Board Size, Executive Directors and Property Firm Performance in Malaysia

2008 ◽  
Vol 14 (1) ◽  
pp. 66-80 ◽  
Author(s):  
Roselina Shakir
Keyword(s):  
Firm Performance ◽  
Executive Directors ◽  
Board Size

scholarly journals Board characteristics and firm performance: The case of Jordanian non-financial institutions

2021 ◽  
Vol 10 (3) ◽  
pp. 150-159
Author(s):  
Zyad Marashdeh ◽  
Mohammad W. Alomari ◽  
Mahmoud Mohmad Aleqab ◽  
Rateb Mohammad Alqatamin
Keyword(s):  
Firm Performance ◽  
Empirical Evidence ◽  
Financial Institutions ◽  
Firm Size ◽  
Executive Directors ◽  
Firm Age ◽  
Board Size ◽  
Board Characteristics ◽  
Ceo Tenure ◽  
The Relationship

The study aims to examine the impact of board characteristics on firm performance of non-financial institutions in Jordan. The study employs the random effects regression model to analyze the panel data of 77 non-financial institutions of the industrial and services sector over the period 2008–2019. Firm performance is measured by return on assets ROA. While board characteristics were explained by board size, CEO duality, CEO tenure, non-executive directors (NEDs), and a number of board meetings. Firm age and firm size were added to our model as control variables. Our results reveal that board size, CEO tenure, non-executive directors (NEDs), firm age, and firm size have a positive significant impact on firm performance, whereas the CEO duality and a number of board meetings have a negative significant impact on firm performance. This paper will contribute to the ongoing debate on the relationship between the board characteristics and firm performance. Therefore, the current study extends previous literature by providing empirical evidence about the relationship between board characteristics and a firm performance. Particularly in developing countries, there is relatively a little researched area. Jordanian firms are needed to consider the significance of the board characteristics especially, for the non-financial institutions that can help them in designing the board strategies to enhance their performance. Therefore, Jordanian data will offer new empirical evidence in an emerging market, which will provide a better understanding of the relationship between board characteristics and firm performance.

scholarly journals Revisiting the relationship between board practices and firm performance

2021 ◽  
Vol 17 (1) ◽  
pp. 60-68
Author(s):  
Andrews Owusu
Keyword(s):  
Firm Performance ◽  
Decision Process ◽  
Executive Director ◽  
Negative Impact ◽  
Positive Impact ◽  
Chief Executive ◽  
Executive Directors ◽  
Board Size ◽  
The Relationship

This paper examines whether and how firm performance is influenced by board practices in Ghana. The analysis shows that chief executive officer (CEO) duality has a negative impact on firm performance, evidence that supports agency theory’s position. Further analysis shows that the smaller Ghanaian board size appears to be optimal because it has a positive impact on firm performance. However, the larger non-executive director representation on the board has no impact on firm performance. Overall, these results suggest that the Ghanaian firms should be encouraged to separate the role of CEO and the board chair positions, have a board size of between eight and nine, and make good use of non-executive directors’ time in the board decision process if they are to achieve better performance.

Impact of Corporate Governance on the Cash Holding of the Firms: An Empirical Study of Indian Manufacturing Sector

GIS Business ◽  
2017 ◽  
Vol 12 (4) ◽  
pp. 47-52
Author(s):  
Karam Pal Narwal ◽  
Sonia Jindal
Keyword(s):  
Corporate Governance ◽  
Audit Committee ◽  
Manufacturing Sector ◽  
Control Variable ◽  
Cash Holding ◽  
Executive Directors ◽  
Control Effect ◽  
Board Size ◽  
Indian Manufacturing Sector ◽  
The Impact

The paper empirically examines the impact of corporate governance on the cash holding of the firms. The components of corporate governance are measured by board size, board meeting, audit committee members, directors remuneration and non executive directors and the cash holding is measured with the log of average cash and size is taken as control variable for the control effect on the dependent variables. Moreover, correlation and panel regression model were employed to examine the relationship between the corporate governance and cash holding. Empirical data was collected from 96 firms over the period of 2004-05 to 2013-14. The results show that directors remuneration and the number of audit committee members positively influence the cash holding and the board size also positively influences the cash holding whereas, the non executive directors and the board meetings do not play any role in enhancing the cash holding.

Board Characteristics and Firm Performance: Indian Textiles Sector Panorama

2021 ◽  
pp. 0258042X2110261
Author(s):  
Mukesh Nepal ◽  
Rajat Deb
Keyword(s):  
Firm Performance ◽  
Positive Association ◽  
Policy Implications ◽  
Board Independence ◽  
Board Size ◽  
Significant Positive Association ◽  
Jel Codes ◽  
Financial Measures ◽  
Panel Data Regression ◽  
Data Regression

The study has attempted to examine whether the board size and board independence have any impact on the financial performances of the Indian textile firms. Accessing the data of the 40 sample firms representing the top 100 BSE-listed textile firms during the timeline 2015–2019 and applying the panel data regression model, it has assessed the impacts. Accounting- and market-based financial measures have been proxied, and a significant positive association between the board size and firm performance has been established. Interestingly, a significant inverse relationship between the board independence and financial performance has also been indicated. It has concurred policy implications as the inclusion of more number of board members would likely to increase the firm performance. Moreover, for improving the sound decision-making, firms may chalk out a policy with capping on the engagement of independent directors in other firms. It has acknowledged a few limitations and has sketched a roadmap for posterior studies as well. JEL Codes: G28, G30, M40

scholarly journals Performance of Firm and Board Attributes Nexus: Using Hausman Test Analysis

2021 ◽  
Vol 12 (4) ◽  
pp. 268
Author(s):  
Adegbola Otekunrin ◽  
Tony Nwanji ◽  
Damilola Fagboro ◽  
Johnson Olowookere ◽  
Stella Ibitoye
Keyword(s):  
Firm Performance ◽  
Regression Model ◽  
Consumer Goods ◽  
Annual Reports ◽  
Board Independence ◽  
Board Size ◽  
Test Analysis ◽  
Hausman Test ◽  
Board Characteristics ◽  
Consumer Services

With the rise of corporate failures and the conflict of interest arising from shareholders and the management, there have been growing concerns in corporate governance (CG). It is there is ponsibility of the board of director in CG is to oversee the management as well as the firm performance and to make the management accountable to shareholders. Hence this research examines the connection between firms’ performance and board features using board size, board independence in addition to board age as a proxy for board characteristics and turnover as a proxy for firm performance. A sample size of 16 consumer goods firms out of a population of 20 consumer goods firms listed in the NSE from 2016 to 2019 was used using a judgmental sampling technique. Secondary data employed was taken out from the sampled firms’ annual reports. Hausman test analysis was used to select the appropriate regression model, which is the fixed effect regression model that was utilized to analyse the connection between firms’ performance in addition to board characteristics. It is found that firm performance and board independence of the consumer services goods companies in Nigeria are significantly related.The results also confirmed that firm performance and board size of the consumer services goods companies in Nigeria are significantly related. The result indicates firm performance and board education of the consumer services goods companies in Nigeria are not significantly related. Consequently, overall lthe study concluded that firms’ performance and board characteristics are related. Also, board characteristics increase board performance which will lead to increase in firms’ performances, there by maximizing profit and ensuring efficiency. The study concluded that a company with good board characteristics would help to ensure the maximization of both the shareholders and stakeholders wealth. Hence a proper board characteristic helps to solve the problem of both agency theory and stakeholders’ theory.

scholarly journals The Impact of Board Composition on Firm Performance with Reference to Selected Indian Companies

2020 ◽  
Vol 8 (6) ◽  
pp. 2818-2824
Keyword(s):  
Firm Performance ◽  
Significant Relationship ◽  
Financial Services ◽  
Stock Exchange ◽  
Independent Directors ◽  
Board Composition ◽  
Women Directors ◽  
Board Size ◽  
Size Number ◽  
The Impact

This study examines effects of board composition on firm performance among 24 selected companies which are listed on the National Stock Exchange. It strives to understand the influence of corporate governance by testing 3 variables of board composition namely – board size, number of independent directors and the number of female directors on a company’s profitability measured through the tool – Tobin’s Q. One-way Anova test is used to establish a relationship between each of the three variables of board composition with firm profits. The study is conducted over a period of 5 years from 2013 to 2018 and concentrates on the following sectors - Auto, Financial Services, FMCG, IT, Media, Metal, Pharma, and Realty. The results revealed a significant relationship between board size and number of independent directors with firm profits which meant a firm with a greater sized board or more independent directors also showed higher profits in comparison. While, no significant relationship was found between the number of women directors on a firms’ board and firm performance.

scholarly journals Corporate Governance and Firm Performance: An Empirical Analysis of Manufacturing Listed Firms in Ghana

2018 ◽  
Vol 7 (3) ◽  
pp. 111 ◽  
Author(s):  
Beatrice Sarpong-Danquah ◽  
Prince Gyimah ◽  
Richard Owusu Afriyie ◽  
Albert Asiama
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Manufacturing Sector ◽  
Gender Diversity ◽  
Generalized Least Squares ◽  
Manufacturing Firms ◽  
Board Independence ◽  
Outside Directors ◽  
Board Size ◽  
Listed Firms

This paper assesses the effect of corporate governance on the financial performance of manufacturing firms in a developing country. Specifically, the paper investigates whether gender diversity, board independence, and board size affects return on asset (ROA) and return on equity (ROE) of manufacturing listed firms in Ghana. We use the generalized least squares (GLS) panel regression model to analyze the dataset of 11 listed manufacturing firms from 2009-2013. Our result reveals an insignificant representation of women on boards. Also, the empirical result shows that board independence and board gender diversity have significant positive effect on ROE and ROA. However, there is no statistical significant relationship between board size and firm performance (ROE and ROA). We suggest that manufacturing firms should appoint female board members as well as outside directors on their boards as this can make significant contribution to firm’s performance. Our study provides the first comprehensive explicit exposition of corporate governance-performance nexus using data from the manufacturing sector in Ghana.

Analysis of Board Size and Firm Performance: Evidence from NSE Companies Using Panel Data Approach

2016 ◽  
Vol 9 (2) ◽  
pp. 148-172 ◽  
Author(s):  
Anjala Kalsie ◽  
Shikha Mittal Shrivastav
Keyword(s):  
Firm Performance ◽  
Panel Data ◽  
Panel Data Analysis ◽  
Random Effect ◽  
Random Effect Model ◽  
Fixed Effect Model ◽  
Least Square ◽  
Empirical Literature ◽  
Board Size ◽  
Effect Model

This article seeks to examine the relationship between the board size and firm performance. Existing literature on board size is based on different theories of corporate governance. While agency theory and resource dependency theory suggest that the board size positively affects performance, stewardship theory favours smaller board size and argues that larger board size negatively impacts the firm performance. The present article adds to the empirical literature by employing panel data analysis of 145 non-financial companies listed in the NSE CNX 200 Index of India corresponding to 16 industries. The study is carried out for a period of five years from 2008 to 2012. The firm performance has been measured using Tobin’s Q and the market-to-book value ratio (MBVR) as market-based measures and return on assets (ROA) and return on capital employed (ROCE) as accounting-based measures. The fixed effect model, random effect model and feasible generalised least square (FGLS) regression models are applied to achieve the above-mentioned objectives. The results conclude that the board size has a positive and significant impact on the firm performance.

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