BUSINESS
WOMEN IN INDUSTRY
Cleaning specialist Ecolab bought a firm on the survey, the water treatment company Nalco. C&EN now includes Ecolab on its list. Sunoco dropped from the survey beChemical company boards gain a few women, but cause it sold its chemical businesses, but REPRESENTATION STAGNATES among top execs another petrochemical maker, Lyondell Basell Industries, is now included. ALEXANDER H. TULLO, C&EN NORTHEAST NEWS BUREAU To make apples-to-apples comparisons with last year’s survey, C&EN revised the prior year’s data to include the new firms. ONCE AGAIN, C&EN’s annual survey of boards and a 12.1% representation overall. Because of the departure of Sunoco, upper levels of management at chemical Nevertheless, women aren’t any more which until recently had been led by Lynn companies finds reasons to cheer as well as prominent among chemical company exL. Elsenhans, the survey now lists only some cause for disappointment. One reason ecutive officers than they were last year. one woman as chief executive officer of a to cheer is shareholders of chemical firms Women hold 41 of 417 executive officer slots chemical firm: DuPont CEO Ellen J. Kullelected more women to the boards of direcat chemical firms, for a rate of 1.0 per comman. This year, only one woman is working tors during the past year. However, chemipany and an overall representation of 9.8%. as a chief financial officer at a chemical cal company boards didn’t appoint enough One year ago, C&EN’s survey also found company, Karyn F. Ovelmen, who replaced women to increase the overall representa1.0 woman per company, but a 9.9% repKent Potter at LyondellBasell. tion of women in the executive ranks. resentation rate. This year, The survey finds that 54 of the 403 direcThe proportion of C&EN is analyzBREAKING IT DOWN A plurality tors serving at 42 top chemical companies women executives ing the kinds of of women in top executive positions at are women. That is a rate of 1.3 women per declined this year positions the 41 chemical firms work in human resources. firm and 13.4% of the total number of board because although female executive positions. These figures are an increase their numbers officers hold at over a year ago, when these same firms had rose, so too did the the firms suran average of 1.1 women on each of their total number of veyed. Positions officers. A year ago, that compose the 40 women out of a corporate infra total of 406 execustructure—roles tives were listed at in administrative the 42 firms. and legal departTo compile the ments—dominate annual survey, the employment NOTE: Data are based on the companies listed on page 17. C&EN consults of women versus company annual positions, such as reports and proxy statements as well as financial and business unit responsibility, 10-K filings and other documents filed with that are perceived as stepping stones to bethe Securities & Exchange Commission coming CEO and CFO. Human resources is from major publicly traded U.S. companies the largest category, accounting for 32% of all that have significant chemical businesses. women executives. Responsibility for busiExecutive officers are those people listed as ness units is next, with 22%. Some 17% of the such in a firm’s 10-K or proxy statement. Adwomen perform legal functions. And women ditionally, C&EN counts directors who were serving in administrative or financial roles at serving up to the time of the most recent chemical firms make up the balance. annual meeting. To maintain a fair comparison, C&EN C&EN’S SURVEY of women serving in the tries to survey the same 42 companies each upper ranks of corporations isn’t unique. year. But mergers and acquisitions make In fact, it was modeled on similar studies that impossible, so companies often need of Fortune 500 companies conducted by to be replaced. Catalyst, a New York City-based group that Many such changes have occurred advocates for the advancement of women since last year’s survey. Specialty chemical in business. maker Arch Chemicals was purchased by Catalyst’s most recent survey, released the Swiss firm Lonza. For this year’s survey, last December, shows that of 5,508 directors C&EN replaced Arch with the specialty among the Fortune 500, 16.1% are women. chemical company OM Group. Lubrizol Some 14.1% of the 5,018 executive officers at also disappeared after being acquired by the same Fortune 500 firms are women. Berkshire Hathaway; another fuel addiCompanies of all kinds should want to tives firm, Innospec, takes Lubrizol’s place. increase the proportion of women serving in WWW.CEN-ONLIN E .ORG
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WOMEN ON BOARD
The number of women directors increased, but women lost ground among executives
COMPANY
2011 CHEMICAL SALES ($ MILLIONS)
BOARD OF DIRECTORS WOMEN TOTAL
EXECUTIVE OFFICERS WOMEN TOTAL
CEO
CFO
$9,681 2,869
3 2
12 11
0 0
0 0
1 2
8 14
4,531
1
10
0
0
2
13
Cabot Cambrex Celanese CF Industries Chemtura Cytec Industries Dow Chemical
3,102 254 6,763 6,098 3,025 3,073 59,985
2 2 1 0 1 2 3
12 8 10 10 9 10 12
0 0 0 0 0 0 0
0 0 0 0 0 0 0
0 0 1 1 1 1 1
5 6 8 9 7 8 16
DuPont Eastman Chemical Ecolab Exxon Mobil Ferro FMC Corp. H.B. Fuller
34,763 7,178 4,649 41,942 2,156 3,378 1,558
3 2 3 1 2 0 1
11 12 15 11 10 11 8
1 0 0 0 0 0 0
0 0 0 0 0 0 0
1 1 0 0 1 1 3
7 9 13 20 7 8 11
Georgia Gulf Goodyear W.R. Grace Honeywell Huntsman Corp. Innophos
2,575 1,594 3,212 5,659 11,221 811
0 2 2 1 1 2
5 13 9 10 10 7
0 0 0 0 0 0
0 0 0 0 0 0
0 1 1 1 1 2
5 15 6 9 21 13
Innospec Koppers Kronos Worldwide LyondellBasell Industries
774 1,016 1,943 32,214
0 2 0 0
7 8 7 11
0 0 0 0
0 0 0 1
1 2 2 3
6 13 14 15
3,240
3
11
0
0
3
12
9,938 2,138 4,815 1,389 1,111 952 13,824 11,252 3,053 1,503 2,097 1,843 1,651 3,620
1 1 2 0 1 0 2 2 1 1 0 0 0 1
12 7 13 9 8 8 11 10 7 10 9 6 6 7
0 0 0 0 0 0 0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0 0 0 0 0 0 0
1 0 0 1 1 0 1 2 0 1 0 0 0 0
9 8 8 10 6 7 9 9 3 14 12 9 5 10
54
403
1
1
41
417
Air Products & Chemicals Albemarle
Ashland
Monsanto
Mosaic NewMarket Occidental Petroleum Olin OM Group Omnova PPG Industries Praxair Rockwood Specialties Sigma-Aldrich Solutia Stepan Tronox Westlake Chemical TOTAL
WOMEN DIRECTORS PER COMPANY WOMEN DIRECTORS AS % OF BOARD POSITIONS WOMEN EXECS PER COMPANY WOMEN EXECS AS % OF POSITIONS
2011 1.1 12.1 1.0 9.9
2012 1.3 13.4 1.0 9.8
WWW.CEN-ONLIN E .ORG
FUNCTION
Senior VP, human resources and communications Senior VP, general counsel, and corporate secretary; VP, deputy general counsel and chief compliance officer VP, chief human resources and communications officer; VP, chief information and administrative services officer
Senior VP, human resources Senior VP, human resources Senior VP, general counsel and secretary VP, human resources Exec. VP and president of manufacturing and engineering CEO Senior VP, chief legal and administrative officer
VP, human resources Exec. VP, general counsel and secretary VP, Americas adhesives; VP, human resources; VP Asia-Pacific VP, government relations VP, chief human resources officer Senior VP and general counsel VP and chief information officer VP, purchasing, logistics, and distribution; VP, human resources Senior VP, human resources VP, safety and environmental affairs; treasurer VP, investor relations; VP and global tax director Exec. VP & CFO; senior VP, manufacturing; VP and chief accounting officer Senior VP, chief of staff and community relations; VP, global vegetable and Asia commercial; VP and controller VP, human resources
VP, human resources VP, general counsel and secretary Senior VP, automotive coatings VP and controller; VP, human resources Senior VP, strategy and corporate development
CEO = chief executive officer. CFO = chief financial officer. VP = vice president. SOURCE: Company documents
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their upper ranks, Catalyst says. According to a study it conducted of corporate performance between 2004 and 2008, companies with three or more women on their boards of directors outperformed firms with zero representation in terms of returns on sales, invested capital, and equity. “Companies have much to gain by defying assumptions and taking action to advance talented women,” Catalyst CEO Ilene H. Lang says. “Continued obstacles to progress make no sense.” Catalyst has advice for companies that want more women in leadership positions. One recommendation is “checking if the ‘think leader, think male’ default is still alive and well,” the group says. “Genderbased stereotyping is embedded, often unintentionally, in the very management systems designed to cultivate an organization’s best talent.” Additionally, because “women don’t receive the sponsorship of highly influential individuals” to the same extent as men do, Catalyst says, it backs mentorship programs at companies. BUT MENTORSHIP should begin much
earlier in a woman’s life than in the corporate setting, especially for those women interested in pursuing careers in science, technology, engineering, and mathematics (STEM) areas, according to Karen D. Purcell, an electrical engineer and author of the book “Unlocking Your Brilliance: Smart Strategies for Women To Thrive in Science, Technology, Engineering, and Math.” Purcell tells C&EN that in middle and high school, boys who are interested in math and science are made aware of careers in science and engineering. Such nurturing doesn’t happen as often for girls. “One of the biggest hurdles is just really encouraging younger women to even consider STEM fields as they move into college and giving them the information that they need to realize that there are opportunities in the STEM fields,” Purcell says. The problems persist later on, Purcell says, recalling that when she was in college, it wasn’t until her junior year that male students started including her in study groups. “It can be frustrating and not very friendly for young women, who can be intimidated very easily,” she notes. Encouraging women at an early age can be rewarding down the line for companies, such as chemical firms, that need good people in STEM jobs. The more women who pursue STEM careers, Purcell notes, the bigger the pool from which such firms can draw executive talent. ◾ WWW.CEN-ONLIN E .ORG
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