How hiring more women can improve business

An increasing number of industries are beginning to realise the value of a balanced number of men and women within the workplace. Male-dominated companies are specifically looking to hire more women to balance their gender ratios and help drive the company to be more successful and more profitable.

Here’s just three ways hiring women can improve your business and why the gender pay gap should be closed:

Businesses with women in leadership roles are more profitable

When looking at the Fortune 500 list of top companies, statistically it is the companies with three of more women directors that are more profitable. Independent research carried out by The Anita Borg Institute identified that the companies with more women in leadership roles experienced a growth in equity of over 53%, an increase in sales of 43% and a 66% increase on their investment returns. And that’s not all, further research was carried out by the Reibey Institute, an independent Australian research institute that looks at women in leadership.

The Reibey Institute found that over a three-year period, companies with women directors experienced a 6.7% higher return on equity than those with no women in leadership. Over a 5-year period, the same companies reported an 8.7% higher return on investment than their male-dominated competitors. As the research shows, if you’re looking to increase your profit margins, hiring more women is the way to do so.

More inclusive teams are more innovative

Why is it that businesses with more women tend to be more profitable? It comes down to inclusion and diversity. When a company hires individuals from all walks of life, they become more representative of the general population. The problem with male-dominated businesses is the business begins to think through a male lens. Men and women often have very different experiences of life and have different desires, needs and motivating factors. This means a male-dominated workforce can’t relate to their female clients as well as women would. Over time, male-dominated companies can completely ostracise women audiences and cut half of the population out of their demographic, which limits a company’s earning potential. To make products and services that appeal to both genders, you need insight into both genders, and the best way to get that is to have an equal balance of men and women on your team. You may already have a handful of women in your business, which is great, but it may not be enough. A small handful of individuals will be outvoted by the larger male party, so you won’t benefit from their input. It is only by balancing out the gender ratios that your company will appeal to a wider demographic with new, innovative ideas that an all-male team may not have come up with.

Attract and retain high-calibre staff

More inclusive workplaces are happier workplaces. Statistically, inclusive businesses have a 22% lower staff turnover rate than male-dominated workplaces. More importantly, inclusive workplaces are viewed positively by potential employees. This means that by hiring more women, you’ll attract a higher calibre of professionals (and not just women) who will want to work for your company. There will be a greater sense of care for employees.

Your company is only as strong as your weakest member, so better staff can improve your business and help make it more profitable. And, once you have your staff, you’re more likely to keep them. A reduced staff turnover rate means less expenditure in finding and hiring new staff, as well as the costs incurred during training and getting the new employee up to the same speed as their counterpart was.

Working women are busy women and it can be frustrating that many households still expect the women take care of the home duties also. Outsource it! Your time is valuable and your career is important. Hire someone else to do the cleaning and even have someone pick-up and delivery your washing, dry-cleaning and ironing. Here’s a fun infographic to show you the value of your time.