Abstract

This study focuses on how board dynamics can enhance board effectiveness and positively impact corporate governance in Malawi through appropriate regulation. Bad boardroom behaviours have the potential to derail effectiveness of the board in promoting the long terms success of the company and its members. Research has shown that corporate failures occur even when companies have complied with structural, demographical, and other corporate governance principles. The study set out to examine the extent to which board effectiveness can be improved by incorporation of board dynamics in Malawi’s corporate governance framework. The study explored the current legal framework of corporate governance in Malawi, the extent to which board dynamics improve board effectiveness, and the need for their incorporation in the country’s corporate governance legal framework to improve board effectiveness. The study found that the current corporate governance legal framework does not recognise the impact that boardroom behaviours can have on the effectiveness on the board. Further, it has not introduced the concept and components of board dynamics to ensure board effectiveness. The study therefore argues that there is a need to incorporate components of board dynamics in the country’s corporate governance framework to limit corporate failures, and to ensure that the board promotes the long-term success of the company and its members.

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School	: School of Law, Economics and Government
Issued Date	: 2022

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