https://boardroomsales.com/setting-strong-goals-for-a-board-of-directors/
The impact of board diversity
Despite the growing emphasis on diversity on corporate boards, there is still only a handful of female and non-white directors on the top public companies’ boards. However it is changing, and directors from minority groups are now finding their way onto boards of companies.
A diverse board can be more creative.
A diverse board of directors can be an effective stimulant for innovation in the boardroom. It can inspire all members to be more innovative, open-minded, and increase satisfaction of employees and improved performance.
A board that is more diverse can also have access to more diverse industry and business connections which can assist them in identifying new opportunities. They also can better understand the needs of their clients and prospects, which can lead to more strategic problem-solving.
Additionally, they are more likely to see the benefits in investing in minority shareholders.
Directors with a wider range of backgrounds tend to be more sensitive to workplace issues and sexual harassment.
This can be beneficial to the reputation and culture of the company which makes it more welcoming for employees.
They are also more likely to to integrate their professional expertise into the company’s strategy or operations.
They can assist companies in becoming more relevant and make an impact on the world. These results could result in an increase in the value of a company’s shares.
