New research on Swedish companies shows that at least one woman on the board of directors reduces the risk of bankruptcy with 34%! The business analysis agency UC looked at all Swedish incorporated companies with an annual turnover of at least 150,000 US dollars and with a minimum of two people on their board - all in all more than 23000 companies.
According to one analyst a reason for the differences might be that women directors are less likely to take big risks. He also says and they are usually very competent. The researchers have seen these differences before and therefore they regard female representation as a positive factor when they establish the value of a company.
It is nice to find actual figures that show that diversity leads to innovation or better decisions and this story got a lot of attention since the one aspect of diversity that is most talked about in Sweden is gender. There is constantly a debate whether female representation should be forced or not, but it is mainly seen as a matter of equality and not a matter of improving business. Hopefully these results will add something to that discussion.
It is generally believed that Sweden has come a long way compared to most other countries when it comes to equality between the sexes but only about one in five directors or board members is a woman.