The irony of this approach is that experienced men, in their late 50’s are receiving a pass for board roles. These men, former CEOs and CFOs, thoroughly skilled and deeply experienced, are not getting NED roles because the mandate is 'we need a woman', or even worse 'we need someone from a more diverse background'.
This approach does not seem right, nor efficient for UK productivity. It casts rich experience on to the rubbish heap. It means we won’t (or don’t) have the right people in the right roles and why the last chapter of such books is often a disaster.
Diversity
My role takes me to superb venues, lovely offices, not to forget investor events, capital market days and site visits across the country. When I enter buildings, I am often welcomed by receptionists or security personnel from a diverse range of backgrounds.
As an investor in companies, I want to see genuine diversity in the top echelons in management structures too.
The reason is simple: every company has both men and women as customers, from all backgrounds, so would it not make sense for decision-makers to represent those?
Social mobility
There are enough studies to prove that those born in smaller British towns are stuck in those towns with limited job prospects. They lack the confidence and deep pockets to move to London (and afford eye-watering rents).
Companies need to create more jobs outside of London while also giving people from smaller towns the experience of working in their City offices.
Social mobility is a duty we owe our citizens – it will strengthen employee bonds, increase cultural compatibility and productivity, and in turn increase UK’s global competitiveness.
The UK’s financial services sector has long been a magnet for best-in-class talent globally. Enabling diversity within firms can help attract and unlock talent, supporting the sector’s international competitiveness.
It is human to have network-based biases but a more open-minded mindset that unlocks huge human potential is the need of the hour.
Today London is among the very best in the world because it has evolved and changed with the changing times. If we want to remain at the top we will have to keep changing to reflect the new landscape we are living in.
Melwin Mehta is the founder of Sterling Investment Management
