Aisling Gartland MB Thesis 2019.Pdf
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An Investigation of the Extent and Causes of Vertical Gender Segregation in Irish Small to Medium Enterprises (SMEs) Aisling Gartland Submitted for the award of Master of Business Institute of Technology Carlow June 2019 Supervisors: Dr. Fiona Burke & Mr. Dominic Burke Abstract Vertical gender segregation occurs where there is an overrepresentation of one gender at the lower status positions and an underrepresentation of that same gender in the higher status positions. Globally women are underrepresented at senior corporate decision making levels. Statistics published by the European Institute of Gender Equality (EIGE) in 2017 highlight that women occupy just 17.3 per cent of President, Board Member and Employee Representative positions on Boards of Directors in Irish businesses. This underrepresentation of women within these top corporate positions has generated vast volumes of research over the past four decades, with significant attention given to identifying both the causes and possible solutions to this vertical gender segregation of women. However, this prior research on the lack of women in senior corporate decision- making roles has focused on large organisations with over 250 employees with minimal reference to small and medium-sized enterprises (SMEs). The SME sector is of huge economic importance both to the EU as a whole and Ireland itself. In Ireland 99 per cent of enterprises may be classified as SMEs and the sector is responsible for generating over 70 per cent of the job creation in the Irish labour market. However, due to vast differences in both human and financial capital and the policies and procedures between large organisations and SMEs the prior research conducted on large organisations may not accurately represent the experiences of over 70 per cent of the Irish workforce employed by SMEs. The purpose of this research study is to address this research gap by examining vertical gender segregation at managerial decision making levels of Irish SMEs. This study adopts a mixed methods methodological approach conducted over three phases of investigation. First, the causes and the extent of the vertical gender segregation of women in the top corporate decision making positions were identified from previous research. Secondly, a headcount measure was calculated to establish the extent of the gender imbalance at senior decision making levels in the Irish SME sector using data on 136 of the top financial performing SMEs in Ireland as identified in the Irish Times Top 1000 Companies in Ireland 2017 list. Finally, data was gathered from 133 surveys administered to employees, junior and senior managers, owners and directors of Irish i SMEs to examine if the causes of vertical gender segregation identified in the prior research on large organisations were also present in Irish SMEs. Results showed significant gender imbalance exists at top decision-making positions of Irish SMEs, with women occupying just 14 per cent of President, Board Member and Employee Representative positions on the Boards of Directors of the Irish SMEs. Findings from the survey identified that gender stereotyping with regard to the level of commitment and investments made by women into their education and career in conjunction with continual conflict between home life and workplace responsibilities due to a lack of workplace flexibility may substantially impact the career progression of women. ii Acknowledgements Firstly, I would like to acknowledge IT Carlow for supporting this project under the President’s Research Fellowship Award. I would like to express my sincere gratitude to my supervisors Dr. Fiona Burke and Mr. Dominic Burke for their unwavering support and encouragement. I am truly grateful for all their guidance throughout this project. I would also like to acknowledge Mr. Martin Meagher, Head of Department of Business, and all in the Department of Business for their continued support. I would like to express my thanks to all who participated in this study. I especially would like to thank Dr. Joseph Collins, Head of Faculty Lifelong Learning, and the individual class lectures for their co-operation in granting me access to administer the survey to the Lifelong Learning students. A special thanks to my fellow postgraduate students, especially Cynthia, Karolyn and Michelle, for their inspiration in completing this project. Finally, I would like to express my profound thanks to my family, in particular my Mum and Lauren, for their endless personal support and encouragement. iii Contents Abstract…………………………………………………………………………………………. i Acknowledgements……………………………………………………………………………... iii Contents………………………………………………………………………………………… iv List of Tables…………………………………………………………………………………… x List of Figures…………………………………………………………………………………… xviii List of Abbreviations …………………………………………………………………………… xxii CHAPTER 1 INTRODUCTION………………………………………………………………... 1 1.1 Introduction …………………………………………………………………………. 1 1.2 Research Aims………………………………………………………………………. 2 1.3 Structure of the Thesis ………………………………………………………………. 2 1.4 Conclusion…………………………………………………………………………... 3 CHAPTER 2 EQUALITY, PARITY OF OPPORTUNITY AND MEANINGFUL WORK…... 4 2.1 Introduction…………………………………………………………………………. 4 2.2 Equality and Parity of Opportunity in Labour ……………………………………… 4 2.2.1 Parity of Opportunity and Meaningful Work ……………………………… 5 2.2.2 Gender Inequalities in Labour ……………………………………………... 6 2.3 Gender Equality in Labour Policy Responses ……………………………………… 8 2.3.1 European Union Policy ……………………………………………………. 8 2.3.2 Irish Policy ………………………………………………………………… 9 2.4 Conclusion ………………………………………………………………………….. 13 CHAPTER 3 LITERATURE REVIEW ………………………………………………………... 14 3.1 Introduction …………………………………………………………………………. 14 3.2 Defining Vertical Gender Segregation ……………………………………………… 14 3.3 Measuring Vertical Gender Segregation ……………………………………………. 16 3.3.1 Measurement of Vertical Gender Segregation in Ireland…………………... 18 3.4 Causes of Vertical Gender Segregation …………………………………………….. 22 Neo-Classical Economic Theories of Human Capital and Rational Choice 3.4.1 Theory ……………………………………………………………………... 32 3.4.2 Organisational Structures and the Structure of Work ……………………... 40 iv 3.4.3 Cultural Causes of Vertical Gender Segregation ………………………….. 46 3.5 Vertical Gender Segregation and SMEs…………………………………………….. 56 3.5.1 Defining Small to Medium Enterprises ……………………………………. 56 3.5.2 Economic Importance of SMEs……………………………………………. 57 3.5.3 Gender Equality Research and SMEs……………………………………… 57 3.6 Literature on Solutions to Vertical Gender Segregation ……………………………. 58 3.6.1 Equality of Outcomes ……………………………………………………… 59 3.6.1.1 Mandatory Gender Quotas ………………………………………. 59 3.6.1.2 Voluntary Gender Quotas and Targets ………………………….. 66 3.6.2 Equality of Opportunity …………………………………………………… 67 3.6.2.1 Behavioural Design …………………………………………….. 68 3.6.2.2 Flexible Working Practices ……………………………………… 71 3.7 Conclusion ………………………………………………………………………….. 78 CHAPTER 4 METHODOLOGY……………………………………………………………….. 80 4.1 Introduction ………………………………………………………………………... 80 4.2 Research Aims ……………………………………………………………………... 80 4.3 Paradigm Rationale ………………………………………………………………... 81 4.3.1 Ontology …………………………………………………………………… 81 4.3.2 Epistemology ………………………………………………………………. 83 4.3.3 Paradigm …………………………………………………………………... 84 4.4 Methodological Approach and Design ……………………………………………. 85 4.4.1 Methodological Approach …………………………………………………. 85 4.4.2 Methodological Design ……………………………………………………. 86 4.5 Secondary Research ………………………………………………………………... 90 4.5.1 Stage One – Literature Review ……………………………………………. 91 4.5.2 Stage Two – Measurement of Vertical Gender Segregation in Irish SMEs . 92 Stage One – Percentage of Men and Women in Decision Making 4.5.2.1 Positions of Top Financially Performing Companies in Ireland in 2017……………………………………………………………… 93 Stage Two – Percentage of Men and Women in Decision Making 4.5.2.2 Positions of a cross-section of Irish SMEs ……………………… 94 v 4.5.3 Website Content Analysis …………………………………………………. 96 5.4.3.1 Reliability ………………………………………………………... 97 4.6 Primary Research…………………………………………………………………… 97 4.6.1 Self-Completion Survey……………………………………………………. 97 4.6.2 Survey Design ……………………………………………………………... 97 4.6.2.1 Questionnaire Design – Section A ………………………………. 98 4.6.2.2 Questionnaire Design – Section B……………………………….. 98 4.6.2.3 Questionnaire Design – Section C ………………………………. 99 4.6.2.4 Questionnaire Design – Section D ………………………………. 100 4.6.2.5 Questionnaire Design – Section E ………………………………. 101 4.6.2.6 Questionnaire Design – Section F ………………………………. 101 4.6.3 Sample Participants ………………………………………………………... 101 4.6.4 Survey Analysis …………………………………………………………… 105 4.6.4.1 Qualtrics Survey Analysis ………………………………………. 105 4.6.4.2 Lifelong Learning Survey Analysis……………………………… 108 4.7 Quality Criteria …………………………………………………………………….. 114 4.7.1 Reliability ………………………………………………………………….. 115 4.7.2 Replication ………………………………………………………………… 115 4.7.3 Validity …………………………………………………………………….. 115 4.7.3.1 Generalisability ………………………………………………….. 118 4.8 Ethical Considerations ……………………………………………………………... 118 4.9 Limitations …………………………………………………………………………. 119 4.10 Conclusion …………………………………………………………………………. 120 CHAPTER 5 FINDINGS ………………………………………………………………………. 121 5.1 Introduction ………………………………………………………………………... 121 5.2 Stage A – Headcount ………………………………………………………………. 121 5.2.1 Stage One Headcount of Foreign and Domestic Owned Companies ……... 121 5.2.1.1 Ratio of Top Decision-Making Positions by Ownership ………. 122 Gender Ratio of Top Decision-Making Positions by Industrial 5.2.1.2 Sector …………………………………………………………… 125 vi Comparison