The National Women’s Business Council (NWBC) recently released an infographic illustrating the clout magnitude of women owned businesses. However, there were many facts in the infographic that prove of interest to any entrepreneur. One such statistic demonstrated that of women owned businesses, those with multiple owners are more successful. Even more interesting is that both women and men owned businesses having ownership with mixed genders are better performers. After the initial, “Oh, isn’t that interesting” thought, being a high theoretical, (high theoreticals are the people who when they ask, “What time is it?” they also want to know how the clock works and why), I wanted to know why and how mixed genders tend to make a company tops in performance.
According to a report by Deloitte, it is the value that different perspectives and levels of experience bring in helping to solve complex problems. In addition, this collaboration also creates innovation for the rapid changes that businesses are experiencing. Another source suggests that women’s better social skills are an asset as well as the fact that they tend to be more vigilant. Women tend to have a keener eye for and a sense of consumer needs as well as what is happening in the corporation. Still need convincing?
A report by Pepperdine Researchers suggests that organizations that are diligent about promoting women, are more profitable. In an interview by CNBC, Michael O’Sullivan with Credit Suisse Private Bank, stated that the bank surveyed over 2000 companies and that companies with women on the Board outperform companies without women on the Board by 26%. Another source suggests that after putting women in top positions, they are experiencing a 112% return on invested capital. Here are some hints on how to ensure that your company is benefiting from the increased profits mixed genders provide.
- Ensure that you have a good diversity program in place. Remember diversity isn’t just about race and ethnicity. Diversity encompasses age, religions, diverse backgrounds, broad ranges of experience, educational levels and genders. In an interview with SHRM, Alex Gorsky, Chairman and CEO of Johnson & Johnson states: “If we all look alike, sound alike, [and] say the same thing, we probably don’t need each other there,” He added that he’s not afraid to have someone with a point of view on difficult issues that “sometimes makes you bite on your back molars a little bit” with discomfort. Disagreeing shouldn’t be a “career-limiting move.”
- Review your hiring process. The recruiting, interviewing and hiring process should not be just the responsibility of HR. On the other hand, HR needs the flexibility of becoming a strategic partner in your organization’s goals and mission. This helps build diversity and innovation.
- The organization’s vision and mission statement should reflect your diversity goals.
- The culture of your organization should be one that assures a comfort level for anyone to enjoy. This includes employees, vendors and customers.
- Use all of the intellectual power available to you. Just because someone is not an executive, doesn’t mean he or she can’t contribute. Just because someone is an executive with lesser experience doesn’t mean that he or she can’t come up with a great idea to increase ROI.
Any or all of these ideas are easy to implement. Moreover, implementing them cost you nothing and provides a big pay of.
Therefore, if you are a solo entrepreneur, male or female, adding partners will not only provide a distribution of tasks, it can foster innovation and enable better decision making. Mixing genders can aid in solving complex problems, improve behaviors, raise social awareness and support greater profitability. Now go mix your genders, what do you have to lose?
