These two retail heavy weights go head to head. Variety of products? Check. Central locations? Check. Well-known model to spearhead advertising campaign? Check. Black and white logo? Check. However, there is one stark difference. David Jones meets the Australian Institute of Company Director’s target of 30% women on the Board of Directors and is therefore, Femeconomy approved. Well done DJs.
Myer only need to put one more woman on their Board of Directors to meet the 30% target, which seems like an easy goal to achieve given the wealth of existing female board talent in Australia. [We are pleased to provide an update. One month after this post went live, Myer did appoint another woman to their Board of Directors and as at 28 Nov 2016 are Femeconomy approved].
Why should we worry about female representation on Boards?
The Board of Directors sets the leadership culture, strategy and governance for the entire organisation. Boards are responsible for appointing the CEO and generally direct succession planning for the executive leaders, so they have a significant influence over the gender diversity and leadership culture present in organisations, which drives overall company performance.
It’s well documented through decades of research that organisations with gender diverse leaders perform better and are more profitable. But progress to increase gender diversity on boards is glacial, and there’s backlash.
David Jones vs Myer sales
If we look at relative performance on like for like sales growth in 2016 FY, Myer’s sales grew 2.9%, David Jones sales grew 7% (well ahead of market). Respective pre tax profit was Myer $98.9 million and David Jones $168 million.
As the sector continues to transform and sales increasing move online, it will be illustrative to note how each company responds and differentiates itself. I know who my money is on (and with).
When it comes to department store shopping, who do you shop with?
We recommend you Shop David Jones
Femeconomy approved brands have at least 30% of women on the Board of Directors or are 50% female owned. So far over 700 brands meet our criteria. Look for our badge to shop Femeconomy approved brands.
Female leaders will create gender equality. #femeconomy #shop4equality