The impact of board composition on ESG performance: Comparing results from symmetrical and asymmetrical approaches

Author:

Pinheiro Alan Bandeira12ORCID,Behm Ana Julia Batistella3ORCID,do Prado Nágela Bianca4ORCID,Mazzioni Sady5ORCID

Affiliation:

1. Postgraduate Program in Administration Federal University of Parana Curitiba Brazil

2. Doctoral School NEOMA Business School Mont‐Saint‐Aignan France

3. Accounting Department Community University of Chapecó Region – Unochapecó Liberato Salzano Brazil

4. School of Applied Sciences University of Campinas Campinas Brazil

5. Accounting Department Community University of Chapecó Region – Unochapecó Chapecó Brazil

Abstract

AbstractThe research aims to examine the impact of board composition on the ESG performance of Latin American companies. 390 companies located in Argentina, Brazil, Chile, Colombia, Mexico, and Peru, between 2016 and 2021, were analyzed. The board size, gender diversity, independence of the members and the duality of the executive director and chairman of the board were used as characteristics of the board of directors. Through symmetrical (panel data regression) and asymmetrical (fuzzy set qualitative comparative analysis) approaches, the findings showed that larger, more diverse and more independent boards contribute positively to higher ESG performance. The presence of duality in the position of executive director and chairman of the board of directors was not a relevant driver, both for ESG performance and for its dimensions in isolation. This study has important theoretical, managerial and governmental implications.

Funder

Instituto Nacional de Ciência e Tecnologia da Criosfera

Publisher

Wiley

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