iPhone app iPad app Android phone app Android tablet app More

Featuring fresh takes and real-time analysis from HuffPost's signature lineup of contributors
Daniel Burrus

GET UPDATES FROM Daniel Burrus
 

The Growing Power of Women in Business

Posted: 02/15/2012 11:22 am

2012-02-15-mail.google.com.jpg


It used to be that the business landscape was a man's world. Times have certainly changed! Today, women are wielding more and more power on both sides of the business transaction. First, let's look at some facts from the consumer side. In family purchases that involve two adults (a woman and a man), women make:


  • 94 percent of the purchase decision on home furnishings

  • 92 percent of the purchase decision on family vacations

  • 91 percent of the purchase decision on home purchases

  • 80 percent of the purchase decision on health care

  • 60 percent of the purchase decision on family cars

  • 51 percent of the purchase decision on consumer electronics


It's clear that in many cases, women are not just influencing the market; they are the market. And perhaps even more surprising is that these statistics have changed very little over the past ten years. In other words, women have been the market for some time now yet many executives have not taken action on this huge opportunity. And while these figures represent U.S. households, the percentages are being exported due to technology-driven globalization. Even in countries where you'd expect women to have no voice at all, thanks to computers and smart phones becoming more prevalent worldwide, people everywhere are getting informed and empowered, which ultimately has an effect on culture.

This brings us to the other side of the equation. Who is running and leading the companies that make the products women are buying for themselves and their families? Increasingly, it's women.

In 2012, 18 of the Fortune 500 companies will have women CEOs at the helm. While at first glance, 18 may not seem like a lot, but it's an all-time high and shows the steady pace of women leading the largest companies in the world.

Even more interesting is that we're now seeing women lead companies in industries that have been historically male dominated. For example, for the first time ever, IBM chose a woman CEO, Virginia "Ginni" Rometty. Hewlett-Packard, another technology company, named Meg Whitman as their CEO in September 2011. These are just two examples of global, male-dominated companies now run by women.

And this trend isn't just in the U.S. India, for example, has more women CEOs than the U.S. And over the past 30 years we've seen the number of women leaders in the Middle East, Africa, China, and Europe increase as well.

Now it's important to note that so far we've just been talking about CEO spots at major corporations. Add in the number of female CEOs at small and mid-sized companies, female upper level managers, and female entrepreneurs, and you can see that we're actually talking about a large number. And these are numbers you wouldn't have seen twenty years ago. So women are definitely making their mark and exerting their business power.

The New Hard Trends

Some people may say the rise of female leaders is surprising. I say it's 100 percent predictable. In my book, Flash Foresight, I make the point that in an uncertain world, you have to ask yourself, "What am I certain about?" Strategy based on uncertainty has high risk; strategy based on certainty has low risk. There are a number of certainties in today's world that make the rise of women obvious.


  • Relationships are number one.


The number one certainty is that the future is all about relationships. Even though we live in a technology-driven world, it's still a human world and relationships still matter. This is where women shine.

Most people and even scientists and researchers agree that women and men think differently in terms of relationships. Women are more adept at relationship building. If we have too many leaders in an organization who are men, we don't have a balance and we don't have the ability to grow relationships with a holistic approach. That's because men tend to be informers while women tend to be real communicators.

This is important and timely, because we're shifting from the information age to the communication age. Social media is all about communicating and engaging, and women have the upper hand here. So the shift in business from informing to communicating provides great opportunity for women leadership.


  • The big picture matters.


Women are intuitively great "system-thinkers." In other words, rather than just look at the piece of the puzzle you're responsible for and executing on that, which men tend to be very good at, women are adept at looking more holistically at the entire puzzle or system and seeing how the various pieces go together.

Obviously, it's not that men can't be system-thinkers. But over the years as men were in leadership positions -- not just the CEO level, but all lead managers -- they focused on "give me the job to do and I'll focus and get it done." That's certainly important, but sometimes that mindset works against you as things become more interconnected.


  • Collaboration is key.


Women tend to seek agreement and work at being more collaborative. In fact, women seem to be far better at collaboration than men are. In the past, business was about cooperation, and we cooperated because we had to. Men are great at cooperating. But in this new totally networked and connected world, we need to find and develop new levels of collaboration.

Everyone has heard of "silos" in companies. We have massive silos in all sorts of industries. The key is to break those silos down and get people communicating, collaborating, and working together. No job is just a technical job; every job is also a human job.


  • Passion counts.


When women are excited and passionate about a product, a service, a company, or whatever they are doing, they become extremely driven from that emotion. Men, on the other hand, strive to hide their emotions. Having an emotional drive can be very powerful in leading a business, product launches, and any initiative. This is not saying that men can't be passionate. It's just that male-dominated groups are one-sided and tend to downplay the positive benefits of emotion and passion as a force to drive innovation and growth.

  • Taking risks (carefully) is essential.


Women are now starting to do something that's been a male trait for a long time: They're becoming risk takers. Men are hard-wired to be risk takers, and they make decisions fast. Sometimes it's not always the right decision, but it is a decision. Unfortunately, this often becomes a ready-fire-aim approach. Women, on the other hand, tend to analyze, think things through, weigh all the elements, and then make a decision. Today we're seeing more women taking bigger risks in shorter amounts of time. Part of this is due to the increased speed that information is available. This combination of thinking first and acting fast is certainly good news, because the old rule of business was the big eat the small; now the fast eat the slow.

A Brighter Future

Granted, some people may say all these elements are generalizations, but there is truth in generalization. So while all these traits may not apply to every woman, if you look at the group as a whole, these things tend to be true.

So the bottom line is that diversity has always been an unbelievably powerful force in any company -- not just racial diversity, but male-female diversity too. All diversity gives you better solutions to challenges, allows you to solve problems faster, and enables you to see opportunities better. This is crucial, because over the next five years we're going to be transforming how we sell, market, educate, train, communicate, collaborate, innovate, and much more. Thanks to today's rapidly evolving technology, we're witnessing the biggest game-changing transformation that any of us have ever lived through. And we're going to need a variety of thinking, diversity, and people working together in a collaborative, communicative way to make a positive and productive transformation possible.

As we look to the future, we're going to see the number of female business leaders growing even higher because we need the balance. We need the creativity. We need men and women working and leading together in business and in government. So if you're a man reading this, support the women in your organization to reach new heights. And if you're a woman reading this, think about your career. Plot it out. Make it happen. We need you!

 
 
 

Follow Daniel Burrus on Twitter: www.twitter.com/DanielBurrus

 
 
  • Comments
  • 46
  • Pending Comments
  • 0
  • View FAQ
Comments are closed for this entry
View All
Favorites
Recency  | 
Popularity
10:42 PM on 02/16/2012
Yes! Yes! Yes! And today's show in the house hearing is just another example of how long it can take to make these kinds of changes happen. It takes a long time to impart change within organizations, but with leaders who are committed to the change, it can happen. I've been reading Transforming Corporate Culture by Lisa Jackson and Gerry Schmidt. In their book, they offer concrete solutions that empower employees to be a part of the conversation and help engage them to the point that they become the change agents, rather than waiting on someone else to tell them how. It's been a remarkable help to me and my organization as we've worked to make some major changes to how we're structured, including bringing more women to seats of power. Remarkable book for remarkable changes. http://corporateculturepros.com
HUFFPOST SUPER USER
MissTake1989
Equal means equal, hypocrites.
05:40 PM on 02/15/2012
"94 percent of the purchase decision on home furnishings
92 percent of the purchase decision on family vacations
91 percent of the purchase decision on home purchases
80 percent of the purchase decision on health care
60 percent of the purchase decision on family cars
51 percent of the purchase decision on consumer electronics"

Are there any efforts being made to "equalize" these disparities?

Maybe we can have an App to close the (Spending Your) Pay Gap?
09:28 PM on 02/16/2012
Spending is an elective behavior. What one is paid is not.
This user has chosen to opt out of the Badges program
09:37 PM on 02/16/2012
It is LESS elective. But there are still controls. See my other post about how we need to first ask WHY their pay is lower...before we begin our assumptions. One theory, supported by fairly recent studies, shows much less aggressive pay negotiating behavior in women than men.
HUFFPOST SUPER USER
MissTake1989
Equal means equal, hypocrites.
09:40 PM on 02/16/2012
A- Actually, it is. I know you believe that women are helpless and powerless, but actually, no. If you feel you are underpaid, you are free to seek other employment. Just like everyone else.

If no one else will pay you more, then you need to reconsider your underlying premise.

B- In a marriage, spending of one's spouse it not elective. There are no legal means by which to stop them from spending more than 50% of the money.

C- The amount of dishes done in a relationship are also elective...doesn't stop feminists from trying to equalize it, does it?

D- And, of course, you still have yet to either apologize for your slanderous remarks or provide the proof to back them up.

And, of course, both of us know that you never will because doing so would be what an adult would do...not what an American feminist would do...
This user has chosen to opt out of the Badges program
10:49 AM on 02/18/2012
"I see you have made a point she can't refute. Prepare to either be called a misogynist or never hear from her again on this matter. "

Forget it. She's gone a different route. Supposedly you and I are the same poster. Aside from that, I've been told that I cannot properly perceive everything I see, hear, and what people tell me. Protective argument shell in effect.
HUFFPOST SUPER USER
MissTake1989
Equal means equal, hypocrites.
10:54 AM on 02/18/2012
As I have explained to her many times...

She can call me a misogynist all she likes.

The truth is that I think women are more equal than she does. I believe that they can be held to the same standards as men.

Her brand of feminism demands that she shield women from any hint of accountability and responsiblity. It also demands that they NEVER relinquish the power of the victim card.

It holds women back from TRUE and ACTUAL equality.

But, as you say...the "protective...shell" keeps them repeating the mantras and cliches and lashing out with cries of "sexism" and "misogyny" towards anyone who doesn't immediately parrot her feminist world view.

This modern feminism must be eliminated for egalitarianism to begin the final step towards genuine equality.
HUFFPOST SUPER USER
MissTake1989
Equal means equal, hypocrites.
04:48 PM on 02/19/2012
Well, I know what you mean...the feminist nonsense that ALL behavior is learned, not biological.

I've put forth the question many times...

Liberalism demands that you believe that all behavior regarding gender is learned....but it SIMULTANEOUSLY demands that you believe the TV/TS/TG community when they explain that their feelings of gender they they are born with are so strong they must change that gender.

IF the feminists are right (I know, they are not) then the TV/TS/TG community would NOT exist.

Those boys would be boys and those girls would be girls.

So...not only are they wrong...their beliefs are actually HOSTILE to the transgendered community.

As far as their fundamentalism...I recently wrote comparing the feminist movement to the TEA Party...on a thread where Marlo Thomas was not feminist ENOUGH for them.

It's reminiscent of the way Reagan is praised by the TEA Party crowd, but in truth...he's not radical enough for them anymore. They have grown so much more radical and intolerant of anyone who doesn't adhere to strict doctrine that Reagan would be shunned by them today.
Morrisfactor
Just a little bent
02:42 PM on 02/15/2012
"Women, on the other hand, tend to analyze, think things through, weigh all the elements, and then make a decision. Today we're seeing more women taking bigger risks in shorter amounts of time."

Ahhh, so this explains why women initiate divorce 75% of the time....
07:08 PM on 02/15/2012
That one track mind must get monotonous.
Morrisfactor
Just a little bent
03:08 AM on 02/16/2012
GG-

I'm curious.

You've written nearly 6,000 comments for HP since April, 2011, (that's more than 600 postings PER MONTH, yet there is no record of any on your profile page. How is that possible - how does one keep their comments hidden?

Don't you have a real job? Or do you work for HP as some sort of secret commentator to keep the rabble like me in line?

Just wondering...