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Women in Leadership Position in India

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Fachhochschule Frankfurt am Main University of Applied Sciences,Frankfurt Leadership in Global Environment Project

LEADERSHIP : WOMEN IN LEADERSHIP POSITIONS
Masters of Business Administration in Aviation Management Semester 3

Mukul Ringe, Reg No. 1042245 Deputy Chief Aircraft Engineer, Air India Limited

Professor: Dr. Yvonne Ziegler 25 March 2014

Table of Contents

1. Introduction ……………………………………………………………5 1.1 Background …………………………………………………………5 1.2 Scope ………………………………………………………………..5 1.3 Structure of Report and Methodology …………………………...6 2. Women in Leadership Positions ……………………………………6 2.1 Women in Leadership in Indian Industry ………………………...6 2.2 Women in Leadership in world Industry ………………………….7 3. Higher education in women in India ……………………………….8 3.1 Sequential Growth ………………………………………………….8 3.2 Society perceptions and limitations ………………………………9 3.3 Government Initiatives ……………………………………………10 3.4 Economic Considerations ………………………………………..10 4. Carrier Family Balancing …………………………………………...10 4.1 Gender Discrimination ……………………………………………11 4.2 Historical Gender Bias ……………………………………………12 4.3 Duties of motherhood and Homemaker ………………………..12 5. Diversity Management Programs …………………………………12 5.1 Gender Diversity …………………………………………………..13 5.2 Diversity as a result of Religion, caste and Education ………..13 5.3 Managing Diversity ……………………………………………….13 6. Conclusion ……………………………………………………………14 References …………………………………………………………….15

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Table of Figures

Figure 1: Positions held by women in Fortune 500 companies................8 Figure 2: Ratio of women directors............................................................9 Figure 3: Enrolment share (girls) in higher education…...........................10

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Table of Abbreviations

CEO MD I.T. MNC GDP GER B.E. Ph.D. B.Ed NPE

Chief Executive Officer Managing Director Information Technology Multi National Corporations Gross Domestic Product Gross Enrolment Ratio Bachelor of Engineering Doctor of Philosphy Bachelor of Education National Policy onEducation

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Executive Summary / Abstract

This paper is the result of the requirement for study of Leadership, Women in Leadership positions in India, covered under Module of Leadership in Global Environment, a subject of MBA in Aviation Management conducted by Fachhochschule, Frankfurt am Main,

University of Applied Sciences, Frankfurt, Germany. The paper discusses about the current state of the Indian industry. It further extends the scope on the ratio of number of women in leadership positions and discuss about women‟s higher education from Indian universities. The paper also covers the difficulties faced by women in India in management positions in balancing family and career. The paper also tries to analyze the need and action on diversity management programs to promote more women in leadership positions in various organizations.

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1. Introduction

1.1 Background After sixty seven years of independence, India is in its youth state and Indian Industry being in vibrant state has more Indian women in Leadership / top management positions than ever before. The proportion of women CEOs and MDs in Indian companies has risen substantially. This growth should have continuity for India to become a developed nation. Over the next decade, the representation of women in

leadership positions will improve steadily due to changing societal attitudes and the influx of more educated women in the workforce. (Narayanan 2013). The banking and financial services sector continues to lead presently, with I.T Industry and Consumer Goods Industry following it closely. The number of graduate and post graduate women per year is also going up steadily due to mass awareness. However due to patriarchal traditions of India, society tends to discriminate against women and life is very difficult for women during the period when women are at middle management levels. Balancing between family and work at such times is a Herculean task needing the power of a super woman. Except for some MNCs and some goal oriented broad minded companies, the diversity management programs to develop women leadership in organizations are obscure.

1.2 Scope The aim of paper is to study the problems faced by Indian women in managing the family and carrier. In spite of all the hardships the number of women in Leadership positions in Indian industry is on the rise. Easy and accessible higher education for women is another criteria for the society to

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be more developed. Diversity management in Indian context is analyzed in detail for deriving a conclusive report.

1.3 Structure of Report and Methodology The paper first discusses the women in leadership / higher management in Indian industry vis a vis world industry. Then focus is thrown on higher education of women in India and limitations due to society's complexity. Then the paper intrigues into gender bias and discrimination and pressures on women to balance family and carrier. In the end it analyzes diversity management programs to have level playing field for all to grow in their carrier to reach the pinnacle of any industry.

2. Women in Leadership positions

2.1 Women in Leadership in Indian Industry More Indian women are making it to the Leadership / top management positions than ever before, beating their global counterparts to it. The proportion of women CEOs and MDs in Indian companies has risen to 21% in 2013, a study by global executive research firm, EMA Partners International has revealed, up from around 11% in 2009. (Narayanan 2013). According to the study, 45 women occupy leadership roles across the 215 companies surveyed. Across Bombay Stock Exchange 100 companies, though, just four women occupied top leadership positions, according to the Spencer Stuart India Board Index 2012. (Narayanan 2013). The study was not restricted to listed companies since they tell only part of the story. The companies public, private and MNCs - had been chosen on the basis of their profile, influence within their respective industries, have industry best practices and women friendly policies in place.

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2.2 Women in Leadership in World Industry It is very difficult to collect the data of women leadership across the globe hence we analyzed the Fortune500 and Fortune 1000 companies as a benchmark. There are 23 women in CEO positions in Fortune 500 companies and total 46 women in CEO positions in Fortune 1000 companies, (Krantz 2013) which makes only 4.6 percent, a very dismal figure considering the gender equality in developed world. There were 18 women CEOs in 2012 in Fortune 500, again a dismal 3 percent. However experts make a point that this is due to not a single glass ceiling, but a leaky pipeline, stage by stage. (Mckinsey Report 2013). Figure 1, however, shows that in Fortune 500 companies, there are still many more women in middle management positions.

Fig 1. Positions held by women in Fortune500 companies.

Experts opine that due to decades of male dominance, a masculine management pattern is the default style. (Krantz 2013) This is the result of male aggressive, and non hesitant behaviour. This is also due to men saying “yes” to carrier enhancing assignments that could affect their personal life, while women tend to judge the opportunity to familial

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responsibilities like child care. However as per figure 2, it is understood that compared to the world lesser number of companies in India have women directors, and ratio of women to men directors is also negligible

Fig. 2 Ratio of women directors

3. Higher Education in women in India
3.1 Sequential growth The number of women students in higher education at the time of Independence of India was 9.3 percent, it has gone up to 36 percent at the turn of the century (Nair 2005). Four universities and 1000 colleges across the nation admit only women students. Also, there are wide gender disparities in terms of access to higher education. Access is generally lower for girls as compared to the boys – the Gross Enrolment Ratio being 12.42 per cent for the boys and 9.11 per cent for the girls. (Thorat 2008) It needs to be recognized that although the enrolment rate are generally lower for the girls compared to the boys; the girls belonging to the schedule castes, schedule tribes, other backward classes and some religious groups suffer more acutely in accessing higher

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education than other women. Figure 3. depicts the ratio of girls enrolled for higher education as shown for Post graduate courses including Ph.D., Graduation, B.E, B.Ed, and MBBS courses.

1970-71 1980-81 1990-91 2000-01 2002-03 2003-04 2004-05 2005-06

PG Ph.D 25.8 31.7 32.2 36.7 42.3 42.8 44.2 33.6

Graduation 24.4 27.8 34.7 37.4 42.0 41.5 41.2 41.9

B.E 1.0 3.6 10.9 22.3 22.6 23.8 26.4 26.0

B.Ed 37.3 40.9 44.2 42.8 52.0 49.9 36.5 43.7

MBBS 22.4 24.3 34.3 40.6 41.6 42.0 36.5 47.5

Total 23.6 27.5 33.2 36.8 40.1 45.3 40.1 38.5

Fig.3 Enrolment share (girls) in higher education

3.2 Society perceptions and limitations In spite of government of various states of India providing free education to all the girls till high school, ratio of educated to uneducated girls is very dismal. Higher education in India is perceived to be for the elite, upper class. The higher education in esteemed institutions of the country is used as stepping stones to go abroad, which benefited western countries, particularly United States. (Chalam 2011). The class or groups play a very important role in formulating policies, such as education policy, which constitutes admission policy, recruitment policy, financial policy etc. The universities and private and public institutions have not shown any innovation in experimenting with diversification where diversity of caste, religion, language and region are enormous.

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3.3 Government Initiatives Indian government is continuously taking steps to bring gender equality in education through various policies. One of the key themes in the 1986 National Policy on Education (NPE) was the positioning of education as a tool for bringing the constitutional aim of social justice and equality (Government of India 1986, 1988b: 69, 75–76). The trend of brain drain shows that most of the courses offered in our higher education institutions are not designed as per our requirements. (Chalam 2011). The relevance of a course is based on its long term advantages and needs for the society as a whole.

3.4 Economic Considerations Economic benefits to women employment are obvious. (Coleman 2012). It increases the gross domestic product (GDP) output of the nation and is an important contributor to household income. Another side of economic consideration is that average Indian does not find it worthwhile to spend a large chunk of investment on girl‟s higher education as it is considered a wasted expense, since the girl marries and settles in a new surroundings after her marriage. Her decision to work depends on her husband‟s opinion except for very miniscule percent of population in which woman is free to decide about her carrier.

4. Carrier Family Balancing
Carrier and family life adjustment requires multiple role expectation from working women. At work woman is expected to be dynamic, commited, competitive and professional, while at home she is expected to be sensitive, gentle, soft and unassertive. (Misra 1998). These contradictory expectations creates confusion and many carrier women find it difficult to do justice to twin roles as envisaged by the society.

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A number of IT companies offer flexi timings and facility to work from home, which results in woman empowerment. (Roy 2013). Companies should also provide tangible support to help women to balance her carrier and family in equal stead. Conflicts are an integral part of marriage. (Pandit / Upadhyay 2012) Conflicts arise, as there are multiple roles of wife, mother daughter-in law etc and each of them is very demanding. Her identity is lost in order to perform every role. She forgets her education, her dreams for the sake of family but hardly her in-laws family acknowledge her efforts. It is always said that behind a successful man there is a woman, but how many times we have heard that behind a successful woman there is a man, incidentally who is her husband. It is a very rare case in India at least. At times she becomes a victim of jealous husband if her professional life is better than him. Though men at large appear to have accepted the women as additional earning hand; they are yet to extend them cooperation in performing domestic responsibilities. (Valimakaki 2009) Consequentially, organizations are also adapting to women‟s need of family responsibilities. It‟s a proven fact that family and spousal support is essential in keeping a balance in a woman‟s carrier and family life

4.1 Gender Discrimination (Julie Mullin 2008) indicated that the developing world is full of poverty stricken families who see their daughters as an economic predicament. Generally, causes of gender discrimination are educational backwardness, caste, religious beliefs, cultural beliefs, low income and attitudes. Indian parents are disinterested in higher education of their daughters as girl‟s education brings no returns to them and they consider wastage of money in providing higher education to girls. (Sivakumar 2008)

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4.2 Historical Gender Bias The established norms for boys and girls are constructed to make unequal relations seem “natural”, and can be naturalized only under the duress of socialization. While girls endure unwarranted social control, discrimination and domination, boys too suffer from the stereotyping that exists in a patriarchal culture. (Amirtham 2013). Discouraged from being emotional, gentle or fearful they are thrust into the role of breadwinners, protectors, and warriors. Thus unequal gender relations stunt the freedom of all individuals to develop their human capacities to their fullest. Therefore it is in the interest of both men and women to liberate human beings from existing relations of gender. (National Focus Group on Gender Issues in Education, 2006).

4.3 Duties of Motherhood and home maker The research questions of different research students deal to choose between work and family commitments shows that choosing both is not an option for mothers. (Garey 1999). It shows that society lacks a model, framework, metaphor that adequately describes women‟s lives as professionals and mothers. “Working mother” is an employed woman who is also responsible for parental relationship. It is surprising that equivalent term “working father” is nonexistent, even though most of the men either have or will have children. (Garey1999). Men rely on their wives to reconcile any carrier family conflicts, they may have as fathers, whereas in case of woman, it is mostly the woman who has to resolve her carrier family conflict. .

5. Diversity Management Programs
Diversity, if properly managed, can increase creativity in an organization as well as improve decision making by providing different perspectives on problems. If diversity is not managed properly, it results in higher attrition

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rate, difficult communication amongst employees and more inter personal conflicts.

5.1 Gender Diversity Corporate culture plays a critical role in gender diversity at the top of the organizations. Women are ready to make sacrifices in personal life to achieve their goals. Corporate culture is the most important driver for woman‟s confidence in success. ( Mckinsey report 2013). Many men view gender diversity measures as potentially unfair, as they are unaware of obstacles faced by women.

5.2 Diversity as a result of Religion, Caste and Education. In Indian context, diversity as a result of religion, caste is also an important factor as backward class and certain religious minorities are averse to higher education for women. (Thorat 2010).

5.3 Managing Diversity Managing diversity can be defined as a concept of recognizing the wide varieties of traits and qualities of people in any organization. (Lorbiecki 2000) Managing diversity also means concept of fair and equal opportunity to all without discriminating for race, gender, caste, or religious beliefs. The flexible opportunities available to women at work place and considered by the organizations can assist the working women to unite the domain of profession and family. (Lewis and Humbert 2010) Workforce diversity presents a challenge to organizations that depend on multiple decision making teams consisting of individuals from varying backgrounds.

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Managing diversity is a new paradigm for an old term equal opportunities and is perceived as an internally driven asset. Support mechanismssuch as training and mentoring are necessary for developing and implementing diversity programs. (Strachan 2003).

6. Conclusion
Due to improving societal attitudes, women are being empowered, which can be seen in continual growth of women in Leadership positions. Due to globalization and free flow of information, women have become more aware of their rights and are ready to take challenges in grasping opportunities for Leadership positions in the Indian Industry. They are getting support from their spouses in sharing of familial responsibilities to achieve personal goals. Many companies have diversity management measures in place, but due to lack of implementation of programs very few have achieved significant impact. As a function of Corporate Social Responsibility, however, organizations are implementing diversity management programs, but still a lot more needs to be done. Organizations should revise their existing leadership styles at the top management, replacing their performance model, which has penalizing effects on women.

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References
Narayanan Vanitha. Economictimes.indiatimes.com/2013-1025/news/43395544_1_vanitha-narayanan-intel-india-ibm-india Nair, Bhaskaran. Returns on Higher Education of women in India. New Delhi : Northern Book Centre, 2005. Krantz, Matt. http://www.catalyst.org/knowledge/women-ceos-fortune1000. 2013 Chalam, K.S. Deconstructing Higher Education Reforms in India, Gyan Publishing House, New Delhi. 2011. Coleman, I. (2012). http://www.cfr.org/asia/gender disparities, economic growth and Islamization in Pakistan, 2012 Misra, P. Predictors of work family life conflict among Indian Women. Indian journal of Psychology, 25(1), 1998 Roy, S. http://www.thehindubusinessline.com/on-campus/seeking-genderdiversity-at-workplace/article5490093.ece, 2013. Pandit, S., Upadhyay, S., IOSR Journal of Business and Management (IOSRJBM) ISSN: 2278-487X Volume 4, Issue 1 (Sep,-Oct. 2012), www.iosrjournals.org Valimakaki, S., Lamsa, A., & Hiillos, M. (2009). The spouse of the female manager : Role and influence on the women's career. Gender in Management, 24(8), Julie Mullin, 2008, “Gender Discrimination – Why is it still so bad and what can you do about it?”, Accessed from www.childerninneed.org Sivakumar,M.,2008 http://mpra.ub.uni-muenchen.de/10901/ October 2008.

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Amirtham, N. S. & Kundupuzhakkal, S. / Educationia Confab ISSN: 2320009X ,Vol. 2, No. 4, April 2013 . Thorat, S., Universities Grant Commission Report, New Delhi, 2010. International Indexed & Refereed Research Journal, January, 2013 ISSN 0975-3486, RNI- RAJBIL- 2009-30097, VOL- IV * ISSUE- 40 Devillard,S. et al, Mckinsey Report, 2013 Garey, Anita, Temple University Press, Philadelphia, 1999. Lorbiecki, A. & Jack G. 2000, „Critical turns in the evolution of diversity management‟ British Journal of Management, 11 (special issue), S17– S31. Lewis, S. and Humbert, A.L. (2010), Discourse or Reality ? Work family balance working policies and the gendered organization. Equality, Diversity and Inclusion. An International Journal, 29(3). Strachan, G., Burgess John and Sullivan, Anne., Affirmative action on managing diversity- What is the future of equal opportunity policies in organizations, Brisbane, 2003.

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Hindustan Unilever Limited Is the Indian Arm of the Anglo-Dutch Company –Unilever. Both Unilever and Hul Have Established Themselves Well in the Fast Moving Consumer Goods (Fmcg) Category. in India, the Company Offers

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