CSR Research: Responsible Corporate Leadership

RESEARCH BRIEF - Researchers sought to determine if companies are more likely to increase their gender diversity when they are subject to greater scrutiny—and whether those efforts met or exceeded the efforts of their peers.

RESEARCH BRIEF - Those companies that set corporate citizenship targets in executive compensation should evaluate and, if necessary, revise said targets to ensure that they are measurable, as only the use of quantitative corporate citizenship targets in executive compensation leads to stronger corporate citizenship performance.

RESEARCH BRIEF - Firms working to improve their environmental sustainability should encourage leaders to rely on data and engage with professional networks.

RESEARCH BRIEF - Gender diversity on boards can have a positive impact on financial performance, especially when women directors serve on major board committees, such as audit and compensation.

RESEARCH BRIEF - Women’s presence on corporate boards is associated with enhanced community engagement, stronger governance, and more sustainable environmental practices—this is especially true of boards with three or more women.

RESEARCH BRIEF - Firm financial performance is stronger when employees perceive top managers to be trustworthy and ethical.

RESEARCH BRIEF - The adoption of corporate citizenship-based incentives for executives result in an increase in firm value and green innovation, improvement in social and environmental performance, and a decrease in emissions.

RESEARCH BRIEF - Supervisors’ actions influence their subordinates’ ethical behaviors when subordinates believe their supervisor is willing to both talk the talk and walk the walk.

RESEARCH BRIEF - Companies facing external pressure to increase board gender diversity are more likely to increase the number of women directors.

RESEARCH BRIEF - Increasing high-powered female representation at the executive level can reduce a firm’s exposure to legal risk by up to 20 percent in the following year.

RESEARCH BRIEF - Environmental, health, and safety (EHS) breaches are more common when a firm is under-or over-performing financially.

RESEARCH BRIEF - CEOs, top management teams, board-nominating committees appointed by the board chair, and other “gatekeepers” of corporate leadership have a significant role to play in increasing gender diversity on boards of directors.