Australia is Pushing for ‘Waves of Change’ for Women in Senior Roles

By Nicole V. Rohr

In November 2013, the Business Council of Australia (BCA) published the report Increasing the Number of Women in Senior Executive Positions: Improving Recruitment, Selection and Retention Practices, based on its July 2013 launch of the Action Plan for Enduring Prosperity. The report highlighted ambitious efforts to increase women in senior roles in BCA organizations from 46 percent to 50 percent by 2023.

As part of the proposed plan, the BCA published a letter to members, a checklist to help companies increase the number of women on senior executive boards, and a report to act as a support tool for companies as they review and change recruitment and promotion standards in alignment with the BCA plan. These documents include categories like “The role of the CEO,” which detailed the expectations of leadership in order to encourage gender diversity. According to the report, the role of the CEO is inclusive of including “the achievement of gender diversity within an inclusive culture as a significant strategic objective of the organization”, as well as overseeing the development and implementation of the strategy to achieve it.

It is also recommended that leaders “sponsor talented women into senior roles and participate in a socialization program with identified internal and external female talent [and] ensure and model the company’s approach to flexible working arrangements in ways that do not prevent progression of women within the business.”

The BCA report also outlines “waves of change” that can lead to improved business performance. “Given that talent is randomly distributed across both genders, there is a high probability that at least half of a talented workforce will be women, so to take 90 percent of company leadership from just 50 percent of the talent poll – the males – simply does not make sense,” the report noted.

Is the US Ready for a Similar Plan?
Could something like the BCA’s plan work in the United States, making senior roles more accessible to women, leaving CEOs more enlightened, and increasing performance? Jane Ott, President of North South Capital LLC, said that in order for aggressive action to be taken, citizens have to believe that the targeted group is in need of the assistance, and that that change in attitude has not yet happened in the United States.

“I don’t think that [U.S.] society really thinks of [women] as disadvantaged,” Ott said. “It’s been done for so long where men have been the leaders and they have kind of set this way of how we conduct business. And it’s not necessarily a bad thing, it’s just that there are some skills that [women] can put in there.”

Ott explained that she in fact focuses on recruiting female employees and clients, and that during the past year, she has seen huge opportunities in the market as more women come into wealth. She cited a Pershing white paper titled “The 30% Solution: Growing Your Business by Winning and Keeping Women Advisors,” which makes the case that retooling recruitment strategies can aide in attracting and retaining female professionals within financial services, and help companies better serve a more diverse population of investors.

Robin Ross, a leadership and career coach at R2 Coaching and Principal at RSR Advisory LLC, expressed hope for women in senior roles in the U.S., though she admitted it might take longer.

“I’m hoping that I’ll see this in my lifetime. If it does happen it will take years. The reality of it is… time has not worked so far,” Ross said. “There are subtle biases that exist. These things are hard-wired into our brain. It’s the natural tendency to hire and promote people who look like you do.”

Progress in California
Ross pointed out that though it is a small step, a piece of legislation in California known as SCR-62 is the first in the country to encourage equal gender representation on corporate boards. A press release states that in California, women account for only 10.9 percent of senior roles and board seats among the state’s largest publicly held companies. SCR-62 outlines a plan to improve these numbers by the end of 2016.

More Than a Numbers Game
But for some like Dorothy Friedman, Vice President of Marketing for Fidessa, it’s bigger than just numbers.

“It’s more about men and women working together to make sure the best people fill the roles at a particular company,” Friedman explained. “Women often think they if they work hard and do a great job, they will be recognized and promoted. Women need to ask for the positions they want.”

Friedman said that she does not foresee the U.S. government spearheading an initiative like the one in Australia, but that the efforts of independent groups could make this goal a reality. Groups like Women in Listed Derivatives (WILD) promote the advancement of women and in combination with other groups, could influence a statewide or national movement. Friedman says that part of the responsibility is on women to find mentors, make the right connections, and ask for what they want at their company.

“Women taking action to work for, empower, and mentor other women is how I think women will continue to succeed in this country,” she said.