Reference no: EM134029414

'I see there is a push to get more women on boards', says Gina Zigomanis to no-one in particular. 'A good thing too', responds Gail Wilson, HR manager for Oz Industries. 'Gender inequality in the workplace should not be tolerated. I think the number of women appointed to the board of directors of Australian companies is a disgrace.' 'I agree Gail, there should be more women on boards', adds Gina. Mark Douglas, Oz Industries CEO, turns in his chair to directly face the two women sitting opposite. 'Everyone agrees with that providing the appointments are made on merit.' 'Hear hear', adds Todd DeVries, marketing manager. 'If women are appointed on the basis of merit no-one will object. But to appoint someone to the board just because they are a woman is wrong.' 'Agreed', interjects Britney Pearson, CFO. 'A company is in the business of making a profit. It does not exist to implement some feminist agenda. Its responsibility is to its shareholders.' 'I can't believe this. Everyone knows that Australian boards are simply clubs for old boys. Without legislation to enforce quotas nothing will change', says Gina. 'I'm with you Gina', Gail says enthusiastically. 'It's time for companies to "walk the talk" - change the gender mix of boards or face a quota.' 'I disagree', says Britney. 'I believe it is possible to achieve a better gender balance on boards without quotas.' 'How can you say that, Britney? All the evidence shows that the representation of women on boards is so low it is embarrassing.' 'Quotas are a short-term fix. They are cosmetic. If you force women on to boards, you risk having marginalised "token" directors instead of "real" directors who make the decisions.' 'What about the fact that a high proportion of female directors is related to company share price performance?' 'Correlation is not causation', interjects Mark. 'It is also a fact', adds Todd, 'that not all women favour quotas because they see them as demeaning their own achievements.' 'I agree, Todd', says Britney. 'Quotas are political correctness gone mad.' 'This is not about political correctness, it is about fairness', Gail responds. 'Come on Gail', says Britney. 'All quotas do is reinforce the stereotypical view that we women are not as good as managers as men.' 'If you legislate for quotas - what about a board quota for those with disabilities, gays and lesbians, Asians, elderly workers...? Quotas are a bit of social engineering designed to help white, middle-class females.' 'Mark, how could you say that?' says Gail. 'It is well recognised that most boards are made up of white, middle-aged men with a private school education - they don't call it an old boys' club for nothing.' 'I am in favour of targets, not quotas. What quotas do is put women down and promote mediocrity. Too many women believe they deserve it - why should they be appointed to a board if they are not prepared to earn it?' says Mark. 'The number of female directors is increasing. I agree gender diverse boards add value, but I am strongly opposed to quotas. Companies should set targets and formulate clear policies on how they plan to meet them.' 'Makes sense', adds Britney. 'To me, quotas treat the symptoms, not the cause.' 'I'm sorry, but I cannot accept that point of view - nothing will change without mandatory quotas', replies Gail. 'Failing to recruit from a more diverse talent pool is bad for the company, its shareholders, and the public in general.' 'Well', says Gina, 'I am tired of the stalling, women have been too patient for too long. It's time that the government introduced quotas for women.' 'You and Gail are entitled to your viewpoint, but I don't want to be patronised. I want to be appointed on the basis of my ability', says Britney. 'Okay Gina, if one accepts your argument then you must also favour setting quotas to increase ethnic diversity, religious diversity etcetera, etcetera - where does it all end?' asks Todd. 'With tokenism and more government red tape, that's where', retorts Mark. 'Quotas are just an agenda item for white middle-class women.' 'When will you get it?' says Gina. 'Board diversity means improved organisational performance and the fair treatment of women. There are no excuses. Quotas are needed and needed now.

QUESTIONS

1 Critically review the points raised. Which manager(s) do you agree with? Which manager(s) do you disagree with? Explain your answer.

2 Identify the various stakeholders involved and their likely viewpoints.