GENDER DIVERSITY IN BOARDROOM AND DIFFERENT COMMITTEES: A STUDY WITH REFERENCE TO BSE SENSEX 30 COMPANIES
Abstract
A gender diversified Board leads to multidimensional vision in an organizational structure. As psychological construct of woman brings a whole new and different perception about the situation and influences decision making of management. For this purpose, unbiased treatment towards the woman in the Board is the need of the hour. The gender composition of the board can affect the quality of financial and monitoring performance of the organization. Researchers like Ruth Mateos de Cabo, Claude Francoeur, Kevin Campbell aimed at investigating the impact of women directors on the performance of the company. Women held the 17.9% of the board seats of Fortune 1000 companies in 2015. This percentage is getting elevated day by day. The women directors in Scandinavian countries like Norway, Sweden, Denmark occupied high proportion of Board seat. On the other hand, European countries like France and Germany also have significant presence of women directors. In India, with effect from 1st April 2015, it is compulsory to appoint at least one-woman director in the category of company under section 149(1) of the Companies Act, 2013. In this context, the objective of the study is to investigate the presence of women directors and its impact of the companies under S&P BSE Sensex 30 companies before and after enforcement of legislature. After a careful observation, it is concluded that degree of diversity with reference of different personal affiliation is less intense in board of S&P BSE SENSEX companies. Though some of the companies like CIPLA, INFOSYS go beyond the legal compulsion and compose their board with higher degree of diversified gender representation.
Keywords:
Psychological Construct, Gender Diversity, Legal CompulsionDownloads
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