Board leadership, board meeting frequency and firm performance in two‐tier boards

2021 ◽  
Author(s):  
Md Arafat Hossain ◽  
Elaine Yen Nee Oon
Keyword(s):  
Firm Performance ◽  
Board Meeting ◽  
Board Leadership

The Role of Board Leadership Structure in Firm Governance

2021 ◽  
Author(s):  
Danuse Bement ◽  
Ryan Krause
Keyword(s):  
Firm Performance ◽  
Independent Director ◽  
Negative Consequences ◽  
Ceo Duality ◽  
Board Chair ◽  
Board Committees ◽  
Board Leadership ◽  
Leadership Structure ◽  
Board Leadership Structure

Boards of directors are governing bodies that reside at the apex of the modern corporation. Boards monitor the behavior of firm management, provide managers access to knowledge, expertise, and external networks, and serve as advisors and sounding boards for the CEO. Board attributes such as board size and independence, director demographics, and firm ownership have all been studied as antecedents of effective board functioning and, ultimately, firm performance. Steady progress has been made toward understanding how boards influence firm outcomes, but several key questions about board leadership structure remain unresolved. Research on board leadership structure encompasses the study of board chairs, lead independent directors, and board committees. Board chair research indicates that when held by competent individuals, this key leadership position has the potential to contribute to efficient board functioning and firm performance. Researchers have found conflicting evidence regarding CEO duality, the practice of the CEO also serving as the board chair. The effect of this phenomenon—once ubiquitous among U.S. boards—ranges widely based on circumstances such as board independence, CEO power, and/or environmental conditions. Progressively, however, potential negative consequences of CEO duality proposed by agency theory appear to be counterbalanced by other governance mechanisms and regulatory changes. A popular mechanism for a compromise between the benefits of CEO duality and independent monitoring is to establish the role of a lead independent director. Although research on this role is in its early stage, results suggest that when implemented properly, the lead independent director can aid board monitoring without adding confusion to a unified chain of command. Board oversight committees, another key board leadership mechanism, improve directors’ access to information, enhance decision-making quality by allowing directors to focus on specialized topics outside of board meetings, and increase the speed of response to critical matters. Future research on the governance roles of boards, leadership configurations, and board committees is likely to explore theories beyond agency and resource dependence, as well as rely less on collecting archival data and more on finding creative ways to access rarely examined board interactions, such as board and committee meetings and executive sessions.

Supervisory quality of board and firm performance: a perspective of board meeting attendance

2013 ◽  
Vol 25 (3-4) ◽  
pp. 264-279 ◽  
Author(s):  
Ying-fen Lin ◽  
Yaying Mary Chou Yeh ◽  
Feng-ming Yang
Keyword(s):  
Firm Performance ◽  
Board Meeting

scholarly journals The Effect of Board Independence and Board Meeting on Firm Performance: Evidence from Jordan

2018 ◽  
Vol 6 (5) ◽  
pp. 105 ◽  
Author(s):  
Almontaser Abdallah Mohammad Qadorah
Keyword(s):  
Firm Performance ◽  
Board Independence ◽  
Board Meeting

Board Leadership Structure and Firm Performance: Evidence from Listed Companies in Sri Lanka

2017 ◽  
Vol 7 (2) ◽  
pp. 391
Author(s):  
Saseela Balagobei ◽  
K.G.A. Udayakumara
Keyword(s):  
Firm Performance ◽  
Sri Lanka ◽  
Stock Exchange ◽  
Secondary Data ◽  
Listed Companies ◽  
Ceo Duality ◽  
Significant Difference ◽  
Board Leadership ◽  
Leadership Structure ◽  
Board Leadership Structure

Corporate Governance as a mechanism helps to align management's goals with those of the stakeholders that are to increase firm performance. The aim of this study is to identify the relationship between board leadership structure and firm performance of listed companies in Sri Lanka during the period of 2014-2016. The data was collected from the secondary data sources and board leadership structure is measured by CEO duality. The sample of this study consists of 100 firms listed in Colombo Stock Exchange based on market capitalization. For the purpose of data analysis, Pearson’s correlation analysis and independent sample t-test were used to examine the hypotheses of this study. The findings reveal that board leadership structure is positively correlated with firm performance in terms of Tobin’s Q and there is no significant difference in firm performance between CEO duality firms & non-duality firms.

Last dance or second chance? Firm performance, CEO career horizon, and the separation of board leadership roles

2013 ◽  
Vol 35 (6) ◽  
pp. 808-825 ◽  
Author(s):  
Ryan Krause ◽  
Matthew Semadeni
Keyword(s):  
Firm Performance ◽  
Leadership Roles ◽  
Board Leadership ◽  
Second Chance

scholarly journals Board meeting and firm performance: Evidence from the Amman stock exchange

2016 ◽  
Vol 12 (2) ◽  
pp. 6-11 ◽  
Author(s):  
Khaleel Ibrahim Al-Daoud ◽  
Siti Zabedah Saidin ◽  
Shamharir Abidin
Keyword(s):  
Firm Performance ◽  
Stock Exchange ◽  
Generalized Method Of Moments ◽  
Positive Association ◽  
Corporate Board ◽  
Board Meeting ◽  
Estimation Model ◽  
Amman Stock Exchange ◽  
Lagged Dependent Variable ◽  
The Impact

This study examines the impact of board meeting frequency on the firm performance of the firms listed on the Amman Stock Exchange from industry and service sectors for the 2009-2013 period. The study controls for endogeneity and simultaneously problems using the dynamic panel technique of Generalized Method of Moments (GMM). The findings of the study suggest that a positive association between the frequency of corporate board meetings and firm performance. This suggests that through meetings, board members determine operational issues through discussing and engaging with each other frequency meetings enhancing the decision making process, and consequently the performance of the firms. The findings also show that lagged dependent variable in the estimation model is important in explaining the relationship, which further indicates the appropriateness of the estimation models in our study. This study provides insightful evidence to policy makers on the effectiveness of the of the 2009 Code of Corporate Governance

scholarly journals The Effect of Board Governance and CEO Attributes Towards Corporate Performance of Malaysian Public Listed Financial Companies

2020 ◽  
Vol 4 (1) ◽  
pp. 69-83
Author(s):  
Josephine Tan Hwang Yau
Keyword(s):  
Firm Performance ◽  
Significant Relationship ◽  
Positive Impact ◽  
Capital Expenditure ◽  
Board Independence ◽  
Board Meeting ◽  
Board Size ◽  
Thomson Reuters ◽  
Ceo Age ◽  
Ceo Attributes

This paper investigates the relationship between corporate governance, CEO attributes and firm performance of public listed financial companies in Malaysia from 2008 to 2017. There are several theories employed in the studies whereby the agency theory and resource dependency theory suggest that the board size have a positive impact on firm performance. In contrast, stewardship theory suggests smaller board size positively impacts the firm performance and prospect theory suggested that every person perceives and values gains and losses differently, and this affects the decision making. The firm performance has been measured using the return on equity (ROE) and return on assets (ROA). The data of the variables of board size, board independence, board meeting, CEO duality, CEO age and CEO gender are manually obtained from the annual reports, while the financial data include firm performance, capital expenditure and leverage are obtained from the Thomson Reuters Datastream. The research method employed in this study is the panel regression analysis. The findings of this study suggest that there is a positive and significant relationship between board size and firm performance and a positive and significant relationship between board independence and firm performance. Meanwhile, board meeting is found to have mix relationship with the firm performance. Furthermore, our result also shows CEO age and male CEO exhibit positive impact on firm performance.

Board Leadership Structure and Firm Performance

2005 ◽  
Vol 13 (6) ◽  
pp. 785-799 ◽  
Author(s):  
Eugene Kang ◽  
Asghar Zardkoohi
Keyword(s):  
Firm Performance ◽  
Board Leadership ◽  
Leadership Structure ◽  
Board Leadership Structure

Board meeting frequency and firm performance

1999 ◽  
Vol 53 (1) ◽  
pp. 113-142 ◽  
Author(s):  
Nikos Vafeas
Keyword(s):  
Firm Performance ◽  
Board Meeting
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