Exploring Women’s Leadership in CEO Appointments: A Qualitative Study of Board Member Perspectives in Iceland’s Listed Companies

Despite Iceland’s advancements in gender equality, a stark disparity persists in the corporate leadership landscape. Only 21% of CEOs in Iceland are women, with a higher concentration of female CEOs in smaller companies. Among the 28 listed companies on Nasdaq Iceland, only four women serve as CEOs, or 14.3% compared to 24 men. This study critically examines the role of women board members in evaluating leadership skills during the CEO selection process and investigates the systemic barriers that contribute to the underrepresentation of women in these pivotal roles. Through qualitative research involving in-depth interviews with 22 women from the boards of all listed companies in Iceland, the study employs grounded theory to uncover how entrenched gender stereotypes and outdated leadership paradigms significantly bias board decisions. It also identifies the dominant attitudes of male board members as a key factor that further impedes women’s ascension to CEO positions. The findings highlight an urgent need for transformative changes in how boards evaluate and hire CEOs. The study advocates for policy reforms, including rigorous training for board members to combat gender bias and the implementation of transparent, inclusive criteria for CEO selection that prioritize a diverse array of leadership skills. These measures are essential for dismantling the barriers that prevent women from rising to top executive roles and for fostering a more equitable corporate environment.