More Women Leaders, Better Corporate Social Responsibility

June 26, 2012

Outline

• Background• CSR

– Terminology– Basic Understanding

• Women Leaders• Better Everything

Background

More Women Leaders

Better Corporate Social Responsibility

• Better corporate social responsibility increases women in the workplace therefore increase opportunity for women leadership

• More women leaders, better economy and better society

What is CSR?

Definitions• Responsibility is the choice we make to respond with

care

• CSR is the way in which business consistently creates shared value in society through:– economic development– good governance– stakeholder responsiveness and – environmental improvement.

• CSR is an integrated, systemic approach by business that builds, rather than erodes or destroys, economic, social, human and natural capital

What is CSR?

“CSR should be more about the process of wealth creation, and ultimately eliminating the need for donations”

When talking about CSR we DO NOT mean:

• Charity• Philanthropy

What is CSR?

Unequal male & female labor force participation – Largest gap in comparison to every other region

Diversity - Current Situation

McKinsey conducted a series of studies examining whether greater gender

diversity correlates with better economic performance.

Study 1 - Women’s positive impact on financial performance• 89 listed companies* with highest level of gender diversity in top

management posts were selected & compared to average of their sectors

• On average, these companies with higher ratio of women in top management experience better financial performance

• Companies with more than two women present on board outperform others in their sector: o return on equity (11.4% versus 10.3%)o stock price growth (64% versus 47% from 2005-2007)o operating result (11.1% versus 5.8% in earnings before interest &

taxes)

Women Matter, McKinsey & Company, 2007. * Companies were selected from all European listed with stock market capitalisation of over €150 million on following criteria: i. number & proportion of women on executive committee, ii. their function (eg. CEO or CFO had greater weight than Communications Manager), iii. Presence of more than 2 women on board

Value of gender diversity – Financial Performance

Firms with best record of promoting women to high positions are more profitable than their peers:

• Returns on assets 18% higher than industry median

• Returns on investment 69% higher than industry median

Women on Boards: Not Just the Right Thing… But the Bright Thing. The Conference Board of Canada, May 2002

Value of gender diversity – Financial Performance

Value of gender diversity

How many female board of directors do we have?

8 in listed companies

No data with respect to SME’s and other informal businesses

More Women Leaders

• Better everything. . .

More Women Leaders Better Corporate Social Responsibility

• Stereotyping. . Women are better at CSR than men?

• Through CSR tools such as increasing diversity in the workplace increase women leadership

• Through Corporate Governance increase diversity in decision making roles increase women leadership

• Through sustainability have better organizations with balanced gender and skills with the right people in the right place. . Often increasing women leadership

Thank you. .

For more information please contact:

Maali Qasemmaali@schematt.com