Effects of women on corporate boards: An integrative review from a political capital perspective

Abstract

This research synthesizes the literature that investigated the influence of WOCB on various firm outcomes. We organize our review around the meaning of WOCB, the sources of WOCB influence, the outcomes of WOCB impact, and contextual factors. In general, 503 articles with 558 predominantly panel studies show that the relationships of WOCB to various outcomes (particularly corporate social responsibility, firm transparency and gender equity) are beneficial but varied. Integrating prior views, we provide a framework leveraging political capital and board capital perspectives. The framework centers focus on the power and influence of WOCB, and distinguishes the sources of power from the exercise of power, board functions from organizational outcomes, and capital valuation contingencies from incentives to engage in board roles. Studies measuring political capital, which we identify as sources of WOCB’s influence, document the beneficial associations of a critical mass of 30–33% women, assigning women to board committees and women’s enhanced power resulting from multiple directorships and knowledge capital. Studies examining contextual factors show that societal gender equity, the presence of women in top management, and WOCB’s independence strengthen WOCB’s correlations with beneficial outcomes. These features facilitate interpretation of the mixed findings, identify limitations, and suggest directions for future research.