Women on Boards and the Human Capital Connection
categories: ESG Products & Services, Americas, EMEAI, Investing (Investment Management), Responsible Investing, Asia Pacific, Asset Owners, Equities, Research Paper, Asset Managers (Quant or Fundamental), EASTMAN Meggin Thwing, SERETIS Panos, general
Studies have asked whether having multiple women on a board of directors has translated into better financial performance. But is that the whole story? Does the number of women on boards relate to a company’s overall human capital policies and its financial performance? Our findings suggest that the whole is greater than the sum of the parts. Companies with both a more diverse board and stronger talent management practices enjoyed higher growth in employee productivity compared to companies with a diverse board only and to companies with strong talent management practices only.