We’re in troubling times. Donald Trump, President of the United States, is rolling back DEI initiatives in the States, while DEI in Australia is increasingly falling out of favour (as though it’s a seasonal fashion trend we can discard after trying it on and deciding it’s not for us). And yet now is the time to ramp up inclusion efforts – not revert back to the stale, male and pale leadership that got us into many of the messes we now find ourselves in (climate crisis, cost of living crisis, housing crisis – one could go on. And on).
In 2024, the number of female CEOs in Australia’s ASX 300 companies dropped from 26 to 25 – a decrease that confirms we’re sitting on a precarious ledge. In New Zealand, only 10% of CEO roles are held by women. It’s a slight improvement over Australia’s 6%, but still far from equitable representation.
At a time when gender diversity in leadership should be gaining momentum, the numbers tell a different story: women who reach the top aren’t staying there, and fewer are taking on the role at all. Why? The answer lies not just in who gets promoted, but in when, how, and under what conditions.
The Glass Cliff: When Leadership is a Trap
The Glass Cliff is a well-documented phenomenon but I only learned about it last year from the original researcher Michelle Ryan, when she spoke at an ATEM event. In partnership with her research partner Alex Haslam, Ryan discovered that women are more likely to be appointed to CEO roles in times of crisis, making their leadership tenures inherently riskier.
Surely not, you say? But then you pause to consider the idea and can instantly call to mind women CEOs who were set up for failure. Take for example the following.
Female CEOS who started on precarious glass edges
📌 Deborah Thomas (Australia, Ardent Leisure) – Thomas was appointed CEO of Ardent Leisure in 2015, when just a year later the shocking Dreamworld ride accident happened in 2016. Clearly, management, systems and processes were already broken when Thomas took up the role. However, the fallout from the incident overshadowed her leadership, and despite efforts to stabilise the company she stepped down soon after.
📌 Dame Jenny Shipley (New Zealand, Prime Minister) – Shipley became New Zealand’s first female Prime Minister in 1997, but led an unpopular government during economic downturns. She lost the 1999 election. In an unusual move her successor was also a woman. Helen Clark had the opportunity to lead under more stable conditions and stayed in power for nearly a decade.
Why appoint a female CEO when the system is broken?
I get the appeal of hiring a woman in a time of almost-crisis. We are incredible at cleaning up other people’s messes and aren’t afraid to jump into a confusing, uncertain environment and untangle what we see in front of us. Some of my best work has entailed parachuting into organisations to turn around ailing brands or moving a stuck team forward with an innovative shakeup. Once my work was done, I departed to be find the next stimulating challenge.
But when women are handed the reins of companies that are already or almost in turmoil, their tenures are often short-lived, high-pressure, and scrutinised more harshly than their male predecessors. This ultimately reduces their opportunity to succeed. Forgot about the glass ceiling – if you’re a female CEO, you’re more likely to crash and smash before you bump your head! Even more depressing, is the finding that if the company stabilises, a male CEO is often appointed to ‘take over the growth phase’ – perpetuating the cycle of men being tasked with leading success.
Beyond the Glass Cliff: The Missed Opportunity for Industry Influence
Even when women reach the top, they don’t always have the chance to use their leadership for wider industry influence. Too often, female CEOs focus on corporate survival rather than shaping industry-wide conversations in media, policy, or cultural discourse.
Moya Greene (UK, Royal Mail) led Royal Mail through privatisation but did not extend her influence into shaping discussions about the future of logistics, sustainability, or corporate responsibility in her industry. In a digital age, it was a missed opportunity!
Many female CEOs and senior executives in Australia and New Zealand miss the chance to extend their impact beyond their tenure through no fault of their own.
What This Means for the Future of Leadership
When fewer women reach the top, and those who do are more likely to step down quickly, it affects more than just individual careers. It reshapes the entire leadership pipeline.
- Fewer visible female CEOs = fewer role models for emerging leaders.
- Higher turnover = scepticism from boards about appointing women in the first place.
- Short-lived tenures = women are seen as ‘risky hires’ rather than trustworthy and transformational leaders.
The numbers show that Australia and New Zealand are at a pivotal moment. Without intervention, the stagnation of female leadership could turn into a full-scale regression. Do we really need more ‘Johns’ running our businesses when it’s the pink dollar that drives our economies? This feels like a huge disconnect at best, and damaging business decision-making at worst.
What Needs to Change for CEO Appointments
If we want more female CEOs to thrive, not just survive, and more women helming our companies in future, then companies need to rethink their leadership strategies:
✅ Stop the Glass Cliff cycle – Women should not only be promoted during crises. Boards need to ensure stable, high-growth companies are equally willing to take on female leaders. When crises hit, Boards need to publicly back their female CEOs to set the example of how media and the public should treat them.
✅ Equip female leaders with platforms for influence – Leadership training must go further. Female CEOs in particular need support to raise their voices and balance out male-dominated business conversations. They should be positioned as industry thought leaders; influencing media, policy, and cultural discussions.
✅ Rethink CEO transition strategies – When a female CEO stabilises a struggling company, why does she often get replaced? Companies must acknowledge and reward long-term strategic leadership, not just short-term crisis management.
✅ Fix the leadership pipeline before the CEO level – If companies are only considering one or two women for every CEO role, the pipeline is already broken. Gender balance must be built into leadership pathways long before the top job is up for grabs.
Reclaiming the Future of Female Leadership
The decline of female CEOs in Australia and New Zealand is not just a business, but a cultural problem. A female CEO isn’t just leading a business: she’s leading different public conversations, introducing fresh ways of thinking and working, inspiring confidence in younger women for their own futures, and establishing a new narrative around ‘leadership’ that is far more inclusive and extends beyond the office.
Until we change how female leadership is valued, supported, and positioned for success, the stagnation will continue. It’s time to rethink the entire system.
Let’s work together to make change happen
I’m available to play my part in helping you lead big and bold beyond your job title.
💡Want to shape your leadership brand beyond your tenure? Book a CEO Brand Strategy Call Today.
Authorship: This post was co-written by me (Michelle) and ChatGPT. I openly declare our partnership to encourage you to invest in training and prompting your own GPT. We are time-poor and idea-rich; so leveraging AI is a brilliant way to consistently create high-quality content.
