Does Diversity in The Boardroom Add Value to a Firm?

2018 ◽  
Vol 18 (5) ◽  
Keyword(s):  
Firm Performance ◽  
Panel Data ◽  
Firm Size ◽  
Significant Influence ◽  
Negative Influence ◽  
Positive Influence ◽  
Future Research ◽  
Board Composition ◽  
Board Diversity

This study examines whether board diversity affects firm performance. We investigate this study using panel data of a sample of S&P 500 firms during a 12 year period. After controlling for industry, firm size, and other board composition variables, we find that all three board diversity variables of interest – gender, ethnicity, and age have a significant influence on firm performance. While ethnicity and age have a positive influence on firm performance, it was found that gender has a negative influence. Implications for future research are discussed.

scholarly journals PENGARUH BENCANA ALAM, PERUBAHAN IKLIM, DAN KUALITAS LINGKUNGAN TERHADAP JUMLAH KUNJUNGAN WISATAWAN MANCANEGARA KE INDONESIA

2019 ◽  
Vol 1 (4) ◽  
pp. 13
Author(s):  
Safitri Safitri ◽  
Alpon Satrianto
Keyword(s):  
Climate Change ◽  
Regression Analysis ◽  
Panel Data ◽  
Natural Disaster ◽  
Significant Influence ◽  
Research Result ◽  
Negative Influence ◽  
Positive Influence ◽  
Environment Quality ◽  
Research Goal

This research goal is looking for the effect of natural disaster, climate change, and environment quality to the amount of tourist visit to Indonesia. This research uses panel data from 2014 untill 2017, the data get from the related institutions, and uses multiple regression analysis. This research result: 1) Natural disaster has negative influence and it is not significant to tourist visit to Indonesia, 2) Climate change has positive and significant influence to tourist visit to Indonesia, and 3) Environment quality has positive influence and is not significant to the amount of torist visit to Indonesia.

scholarly journals Corporate Board Diversity and Financial Performance: The Nigerian Insurance Sector’s Perspective

Growth ◽  
2020 ◽  
Vol 7 (1) ◽  
pp. 20-25
Author(s):  
Gbarato, Ledum Moses
Keyword(s):  
Financial Performance ◽  
Gender Diversity ◽  
Negative Influence ◽  
Least Square ◽  
Insurance Companies ◽  
Board Members ◽  
Board Composition ◽  
Corporate Board ◽  
Board Size ◽  
Board Diversity

The presence of appropriate gender diversity, board size and board composition does not only promote favourable organizational ambience but also offers meaningful upsurge in the financial position of an organization relatively. It is on this premise that prompted the essence to examine the relationship between corporate board diversity and financial performance of insurance companies in Nigeria for the period 2014 to 2018. Secondary data from Cornerstone Insurance Plc. and Lasaco Assurance Plc. were employed in the study. Using the Panel least Square regression technique, the results reveal that gender diversity, board size and board composition exert insignificant influence on profit before tax as the measure of financial performance. However, while gender diversity exerts negative influence, board size and board composition exert positive influences on profit before tax of insurance companies. The study concludes that employment of appropriate number of directors and also in suitable composition as board members have positive effect on the financial performance of insurance firms. Therefore, the study recommended among others, that: appropriate ratio of executive to independent non-executive directors should be maintained among board members for better decision-making at the interest of all stakeholders. Also, the ratio of gender diversity (female to male directors) should be increased as the role of women in resource management cannot be relegated to the background especially in financial performance of insurance companies.

scholarly journals The Influence of Enterprise Risk Management, Leverage, Firm Size and Profitability on Firm Value in Property and Real Estate Companies Listed on the Indonesian Stock Exchange in 2016-2018

2021 ◽  
Author(s):  
Dihin Septyanto ◽  
Ikhwan Maulid Nugraha
Keyword(s):  
Risk Management ◽  
Firm Size ◽  
Firm Value ◽  
Stock Exchange ◽  
Descriptive Analysis ◽  
Negative Influence ◽  
Positive Influence ◽  
Enterprise Risk Management ◽  
Enterprise Risk ◽  
Negative Effect

The objective of this study was to analyze the effects of enterprise risk management (ERM) disclosure, leverage, firm size and profitability on firm value, which is proxied by Tobin’s Q. High corporate value can reflect the shareholders’ wealth. This study used the Indonesian Capital Market Directory (ICMD). The sample included 32 companies, chosen with nonprobability purposive sampling. This study used a quantitative approach with descriptive analysis methods and panel data regression to test hypotheses using the Eviews 10 application. ERM disclosure, leverage and profitability had a positive and significant influence on firm value, while firm size had a negative influence on firm value. The implication of this research is that where ERM has a positive influence on firm value, it is good for companies to increase ERM disclosure, because the company will be considered to have managed its risks well. Debt policy variables that are proxied by the Debt to Equity Ratio (DER) and profitability proxied by ROA had a positive effect on firm value. That is, a higher value of DER was followed by an increase in the percentage of Return On Assets (ROA), which increased the firm’s value. However, the company’s size variable which was proxied by Ln Total Assets had a negative effect on the value of the company, which indicated that investors dislike company assets that are too high and that are not offset by high profits. Keywords: enterprise risk management, leverage, firm size, profitability, firm value

scholarly journals MOTIVATION AND SATISFACTION TOWARDS EMPLOYEES’ LOYALTY TO ACHIEVE COMPANY’S ADVANTAGE

2018 ◽  
Vol 4 (1) ◽  
Author(s):  
Evi Thelia Sari
Keyword(s):  
Path Analysis ◽  
Significant Influence ◽  
Negative Influence ◽  
Positive Influence ◽  
Level Of Service ◽  
Moderating Variables ◽  
Foreign Companies ◽  
Retail Business ◽  
Market Leader ◽  
Regression Tests

The study aims to examine if employees’ motivation and satisfaction mediated by loyalty can result in company’s advantage. Using 100 young staffs and supervisors in either local or foreign companies in Surabaya, Indonesia as respondents and being tested using regression and path analysis. The simple regressions analysis in the study found that employee’s loyalty is not significant to influence company’s advantage and employee’s satisfaction is not significant to influence employee’s loyalty as well. Employee’s motivation significantly influences loyalty and company’s advantage. Employee’s satisfaction has significant influence to company’s advantage. Multiple regression tests shows that employee’s motivation has positive influence but employee’s satisfaction has negative influence to employee’s loyalty. Both employee’s motivation and employee’s satisfaction have positive influence to company’s advantage. Path analysis has the results that employee’s loyalty is not moderating variables between Employee’s motivation, employee’s satisfaction and company’s advantage.Keywords: motivation, satisfaction, loyalty, company’s advantage Indomaret and Alfamart are the example of a retail business in Indonesia, which is the market leader in their field. Both companies are mini network that provides basic needs and daily necessities. But the problems faced Indomaret and Alfamart are the position of those who are always nearby.These problems is not a barrier for both. This is caused by them are in the same market share, selling products that uniform and is in the center crowds. The purpose of this study was to determine differences in the level of service to consumers and alfamart Indomaret Karombasan.Keywords :motivation, satisfaction, loyalty, company’s advantage

scholarly journals PENGARUH STRUKTUR KEPEMILIKAN, PROFITABILITAS, UKURAN PERUSAHAAN, DAN UMUR PERUSAHAAN TERHADAP PENGUNGKAPAN CORPORATE SOCIAL RESPONSIBILITY (STUDI EMPIRIS PADA PERUSAHAAN MANUFAKTUR YANG TERCATAT DI BURSA EFEK INDONESIA TAHUN 2014)

2016 ◽  
Vol 3 (1) ◽  
pp. 95
Author(s):  
Rizki Widya Puspitaningsih ◽  
Hotman Tohir Pohan
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Firm Size ◽  
Stock Exchange ◽  
Negative Influence ◽  
Positive Influence ◽  
Firm Age ◽  
Corporate Social Responsibility Disclosure ◽  
Csr Disclosure ◽  
Corporate Social

<em>The purpose of this study is to examine the effect of ownership structure, profitability, firm size, and firm age on Corporate Social Responsibility disclosure. Sample consists of 87 manufacturing firms in Indonesia Stock Exchange in 2014. Multiple regression test is used to test hypothesis developed in this study. Result of this study show that firm size has significantly positive influence on CSR disclosure, whereas ultimat ownership has significantly negative influence on Corporate Social Responsibility disclosure. Foreignt ownership, blockholder ownership, profitability, and firm age, on the other hand, do not have significant influence on CSR disclosure</em>

scholarly journals PENGARUH PROFITABILITAS, LEVERAGE, DAN LIKUIDITAS TERHADAP NILAI PERUSAHAAN SUB SEKTOR FOOD AND BEVERAGES

2018 ◽  
Vol 8 (1) ◽  
pp. 439
Author(s):  
I Putu Sukarya ◽  
I Gde Kajeng Baskara
Keyword(s):  
Significant Influence ◽  
Firm Value ◽  
Sampling Method ◽  
Stock Exchange ◽  
Sampling Technique ◽  
Negative Influence ◽  
Positive Influence ◽  
Probability Sampling ◽  
Food And Beverages ◽  
Sampling Approach

The firm value is important because it reflects the performance of the company that affect the perception of investors to the company. The purpose of the study is to determine the effect of profitability, leverage, and liquidity to the firm value. Sampling method used in this research is non-probability sampling approach with purposive sampling technique. The number of samples are 12 companies in the food and beverages sector in Indonesia Stock Exchange 2014-2016. The results showed that simultaneously profitability have significant influence to firm value, leverage have significant influence to firm value, and liquidity have significant influence to firm  value. Partially profitability has a positive influence significantly to  firm value, Leverage has negative influence not significanlyt to firm value, and Liquidity has a positive influence significant to firm value. Keywords: firm value, profitability, leverage, and liquidity

A social capital view of women on boards and their impact on firm performance

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Erin Oldford ◽  
Saif Ullah ◽  
Ashrafee Tanvir Hossain
Keyword(s):  
Social Capital ◽  
Firm Performance ◽  
Ethnic Diversity ◽  
Gender Diversity ◽  
Negative Relationship ◽  
Future Research ◽  
Corporate Boards ◽  
Board Diversity ◽  
Content Type ◽  
Board Gender Diversity

PurposeThe objective of this paper is to leverage a two-sided view of social capital to develop a model of board gender diversity and firm performance using social capital data from Northeast Regional Center of Rural Development.Design/methodology/approachThe authors examine a large sample of 2,322 US publicly listed firms over the period 1996 to 2009. The final sample consists of 14,634 firm-year observations.FindingsThe authors find that when a firm's social network is not supportive of gender diversity, corporate boards have lower levels of female representation. The strength of a social network's social ties exacerbates the relationship between social capital and board gender diversity. The authors also report a negative relationship between female board membership and firm performance in social networks that are not pro-diversity. Robustness tests reveal that the authors’ social capital view of board diversity also applies to board ethnic diversity.Research limitations/implicationsThis study focuses primarily on blue chip firms due to data constraints. It will be interesting for future researchers to investigate a broader spectrum of firms from a broader perspective of diversity beyond the study’s gender and ethnicity findings. Furthermore, this study assesses the US context, and future research could investigate firm sociability in other national contexts.Practical implicationsThis study contributes new insights to the discourse on gender diversity on corporate boards which stand to inform both policy and practice. The results of the study can inform the position of an industry association on board gender diversity, with guidance on how messaging across networks can be more effective should it account for the hidden bias that the authors uncover in the current study. From a manager's perspective, this study can help those managers and boards trying to enhance board gender diversity by providing a more complete understanding of the factors that can limit progress.Originality/valueThis study contributes a social capital view of board gender diversity to the growing literature of corporate governance, board diversity and local environmental influences on corporate policies.

scholarly journals Fatherhood and Managerial Style

2012 ◽  
Vol 57 (4) ◽  
pp. 669-693 ◽  
Author(s):  
Michael S. Dahl ◽  
Cristian L. Dezső ◽  
David Gaddis Ross
Keyword(s):  
Social Sciences ◽  
Panel Data ◽  
Chief Executive ◽  
Negative Influence ◽  
Positive Influence ◽  
Managerial Style ◽  
First Child ◽  
The Social ◽  
Female Employees ◽  
Transition To Fatherhood

Motivated by a growing literature in the social sciences suggesting that the transition to fatherhood has a profound effect on men’s values, we study how the wages of employees change after a male chief executive officer (CEO) has children, using comprehensive panel data on the employees, CEOs, and families of CEOs in all but the smallest Danish firms between 1996 and 2006. We find that (a) a male CEO generally pays his employees less generously after fathering a child, (b) the birth of a daughter has a less negative influence on wages than does the birth of a son and has a positive influence if the daughter is the CEO’s first, and (c) the wages of female employees are less adversely affected than are those of male employees and positively affected by the CEO’s first child of either gender. We also find that male CEOs pay themselves more after fathering a child, especially after fathering a son. These results are consistent with a desire by the CEO to husband more resources for his family after fathering a child and the psychological priming of the CEO’s generosity after the birth of his first daughter and specifically toward women after the birth of his first child of either gender.

scholarly journals INVESTIGATING THE ROLE OF ISSUING CORPORATE ISLAMIC BOND AND SELECTED DETERMINANTS ON FIRM'S PROFITABILITY

2020 ◽  
Vol 8 (5) ◽  
pp. 48-57
Author(s):  
Najmudin ◽  
Ekaningtyas Widiastuti ◽  
Ghifari Taufiqurrahman
Keyword(s):  
Economic Growth ◽  
Firm Size ◽  
Inflation Rate ◽  
Stock Exchange ◽  
Negative Influence ◽  
Positive Influence ◽  
Internal Factors ◽  
Macroeconomic Factors ◽  
Panel Data Regression ◽  
Macroeconomic Factor

Purpose of the study: The purpose of this study is to investigate the effect of corporate Islamic bond issuance, internal and macroeconomic factors on firm's profitability. The internal factors involved potentially as determinants of profitability are leverage and firm size. Meanwhile, the macroeconomic factors are economic growth and the inflation rate. Methodology: The sample is taken from companies listed at Indonesia Stock Exchange (IDX) and selected from 24 companies. The sample is 21 companies whose data completely and issued the Islamic bond during the period 2012 until 2018. Moreover, the panel data regression was employed as an analytical tool to test the data. Main Findings: The results suggest that Islamic bond issuance and financial leverage have a negative influence on profitability, firm size has no significant influence on profitability, and economic growth and inflation rate have a positive influence on profitability. Applications of this study: A firm, as well as an investor, must consider the lower Islamic bond issuance and debt proportion. Besides, they should anticipate decreased economic growth and the inflation rate. Novelty/Originality of this study: This study observes evidence from Indonesia Stock Exchange (IDX) that develops the previous studies and adds references for further studies about Islamic bond issuance. Also, it combines Islamic fund source and firm-specific internal as well as macroeconomic factors (economic growth and inflation rate) macroeconomics factors insert what are the macroeconomic factor which affects the profitability of the business to give a clear picture of how the effect of all factors on profitability.

scholarly journals FAKTOR–FAKTOR YANG MEMPENGARUHI KINERJA PERUSAHAAN NON KEUANGAN YANG TERDAFTAR DI BURSA EFEK INDONESIA

2018 ◽  
Vol 2 (1) ◽  
pp. 27
Author(s):  
Trisnawati Trisnawati ◽  
Henny Setyo Lestari
Keyword(s):  
Firm Performance ◽  
Firm Size ◽  
Significant Influence ◽  
Stock Exchange ◽  
Return On Equity ◽  
Growth Opportunity

This research is conducted to find the factor’s affecting firm performance of non financial listed in Indonesia Stock Exchange. The sample was taken from 101 companies in the last five years from 2010-2014. The dependent variable in this research is the firm performance measured by return on equity, while the independent in this research is leverage measured debt to equity, growth opportunity, firm size, and liquidity. The results show that there are negative and significant influence between research leverage to firm performance. There is also posifive and significant effect between firm size to firm performance. And there is no influence between growth opportunity and liquidity to firm performance.

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