Corporate Governance and the Effectiveness of Boards
Understanding how corporate boards are formed and how they act has become an important topic. Corporate failures and scandals such as Enron and Parmalat in the early 2000s and, more recently Volkswagen and Toshiba, have heated up debates among investors, policy makers, media, academics and the wider public, with respect to the role of boards in these scandals. Simultaneously, boards have to deal with newer questions and norms, which wider emerging environmental, social and governance concerns. In general, boards play a key role within organizations and the economic system in general.
Research on boards focuses on examining how boards themselves influence firm strategic decisions and outcomes. Traditionally, this research focuses on linking board and/or individual characteristics to measures of firm decision-making and performance. More recently, researchers have begun to focus on contextualizing the role of boards in determining firm decisions and outcomes. Various contextual variables such as formal (laws, regulations, quality of government) and informal institutions (culture, values, trust) have been considered as determinants of the way boards are characterized and formed, what their roles are, how their members act and decide and what the consequences are.
At the same time, part of the research on boards has been directed toward researching cognitive and behavioral aspects of teams’ and boards’ decision-making processes. Studies in this field aim at opening the so-called “black box” to find out how interactions between individual team and board members affect decision making, team and board effectiveness and, ultimately, also organizational performance. Among other things, this research focuses on analyzing the importance of behavioral and cognitive aspects such as trust, conflict and conflict management, commitment, information sharing, reflexivity, etc. on team and organizational performance.
Aim of the summer school
The aim of this summer school is to discuss the strength and weaknesses of both research pillars and their contribution to our understanding of how boards are formed and how they work in order to effectively perform their roles. We explicitly aim to determine to what extent their questions, methods, data, and outcomes are complementary or substitutes. Our approach is multi-disciplinary, meaning that we discuss research from economics, finance, management and sociology and psychology. We will also deal with measurement issues and discuss datasets and methodologies to use these datasets in research. Participants are invited to present their own research (ideas) in the field of board effectiveness.
Still in doubt? The overall satisfaction score of the total group of participants last year was 9.4 out of 10. In their evaluations, participants found it:
- ‘A wonderful experience’
- ‘All the lectures have rich content. The …content is great and intensive’
- ‘I really like the informal atmosphere and the inspiring talks. Connecting with the professors is a great opportunity’.
|Last modified:||02 December 2019 09.45 a.m.|