Chapter 14: Using Power and Influence to Create Gender Diverse Boardrooms: The Role of Public Policy

Research and reporting have been critical in presenting the business case for corporate board gender diversity and tracking progress, and work on the supply side (growing the pipeline of qualified women) must continue. However, significant change requires more work to increase demand—that is, changing the practices of corporate boards so they actively seek to diversify. The former Chair of the United States Securities and Exchange Commission (SEC), which regulates public companies, has said: “The challenge is not a lack of suitable candidates. There is adequate supply, but, the challenge is creating real and committed demand” (White, 2014, para. 32).

How to create demand is being debated around the world. A major issue is the role of public policy, even if that term is not always used in the discussion. A useful definition of public policy is “what governments do and neglect to do” (Klein & Marmor, 2006, p. 892) and can involve laws, mandates, and regulations. Questions underlying the debate are: Can voluntary compliance work, or is that an oxymoron? What are the best ways of exercising power and influence? And what government roles are viable and effective?