Diversity makes e.l.f.ing cents.
It’s good for business. It’s good for shareholders. It’s better for your bottom line. And now we’ve got the research to back it up.
The Not-So-White Paper research shows that diversity in the boardroom improves outcomes and reduces risk. If your goal is to boost shareholder returns, read this report.
The stats
The stats
The state of the board.
Higher revenues. Better returns. Fewer lawsuits. Boardroom diversity has its benefits.
Token efforts only earn token benefits, if any.
People hire people who look like them. Boards are no different.
This is the makeup of a typical publicly traded U.S. board of directors.
73%
Of all seats held by women are occupied by white women. That’s progress. But it’s not exactly balanced progress.
7%
of board members in the U.S. are Black.
Diverse directors are less likely to serve in leadership positions on the board.
Our goal
Double the diversity on corporate boards
The end goal is to help double the rate of women and people of color added to boards of directors of public and private companies, regardless of location.
Takeaways
Companies can do better. This is how.
It’s not about a quota.
In thinking about the boardroom, companies should look for a diverse mix of backgrounds, perspectives and experiences.
Intentional efforts will yield substantial benefits.
Thoughtful efforts that reach a critical mass are likely to reap more substantial benefits, including improved financial performance and reduced risk.
It’s not a zero-sum game.
Improving diversity on your board does not have to come at the expense of your current board members. Board expansion is an option that allows the company to retain existing board’s expertise, while creating an opportunity for additional perspectives and fresh thinking.
The brains behind the research.
We partnered with North Carolina Agricultural and Technical University (N.C. A&T), the nation’s largest public HBCU, to conduct the initial research in the Not-So-White Paper.
Dr. Anna Lee
Endowed Professor of Health Psychology in the John R. and Kathy R. Hairston College of Health and Human Sciences
Dr. Kalynda C. Smith
Assistant Professor, Department of Psychology in the John R. and Kathy R. Hairston College of Health and Human Sciences
Dr. Lavlin Agrawal
Assistant Professor in the College of Business and Economics
Pankaj Chaudhary
Chairperson, Business Information Systems & Analytics Department
Dr. Elimelda Moige Ongeri
Professor and Dean in Hairston College of Health and Human Sciences
Dr. Joe Huscroft
Interim Dean for the Willie A. Deese College of Business and Economics
