in organisations. Women are often steered towards support roles and encounter biases in leadership trait assignments. Family dynamics and societal expectations further impede women's career aspirations.
The report suggests pathways to move the needle on women’s leadership:
1. Policy and Governance: Adopting equitable policies for hiring and promotions, enforcing workplace safety laws, and implementing parent-friendly policies with effective grievance mechanisms and childcare support.
2. Inclusion and Awareness: Introducing women-centric policies, gender awareness programs, external gender equity reviews, and making gender representation a leadership metric.
3. Professional Development and Support: Focusing on upskilling, networking, and external participation opportunities for women, integrating leadership development into managerial responsibilities, and organizing confidence-building workshops.
4. Networking and Community Building: Establishing professional growth platforms like Employee Resource Groups and leveraging the influence of women in C-suite positions to increase their representation in senior management roles.
The report offers strategies to foster an environment conducive to women's advancement. The blend of qualitative and quantitative analysis serves as a foundational resource for designing targeted initiatives. These informed interventions stand to significantly contribute to the promotion of women in leadership positions while addressing the nuances of their journeys.
