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Daniel Yar Hamidi

This chapter aims theoretically and empirically to balance firm internal and external perspectives on board work and chairpersonship in the empirical setting of small and medium-sized enterprises (SMEs). The chapter advances our understanding of the effects of chairpersons on building dynamic capabilities towards innovativeness in SMEs. We apply and integrate a team production perspective with strategic management research to examine the effects of chairpersons’ leadership, knowledge and experience on building dynamic capabilities. We develop hypotheses and test these on data from multiple respondents in 315 small and medium-sized Norwegian enterprises. Our results show that chairperson leadership has a strong significant effect on firms’ ability to build dynamic capabilities. We also demonstrate in our analysis that chairpersons’ firm-specific knowledge has a robust positive association with firms’ abilities to build dynamic capabilities. However, our examination also reveals that chairpersons’ industry experience has a moderate reverse effect on firms’ abilities to build dynamic capabilities.

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Daniel Yar Hamidi

In this chapter the contributions of the board of directors to value and value creation are discussed. The study reveals that, independent of the context of the board, there will be various definitions and perceptions of value and consequently of value creation in firms. In addition to a literature review of recent research on the governance of small and medium-sized enterprises (SMEs) with a focus on value and value creation, results from interviews with board directors on SME boards are presented and reveal what directors perceive to be value and what they aim to do to create value. While research supports the practitioners’ perspective of value and value creation, there seems to be a disproportionate focus on financial performance and the structural aspects of boards in corporate governance research, which is not supported by the practitioners’ perspective.