Chairperson leadership efficacy, board members knowledge and strategy: a study of private firms in Kenya

Abstract

We studied the influence of the board members knowledge on the relationship between the chairperson efficacy and involvement in the strategy among private sector firms in Kenya. This research used self-directed questionnaires to gather cross-sectional survey responses from 300 firms in the private sector of Kenya. A regression model was used to evaluate the hypotheses. The results show that board members knowledge mediates the relationship between leadership efficacy of the chairperson and strategy involvement; thus, an efficacious chairperson contributes to strategy through board members knowledge. This might help managers and policy-makers of the private firms to develop effective policies by ensuring that the board is composed of an efficient chair and board members with the requisite knowledge. This research adds value by focusing on both the chairs and board members in an emerging economy like Kenya.