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Board Leadership and Strategy Involvement in Small Firms: A Team Production Approach
University of Wolverhampton.
BI Norwegian School of Management.
Bocconi University.
Jönköping University, Jönköping International Business School, JIBS, ESOL (Entrepreneurship, Strategy, Organization, Leadership). Jönköping University, Jönköping International Business School, JIBS, Center for Family Enterprise and Ownership.
2011 (English)In: Corporate governance: An International Review, ISSN 0964-8410, E-ISSN 1467-8683, Vol. 19, no 4, 368-383 p.Article in journal (Refereed) Published
Abstract [en]

Research Question/Issue: Boards' involvement in strategy is generally seen to be an indicator of board effectiveness, but less is known about the relationship between board leadership and strategy involvement, especially in small firms. This study analyzes board leadership from a team production perspective as an antecedent to board strategy involvement in small firms.

Research Findings/Insights: Using survey data from 140 small firms in Norway collected in two different time periods, we demonstrate that leadership behaviors and processes have a greater impact on boards' strategy involvement than structural leadership characteristics alone.

Theoretical/Academic Implications: The study provides empirical support for a team production perspective on boards. Our data show that (1) board members' knowledge, board development, and board chairperson leadership efficacy positively influence boards' strategy involvement, and (2) chairperson leadership efficacy enhances boards' strategy involvement under structural conditions of combined CEO/chairperson leadership and changes in board composition. These findings expand the traditional understanding of structural leadership conditions.

Practitioner/Policy Implications: The study offers insights to small business owners and managers on how to improve the strategy involvement of boards. For policy makers, the study has implications for the content of codes of good governance practice relevant to small firms, specifically in relation to board development initiatives and board evaluations.

Place, publisher, year, edition, pages
2011. Vol. 19, no 4, 368-383 p.
National Category
Social Sciences
Identifiers
URN: urn:nbn:se:hj:diva-15716DOI: 10.1111/j.1467-8683.2011.00852.xOAI: oai:DiVA.org:hj-15716DiVA: diva2:431808
Available from: 2011-07-25 Created: 2011-07-25 Last updated: 2012-01-16Bibliographically approved

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CiteExportLink to record
Permanent link

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Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
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  • asciidoc
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