By Aimee Hansen
During the month of August, The Glass Hammer will be focusing on Asia, featuring profiles of senior level women who are showing up to challenge the gender gap in Asia with their own journeys to leadership.
Here, we take a wider look at gender dynamics in business in Asia, where the picture painted is both paradox and progress. When it comes to women representation in business leadership, Asia is at once behind and ahead. For all the societal factors holding women back, marketplace and cultural dynamics are also pulling women into leadership and the C-Suite.
Behind in The Boardroom
A recent Korn Ferry Diversity Scorecard study tracked board composition in the largest 100 publicly listed companies in ten Asia Pacific economies, and found that on average 10.2% of board members in Asia Pacific are women (9.2% if exclude Australia), compared to the United Kingdom (26.1%), the European Union (20.8%) and the United States (18.7%).
All-male boards in Asia Pacific decreased significantly from 53.2% (2012) to 39.0% (2014), but it will take ten years of growth at current pace to be on par with benchmark Western economies.
From the perspective of boardroom representation, Asia is behind, and gender gaps are often costly. The World Economic Forum has reported that failing to rectify the gender gap in the workforce costs Asia $42 to $47 billion a year.
On the other hand, bringing women into the boardroom is financially advantageous. The Korn Ferry study found that Asia Pacific companies with at least 10% female board members delivered a return on equity (ROE) of 14.9% compared to 12.6% for those with fewer or none.
When it comes to boardroom gaps, the gap is often attributed to a limited supply of top level candidates related to inequality in access to education (eg. rural China), lower wages, infant survival rates, and sweeping societal disadvantages for girls and women. According to female leaders in China, this includes being seen as the sole caretakers and the deeply ingrained belief in the Asia psyche that women are used to “taking instructions,” especially in countries like Japan.
Korn Ferry’s report stated, “Beyond the statistical gap, we also observed that Asian boards seem to adopt a more systemic and collective ‘blindness’ to the value of diversity based on a more traditional patriarchal approach. Without a fundamental change in attitude, the diversity agenda will continue to be hampered and discourage qualified women at the leadership and board level.”
Leading at Executive Level
Here’s the paradox. When it comes to executive leadership, the picture reverses, and female representation is ahead in many countries in Asia.
A 2014 global study by Grant Thornton showed that the proportion of women in senior management was much greater in China (38%) and Indonesia (41%) as well as Southeast Asia, than in the US (22%) and European markets like the UK (20%) and Germany (14%).
According to Fortune, “though 126 of the top 300 companies in China lacked female board members (42%), only 31 of those companies lacked a female senior executive (10.3%)” in early 2015.
An IRC study found that as a percentage of total CEOS, Asia and Australia have more women CEOs (11.8%) than Europe and Americas (7.8%), and one study has shown that China has a greater proportion of female CEOS than the US. China has the most female self-made billionaires in the world. Looking at China alone, boardroom representation is 12.9%.
Women are not represented at executive level in all countries or business areas. For example, India has only 14% women executives, and Japan has only 9% (as well as only 3.3% boardroom representation).
When it comes to finance, Oliver Wyman found that 13% of execs and 14% of board members in finance are women in Asia, compared to 21% and 23% respectively in North America, and 16% and 24% in Europe.
But there is an increasing women executive presence in Asia. Even when the boardroom is considered, the recent two year momentum in getting at least one women on boards is impressive when compared to pithy gender diversity advancement on boards in the US.
Momentum towards Leadership
Many factors are allowing women to advance into management in Asia.
In Southeast Asia, 35% of senior executive positions are held by women. The Grant Thornton report states that free, in-built childcare as a result of tight-knit family units is partly responsible.
In China, radical urbanization and increased opportunities to further education have empowered women, while the defunct one-child policy has encouraged access to education for girls and entry into the workforce. The ratio of females to males in tertiary education is now at a 111 index in China and 107 in East Asia.
One of the most powerful factors in women’s advancement is rapid economic development of the private sector.
A study out of the Chinese University of Hong Kong Business found a direct correlation between emerging private companies and increasing recruitment of women and hiring women as CEOs.
During a nine year tracking period from 2000-2008, the researchers found that women CEO participation rose from 4% to over 8% in the private sector, increasing over time and at a faster rate, while remaining flat in state-controlled firms.
The researchers compared the marketplace to government initiatives in driving change: “Studies have shown that competitive forces are generally more effective in bringing women managers into companies, because market mechanisms may be better at identifying and rewarding strong performers. When you face competition, you have to remove bias and focus more on bottom-line issues.”
The researchers speculated that competition may be driving a more gender-neutral approach to top management, making traditional networks less relevant and leadership skills more appreciated in private firms.
“As the Chinese economy becomes more balanced in terms of state-owned and private firms, and as state-owned enterprise reforms deepen, more and more female business leaders are likely to emerge,” stated the researchers.
Looking Ahead
With a wider pool of women in executive roles in Asia, it seems the case that boards lack top-level talent to choose from has an expiration date.
The underlying psyche of inequality will need to catch up with a changing reality in Asia, and boards will need to mix up their selection process.
While the market and changing cultural dynamics may be putting women into leadership, the next step are seats in the boardroom, while more fundamental inequalities still seek to be addressed in many regions including rural China and countries like India and Japan.
But changes are happening. Increased boardroom representation in Australia, India, and Malaysia were aided by government initiatives, while pressure in Japan has been increasing the presence of female directors.
According to the FT, some prestigious business schools in Hong Kong and China are looking at how to move advanced education from gender blind to gender sensitive, exploring options such as early-career masters programs that gain more female enrollment. Research shows that 72% of women graduates in China hope to become C-level executives.
Over the next few years, we stand to witness a fascinating phenomenon in gender equality where Asia is both catching up…and leading.
Voice of Experience: Xing Zhou, Diversity & Inclusion Leader, PwC China
Voices of ExperienceYou can fulfill your dreams in your work life and also enjoy your family life.
Zhou began her career with the Central Bank of China where she spent three years before deciding on a career change that took her to PwC in Shanghai. She soon was offered the opportunity to work in the New York office where she was promoted to manager before returning to her hometown of Beijing.
For the past 14 years she has worked with PwC in Beijing. Zhou is currently the insurance industry leader for PwC China where she oversees all the services they provide to the insurance industry, including audit, consulting and tax.
Since insurance is a relatively new industry in China, Zhou says it has been gratifying to watch the discipline mature over the past 14 years and see the contributions that PwC’s team has made to its growth, as they work with regulators and key market players to introduce best practices from the firm’s expertise overseas.
Going for the Gold
Recently, Zhou participated in one of her most exciting professional obligations to date: She was chosen to be part of the eight-person delegation that represented Beijing’s winning bid for the 2022 Winter Olympics. She participated as the financial expert on the committee, collaborating with many top dignitaries, including the Vice Prime Minister of China and Mayor of Beijing.
“To have all these accomplished people respect my professional expertise in finance provided an incredible amount of satisfaction, to have my many years of hard work acknowledged,” she says.
Participating in the committee was also rewarding because it reinforced that she was able to take on any challenge, even something outside of her comfort zone. “Each success like this builds your confidence,” she notes.
Promoting Diversity from Different Angles
Zhou says that the concept of diversity is newer in China and Hong Kong than in the western world, and was largely introduced by global companies such as PwC. While gender diversity is important to ensure that female employees have equal opportunities for promotions and upward mobility, she says that China’s culture, which encourages women to work outside the home, makes it easier to balance men’s and women’s roles.
However, there are two new areas where they are shining the diversity spotlight. The first is on cultural diversity, where teams of people from mainland China, Hong Kong and expatriates are learning to work together and value the viewpoints and contributions of disparate groups.
In addition, they are increasingly encountering generational diversity from younger colleagues, as well as younger clients due to the many new start-up firms that seek their services.
As Diversity Leader for PwC China/HK, Zhou’s core focus is to create an inclusive working environment. She acknowledges that’s easier to talk about than to create, so she says that it’s important to make sure that diversity is part of the strategy of the firm.
One way they encourage diversity is through recruiting, by intentionally making sure that they seek a diverse pool of candidates, which includes bringing folks together from mainland China and Hong Kong as well as expatriates. As a consequence, the advisory team stands to benefit from a plurality of talent.
Then they have a three-pronged strategy to ensure the concept infiltrates throughout the firm.
First, PwC makes sure everyone understands the issue by providing mandatory training to leaders on unconscious bias; then they share those lessons with the rest of the workforce; and finally they intentionally monitor it via KPIs.
Work/Life Balance Challenges
The biggest challenge that Zhou finds Chinese women face is pressure from their families – from husbands through in-laws – to work less. She feels part of that stems from the traditional one-child policy, which put the sole family focus on caring for one baby.
She hears from her employees that sometimes their families assume their focus will shift from their work to their child when they become mothers.
“When my staff members come to me and say that they feel pressured, I ask them, ‘What do you want?’ I remind them that being a mother brings life changes, but that they remain the same person they always have been,” she says, adding that everyone has their own specific goals; some may choose to dedicate most of their time at home, while others may elect to continue working.
“Each person has to look inside themselves and make their own choice without feeling pressure from family members, and then ask them to support that choice,” she asserts.
She also finds that global mobility for women is a growing area of focus. While PwC has a mature global mobility strategy, it’s become a hot topic for many Chinese companies that have started to globalize their businesses, but don’t yet have policies in place. PwC has been instrumental in sharing best practices, having recently published a thought leadership paper on moving women with purpose.
Part of the reason that women don’t go overseas from China as frequently is that few companies have formal policies in place, and often there is no mechanism to survey them to assess their interest. Interestingly, she says that when PwC surveys its employees, 70 percent of them express interest in an overseas assignment. From there, the key concern is the career path after they return.
Maintaining Work/Life Balance in Her Own Life
Zhou values her work/life balance and appreciates the support she receives from her parents and in-laws, but most of all her husband. As a doctor, he understands the professional challenges she faces and the two of them are able to support one another’s struggles and schedules.
Weekends are family time – even when there is work to be done. Her children love to join her at the office, where they can draw on the whiteboards and find other ways to amuse themselves. She encourage her staff to bring their children in as needed, also.
Finally, her family plans plenty of outside activities from skiing to weekly art lessons they take together. And, she adds, she loves to cook, a hobby that her family can enjoy also.
Why Being a Working Mom is Good for Your Children, Not to Mention Gender Equality
Career Advice, Work-LifeAs part of their new Gender Initiative, which seeks to “change the conversation around gender and work”, Harvard Business School released a study of over 30,000 adults across 24 countries which explored how having a working mother as a child affects educational, economic, and social outcomes as an adult. A working mother was defined as a mom that ever worked (part-time, full-time, etc) outside of the house before her child (the survey participant) was 14 years old.
Across the 24 countries, daughters of working mothers grew up to be more likely to have completed more years of education, to be employed, to be in supervisory roles, and earn higher incomes than daughters of non-working mothers. Sons of working mothers grew up to spend more time on household chores and taking care of family members than sons of non-working mothers.
Particularly, daughters of working moms in the USA have half a year more education, are 36% more likely to have a supervisory role (33.4% v 24.6%), and earn 23% more ($35.5K vs $28.9K average) than daughters of non-working moms. Sons of working moms spent 7 more hours caring for family members and 15 minutes more housework compared to sons of non-working moms.
According to lead researcher Dr. Kathleen McGinn, “This is as close to a silver bullet as you can find in terms of helping reduce gender inequalities, both in the workplace and at home.”
The Impact of Alternative Parental Role Models
Exposure to role models is critical for women in the workplace, in order to be able to envision yourself in a role which otherwise might not seem accessible. The working mom effect also comes down to alternative role modeling, the opening of possibilities around roles and responsibilities.
The researchers were not concerned about the nature or intensity of a working mom’s work, whether it was full-time or part-time, but rather simply how it played out when children were exposed to “a role model who showed you that women work both inside and outside the home.”
According to McGinn, “What it’s about is modeling alternatives for your children, letting them see that there are multiple roles that women can play and multiple roles that men can play in their lives at work and lives at home.” As the study showed, experiencing alternative role models that “aren’t constrained by really tight gender stereotypes” had different impacts for daughters and sons.
“What daughters of working moms see is that it’s okay to go to work, it’s completely normal, that’s something that women do,” said McGinn. “Sons see something really different and that is everybody has to pitch in here. There’s no good way to maintain a management of a life outside of the home and a life at home unless everybody at home is working together.” Previous research has shown that sons of working moms are also more likely to be married to working women.
McGinn told the Washington Post, “…working moms are affecting their children’s gender attitudes. They’re affecting the way they think about what’s appropriate behavior. And those gender attitudes in turn are affecting outcomes.”
Underlining the point, she says, “There are very few things, that we know of, that have such a clear effect on gender inequality as being raised by a working mother.”
No One Path For Parenting
According to McGinn, “There’s very, very little research suggesting that being raised by a working mom is bad for kids. I think that’s something we harbor.” It appears we do, and it’s exactly these notions that the research hopes to dispel.
A previous Pew survey found that while 34% of working moms felt increasing numbers of working moms were good for society, an equal 34% felt it was bad, and a further 31% felt neutral about it.When you look at the total population, negativity towards working moms gets stronger (41%), showing the influence of a strong societal belief. But when asking all adults this question, respondents with a working mom were less negative than those without.
Mothers who work full-time are also likely to be hardest on themselves when rating their own parenting, only 28% rating themselves as a 9/10 (about same as dads at 26%) versus 41% of part-time workings moms and 43% of non-working moms.
As Gender Initiative director Robin Ely points out, “So much of what people think they know about gender is simply not substantiated by empirical evidence but instead is informed by gender stereotypes.” The objective of the initiative is to break the conversation from the stereotypes.
In the HBS study, working mothers actually spent equal time caring for their children.A meta-analysis has shown that children of working mothers have less depression and anxiety and recent research found that quantity of time with children between ages 3 and 11 matters less than the quality of your presence when you’re with your children.
McGinn is quick to point out that this doesn’t mean moms should work, just that there are benefits to alternative role modeling which go against societal preconceptions.
“There’s a lot of parental guilt about having both parents working outside the home,” McGinn says. “But what this research says to us is that not only are you helping your family economically—and helping yourself professionally and emotionally if you have a job you love—but you’re also helping your kids. So I think for both mothers and for fathers, working both inside and outside the home gives your kids a signal that contributions at home and at work are equally valuable, for both men and women. In short, it’s good for your kids.”
Ultimately, it’s up to every family and every woman to make their own decisions about what is right for them and not based on societal ideas of what’s right for all families, all women, or all children.
No such “right” exists.
By Aimee Hansen
Do women want to be CEO? Or is their goal thwarted by incongruous perceptions?
LeadershipYes, in part, as there are visible and less visible organizational mechanisms that can prevent women from excelling based solely on the fact that they are women. An example of this is the performance review research that we explore in this article. There is also a misunderstanding of what power is and how it can encumber a woman’s pursuit of leadership more than it would for a male colleague. Do women simply not understand the rewards? Are we told not to expect them as quickly or ever? Is the unlevel playing field too exhausting? Or do we simply not want it enough?
Systemic Hinderances – Bias in the Humans Means Bias in the System
A study by Kieran Synder produced some interesting findings. It was based on 248 reviews that she gathered from 180 people— 105 men and 75 women. The reviews came from 28 different companies and included large technology corporations, mid-size companies, and smaller environments. Snyder’s objective was to determine the correlation between gender and negative feedback. Corporate evaluations of this type are generally considered a platform for constructive criticism that can help a professional grow and become more productive. But how “constructive” is a biased assessment? Snyder’s study revealed that reviews for women were far more likely to contain acrimonious evaluations and caustic notes about personality flaws. While both men and women were given suggestions that could be considered constructive, it was primarily women who were told to change their ways. The findings were the same whether the reviewing manager was male or female.
Snyder details 83 critical reviews received by men. Only 2 had comments about the professional’s personality. However, the 94 critical reviews of female professionals contained 71 negative personality comments. The upshot of the findings is that while 76% of the females had been assigned traits by their assessor that were perceived as “personality flaws” those same traits were ignored (and possibly seen as a positive) in male counterparts since only 2.4% of males “personality” were even commented on in the reviews.
What Women Want
Melinda Marshall is the co-author of the report, from the Center of Talent Innovation, “Women Want Five Things.” Her extensive research on women in the 35-50 age range revealed a dip in their aspiration for more power despite the key finding that it is power that enables women to achieve what they want.
There is an incongruous perception amongst women who are at the peak of their careers regarding power. Their viewpoint is that the burden of an authoritative position outweighs the benefits. This perspective is shared by 60% of the women surveyed in the U.S., 65 % of women in the U.K., and 49% of women in Germany.
It is not that they lack proper ambition and qualification. Rather, it is that these women do not see executive roles as a viable means of achieving what they are really after: “the ability to flourish, a way of reaching for meaning and purpose, and the desire to excel, empower others, and be empowered.”
Though corporate goals for both genders are similar, the motivation among female professionals is waning. They simply cannot see how the value of having a top position warrants the struggle necessary to reach and maintain it.
Marshall concluded that “Sometimes women do not have clear goals, early mentorship and sponsorship by women leaders who can make a difference.” By making an effort to single out promising women and encouraging early positive dialogue, corporations can aid in developing female executive talent before aspiration begins to dwindle.
In addition to identifying the value proposition of women with leadership potential, Women Want Five Things contrasts the “realities” of holding a powerful position with the “female expectations” of having a powerful position. Instead of regarding power as something that will hold them back from reaching their five point value proposition, women can begin to view leadership as a positive force that can help them achieve their goals. Marshall explains the equivocation many females have about attaining power. They may hear and focus on the guilt a female leader experiences after having made personal sacrifices, and they conclude that reaching for the top is simply not worth the effort. However, when women are able to see that their value proposition will be fulfilled with a position of power, they are compelled to strive for success.
Nicki Gilmour, organizational psychologist and CEO of theglasshammer.com comments “Power and authority dynamics are at the very heart of the diversity question. Women and men often have similar corporate goals, and it is rarely discussed that men should be anything else but successful at work which is a huge disservice to both sexes since some men just like some women just aren’t that ambitious. It is, however, but the constant scrutiny of female executives’ behavior along with the systemic hindrances that are built into the system historically that continues to define what leadership traits look like. The incongruence lies here not with the individual’s desire for power since with every other message women are given throughout their life on how to be is very misaligned with traditional ideas of how an executive should act, therefore being it less appealing.”
By Kathleen Delaney
Leadership – How to develop yourself to be the leader you need and want to be | Part one
Career Advice, Career Tip of the Week!One of my favorite books on leadership and women at work generally is called “Act Like A Leader, Think Like a Leader” written by one of my most admired academics, Herminia Ibarra from INSEAD. Why I like her book so much is that it is practical yet deeply rooted in a subject her and I both have passion for. What is that? Organizational learning and leadership development work.
In fact, one of her sub chapters in the book on how to be a great leader is called,”Steal Like An Artist”. She states that nothing is original and we have to stand on the shoulders of giants to keep evolved concepts and ideas. True to that, the book itself encompasses many of the best theories from other top academics so you get to read it all on one place as well as read Herminia’s insights which I think are top notch. So since imitation is the sincerest form of flattery, I am going to endorse and share with you over the next two weeks in this column what Ms. Ibarra has to say on being more of a leader, being authentic as a leader and finally ensuring you want to be one.
Let’s start with looking at a self-assessment from her book – do you want to step up? Are you in a career building period? Or a career maintenance or a even a career transitioning period? Note: people come to me to be coached in any of these three stages.
Answer the questions with a yes or a no.
Have you been in the same job or career path for at least seven years?
Do you find yourself restless professionally?
Do you find your job more draining than energizing?
Do you resent not having more time for outside interests or family?
Do you have a changing family configuration that will allow you to explore other options?
Are you admiring folks around you who are making big changes?
Has your work lost some meaning for you?
Do you find that your career ambitions are changing?
Recent events have left me appraising what I really want?
Do you find your enthusiam has waned for your work projects?
If you answered yes to 6-10 statements then you could already be deeply in a career-transitioning period. Make time to reflect on your goals and see if your life goals are evolving also.
If you answered yes 3-5 times then you may be entering a career-transitioning period. Work to increase insights and “outsights” which are new horizons that appear from doing new things and meeting new people.
If you got 2 or less yeses then you are more likely to be in a career-building period in your current job so you are busy working on developing within that role, team or firm.
Ultimately, people often go for bigger jobs when they feel the excitement wane, so if that’s the case, let’s see how we can help you get what you want at work!
If you are interested in hiring an executive coach to help you navigate your career the contact nicki@theglasshammer.com for a no obligation chat.
Voice of Experience Ay Wen Lie, Partner M&A Advisory PwC Singapore
Spotlight on Asia, Voices of ExperienceKLM had a joint venture with Northwest and was considering the option to merge with the airline Alitalia.
However, the merger with Alitalia did not go ahead and instead of growing the business, the focus shifted to cost savings and selling off non-core businesses. After a few years of continuous downsizing, she wanted to turn her attention to the act of building something, focusing on business growth and exploring her entrepreneurial capabilities. She started her own company together with her sister, focusing on interior lighting with products made from natural materials and the use of traditional handcraft in modern designs.
For several years, they built the business, refining the concept and expanding the business, primarily through selling B2B at trade shows. Although it was challenging, she appreciated the sense of control and excitement of building something from scratch. However, in a small company, at some point the business cycle remains the same — constant travelling in search of new producers, developing new products, quality control, tradeshows, shipping and designing new products. She decided it was time to turn to something new, where she could develop new skills and explore other opportunities with more variety. That’s when she joined PwC in the Netherlands.
“Even though the company was doing well I wanted to see what else was out there” Lie says.
“I didn’t see new opportunities for my personal development that I could get excited about. My sister, who loves creating new designs understood, and she has continued the business together with her husband”.
Although she grew up in the Netherlands, her family is Chinese-Indonesian and it had always been her ambition to live abroad with her husband and children. After a few years at PwC Netherlands, they offered her an international assignment opportunity abroad: The United States, China or Singapore.
Location, Location, Location
The couple chose Singapore because of its location as the central hub in South East Asia that was close to family, the opportunities that came with a booming Asian economy, and the fact that Singapore is one of the world’s leading financial centers.
The relocation to PwC Singapore also offered Lie the unique opportunity to build a Mergers & Acquisitions Operations practice for PwC Singapore’s Financial Services Industry Practice. “This was a great opportunity and I really enjoyed the challenge,” she says.
After three years, Lie decided to make her move to PwC Singapore permanent. “There was still such great opportunity to grow the practice further, and I was so proud of what we had built – it would have been hard to let go.”
PwC Singapore acts as a center of excellence in many areas for the region, as many international companies base their regional headquarters in Singapore, and the firm had invested early in developing a strong deals practice. The result is one of the most advanced deals practices in the region, supporting clients along all aspects of the deal continuum. “Singapore remains a very exciting location to me as we continue to develop our deals practice,” comments Lie.
Succeeding by Making Clear Choices
She says one of her biggest learnings has been to not be afraid of making choices and being clear about what you want, what you believe in and what you stand for. “There were lots of things I was interested in, and I wasn’t sure what to focus on; I was always hedging my bets. Only when I started to make choices, and others could see what I was about, did it all came together,” Lie states.
She had what she calls her “breakthrough moment” on the wisdom of this philosophy when the company she was running made a clear choice that they should focus only on their own products. “It was a scary moment taking out half of the product line up, but all of a sudden we were being courted by top magazines. It was clear what we stood for and believed in.”
She encountered the same when she moved to PwC Singapore. In the beginning she took on a lot of different things, trying to be useful to everyone. She found, however, that by doing that you don’t stand out, as it is not clear to others what you are really good at and passionate about, and therefore where you can add most value. She had to figure out what she wanted to do and build her own personal brand. “Don’t be afraid to make choices, play to your strengths and focus your energy on where you can best add value,” she says.
An Exciting Industry
At work these days, Lie finds her position constantly evolving as she supports clients with their regional integrations and/or divestments. She appreciates that these programs give her a view into a company’s whole ecosystem, addressing strategic, tactical and operational issues. It is a challenge creating a new business under tight timelines, with lots of uncertainty, bringing people and businesses together and motivating them to buy into a new future. It is often difficult for people to let go of what they have been part of for many years.
“I enjoy thinking through the complexities with a diverse range of people, finding the best solutions given the circumstances and keeping an eye out for what this means in the long run.”
She says it’s an exciting time to be in the financial services industry as a whole. “It’s crucial to have a stable financial system, and yet so much is happening. There is uncertainty in the markets, and regulators are constantly implementing new regulations which make it difficult for banks to be agile and focus on client needs. There is a lot of competition and cost pressure. On top of all that, blockchain or more general fintech will rapidly change the traditional operating models.”
She has been a member of the board of the Association of Dutch Business People in Singapore and also participates in the ‘Women in Finance’ Network which brings together women (and men) from all the industry layers and fosters networking.
A Family Affair
With two children, ages 9 and 11, Lie loves to spend time watching their sports, but also being active together — hiking, skiing or riding horses. “Outdoor sports allow you to be connected with yourselves, each other and nature.”
She believes for women to successfully combine family and career a lot depends on a woman’s partner. “In my experience it’s important to discuss and agree with your partner what both your ambitions in life are. What do you want to achieve; what kind of family life do you want; and how do you want to raise your children?”
While circumstances can change and priorities will shift, couples should reach an understanding of what is important to each and discuss how they can achieve that together, by supporting one other’s ambitions and accepting and acknowledging what the impact will be in terms of lifestyle or timing of career choices.
“Sometimes that means taking a step back in one area to move forward in another,” Lie says, “and this goes both ways between partners.”
Spotlight on Asia: Gender Diversity is Both Catching Up and Leading
Career Advice, Spotlight on AsiaBy Aimee Hansen
Via Shutterstock
During the month of August, The Glass Hammer will be focusing on Asia, featuring profiles of senior level women who are showing up to challenge the gender gap in Asia with their own journeys to leadership.
Here, we take a wider look at gender dynamics in business in Asia, where the picture painted is both paradox and progress. When it comes to women representation in business leadership, Asia is at once behind and ahead. For all the societal factors holding women back, marketplace and cultural dynamics are also pulling women into leadership and the C-Suite.
Behind in The Boardroom
A recent Korn Ferry Diversity Scorecard study tracked board composition in the largest 100 publicly listed companies in ten Asia Pacific economies, and found that on average 10.2% of board members in Asia Pacific are women (9.2% if exclude Australia), compared to the United Kingdom (26.1%), the European Union (20.8%) and the United States (18.7%).
All-male boards in Asia Pacific decreased significantly from 53.2% (2012) to 39.0% (2014), but it will take ten years of growth at current pace to be on par with benchmark Western economies.
From the perspective of boardroom representation, Asia is behind, and gender gaps are often costly. The World Economic Forum has reported that failing to rectify the gender gap in the workforce costs Asia $42 to $47 billion a year.
On the other hand, bringing women into the boardroom is financially advantageous. The Korn Ferry study found that Asia Pacific companies with at least 10% female board members delivered a return on equity (ROE) of 14.9% compared to 12.6% for those with fewer or none.
When it comes to boardroom gaps, the gap is often attributed to a limited supply of top level candidates related to inequality in access to education (eg. rural China), lower wages, infant survival rates, and sweeping societal disadvantages for girls and women. According to female leaders in China, this includes being seen as the sole caretakers and the deeply ingrained belief in the Asia psyche that women are used to “taking instructions,” especially in countries like Japan.
Korn Ferry’s report stated, “Beyond the statistical gap, we also observed that Asian boards seem to adopt a more systemic and collective ‘blindness’ to the value of diversity based on a more traditional patriarchal approach. Without a fundamental change in attitude, the diversity agenda will continue to be hampered and discourage qualified women at the leadership and board level.”
Leading at Executive Level
Here’s the paradox. When it comes to executive leadership, the picture reverses, and female representation is ahead in many countries in Asia.
A 2014 global study by Grant Thornton showed that the proportion of women in senior management was much greater in China (38%) and Indonesia (41%) as well as Southeast Asia, than in the US (22%) and European markets like the UK (20%) and Germany (14%).
According to Fortune, “though 126 of the top 300 companies in China lacked female board members (42%), only 31 of those companies lacked a female senior executive (10.3%)” in early 2015.
An IRC study found that as a percentage of total CEOS, Asia and Australia have more women CEOs (11.8%) than Europe and Americas (7.8%), and one study has shown that China has a greater proportion of female CEOS than the US. China has the most female self-made billionaires in the world. Looking at China alone, boardroom representation is 12.9%.
Women are not represented at executive level in all countries or business areas. For example, India has only 14% women executives, and Japan has only 9% (as well as only 3.3% boardroom representation).
When it comes to finance, Oliver Wyman found that 13% of execs and 14% of board members in finance are women in Asia, compared to 21% and 23% respectively in North America, and 16% and 24% in Europe.
But there is an increasing women executive presence in Asia. Even when the boardroom is considered, the recent two year momentum in getting at least one women on boards is impressive when compared to pithy gender diversity advancement on boards in the US.
Momentum towards Leadership
Many factors are allowing women to advance into management in Asia.
In Southeast Asia, 35% of senior executive positions are held by women. The Grant Thornton report states that free, in-built childcare as a result of tight-knit family units is partly responsible.
In China, radical urbanization and increased opportunities to further education have empowered women, while the defunct one-child policy has encouraged access to education for girls and entry into the workforce. The ratio of females to males in tertiary education is now at a 111 index in China and 107 in East Asia.
One of the most powerful factors in women’s advancement is rapid economic development of the private sector.
A study out of the Chinese University of Hong Kong Business found a direct correlation between emerging private companies and increasing recruitment of women and hiring women as CEOs.
During a nine year tracking period from 2000-2008, the researchers found that women CEO participation rose from 4% to over 8% in the private sector, increasing over time and at a faster rate, while remaining flat in state-controlled firms.
The researchers compared the marketplace to government initiatives in driving change: “Studies have shown that competitive forces are generally more effective in bringing women managers into companies, because market mechanisms may be better at identifying and rewarding strong performers. When you face competition, you have to remove bias and focus more on bottom-line issues.”
The researchers speculated that competition may be driving a more gender-neutral approach to top management, making traditional networks less relevant and leadership skills more appreciated in private firms.
“As the Chinese economy becomes more balanced in terms of state-owned and private firms, and as state-owned enterprise reforms deepen, more and more female business leaders are likely to emerge,” stated the researchers.
Looking Ahead
With a wider pool of women in executive roles in Asia, it seems the case that boards lack top-level talent to choose from has an expiration date.
The underlying psyche of inequality will need to catch up with a changing reality in Asia, and boards will need to mix up their selection process.
While the market and changing cultural dynamics may be putting women into leadership, the next step are seats in the boardroom, while more fundamental inequalities still seek to be addressed in many regions including rural China and countries like India and Japan.
But changes are happening. Increased boardroom representation in Australia, India, and Malaysia were aided by government initiatives, while pressure in Japan has been increasing the presence of female directors.
According to the FT, some prestigious business schools in Hong Kong and China are looking at how to move advanced education from gender blind to gender sensitive, exploring options such as early-career masters programs that gain more female enrollment. Research shows that 72% of women graduates in China hope to become C-level executives.
Over the next few years, we stand to witness a fascinating phenomenon in gender equality where Asia is both catching up…and leading.
Life Hacks: Apps to Make your Life Easier for the busy professional woman
Life HacksToday is also a time where the demands on our time are greater than ever. So how do we make the apps work for us as professional women, to give us that extra time we all seem to need at work and at home? Can apps be the key to the work-life balance issue? Are there career opportunities for women to develop more apps based on their own needs?
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Can You See A Promotional Path At Work? Leaving To Go Up The Ladder
Career Advice, Career Tip of the Week!This summer we have talked about the scenarios that tend to create catalysts for talented people to seek out career coaches to help them navigate the promotional pathway which sometimes means leaving your current team or firm.
When I am coaching, I often hear that my client does not see a clear promotional path and this can be due to many elements but it always involves politics and people.
Sometimes the lack of vision to what the next internal move is is simply due to rigid corporate structures and a perceived lack of places to be promoted into. The old adages “Dead Men’s Shoes” or “Not enough pie to go around” are often mentioned here. Sometimes that is true, but sometimes you need to realize that space will be made for the “right” people. (* the phrase right people could be a whole article in itself, but that is for another day later this summer on unconscious bias, keep reading this column.)
In other instances, what companies sometimes do not grasp is that ambition does vary person to person but having systemic grind due to bad organizational development creates a pebble in everyone’ shoes that simply de-motivates even the most focused players over time. Can this be addressed? Yes. Is it usually addressed in firms? No. Sadly, due to the slightly invisible nature of company and team culture, the average manager cannot start to solve these issues.
Sometimes wanting to leave is about an individual manager or team member, but proper organizational development work can eliminate many of the bad behaviors that can be practiced by less than desirable coworkers. Bad behaviors appear when survivalism is the culture so some of these same folks might be quite nice colleagues in a different environment. Lewin’s theory suggests that behavior is a function of personality PLUS environment, or in other words, the perfect storm can occur in any firm for hellish behaviors to become commonplace.
Either way, it really is about leaving to get a promotion and work in a better culture.
Culture is “how we do things around here” and that is why we coach here at the glasshammer as we think we have the secret weapon for our coachees- we focus on you the individual but we understand the organizational structures and cultural markers so that we can help you pick the right firm and the right opportunity as your next promotion is everything! Call us for 8 sessions (over 18 months) for an introductory price of $2500 and watch your career take off.
Voice of Experience: Marina Lui, Regional Market Manager for the China International Team UBS
Spotlight on Asia, Voices of ExperienceAs one of the early immigrants to Hong Kong from China, Lui says she appreciated the opportunity to receive the education that she did, both in Hong Kong and then attending the University of Texas at Austin in the United States.
She began her career as a branch manager in consumer banking, but wasn’t sure she was cut out for managing – ironic, given her current success in that arena. She joined UBS in 1995 as a client-facing relationship manager, spending 10 years covering the Hong Kong domestic market, and then once again moving into managerial positions.
At the time, the Hong Kong domestic market was quite established so she appreciated the opportunity she was given in 2011 when she was appointed as one of the team heads serving ultra-high worth clients in China and Taiwan. That allowed her to work in a sophisticated new market with a team of 50 experienced staff.
Soon she honed her focus solely on China, where she became regional market manager for the China International Team with a staff of 150. “I was very proud of being named regional market manager and subsequently building the team. In less than two years we have doubled the size of the business.”
Winning Because of the Team
Lui credits her team with that feat, but much of the acknowledgement surely should be given to her leadership style. “I want to be the team of choice and feel I have achieved that goal with the high morale we have. I want my team to be proud of what they do, and know that they have collectively contributed to our accomplishments,” she says.
Not only is she focused on success, but on developing the next generation of leaders. She admits it’s challenging sometimes when you can’t see quick results since talent development is a long process. However, she enjoys the role she plays in nurturing employees to help support the success of the firm.
Changing Demographics Mean A Changing Industry
The industry is currently in the midst of wealth transfer from one generation to another, and they need to accommodate the different way that the next generation thinks. Since many of her relationship managers are relatively young, they are in a position to relate to, and therefore confidently meet, the needs of this next generation.
And the changing demographics brings internal challenges as well, as companies grapple with providing employees with the diverse experiences they increasingly seek. “We have to question whether employees who are in their late 20s will want to work for the bank for 20 years, given their mindset that they don’t want to be in one place too long.” She says that they are addressing that through encouraging millennial employees to seek additional opportunities in other divisions of the bank, so they can have those varied experiences without leaving.
Growing the Next Generation of Leaders
Younger employees today also have the benefit of being able to research an industry before they join, and she encourages them to do their homework, to find out what exactly a banking position entails and confirm that it suits their interests and skills. But, it also has to be something they enjoy.
“When you join an industry or company, you have to be passionate or you won’t last long,” she says. She advises them to trust their gut feeling when determining a career path, but then to realize that success may be delayed. “The younger generation tends to want immediate gratification but often you have to be patient as you climb the ladder. Learn what you need to know on each rung.”
She encourages wealth management as an industry where women can be particularly successful, because it’s a people business, and women naturally exhibit interpersonal skills that allow them to excel at networking and building relationships with clients.
Within UBS, Lui is involved in the Global Key Talent Program, which helps develop high-performing talent. The group brings together emerging professionals and senior leaders to encourage mentoring and exposure. “It’s important to offer this opportunity for younger professionals to engage with senior leadership, both men and women, and show their capabilities.”
She also is involved with a group called “Half the Sky” that helps the bank better understand the needs of female clients who are becoming a larger part of their portfolio, as entrepreneurs and decision makers.
Work/Life Balance as an Imperative
Lui counsels her peers that it’s important to leave your stress at work and develop a healthy work/life balance that allows you to perform and focus better on the job. For her, exercise is a stress reliever, but she encourages women to find what works for them.
She loves traveling and spending time with her family but also believes in the importance of giving back through philanthropy. Two causes she is particularly passionate about are elder care and children. Recently she instigated a team project where they visited the elderly. “We need them to know they are important and not forgotten.” On the other end of the spectrum, she is involved with the group “Pencil of Promise,” which is working to build schools in Laos.
“I know that I am fortunate to work in the banking industry and make a good living compared to many families who struggle on a daily basis. We all need to make giving a part of our lives, to remember to reach out and support those in need. “
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Gender diversity – lessons from the UK boardroom for 2016
Career Advice, NewsA mere five years ago in early 2011, few of us would have looked to the UK Public Limited Company’s boardrooms as beacons of gender diversity. Female representation in FTSE 100 boardrooms was just 12.5% and although many leaders in business and politics acknowledged that something had to be done, it was not clear what or how. Five years on now in 2016 women now fill 26% of FTSE 100 board roles – just over double their representation when the Davies Review (Women on boards) was launched. If we didn’t know before, we certainly now have a better idea about what it takes to turn the dial on this opportunity.
The Davies Review proved a successful catalyst for gender diversity in UK boardrooms; with a clear target and public commitment from senior leaders to achieve at least 25% representation over the course of five years, board directors were incentivised to proactively address unconscious bias in board selection and nomination processes among a number of other obstacles female leaders face on their journey to the boardroom.
Yes there has been progress – which we should be proud of – but it’s by no means time to congratulate ourselves. While a number of organisations now have female representation of 25% or more on their boards, some industries have a way to go. As identified by the New Financial’s most recent report, UK-regulated financial services companies have more work to do – both in the boardroom where women fill 23% of roles and in executive committees where they fill only 14% of leadership roles.
The Davies review focused on listed organisations, with the aim for other non-listed organisations to adopt the recommendations, so it is no surprise that more progress has been made by UK-listed companies. Unlike the boards of listed companies, only 14% of board positions of privately held financial services companies are filled by female board directors. For those still not convinced by the widely discussed benefits by advocates of gender diversity, why not consider what board directors have experienced as a result of enhanced diversity?
Chairs and board members say this isn’t just a nice-to-have; they continue to see the value of more diverse boards in the richness of board discussions particularly when it comes to making critical decisions, and they are less likely to be hit by scandals. In the current business landscape with increasing scrutiny of boards and greater focus on the importance of business’ role in society, surely this is welcome news? From a commercial perspective it also makes sense; research conducted by the index provider MCSI found that companies with more women “delivered a 36% better return on equity since 2010 than those groups lacking board diversity”.
The US may also do well to consider some of the progress achieved in the UK. According to the recently published “2015 Catalyst Census: Women and Men Board Directors”, female representation across S&P 500 stands at just 19.9%. Of even greater concern is that the glacial pace of change is likely to continue given new directorship appointments, of which 73% were held by men and 27% by women. Deborah Gillis, CEO’s President and CEO, stated; “Our new Census shows little progress has been made at the board level, and even less progress has been made in the pipeline for women officers and directors—suggesting women are nowhere near the path to parity with men. Men continue to be overrepresented, holding more than their fair share of board seats and, in some cases, all the board seats.”
The New Financial’s report also points to exemplary countries which others should aspire to – including countries in the Nordic region, France and Germany where female representation is 34%, 29% and 27% respectively.
These reports and others point to the merits of diversity and encourage leaders – both in business and government – to take bold action. What does bold action look like?
In the UK, the government commissioned the Ghadia Review which sought to make specific recommendations for UK financial services organisations to address gender diversity at both board and executive level. The Review recommended clear targets and enhanced transparency (including the disclosure of diversity data), increased accountability across all leadership levels within organisations, and the linking of remuneration to progress against gender diversity targets. New Financial found that only 26% of the financial services organisations included in the research sample disclosed gender diversity targets – and of these only 10% disclosed gender representation at board level, and 24% setting targets with deadlines.
It’s not enough to talk about gender diversity – it’s a case of committing to specific goals and maintaining the focus required to deliver against the goals. While aspirational targets show some level of acknowledgment of the need to address gender diversity, being specific and time-bound is more likely to have the desired impact. The Ghadia Review recommends 12 data points, including gender ratio of employees promoted and the percentage of maternity, paternity and shared parental leave returnees.
Just as importantly, targets need to be stretching. One of the five recommendations in the “Davies Review Five Year Summary” was around increasing the female representation target for FTSE 350 Boards to 33% – continuing with the voluntary approach. Incremental progress will only result in the next generation having the same debates we are having today. We owe them more.
To build on the progress made to date, we must look to the next generation of aspiring board directors, the behaviours we advocate and development opportunities we provide to both women and men. According to New Financial, women are better represented (36%) in support roles, but continue to be very under-represented in the roles that serve as springboards to board positions – CEO (6%), other C-suite roles (10%), and budget owners (9%). Without losing momentum on progress being achieved in the boardroom, there is a clear need to focus on female representation at the executive level.
This doesn’t just apply to Financial Services – although particularly acute in Fintech. According to a recent Deloitte report including participants across the globe, boards of financial services organisations in the UK lead manufacturing, and energy and resources industries.
Despite what many would deem as slow progress by boards in terms of gender diversity, it turns out that we have some positive lessons to learn from boards if we are to turn the dial on female representation at executive level: specific targets, enhanced transparency, public commitment, and role modelling desired behaviours.
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