WOMEN LEADERS – A Global Phenomenon

By: Suzanne Wisse – Huiskes

As a startup mentor of accelerator programs in developing countries, I am a mentor to some exceptional female entrepreneurs, women leaders who make a huge impact on their community no matter the circumstances. I’ve seen entrepreneurs start great businesses in the poorest regions of Nigeria. One can only admire their talent and leadership. But one of the questions that never fails to pop up during our first intro meeting is: ‘How do women succeed in the US and the UK?’ Often followed by: ‘How do they create positive outcome for their businesses?’

Last month, Jeff Paddock shared with us his update on Women’s Empowerment in developing countries, in which he describes that there is generally less opportunity and economic participation than before. When it comes to developed countries, it’s safe to say, also, that there aren’t enough female leaders representing companies. In both the US and the UK, only 1 in 6 executives are women. In India, it’s 1 in 12. In the EU, there are only four countries that reach the 1 in 4 target: France, Latvia, Finland, and Sweden. Clearly there is a long road ahead. The numbers are still below what we would expect or hope; women want to be on the team.

I always find it helpful in mentoring to talk about positive stories that provide an example on how to get things done; about the successes that women create in business and leadership roles. In other words, how do women ensure victory for their team? The focus will be on several types of companies and industries; leaders in corporates, startups, tech and investments.

Corporate Leaders

A company that deeply impresses me when it comes to gender diversity is Eventbrite. This multi-billion dollar company promotes local events online. Their executive staff is 50% female. CEO Julia Hartz says this diversity has grown organically. She actively builds a diverse company by creating an inclusive environment to make sure that they are not hiring people just because of network effect and referrals. She also believes that role models are crucial in order to keep attracting a balanced workforce. This approach is working for them and this is reflected in their performance. Other companies that have strong women leaders on their teams are Adobe Systems, Gap and Target. These female executives are often seen as role models for other women in the company.

In general, women seem to make excellent leaders in corporate environments. A recent study even shows that women are generally better suited for leadership than their male colleagues when it comes to clarity, innovation, support and targeted meticulousness. Various research, such as McKinsey’s report “Why Diversity Matters”, have highlighted the advantages of having women represented in executive roles. They consistently reveal stronger-than-average financial indicators at companies with a higher percentage of women leadership. If a company is underperforming with a lack of diverse leadership, they’re missing out. Investing in gender diversity at the workplace is not just profitable for the company but also for the investors. Companies with diverse leadership tend to create increases on their financial performance and returns on equity.

Startup Leaders

Women don’t only create positive outcome in corporate environments but are also well equipped to run a startup. I see a growing number of accelerators and early stage funds that focus on companies founded by women. BBG Ventures, Rivet Ventures, the Female Founders Fund, Halogen Ventures, Scale Investors, MergeLane, Fierce Capital and The Perkins fund are great examples. Watermark, SheWorx, The Vinetta Project and others provide a forum for women leaders and founders. In leadership, women make great innovators. Moreover, they are able to combine this with the courage to grab the initiative and the ability to communicate a clear vision. These are excellent skills for entrepreneurs. More women in executive positions means more successful startups. They are found to be more conservative and capital-efficient than their male counterparts. Meaning they typically raise more money and sell when a better offer comes around. Women led startups Rockets of Awesome and Glossier, for example, just landed funding of respectively 20 million and 40 million USD from several early stage funds.

Tech Leaders

A few of my mentees are in Tech. Innovation is clearly essential in this industry. Research suggests that organizations founded by women or that take leadership roles by empowering women in Tech are more innovative and return better financial results. In the last decade women in technology have played a bigger part in tech start-ups than ever before, and their contribution to company growth and value is significant. There are strong ambassadors out there to support this. Earlier this month, we heard Michelle Obama speak at the Apple Conference. She had the following message for Silicon Valley: ‘You need women at the table. Building a trustworthy and diverse staff is crucial for entrepreneurs in Tech’. Across the pond, Women of Silicon Roundabout is a leading forum in the UK. They are shaking up traditional gender hierarchies in the technology sector by helping people and organizations network, discuss and take action on gender diversity issues.

Investment Leaders

When I attend a Venture Capital or Business Angel event, my peers are mostly men. A running gag is that it’s the only place where the line for the ladies room is non-existent. There are some pretty impressive ladies out there, though. Like Candace Johnson, a global infrastructure, network and innovation expert and serial entrepreneur. She is the long-term President of the European Business Angels Network and one of the women behind Rising Tide Europe, a program that attracts businesswomen to become angel investors and invest together. Her strategy has a lot of potential for profitability, as female investors are more likely to make money in the market. Apparently women act less impulsively when it comes to investing in general, which turns out to be a great way to make money. They buy stock and hold on to it longer than men, and tend to act only when they are confident about their decision. This was confirmed by a recent statement from big investment firm Fidelity. It says that female investors outperformed males last year by 0.3%. In fact, Fidelity found that females outdid men over the past decade. No wonder the UK Business Angel Association has recently started a campaign to build the proportion of women angels in the association to 30% by 2020.

Global Leaders

The answer to the question from my ambitious mentees ‘How do women leaders succeed in the US and the UK?’ could be: Women are more likely to succeed when they build a network and hear first-hand from powerful and impactful women. Their stories and experiences can be brought to light in a way that can provide role models for the success of others. Despite the odds, women are breaking the gender barriers and bringing success to their businesses. As for the second question: ‘How do they create positive outcome for their businesses’? It is without a doubt that men and women together can become equally amazing business leaders and form a winning team. No matter the circumstances.

About the Author
Suzanne Wisse-Huiskes is the founder of MatchBox Consultancy. MatchBox provides expert advise on Alternative Finance, with a focus on impact investing, venture capital, crowdfunding and business accelerator programs. Benefitting from over a decade of experience, Suzanne works with organisations based in Africa, Asia, Europe and the United States. She is also a lead researcher and author in Alternative Finance. Her latest publication is the report: ‘Crowdfunding Potential for Nigeria 2017’. Originally from the Netherlands, Suzanne lived and worked in Spain, Italy, Nigeria and currently the United Kingdom with her husband and their three kids.