The Impact of Women on Corporate Boards on Intellectual Capital Efficiency and Business Performance in Sub-Saharan Africa

Abstract

This paper aims to investigate the impact of women on corporate boards on intellectual capital efficiency and business performance in sub-Saharan Africa, specifically Ghana. A longitudinal panel data regression analysis was conducted using data from 31 publicly listed companies on the Ghana Stock Exchange (GSE) over the period 2009–2022, yielding a dataset of 434 observations, followed by a two-stage least squares (2SLS) analysis to address potential endogeneity issues. The findings indicate that intellectual capital efficiency significantly and positively influences business performance. However, the study found no statistically significant effect of female representation on corporate boards on business performance. These results suggest that policymakers and corporate leaders should prioritize enhancing intellectual capital efficiency by investing in employee training, fostering innovation, and optimizing knowledge management systems, as these have a demonstrated positive impact on performance. Moreover, the study highlights the need to reevaluate diversity initiatives aimed at increasing female representation on corporate boards. Such initiatives should move beyond numeric targets to include structural and cultural changes that empower diverse leadership to contribute meaningfully to organizational success. This underscores the importance of integrated strategies that combine diversity efforts with broader measures to leverage intellectual and human capital for sustainable business growth.