Answer
To say that all women hate shy men is a very sweeping statement. Most likely, sometimes women ignore shy men because those men, because of their shyness, don't speak up and say something interesting. People (either men or women) might also observe a shy person and think that person is stuck up because he or she doesn't join in conversations.
You might start by treating a woman like any fellow earthling--comment on the weather, the traffic, the local sports team, the new coffee option at the corner goodies bar. Then figure out what she is interested in, and talk about those things.
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Shyness is something that can be found in both guys and girls. Shyness might come from low confidence or little interaction with others. The best way to overcome shyness is to get out and talk with people.
Same reason that women are shy around men; they are afraid to be judged by the opposite sex