Board demographic diversity, independence, and corporate social performance

Corporate Governance (Bingley)

Volumn 12, Issue 5, 2012, Pages 686-700

  Zhang, Lu ^a  

^a Ulsan National Institute of Science and Technology   (South Korea)

Author keywords

Boards of directors; Chief executive officer duality; Company performance; Corporate social performance; Demographic diversity; Gender; Outsider representation on boards

Indexed keywords

EID: 84867777363     PISSN: 14720701     EISSN: None     Source Type: Journal    
DOI: 10.1108/14720701211275604     Document Type: Article

References (73)

1. Agle, B., Mitchell, R. and Sonnenfeld, J. (1999), "Who matters to CEOs? An investigation of stakeholder attributes and salience, corporate performance, and CEO values" in Academy of Management Journal, Vol. 42, pp. 507-25.
2. Albinger, H.S. and Freeman, S.J. (2000), "Corporate social performance and attractiveness as an employer to different job seeking populations" in Journal of Business Ethics, Vol. 28, pp. 243-53.
3. Baliga, R., Moyer, C.R. and Rao, R.S. (1996), "CEO duality and firm performance: what's the fuss?" in Strategic Management Journal, Vol. 17, pp. 41-53.
4. Bansal, P. and Roth, K. (2000), "Why companies go green: a model of ecological responsiveness" in Academy of Management Journal, Vol. 43, pp. 717-36.
5. Bantel, K.A. (1994), "Strategic planning openness: the role of top team demography" in Group and Organization Management, Vol. 19, pp. 406-24.
6. Bantel, K.A. and Jackson, S.E. (1989), "Top management and innovations in banking: does the composition of the top team make a difference?" in Strategic Management Journal, Vol. 10, pp. 107-24.
7. Bear, S., Rahman, N. and Corinne, P. (2010), "The impact of board diversity and gender composition on corporate social responsibility and firm reputation" in Journal of Business Ethics, Vol. 97, pp. 207-21.
8. Beasley, M. (1996), "An empirical analysis of the relation between the board of director composition and financial statement fraud" in Accounting Review, Vol. 71, pp. 443-65.
9. Beckman, C.M. and Haunschild, P.R. (2002), "Network learning: the effects of partners' heterogeneity of experience on corporate acquisitions" in Administrative Science Quarterly, Vol. 47, pp. 92-124.
10. Bilimoria, D. (2000), "Building the business case for women corporate directors" in Burke, R.J. and Mattis, M.C. (Eds.), Women on Corporate Board of Directors: International Challenges and Opportunities, Kluwer Academic, Dordrecht, pp. 25-40.
11. Blau, P.M. (1977), Inequality and Heterogeneity, The Free Press, New York, NY.
12. Boyd, B. (1990), "Corporate linkages and organizational environment: a test of the resource dependence model" in Strategic Management Journal, Vol. 11, pp. 419-30.
13. Burt, R.S. (1982), Toward a Structural Theory of Action, Academic Press, New York, NY.
14. Campbell, K. and Mínguez-Vera, A. (2008), "Gender diversity in the boardroom and firm financial performance" in Journal of Business Ethics, Vol. 83, pp. 435-51.
15. Carter, D., Simkins, B. and Simpson, W. (2003), "Corporate governance, board diversity, and firm value" in Financial Review, Vol. 38, pp. 33-53.
16. Clarkson, M.B.E. (1995), "A stakeholder framework for analyzing and evaluating corporate social performance" in Academy of Management Review, Vol. 20, pp. 92-117.
17. Coffey, B.S. and Wang, J. (1998), "Board diversity and managerial control as predictors of corporate social performance" in Journal of Business Ethics, Vol. 17, pp. 1595-603.
18. Daily, C. and Dalton, D. (1994), "Bankruptcy and corporate governance: the impact of board composition and structure" in Academy of Management Journal, Vol. 37, pp. 1603-17.
19. Daily, C. and Dalton, D. (1997), "CEO and board chair roles held jointly or separately: much ado about nothing?" in Academy of Management Executive, Vol. 11, pp. 11-20.
20. Dalton, D.R., Daily, C.M., Ellstrand, A.E. and Johnson, J.L. (1998), "Meta-analytic reviews of board composition, leadership structure, and financial performance" in Strategic Management Journal, Vol. 19, pp. 269-90.
21. Dalton, D.R., Hitt, M.A., Certo, S.T. and Dalton, C.M. (2008), "The fundamental agency problem and its mitigation: independence, equity, and the market for corporate control" in Walsh, J.P. and Brief, A.P. (Eds.), Annals of the Academy of Management, Lawrence Erlbaum Associates, New York, NY, pp. 1-64.
22. Davidson, W.N., Jiraporn, P., Kim, Y.S. and Nemec, C. (2004), "Earnings management following duality-creating successions: ethnostatistics, impression management, and agency theory" in Academy of Management Journal, Vol. 47, pp. 267-75.
23. Deckop, J.R., Merriman, K.K. and Gupta, S. (2006), "The effects of CEO pay structure on corporate social performance" in Journal of Management, Vol. 32, pp. 329-42.
24. Donaldson, L. and Davis, J.H. (1991), "Stewardship theory or agency theory: CEO governance and shareholder returns" in Australian Journal of Management, Vol. 16, pp. 49-64.
25. Duehr, E.E. and Bono, J.E. (2006), "Men, women, and managers: are stereotypes finally changing?" in Personnel Psychology, Vol. 59, pp. 815-46.
26. Dunn, P. (2004), "The impact of insider power on fraudulent financial reporting" in Journal of Management, Vol. 30, pp. 397-412.
27. Eisenhardt, K.M. (1989), "Agency theory: an assessment and review" in Academy of Management Review, Vol. 14, pp. 57-74.
28. Elkington, J. (1997), Cannibals with Forks: The Triple Bottom Line of 21st Century Business, Capstone, Oxford.
29. Erhardt, N., Werbel, J. and Shrader, C. (2003), "Board of director diversity and firm financial performance" in Corporate Governance: An International Review, Vol. 11, pp. 102-11.
30. Fama, E.F. and Jensen, M.C. (1983), "Separation of ownership and control" in Journal of Law and Economics, Vol. 26, pp. 301-25.
31. Finkelstein, S. and D'Aveni, R.A. (1994), "CEO duality as a double-edged sword: how boards of directors balance entrenchment avoidance and unity of command" in Academy of Management Journal, Vol. 37, pp. 1079-108.
32. Goodstein, J., Gautam, K. and Boeker, W. (1994), "The effects of board size and diversity on strategic change" in Strategic Management Journal, Vol. 15, pp. 241-50.
33. Goyal, V.K. and Park, C.W. (2002), "Board leadership structure and CEO turnover" in Journal of Corporate Finance, Vol. 8, pp. 49-66.
34. Hair, J.F., Anderson, R.E., Tatham, R.L. and Black, W.C. (1995), Multivariate Data Analysis, Macmillan, New York, NY.
35. Hermalin, B. and Weisbach, M. (1988), "The determinants of board composition" in RAND Journal of Economics, Vol. 19, pp. 589-606.
36. Hillman, A. and Dalziel, T. (2003), "Boards of directors and firm performance: integrating agency and resource dependence perspectives" in Academy of Management Review, Vol. 28, pp. 383-96.
37. Hillman, A.J., Cannella, A.A. and Harris, I.C. (2002), "Women and racial minorities in the boardroom: how do directors differ?" in Journal of Management, Vol. 28, pp. 747-63.
38. Ibarra, H. (1993), "Personal networks of women and minorities in management: a conceptual framework" in Academy of Management Review, Vol. 18, pp. 56-87.
39. Ibrahim, N.A., Howard, D.P. and Angelidis, J.P. (2003), "Board members in the service industry: an empirical examination of the relationship between corporate social responsibility orientation and directorial type" in Journal of Business Ethics, Vol. 47, pp. 393-401.
40. Johnson, J.L., Daily, C.M. and Ellstrand, A.E. (1996), "Boards of directors: a review and research agenda" in Journal of Management, Vol. 22, pp. 409-38.
41. Kang, H., Cheng, M. and Gray, S. (2007), "Corporate governance and board composition: diversity and independence of Australian boards" in Corporate Governance: An International Review, Vol. 15, pp. 194-207.
42. Kosnik, R. (1990), "Effects of board demography and directors' incentives on corporate greenmail decisions" in Academy of Management Journal, Vol. 33, pp. 129-50.
43. Luoma, P. and Goodstein, J. (1999), "Stakeholders and corporate boards: institutional influences on board composition and structure" in Academy of Management Journal, Vol. 42, pp. 553-63.
44. McWilliams, A. and Siegel, D. (2000), "Corporate social responsibility and financial performance: correlation or misspecification?" in Strategic Management Journal, Vol. 21, pp. 603-9.
45. Mallette, P. and Fowler, K. (1992), "Effects of board composition and stock ownership on the adoption of 'poison pills'" in Academy of Management Journal, Vol. 35, pp. 1010-35.
46. Manzoni, J., Strebel, P. and Barsoux, J. (2010), "Why diversity can backfire on company boards", Wall Street Journal, available at: http://online.wsj.com/article/SB10001424052748703558004574581851089027682.html.
47. Mattingly, J.E. and Berman, S.L. (2006), "Measurement of corporate social action discovering taxonomy in the Kinder Lydenburg Domini ratings data" in Business and Society, Vol. 45, pp. 20-46.
48. Miller, T. and Triana, M. (2009), "Demographic diversity in the boardroom: mediators of the board diversity - firm performance relationship" in Journal of Management Studies, Vol. 46, pp. 755-86.
49. Milliken, F.J. and Martins, L.L. (1996), "Searching for common threads: understanding the multiple effects of diversity in organizational groups" in Academy of Management Review, Vol. 21, pp. 402-33.
50. Minichilli, A., Zattoni, A. and Zona, F. (2009), "Making boards effective: an empirical examination of board task performance" in British Journal of Management, Vol. 20, pp. 55-74.
51. Mitchell, R., Agle, B. and Wood, D. (1997), "Towards a theory of stakeholder identification and salience: defining the principle of who and what really counts" in Academy of Management Review, Vol. 22, pp. 853-86.
52. Nidumolu, R., Prahalad, C.K. and Rangaswami, M.R. (2009), "Why sustainability is now the key driver of innovation" in Harvard Business Review, Vol. 87, pp. 56-64.
53. Pearce, J.A. and Zahra, S.A. (1991), "The relative power of CEOs and boards of directors: associations with corporate performance" in Strategic Management Journal, Vol. 12, pp. 135-53.
54. Petra, S.T. and Dorata, N.T. (2008), "Corporate governance and chief executive officer compensation" in Corporate Governance, Vol. 8, pp. 141-52.
55. Pfeffer, J. (1972), "Size and composition of corporate boards of directors: the organization and its environment" in Administrative Science Quarterly, Vol. 17, pp. 218-28.
56. Pfeffer, J. and Salancik, G.R. (1978), The External Control of Organizations: A Resource Dependence Perspective, Harper & Row, New York, NY.
57. Rose, G. (2007), "Corporate directors and social responsibility: ethics versus shareholder value" in Journal of Business Ethics, Vol. 73, pp. 319-31.
58. Sanders, W.M.G. and Carpenter, M.A. (1998), "Internationalization and firm governance: the roles of CEO compensation, top team composition, and board structure" in Academy of Management Journal, Vol. 41, pp. 158-78.
59. Schweiger, D.M., Sandberg, W.R. and Rechner, P.L. (1989), "Experiential effects of dialectical inquiry, devil's advocacy, and consensus approaches to strategic decision making" in Academy of Management Journal, Vol. 32, pp. 745-72.
60. Simons, T., Pelled, L.H. and Smith, K.A. (1999), "Making use of difference: diversity, debate, and decision comprehensiveness in top management teams" in Academy of Management Journal, Vol. 42, pp. 662-73.
61. Stanwick, P.A. and Stanwick, S.D. (1998), "The determinants of corporate social performance: an empirical examination" in American Business Review, Vol. 16, pp. 86-93.
62. Thomas, D.A. (2001), "The truth about mentoring minorities: race matters" in Harvard Business Review, Vol. 79, pp. 99-107.
63. Tuggle, C., Sirmon, D., Reutzel, C. and Bierman, L. (2010), "Commanding board of director attention: Investigating how organizational performance and CEO duality affect board members' attention to monitoring" in Strategic Management Journal, Vol. 31, pp. 946-54.
64. Turban, D. and Greening, D. (1996), "Corporate social performance and organizational attractiveness to prospective employees" in Academy of Management Journal, Vol. 40, pp. 658-72.
65. Ullman, A.H. (1985), "Data in search of a theory: a critical examination of the relationships among social performance, social disclosure, and economic performance of US firms" in Academy of Management Review, Vol. 10, pp. 540-57.
66. Van der Walt, N. and Ingley, C. (2003), "Board dynamics and the influence of professional background, gender and ethnic diversity of directors" in Corporate Governance: An International Review, Vol. 11, pp. 218-34.
67. Waddock, S.A. and Graves, S.B. (1997), "The corporate social performance financial performance link" in Strategic Management Journal, Vol. 18, pp. 303-9.
68. Wade, J., O'Reilly, C.A. and Chandratat, I. (1990), "Golden parachutes: CEOs and the exercise of social influence" in Administrative Science Quarterly, Vol. 35, pp. 587-603.
69. Wang, J. and Coffey, B.S. (1992), "Board composition and corporate philanthropy" in Journal of Business Ethics, Vol. 11, pp. 771-8.
70. Weaver, G., Trevino, L. and Cochran, P. (1999), "Integrated and decoupled corporate social performance: management commitments, external pressures, and corporate ethics practices" in Academy of Management Journal, Vol. 42, pp. 539-52.
71. Weisbach, M.S. (1988), "Outside directors and CEO turnover" in Journal of Financial Economics, Vol. 20, pp. 431-60.
72. Wiersema, M.F. and Bantel, K.A. (1992), "Top management team demography and corporate strategic change" in Academy of Management Journal, Vol. 35, pp. 91-121.
73. Zahra, S. and Pearce, J. (1989), "Boards of directors and corporate financial performance: a review and integrative model" in Journal of Management, Vol. 15, pp. 291-334.