Racialized Leadership and Organizational Financial Performance in the Arts

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Charlie Wall-Andrews, Reima Shakeir, Brian Hanssen

Charlie Wall-Andrews is a faculty member at The Creative School at Toronto Metropolitan University. She completed her PhD in Management at Ted Rogers School of Management.
Reima Shakeir is an Associate Director and lecturer at the Wharton Communication Program (Wharton) and adjunct faculty at Stern School of Business. She completed her Ed.D at the University of Pennsylvania.
Brian Hanssen is the Director of the Management Communication Program and a Clinical Associate Professor at New York University’s Stern School of Business. He completed his MA at Columbia University.

ABSTRACT
This study examines how racialized leadership influences the financial performance of non-profit arts organizations in Canada. We compared 12 organizations led with racialized individuals with 14 organizations led by only white executives between 2014 and 2021, using both parametric and non-parametric statistical tests on key financial indicators. Qualitative data from interviews with racialized leaders further contextualized these findings. Results show that organizations with racialized leadership perform comparably—and in some instances, slightly better—than their white-led counterparts, despite the substantial barriers racialized leaders face in attaining their positions. Beyond meeting financial benchmarks, these leaders introduce diverse perspectives that challenge prevailing norms and encourage innovative management strategies. By highlighting the positive impact of racially diverse leadership on both performance and organizational culture, this study emphasizes the strategic value of increasing leadership diversity.
KEYWORDS
Diversity in leadership; barriers to leadership; racialized leader; arts management; financial performance