The Contribution of Women on Boards of Directors: Going beyond the Surface

Abstract

Manuscript Type: EmpiricalResearch Question/Issue: The increased attention to women on corporate boards presents new challenges to governance research. In this paper we go beyond demography and open the "black box" of board behavior by drawing upon theories of gender differences and group effectiveness.c org_784 136..148 Research Findings/Insights: A unique survey of 201 Norwegian firms is used. The findings suggest that the ratio of women directors is positively associated with board strategic control. In addition, we find that the positive effects of women directors on board effectiveness are mediated through increased board development activities and through decreased level of conflict. However, our results show no evidence for a positive association between women directors and open debate. Nonetheless, open debate enhances board's strategic and operational control. Theoretical/Academic Implications: Recognizing the limitations of traditional governance theories to explain the role and contributions of women on corporate boards, this paper draws upon group effectiveness and gender differences theories to shed some light on whether and how women make a difference to board effectiveness in strategic and operational control. Practitioner/Policy Implications: Women's ability to make a contribution to the board may be attributable to their different leadership styles. The presence of women on corporate boards seems to increase board effectiveness through reducing the level of conflict and ensuring high quality of board development activities.

Características E Competências Dos Conselhos De Administração De Bancos Brasileiros E Sua Relação Com Seu Desempenho Financeiro

“…Dessa forma, neste estudo o desempenho financeiro dos bancos é medido por meio de duas proxies, que são o Return On Assets (ROA) e o Return On Investment (ROI). A escolha dessas variáveis considera suas extensas utilizações no mercado por analistas financeiros para avaliação de desempenho financeiro (SHRADER; BLACKBURN; ILES, 1997;ERHARDT;WERBEL;SHRADER, 2003). Aliado a isso, o CA aparece como um importante ator, tendo em vista sua função de representar os acionistas dessas organizações.…”

“…Nesse sentido, partindo de um modelo conceitual desenvolvido pelos próprios autores, eles propõem uma lista de pequenos itens presentes nos relatórios, por meio dos quais é possível analisar o desempenho do conselho sob uma perspectiva de dinâmica de grupo. Pugliese et al (2009) destacam que nas últimas quatro décadas a investigação sobre a relação entre o conselho de administração e as decisões estratégicas tem se proliferado no mundo. Entretanto, observam que até o momento da realização de sua pesquisa havia pouca concordância teórica e empírica sobre a verdadeira contribuição desse conselho para a estratégia das empresas.…”

The Impact of Supervisory Board Composition on CSR Reporting. Evidence from the German Two-Tier System

“…Galia et al [26] found a positive relationship between the probability and intensity of environmental benefits of innovation and gender diversity in a French setting. According to Nielsen/Huse [27], the ratio of women directors is positively associated with board strategic control. The positive effects on board effectiveness are mediated through increased board development activities and decreased level of conflict.…”

Remuneration Committees’ Gender Composition as a Determinant of Executive Board Compensation Structure

“…However, these theories have not yet been able to provide definitive evidence on the determinants of executive compensation (Lambert, Larcker, & Rajan, 1993). The corporate governance literature has examined the role of women on boards of directors and how gender diversity on corporate board influences corporate governance outcomes that in turn impact performance (Nielsen & Huse, 2010;Rose, 2007;Terjesen, Sealy, & Singh, 2009). However, to the best of our knowledge, this is the first paper that investigates the relationship between the gender composition of firms' remuneration committees and the relative weight of variable monetary compensation in these firms' top executives' compensation packages.…”