Progress of women on boards

Last week, there was some good news concerning the 'record rise' in the number of women on the boards of FTSE 100 companies. According to the report, the number of women board members rose from 12.5 per cent in January 2011, to 14.9 per cent in January this year following several years in which little progress was made. There is no doubt that Lord Davies' review into women on boards last year, which brought the lack of gender diversity in UK boardrooms to the fore, played a big part in encouraging more companies to open their boardroom doors to women.

However, despite some progress being made, much work is still needed. A report in the Financial Times painted a somewhat different and rather bleaker picture. It stated that 89 per cent of FTSE 350 companies still have no female executives on their boards and that progress is being made at a 'snails pace.' What's more, the current figures falls way short of Lord Davies' target of having 25 per cent of women on FTSE board by 2015.

But rather than sit and wait for things to improve or for Lord Davies to impose quotas, companies could take action now to progress women in business to enable these much needed changes.  Whilst we recognise that change won't happen overnight, it certainly won't happen without proactive measures being taken by companies to instigate change.

Pay inequality is something that could be stamped out now. It still exists in many companies and it is unacceptable. Companies need to check there are no inequalities in pay levels for men and women doing the same job and if they are, they must address the situation. There also needs to be greater openness and willingness to discuss pay.  I believe that if companies were more transparent and open about discussing pay levels, it would enable women to become as assertive as men when asking for promotions and pay rises.

Businesses should also analyse their retention of female employees. Many companies lose senior women when they take maternity leave - particularly the second time around. Organsations must check if any patterns are emerging at such crux points and question if they are providing adequate support for women taking maternity leave. Are they offering group or one to one coaching for example that would ensure these women experience both a smooth exit and a seamless return into the work place?

Another issue that needs to be addressed is the fact that the majority of senior women in UK companies feel there are barriers that hinder their progression. The report, 'Ambition and Gender at work', from the Institute of Leadership and Management (ILM) last year concluded that women aspiring to senior management positions believe the glass ceiling to career progression still exists. 73 per cent of female respondents felt barriers still existed for women seeking senior management and board-level positions in the UK. In contrast, just 38 per cent of men believed there is a glass ceiling.

Given these statistics, it seems that the obvious solution lies with the organisations themselves - they need to promote female talent, champion diversity and ensure that their organisational culture supports women and men equally. If Lord Davies' 25 per cent targets are to be met, then they will also need to proactively identify and promote female talent at all levels - from graduate trainees upwards. Only then will companies have a pipeline of future women leaders. Once such talent is identified then it needs to be nurtured with appropriate training and coaching provided for women throughout their careers with a company to ensure they stay on track and reach their potential.

It is clear from the recent reports that whilst there have been some rise in the number of women on boards the numbers are still very low. Not enough is being done to support and promote women in the workplace and enable them to progress to board level. Whilst I am not in favour of quotas as way of recruiting and promoting talent, serious action needs to be taken if we are to see more women in the boardroom. Change will only happen when companies truly champion diversity and make diversity a serious business goal.

Chris Parke is CEO of Talking Talent. For more information, visit http://www.talking-talent.com/1-index.html