No full-text available
To read the full-text of this research,
you can request a copy directly from the authors.
The impact on the governance of the gender quotas legislation: the Italian case
Abstract
Purpose
The purpose of this paper is to create a strong connection among the gender diversity literature in the stream of gender quotas in the international context and the main legislation on gender diversity – the Law 120/2011 “Golfo-Mosca” – in Italy requiring listed companies and companies under the public control to implement policies for increasing board diversity.
Design/methodology/approach
This paper adopts a structured literature review method to propose relevant issues on this topic applying an innovative analytical framework based on the “article focus.” Additionally, an interview to a CEO of an Italian Bank has been done.
Findings
In this step, results seem to underline the prominence of literature analyzing “woman in board of directors” promoting board diversity in the light of good governance. Additionally, this analysis is functional to the proposition of interesting insights from the Golfo-Mosca Law’s analysis in Italy emphasizing primary effects of its application during past seven years.
Originality/value
Findings of this paper are original, as it is the first time that a research connects results from the structured literature review on gender issues and the related Italian law to draft emerging and thrilling issues in the light of transparent and responsible corporate governance system.
... Moreover, some countries have adopted laws to promote gender diversity in management positions. Italy, for example, implemented Law 120/2011 "Golfo-Mosca," requiring listed companies and those under public control to implement policies for increasing board diversity (Paoloni et al., 2019). Such legislation aims to create a strong connection between gender diversity literature and the main laws on gender diversity, fostering a more inclusive corporate environment. ...
... Reviewing the current studies, it's clear that the majority have targeted firm-level and country-level to examine the subject of corporate board composition and the implications of gender quota legislation [8][9][10][12][13][14][15]. Additionally, the studies mainly concentrate on the economic aspect of performance of the companies or sectors and how countries worldwide adopt soft or mandatory quotas. ...
Legislative regulations for gender quotas are increasingly being enacted on the corporate boards in numerous countries. Research focused on this topic since 2003 when Norway passed the first law concerning the composition of board of directors and women’s proportion in it. The purpose of this paper is to present a review of the literature on gender quotas applied on corporate boards and their impact in different aspects. Using Scopus database, the authors reviewed a body of studies and analyzed those that demonstrated a correlation with the impact on firm’s environmental and social performance, those that demonstrated a diffusion of gender equality across the firm levels and those that focused on individual perceptions. Our results highlight that even though there is a positive impact of gender quotas there is still lack of studies using primary data and addressing the specific research field from non-financial perspective in order to approach deeper the subject. This could be a trigger for future researchers. Also, our findings regarding the benefits of gender diversity in corporate boards can be used to expand efforts to promote gender equality in the workplace.
... The reach of the law has also been recognised in an article published in 2017 (D'Ascenzo, 2017), citing the law as one of the best practices at a European level alongside initiatives from Finland, France, and Sweden. In particular, the article states that the objective of the Italian law had been substantially achieved and would be further consolidated in the upcoming three-year renewal period (on the effects of gender quotas introduced in Italy, see also Paoloni et al., 2019;Pastore & Tommaso, 2016). As portrayed by the article, the number of women sitting on company boards has increased in absolute terms, even if the effect on top management appears far less significant since the percentage of female CEOs in companies, including financial and non-financial ones, has actually decreased. ...
This chapter is exclusively empirical as it aims to provide an overview of the gender diversity policies adopted by banks and insurance companies worldwide over the last 11 years (2010–2020). This was done by using information collected from the Refinitiv Eikon database. The data considered are (a) the percentage of women employees, (b) the percentage of new women employees, (c) the percentage of women managers, (d) the percentage of female directors on the board, (e) the percentage of female executive members, (f) the gender pay gap, (g) the flexible working hour mechanisms promoting a work-life balance, (h) the board gender diversity policy and, finally, (i) the support for the UN-Sustainable Development Goal (SDG) 5 Gender Equality. The full sample consists of 2064 listed financial intermediaries of which 1427 are banks and 637 are insurance companies (belonging to the following sub-sectors: life & health insurance, multiline insurance & brokers, property & casualty insurance, and reinsurance). Overall, the analysis shows that women are still underrepresented in managerial and especially executive roles in both the banking and insurance sectors. However, it is important to underline that in the last 11 years, there has been a rearrangement of the roles held by women. On the one hand, the number of women employees has decreased. On the other hand, the number of women directors, managers, and executives has increased, although at very different growth rates. In any case, this rebalancing process is still ongoing and will be so for a long time.
... The reach of the law has also been recognised in an article published in 2017 (D'Ascenzo, 2017), citing the law as one of the best practices at a European level alongside initiatives from Finland, France, and Sweden. In particular, the article states that the objective of the Italian law had been substantially achieved and would be further consolidated in the upcoming three-year renewal period (on the effects of gender quotas introduced in Italy, see also Paoloni et al., 2019;Pastore & Tommaso, 2016). As portrayed by the article, the number of women sitting on company boards has increased in absolute terms, even if the effect on top management appears far less significant since the percentage of female CEOs in companies, including financial and non-financial ones, has actually decreased. ...
This chapter focuses on the role of the asset management (AM) industry in adopting and disseminating gender diversity principles. To this end, the chapter opens with a brief analysis of the rationale behind the importance of gender diversity in the AM industry. Subsequently, it focuses on the significant barriers that women still encounter in this financial sector. The second section analyses the main regulatory initiatives put in place by both European and US regulators to promote gender diversity in the AM sector. The third section deals with the current adoption by US mutual funds of investment strategies focused on the promotion of gender equality. This is followed by an overview of the main “gender diversity funds” that some important asset managers (Nordea, Fidelity, RobecoSAM, UBS Asset Management, and State Street Global Advisors) have chosen to launch recently on the market. Finally, the chapter closes with an in-depth look at the main initiatives adopted by three European AM trade associations (Investment Association, Finance Finland, and Assogestioni) aimed at encouraging asset management companies to increase the uptake of gender diversity policies and standards.
... The reach of the law has also been recognised in an article published in 2017 (D'Ascenzo, 2017), citing the law as one of the best practices at a European level alongside initiatives from Finland, France, and Sweden. In particular, the article states that the objective of the Italian law had been substantially achieved and would be further consolidated in the upcoming three-year renewal period (on the effects of gender quotas introduced in Italy, see also Paoloni et al., 2019;Pastore & Tommaso, 2016). As portrayed by the article, the number of women sitting on company boards has increased in absolute terms, even if the effect on top management appears far less significant since the percentage of female CEOs in companies, including financial and non-financial ones, has actually decreased. ...
This chapter addresses the issue of the gender pay gap within the financial system. To this end, it first reviews the main treaties and legal acts that formalise the principle of equal pay for men and women from the Treaty of Rome to the main European directives. It then analyses the theoretical and empirical studies on the issue, which for the financial sector are still in an embryonic phase. The second part of the chapter focuses exclusively on the financial system, analysing the evolution of the gender pay gap over time and the differences across geographical areas and economic sectors. The assessment primarily addresses data collected by Eurostat and the European Banking Authority (EBA). It also provides a focus on the gender pay gap in the UK banking sector. Finally, the chapter explores the most recent laws on the gender pay gap passed in several European countries and the novel “gender neutrality principle” of banking remuneration practices. The chapter ends by proposing some actions that need to be taken by banks to close the existing gender pay gap.
... The reach of the law has also been recognised in an article published in 2017 (D'Ascenzo, 2017), citing the law as one of the best practices at a European level alongside initiatives from Finland, France, and Sweden. In particular, the article states that the objective of the Italian law had been substantially achieved and would be further consolidated in the upcoming three-year renewal period (on the effects of gender quotas introduced in Italy, see also Paoloni et al., 2019;Pastore & Tommaso, 2016). As portrayed by the article, the number of women sitting on company boards has increased in absolute terms, even if the effect on top management appears far less significant since the percentage of female CEOs in companies, including financial and non-financial ones, has actually decreased. ...
The chapter deals with gender issues in Central Banks (CBs). Here, discrimination against women and obstacles to their careers seem even more pronounced than in supervised financial intermediaries. The chapter first discusses the causes of this accentuated difficulty for women and then reviews the scarce literature on the pattern of appointments and promotions of women on CB boards, on the relations between gender and monetary policy decisions, and on the influence exerted by women on the stability of the financial system and the quality of supervision. The focus then shifts to the strengthening of the gender parity policy by the European Central Bank (marked by the setting of targets for the recruitment and promotion of women) and to women governors. In regard to the latter, we attempt to outline a detailed picture of the women who have held such positions in CBs around the world, highlighting both how rare they still are and how patterns change across countries. Finally, the chapter offers a picture of gender policies followed by the EU28 CBs based on responses provided by banks to our survey or on information retrieved from the banks’ documents, especially their annual reports.
... The reach of the law has also been recognised in an article published in 2017 (D'Ascenzo, 2017), citing the law as one of the best practices at a European level alongside initiatives from Finland, France, and Sweden. In particular, the article states that the objective of the Italian law had been substantially achieved and would be further consolidated in the upcoming three-year renewal period (on the effects of gender quotas introduced in Italy, see also Paoloni et al., 2019;Pastore & Tommaso, 2016). As portrayed by the article, the number of women sitting on company boards has increased in absolute terms, even if the effect on top management appears far less significant since the percentage of female CEOs in companies, including financial and non-financial ones, has actually decreased. ...
This chapter offers a comprehensive literature review of the existing research on board gender diversity (BGD) and performance in banks and other financial institutions. After briefly reviewing the main theories on the role of women in the decision-making process, we analyse different relationships. First, empirical studies investigating the relationship between BGD and bank economic-financial performance are examined. Given the large number of studies, they are grouped into three categories: (1) studies revealing a positive linear relationship, (2) studies supporting non-significant, negative, or non-linear relationships between BGD and bank performance, and (3) studies focused on the Microfinance Institutions (MFIs). Then, the analysis shifts to the studies that examine the associations between BGD and bank efficiency, bank corporate social responsibility (CSR) performance and bank risk-taking. The final section of the chapter is dedicated to other areas of research on bank gender diversity that would benefit from an in-depth exploration.
... The reach of the law has also been recognised in an article published in 2017 (D'Ascenzo, 2017), citing the law as one of the best practices at a European level alongside initiatives from Finland, France, and Sweden. In particular, the article states that the objective of the Italian law had been substantially achieved and would be further consolidated in the upcoming three-year renewal period (on the effects of gender quotas introduced in Italy, see also Paoloni et al., 2019;Pastore & Tommaso, 2016). As portrayed by the article, the number of women sitting on company boards has increased in absolute terms, even if the effect on top management appears far less significant since the percentage of female CEOs in companies, including financial and non-financial ones, has actually decreased. ...
This chapter aims to provide data on the representation of women in financial firms, especially banks, and the evolution of this over time, drawing on several studies conducted mainly by international and European organisations. A special focus is devoted to female board members with both executive and non-executive functions, chairwomen, and female CEOs. The general trend shows, on the one hand, an increase in the presence of women, particularly as non-executive board members, most likely due to pressures resulting from the introduction of gender quotas in many countries, and on the other hand, a low number of female CEOs and chairs. Moreover, the data show the persistence of a low number of women in revenue-generating roles (the so-called roles associated with “profit and loss responsibilities”). Despite the large differences in the data across countries, the Scandinavian countries seem to be the most oriented towards gender equality. Finally, attention is given to the “double glass ceiling” phenomenon. In this respect, studies show that despite the existence of a gender balance at entry levels, the relationship becomes increasingly imbalanced in middle management and especially in executive committee positions. The chapter analyses both the motivations behind this phenomenon and some supporting data.
Given recent emphasis on the role of company board composition in contributing to economic growth, financial stability, and sustainable development, we aim to explore how board diversity contributes to both financial, social, and environmental performance in the banking sector. We focus in particular on gender diversity, but we also consider nationality heterogeneity, age diversity, and the presence of independent directors as key drivers of performance. Previous studies have devoted limited attention to the banking industry and have mainly focused on the impact of gender on financial outcomes. The novelty of this study is that it considers several board features and assesses their impact on both financial performance and risk for banks. In addition, it explores whether gender diversity does play a role in moderating the relationship between environmental, social, and governance (ESG) performance and financial performance. By doing so, it contributes to existing literature that has not yet provided clear evidence of how ESG performance is associated with financial performance. Results indicate that the presence of female directors lead to more prudent (less hazardous) decisions but may reduce profitability (return on average assets (ROA) slows down). This negative impact on profitability is reversed when we consider ESG strategies: more gender heterogeneity provides a better guidance on decision-making related to environmental, social, and governance aspects which have a positive impact on ROA and risk. While ESG investments usually represent costs that lessen profitability, female-led ESG investments are able to sustain banks’ long-term competitiveness. Also, age diversity favors greater profitability and fewer risks, which confirms the higher capability of a diverse board to improve decision-making, monitoring, and performance. On the contrary, different nationalities have a negative impact on banks’ financial performance. This study offers interesting insights to regulators, policy makers, supervisory authorities, banks, and managers to achieve more sustainable and stable banking.
This research examines the phenomenon of interlocking directorates within Italy’s corporate governance landscape, particularly in terms of gender inclusion. Interlocking directorates occur when individuals serve on multiple boards of directors (BoD) simultaneously, a practice increasingly scrutinized under national regulations like gender quotas and the revised New Corporate Governance Code. The study aims to assess the impact of these directorates on corporate governance, with a specific focus on gender inclusion.
Utilizing a robust quantitative methodology, the research analyzes data from 100 Italian listed companies, comprised of 40 from the FTSE MIB and 60 from the FTSE MID CAP. Data from the companies’ 2022 official reports and websites provide detailed insights into BoD compositions, including variables such as gender, age, and personal background. Descriptive statistics, Z-tests, and chi-square tests are used to explore the prevalence of interlocking directorates and their correlation with gender disparities.
The results indicate a widespread, though statistically insignificant, presence of interlocking directorates, with a notable over-representation of female directors. This suggests potential gender-specific dynamics within Italy’s corporate governance, which could either imply that interlocking directorates are facilitating increased female representation on BoDs or highlight the limited breakthrough of women through the corporate “glass ceiling.”
The significance of this study lies in its contribution to the global discussion on gender equality in corporate governance. By investigating a relatively unexplored issue, this research not only enhances academic understanding but also has practical implications for policymakers and corporate leaders aiming to promote gender inclusivity in governance practices. The findings underscore the importance of exploring complex mechanisms like interlocking directorates to advance gender equity within the broader framework of corporate governance.
Licenza d'uso L'articoloè messo a disposizione dell'utente in licenza per uso esclusivamente privato e personale, senza scopo di lucro e senza fini direttamente o indirettamente commerciali. Salvo quanto espressamente previsto dalla licenza d'uso Rivisteweb,è fatto divieto di riprodurre, trasmettere, distribuire o altrimenti utilizzare l'articolo, per qualsiasi scopo o fine. Tutti i diritti sono riservati.
Purpose
Examining the role of women on board (WoB) toward corporate sustainable growth (CSG) through leverage policy (LP). This research also investigates the interaction effect of WoB and LP on improving CSG.
Design/methodology/approach
This study uses a moderated mediation model to examine the impact of WoB on CSG, mediated by LP. Data from 48 KEHATI IDX ESG Sector Leaders Index companies observed from 2015 to 2021 were analyzed using the structural equation model partial least square (SEM-PLS) Warp.PLS 8.0. The research applies instrumental variables (IV) to test and control endogeneity due to nonrandom sample selection.
Findings
We found evidence that LP acts as a full mediator between the presence of WoB and CSG. The presence of WoB plays a moderate role by slightly weakening the influence of LP on CSG. Furthermore, we obtained evidence showing that the relationship between WoB and CSG is J-curve-shaped, a nonlinear relationship related to critical mass. Where the WoB ratio is at least 8.35% or higher, it will increase CSG in companies that have implemented the concept of environment social governance (ESG) in Indonesia.
Originality/value
This model uses a moderated mediation model and J-curve analysis; there is an interaction between WoB and LP on different paths of the mediator to CSG. This model examines the role of WoB as a moderator of the effect of LP on CSG. A nonlinear J-curve test was conducted to determine the minimum level of WoB that can influence the increase of CSG.
Scholars are aware that the term “corporate governance” still lacks a clear and shared definition, despite being in use for over fifty years (Zattoni, 2020). In fact, various scholars have offered different definitions, considering both the range and diversity of stakeholders involved in governance and management, as well as the extensiveness and variety of corporate bodies responsible for the functioning of corporate governance (Zattoni, 2020; Mantovani et al., 2022).
The aim of this paper is to investigate if the presence of females in the boardrooms influences the probability of corporate default. Even if the gender issue gained a growing relevance in both practical and theoretical literature, women impact on companies’ results and organizations seems not yet clear.This paper provides a quantitative analysis, combining the use of the traditional Logit model with the application of the most recent approaches such as the Random Forest and the AdaBoost models, joint with the use of the SHAP technique. Our paper refers to a sample of non-listed Italian companies.Considering ambiguous and mixed results of prior literature, our research investigates the relation between females in the boardrooms and an unusual variable that is the probability of default. In the current scenario, where the gender issue is assuming a growing interest, the results of this analysis could add a piece to the still vague puzzle.Gender issue is a relevant topic in academic and practical communities as well as in decision and policy makers perspectives. Discovering the role of women in the likelihood of meeting a financial distress could allow to step forward for the sectorial research, expanding the edge of the debate and underling the relevance of the topic.KeywordsGenderGovernanceCrisisCorporate defaultDistressed companies
The chapter analyses gender diversity in Italian banks starting from the regulatory framework, first by looking at the Golfo-Mosca Law, which was reiterated with amendments by the 2020 Budget Law. Alongside these regulations, the chapter illustrates numerous additional initiatives, such as the establishment of an Observatory that studies and promotes gender equality by the Bank of Italy, together with the Department for Equal Opportunities of the Italian Presidency of the Council of Ministers and the Italian Companies and Exchange Commission (Commissione nazionale per le società e la Borsa, CONSOB). Another initiative is the charter by the Italian Banking Association inviting signatories to strengthen their governance following the principles of inclusiveness and equal opportunities. Not least, the proposal by the Bank of Italy, following its 2015 diversity benchmark, of introducing a gender quota in the administrative and control bodies of banks. The chapter ends with an analysis and commentary on the female presence and the gender pay gap in Italian banks (with a focus on listed banks) based on data extrapolated from corporate governance and remuneration policy reports.
This paper locates the reorganization of work relations in the apparel sector in Pakistan, after the end of the Multi-Fibre Arrangement quota regime, within the context of a global production network (GPN). We examine the role of a network of corporate, state, multilateral and civil society actors who serve as intermediaries in GPN governance. These intermediaries transmit and translate competitive pressures and invoke varied, sometimes contradictory, imaginaries in their efforts to realign and stabilize the GPN. We analyze the post-MFA restructuring of Pakistan's apparel sector, which dramatically increased price competition and precipitated a contested adjustment process among Pakistani and global actors with divergent priorities and resources. These intermediaries converged on a 'solution' that combined and enacted imaginaries of modernization, competitiveness, professional management and female empowerment, while also emphasizing low-costs and female docility. We highlight the intersection of economic, political, and cultural dynamics of GPNs, and illuminate the gendered dimensions of GPN restructuring. We theorize the role of these actors as a transnational managerial elite in GPN governance, who led a restructuring process that preserved the hegemonic stability of the GPN and protected the interests of Western branded apparel companies and consumers, but did not necessarily serve the interests of workers.
This paper investigates whether gender quotas have had success so far in their primary goal of reducing gender disparities in Italian corporate boards. Debate about gender equality on boards gained momentum and global prominence over the last years attracting attention of both researchers and practitioners worldwide. Despite a remarkable progress in education and their participation in the labor market, women still face large barriers to advance into upper management and boardrooms and gaps remain. Women are still under-represented in senior executive and board positions worldwide even if there is wide variation across countries. The present is a qualitative study that aims to contribute to the ongoing international debate about gender diversity on corporate boards (or lack thereof), providing current evidence from Italy, four years after the entry into force of Law 120/2011, establishing legislated quotas in order to ensure gender-balanced corporate boards. Using the samples of Italian listed companies and government-controlled companies tracked by Consob and Cerved respectively, findings show a substantial progress of female representation in Italian corporate boards (including governing and auditing boards) over the period 2008-2015 and reflect the extent to which women are shattering the glass ceiling, right before and after the implementation of the new (although controversial) gender quotas regulation. However, even though the number of women who sit on corporate boards has increased, it is necessary to ensure that the appointment of women is a board’s genuine intention to become gender diverse and more effectiveness rather than evidence of a result driven by tokenism, designed to enhance corporate reputation and image.
Purpose
– The purpose of this paper is to present a method for a structured literature review (SLR). An SLR is a method for examining a corpus of scholarly literature, to develop insights, critical reflections, future research paths and research questions. SLRs are common in scientific disciplines dominated by quantitative approaches, but they can be adapted in accounting studies since quantitative and qualitative approaches are commonly accepted.
Design/methodology/approach
– A literature review, as a piece of academic writing, must have a logical, planned structure. The authors also argue it requires tests based on qualitative and quantitative methods. Therefore, the authors describe ten steps for developing an SLR.
Findings
– The SLR method is a way that scholars can stand “on the shoulders of giants” and provide insightful and impactful research that is different to the traditional authorship approaches to literature reviews.
Research limitations/implications
– Traditional literature reviews can have varied results because of a lack of rigour. SLRs use a process that, through a set of rules, potentially offers less bias and more transparency of the execution and measures and techniques of validation and reliability.
Practical implications
– SLRs provide an approach that can help academics to discover under-investigated topics and methods, nurturing, therefore, the development of new knowledge areas and research approaches.
Originality/value
– The paper presents accounting researchers with an opportunity to develop insightful and publishable studies, and also serves as a basis for developing future research agendas in the accounting field. The authors advocate the SLR method especially to higher degree research students and emerging scholars as a way of potentially developing robust and defensible research agendas and questions.
Recent regulatory changes in Australia require listed companies to implement policies for increasing board diversity and to report thereon. In this paper we examine the association between gender diversity on corporate boards and the financial performance of a large sample of the top 500 listed companies in Australia during the period 2005–2011, addressing many of the methodological weaknesses in prior studies. Our descriptive statistics show that the proportion of female directors on boards increased markedly between 2010, when ASX amended principles came into effect, and 2011. The results also show that board diversity is positively associated with financial performance after controlling for a number of firm-specific, ownership and governance characteristics and potential endogeneity with the two-stage least square tests. Thus, we inform the policy debate by providing empirical evidence supporting the business case for board diversity.
Purpose
– The purpose of this paper is to explore how an environmental threat (possible quotas for female supervisory directors) might change supervisory board gender composition in SBF120 French company boards between 2008 and 2010.
Design/methodology/approach
– From a census of supervisory board membership of SBF120 companies in France in January 2008 and December 2010, data were obtained to test hypotheses relating to changes in gender composition of boards and demographic differences between new and earlier director appointees. The authors drew on institutional theory to inform the discussion of this paper’s findings.
Findings
– The authors reveal significant increases over 2008-2010 in SBF120 board female representation and significant cohort differences between recent and earlier appointees. Newer female appointees differed from male peers and from earlier appointed females and males, bringing youth and international experience. New females were more likely to gain CAC40 seats than their male peers. There was an increase in boards with multiple female directors.
Research limitations/implications
– Actual motivations for increase in female appointments are unknown, but institutional theory provides possible explanations, as suggestion of coercive forces loomed. Chairmen of larger firms may have made strategic choices to attract younger and English-speaking foreign women, before the rush. Limitations include the descriptive nature of the paper, but it sets a benchmark for later studies to monitor progress in depth.
Practical implications
– The talent pool for female directors has widened to include foreign English-speaking women, bringing a range of new insights and experience of international governance practice to traditional French boardrooms. However, this could be seen as further discriminatory practice that requires female appointees to bring more human and social capital than that required of their male peers.
Originality/value
– This is the first paper charting the changes in supervisory board composition during the three-year period of environmental unrest as quotas were proposed and legislated in France and comparing new and existing cohort French director demographics.
This study examines the relationship between managerial gender diversity (MGD) and firm performance. It outlines how extremely low and extremely high levels of MGD can trigger group processes that can impede the attainment of the performance benefits associated with moderate levels of MGD. Findings from longitudinal panel data from financial service firms in Portugal suggest that the effects of MGD on firm performance are best captured by a non-linear function with two breaking points. This study introduces a framework that combines different theoretical perspectives focused on tokenism, subgroup formation, divergent thinking, and other group processes linked to positive and negative gender-diversity consequences. Corresponding overall firm-performance outcomes are contingent upon the level of MGD.
Italy’s law 120/2011 established boardroom gender quotas. Since then, an important goal has been reached: listed and state-owned companies must fulfil a compulsory percentage of women in boards of directors and in statutory boards. European standards are even more favourable in that they predict that by 2020, women must constitute at least of 40% of board memberships. This paper illustrates effects and changes of the new law for Italian companies and analyses the cultural debate that has strongly enhanced the Italian scene. Various approaches, both traditional and ground-breaking, are analysed. The paper also describes the presence of women in the boardrooms in other European countries to support a comparative analysis.
This empirical study challenges the theory that a 'critical mass' of three or more women at the boardroom table is needed to make a difference. Performance ratings of Canadian publicly traded companies by the Globe and Mail show consistently higher corporate governance scores for companies with more women on their boards of directors. However, while companies that had three or more women on their boards had the highest scores, companies with only one woman on the board scored significantly higher than those with none. There was also no relationship between the number of women on boards of directors and Corporate Knights' social responsibility ratings on a national or global basis. The size of board and the type of industry are other important factors to consider when proposing quotas for female board members.
In this study, a sample of 257 Singaporean domiciled non-financial listed companies is investigated using a system generalised method of moments (system GMM) estimator. This approach allows for controlling the potential sources of endogeneity inherent in the performance–governance relationship. Our findings strongly support the proposition that the relationship between corporate governance structures and firm performance is dynamic by nature. Moreover, our results show that the internal corporate governance structures do matter in Singapore, where the market for corporate control is relatively poor. This study is novel as it is the first to explore the corporate governance–firm performance nexus using a dynamic approach for the Singapore market. This study significantly contributes to a better understanding of international diversity on corporate governance by providing further empirical evidence from an emerging market characterised by the best corporate governance practices in the Asia region.
Keywords: Corporate Governance; Endogeneity; Firm Performance; Panel Data; System GMM; Singapore.
JEL classification: C23, G30, G32, G34
The purpose of this paper is to review and critique the field of Intellectual Capital Accounting Research (ICAR). The literature indicates that an organisational and business revolution is in progress concerning the need to understand the value of knowledge resources and how to manage them. The paper explores the field of ICAR by examining a decade of published research since Petty and Guthrie's (2000) seminal paper on ICA, “Intellectual capital literature review: Measurement, reporting and management” as published in the Journal of Intellectual Capital.The paper has four specific contributions. The first contribution is to identify the field of scholarship associated with ICAR. The second is to provide a comprehensive picture of what has happened in the field of ICAR over the past decade. Third, it provides evidence as to how and why the field of ICAR is changing. Fourth, it highlights areas for future research and policy developments.From these four contributions our definition of Intellectual Capital Accounting (ICA) emerges. That is, ICA is an accounting, reporting and management technology of relevance to organisations to understand and manage knowledge resources. It can account and report on the size and development of knowledge resources such as employee competencies, customer relations, financial relationships and communication and information technologies. Additionally, the analysis highlights several interesting patterns and worrying trends in the field of ICAR.
Negotiating in a highly competitive environment may prove particularly challenging for women. We describe three experimental studies that investigated and documented differences in the competitive behaviors of men and women. The first study examined gender differences in competitive performances. In a setting in which men and women performed at similar levels in single-sex competitions, men were found to outperform women in mixed-sex competitions. The second study focused on the decision of men and women to enter a competition. In a mixed-sex setting in which we found no gender differences in performance, many more men than women chose a compensation scheme in which they had to compete against others. Finally, we report the results of a recent study that examined an institutional intervention that may encourage more women to compete. Specifically, we found that a quota-like affirmative action environment in which women must be equally represented encourages many more women to compete. This response was greater than one would predict based solely on the increase in one's chances of winning and can be partially explained by the fact that the affirmative action competition was more gender specific.
This paper aims to identify the main issues and drivers of sustainable corporate governance to prevent corruption, analysing the interaction between the principal governance body–Board of Directors–and the implementation and application of corruption prevention plans by pointing out exploratory evidence from the company sample. This paper is built upon two steps. First, the content analysis research method is applied, selecting a sample of Italian companies and analysing information from the corruption prevention plans to establish the role of the Board of Directors in the management of company's system. Second, the level of the implication of Board of Directors in drafting through the identification of the Global Indicator is investigated, measuring the degree of the Board of Directors’ involvement and making use of the content analysis's results. Additionally, a linear regression between the Global Indicator, companies dimensional indicator and performance indicators is carried out with the aim to define variables affecting this process. The paper proposes exploratory evidence which shows a deep understanding of the governance body in the construction and application of the corporate corruption prevention plans, taking into consideration crucial information from: the anti-corruption national legislation (Law 190/2012), risk management and organization model (Legislative Decree 231/2001), corporate sustainability and compliance programs adopted by companies. The originality of the findings derives from the need to establish an integrated sustainable corporate governance model directed at preventing corruption. Thus, this paper proposes not only the analysis of the Italian companies’ compliance sustainable models to prevent corruption in their corporate governance but shows the path for future research on the topic.
Purpose
Despite gender parity in the general working population, the higher up one looks in ranks within the firm the fewer women one finds. This under-representation of women in top positions at firms is purportedly even more acute in Latin America and the Caribbean (LAC). LAC is a large and increasingly important region of the world where women are well-represented in the work force and are comparatively better educated than men. Documenting if this resource is utilized at full potential is therefore of crucial importance. Yet, no systematic study exists which is able to document the level and impact of female representation at the executive level in the region. We plan to fill this gap with our paper.
Design/methodology/approach
We collect an original database of publicly listed companies to determine prevailing gender ratios among board members and executives in Latin America and the Caribbean region (LAC). We then estimate whether companies with women board members are more likely to appoint women executives. Finally, we estimate whether measures of female leadership at the firm are correlated with company performance.
Findings
1) We find that women are as under-represented in LAC as in the U.S. but much less so in the Caribbean. 2) We find that companies with women board members are more likely to appoint women executives in LAC. 3) We find that measures of female leadership at the firm are correlated with company performance but only regarding board membership and only when the proportion of women on the board is greater than 30\%. Again composition effects are important. Overall, we conclude that the LAC region exhibits empirical regularities about under-represenation of women in leadership positions at the firm that are very similar to those found for high-income countries in Europe and North America.
Originality/value
We are the first and so far unique systematic study exists able to document the level and impact of female representation at the executive level in the region.
We experimentally test for spillover effects of gender quotas on subsequent unrelated, unethical behavior. We find that introducing quotas has no systematic effect on unethical behavior for both genders. High performing, competitive females are more likely to display unethical behavior than their male counterparts.
Affirmative action policies became a popular tool to equalize gender imbalances on the labor market. In this paper, we experimentally investigate whether the implementation of gender quotas in tournaments entail negative spillover effects on subsequent team performance and selection into teams. In three different team environments, we find that the presence of a gender quota does not harm performance and cooperation within teams, and does not weaken people’s willingness to work in teams. Our results, thus, provide further evidence that gender quotas can have the desired effect of promoting women without harming efficiency. We further find that while women significantly base their decision to work in teams on their ability as well as the specific team environment, men are largely insensitive to these factors.
This research agenda outlines possible routes to pursue an explanation of vertical gender segregation. The analysis emphasizes the expanding opportunities brought about by a combination of Big Data and public policies, like gender quotas, and uncovers important challenges for which possible solutions are offered. Experimental work is likely to remain very useful in the pursuit of answers to this asymmetric gender presence.
The quota rule in employment is a legal tool to promote gender equality in professions and
positions where women are underrepresented. An accompanying assumption is that gender
diversity positively affects one of the aspects of team performance in form of group cooperation.
However, it is unclear whether this positive effect can be achieved if diversity increases due to a
quota rule. In two fully incentivized experiments involving a real-effort task (N1 = 188 and N2 =
268), we examined the impact of quotas as compared to performance-based promotion on group
cooperation. We thereby categorized participants either with regard to gender or to an artificial
category that was randomly assigned. Cooperation within groups declined when promotion was
based on quota compared to performance-based promotion, irrespective of the categorization
criterion. Further analyses revealed that this negative effect of quota rules on cooperation is not
driven by procedural fairness perceptions or expectations about performance of the promoted
group member. Implications of the results for the implementation of equality and diversity
initiatives are discussed.
This paper uses data from artefactual field experiments and surveys conducted in 61 villages in India to examine whether men and women respond differently to women as leaders. We investigate the extent to which behavior towards female leaders is influenced by experience with women in leadership positions. We find evidence of significant male backlash against female leaders, which can be attributed to the transgression of social norms and in particular, a violation of male identity, when women are assigned to positions of leadership through gender based quotas. Increased exposure to female leaders reduces the extent of bias.
In India, since 1992, quotas for women in local councils are a key policy mechanism to secure gender equality in political participation and foster rural development. Affirmative action measures were expected to particularly enhance women's agency regarding decisions on decentralized service delivery. However, to date, this potentially transformative reform to the local government system has produced mixed results. This study updates identity economics with intersectional and institutional theories to shed light on the agency of elected women representatives (EWRs) in different federal states of India. The findings show that institutions, including social norms, entail specific identity costs that reinforce stereotyped accounts on women's political agency. Additional policy measures are required to address the incurred costs and render quotas for women effective. The analysis illustrates that an identity economics perspective, grounded in feminist thought, can yield valuable insights for investigating women's agency and for designing gender-sensitive policies.
Using data from a survey of 200 Moroccan and Algerian parliamentarians, this article assesses the relationship between parliamentarian gender, quotas, and constituency service provision to females. The findings suggest that while electing women increases service provision to females, quotas are needed to create mandates in clientelistic, patriarchal settings, where serving women is a less effective electoral strategy than serving men. Deputies elected through quotas are more responsive to women than members of either sex elected without quotas. The article extends a theory of homosocial capital to explain gender gaps in parliamentarians' supply of and citizens' demand for services. By demonstrating a novel mandate effect and framing mandates in a positive light, the article extends the literature on gender, representation, and clientelism; urges scholars to examine service representation; and supports quotas to promote women's access to services, political participation, and electability.
We study the willingness to compete of 588 children and teenagers aged ten to seventeen. We replicate the gender difference in tournament entry choices usually found in the literature for adults. We then show that policy interventions like quotas and preferential treatment help to close down the gender gap without leading to losses in efficiency, during or after a tournament. Given that differences in competitive behavior are prevalent from an early age, the application of interventions to promote females in competitions may be desirable already at early ages to promote equal chances for women on labor markets later on.
Despite the growing public concern in recent years about the place of women in business, gender diversity in corporate governance has made little progress. As a consequence, the issue has captured the worldwide attention of policymakers. Several countries are currently adopting or considering the adoption of laws or regulations to promote gender diversity on corporate boards. The purpose of this paper is to compare the effectiveness of using legislative or regulatory means to increase female representation instead of allowing firms to voluntarily fix their own non-legally binding targets. We find that the relation between gender diversity and performance is positive in countries using the voluntary approach while it is negative in countries using the regulatory approach. We conclude that public policy aimed at increasing the number of women on corporate boards should be introduced gradually and voluntarily rather than quickly and coercively to avoid sub-optimal board composition.
Purpose
– Even though personal values are considered an important variable in consumer studies, rarely has it been related to customer loyalty, especially in the banking context and considering the different loyalty phases. Hence, the purpose of this paper is to investigate the influence of personal values on loyalty phases in the private banking industry, taking into account the moderating influence of demographic variables.
Design/methodology/approach
– After developing a theoretical framework based on the relevant literature, a research model is proposed and empirically tested with data from a survey with 891 bank customers from Brazil. Hypotheses of moderation were tested using structural equation modelling technique.
Findings
– Results suggested that customers that place more importance on growth and achievement as personal values are less loyal to their bank, considering all four stages of loyalty. Moreover, this effect was more pronounced for female, older and high-income consumers, supporting the moderating effect of these demographic variables.
Research limitations/implications
– One of the limitations was that the sample was not probabilistic. To compensate this issue, the authors have used the approach of splitting the sample and use one for calibration and other for estimation. Another limitation was the small subgroups of high and low education, which might be responsible for the nonsignificant finding, due to low statistical power in the z -test. Future studies should consider using quota samples in order to have sample size greater than 150 cases in each category of variables such as age, education and income.
Practical implications
– This study emphasizes the relevance of personal values, especially the dimensions of growth/achievement and security/social affiliation, and demographic variables when considering customers’ loyalty in the private banking industry. Managers should give different treatment for customers in distinct loyalty stages and with different demographics, thus increasing the customer orientation and segmentation efficacy.
Originality/value
– The study tests a theoretical model that analyses the influence of two dimensions of personal values on loyalty, with originality on the loyalty phases (from cognitive to action) and the contingent effect of demographic variables, such as gender, age, education and income. Moreover, the model is tested in a sample of private banking customers from an emerging market, i.e., Brazil.
This article discusses the introduction of women's quotas in the Austrian confederation OGB and the German union ver.di, drawing on interviews with union officials, documentary analysis and statistical data. In both cases, quotas increased women's representation as lay delegates and full-time officials, and also affected union identity and image, equality bargaining and political activity. Overall, women's quotas in unions had a positive effect both on women's representation and on organizational outcomes, indicating that more generally, changes in union governance can contribute to revitalization.
Most studies that examine tourism impacts and community attitudes have been carried out from the perspective of the tourism sector as a whole, with very few papers focusing on specific types of tourism and/or analysing tourists' preferences for specific types of tourism segment. This paper discusses some pertinent issues in relation to cruise tourism development and community attitudes in a port of call cruise destination located in the island of Sicily (Southern Italy). Specifically, this study was carried out using a quota random sample of 1500 responses, which is representative of the population of Messina at 1% level. Findings show that residents express an overall positive attitude towards cruise tourism development even if it is not the most preferred when compared to other types of tourism (cultural tourism, sport tourism, and sun and sea tourism). Further, they highlight that significant differences based on socio-economic and demographic characteristics (age, gender, reliance on cruise-related employment, level of education, geographical proximity to tourist areas and port, length of residency and frequency of interaction with tourists) exist in residents' perceptions and attitudes towards cruise tourism development. Implications for policy-makers are discussed and suggestions for further research are given.
This paper aims to analyse the development process of innovative start-ups with special attention to the equity crowdfunding regulations. The main objective of this analysis is to interpret the effects of equity crowdfunding on the development mechanism of innovative start-ups and compared with other methods of existing loans (for example, the American JOBS Act and the venture capital regulation). The research uses a qualitative method with an exploratory approach. The differential finding of the contribution summarises the main similarities and differences of the financial instruments available to innovative start-ups, highlighting in the new regulation on equity crowdfunding a sustainable financial instrument, capable of reducing the effects of the problem of informative asymmetries.
The inconsistent findings of past board diversity research demand a test of competing linear and curvilinear diversity–performance predictions. This research focuses on board age and gender diversity, and presents a positive linear prediction based on resource dependence theory, a negative linear prediction based on social identity theory, and an inverted U-shaped curvilinear prediction based on the integration of resource dependence theory with social identity theory. The predictions were tested using archival data on 288 large organizations listed on the Australian Securities Exchange, with a 1-year time lag between diversity (age and gender) and performance (employee productivity and return on assets). The results indicate a positive linear relationship between gender diversity and employee productivity, a negative linear relationship between age diversity and return on assets, and an inverted U-shaped curvilinear relationship between age diversity and return on assets. The findings provide additional evidence on the business case for board gender diversity and refine the business case for board age diversity.
There is growing regulatory pressure on firms worldwide to address the under-representation of women in senior positions. Regulators have taken a variety of approaches to the issue. We investigate a jurisdiction that has issued recommendations and disclosure requirements, rather than implementing quotas. Much of the rhetoric surrounding gender diversity centres on whether diversity has a financial impact. In this paper we take an aggregate (market-level) approach and compare the performance of portfolios of firms with gender diverse boards to those without. We also investigate whether having multiple women on the board is linked to performance, and if there is a within-industry effect. Overall, we do not find evidence of an association between diversity and performance. We find some weak evidence of a negative correlation between having multiple women on the board and performance, but that in some industries diversity is positively correlated with performance.
This article discusses the measurement and evaluation of board performance and how this is evolving in different organizations. The article finishes by describing one approach to board performance evaluation being pioneered in the United Kingdom.
Purpose
– The purpose of this research is to show how the variety of ways of performing through knowledge and intangible resources exploitation raises the question of how these kind of resources can be coherently and successfully declined into companies' processes and operations, what are the “right”, or appropriate approaches to manage intellectual capital (IC), and how these approaches can disentangle the mechanisms by which those resources contribute to improve companies' organizational performance. In this introduction to the special issue some conceptual interpretations are developed to investigate IC‐based approaches, methods, tools and factors of companies' performance improvement.
Design/methodology/approach
– The approaches, evidences and insights discussed in this introduction are largely based on the discussion of the topics of the conference “International Forum on Knowledge Assets Dynamics” organized in June 2007 in Matera, Italy. At this conference, leading experts discussed the importance of IC for organizational performance improvement, the IC key‐value drivers of the performance management and measurement, and theoretical concepts of, and practical approaches towards, a high‐performing IC management.
Findings
– The outcomes of this introduction and of all the contributions to the special issue reflect the current discussion about better operationalization of IC management constructs. This discussion is largely focused on the importance of space for IC management activities, on the main knowledge assets that drive companies' processes improvement, the diversity of the relative relevance of each knowledge asset and the necessity for strategic and managerial decision‐makers to learn to apply general approaches, methodologies and instruments in specific companies. In this context, managing IC was mostly dealt with as a means to reach performance targets.
Originality/value
– This introduction as well as all the contributions to the special issue deal with different aspects, which are important in the discussion of needs for a better understanding of the relationships between IC management and companies' performance improvement as well as the approaches, tools, methods and techniques to better disentangle the mechanisms by which knowledge assets, separately or interdependently, contribute to improve companies' organizational performance.
This paper critically examines the Irish Government’s commitment to “Delivering better government”, in the context of achieving gender equality. The strategic management initiative (SMI) seeks highest quality of service delivery to customers in a modern flexible and professional manner. This necessitates the fullest development of human resources. To achieve this end a study was undertaken to investigate gender imbalance at managerial grades. The report highlighted continuing gender imbalance at all grades and a prevailing culture that is less than conducive to women and many men. The authors called for a new strategic approach to gender equality in which specific targets are set over a specific time frame. The Irish Civil Service is now faced with a combined need to address a new equality agenda in order to deliver its strategic vision of quality in serving the public, thereby underpinning the need to pursue quality, equality and diversity as core values in a fast-growing Irish economy.
Discusses corporate governance, which is increasingly being seen as the hallmark of a well run company, and how this should be demonstrated. Questions how governance should be measured and communicated. Concludes that performance measures need to be supplemented by contextual information on the business and its situation, and that measures should be unique to the organization and its competitive strategy.
Purpose
The overall purpose of the paper is to understand the barriers to women's progression to senior positions in universities. It aims to explore similarities and differences between the career experiences and leadership styles of men and women in middle‐ and senior‐level positions at one university. The ultimate aim is to identify interventions to help create a more equal gender balance at senior levels.
Design/methodology/approach
A mixed methods approach was adopted. In‐depth interviews were conducted with a quota sample of 53 men and women in order to explore their lived career experiences. In addition, 50 questionnaires were received from the same sample in order to compare factual data about the participants' life histories and biographical circumstances.
Findings
The findings show that women's human capital and career progression to date are at least equal to those of men and that this has been achieved without women sacrificing a holistic family life. They also show that there are still some important differences between men and women in the way they plan and manage their careers and the leadership style that they adopt.
Practical implications
A five‐level framework is proposed which sets down the types of intervention that are required to create a more equal gender balance in senior positions. It is argued that this should be used to shape the gender equality schemes developed in universities under the Gender Equality Duty.
Originality/value
The paper provides new evidence about the residual differences between men's and women's career experiences, even in an employment context, which is particularly supportive of women. It also makes a significant contribution to the debate about the gendered nature of leadership.
In this article we present a comparative study of media texts in Sweden and Finland, two societies traditionally viewed as Nordic welfare states. Focusing on the controversial question of introducing gender-based quotas on the boards of companies, we analyse how representations of gender and management are affected in Sweden and Finland by contemporary market discourse. We argue that market discourse takes different forms in the two societal contexts and that the space for questioning and criticizing it from a gender equality perspective remains different. Our analysis thus complements recent contributions stressing that both societal particularities and transnational processes must be considered in studies of gender and management (Calás and Smircich, 2006).
Because the system of "purdah" has translated into extreme occupational segregation, a disproportionately large share of Pakistan's female labour force is employed in stitching/sewing made-ups and garments for export. But since January 2005, when the ATC terminated the decades-old quota regime that regulated international trade in textiles and clothing, the industry has been restructuring to cope with the consequences of increased competition on the newly liberalized global market. Siegmann argues that Pakistan's competitive position is likely to suffer most in the made-ups/garments segment of the market. If so, women could eventually suffer disproportionate job losses with scant prospects for alternative employment.
This article reports on a research investigation into gender and local government in Mumbai in India and London in England. In both these cities female representation at the political level stands at around one third, achieved in London slowly in recent years and in Mumbai more rapidly through the adoption of a quota, or seat reservation system, implemented in 1992. In considering the experience of the women concerned it is argued that their presence and aspirations have been influenced through the networks of their respective women's movements, operating through civil society and the local state. In considering the ways in which they organize and manage the duties of office and their gendered identities, as well as in their focus on the most disadvantaged in their communities and in their dealings with others, the part played by social movements in influencing change is examined.
We show that female directors have a significant impact on board inputs and firm outcomes. In a sample of US firms, we find that female directors have better attendance records than male directors, male directors have fewer attendance problems the more gender-diverse the board is, and women are more likely to join monitoring committees. These results suggest that gender-diverse boards allocate more effort to monitoring. Accordingly, we find that chief executive officer turnover is more sensitive to stock performance and directors receive more equity-based compensation in firms with more gender-diverse boards. However, the average effect of gender diversity on firm performance is negative. This negative effect is driven by companies with fewer takeover defenses. Our results suggest that mandating gender quotas for directors can reduce firm value for well-governed firms.
For the first time in history, women have the opportunity to play a major and visible role in a social transformation of potentially monumental proportions. The extensive reach and penetration of information technology into virtually every area of society creates enormous opportunities for women. But women's lack of representation in IT design roles may prevent them from capitalizing on these opportunities. Most current discussion and analysis focuses on the increasing numbers of women as users of information technology with great emphasis on their use of the Internet and World Wide Web. Comparatively little attention has been given to the potential role women might play as designers in an information-based society.
In this paper, we analyze the effect of gender quotas on women's involvement in political activity by using a rich data set providing information on all Italian local administrators who were elected from 1985 to 2007. Gender quotas were introduced by law in Italy in 1993 and were in force until 1995. Because of the short period covered by the reform, some municipalities never voted under the gender quota regime. This allows us to identify a treatment and a control group and to estimate the effects of gender quotas by using a difference-in-differences estimation strategy. Our estimates show that women's representation in politics after the reform increased significantly more in municipalities that were affected by the reform than in municipalities that were not affected. This result also holds true if we exclude from our analysis elections which took place during the period in which the reform was in force. Moreover, the higher women's representation in “gender quota municipalities” is not related to the advantages that women who were elected during the reform have obtained from incumbency and does not seem to be driven by differences in temporal trends between Southern and Northern regions. These findings suggest that affirmative actions can be of use in breaking down stereotypes against women.
We address the issue of the relationship between couples’ parental leave practices and their workplace situation. This analysis is based on information from Norwegian administrative registers on around 200 000 couples, covering a period of almost 10 years. The most common practice among couples is that a father makes use of his exclusive right to father’s leave and the mother uses all common leave. There are few obstacles in fathers’ workplaces limiting father’s leave, except in workplaces where there are high costs involved. Parental leave practices involving couples sharing part of their common leave are associated both with mothers’ workplaces, with higher costs of absence, and fathers’ workplaces, with lower costs of absence.
Powerful women: does exposure reduce bias?
Quotas for women can improve recruitment procedures: gender as a predictor of the frequency of use of passive job search behavior and the mediating roles of management aspirations, proactivity, and career level
Women with disabilities inclusion, forgetting and vindication in an organizational setting, equality