RT Article
T1 Do Board Expertise and Networked Boards Affect Environmental Performance?
JF Journal of business ethics
VO 158
IS 1
SP 269
OP 292
A1 Homroy, Swarnodeep
A1 Slechten, Aurelie
A2 Slechten, Aurelie
LA English
YR 2019
UL https://ixtheo.de/Record/1785594567
AB We examine the resource provision role of the board of directors in ensuring substantive corporate sustainability practices. Specifically, we examine two channels of resource provision (i.e., the presence of non-executive directors with previous experience in environmental issues—EEDs—and network connections of EEDs) that can affect a firm’s ethical and environmental behavior. Using greenhouse gas (GHG) emissions data from FTSE 350 firms, as a measure of environmental performance, we show that the presence of EEDs on the board is associated with lower GHG emissions. Further, firms with better-networked EEDs have better environmental performance. A possible mechanism is that firms with EEDs invest more in environmental technology. These results suggest that, in addition to the traditional role of shareholder value maximization, the board of directors also caters to the interests of wider stakeholders of the firm by facilitating substantive ethical practices.
K1 Q50
K1 L25
K1 L14
K1 G39
K1 G34
K1 Environmental Performance
K1 Emissions
K1 Director networks
K1 Director expertise
DO 10.1007/s10551-017-3769-y