The Role of Board Environmental Committees in Corporate Environmental Performance

Heather R. Dixon-Fowler, Alan E. Ellstrand, Jonathan L. Johnson

Journal of Business Ethics · 2017 · Volume 140 · Issue 3

Abstract

This study explores the relationship between board environmental committees and corporate environmental performance (CEP). We propose that board environmental committees will be positively associated with CEP. Moreover, we argue that the composition of the committee (i.e., stakeholder representation) as well as the presence of a sustainability manager will influence this relationship. Our results find support for a positive association between board environmental committees and CEP. Further, the presence of a senior-level environmental manager positively moderates this relationship, but is not effective in isolation. Unexpectedly, no support was found for the influences of stakeholder representation.

Keywords

Corporate environmental performance, Environmental governance, Board committees, Sustainability manager

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