The Catalyst Research Study in Israel: Women Leading Business

Abstract

The Strauss Group and the Israel Women’s Network are proud to present this report on the status of women serving in leadership positions in the Israeli labor market. The purpose of this Census is to create awareness of women's representation
in the executive managements of public companies in Israel, and to call on the leaders of public companies to embrace a policy of diversity and inclusion in general, and of women's promotion in particular. The use of Catalyst's analytical tools enables us to collect data allowing for a world comparison, which will allow us to look at the
situation in Israel compared to that in other countries. The findings of Catalyst's research elsewhere in the world suggest that the integration and inclusion of women on the boards of directors and in the managements of public companies contribute to
the improvement of those companies' business results1. The basic underlying assumption in the report is that the promotion of women to leadership positions – senior management and boards of directors – will pave the way for more women, and will
influence a change in the labor market for all women and in the possibilities for their advancement in the organizational hierarchy. In recent years the need for diversity and inclusion in society at large and on the boards of directors of companies has
increasingly made its way to the public agenda. The underlying argument for diversity is that thinking in a homogeneous group is liable to preclude the development of new ideas, and that the failure to look at reality from different perspectives is
liable to lead to an incomplete view of reality. Different research studies performed in different countries have examined how the appropriate representation of women
on the boards of directors of companies contributes to the boards and to the business efficiency of those companies. For example, the results of a study that examined Fortune 500 companies suggested that the greater the number of women
on the board of directors, the better the company's financial results. In other words, the inclusion of women on the board of directors contributes to the company's improved financial performance2. It has been further argued that business organizations need diversity and the promotion of women for the following main reasons: to provide a broader pool of talent, to prevent homogeneous thinking by the board of directors, to further the understanding of the customer (women as consumers), to promote a flexible, family-friendly labor market, and to fight discrimination against women at work.
The methodology used in this Census was developed by Catalyst and implemented for the first time in the U.S.A. in 1995. It provides an accurate and up-to-date picture of women's standing in leading positions in the economy. Use of a uniform
methodology enables us to also make international comparisons. The methodology was applied in Israel in accordance with the terms and conditions of the license granted to the Israel Women's Network by Catalyst. In the f irst stage, the methodology used in this Census is based on a simple count of the number of women in leading positions on the boards of directors and in the executive managements of public companies. To this end,
companies traded in the Tel Aviv 100 Index on the Tel Aviv Stock Exchange were chosen.

Keywords: women, Catalyst,