Size of the Board

The corporate governance is a popular topic within two last decade, and the emerging economies are practicing &enhancing their performances. The review is conducted to assess the effectiveness of the corporate governance implications on firm's performances. The study followed the deductive approach and the journal articles, and the reports have used the source of the review. As per the literature findings, the researcher developed a conceptual design for the case review. The independent variable is the corporate governance mechanism, and the dependent variable is organizations performances. Both independent and dependent variables comprise the different type of corporate governance practice and the different function of the organizational performances. The review found that all the types of corporate governance practices are influenced to the organizational performance and the better corporate governance mechanism can enhance all type of performances.

The purpose of this article is to find the link between board
independence, board size and BPD (regional development bank)
performance for describing the corporate governance in regional
development bank. The sample of firms consists all 26’s BPD in
Indonesia in the period 2010-2014; we take secondary data from
the annual report of each BPD, total 203 top executives who are
members of the boards of all BPD in Indonesia. The results are the
influence of the board independence and board size on the BPD
performance. The sample employed all the members of the boards
of BPD in Indonesia giving us a confidence in generalization our
findings. The statistical method used to test the hypotheses is OLS
regression. This method was applied to measure the relationship
between board independence, board size and BPD performance.
The results suggested that there is a positive relationship between
board independence, board size and BPD performance.

'Global Corporate Governance Forum’, defined Corporate Governance as: "Corporate Governance is concerned with holding the balance between economic and social goals and between individual and communal goals. The corporate governance framework is there to encourage the efficient use of resources and equally to require accountability for the stewardship of those resources. The aim is to align as nearly as possible the interests of individuals, corporations and society" (Cadbury, 2000).  On the other hand, corporate governance act as an instrument to support management's to achieve its desired goals with the stakeholder value especially in increase financial performance. The Asian financial crisis in 1997 and the well-publicized corporate scandals such as Enron, Worldcom and Parmalat have highlighted the importance of good corporate governance practices for the long-term survival of companies. The accountability and transparency component of corporate governance would help companies gain shareholders’ and investors’ trust. The stakeholders need assurance that the company will be run both honestly and effectively. This is where corporate governance is critical, because it can improve stakeholders’ confidence and sustainability of business in the long run.
Moreover, effective corporate governance reduces “control rights” shareholders and creditors bestow on managers, in increasing the probability of the firm, and managers are expected to invest in a positive project which will assure the investors safety of their investment. In fact better-governed firms have better operating performance. Corporate governance (CG) is a way in which suppliers of finance to corporations assure themselves of getting a return on their investment. Irrespective of the particular definition, the importance of corporate governance arises in a firm because of the separation between those who control and those who own the residual claims.
One of the important corporate governance mechanisms is the Board of Directors of a company and their relationships with the shareholders of the company and other stakeholder groups. Typically full time executive directors have acquired substantial powers in respect of the affairs of the company they are paid to run on behalf of the shareholders. However, executive directors have not always had the best interests of the shareholders in mind when performing their executive duties and this has led to attempts to make directors more accountable for their policies and activities. Non-executive directors have an important role to play in this respect.

This study empirically examines the effect of corporate board structure on foreign share ownership in Gulf Cooperation Council (GCC) countries. Specifically, it examines the effect of the financial expertise of the board of directors, board size, board independence and board meeting on foreign share ownership. The analysis is spanned the period of 2012-2015 for 142 non-financial listed companies on the GCC stock markets. The results demonstrate that foreign share ownership is positively related to the financial expertise of the board of directors, board size and board independence. The implication of this study may help users in making better public policy decisions, and provide guidance for corporate managers on the needs of foreign investors.

The purpose of this article is to find the link between board independence, board size and BPD (regional development bank) performance for describing the corporate governance in regional development bank. The sample of firms consists all 26’s BPD in Indonesia in the period 2010-2014; we take secondary data from the annual report of each BPD, total 203 top executives who are members of the boards of all BPD in Indonesia. The results are the influence of the board independence and board size on the BPD performance. The sample employed all the members of the boards of BPD in Indonesia giving us a confidence in generalization our findings. The statistical method used to test the hypotheses is OLS regression. This method was applied to measure the relationship between board independence, board size and BPD performance. The results suggested that there is a positive relationship between board independence, board size and BPD performance.

Earning manipulation has been a normal transaction among the global businesses, in which business organization sees it as beneficial, thereby turning black eyes to its negative impact on the general economy. This study aimed at examining the impact of board size, Board composition and dividend policy on real earnings management in the listed Jordanian industries. 8 years data (2010 to 2018) was extracted from the audited financial reports of the selected firms. Data was analyzed using Structural Model via AMOS version 26 and SPSS version 21. The findings revealed a positive and significant effect between board size, board composition and real earning management at p-value<0.05 and 0.001 (two-tailed) respectively. While negative of dividend policy on REM was recorded at p-value>0.05 (two-tailed). This study has immensely contributed towards bridging the gap in the existing knowledge as it documented a new finding. The benefits of these findings cross over the managers, shareholders, board of directors, investors, the Jordanian government and all other relevant institute for the buildup of the healthiest industrial sector and better economy.

Government Linked-Companies (GLCs) and their performance are an important phenomenon in the corporate world. This study is specially designed to examine the impact of gearing and boardsize on shareholder value of GLCs. A sample of 30 GLCs is selected across the 40 GLCs listed on Bursa Malaysia using judgmental sampling method. Financial data of 10 years of the selected companies are gathered from EXODOS. This study incorporates descriptive statistics and hierarchical regression analysis. The results indicate that gearing has a negative impact on shareholder value, whereas, boardsize positively impacts shareholder value.

The study examines board size and corporate performance of quoted companies in Nigeria. The objectives of the study are to examine the relationship between board size and total asset of quoted Nigerian banks; to examine the relationship between board size and total revenue of quoted Nigerian banks; to examine the relationship between board size and net profit of quoted Nigerian banks. The study adopted panel research design and census survey approach. The population of this research consists of 21 commercial banks in Nigeria. Data were collected from secondary sources that is audited financial statements. The findings of the study showed that there is a negative relationship between board size and total assets; there is a positive relationship between board size and gross revenue; there is a positive relationship between board size and Net profit. From the above findings, the study concluded that there is a relationship exist between board size and corporate performance of quoted Ni...

The study examines board size and corporate performance of quoted companies in Nigeria. The objectives of the study are to examine the relationship between board size and total asset of quoted Nigerian banks; to examine the relationship between board size and total revenue of quoted Nigerian banks; to examine the relationship between board size and net profit of quoted Nigerian banks. The study adopted panel research design and census survey approach. The population of this research consists of 21 commercial banks in Nigeria. Data were collected from secondary sources that is audited financial statements. The findings of the study showed that there is a negative relationship between board size and total assets; there is a positive relationship between board size and gross revenue; there is a positive relationship between board size and Net profit. From the above findings, the study concluded that there is a relationship exist between board size and corporate performance of quoted Ni...

This study was designed to determine if the size and composition of the boards of directors is related to aftermarket performance of initial public offering firms (IPOs) in industries in the early stages of their life cycle.  The importance of studying firm performance during the founding period has been emphasized in past research, but actual investigation has been rare.  In addition, research on IPOs and the biotechnology industry (the focus of this study) in the literature of strategic management has been sparse. 

Based upon resource dependency theory, this study investigated factors associated with the size and composition of the board of directors at the time of the IPO and their effect on subsequent aftermarket performance.  Specifically, this dissertation investigated the relationship between the effect of the size of the board, its expertise (e.g., finance and science), and the percentage of outside directors at the time of the IPO on the subsequent market valuation of these firms.  The study examined 80 public biotech companies from the years 1980-1987.                 

The results of the study supported resource dependency theory by finding significant relationships between the size and composition of the board and aftermarket IPO performance of the biotech firms.  Specifically, biotech firms which had a larger number of outside directors with financially related backgrounds had significantly better aftermarket IPO performance.  Also, firms which had a larger percentage of outside directors had significantly better aftermarket IPO performance.  Results also showed a negative significant relationship between the size of the board and aftermarket IPO performance. 

In addition, no significant relationships were found between aftermarket IPO performance and (1) the number of outside directors who were university scientists, and (2) the interaction between the number of outside directors with financially related backgrounds and outsiders who were university scientists.  Finally, positive significant relationships were found between organizational size and initial offering size with aftermarket IPO performance.