Economics at your fingertips  

The determinants of board meetings: evidence from categorical analysis

Basil Al-Najjar

Journal of Applied Accounting Research, 2012, vol. 13, issue 2, 178-190

Abstract: Purpose - The purpose of this paper is to investigate the determinants of the frequency of board meetings as an index for board activity including their monitoring role. Design/methodology/approach - The research sample is composed of 120 UK firms based on their market capitalization for the period from 2003 to 2008. The study applies multinomial logistic modelling and conditional logistic modelling to investigate the frequency of board meetings. Findings - The study finds that board size and structure are positively related to the frequency of board meetings. In addition, a negative impact of audit committee diligence on the frequency board meetings is reported. The study finds no evidence that the frequency of board meetings are reduced when there is a CEO duality. Finally, the results show that firm size, leverage, free cash flows, and Tobin's Practical implications - This study shows the factors that affect the board effectiveness in the UK, namely that board meetings, board composition, and board size, are key indicators for good internal governance practices and, in turn, enhance board monitoring activities. Originality/value - The research offers the first major study to examine the determinants of the frequency of board meetings in UK non-financial firms. The paucity of the UK literature regarding board effectiveness in the UK reinforces the empirical importance of the results for researchers, managers, and UK policy makers.

Keywords: Board meetings; Board structure; Internal governance; Corporate governance; United Kingdom (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link) ... RePEc&WT.mc_id=RePEc (text/html)
Access to full text is restricted to subscribers

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:

Ordering information: This journal article can be ordered from
Emerald Group Publishing, Howard House, Wagon Lane, Bingley, BD16 1WA, UK
http://emeraldgroupp ... journals.htm?id=jaar

Access Statistics for this article

Journal of Applied Accounting Research is currently edited by Julia Mundy

More articles in Journal of Applied Accounting Research from Emerald Group Publishing
Bibliographic data for series maintained by Virginia Chapman ().

Page updated 2020-07-21
Handle: RePEc:eme:jaarpp:v:13:y:2012:i:2:p:178-190