Why Silicon Valley’s accomplishments on gender diversity are not as good as they seem by Theodore Schleifer

  • Source link: https://www.vox.com/recode/2020/2/10/21128651/silicon-valley-diversity-venture-capital-general-partners
  • TL;DR: There is reason to be skeptical of the claim that women are quickly increasing in their representation in decision-making VC roles
  • How helpful?: 4/5
  • Topic Tags: women in Vc, diversity, decision-making roles, demographics
  • Relevant questions addressed:
  • Are women rapidly gaining more power in the VC industry?
  • Summary bullet points
  • Despite the data that says 52 women were made VC partners in 2019, still, 65% of VC firms have zero women partners, which is only down from 71% in 2018.
  • Why is diversity in VC important?
    • “For a long time, the concern has been that this cloistered corner of finance would not only remain an all-boys club, but also that the products we use in the real world — the cars we drive, the media outlets we read, the food we eat — would reflect the biases of these men at the table.”
  • Only 19 of the 52 women partners were GPs, and since many VCs are calling even their most junior, non-decision-making employees “partners” now, it’s hard to say that the remaining 33 women who became regular partners have actually been given much decision-making power.
  • Certainly, any increase in women in VC is a good thing, but it’s important not to give VC firms credit for giving more women decision-making power when it may not actually be the case