Culture 15 February 2019
Businesses that neglect their most valuable assets lose competitiveness and long-term profitability. The same is true on a larger scale for national economies. So why do we continue to tolerate the enormous, yet preventable waste of human capital caused by gender inequality? Isn't it time we addressed this question as one of the top international economic priorities?
Only around 50% of women globally are in paid work outside the agricultural sector compared to 77% of men. This gap in employment rates has barely narrowed over the last twenty years. Worse still, the gap widens the higher up the career ladder you go. The number of female CEOs of Fortune 500 companies has actually fallen by a quarter over the last year to under 5%. A sobering reality indeed.
As I was discussing these issues with NGO and business leaders at the Concordia Summit and the World Economic Forum during the most recent United Nations General Assembly, I was struck by three main challenges.
First, men seem to be doing very little to bridge the gender gap. The advocacy is mostly led by women, as was the case with the suffragette movement at the beginning of the 20th century to give equal rights for women to vote. As long as men do not understand that bridging the gender gap is their responsibility as well, very little progress will be made. It is high time for men to step up and lead together with women to address this issue.
Second, very few business leaders seem to understand that gender inequality is not just a moral and human right issue, it is also a bottom line issue. It constitutes the single biggest distortion in the modern labour market and a major impediment to wealth creation. It prevents talent from rising to its natural level and leads to the systematic misallocation of resources, leaving the global economy worse off in the process.
It has been estimated that closing the gender gap would add $28tn to the value of the global economy – a 26% increase – by 2025. The dividend would be equal to the combined GDPs of the US and China. There is today an extensive body of research showing a strong link between female empowerment and economic development. Put simply, companies and societies are more likely to grow and prosper when women gain greater financial independence as wage earners and property owners.
Forward-thinking companies should be looking for ways to empower women at work, not just as a moral obligation, but also as a sound business strategy. A 2017 report by McKinsey noted that companies with three or more women on their executive committees performed better according to a broad set of organisational criteria, including innovation and quality of leadership. It further concluded that companies with the most women in senior positions achieved returns on equity 47% higher than those with none.
Third, when advancing female economic empowerment, the international community seems to mostly focus on helping women to break the glass ceiling in companies currently dominated by men. While this is important, we are also missing a big piece of the puzzle. I am convinced that the most effective strategy would be to actually increase opportunities for women to create and build companies of their own. Championing women's entrepreneurship will contribute more to a narrowing of the gender gap than promotion within existing businesses.
Sadly, today's entrepreneurs are still twice as likely to be men than women. Female entrepreneurs receive a disproportionately small amount of venture funding, with only 2.2% of the total invested in the US last year going to women-owned start-ups. This is despite the fact that companies founded by women deliver significantly higher returns than the market average, according to surveys. More must be done to provide the investment capital needed to support and accelerate the emerging revolution in female entrepreneurship.
I know from my own experience running one of the leading direct selling networks in Asia, Africa and Middle East that women are equally talented and eager to take control for themselves and become entrepreneurs.
When Nobel Prize Winner Professor Muhammed Yunus created the first ever microcredit bank in Bangladesh more than 30 years ago, he noticed that women were more likely than men to run their business in a professional way and to repay loans. As a result, more than 90% of Grameen bank customers are women.
Gender inequality is not a fatality. But turning this vision into reality will need more than good intentions. It will require transformative change in the way we do business and support entrepreneurs.
From a young age, I was fortunate to know what I wanted my career to be.
Many 12-year-olds say they want to be a movie star, pilot or professional athlete, but I knew that I wanted to be a realtor. Growing up in an era when Miami's real estate business was exploding, I watched the city grow before my eyes. I wanted to have a part in that growth, which is why I decided to obtain my real estate license as soon as I turned 18.
Today, I run a luxury real estate group under Cervera, with sales of over $400 million within Brickell, Biscayne Bay, Key Biscayne, Design District, Midtown, Coconut Grove and Coral Gables. I've found a niche with penthouses, having sold Brickell's most expensive penthouse to date, along with two other penthouses in the past few years.
However, reaching this point did not come easy. I owe my success to two things: hard work and the people who took a chance on me. Without the former, there could never be the latter.
Here are the key reasons I was able to grow my business to over $400 million in sales by age 30.
You've heard it before, but I can't stress this enough. Every person you meet is a door to a new opportunity. In real estate, as is the case with most other professions, people want to work with someone they trust and connect with. My team and I put a large emphasis on not only going to work, but also finding meaning in the work we do through personal relationships. That can mean a lot of things, whether it be finding the perfect first home for a couple or helping a family move to an area with the best schools.
Real estate is personal, and your clients should always be treated like people, not numbers. Whether someone has a $100,000 or $10 Million budget, I treat them with the same respect.
As a result, nearly all of my clients come from referrals or return to me as repeat clients.
Become An Expert In Your Industry
My team and I put a strong focus on truly knowing the neighborhoods we work in. We've become local specialists, making sure that we have a strong understanding of the ins and outs of the listing, the area and the potential buyers.
We familiarize ourselves with every aspect of an area, including: the neighborhood, the local housing market, the inventory, the schools, community issues and traffic concerns. Being knowledgeable on these aspects help us guide the potential buyer in making an informed decision.
That same approach should be applied to every profession. People are choosing to work with you for a reason, so try to maximize the value that comes with that.
Find Time To Do Nothing
We live in a go, go, go world, with not much focus on slowing down. You're responsible for your own mental wellbeing, so be sure to put in the time for yourself. For at least one hour a day, I allow myself the space to do nothing and truly live in the moment. That hour may be spent meditating, curled up with a book or watching my favorite Bravo show. The point is: that time should be for you, free of any distractions. Doing this allows you to go into work with a clear mind the following day.
It's Not All On You: Empower Your Employees
There's an emphasis put on working non-stop as the only way to succeed. That approach couldn't be further from the truth. While I'm all about working hard, as a leader, working smarter not harder is what will take your business to the next level. Remember, you hire people for a reason, so trust them to do their job and always make yourself available as a resource.
That way, you can spend your time on big picture initiatives, and your employees can own their work and grow in the process.
It Takes Money To Make Money
Don't underestimate the power of good marketing.
In business, especially when first starting out, it's important to spend money to invest in your company's success. Whether it be boosting your website's SEO, creating targeted ads or sponsoring social media posts, effective marketing is crucial when looking to reach your target audience.
Beyond traditional marketing, attending conferences and panels is essential to help you continuously learn about your industry, meet like-minded people and get your name out there.