Does leadership gender diversity drive corporate social responsibility and organizational outcomes?: The role of organization size

• Published in: Australian journal of management Vol. 49; no. 3; pp. 319 - 339
• Main Authors: Ali, Muhammad, Grabarski, Mirit K, Ahmed, Sana, Imtiaz, Nazish
• Format: Journal Article
• Language: English
• Published: Thousand Oaks, CA SAGE Publications 01.08.2024; Sage Publications Ltd
• Subjects: Environmental law; Gender; Gender identity; Social responsibility; Social responsibility of business; Sustainable Development Goals; Board; corporate social responsibility; perceived organizational performance; top management team; employee productivity; gender diversity
• ISSN: 0312-8962; 1327-2020
• DOI: 10.1177/03128962231160650

Corporate scandals, environmental damages, and employment conditions have highlighted the importance of corporate social responsibility (CSR). However, little is known about (1) the simultaneous effects of board and top management team (TMT) gender diversity on CSR, (2) the mediating role of CSR between leadership (board/TM) gender diversity and organizational outcomes, and (3) the above-noted effects vary between large versus small organizations. Drawn from social role theory, we test our hypotheses using multisource time-lagged data from 248 organizations. The results indicate that both board and TMT gender diversity are positively associated with CSR. Moreover, CSR had a positive effect on both perceived organizational performance and employee productivity, with CSR also mediating the relationship between board gender diversity and perceived organizational performance. The findings also show the moderating effect of organization size on the CSR-organizational outcomes relationship. Our results refine (differential effects of gender diversity on CSR depending on the role), extend (some unprecedented effects were found for perceived organizational performance and employee productivity), and qualify (effects were significant for large organizations) social role theory. Our research addresses the above-noted knowledge gaps and informs the contextual leadership gender diversity practice for improved CSR and organizational outcomes.