Women In Business

Do women design organizations differently?

A new study suggests that they do. Sasha Galbraith has been comparing male- and female-designed organizations. They differ considerably in the areas of business processes, reward systems and people practices. Women-run organizations tend to have more intensive, multi-directional communication patterns. They are often less hierarchical and have more egalitarian, person-centered reward structures. And women entrepreneurs typically fund multiple employee philanthropy projects. To learn more about Sasha Galbraith’s research, go to her website or download this cover story from Talent Management magazine.

To learn more about this ongoing study, or to enquire about participating in it, please Contact Sasha Galbraith by using the form on the top right of the page.

The Numbers:

$7 TRILLION — Size of the U.S. female economy

$100 billion — What women spend annually on luxury goods and services

2 out of 3 — ratio of women to men expected to be richest people in the U.S. in 2019

10.4 million (4 in 10) — firms owned by women in the United States

$1.9 trillion — Annual sales generated by women-owned firms in the United States

13 million — people employed by women-owned firms in the U.S.

$63 billion — what women business owners spent on information technology & telecommunications (2004)

2-4% — Increase in median net profit margin of firms employing higher than average numbers of minorities (women and people of color).

35% — Proportion of women who read the Wall Street Journal online

70 — Percent of women earning more than $100K who out earn their husbands

27% — Proportion of U.S. households headed by single women

40% — Proportion of business travelers who are women

$175 BILLION – what women spend on business travel every year

Know your customer! She might be the one wearing the pants in the family and speaking a native tongue other than English.

Purchasing Power:

Women buy…

80% of all household goods
60% of new cars and 53% of used cars
71% of all retail wine
80% of healthcare expenditures
57% of consumer electronics

Women Decide …

81% of all new vehicle purchases (and have 95% veto power)
92% of all vacations
91% of new home purchases
80% of home improvement projects
89% of consumer electronics
53% of family investments

But… 91% of women say businesses do not understand their needs

Sources: U.S. Small Business Administration, “Women in Business, 2006”; Center for Women’s Business Research; Nielsen Online; M. Barletta, “Marketing to Women”; R.A. Weigan, “Organizational Diversity: Profits and Returns in U.S. Firms”

Do women design organizations differently?

The Numbers:

Purchasing Power:

Contact Galbraith Management Consultants