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Boston Consulting Group – How Diverse Leadership Teams Boost Innovation

By Pax World | January 31, 2018
Categories
  • All Research
  • Gender Research
Tags
  • Gender
  • gender equality
  • women in business
  • gender diversity
  • women on boards
  • Leadership
  • Boston Consulting Group
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[url=http://www.istockphoto.com/search/lightbox/9786622][img]http://dl.dropbox.com/u/40117171/business.jpg[/img][/url] [url=http://www.istockphoto.com/search/lightbox/9786738][img]http://dl.dropbox.com/u/40117171/group.jpg[/img][/url]

Rocio Lorenzo, Nicole Voigt, Miki, Tsusaka, Matt Krentz, and Katie Abouzahr, Boston Consulting Group, January 2018

Boston Consulting Group surveyed more than 1,700 companies across eight countries to examine the relationship between managerial diversity, the presence of enabling conditions, and innovation outcomes. They examined the correlation of multiple aspects of diversity—gender, age, national origin, career path, industry background, and education—both individually and collectively. They found that companies with above-average total diversity had both 19% higher innovation revenues and 9% higher earnings before interest and taxes (EBIT) margins, on average. The presence of enabling conditions for diversity—such as fair employment practices, participative leadership, top management support, and open communications—is worth up to 12.9% in innovation revenue.

Visit Boston Consulting Group to view the study
Pax World
Pax World
Pax World Funds ("Pax") are advised by Impax Asset Management LLC, formerly Pax World Management LLC, a pioneer in the field of sustainable investing. Pax offers a diverse lineup of mutual funds focused on the risks and opportunities arising from the transition to a more sustainable global economy. Each fund integrates environmental, social and governance (ESG) research into the investment process to better manage risk and deliver competitive long-term investment performance. Since 1971, Pax has made it possible for investors to pursue financial returns while having a positive social and environmental impact.

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