Title: BOARD DIVERSITY, BOARD STRUCTURE AND BANKING PERFORMANCE IN FIVE ASEAN COUNTRIES

Author: MOHAMAD RIZALDY

Item Type : Thesis (Thesis)

Affiliations: Master of Management Science Study Program, Faculty of Economics and Business, Universitas Airlangga , Surabaya, Indonesia

Publisher: Universitas Airlangga

 

Abstract

The bank board has an important role in bank governance, and the role of the bank board becomes even more important when other interested parties such as shareholders and creditors experience difficulties in monitoring banking governance practices. Researchers and academics have not clearly demonstrated the relationship between board diversity and the effectiveness of board performance, especially in the banking industry. This research also examines the impact of board diversity and board structure as company characteristics as control variables in the analysis model on bank performance. The objects used in this research were commercial banks in five countries in the Southeast Asia region, namely the Philippines, Thailand, Singapore, Malaysia and Indonesia for the period 2004 to 2017. The number of samples in the research period was 46 banks and produced 415 observations. The results of the regression test of board diversity and board structure on bank performance show that the variables gender diversity, nationality diversity and independent board have a significant positive effect on the performance of commercial banks in five ASEAN countries. This shows that the existence of female boards and foreign boards provides development of experience in managing bank management. Apart from that, the existence of an independent board carries out supervision/supervision to ensure the performance of board members is in accordance with the strategic plan.

Keywords: board diversity, board structure, bank performance

 

Sources: http://repository.unair.ac.id/76823/