Board Structure as an Antecedent to Effective Board Leadership, Board Responsibility, and Sound Board-Management Relationship
Year: 2024
Type: article
Study design: Observational Study
Abstract: This study examines the influence of board structure both on board responsibilities andboard-management relations in the context of the Ethiopian banking sector. It also attemptsto add to the existing empirical evidence by analyzing the relationship between boardstructure and board leadership and determining whether board leadership mediates therelationship between board structure and board responsibilities, as well as between theboards and the top management team. The researchers used 106 sampled respondents fromthe boards of directors and CEOs of both private and public banks for the study. The studyused the partial least square (PLS) structural equation modeling technique of data analysis.The test results showed that the board structure is a good predictor of board responsibility,board-management relationships, and board leadership. Furthermore, the findings revealedthe direct and significant influence of board leadership on board responsibility and boardmanagement relationships. The test also demonstrated the mediating role of the boardleadership between the board structure and both board responsibilities and the boardmanagement relationship. The model, analysis, and findings will shed light on the empiricalresults and could be mainly useful in assessing corporate governance in the context ofemerging economies.
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W7217474516