The impact on the governance of the gender quotas legislation: the Italian case

2019 ◽  
Vol 23 (3) ◽  
pp. 317-334
Author(s):  
Mauro Paoloni ◽  
Paola Paoloni ◽  
Rosa Lombardi
Keyword(s):  
Literature Review ◽  
Good Governance ◽  
Gender Diversity ◽  
Gender Quotas ◽  
Governance System ◽  
Board Diversity ◽  
Content Type ◽  
Italian Law ◽  
The Impact ◽  
Structured Literature Review

Purpose The purpose of this paper is to create a strong connection among the gender diversity literature in the stream of gender quotas in the international context and the main legislation on gender diversity – the Law 120/2011 “Golfo-Mosca” – in Italy requiring listed companies and companies under the public control to implement policies for increasing board diversity. Design/methodology/approach This paper adopts a structured literature review method to propose relevant issues on this topic applying an innovative analytical framework based on the “article focus.” Additionally, an interview to a CEO of an Italian Bank has been done. Findings In this step, results seem to underline the prominence of literature analyzing “woman in board of directors” promoting board diversity in the light of good governance. Additionally, this analysis is functional to the proposition of interesting insights from the Golfo-Mosca Law’s analysis in Italy emphasizing primary effects of its application during past seven years. Originality/value Findings of this paper are original, as it is the first time that a research connects results from the structured literature review on gender issues and the related Italian law to draft emerging and thrilling issues in the light of transparent and responsible corporate governance system.

Board diversity: female director participation and corporate innovation

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alireza Vafaei ◽  
Darren Henry ◽  
Kamran Ahmed
Keyword(s):  
Key Management ◽  
Gender Diversity ◽  
Innovation Activity ◽  
Firm Level ◽  
Board Diversity ◽  
Content Type ◽  
Corporate Innovation ◽  
New Findings ◽  
Female Director ◽  
The Impact

Purpose This study aims to examine the impact of board female participation on Australian firms’ innovation. Design/methodology/approach Data are from the 500 largest Australian Securities Exchange (ASX)-listed companies for 2004–2015. Measures of innovation concern input (research and development expenditure and intangible assets) and output (patents registered) indicators. Findings A positive and significant association exists between female director participation and firm innovation activity. This association exists across industry classifications independent of technological importance and is particularly driven by materials and health-care sectors. Findings support calls for more board diversity in line with board female membership positively influencing innovative investment and development activities. Practical implications The economic efficacy of the latest revisions to the ASX Corporate Governance Council principles and recommendations (“ASX CGC revisions”) is supported. Diverse boards are a strong source of innovation. Regulators and corporations can use the findings to establish principles and practices that promote female board diversity. Originality/value This study is the first to examine the link between board diversity and corporate innovation in Australia where there is under-representation of women on corporate boards and in key management positions. Also lacking are formal legislative or governance policy mandates on board gender diversity. Beyond confirming a positive association between board diversity and levels of corporate innovation, this paper provides new findings that this relationship is driven by women who are non-executive (independent) directors, independent of the underlying technology intensity of firms and moderated by the nature of firm-level profitability and growth opportunities.

scholarly journals Mapping of internal audit research: a post-Enron structured literature review

2020 ◽  
Vol 33 (8) ◽  
pp. 1969-1996 ◽  
Author(s):  
Amr Kotb ◽  
Hany Elbardan ◽  
Hussein Halabi
Keyword(s):  
Literature Review ◽  
Internal Audit ◽  
Future Research ◽  
Research Directions ◽  
Content Type ◽  
For Profit ◽  
Not For Profit ◽  
Central Regions ◽  
The Impact ◽  
Structured Literature Review

PurposeThis paper reviews the field of internal auditing (IA) post-Enron to develop insights into how IA research has developed, offer a critique of the research to date and identify ways that future research can help to advance IA.Design/methodology/approachA structured literature review (SLR) was used to analyse 471 papers from 64 journals published between 2005 and 2018 based on a number of criteria, namely author, journal type, journal location, year, theme, theory, nature of research, research setting, regional focus, method and citations.FindingsThe IA literature has not significantly contributed to knowledge of the internal audit function (IAF), and one still knows relatively little about the factors that contribute to making the impact of IA practice effective and measurable. The IA literature is US-dominated (authors and journals), focussed on the American context (publicly listed companies), reliant on positivist analyses and largely makes no explicit reference to theory. Central regions (emerging economies) and key organisational settings (private SMEs and not-for-profit organisations) are largely absent in prior IA research. This paper evaluates and identifies avenues through which future research can help to advance IA in order to address emerging challenges in the field.Originality/valueThis is the first comprehensive review to analyse IA research in the post-Enron period (2005–2018). The findings are relevant to researchers who are looking for appropriate research outlets and emerging scholars who wish to identify their own research directions.

Would diversified corporate boards add value? The case of banking institutions in Malaysia

2018 ◽  
Vol 10 (2/3) ◽  
pp. 218-228 ◽  
Author(s):  
Ribed Vianneca W. Jubilee ◽  
Roy W.L. Khong ◽  
Woan Ting Hung
Keyword(s):  
Firm Value ◽  
Banking Sector ◽  
Gender Diversity ◽  
Governance Structure ◽  
Corporate Boards ◽  
Board Diversity ◽  
Content Type ◽  
Banking Institutions ◽  
The Government ◽  
The Impact

Purpose Board diversity has gained increasing attention and has been widely posited as a driver for firm value. The purpose of this paper is to provide empirical evidence on the relation of gender diversity of corporate boards with the value of banking institutions in Malaysia. Design/methodology/approach The sample comprised of ten banking institutions listed on Bursa Malaysia with data observations from 2007 to 2016. Panel data techniques were employed to investigate the relationship between having female directors and firm performance in terms of values generated as indicated by Tobin’s Q. Findings The results revealed a positive relationship between the proportion of female director and the value of the bank. Interestingly, this study found that appointment of female independent directors tends to be negatively related to the value of such institutions. Practical implications There remains a shortage of research studying the impact of gender equality on corporate boards in Malaysia generally and in the banking sector specifically. Thus, this study contributes a significant knowledge on the value implication of board diversity. The findings also provide useful insights on the developmental policy initiated by the government to increase female participation in the top management. Originality/value This study contributes to the literature by bridging the knowledge gap on board diversity in the governance structure of banking institutions. It also provides theoretical contributions to the development of regulatory policy in relation to gender diversification in corporate leadership.

scholarly journals An appraisal of financial indicators for local government: a structured literature review

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Silvia Iacuzzi
Keyword(s):  
Local Government ◽  
Literature Review ◽  
Financial Management ◽  
Performance Monitoring ◽  
Assessment Tools ◽  
Future Research ◽  
Financial Indicators ◽  
Content Type ◽  
The Impact ◽  
Structured Literature Review

PurposeConsidering the increased financial responsibility of local government (LG), the impact of global crises and the growing adoption of accrual accounting and common standards such as IPSAS, this work focuses on financial indicators for LGs. It explores whether the literature on financial indicators has grown, investigates whether there is any consensus on which indicators to use for assessing LG's financial condition, develops a critical reading of the literature and offers suggestions for future research and policy agendas.Design/methodology/approachA structured literature review was carried out for publications in English about LG financial indicators.FindingsResults reveal that the number of publications dealing with financial indicators has increased over the past ten years. However, rather than focusing on a set of common indicators, the literature reports a plethora of different ones used for four main purposes: transparency and accountability compliance, performance monitoring and benchmarking, assessing LG's financial health and helping deal with exogenous crises. There is no evidence of convergence towards a common set of indicators, even though liquidity and solvency are the most popular dimensions explored by scholars.Research limitations/implicationsFindings highlight the challenges in converging on financial indicators, yet no claim can be made beyond the reviewed material.Practical implicationsResults provide legislators, public managers, investors and rating agencies with insights about trends in financial indicators, their benefits and limitations.Originality/valueThe article focuses on a less popular aspect of recent financial management reforms for local administration, that is the growing fragmentation in LG indicators, accentuated by the need for common assessment tools during unprecedented widespread crises across countries and sectors.

The impact of board gender diversity on financial reporting practices in Kazakhstan

2020 ◽  
Vol 28 (5) ◽  
pp. 45-47
Keyword(s):  
Financial Reporting ◽  
Gender Diversity ◽  
Board Diversity ◽  
Content Type ◽  
Reporting Practices ◽  
Other Information ◽  
Pertinent Information ◽  
Strong Deterrent ◽  
Board Gender Diversity ◽  
The Impact

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings This research paper concentrates on how the presence of women on board of directors in listed companies in Kazakhstan may impact on the quality and trustworthiness of financial reporting. Based on the analysis, women were found to play a key role in mitigating earnings management (EM) and other information failures within these organizations. Furthermore, Board diversity was found to be a particularly strong deterrent to EM in high litigious industries within emerging markets. The results also convey that EM practices are less common in firms that have a higher number of directors, and in profitable companies. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Does the gender quota law affect bank performances? Evidence from Italy

2020 ◽  
Vol 20 (6) ◽  
pp. 1135-1158
Author(s):  
Romilda Mazzotta ◽  
Olga Ferraro
Keyword(s):  
Fixed Effects ◽  
Gender Diversity ◽  
Estimation Model ◽  
Board Diversity ◽  
Content Type ◽  
Female Directors ◽  
Negative Effect ◽  
And Gender ◽  
Gender Quota ◽  
The Impact

Purpose This study aims to examine the impact of an increasing board diversity on the performance of Italian listed banks for the period 2008–2014, taking into account the effects of the implementation of gender quota laws in Italy. The study also investigates the effects of this potential relationship during the crisis that Italy had to cope with since 2011, as well as the potential impact of female directors and their roles on bank boards. Design/methodology/approach To verify this relationship, the study uses a panel sample of 22 listed banks and applies fixed effects with the Driscoll-Kraay error. Considering the shareholders’ perspective, bank performance (BP) is measured by return on average equity. The robustness of results is verified through return on average assets, Tobin’s Q (a market measure from investors/stakeholders’ perspective) and an alternate estimation model, i.e. GMM. Findings The findings highlight a positive relationship between the performance accounting measures and gender diversity, a non-neutral impact of the presence of female directors on boards and a significant and negative effect on market measures. Research limitations/implications The results of the study, as far as accounting measures are concerned, support managerial and legislative efforts toward more gender-balanced boards and the appointment of female directors in executive or independent roles. As per market measures, the results suggest that the presence of women on boards should be considered advantageous in terms of value, so that the market can finally appreciate diverse bank boards. Originality/value First, previous studies did not provide exhaustive results to document the proposed relationship and did not examine this relationship during a financial crisis. Second, the role of female directors on boards is also taken into account. Third, the study highlighted that BP is a multi-dimensional construct, with accounting and market metrics being its distinct dimensions.

Board gender diversity and environmental, social and corporate governance performance: evidence from ASEAN banks

2020 ◽  
Vol 12 (3/4) ◽  
pp. 269-281 ◽  
Author(s):  
Hamdan Amer Al-Jaifi
Keyword(s):  
Corporate Governance ◽  
Social Performance ◽  
Random Effect ◽  
Generalized Method Of Moments ◽  
Gender Diversity ◽  
Ordinary Least Squares ◽  
Board Diversity ◽  
Content Type ◽  
Board Gender Diversity ◽  
The Impact

PurposeThis study examines the associations between board gender diversity and banks' environmental, social and corporate governance performance in the ASEAN context.Design/methodology/approachThe study uses a sample of yearly observations for ASEAN banks over the period 2011–2016. Generalized method of moments (GMM) regression is used for the main models, and the findings are supported by other robustness tests, namely ordinary least squares (OLS) regression and panel models (fixed and random effect regression).FindingsThe findings imply that board gender diversity positively influences corporate governance performance, although it has no impact on the banks' environmental and social performance.Research limitations/implicationsThis study offers insights to regulators, investors and bank managers concerning board diversity and its impact on environmental, social and corporate governance performance. The findings imply that having a specific percentage of female directors on the board positively influences corporate governance performance. However, the impact of gender diversity on environmental and social performance is not supported.Originality/valueFew empirical studies have examined the impact of gender diversity on non-financial performance. This study contributes to the debate on the importance of gender diversity by providing empirical evidence for the impact of board gender diversity on three non-performance measures (environmental, social and corporate governance) for ASEAN banks, a topic not previously examined. There is scant attention to it in ASEAN countries, which have unique characteristics, and there remains a gap in the literature regarding the impact of board diversity among banks in this region. The findings of the study are confirmed by several robustness tests.

Types of director, board diversity and firm performance

2020 ◽  
Vol 20 (2) ◽  
pp. 324-342 ◽  
Author(s):  
Miguel A. Fernández-Temprano ◽  
Fernando Tejerina-Gaite
Keyword(s):  
Firm Performance ◽  
Gender Diversity ◽  
Performance Impact ◽  
Board Diversity ◽  
Content Type ◽  
Performance Effect ◽  
Negative Effect ◽  
And Performance ◽  
The One ◽  
The Impact

Purpose The purpose of this paper is to investigate the effect of board diversity on firm performance. Design/methodology/approach From different theories perspective and based on data collected about the composition of board of directors in Spanish non-financial firms, the paper determines statistically the relationship between board diversity and performance for the period 2005-2015. Findings The results reveal differences between inside and outside board members in terms of the performance impact of board diversity. Thus, while age diversity has a positive effect on firm performance in both, insider and outsider directors, nationality mix is associated with higher performance levels just in the case of insiders. In addition, educational diversity seems to have a negative effect on performance for supervisory directors. On the contrary, the authors do not find any evidence about a possible influence of gender diversity on performance. Research limitations/implications The authors are just taking some board’s attributes, but the concept of board diversity is a very wide one. In this regard, less traditional methodologies that do not rely on extant archival databases may be necessary to get a deeper understanding of the impact of boards on firm’s performance. Practical implications This study demonstrates that the claim of “one size fits all” often implicitly stated by regulators and advisors is misleading. Board’s attributes analysis over the boardroom as a whole turns out in too simplistic conclusions. This is particularly important for regulators: a rigorous analysis should be performed before including general recommendations about, for instance, the age or the board tenure in corporate governance codes. Social implications As diverse boards contribute to a greater social value, the paper analyses the performance consequences of demographic diversity. Originality/value The paper analyses the firm performance impact of diversity among insider directors, on the one hand, and outsider directors, on the other. Although there is a clear difference between the roles assigned to insider and outsider directors, to the authors’ knowledge, there has been no analysis of the firm performance effect of the diversity of each type of director using the same sample and methodology.

Does gender diversity in supervisory boards affect gender diversity in management boards in Germany? An empirical analysis

2021 ◽  
pp. 239700222199714
Author(s):  
Dennis Fleischer
Keyword(s):  
Fixed Effects ◽  
Structural Equation ◽  
Gender Diversity ◽  
Supervisory Board ◽  
Board Members ◽  
Governance System ◽  
Management Board ◽  
Supervisory Boards ◽  
Gender Quota ◽  
The Impact

Social aspects like gender diversity in the boardroom are becoming increasingly relevant and are a popular topic of public debate in the context of gender equality in business. However, there is little clarity about the potential spill-over effects of gender diversity. Both theory and empirical results have led to ambiguous conclusions with respect to the effect of gender diversity in the supervisory board on gender diversity in the management board. In addition, it is not clear whether the German gender quota legislation positively affects this relationship. This study analyses whether gender diversity in the supervisory board supports the gender diversity of the management board, and whether this relationship is affected by the gender quota legislation, focusing on the unique case of Germany. To cope with endogeneity concerns, this study employs a cross-lagged panel model with fixed effects using maximum likelihood structural equation modelling. The results of the analysis of the impact of the number of female supervisory board members on the number of female management board members do not support the view of positive spill-over effects of gender diversity in the environment of the German two-tier corporate governance system. Furthermore, this study finds no evidence of an effect of the German gender quota on this relationship. JEL Codes G38, M12, M14, M51

Corporate governance practices and capital structure decisions: the moderating effect of gender diversity

2020 ◽  
Vol 20 (5) ◽  
pp. 939-964
Author(s):  
Mohammad A.A Zaid ◽  
Man Wang ◽  
Sara T.F. Abuhijleh ◽  
Ayman Issa ◽  
Mohammed W.A. Saleh ◽  
...  
Keyword(s):  
Corporate Governance ◽  
Panel Data ◽  
Capital Structure ◽  
Generalized Method Of Moments ◽  
Gender Diversity ◽  
Business Environment ◽  
Board Structure ◽  
Content Type ◽  
Financing Decisions ◽  
The Impact

Purpose Motivated by the agency theory, this study aims to empirically examine the nexus between board attributes and a firm’s financing decisions of non-financial listed firms in Palestine and how the previous relationship is moderated and shaped by the level of gender diversity. Design/methodology/approach Multiple regression analysis on a panel data was used. Further, we applied three different approaches of static panel data “pooled OLS, fixed effect and random effect.” Fixed-effects estimator was selected as the optimal and most appropriate model. In addition, to control for the potential endogeneity problem and to profoundly analyze the study data, the authors perform the one-step system generalized method of moments (GMM) estimator. Dynamic panel GMM specification was superior in generating robust findings. Findings The findings clearly unveil that all explanatory variables in the study model have a significant influence on the firm’s financing decisions. Moreover, the results report that the impact of board size and board independence are more positive under conditions of a high level of gender diversity, whereas the influence of CEO duality on the firm’s leverage level turned from negative to positive. In a nutshell, gender diversity moderates the effect of board structure on a firm’s financing decisions. Research limitations/implications This study was restricted to one institutional context (Palestine); therefore, the results reflect the attributes of the Palestinian business environment. In this vein, it is possible to generate different findings in other countries, particularly in developed markets. Practical implications The findings of this study can draw responsible parties and policymakers’ attention in developing countries to introduce and contextualize new mechanisms that can lead to better monitoring process and help firms in attracting better resources and establishing an optimal capital structure. For instance, entities should mandate a minimum quota for the proportion of women incorporation in boardrooms. Originality/value This study provides empirical evidence on the moderating role of gender diversity on the effect of board structure on firm’s financing decisions, something that was predominantly neglected by the earlier studies and has not yet examined by ancestors. Thereby, to protrude nuanced understanding of this novel and unprecedented idea, this study thoroughly bridges this research gap and contributes practically and theoretically to the existing corporate governance–capital structure literature.

Sign in / Sign up

Export Citation Format

Share Document