Women make up 46% of the workforce in New Zealand, yet only one director in twelve is a woman. Last month in Auckland the Ministry of Women’s Affairs, supported by Business New Zealand and the Institute of Directors, launched a campaign to promote the development and appointment of women as directors with the release of a document called Women on Boards.

The Minister of Women’s Affairs Hon Pansy Wong opened the 100-strong gathering by encouraging boards to aim for a better balance of men and women directors, therefore providing a stronger lever for business performance. Phil O’Reilly, CEO of Business NZ maintained that many companies fail to gain maximum value because they miss out on women’s abilities and insights at governance level.
 
IoD CEO Nicki Crauford added that it is ‘mission critical’ that boards function effectively and that the best boards are those that encourage constructive debate. She said boards need different perspectives and people who ask questions from different angles, as this improves the quality of decision-making. She added that all directors require competence in the relevant hard and soft skills, sound ethics, commitment to the principle of lifelong learning and self-reflection.
 
The Prime Minister Hon John Key also spoke – supporting the initiative as a good example of how business and government can work together to come up with solutions that benefit all New Zealanders. He said he hoped every Kiwi business would take the Women on Boards message on board – that of greater gender diversity in the boardroom.
 
Evidence both nationally and internationally shows that women directors can help companies gain competitive advantage and increase profits and that companies with women on boards outperform those that do not. The rationale is that boards which include women tend to consider a wider range of issues and options, resulting in commercial decisions which are more in touch with customer needs.
 
Business leaders were encouraged to seek out potential women directors by visiting the IoD’s Director Recruitment Service, the Ministry of Women’s Affairs Nominations Service or by brainstorming – looking outside the usual circles and traditional networks.

To view the publication visit iod.org.nz

(Source: IoD Boardroom)