Effect of Female Leadership, Gender Equality, and Male Dominated Industry on BOD Gender Diversity

Abstract

Gender Diversity in Board of Director is an issue faced by many countries in the world, as most countries found women lack representatives in Board of Director. In Indonesia, this is also an issue in need of solution especially in male dominated industries. This research try to find solution for this issue by analyzing effect of female leadership, gender equality, and male dominated industry on Board of Director (BOD) Gender Diversity. Quantitative method performed in this research by gathering 102 respondents of Director level from listed companies. Data analyzed using Structural Equation Modelling to test the hypotheses. Result shows female leadership and gender equality have positive effect on BOD Gender Diversity. Female leadership gives positive effect on women’s career in the company and positively influencing their career progression to reach Director level. Gender equality also boost women’s career chance helping them in reaching Director level. These findings showed two important factors in increasing women’s representation in BOD level.