Understanding the underrepresentation of women in senior leadership: Root causes and solutions Elba Pareja-Gallagher October 16, ShowMe50

Achieving Gender Balanced Leadership 2 The “business case” for gender balanced leadership The root causes of the stubbornly low numbers An integrated strategy that starts at the top and engages men The solution requires you. We can achieve our potential and own our success by becoming catalysts for change inside our companies. significance

Senior Leadership in Corporate America Women remain grossly underrepresented 3 Women in Management 1 >51% Women CEOs 2 Less than 5% Women Board Directors 3 19% 1 Bureau of Labor Statistics 2 Catalyst 3 Catalyst 9/30/15 Wall Street Journal Remain underrepresented at every level Face more barriers and less likely to reach senior leadership positions See an uneven playing field—a workplace tilted against them

Studies show a correlation between gender diversity in leadership positions and improved financial performance ShowMe50 TM infographic. Data source: representation-boards

“The closer that America comes to fully employing the talents of all its citizens, the greater its output of goods and services will be. We've seen what can be accomplished when we use 50% of our human capacity. If you visualize what 100% can do, you'll join me as an unbridled optimist about America's future.” - Warren Buffett Gender Diversity in Leadership Positions = $$$ ©2013. Time Inc. All rights reserved. Translated from FORTUNE Magazine and published with permission of Time Inc. Reproduction in any manner in any language in whole or in part without written permission is prohibited. Boost productivity Optimize 100% not just 50% From the pages of 5

Leverage Talent 6 ShowMe50 TM graphic. Data from:

Better Reflect the Marketplace 7 ShowMe50 TM infographic. Data from:

Strengthen Corporate Reputation 8 ShowMe50 TM graphic. Data from:

Increase Innovation 9 ShowMe50 TM infographic. Data from:

If all that is true, why don’t we have gender balanced leadership?

Root Causes of Gender Imbalance in Senior Leadership 11

12 1 Root Cause

13 2 Root Cause

14 3 Root Cause

15 4 Root Cause

Root Causes of Gender Imbalance in Senior Leadership 16

What’s the solution?

Influence our companies to change Optimize 100% of the workforce leveraging the ShowMe50 Win-Win Checklist Who wins? Employees, Customers, Communities, Shareholders 1 Catalyst: Beyond Flexibility, Work-Life Effectiveness as an organizational tool for high performance;  Education of employees and managers about stereotyping and gender bias  Objective and transparent performance evaluation and talent management systems  Work-Life Effectiveness (WLE) approach to workplace flexibility 1  Accountability 18

What Does Gender Bias Look Like? 19 H/pantene-labels-against- women

Education of Employees and Managers About Stereotyping and Gender Bias  Provide skill based training to educate managers about stereotyping  Teach techniques to override automatic tendencies to use stereotypes  Implement a system of checks and balances to safeguard against stereotypic bias Adapted from Catalyst: Women Take Care, Men Take Charge: Stereotyping of U.S. Business Leaders Exposed 20

Objective & Transparent Performance Evaluation and Talent Management Systems Partially adapted from Catalyst: Women Take Care, Men Take Charge: Stereotyping of U.S. Business Leaders Exposed and A Bright Spot Case Study: How Diverse Slate Policies Help Close the Gender Gap  Clearly define and communicate performance evaluation and candidate job selection criteria  Create explicit decision rules about how evaluation criteria are weighted and applied  Post and effectively communicate all jobs internally  Implement diverse slate policies  Utilize panels of diverse, bias-trained interviewers for candidate selection  Publish career development programs and their qualifications 21

 Establish work practices that create business agility  Use employee needs, interests and concerns about burnout as a catalyst for creatively designing work  Give employees with significant parental responsibilities more time to show they’re qualified for promotion  Establish alumni programs for women who need to step away from the workforce; tap their expertise to show that returning is possible Work-Life Effectiveness (WLE) Approach to Workplace Flexibility Adapted from Alice H. Eagly and Linda L. Carli, Women and the Labyrinth of Leadership and Catalyst: Beyond Flexibility, Work-Life Effectiveness as an organizational tool for high performance. 22

23 Accountability  Starts at the top with the CEO  Commit and sustain financial resources  Hold senior management accountable for diversity within all business activities and evaluate managers based on their ability to achieve diversity goals  Show results: move statistics meaningfully toward achieving 50% women in director and above positions

24 Integrating men in the gender conversation Two gender solution Engage men in dialogue Grow revenue Improve profit Enhance reputation

25 Infuse Gender Intelligence Great minds think unalike

How do we execute?

We CHANGE the Landscape 27

It starts with YOU – your leadership courage Own your success, be a catalyst for change Three things we can do to advance women’s representation in leadership positions: (1) invest our time, (2) invest our political capital and (3) invest our money. -Sallie Krawcheck Chair Ellevate Asset Management, past CEO, Merrill Lynch and Smith Barney Three things we can do to advance women’s representation in leadership positions: (1) invest our time, (2) invest our political capital and (3) invest our money. -Sallie Krawcheck Chair Ellevate Asset Management, past CEO, Merrill Lynch and Smith Barney LinkedIn Post 5/27/15, What We Can All Do To Close A Gap That Matters What’s your significance?

29 Create motivation to act Provide ability to execute through seven toolkits Learn the facts and start the gender conversation at work with women and men 1.Introduction and Overview 2.Gather Facts About Your Company 3.Learn About Gender Bias 4.Learn to Influence Change 5.Build a Coalition 6.Talk to Your Boss and HR 7.Sustain Momentum

Key Takeaways and Next Steps Companies will benefit financially when there is gender balance in leadership Leverage the free toolkits, presentations, Q&A and other resources on ShowMe50.org to learn the facts and increase your confidence Start talking about gender intelligence with women and men at work There is power in numbers – join with peers to talk to HR about how you can work together to build a roadmap of policy changes We cannot keep waiting for corporate executives to voluntarily change, it’s time to nudge them 30 Use your political capital to drive a grassroots movement inside your organization #NoMoreExcuses

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Institutional Investors, Corporate Executives and D&I Experts are coming together for a symposium to drive change Skytop Strategies /gender-equality-in-the-c- suite-and-board-room/