1. Register your support on our website:
www.2020wob.com
2020 Women on Boards will help raise
the percentage of women who serve on
corporate boards in the United States to
20% or greater by the year 2020.
The National Conversation
November 19, 2015

2. Together we can make it happen!Together we can make it happen!
Progress in the Fortune 1000
» Boston—Women continue to make gains in the
boardrooms of Fortune 1000 companies according to 2020
Women on Boards’ just-released 2015 Gender Diversity
Index (GDI).
» Women now hold 18.8% of board seats of GDI companies.
The GDI has tracked the number of women on boards
since 2011 using the Fortune 1000 list from 2010 as a
baseline of comparison.
» This year, the GDI is comprised of 842 companies.
Companies fall off the list each year due to sales, mergers,
bankruptcies, and other variables.
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3. Together we can make it happen!
WHAT DOES YOUR BOARD LOOK LIKE?
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4. Together we can make it happen!Together we can make it happen!
Gains
» Women now hold 75 board seats, up from 52 in 2014
» Percentage of women on boards has increased in all
sectors but five have increased women board membership
to over 20%
» Consumer Defensive Financial Services Healthcare
» Technology Utilities
“It is great to see that the numbers are moving in the right direction, but it is
nonetheless disappointing that they are not accelerating at a faster rate.
Continued leadership by Nom/Gov Committees is essential for further
improvement.”
» ROBERT J. KUEPPERS Senior Partner, Global Regulatory & Corporate
Governance, Deloitte LLP
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5. Together we can make it happen!Together we can make it happen!
McKinsey & Company Study
» Based on employee pipeline data from 118 companies
» in 2015 and 60 companies in 2012, two broad themes
» emerge:
» women are still underrepresented, and
» They face real barriers to advancement
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One hundred eighteen companies and nearly 30,000
employees participated in this 2015 study, building on
similar research conducted by McKinsey & Company
in 2012.1

6. Together we can make it happen!Together we can make it happen!
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7. Together we can make it happen!Together we can make it happen!
Women are NOT Leaving more than men
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Women are Less Likely to Advance
» If women were advancing at similar rates to men, companies would see the
same share of women from one level to the next. However, that is not the
case. Across levels, the expected representation of women is 15 percent
lower than that of men. This suggests that women face greater barriers to
advancement.
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9. Together we can make it happen!Together we can make it happen!
How do Women get sidelined?
» A majority of manager-level women hold line roles
(positions with profit and-loss responsibility and/or focused
on core operations),
» but by the VP level more than half of women hold staff
roles (positions in functions that support the organization
like legal, human resources, and IT).
» In contrast, a majority of men hold line roles at every level.
Since line roles are closer to the company’s core
operations and provide critical preparation for top roles,
this disparity can impede women’s path to senior
leadership.
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Reasons for lack of interest in top positions
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How can we improve?
» Finally, both genders see room for
improvement.
» Two-thirds of both women and men do
not think their companies are
meritocratic,
» suggesting a broad appetite for cultural
change.
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Commitment to Gender Diversity
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Performance metrics for improving diversity
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ION Census (2014)
Women in the Boardroom
» Russell 3000 13% women board members
» Fortune 500 18.5% women board members
» Russell 2000 11% women board members
» Russell 3000 37% of boards with women have only one
» 0% have no men on boards
» 5 companies have 50-50 men/women boards
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Compensation pay gaps
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Median Compensation All Top Compensated
Executives
Non-CEO Top
Compensated
Executives
Men $1.5 Million $1.2 Million
Women $1.1 Million $.96 Million
Women’s Compensation
as % of Men’s
70% 79%

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Female CEOs
» Russell 3000 3.7% women CEOs
» These women-led companies also have more women
throughout:
» Boards 26% women
» 30% Executive officers are women
» “Today, being ‘average’ as a company means being well below equity
when it comes to women in leadership. We’ve needed change since
yesterday—there is no time to be average. Calvert Investments has
long recognized the value of diversity and sustainability.”
» BARBARA KRUMSIEK President, CEO and Chair, Calvert Investments
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17. Together we can make it happen!Together we can make it happen!
Top Ten States for Female Board Membership (2014)
» Of the top 25 states, six states have exceeded the
threshold of 20% women on boards.
These include
» Maryland, Massachusetts, Michigan, New Jersey,
» New York and Washington.
» All states improved their percentages with the exception of
Ohio, which remained the same and Florida, which lost
.1% as a result of adding more men than women.
» Illinois 17.7% is in the top 25 states
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18. Together we can make it happen!Together we can make it happen!
GENDER DIVERSITY ~ WHY IS IT IMPORTANT?
“While most CEOs recognize the importance of appointing directors of different ages
and with different kinds of educational backgrounds and functional expertise, they
tend to underestimate the benefits of gender diversity.” (HBR Blog Network Why
Boards Need More Women by Yilmaz Arguden | 11:10 AM June 7, 2012)
There are several benefits to appointing more women on boards. When Fortune-500
companies were ranked by the number of women directors on their boards, those
in the highest quartile in 2009 reported a 42% greater return on sales and a 53%
higher return on equity than the rest, according to a recent study conducted by
Lois Joy, Nancy Carter, Harvey M. Wagner, and Sriram Narayanan.
Experts believe that companies with women directors deal more effectively with risk.
Not only do they better address the concerns of customers, employees,
shareholders, and the local community, but also, they tend to focus on long-term
priorities. Women directors are likely to be more in tune with women’s needs than
men, which helps develop successful products and services.
After all, women drive 70% of purchase decisions by
consumers in the European Union and 80% of them in
the United States
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19. Together we can make it happen!Together we can make it happen!
A FINANCIAL ISSUE AND A SOCIAL ISSUE
Research by Catalyst — a not-for-profit that seeks to expand
opportunities for women — shows a strong link between the
presence of women on boards and corporate reputations. Female
directors serve as role models, and therefore, improve female
employees’ performance and boost companies’ images.
Several rating agencies and investment funds, such as CalPERS and
PAX World, use the extent of gender diversity as one of their
investment criteria.
Studies show that the presence of at least three women is necessary
to change boardroom dynamics. In fact, an analysis of FTSE-
listed boards found that operational performance and share
prices were both higher in the case of companies where women
made up over 20% of board members than those with lower
female representation. (HBR Blog Network Why Boards Need
More Women by Yilmaz Arguden |11:10 AM June 7, 2012)
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20. Together we can make it happen!Together we can make it happen!
Financial costs are reduced
» (That’s the finding from a new paper (Levi, Li, and Zhang, 2013) by Maurice Levi and Kai Li of the Sauder School of Business at the University of
British Columbia and Feng Zhang at the David Eccles School of Business at the University of Utah.)
Companies that have
more women on their
boards of directors
make fewer bids for
mergers and
acquisitions
And pay less for
acquired companies.

21. Together we can make it happen!Together we can make it happen!
Why are women better in M&A negotiations?
» Past research has shown that men and women behave differently
when faced with uncertainty in terms of how overconfident they are.
» Everyone is overconfident — we always think we are better than our
true selves — and when men and women are dealing with knowns they
tend to be fairly similar in that regard as well.
» But when they are looking at unknowns, or when feedback is delayed
or uncertain instead of specific and immediate, women demonstrate
less overconfidence than men.
» So the M&A setting is an ideal setting in terms of how it amplifies
gender differences in responding to uncertainty with overconfidence.
» (HBR Blog: Boards with More Women Pay Less for Acquisitions
» by Sarah Green | 8:00 AM December 20, 2013)

22. Together we can make it happen!Together we can make it happen!
Where are women on boards?
» Cranfield School of Management shows that the percentage of women
in FTSE 100 companies has risen slowly from 6.9% to 12.5% over the
last decade. The percentage of women directors seems to be
correlated with geography.
» Scandinavian nations having over 20+% women among board
members;
» U.K., Ireland, and Netherlands being in the low teens (10% to 12.5%)
» Germany, France, Luxembourg, and Belgium in the high single digits
(7.5% to 9.7%)
» Mediterranean countries such as Spain, Italy, and Greece reporting low
single digit (2% to 6.5%) representation
» United States 16%

23. Together we can make it happen!Together we can make it happen!
2020 Women on Boards 2015 Honor Roll
Companies
» The 2020 Women on Boards Honor Roll Companies
for 2015
» F1000 Companies
» W 45% Z 9%
» 2020 Women on Boards 2013-honor-roll-companies

24. Together we can make it happen!Together we can make it happen!
Annual change for W/V/T/Z rankings
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Breakdown of women directors by year (2020wob.com)

26. Together we can make it happen!Together we can make it happen!
Even more Financial success..
» A Credit Suisse report found that, overall, companies with a market cap
greater than US$ 10 billion that have at least one woman on the board of
directors outperformed those that had no women at all by
» +26% for large caps over the six years leading up to 2011.
» "Importantly, this mix of companies would also have outperformed global
equities as measured by MSCI’s ACWI," write Credit Suisse analysts Julia
Dawson, Richard Kersley and Stefano Natella.
» In other words, this is a global phenomenon.
» From 2012 to June 2014, companies with at least one woman on the board
have seen a 5% outperformance on a sector neutral basis.
» That amounts to a compound excess return since 2005 of 3.3%.
» Read more: http://www.businessinsider.com/stocks-with-female-directors-
outperform-2014-9#ixzz3Fb9LcxMC

27. Together we can make it happen!Together we can make it happen!
The following charts show performance
effects with women on boards
1. Greater performance globally
2. Greater performance in APAC
3. Greater performance in US
»(Business Insider: MARKETS More: Women And
Leadership Credit Suisse, “Companies With Women On The
Board Crush Companies That Are Only Men”
»ELENA HOLODNY SEP. 24, 2014, 5:25 PM
»Read more: http://www.businessinsider.com/stocks-with-
female-directors-outperform-2014-9#ixzz3FbHOe4QF)

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“The business rationale for a diverse board has been well documented. It is no longer a
question of ‘doing the right thing.’ The question is why wouldn’t you take this step to
have better company performance and stronger board decision making?”
PAM REEVE Board of Directors, American Tower Corporation (NYQ: AMT),
Frontier Communications Corp. (Nasdaq: FTR) and Sonus (Nasdaq: SONS)

31. Together we can make it happen!Together we can make it happen!
Why aren’t MORE women on boards?
» Three key themes :
• “Women had to be more qualified than men to be considered for
directorships. Women also seemed to pay a higher personal price to
become board members than men did.
• Although boards say they like diversity, they don’t know how to
take advantage of it. We found a stark disconnect between female
directors’ experiences and their male colleagues’ perceptions. Women
told us they were not treated as full members of the group, though the
male directors were largely oblivious to their female colleagues’
experience in this regard.
• Great talent alone is not enough to create a well-functioning board.
Boards need formal processes and cultures that leverage each
individual member’s contribution as well as the directors’ collective
intellect.”
» (HBR: Dysfunction in the Boardroom by Boris Groysberg and Deborah Bell
http://hbr.org/2013/06/dysfunction-in-the-boardroom/ar/1)

32. Together we can make it happen!Together we can make it happen!
Portrait of the Female Director
(HBR Dysfunction in the Boardroom June 2013 by Boris Groysberg and Deborah Bell)
» The female directors tended to be younger than the male directors—probably because,
on average, the women had joined boards relatively recently, whereas the men had served on
boards longer. Seventy-six percent of the female directors (versus 69% of the male directors)
were employed in an operational role; 68% (versus 51% of the male directors) were in a lead
role, like CEO, president, or partner.
» These findings suggest that to receive invitations to boards, women might need to be more
accomplished than men. They also contradict the popular belief that female board members
have mostly nonoperational or support-function experience.
» Another distinction we discovered between the backgrounds of female and male directors was
that by and large, the women on boards worked for private corporations, not public ones.
A majority of the male board members worked for private corporations as well, but a higher
percentage of the men worked for public companies—likely a reflection of the fact that fewer
women occupy the C-suites of public companies.
» The data also indicate that female board members may have made different trade-offs on
their way to the top. In comparison with male directors, fewer female directors were married
and had children. A larger percentage of the women were divorced—suggesting they may have
incurred greater personal costs.

33. Together we can make it happen!Together we can make it happen!
Summary
1. Having women on boards is a distinct and significant financial advantage.
Women help organizations perform better by adding diversity of thought,
background and experience.
2. Women prevent “over-confidence” in negotiations which can make with
better deals for the organization
3. There need to be 3 women on boards for the full effectiveness to be
demonstrated in results, but even one can make a difference.
4. Women need help to get there, demanding greater ability and overlooking
competent women is a mistake.

34. Together we can make it happen!Together we can make it happen!
What can I do?
• NATIONAL: Join 2020 Women on Boards at (click on grey links below)
Women on Boards 2020
• CHICAGO: Learn more about the issues on November 19,
2015
REGISTER HERE
Hosted by: 2020 Women on Boards/Chicago Chapter
• LOCAL: Locate women for your board membership
how-find-qualified-women-serve-corporate-boards
• LOCAL: Start a new chapter for your city Start a chapter

35. www.2020wob.com
» Dr. Terri Friel