Book chapter
Survey of boards’ monitoring and advisory roles
Handbook of Corporate Finance, pp 456-478
06 Feb 2024
Abstract
In this paper, we survey the literature on corporate boards, with a specific focus on its primary functions of monitoring and advising the CEO. In particular, we consider how board structure and the individual directors’ characteristics, skill sets, connections, busyness, and incentives affect the board’s ability and willingness to perform these dual roles effectively. We also review how endogeneity between board structure and firm outcomes has been addressed in the literature. While the literature on boards is vast, we pay more attention to studies that have emerged subsequent to Adams, Hermalin, and Weisbach (2010). We conclude with suggestions for future research.
Metrics
13 Record Views
Details
- Title
- Survey of boards’ monitoring and advisory roles
- Creators
- Jeffrey L. Coles - Arizona State UniversityNaveen D. Daniel - Drexel University, FinanceLalitha Naveen - Temple University
- Publication Details
- Handbook of Corporate Finance, pp 456-478
- Series
- Research Handbooks in Money and Finance series
- Publisher
- Edward Elgar Publishing; Cheltenham, UK
- Number of pages
- 23
- Resource Type
- Book chapter
- Language
- English
- Academic Unit
- Finance
- Other Identifier
- 991021906510304721