Gender and corporate governance: analyzing sexism, board dynamics, and firm performance in Indonesia

This study analyzes gender-related board dynamics, seeking to understand the impact of sexism and the presence of female directors. The research domain includes female directors of public listed companies in Indonesia. This research triangulates data using two research methods. The quantitative method’s purpose is to test the association between the frequency of sexism, the perception of board dynamics, and the moderating effect of critical mass. Variables are measured using 5-point Likert scale questionnaire results from 46 respondents. Next, the qualitative method is performed via structured interviews with eight interviewees to understand the sexism experiences of female directors in their daily work activities, their perceptions of board dynamics, and their contributions to firm performance. The results of this study show a negative relationship between the frequency of sexism and the perception of board dynamics. They also reveal a strong moderating effect of the critical mass. Moreover, the qualitative results reveal that female directors often experience sexism in daily life. Interviewees see female directors as holding the roles of mediators and unique experts contributing to the firm’s nonfinancial performance.