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Board Structure and Firm Performance: Evidence from Australia

Published online by Cambridge University Press:  18 September 2015

Ingrid Bonn*
Affiliation:
Graduate School of Management, Griffith University, PMB 50 Gold Coast Mail Centre, Queensland, 9726, Australia Phone: +61 755528346, Email: I.Bonn@griffith.edu.au

Abstract

The influence of corporate governance on firm performance has been discussed for a number of years, but mainly in a United States and European business context. This article investigates the composition of boards of directors in large Australian firms and analyses whether board structure has an impact on performance, as measured by return on equity and market-to-book value ratio. The results showed that outsider ratio and female director ratio were positively associated with firm performance, whereas board size and directors' age had no influence on firm performance.

Type
Research Article
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2004

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