Editorial: Corporate board structure, strategy and performance in uncertain times

Corporate managers make choices that seek to improve the performance of their organisation. These decisions involve interpreting and framing the environment, developing and implementing programmes and services, and creating processes and structures to monitor and control resources for optimal impact (Brown & Iverson, 2004). Improved performance results for organisations that systematically addressed these challenges (Miles, Snow, Mathews, Miles, & Coleman, 1997). Board performs a critical function to monitor environmental trends that might affect organisational performance. A misinterpretation of the environment could result in errant policies and programmes. Consequently, boards must have mechanisms in place to ensure understanding of critical environmental trends (Brown & Iverson, 2004). The spread of environmental awareness is guided by the strategic purpose of the organisation, consequently, the structures in place should reflect those purposes. The literature suggests that the composition of the board will be contingent upon the characteristics of the firm's external environment, the demands of its strategy, the salient contextual factors, and the past financial performance of the company (Pfeffer & Salancik, 1978). Although research in corporate governance argues that the board of directors' composition and leadership structure can influence a variety of organisational outcomes (Dalton, Daily, Ellstrand, & Johnson, 1998), the academic literature is yet to provide specific guidance on the superiority of specific board composition and leadership structure. These issues are addressed in the collection of high-quality papers in this issue of Corporate Board: Role, Duties and Composition.