Successful Business Women Empower Successful Businesses
Diversity drives business results. On International Women’s Day, that simple but powerful message should be championed widely. The fundamental business reality is that successful business women empower successful businesses.
Don’t just take our word for it. The evidence is clear and widespread. A 2016 study by Credit Suisse revealed that businesses with boards in which 25% of senior management were female were 50% more profitable than those where fewer than 10% of senior managers were female. This analysis is backed by similar studies from global consultancies such as Boston Consulting Group and McKinsey amongst others.
The nuances of such findings are complex, but the fundamental truth is companies with a positive culture that actively promote diversity are shown to deliver better business outcomes.
Championing Women in Southeast Asia
The more we support business women with flexible education to uplift their own opportunities, the more we build a landscape where everyone can succeed. Women made up 37% of senior leaders in Malaysia as of 2021 according to the latest statistics from Grant Thornton’s Women in Business report, up from 31% the previous year. That shows encouraging signs of growth.
The positioning within C-suite roles highlights the importance of further action however. While women make up 41% of Chief Finance Officers and 36% of Chief Marketing Officers, they represent just 10% of Chief Executive Officers—down five percentage points on the previous year. Supporting the right education, encouraging and championing success stories, and providing a positive environment is key to growing this potential.
Accessing education is often a major barrier to career advancement, as expectations of women holding multiple responsibilities as well as jobs remain a challenge to access. Sunway University’s online MBA provides a fully online business education with flexible study that’s particularly valuable for women and other traditional caregivers. This approach allows students to study anytime, anywhere, avoiding the challenges of having to schedule time to attend in-person physical lessons, and instead providing learning through an intuitive online platform that allows students to enjoy a better work-education balance.
Harnessing Inclusion to Drive Economic Growth
Championing diversity in workforces can unleash significant value in markets of Southeast Asia according to a seminal study by Boston Consulting Group (BCG). Companies with above-average diversity in their leadership reported 19% more innovation and 9% higher earnings before interest and tax (EBIT) margins than less diverse peers. Several other key reasons on why these initiatives matter include:
- They offer a path to champion and promote women in business, providing support to overcome traditional barriers.
- They signal the presence of diverse cultures, which can lead to business success.
Despite these benefits, only 58% of companies had some form of initiative in place — far less than the global average of 96% — and half of respondents believed that obstacles remained for underrepresented groups in business such as women. A staggering 90% of underrepresented groups surveyed said they would even consider leaving a job for a more inclusive organisation. The potential retraining and replacement cost alone could reach USD 25-30 billion, roughly equivalent to the total education budget of Indonesia and Malaysia!
The direction of travel is clear — providing a culturally diverse business environment that promotes diverse talent is increasingly a measure of success. That means we all have to work harder to champion and develop female leaders, not just because it’s the right thing to do for an equitable society, but also because it can help businesses in Malaysia become increasingly competitive in a globally connected landscape.
Success Is Shared in the Modern Business World
Success is not always a case of blunt competition. Engendering a collaborative and innovative culture that rewards success and empowers diverse viewpoints is a path to improved competitiveness, enhanced innovation, and better profitability.
This is a critical part of Sunway University's 100% online Master of Business Administration, with the The People and Organisations module focused on building the value of people skills and collaboration. It will help you understand the complexities of human organisational behaviour, looking at interactions between teams and individuals, and promoting collaboration and the importance of championing diverse voices to inform your business strategies.
Reach out to our Education Counsellors today for more information. Your journey towards empowerment and success starts here!
