The impact of family ownership on the relationship between the existence of the women board of commissioners and firm performance

Purpose: The first objective of this study is to analyze the presence of women boards of commissioners (WBoC) and firm performance (FP). Subsequently, the second objective is to analyze the role of family ownership (FO) in strengthening the influence of WBoC on FP. Design/methodology/approach: This study used secondary data with a sample of all companies listed on the Indonesia Stock Exchange from 2017 to 2021. Accordingly, a total of 788 observations were employed and data were analyzed using moderate regression analysis with unbalanced panel data. Findings: The results revealed that WBoC had no effect on FP as measured by TQ and ROA. Empirical research has also shown that FO strengthens WBoC in increasing ROA and TQ. Research limitations/implications: In Indonesia, the portion of the representation of each company’s women board of commissioners involves only one member at an average of 78%. Besides, as many as 22% of companies with a board of commissioners have more or equal to 2 members. Practical implications: The findings serve as a guide for stockholders in choosing capable women board of commissioners for an effective supervisory system that drives the success of businesses. Originality/value: This study brings forth FO as a moderating variable in the influence of WBoC on FP by adopting a multi-theoretical framework (agency theory, resource dependence theory (RDT), and socioemotional welfare theory (SEW)), which helps explain the various reasons that determine FP.