The Effect of Top Management Team Gender Diversity on Climate Change Management: An International Study

The aim of this research was to assess the effect of top management team gender diversity on firms' effective commitment to climate change management from two new perspectives: a more detailed analysis of gender diversity in corporate management and an international analysis of the phenomenon. Broadening climate change management assessment through selected CDP qualitative metrics for governance, risk management and strategy provides a more in-depth view of climate change managerial practices. Even though a growing body of academic literature highlights the potential positive impact of gender diversity, this empirical research based on a sample of 836 firms from 16 developed countries provides mainly inconclusive results. These results may be explained first by a still insufficient and below critical mass, percentage of women within top management teams; and second, by a selection bias, as only the best performers disclose their climate change management data. This also calls for companies to improve their gender diversity among the top management team, and for regulators to further extend compulsory climate change management reporting.