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Accountability Of Corporate Boards In Finland

Author

Listed:
  • Aila VIRTANEN

    (University of Jyväskylä, School of Business and Economics, University of Jyväskylä, FINLAND)

  • Tuomo TAKALA

    (University of Jyväskylä, School of Business and Economics, University of Jyväskylä,
    University of Jyväskylä, School of Business and Economics, University of Jyväskylä, FINLAND)

Abstract

This paper focuses on accountability and reporting from a corporate governance (CG) perspective. Drawing on a theoretical framework, empirical analysis was conducted on a dataset collected using a questionnaire implemented with a sample of board members of Finnish listed companies. We had two study questions. 1) To whom are the board members accountable? and 2) What information is required to deliver adequate reporting to meet accountability requirements? The findings show that board members are accountable to shareholders and stakeholders, and their accountability encompasses responsibilities to society and the environment. They see that current financial reporting does not provide sufficient information on ethical, environmental and societal issues. Focusing on board accountability, the study provides empirical evidence to support the concept of accountability and explains the relationship between accountability and reporting in the Finnish context.

Suggested Citation

  • Aila VIRTANEN & Tuomo TAKALA, 2016. "Accountability Of Corporate Boards In Finland," Management Research and Practice, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 8(1), pages 5-24, March.
    • Handle: RePEc:rom:mrpase:v:8:y:2016:i:1:p:5-24
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    References listed on IDEAS

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