The Ambition Divide: Differences Define Women`s Career

HUDSON THOUGHT LEADERSHIP SERIES
v4
i1
CRITICAL
THINKING
The Ambition Divide:
Differences Define Women’s Career Aspirations
By: Margaretta Noonan, Executive Vice President, Chief Administrative Officer
Writer: Sharon McGowan
Research Director: Sanja Licina
p2
However, surprisingly little research has been done on the career aspirations of these middle managers. How do they define success? What positions do they aspire to? How well do they balance work
and non-work activities? What motivates them to seek career advancement? What obstacles stand in
their way? The answers to these questions will help companies in their efforts to retain and advance
these women, thus lessening the talent drain.
Hudson, a leading provider of permanent recruitment, contract professionals and talent management
services worldwide, conducted a detailed Web-based study of more than 200 U.S. female mid-level
managers in fall 2007. Supplementing this research, a Web-based survey was administered to more
than 200 male middle managers and interviews were conducted with a dozen female middle managers and senior executives to delve deeper into the issues.
[1]
AIMING HIGH
Women comprise about half of all managers and professionals in the United States. Since the
mid-1980s, the percentage of women in management, professional and related occupations
has more than doubled, according to data compiled by the U.S. Bureau of Labor Statistics.
[2]
Given the large and growing percentage of women in middle management positions, one would
expect to find a steady increase of women in senior management roles. However, this is not the
case. In fact, the percentage of women in corporate officer positions in the Fortune 500 declined
between 2005 and 2006, from 16.4 to 15.6 percent, according to Catalyst, a research organization
that studies career advancement for women.
This is despite the fact that the scarcity of top women executives negatively affects companies’
bottom line. Catalyst found that Fortune 500 companies with the highest percentages of women
corporate officers experience an average 35.1 percent higher return on equity and 34 percent
higher total return to shareholders than those with the lowest percentages.
The dearth of women in senior management positions cannot be attributed to lack of interest. The
[1] To qualify for the study, participants had to work at companies with revenue greater than $10 million. Their salaries ranged from
$40,000 to $200,000, and they manage at least two people. Respondents’ ages ranged from 25 to 54 years old.
[2] From 1972–1999, the occupational classification was known as “managerial and professional specialty.” Beginning in 2000,
it was called “management, professional and related occupations.”
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
U.S. companies are facing a dramatic talent shortage resulting
from an aging workforce, years of low birth rates, low unemployment and a variety of other factors. When combined with the
abysmal track record of most businesses in advancing women to
the top ranks it becomes critical for companies to better understand how to retain and advance female managers.
p3
positions. Asked whether they would like to reach the executive level or higher, 77 percent of
the study participants say “yes.” Those who answer “no” to this question are called “decliners” in
this paper.
Being married or having children does not get in the way of women aspiring to top positions. In fact,
more aspirers (69 percent) are married than decliners (61 percent), and slightly more aspirers (63
percent) have children than decliners (59 percent).
Explaining why she aspires to an executive job, Aria Age Broxton, a senior business analyst in
Human Resources at WellCare Health Plans, Inc., explained, “I’m a leader and I like to impact
change. I think that anyone, at any level, can suggest change, but it’s really the top people with power
and influence that make the change happen.” Angela Jones, an associate in the Atlanta office of
consulting firm Booz Allen Hamilton, noted, “The level of influence that I want to have in an organization and the contribution that I want to have would probably max out at the CEO level.”
The Hudson study found that the vast majority of women middle
managers aspire to senior management positions.
Furthermore, women have the educational credentials to aspire to top positions. According to the
National Center for Educational Statistics, beginning in 1985-86, the number of women earning
master’s degrees each year surpassed the number of men. As of 2006, 53 percent of all those
who hold master’s degrees were women.
Despite a large and growing pool of highly educated female managers, women are not making their
way into the top corporate jobs. A Catalyst study found that in 2006, the average number of corporate officers in a Fortune 500 company was 20.3, while the average number of women corporate
officers was only 3.2.
Catalyst also reported that while operational (line) experience is necessary to reach senior positions
in many organizations, women were more than twice as likely to hold staff positions than line
positions.
Women may be internalizing a message that the very top positions are beyond their reach. The
Hudson study found that a similar percentage of male middle managers aspire to senior-level
positions (82 percent), but men aim higher. Asked about the highest position they would like to
attain, 31 percent of men name C-suite positions (e.g., CEO, CFO, COO) or president, while only
22 percent of women name these positions. Even for those whose aspirations are lower, there is
a gender difference. The most frequent response of women is “director,” with 23 percent aiming for
that position, compared to 11 percent of men. Men’s most frequent response is vice president.
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
Hudson study found that the vast majority of women middle managers aspire to senior management
p4
The study reveals that there are many notable differences between women who aspire to senior-level positions and those who do not. For example, a much higher percentage of aspirers than decliners
want to stay at their current company as they advance in their careers. More than three-quarters of
aspirers (78 percent) want their next career step to be a promotion or lateral move at their current
company, compared to 57 percent of decliners.
As Jan O’Brien, a manager at Blue Cross Blue Shield of Minnesota, put it, “As long as I’m being
challenged and I see that there’s opportunity within the company I’m at, I don’t really look to move.”
This finding has important implications for employers: it suggests that if female middle managers are
given the opportunity to develop and advance their careers, they will stay. “It seems clear that women
who want to move up are willing to place their bets on their current company. If employers understand the goals and aspirations of female managers, they should be able to develop strategies to
retain them,” said Robert Morgan, co-president, Hudson Recruitment and Talent Management, North
America.
Almost three-quarters of women, aspirers and decliners alike, define success as being based equally
on their career and their life outside of work. However, when they are pressed further on the issue,
the difference between aspirers and decliners is apparent. Thirty percent of aspirers—compared
with only 17 percent of decliners—say that career comes first but non-work life is a close second. In
contrast, 39 percent of decliners—compared with 19 percent of aspirers—say that their personal life
comes first and their career is a close second.
“It would be a mistake to assume that women managers who are not
seeking higher-level positions don’t care about what their workday
is like. They want to be challenged, but the end goal is mastery, not
promotion.” – Robert Morgan
Jill Musselman, client services director of the Western Region at commercial printer RR Donnelley,
would eventually like to advance to an executive management position, but for now, she puts her
family first. Musselman is married and has three teenage children. “I put more focus on my family
because I feel when you’re a mom you only get one shot at it to be successful…instilling values in
your children. I think in a career you can go from one to another.… If you are not as successful in a
career that you have, you can move on to something else and try to attain that success somewhere
else,” she said.
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
W o m e n A s p i r e r s V s . D e c l in e r s
A LOT
IN COMMON
Despite the gender differences in the positions
they aspire to, men and women middle managers are much more alike than they are different.
• Roughly the same percentage of men (75 percent) and women (73 percent) define success for
themselves as being based equally on their career and their life outside of work.
• A similar percentage of men (44 percent) and women (46 percent) say that achieving work-life
balance is one of their most important goals, and, perhaps surprisingly, the vast majority of both
genders say that their life is well-balanced between work and non-work-related activities.
• About half of both men and women say that their spouse or life partner is the person who helped
them most significantly in advancing their careers. The same percentage of men and women (36
percent) credit a mentor at work as the most helpful. More women than men name a colleague/peer
(44 vs. 35 percent).
• Male and female respondents give virtually identical responses when asked what has helped them
the most in advancing their career. Education is by far the most frequent answer. More women than
men say that networking helped them most (25 percent compared to 19 percent).
• Asked about the greatest obstacle in their career, the most frequent response of both men (18
percent) and women (26 percent) is that they are torn about responsibility towards their family. An
equal percentage of men and women (17 percent) cite their unwillingness to relocate as the most
serious obstacle.
p6
balance as one of the two most important goals, and about 40 percent of both say they value good
compensation. (It is interesting to note that 58 percent of male aspirers say that good compensation
is one of their top career goals.)
However, there are also striking differences between what female aspirers and decliners want from
their career. The single most important goal for aspirers is the opportunity for growth and development (48 percent), while only 28 percent of decliners say this is a top goal. On the flip side, 37
percent of decliners say intellectual stimulation is one of their top goals, compared to only 17
percent of aspirers.
“It would be a mistake to assume that women managers who are not seeking higher-level positions
don’t care about what their work day is like. They want to be challenged, but the end goal is mastery,
not promotion,” Morgan said. When it comes to assessing what they like best about their job, 39
percent of decliners say that it is the opportunity to do interesting and challenging work, compared to
22 percent of aspirers. “The aspirers seem to be saying, ‘I don’t care how comfortable first base is,
because I’m going to second,’” said Morgan.
Aspirers are more likely to be completely positive about their job than decliners (42 vs. 28 percent).
Decliners also are twice as likely (22 vs. 11 percent of aspirers) to have mixed feelings. These
results imply that employers may be ignoring the needs of decliners.
Some experts believe that talented workers who have no interest in attaining top positions are critical
to business success. For example, in their influential 2003 Harvard Business Review article “Let’s
Hear It for B Players,” Thomas J. DeLong and Vineeta Vijayaraghavan wrote, “…we have found that
companies’ long-term performance—even survival—depends far more on the unsung commitment
and contributions of their B players. These capable, steady performers are the best supporting actors
of the business world.” The article points out that B players are not necessarily less intelligent than A
players. Their defining characteristic is their aversion to call attention to themselves. “B players strive
for advancement, but not at all costs,” wrote DeLong and Vijayaraghavan.
W o r k - l i f e b a l an c e
Those who do not aspire to senior management positions are more likely to say that work-life
balance is a critical goal to achieve in their careers. Almost three-quarters of male and half of female
decliners list work-life balance as one of their top two goals. Forty-five percent of female aspirers
include work-life balance among their top two goals.
“It [work-life balance] is very, very, very important. I come from a long line of workaholics and you
need to be reminded of that balance all the time; otherwise you can be your own worst enemy,” said
Jan Williams, vice president of Human Resources Governance at Apollo Group Inc., a publicly traded
company that provides higher education programs for working adults. She noted that her employer
is flexible and considerate of family obligations. “It’s the reason why I stayed with this company.”
Broxton, of WellCare Health Plans Inc., said that work-life balance is “extremely important and no, I
don’t believe that I have it.” She added, “If I were to get another opportunity, that would be one of the
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
Aspirers and decliners share several top career goals. About half of both groups rate work-life
p7
have a flex schedule or work from home when necessary?”
Given the long hours that many middle managers put in, it is interesting that the vast majority—
whether women or men, aspirers or decliners–are satisfied with their work-life balance.
Seventy-eight percent of women and 85 percent of men surveyed say their life is generally well
balanced. Among the women, an equal number of aspirers and decliners are pleased with the
The vast majority — whether women or men, aspirers or
decliners— are satisfied with their work-life balance.
balance they have achieved (78 percent). More male aspirers (89 percent) than decliners (65
percent) believe their lives are well-balanced. Nevertheless, when female managers are asked
about the greatest obstacle in their career, the most frequent response among seven options
(including inability to relocate, reluctance to participate in work-related social activities and inadequate education) is family responsibility. One-quarter of aspirers and one-third of decliners say
they are “torn about their responsibility towards family.”
The same pattern is true for men. Both male aspirers (17 percent) and decliners (22 percent)
rank “torn about responsibility towards family” as the greatest obstacle in their career. A likely
explanation for the apparent contradiction is that most managers work very hard to achieve that
balance but fear that they won’t be able to maintain it as they move up in their careers. “Work-life
balance is so important that people make it a priority, but it is a constant struggle,” said Morgan.
S t r at e gi e s f o r A dvan c e m e n t
When asked to choose two strengths or characteristics that they expect to capitalize on to attain
a senior management position, the most frequent responses of female aspirers are commitment
(51 percent) and work ethic (45 percent). Only 8 percent choose networking.
“While commitment and work ethic are necessary to reach the top, they might not be enough,” said
Morgan. “If more women begin to recognize the importance of networking in attaining top positions,
I think we would begin to see a jump in the numbers of female managers who reach senior management positions.”
Most men (57 percent) say they expect to capitalize on their work ethic to attain a senior management position, while commitment is tied with confidence (41 percent) for the second spot. Only 7
percent of men choose networking.
“Men are faced with fewer obstacles on their way up, so networking might not be as critical for
them as it is for women,” speculated Morgan.
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
first questions I ask: what is the work-life balance; how much flexibility do I have in my job to either
p8
to develop women for executive-level positions. Of those whose companies have such a program, 47
percent say it is effective.
There is no clear consensus about what kinds of programs are most important to women’s career
development. On a scale of 1 to 7, with 1 being not important at all and 7 being extremely important,
women rank five different attributes nearly the same (5.7 or 5.8): working with senior management,
leadership programs, mentoring programs, training programs and working on company-wide strategic
initiatives. Respondents believe that employers perform best at offering training programs and formal
schooling and perform worst at mentoring programs, offering flexible hours and instilling an understanding of the business.
Women recognize that effective mentoring programs can make a difference. Clevenger, of Apollo
Group Inc., said that her company has a vast array of career development opportunities but no formal
path or mentoring program. “In fact, I would like to help set that up,” she said. She added that the
growth opportunities at the organization are “tremendous,” but “there’s no organized path…‘this is
how you get to X.’ There are little steps along the way but nothing that’s clearly defined.” A senior
director of Human Resources who requested anonymity said that at her company there’s a “good ol’
boys” network. “Everybody here knew everybody else before they worked here.… I had to earn their
respect and their trust and had to show them that I know what I’m doing. And now I’m at that point
where I just need that one next step to be vice-president…but it’s tough because I’m not a good
ol’ boy.”
Several of the women interviewed observed that the attitude toward women in managerial and senior
executive roles has improved during the last 10 years. As one manager put it, “I think it’s changing
for the better.”
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
Twenty-one percent of female managers in the Hudson study say that their company has an initiative
p9
The Hudson study found that more than three-quarters of female middle managers aspire to
senior-level executive positions. Yet, they are still grossly underrepresented at the top. Companies
that want to retain and advance women middle managers should make a deliberate effort to identify
women who are aspirers and provide them with the tools they need to reach their goals. All things
being equal, these women would prefer to stay with their current company than jump ship for an
opportunity elsewhere.
In addition, the Hudson research found that of the areas women consider important for career
development, employers do poorly in three: mentoring programs, working with senior management
and flexible hours. By bolstering these opportunities, companies could differentiate themselves and
gain a competitive advantage.
Smart companies also will pay attention to the needs of decliners—female managers who may be
strong performers but who do not aspire to the top tier of management. By offering them intellectual
stimulation and work-life balance, employers can increase job satisfaction and retain these important
contributors to the organization’s success.
T H E A M B I T I O N D I V I D E : D I F F E R E N C E S D E F I N E W O M E N ’ S C A R E E R A S P I R AT I O N S
Conclusion