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New research from 15 director institutes worldwide highlights the practical strategies helping boards improve diversity, strengthen decision-making and support better governance.
Executive summary:
- Board diversity remains a global governance priority, with 15 director institutes advancing diversity through research, advocacy, education and targeted initiatives.
- Mentoring, scholarships and director pipeline programs are among the most widely used approaches to improving board diversity, while data, benchmarking and public reporting help track progress and drive accountability.
- While progress has been made, particularly on gender diversity, the report highlights the need for sustained action to improve representation across a broader range of diversity dimensions.
Australia's boardrooms are closer than ever to ending all-male boards across the ASX 300. Figures at the end of June 2026 show women held 36.9% of ASX 300 board positions, while 17.3% of ASX 300 boards are chaired by women. This progress reflects decades of sustained effort by boards, investors and governance leaders, with the AICD playing a key role through its research, advocacy and initiatives such as the Board Diversity Index and Chair's Mentoring Program.
But the broader diversity picture remains mixed. Cultural diversity has declined, with directors from non-Anglo-Celtic backgrounds accounting for just 6.5 per cent of ASX 300 directors, down from 9 per cent in 2024. Representation of other groups also remains limited: only five directors openly identify as LGBTQ+, four identify as First Nations, and no directors have disclosed a disability.
A new report from the Global Network of Director Institutes (GNDI), drawing on insights from 15 director institutes across five continents, highlights the range of approaches being used to advance board diversity around the world.
Mark Rigotti FAICD, Managing Director and CEO of the AICD and Chair of the GNDI, says: “Australia's experience demonstrates what can be achieved through sustained focus and deliberate action. We’ve seen significant progress on gender diversity over the past decade, driven by a long-term focus from boards, investors and the governance community.
“That progress didn't happen by chance. It was the result of practical initiatives and a commitment to building stronger pathways into the boardroom.”
What works to build more diverse boards
The report defines board diversity as the inclusion of directors with different perspectives, demographics, skills and experiences that support board effectiveness. Across 15 director institutes on five continents, there is broad support for board diversity as a governance issue.
While approaches vary by market, several common themes emerge. Gender diversity remains the primary focus for most institutes, while mentoring, scholarships and director pipeline programs are among the most widely used approaches. Data, benchmarking and public reporting are also used to measure progress and support accountability.
The report highlights the importance of building director pipelines rather than simply filling vacancies. In Canada, diversity scholarships help aspiring directors access governance education. In New Zealand, aspiring directors from diverse backgrounds are paired with experienced directors through mentoring and a future directors program. Brazil operates a targeted board-readiness program supporting black and Indigenous leaders through training, mentoring and networking opportunities. Several institutes also maintain candidate databases and recruitment initiatives designed to broaden access to board opportunities.
Measurement is equally important. Institutes in Singapore, Pakistan, Mauritius and Australia use research, surveys and diversity indexes to track progress and identify gaps. In Singapore, for example, a Board Diversity Index measures factors including age, gender, tenure, ethnicity and international experience.
The report also highlights targeted initiatives focused on areas where representation remains low. The UK Institute of Directors has set goals to increase representation from ethnically diverse backgrounds within its membership and governance structures, while several institutes report on cultural and ethnic diversity to support accountability and inform future action.
“The global lesson for Australian boards is that diversity is not an end in itself,” Rigotti says. “It’s a governance issue. The most effective boards are those that continually examine whether they have the scope of skills, experiences and perspectives required to navigate change, challenge assumptions and make better decisions.”
The next challenge: cultural diversity and broader representation
Australia has shown that change is possible when boards take a deliberate, long-term approach to diversity. The next challenge is extending that progress beyond gender diversity, with cultural diversity identified in the report as a key area for improvement.
“Taking a broader view, we can see that the same discipline and intent can be applied to other dimensions of diversity. The latest Board Diversity Index shows there is more work to do in Australia, including on cultural diversity and other underrepresented groups,” Rigotti says.
“That's why the AICD has expanded its longstanding Chair's Mentoring Program this year to include a pilot stream, supporting culturally diverse and First Nations women to advance their directorship careers.”
Three board diversity priorities for Australian boards
The report shows that diversity efforts are most effective when they are embedded in succession planning, director development and regular reviews of board composition, rather than treated as a recruitment exercise alone.
While approaches vary across markets, the report highlights three practical lessons for boards seeking to strengthen diversity and governance:
1. Connect diversity to board effectiveness
The report reinforces the value of diverse boards in supporting stronger decision-making, reducing groupthink and improving governance. Boards should regularly consider whether their collective skills, experience and perspectives align with the organisation's strategy and future needs.
2. Build stronger director pipelines
Mentoring, scholarships and board-readiness programs are among the most common initiatives used by director institutes to support underrepresented groups and broaden the pool of future directors.
3. Measure progress
Data, benchmarking and public reporting are identified as important drivers of accountability, helping organisations track progress and identify areas where further attention is needed.
For Australian boards specifically, this means treating diversity as an ongoing governance responsibility, supported by strong succession planning, capability development and regular review of board composition.
“The global report reinforces that there is no one-size-fits-all solution. But it does show that when organisations commit to developing talent pipelines, broadening access to board opportunities and measuring progress over time, meaningful change is possible,” says Rigotti.
“Australia's success on gender diversity gives us confidence that similar progress can be made in other areas if we maintain that focus.”
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