Boardroom Diversity: Why it Matters

Lawrence J. Trautman
2012 Social Science Research Network  
What exactly is board diversity and why does it matter? How does diversity fit in an attempt to build the best board for any organization? What attributes and skills are required by law and what mix of experiences and talents provide the best corporate governance? Even though most companies say they are looking for diversity, why has there been such little progress? Are required director attributes, which are a must for all boards, consistent with future diversity gains and aligned with
more » ... g high performance and optimal board composition? My goal is to provide answers to these questions, and to discuss how a nominating committee and board can define their needs, explore their options, and provoke radical thinking about how corporate governance might be improved by reexamining the demographics and fundamental assumptions about diversity, the attributes of board standing committees, and international board diversity profiles. Hopefully, constructive thinking about diversity, board composition, and a productive dialogue among all in the corporate governance community will result.
doi:10.2139/ssrn.2047750 fatcat:wcgv4xs5wfdxfhwsj6sgz5mjee