Purpose This study aims to reconcile some of the conflicting results in prior studies of the board structure–firm performance relationship and to evaluate the effectiveness and applicability of agency theory in the specific context of Italian corporate governance practice. Design/methodology/approach This research applies a dynamic generalised method of moments on a sample of Italian listed companies over the period 2003-2015. Proxies for corporate governance mechanisms are the board size, the level of board independence, ownership structure, shareholder agreements and CEO–chairman leadership. Findings While directors elected by minority shareholders are not able to impact performance, independent directors do have a non-linear effect on performance. Board size has a positive effect on firm performance for lower levels of board size. Ownership structure per se and shareholder agreements do not affect firm performance. Research limitations/implications This paper contributes to the literature on agency theory by reconciling some of the conflicting results inherent in the board structure–performance relationship. Firm performance is not necessarily improved by having a high number of independent directors on the board. Ownership structure and composition do not affect firm performance; therefore, greater monitoring provided by concentrated ownership does not necessarily lead to stronger firm performance. Practical implications This paper suggests that Italian corporate governance law should improve the rules and effectiveness of minority directors by analysing whether they are able to impede the main shareholders to expropriate private benefits on the expenses of the minority. The legislator should not impose any restrictive regulations with regard to CEO duality, as the influence of CEO duality on performance may vary with respect to the unique characteristics of each company. Originality/value The results enrich the understanding of the applicability of agency theory in listed companies, especially in Italy. Additionally, this paper provides a comprehensive synthesis of research evidence of agency theory studies.

The paper explores whether 'Big Data' (BD) has changed the process of board-level strategic decision-making. To enable a rich understanding of the issues, we gained access to directors of UK-based global organizations who were routinely involved in high-level strategic decision-making, undertaking lengthy semi-structured interviews.The quality of the data achieved is therefore a distinctive feature of our study. Our data reveal important findings in three broad areas. First, we explore the cognitive capabilities of board directors, and find evidence of a shortfall in cognitive capabilities in relation to BD, as well as issues with cognitive biases and cognitive overload.Second, we reveal the challenges to board cohesion presented by BD, including disruption to the processes of strategic decision-making, and temporal challenges relating to the speed of BD and decision-making. Finally, we show how BD is impacting on responsibility and control within senior teams, with boards undertaking reconfiguration activity, and in some instances drawing heavily on external stakeholders in order to address gaps in internal capabilities. We draw out key learning points in the context of both a knowledge-based view of the firm and a cognitive and dynamic capabilities perspective.

PurposeAlthough research on smart technologies explains their critical importance in sustainable business models (SBMs) (Mikalef et al., 2017), it remains unclear how organisations can embrace smart technologies to create and/or improve their sustainable business models. The purpose of this paper is to unravel and address the challenges of smart technologies to build and maintain a sustainable business model for organisations.Design/methodology/approachThe research develops an empirical analysis through a case study approach. We have investigated the case of ENAV – an Italian air navigation service provider – and how this firm uses smart technologies in the creation of its successful SBM. After constructing a basic theory, the authors moved to evidence collection. The data analysis has adopted a qualitative approach based on a thematic analysis of the transcripts and related documents.FindingsThe findings from the case study support the idea that the business value and the strategic relevance of smart technologies still remain largely underestimated in SBM adoption (Mikalef et al., 2017). Case study findings suggest that until today smart technologies have played a minimal role in SBM adoption. However, the smart technologies show the potential to inform the SBM adoption process by contributing to corporate communication for external stakeholders and to the main dimensions of SBMs such as safety and security or the respect for social and environmental criteria in the supply chain.Practical implicationsThis study seeks to support organisations and their directors to build and improve sustainable business models through smart technologies to maintain their competitive advantages. Specifically, our findings suggest that smart technologies can help organisations bridge the design–implementation gap of sustainable business models.Originality/valueThis research advances our understanding of the role of smart technologies by explaining how they can enhance sustainable business model adoption. Indeed, we offer a comprehensive view of the integration of insights from three different but related literature streams such as sustainability strategies, smart technologies and change management studies.

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This document is the author's post-print version, incorporating any revisions agreed during the peer-review process. Some differences between the published version and this version may remain and you are advised to consult the published version if you wish to cite from it.