The influence of board diversity, board diversity policies and practices, and board inclusion behaviors on nonprofit governance practices

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Abstract

This study examines how and when non-profit board performance is impacted by board diversity. Specifically, we investigate board diversity policies and practices as well as board inclusion behaviors as mediating mechanisms for the influence of age, gender and racial/ethnic diversity of the board on effective board governance practices. The empirical analysis, using a sample of 1456 nonprofit board chief executive officers, finds that board governance practices are directly influenced by the gender and racial diversity of the board and that board inclusion behaviors together with diversity policies and practices mediate the influence of the board’s gender and racial diversity on internal and external governance practices. Additionally we found an interaction effect that indicates when boards have greater gender diversity, the negative impact of racial diversity on governance practices is mitigated. The findings suggest that board governance can be improved with more diverse membership but only if the board behaves inclusively and there are policies and practices in place to allow the diverse members to have an impact.

Citation

Relevant Evidence Summaries

The evidence was reviewed and included in the following summaries: 

What are the impacts of diversity, equity, and inclusion programs in nonprofit settings?

One source of strong evidence shows that diversity, equity, and inclusion (DEI) training can have significant short-term impacts on knowledge, attitudes, and awareness. Seventeen of the 23 included studies reported statistically significant results on at least one of their measured outcomes, with knowledge, attitudes, or awareness being the most commonly reported. However, only six studies […]

About this study

AGE: Adults

FULL TEXT AVAILABILITY: Paid

GENDER: All

HOST COUNTRY: United States

POPULATION: Other

STRENGTH OF EVIDENCE: Suggestive

TYPE OF STUDY: Suggestive evidence

YEAR PUBLISHED: 2016

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