The gap in the number of men vs. women leaders is a persistent problem in the workplace. According to McKinsey, women hold only 28% of C-suite roles. This is despite women making up nearly half of the workforce and being just as qualified as men for leadership roles. This disparity is not only unsettling, but it is also bad for business. Research has shown that companies benefit in many ways when more women are in leadership positions. IBM recently reported that organizations that are gender equity leaders saw 19% higher revenue growth than others.
One meaningful way employers can address this gap is to invest in leadership development. Leadership development programs prepare women for more senior roles, helping them build their confidence and develop the skills and knowledge they need to succeed. McKinsey reported that 67% of companies that outperform industry benchmarks for representation of women have a career development program tailored to women.
With over a decade of experience helping women and underrepresented groups advance and thrive in Fortune 500 companies, every day, we see how fruitful these programs can be for women when executed with their specific needs in mind.
The ROI of Investing in Your Company’s Women
Investing in women’s leadership development is truly a win-win for employers and the women in their organizations. These initiatives:
- Prepare women for their next role: These programs foster strong, capable leaders who drive innovation, inspire teams, and contribute meaningfully to company goals.
- Increase performance and innovation: Women-led teams are more likely to be high-performing and innovative. A study by Boston Consulting Group found that companies with more diversity in their executive teams had improved financial performance and innovation compared to those with below-average diversity scores.
- Improve employee retention: Women are more likely to stay with companies that invest in their development and provide opportunities to foster a sense of belonging. A successful leadership development program can help women grow and provide them with a community of peers to lean on and learn from. Plus, female representation has a broader impact on retention – a 14-year study concluded that increased representation of women decreases collective employee turnover.
Women Need Specific Supports
Programs that combine coaching from experienced senior executives, community via internal peer networks, and on-demand advice with a leadership development curriculum are proven to move the needle.
- Coaching and mentoring: One-on-one guidance is invaluable for women’s leadership development. Personalized coaching and mentoring can provide a safe space for women to learn, grow, and seek advice. Plus, when women are able to see executives who look like them, they can learn from the mistakes and wins they’ve had and better create a roadmap for themselves.
- Tailored curriculum: Hands-on learning opportunities and expert-led training sessions utilizing curriculum tailored to women’s unique journeys and identities – such as multicultural, early-career, mid-career, and manager – offer support to women when and how they need it. The ability to self-advocate, recognize and build upon unique personal strengths, and establish a unique leadership style, all help to outline a vision for how to best contribute to the organization.
- Peer community: Strong professional networks and peer-to-peer learning are instrumental to women’s growth as leaders. Encouraging collaboration and knowledge sharing in a safe community they can trust and lean on for advice encourages women to attain their full potential.
- Technology and innovation: Online learning platforms, gamification, and immersive experiences make leadership development accessible and engaging.
Build a Culture Where Learning Never Stops
To maximize the ROI of women’s leadership development, employers must build a culture of continuous learning. This means providing the right resources, support, and self-directed learning opportunities where employees take personal ownership of their growth.
Define Success for Your Organization
There are numerous approaches to tracking and measuring the success of a program, including:
- Number of women promoted into leadership roles
- Employee turnover rates
- Participant satisfaction scores
- Employee engagement scores
- Leadership competency ratings
It’s also important to regularly assess and adjust leadership development programs to ensure that they meet the organization’s and its employees’ needs.
How reacHIRE Measures Success
Companies that have invested in the Aurora program have seen enhanced engagement, retention, and advancement of their women:
- 90% believe they now have the necessary skills for advancement
- 89% believe they have become more effective leaders
- 97% felt a stronger sense of belonging and connection at their company
- 40% of participants have earned promotions within one year
The call to advance women in leadership roles isn’t just about diversity or equity; it’s about recognizing the profound ROI that comes with investing in empowering women to reach their full potential. At reacHIRE, we’ve seen the positive impact firsthand. It’s time for every organization to embrace change, foster growth, and watch your organization’s women thrive.
Ready to take the next step in maximizing your ROI through women’s leadership development? Contact us today to learn how we can help your organization make a lasting difference.
