This thesis explores whether female CEOs are better in crisis-related resilience measures in comparison to male CEOs. The research question is twofold: One part focuses on stability which is measuring the ability to absorb adverse events, the other part considers flexibility which captures the ability to bounce back from such events. Both hypotheses are developed via Social Role Theory and the communal behavior which females are considered to show more in comparison to males, given this theory. Empirically, the hypotheses are evaluated with a sample of S&P 1500 US companies within the first three years after the financial crisis in 2008. For stability, 1,152 companies were used, and an OLS regression suggests that female CEOs have a negative effect on stability. For flexibility, female CEOs show no significant difference within all the 952 firms of the considered subsample when applying a logit regression.
Overall, existing research provides incomplete and inconclusive results on the roles of She’-EOs (female CEOs) vs. male CEOs in creating resilience after crises. Thus, in this Master Thesis, I address the following two research questions: Do firms managed by She’-EOs (vs. male CEOs) have more stability for resilience against crises (i.e. operationalized as a lower drop in ROA after crisis) Do firms managed by She’-EOs (vs. male CEOs) have more flexibility for resilience against crises (i.e., operationalized as an earlier recovery of ROA after crisis)?
Table of Contents
1 Introduction
2 Theoretical and Conceptual Foundation of CEOs, Gender, Crisis and Resilience
2.1 The Role of CEOs through Upper Echelons Theory
2.2 Gender and Social Role Theory
2.3 Crisis, Crisis Management and Resilience
2.3.1 Crisis and Crisis Management
2.3.2 Resilience
2.3.2.1 Predictors of Resilience via Stability
2.3.2.2 Predictors of Resilience via Flexibility
2.3.3 Female Leaders in Crisis and Resilience
3 The Effects of She’-EOs on Resilience against a Crisis
3.1 Hypothesis 1: The Effect of She’-EOs on Stability
3.2 Hypothesis 2: The Effect of She’-EOs on Flexibility
4 Context, Sample and Methodology
4.1 Context – The Financial Crisis 2008
4.2 Data and Sample
4.3 Measures
4.3.1 Main Variables
4.3.2 Control Variables
4.4 Empirical Strategy
5 Results
5.1 Data Preparation
5.2 Hypothesis 1: The Effect of She’-EOs on Stability
5.3 Hypothesis 2: The Effect of She’-EOs on Flexibility
6 Discussion
6.1 Summary of Main Findings
6.2 Theoretical Implications
6.3 Managerial Implications
6.4 Limitations and Directions for Future Research
7 Conclusion
Research Objectives and Focus Areas
This thesis examines whether female CEOs (She’-EOs) exhibit superior crisis-related resilience compared to their male counterparts, focusing on two dimensions: stability (the ability to absorb adverse events) and flexibility (the ability to recover quickly). The research investigates these differences through the lens of Social Role Theory and Upper Echelons Theory, utilizing empirical data from US companies following the 2008 financial crisis.
- Analysis of CEO gender effects on organizational stability and flexibility.
- Application of Social Role Theory to explain communal vs. agentic leadership behaviors in crisis contexts.
- Empirical evaluation using an S&P 1500 sample during the 2008 financial crisis.
- Assessment of organizational resilience through OLS and logit regression models.
- Practical implications for CEO selection and board composition strategies.
Book Excerpt
She’-EOs and Stability
Summing up, women have a positive impact on the two predictors above through showing their nurturant and communal behavior, which is aiming at being with people and positive relations. With their kind and affectionate behavior, they build up a more positive atmosphere in their companies characterized by trust. Further, they communicate more openly to their employees and with their behaviors seeking to soothe feelings and be helpful and kind, in comparison to male CEOs, they better convey the crisis meaning and calm down their employees. Hence, I propose:
Hypothesis 1: Firms managed by She’-EOs (vs. male CEOs) have more stability for resilience against crises and thus see a less severe and hence smaller drop in ROA.
Summary of Chapters
1 Introduction: This chapter highlights the increasing frequency of crises and introduces the core concepts of organizational resilience (stability and flexibility), setting the stage for investigating the role of leadership gender.
2 Theoretical and Conceptual Foundation of CEOs, Gender, Crisis and Resilience: This chapter establishes the theoretical framework by discussing Upper Echelons Theory and Social Role Theory, and defines key crisis management and resilience concepts.
3 The Effects of She’-EOs on Resilience against a Crisis: This chapter develops the study's primary hypotheses, arguing that communal leadership traits influence organizational stability and flexibility in distinct ways.
4 Context, Sample and Methodology: This chapter details the empirical approach, utilizing the 2008 financial crisis as a setting, and explains the data sample, variable operationalization, and statistical methods (OLS and logistic regression).
5 Results: This chapter presents the empirical findings regarding the impact of female CEOs on both stability and flexibility dimensions of resilience based on the regression analysis.
6 Discussion: This chapter interprets the research findings, translates them into theoretical and managerial implications, and addresses the study's limitations while providing avenues for future research.
7 Conclusion: This chapter summarizes the empirical outcomes, reiterating the findings that female leaders contribute as efficiently as males to recovery, despite differences in stability outcomes.
Keywords
Resilience, Stability, Flexibility, Female CEOs, Social Role Theory, Crisis, Upper Echelons Theory, Return on Assets, Crisis Management, Organizational Behavior, Gender Differences, Financial Crisis 2008, Leadership, Corporate Performance, Business Strategy.
Frequently Asked Questions
What is the core focus of this research?
The research investigates whether female CEOs exhibit better crisis-related resilience outcomes in terms of stability and recovery speed when compared to male CEOs.
What are the primary themes addressed?
The central themes include organizational resilience, crisis management, leadership gender differences, and the behavioral attributes identified by Social Role Theory and Upper Echelons Theory.
What is the primary research goal?
The goal is to determine if firms led by female CEOs demonstrate higher stability (minimal performance drop) and greater flexibility (quicker recovery) following a major economic crisis.
Which scientific methodology is utilized?
The study employs a quantitative methodology, specifically utilizing OLS regression to analyze stability and logit regression for analyzing flexibility, based on a sample of US firms from the 2008 financial crisis.
What is covered in the main body of the work?
The main body integrates theoretical foundations (Upper Echelons and Social Role Theory) with empirical tests to evaluate leadership impacts on firm performance during the 2008 financial crash.
Which keywords categorize this work?
Key terms include Resilience, Stability, Flexibility, Female CEOs, Social Role Theory, Crisis, and Corporate Performance.
Did the results confirm the glass cliff hypothesis?
The empirical results show that female CEOs are as effective as their male counterparts in leading companies through recovery, implying that the glass cliff narrative regarding performance inefficiency is not supported by the data.
How does CEO age influence recovery results?
The analysis indicates that older CEOs are associated with a higher probability of firm recovery in the observed period, suggesting that experience plays a positive role in navigating post-crisis recovery.
What is the role of "Slack Resources" in this study?
Slack resources were used as control variables to measure a firm's internal capacity to absorb shocks or invest in creative solutions, showing mixed effects on stability and recovery depending on the model.
- Citar trabajo
- Lara Nüßle (Autor), 2022, The Effect of Female Leaders. Are She’-EOs Better at Building Resilience against Crisis?, Múnich, GRIN Verlag, https://www.grin.com/document/1485112
