Comparative Analysis of Innovation Capability: Examining Across Career Strata and Gender using Item Response Theory Approach

In view of increasing diversity in all sectors, and the growing connectivity and liberalization of most global economies, this paper seeks to analyze the effects on innovation as a firm transitions from predominantly male to a more equal distribution of genders across the main sectors of responsibility in an enterprise. Moreover, this paper uses psychometric tools and techniques to validate the Berkeley Innovation Index (BII) which is a tool used to measure innovation capabilities of individuals in an organization. Lastly, this paper contributes to a deeper understanding of the importance of gender diversity, particularly in top management positions, both by literature review and by showing statistically that notions of the superiority of male managers is a missguided bias with potentially severe consequences in the areas of risk, access to emerging markets, and product and process innovation, to name a few.