When we think of the finance industry, we often picture a male-dominated environment packed with sharp suits, airtight deals, and cutthroat competition. It is a stereotype that, unfortunately, has some basis. Women have long faced significant challenges when it comes to breaking into and advancing within the finance industry. But things are changing. Women are breaking through the glass ceiling and shattering stereotypes, proving that they are just as capable as their male counterparts. Nonetheless, there are still biases and systemic barriers that can make it difficult for women to thrive in the world of finance.
What are the factors that impede the progress of women in the finance industry?
One of the biggest hurdles is the prevalence of gender biases. From assumptions that women are not as good at math or sales to outright discrimination, these biases can make it difficult for women to be taken seriously and be considered for roles let alone promotions and leadership roles. Additionally, the lack of representation in leadership positions can create a self-fulfilling prophecy, where women do not see other women in positions of power and therefore do not aspire to those roles themselves.
Another challenge for women in finance is the aggressive and competitive culture that is often associated with the industry. While these traits can be beneficial in certain aspects, they can also be intimidating for women who do not naturally fit into this mould. This can lead to women feeling like they have to ‘act like men’ to succeed.
Yet another glaring problem for women in finance is the lack of flexibility and support for work-life balance. Finance tends to be a demanding industry with long hours and high-pressure environments, which can make it difficult for women to juggle their professional and personal responsibilities. Many women face the difficult decision of choosing between advancing in their careers and taking care of their families. Companies that offer flexible work arrangements make a big difference in retaining women in the industry and promoting gender diversity in leadership positions.
Despite some progress in recent years, recent statistics indicate that we still have a long way to go before we create an equitable and successful future for women in finance.
According to a survey conducted by LeanIn.org and McKinsey & Company, women in the finance industry are less likely than men to aspire to top leadership positions, with a 20% lower likelihood of aiming for a C-suite role. The survey also revealed that women in finance receive less support from their managers in career advancement compared to men, and are more likely to face microaggressions, such as being interrupted or talked over during meetings, compared to women in other industries. These findings highlight the existing gender disparity in the finance industry and the need for greater support and representation of women in leadership roles.
These statistics may paint a picture of underrepresentation, but the reality is far more powerful: women in finance have proven time and time again that they are capable of breaking barriers, shattering stereotypes, and achieving remarkable success.
Arundhati Bhattacharya, former Chairperson of the State Bank of India, became the first woman to head India’s largest commercial bank in 2013. During her tenure, she launched “SBI Stree Shakti,” providing low-interest loans to women-led businesses, and set a goal to have women in 25% of senior management positions within the bank by 2020. Bhattacharya also oversaw major initiatives, such as the merger of five associate banks with SBI, creating a banking behemoth with more than 500 million customers.
Arundhati, along with several others, serve as inspiring examples of what is possible when women are given the opportunity to lead and succeed in the finance industry. As someone who’s been in the finance industry for a while now, I can tell you that having women leaders on board is a real game-changer. Studies have shown that diverse teams, which women leaders are often part of, are more innovative and effective. They’re great communicators, collaborators, and they know how to build consensus, all critical skills in a field like finance where teamwork and cooperation are key. Plus, promoting gender diversity and inclusion creates a more supportive and equitable work environment, which is a win for everyone.
Another thing that’s really important is that women leaders have a unique perspective when it comes to understanding the needs of female customers. And if we’re being honest, women make up a big chunk of the finance industry’s customer base. By having women leaders at the helm and promoting diversity, we can create an industry that’s more innovative, inclusive, and successful for everyone involved.
How can women in the finance industry stand out?
I have had the privilege of working with some amazing women who have made a lasting impact in their respective fields. Over the years, I have seen firsthand the challenges that women face in this industry, and I have also witnessed their resilience and determination to overcome these obstacles.
To women who are pursuing a career in finance or even just thinking about starting one, here are a few tips that I believe can help you succeed (beyond the obvious qualifications and skills):
Broaden your network: Connect with other women in the industry and seek out mentors who can guide you and offer valuable advice. Building a strong professional network can open new opportunities and help you navigate challenges along the way.
Be curious: The financial sector is constantly evolving, and it is important to stay up-to-date with the latest developments and trends. Seek out training and development opportunities, attend industry events, and read widely to expand your knowledge.
Get comfortable with technology: To succeed in finance today, it is essential to be technologically proficient. This is particularly important for women who face unique challenges in the industry. By adopting new technologies and staying up-to-date, you can demonstrate your competence and value to your colleagues and employers.
Take calculated risks: Do not be afraid to take some bold steps. It is essential to go beyond your comfort zone and embrace new challenges. Remember, failure is not the end; it’s a chance to learn and grow. So, seize opportunities with confidence, and take calculated risks to propel your career forward.
Achieve success on your own terms: It is crucial to focus on your own skills and priorities and not be overly concerned with what others in your field are doing. While competition can be motivating, staying focused on your long-term career goals and doing your best within your own capacity can help you avoid distractions and maintain a sense of calm.
Find work-life balance: Balancing a demanding career with other aspects of your life can be a challenge, but it is important to prioritize self-care and find a balance that works for you. Set boundaries, delegate tasks when possible, and make time for the things that matter most to you.
Focus on contribution, not just financial gain: While financial stability is important, focus on using your skills to make a positive impact in the lives of others. Many finance professionals use their knowledge to educate and empower others on wealth management and investing. Take risks and fight for what you believe in, ultimately leaving your own mark in the industry.
Think differently and embrace innovation: In today’s rapidly evolving finance industry, the ability to think differently and embrace innovation is essential for success. Women are particularly well-suited for this, as we have a natural inclination towards creative thinking and developing novel solutions to complex problems. By harnessing our innate innovative skills, we can use distinctive viewpoints and original ideas to differentiate ourselves in an industry that is primarily male-dominated.
Remember, success in the financial sector is not just about skills and knowledge, but also about resilience, grit, and determination. However, creating a truly diverse and inclusive workplace in the finance industry requires a joint effort from both women and companies. Women should advocate for themselves, but it’s also vital that companies recognize the value that women bring to the industry and actively work to provide them with equal opportunities for career growth and the same perks as men. Companies that truly represent diversity in their workforce will not only benefit from a broader range of ideas and perspectives, but they will also attract and retain the best talent, regardless of gender.
Being the first person to join Godrej Capital and having played a significant role in building it from the ground up, I can attest that championing diversity, equity, and inclusion has always been an integral part of our core values, with a particular focus on empowering women within our organization. To further that goal, we have been actively working towards eliminating any barriers that hinder women’s growth and ensuring a workplace that is inclusive and diverse. Our commitment is evident through the implementation of innovative programs such as the RefHer referral program, aimed at inspiring and empowering women to join our team. Aside from that, there are several work-life balance benefits and specialized training programs tailored to the advancement of women, demonstrating our dedication to making a significant impact in this field and leading the way for others to follow.
We aim for a future where women in the finance industry are not just surviving but flourishing.
Leaving a short message, just for you: You can achieve greatness. You possess the skills, knowledge, and ambition necessary to make a significant impact in this industry. Always stay true to your authentic self, take calculated risks, and embrace failures as opportunities to grow and learn. Remember to lift other women around you and celebrate your successes along the way. The finance industry needs diverse perspectives and voices, and you have the power to make a meaningful contribution. So, set your goals high, believe in yourself, and pursue your dreams with unwavering determination. The road may be tough, but with hard work, perseverance, and a positive attitude, you can pave the way for a brighter and more inclusive future in finance.
