Thank you to all members and directors more generally for working on this area of improved board effectiveness through diversity, writes AICD CEO Mark Rigotti MAICD.
August was a big month for the AICD – the Climate Governance Forum, our internal staff summit and other member events, including the first of the annual lunches/dinners, starting in Perth.
At the same time, we are focused on a range of other matters – one of which is achieving gender parity on ASX boards, a long-standing goal for the AICD. We have worked closely with a number of groups, including the 30% Club, for over a decade to achieve greater gender diversity.
We began with a simple premise that what gets measured gets results, and so we started measuring. Progressively, over time, it’s paid off. Our latest analysis of gender diversity data shows there are now more than 40 per cent women on the boards of the ASX 20 and 50. On the ASX 100, it’s currently 39 per cent, and 37 per cent on both the ASX 200 and 300.
And as of the end of June, the ASX 200 and 300 have reached another milestone, with a record number of women chairs. There were 42 women chairs on the ASX 300 and 25 on theASX 200 – a considerable jump from the start of the year, when those numbers were 34 and 19, respectively.
While the increase is positive, there is room for further improvement so that we see more women at the top of our largest companies. Higher up the ASX, there are 14 women chairs on the ASX 100 and five on the ASX 50, but currently no women chairs on the ASX 20.
Thank you to all members and directors more generally for working on this area of improved board effectiveness through diversity. ASX boards are a good place to start, but we are looking for positive change beyond them.
Mentoring and scholarships
A range of measures can be taken to continue addressing this imbalance. Investors, boards and search firms all have a role to play, and the AICD believes targeted mentoring and sponsorship programs can help improve the situation.
Our flagship Chair’s Mentoring Program (CMP) is one of several AICD initiatives aimed at improving board performance and governance through diversity. More than 380 women have already completed the CMP. Thank you to all our mentors for their generous commitment to this program. We’ve received a record number of applications for the current intake and are more than 10 times oversubscribed for the available mentorship slots.
Mentees gain access to experienced past and current chairs and ASX 200 directors, who provide guidance and support, building their confidence and deepening their peer networks.
Also, the AICD awarded more than 500 scholarships to women in FY24 and we continue to work to lift awareness and focus on gender diversity through director education, events, content and public positions.
Essential Director Update 2024
Which brings me to this year’s Essential Director Update (EDU) series, running throughout September and October. The EDU is our biggest annual complimentary member event. In 2023, it was attended by more than 12,000 members in capital cities and regional centres.
Keynote speakers this year are Christine Holman GAICD and Bruce Cowley FAICD. There will also be expert speakers and panel discussions on the most recent governance, regulatory and legislative challenges impacting boards and directors, including AI, cybersecurity and climate reporting. There will be a similar level of coverage across capital cities, regional centres and virtually.
I find the EDUs incredibly helpful to consolidate a lot of learning, information and perspectives in one place. I always walk away with a clutch of insights and notes. Our EDUs are a one-stop shop for an infusion of governance information and learnings, and I hope to see you at one of them.
This article first appeared under the headline ‘The Road to Parity’ in the September 2024 issue of Company Director magazine.
