Leaders with a diverse set of experiences, viewpoints, and backgrounds are crucial to encouraging different perspectives, broadening an institution's world views, and fostering innovation particularly important at colleges and universities responsible for educating and training future leaders, workers, and citizens. Studies show that gender diversity in organizations' top offices and in the boardroom is not just a matter of social justice and advancement but a smart business move as well (Ernst & Young 2009). Yet the percentage of women in senior-level administrators in executive leadership positions has remained low in this country. On average, less than 20% of top executives across 14 sectors of business and industry studies in 2013 were women (Colorado Women's College, 2013). While the percentage of female presidents in institutions of higher education is greater than other sectors, higher education institutions should do more. Institutions of higher education should take the lead and model diversity of thought and experience in its leadership of the next generation. In today's competitive environment in which higher education is accused of being too complacent and too expensive, colleges and universities cannot afford to ignore the benefits that come with creating environments that are more conducive to gender and racial diversity (Supiano, 2014, Laursen, 2014). This article begins with a discussion of the role of higher education in securing the United States position as a world leader and the challenging issues facing high education leaders. Next, the benefits of diversity in leadership positions are described through numerous recent studies. The next section discusses the reality that still exists for women despite public perception that parity has been accomplished. Finally, recommendations to institutions of higher education are offered to create an environment that welcomes and supports a diverse workforce and leadership. While this article focuses primarily on women, the under-representation of people of color within leadership circles is recognized as well. The challenges encountered by women of color are even greater.