The Effects of Executives’ Agility Decision-Making in COVID-19 Pandemic Period on Companies’ Performance

Adel Necib

International Journal of Finance, Insurance and Risk Management, 2023, vol. 13, issue 2, 42-64

Abstract: Purpose: The main objective of this article is to study the effect of the aglity decision-making of managers on performance of the company during the COVID-19 pandemic period. Design/Methodology/Approach: The empirical tests were carried out on panel data of companies belonging to the FTSE 100 (15 institutions for 9 years means 15*9=135 observations). In order to address this research problem, we formulated a set of hypotheses regarding the influence of compensation, board size, the presence of women board independence and agility in decision making on performance. Findings: The results of the empirical tests indicate that the size of compensation has a positive effect on performance. Conversely, the empirical tests show that board size and dual function have a positive effect on performance and dual function had negative effects on performance. Finally, the results relating to agiity in decision-making variable shows a positive effects (0.056) and is significant at the 1% level (t-student= 0.000) for the ROE and ROA model. Practical Implications: The board of directors becomes responsible for controlling the way in which the management manages the activities of the company. However, in a context where the stakes are so high, the board of directors must follow more closely the important decisions taken by the management, to remain in regular contact with the latter and to ensure that a process is been followed for making important decisions, even in an emergency situation like the pandemic crisis. Originality/value: The contribution of the article lies in its originality. Thus, the article has methodological limitations. We have analysed the performance through descriptive statistics and graphical analysis. While, we can apply other measures of performance such as Alpha coefficient. This study opens up other research perspectives for researchers interested in this topic, in particular the application of the aforementioned performance measurement ratios as well as the analysis of performance in post-crisis periods.

Keywords: Agility Decision-making; Performance; Compensation; Board of Directors; Duality; Gender; COVID-19; ROA; ROE. (search for similar items in EconPapers)
JEL-codes: G0 G01 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://journalfirm.com/journal/355/download (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ers:ijfirm:v:13:y:2023:i:2:p:42-64

Access Statistics for this article

More articles in International Journal of Finance, Insurance and Risk Management from International Journal of Finance, Insurance and Risk Management
Bibliographic data for series maintained by Marios Agiomavritis ().