“…This would mean making most of the capabilities and, in the best case, the experience of its members ( Ingley and Van der Walt, 2001 ; Kim et al, 2009 ). If the board does not lead strategically or does not have the necessary capabilities and experiences for such shocks, compose the team differently, since this is key for the success of the organizations ( Åberg and Shen, 2019 ; Van der Walt et al, 2006 ). Fig.…”
Section: Theories Of Long-term Planning In Times Of Environmental Uncmentioning
This article gives guidance to aviation managers being struck by environmental shocks. The introduced frameworks support aviation managers to think strategically during times of shocks and help them to prepare for future shocks by developing more resilient and learning organizations. Practical, short-term recommendations include strategically orienting or reorienting and not exaggerating the current, short-term developments due to unproductive uncertainty. Further, and to prepare for future shocks, the results of this study suggest that aviation managers should develop a common strategy language, introduce uncertainty as a standard factor for long-term planning, manage uncertainty proactively and make long-term plans accordingly by fostering a dialogue with various stake- and shareholders, being aware of the strategy tools in use, making the board a co-creating team and introducing a three-step process in sensing, seizing and transforming the organization accordingly.
“…This would mean making most of the capabilities and, in the best case, the experience of its members ( Ingley and Van der Walt, 2001 ; Kim et al, 2009 ). If the board does not lead strategically or does not have the necessary capabilities and experiences for such shocks, compose the team differently, since this is key for the success of the organizations ( Åberg and Shen, 2019 ; Van der Walt et al, 2006 ). Fig.…”
Section: Theories Of Long-term Planning In Times Of Environmental Uncmentioning
This article gives guidance to aviation managers being struck by environmental shocks. The introduced frameworks support aviation managers to think strategically during times of shocks and help them to prepare for future shocks by developing more resilient and learning organizations. Practical, short-term recommendations include strategically orienting or reorienting and not exaggerating the current, short-term developments due to unproductive uncertainty. Further, and to prepare for future shocks, the results of this study suggest that aviation managers should develop a common strategy language, introduce uncertainty as a standard factor for long-term planning, manage uncertainty proactively and make long-term plans accordingly by fostering a dialogue with various stake- and shareholders, being aware of the strategy tools in use, making the board a co-creating team and introducing a three-step process in sensing, seizing and transforming the organization accordingly.
“…Studies have found a positive relationship between the involvement of independent board chairs and firm performance because of the human capital, resources, and contacts that they bring to their companies from their networks (Åberg & Shen, 2020; Bjørnåli & Gulbrandsen, 2010; De Maere, Jorissen, & Uhlaner, 2014; Feng & Johansson, 2019; Krause et al, 2016; Withers & Fitza, 2017). Exceptional chairs demonstrate a high level of commitment, proactiveness, great listening, and conflict management skills while inspiring and influencing stakeholders at large (Harrison & Murray, 2012).…”
Research Question/Issue: The role of the board chair has become increasingly complex in recent decades. Research on corporate governance has called for and has initiated the pursuit of more research for the purpose of creating a better understanding of the role of board chairs. We reviewed 234 academic articles published in 66 journals, structured the existing research according to an Input-Process-Outcome-Contexts framework, and provided a future research agenda for studies on the role of the board chair. Research Findings/Insights: Our review reveals that the number of published studies on the position of the board chair has grown over the last two decades. Although extant research is dominated by quantitative studies exploring the impact of the board chair position on financial performance, frequently drawing on agency and stewardship theory, recent work has moved beyond this focus and has added valuable insights. The Input-Process-Outcome-Contexts framework used to structure the extant research reveals that future research should pursue topics related to all components of the framework and that opportunities exist to draw from a broader set of theories. Theoretical/Academic Implications: Based on the framework, we formulate seven specific research topics that can add valuable insights into the role of the board chair and suggest theories that can help inform research pursuing these topics. Taken together, these topics have the potential to create valuable insights into how board chairs are appointed, develop competencies, and interact and work with the CEO, the top management team, the board, and other stakeholders while acknowledging the influence of contextual factors, such as ownership, diversity, the firm's development stage, and external events and trends. Practitioner/Policy Implications: Our review shows a growing global movement toward prescribing more corporate governance regulations and separating the positions of the board chair and the CEO. We show that many aspects need to be considered when choosing a governance configuration and when appointing a board chair because this role is becoming increasingly demanding.
“…From the business point of view, operating success requires good leadership in corporate governance from the Chairman promotes best practices in the business systems and operations with the support of the CEO. The good leadership from the Chairman shall emphasize in high corporate governance standards that help in the enhancement of operating performance for the stakeholders' benefits and survival of the firms (Åberg & Shen, 2020;Amran et al, 2014). To achieve the operating performance goal, the CEO is urged to provide support for the Chairman in discharging his or her duties in managing the operating performance.…”
This study investigates the relationship between the Chairman's characteristics (age, title, tenure, and ownership) and the firm's operating performance (measured by profitability and liquidity), and whether the Chief Executive Officer's (CEO) effectiveness (a combination of non-duality, age, and tenure) strengthens or impairs this relationship. Based on a total sample of 267 observations, we use Ordinary Least Squares (OLS) regression to investigate the hypotheses established for the top 89 non-financial firms listed on the Malaysian Main Market during 2017 to 2019. The findings show that Chairman age is positively and significantly associated with the firm's profitability but not with liquidity. Conversely, Chairman ownership is positively and significantly associated with liquidity but not with profitability. These findings suggest that the age and ownership of the Chairman may significantly boost operating performance. However, Chairman tenure is negatively and significantly associated with operating performance (profitability and liquidity), suggesting that long-tenured Chairmen are associated with poor ABOUT THE AUTHOR
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