Corporate Affairs Minister Veerappa Moily today pitched for better gender diversity in corporate India while citing studies that say firms with greater women participation at board levels perform better financially.
"Diversity of the board contributes to the success of the company...Gender diversity is not just the right thing to do but also the bright thing to do,"" Moily said at a conference on corporate governance, organised by Indian Institute of Corporate Affairs.
Citing studies, he said, companies with higher number of women at the top level deliver strong organisational and financial performance.
He also said companies with more women on the board show better results, quoting studies.
As far as governance is concerned, female directors can provide value addition and positive impact on the company, Moily said while speaking at the conference titled "Inspiring Confidence in Indian Business".
Gender balance board is more like to pay attention and helps in controlling the risk, he said.
"More women in management can provide broader insights in economic behavior and consumer choices," he added.
About decision making process, the Minister said people should be able to take decision both at the public and private sector level.
He said, "failing to take a decision is equal to fraud committed against the nation, according to me".
"The decision making process has to take place, who else will take the responsibility. Whether its a corporate entity or a public sector entity, if you don't take the decision you are failing the nation," the Minister said.
When asked about financial problems of Deccan Chronicle, Moily said his ministry has not received any substantial petition and he has asked the ministry to have a discreet inquiry on the basis of newspaper reports.
"No substantial petition came to us..what we have read in the newspaper..on basis of newspaper, I have told my ministry to make a discreet inquiry to find what exactly is the position ...no sooner registrar of companies (RoC) will come out with a report, then we will be able to act upon it," he said.