An increasing number of well-recognized organizations like IBM, General Motors, and The Hershey Company are employing female CEOs as the trend towards women in leadership positions seems to be on the rise. As a matter of fact, there are more women running Fortune 500 businesses at the moment than at any point in the 63-year record of the Fortune 500. Similarly, even the “State of Women-Owned Businesses Report” commissioned by American Express in 2018 documented that the number of women-owned businesses has increased by nearly 3,000% since 1972. Though realistically, when put in context, that’s only 6.4% of these prominent companies.
I think the world needs more women to be the new thought leaders in today’s workforce – and we are unquestionably up for the challenge. As female entrepreneurs, we have substantial advantages simply because we’re built differently. Let’s look at a few reasons below where women have distinctive advantages:
1. A diverse workforce is a pioneering workforce
Men and women will unavoidably have different experiences and backgrounds, which shape their approach to the workforce and their businesses. Testing each other and collaborating with people who think differently can generate creativity and promote groundbreaking ideas that push organizations ahead. Diversity—from gender diversity to culture, age, and ethnicity—has been shown to foster creativity and innovation. From PWC to Disney and Loreal organizations across industries are seeking to prioritize and benefit from a diverse and all-encompassing work environment.
2. Women excel at the soft skills needed for business leadership
While technical skills and knowledge are fundamental to career success, CEOs consistently cite soft skills as the most essential professional trait. Although characteristics like effective communication, empathy, and self-awareness are difficult to measure, they are extremely valued and can make a real difference to the bottom line. Experts confirmed that CEOs who rank highly for attributes like compassion and integrity also enjoy a 9.35% return on assets over a two-year period.
3. Women represent huge economic power and offer important consumer insight
It’s been estimated that women contribute in excess of $20 trillion in consumer spending every year, indicating a bigger growth market than China and India combined. Women also account for 85% of consumer purchases. Despite this, only 11% of creative directors in advertising are women—up from just 3% in 2008. When Boston Consulting Group did a comprehensive study of the “female economy” it’s unsurprising that they found women feel undervalued and underserved by the marketplace. With the power of the female consumer in mind, it’s evident that women are best placed to tap into that opportunity and bring valuable consumer insight to the table. Tapping into the insight both men and women offer can make products and services more marketable and business more profitable.
4. Gender equality and inclusivity becoming policy
For many forward-thinking organizations, gender equality is becoming a matter of policy, whether it’s committing to equal representation of women in the boardroom or hiring diversity officers. Discouraging and circumventing bias through hiring policy can help organizations to reap the benefits of balance and equality. Rather than political correctness or buzzwords, if diversity, inclusiveness, and gender equality become policy and are embedded in business strategy, businesses thrive.
5. Unique Funding Opportunities
Because women are historically underrepresented in business, many organizations have stepped up to the plate to support their emerging companies. There are government-backed and private loan and grant opportunities available for female entrepreneurs. Even in male-dominated industries such as technology, some venture capitalists seek out women business leaders in order to give them financial support.
6. Entrepreneurship is the path to leadership
For a growing number of women, the fastest route to the c-suite is launching their own business. In the United States, the number of women-owned businesses has increased 74% over the past 20 years—1.5 times the national average. Today’s start-up culture empowers women to be their own boss and pay their own salary, defining how they want to work and making the balance of career and family life easier. Entrepreneurship presents a path for women to close the pay gap and rise to leadership positions, on their own terms.
Running their own company also offers the opportunity for women to collaborate with and hire other ambitious, like-minded women, fostering a new generation of women in leadership roles.
But the most important attribute of being successful in today’s workforce is being tough. And who better to fulfill that role than women. There is a reason why women carry and deliver babies. We are tough! We have to be! The beauty of it is, we can be tough and we can be tender. With that in mind, it also may help to be aware of—and focus on—the advantages of being a female, so you can leverage your special strengths as you embark on your new entrepreneurial journey.
The writer has 9 years of experience in addressing economic and social gaps, with institutions such as The World Bank, and International Organization for Migration