IDEAS home Printed from https://ideas.repec.org/a/ibn/ijbmjn/v15y2021i5p26.html
   My bibliography  Save this article

Corporate Governance Variables and Integrated Reporting

Author

Listed:
  • Arcangelo Marrone

Abstract

Integrated reporting (IR) represents the last frontier of corporate disclosure. Its purpose is to provide information on an organization's strategy and its business model, performance and governance, offering a clear overview of the organization's capacity to create value. From an academic point of view, the focus on integrated reporting has grown significantly in recent years. However, an aspect still little explored is represented by the level of compliance of the integrated reports with the IIRC requirements. Among the few studies on the issue of the level of alignment of integrated reports with the IIRC framework, only two focused on identifying the determinants. This work aims to bridge this gap through the analysis of the effect of three characteristics of the board (size, average age, gender diversity) and one of the CEO (duality) on the level of compliance of integrated reports with the IIRC framework. The results show a significant and positive effect of board size and board gender diversity on the level of alignment of integrated reports with the IIRC framework. They also show a significant and negative effect of the CEO duality and a not significant effect of the board average age.

Suggested Citation

  • Arcangelo Marrone, 2021. "Corporate Governance Variables and Integrated Reporting," International Journal of Business and Management, Canadian Center of Science and Education, vol. 15(5), pages 1-26, July.
    • Handle: RePEc:ibn:ijbmjn:v:15:y:2021:i:5:p:26
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ijbm/article/download/0/0/42495/44351
    Download Restriction: no
    File URL: http://www.ccsenet.org/journal/index.php/ijbm/article/view/0/42495
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Merve Kılıç & Cemil Kuzey, 2018. "Determinants of forward-looking disclosures in integrated reporting," Managerial Auditing Journal, Emerald Group Publishing Limited, vol. 33(1), pages 115-144, January.
    2. Bin Srinidhi & Ferdinand A. Gul & Judy Tsui, 2011. "Female Directors and Earnings Quality," Contemporary Accounting Research, John Wiley & Sons, vol. 28(5), pages 1610-1644, December.
    3. John A. Pearce & Shaker A. Zahra, 1992. "Board Composition From A Strategic Contingency Perspective," Journal of Management Studies, Wiley Blackwell, vol. 29(4), pages 411-438, July.
    4. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    5. Ruth Hidalgo & Emma García-Meca & Isabel Martínez, 2011. "Corporate Governance and Intellectual Capital Disclosure," Journal of Business Ethics, Springer, vol. 100(3), pages 483-495, May.
    6. Walid Ben‐Amar & Philip McIlkenny, 2015. "Board Effectiveness and the Voluntary Disclosure of Climate Change Information," Business Strategy and the Environment, Wiley Blackwell, vol. 24(8), pages 704-719, December.
    7. Abdifatah Ahmed Haji & Mutalib Anifowose, 2016. "Audit committee and integrated reporting practice: does internal assurance matter?," Managerial Auditing Journal, Emerald Group Publishing, vol. 31(8/9), pages 915-948, September.
    8. Renée B. Adams & Heitor Almeida & Daniel Ferreira, 2005. "Powerful CEOs and Their Impact on Corporate Performance," The Review of Financial Studies, Society for Financial Studies, vol. 18(4), pages 1403-1432.
    9. Christopher S. Tuggle & David G. Sirmon & Christopher R. Reutzel & Leonard Bierman, 2010. "Commanding board of director attention: investigating how organizational performance and CEO duality affect board members' attention to monitoring," Strategic Management Journal, Wiley Blackwell, vol. 31(9), pages 946-968, September.
    10. Barth, Mary E. & Cahan, Steven F. & Chen, Li & Venter, Elmar R., 2017. "The Economic Consequences Associated with Integrated Report Quality: Capital Market and Real Effects," Research Papers 3546, Stanford University, Graduate School of Business.
    11. Adams, Renée B. & Ferreira, Daniel, 2009. "Women in the boardroom and their impact on governance and performance," Journal of Financial Economics, Elsevier, vol. 94(2), pages 291-309, November.
    12. R.M. Haniffa & T. E. Cooke, 2002. "Culture, Corporate Governance and Disclosure in Malaysian Corporations," Abacus, Accounting Foundation, University of Sydney, vol. 38(3), pages 317-349, October.
    13. Eva Parum, 2005. "Does Disclosure on Corporate Governance Lead to Openness and Transparency in How Companies are Managed?," Corporate Governance: An International Review, Wiley Blackwell, vol. 13(5), pages 702-709, September.
    14. Raimo, Nicola & Zito, Marianna & Caragnano, Alessandra, 2019. "Does national culture affect integrated reporting quality? A focus on GLOBE dimensions," EconStor Conference Papers 199012, ZBW - Leibniz Information Centre for Economics.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Filippo Vitolla & Nicola Raimo & Michele Rubino, 2020. "Board characteristics and integrated reporting quality: an agency theory perspective," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(2), pages 1152-1163, March.
    2. Simona Alfiero & Massimo Cane & Ruggiero Doronzo & Alfredo Esposito, 2018. "Determining characteristics of boards adopting Integrated Reporting," FINANCIAL REPORTING, FrancoAngeli Editore, vol. 2018(2), pages 37-71.
    3. Mohammad Jizi, 2017. "The Influence of Board Composition on Sustainable Development Disclosure," Business Strategy and the Environment, Wiley Blackwell, vol. 26(5), pages 640-655, July.
    4. Hidaya Lawati & Khaled Hussainey & Roza Sagitova, 2021. "Disclosure quality vis-à-vis disclosure quantity: Does audit committee matter in Omani financial institutions?," Review of Quantitative Finance and Accounting, Springer, vol. 57(2), pages 557-594, August.
    5. Lucrezia Songini & Anna Pistoni & Patrizia Tettamanzi & Fabrizio Fratini & Valentina Minutiello, 2022. "Integrated reporting quality and BoD characteristics: an empirical analysis," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 26(2), pages 579-620, June.
    6. Halil Emre Akbaş & Seda Canikli, 2018. "Determinants of Voluntary Greenhouse Gas Emission Disclosure: An Empirical Investigation on Turkish Firms," Sustainability, MDPI, vol. 11(1), pages 1-24, December.
    7. Ahmadi, Ali & Nakaa, Nejia & Bouri, Abdelfettah, 2018. "Chief Executive Officer attributes, board structures, gender diversity and firm performance among French CAC 40 listed firms," Research in International Business and Finance, Elsevier, vol. 44(C), pages 218-226.
    8. María Consuelo Pucheta-Martínez & Isabel Gallego-Álvarez, 2020. "Do board characteristics drive firm performance? An international perspective," Review of Managerial Science, Springer, vol. 14(6), pages 1251-1297, December.
    9. Filippo Vitolla & Nicola Raimo & Michele Rubino & Antonello Garzoni, 2019. "How pressure from stakeholders affects integrated reporting quality," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(6), pages 1591-1606, November.
    10. Hooghiemstra, Reggy & Hermes, Niels & Oxelheim, Lars & Randøy, Trond, 2019. "Strangers on the board: The impact of board internationalization on earnings management of Nordic firms," International Business Review, Elsevier, vol. 28(1), pages 119-134.
    11. Nicola Raimo & Filippo Vitolla & Arcangelo Marrone & Michele Rubino, 2021. "Do audit committee attributes influence integrated reporting quality? An agency theory viewpoint," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 522-534, January.
    12. Filippo Vitolla & Nicola Raimo & Arcangelo Marrone & Michele Rubino, 2020. "The role of board of directors in intellectual capital disclosure after the advent of integrated reporting," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(5), pages 2188-2200, September.
    13. Laura Cabeza-García & Esther B. Brío & Carlos Rueda, 2021. "The moderating effect of innovation on the gender and performance relationship in the outset of the gender revolution," Review of Managerial Science, Springer, vol. 15(3), pages 755-778, April.
    14. Muhammad Kaleem Khan & R. M. Ammar Zahid & Adil Saleem & Judit Sági, 2021. "Board Composition and Social & Environmental Accountability: A Dynamic Model Analysis of Chinese Firms," Sustainability, MDPI, vol. 13(19), pages 1-18, September.
    15. Elena Merino & Montserrat Manzaneque & Yolanda Ramírez, 2019. "Value-added distribution to stakeholder of Spanish listed companies: a corporate governance perspective," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 23(3), pages 577-604, September.
    16. Francisco Bravo, 2018. "Does board diversity matter in the disclosure process? An analysis of the association between diversity and the disclosure of information on risks," International Journal of Disclosure and Governance, Palgrave Macmillan, vol. 15(2), pages 104-114, May.
    17. Fan, Yaoyao & Jiang, Yuxiang & Zhang, Xuezhi & Zhou, Yue, 2019. "Women on boards and bank earnings management: From zero to hero," Journal of Banking & Finance, Elsevier, vol. 107(C), pages 1-1.
    18. Farzan Yahya & Ghulam Abbas & Ammar Ahmed & Muhammad Sadiq Hashmi, 2020. "Restrictive and Supportive Mechanisms for Female Directors’ Risk-Averse Behavior: Evidence From South Asian Health Care Industry," SAGE Open, , vol. 10(4), pages 21582440209, October.
    19. Mather, Paul & Ranasinghe, Dinithi & Unda, Luisa A., 2021. "Are gender diverse boards more cautious? The impact of board gender diversity on sentiment in earnings press releases," Journal of Contemporary Accounting and Economics, Elsevier, vol. 17(3).
    20. Patrick Velte, 2022. "Archival research on integrated reporting: a systematic review of main drivers and the impact of integrated reporting on firm value," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 26(3), pages 997-1061, September.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ijbmjn:v:15:y:2021:i:5:p:26. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.