Busy Board, Attendance of Board Meetings and Firm Performance

• Main Authors: Hsiang-Yu Tsai, 蔡祥鈺
• Other Authors: Jei-Fang Lew
• Format: Others
• Language: zh-TW
• Published: 2015
• Online Access: http://ndltd.ncl.edu.tw/handle/2zh8c9

碩士 === 國立高雄應用科技大學 === 會計系 === 103 === The observation of each corporate Board of Director member showed that some supervisors also serve as director and supervisor in more than one companies; many people worry poor performance would exist in the play of the Board of Director due to diversified part-time duties that these directors and supervisors have to bear which increased degree of busy life. Therefore, this study had a discussion on the oversight capacity of the Board of Directors. For purposes of examining this part, this study adopted attendance in the Board of Directors Meeting as proxy variables of oversight capability. In addition, directors’ attendance in the meeting also may affect the company's performance. If so, when attendance is caused by degree of busy, thereby affecting the company's performance, there will be endogenous problems, thereby affecting judgment of correlation; therefore, this study had further discussion on endogenous relationship between attendance in the Board of Directors and company's performance. The empirical results showed that when a director/supervisor had too many part-time duties as directors and supervisors in other companies, it would distract time and effort, thereby failing to have an active participation in the decision-making process in the Board of Directors Meeting. In addition, the empirical results from two stage least squares method (2SLS) which discussed correlation between attendance and company performance showed that there was positive relationship in between after considering the impact the degree of busy participation in the Board of Directors Meeting on the attendance.