Corporate boards and incentives: empirical evidence from the UK in 1935

We investigate boardroom governance using UK historical data for 1935. We demonstrate that there is a negative relationship between risk and incentives in this year. Prior research has produced anomalous results (Prendergast, 2002). Second, we show that average (median) board ownership of ordinary shares is about 7.95% (2.88%). Heuristically this figure is less than previously reported estimates for the US also using 1935 data. Finally, we show the phenomenon of multiple board membership. UK directors in 1935 hold many directorships – sometimes exceeding 10 concurrent memberships.

Group membership salience and task performance

Purpose – Social loafing is described in the literature as a frequent problem reducing individuals' performance when working in groups. This paper aims to utilize the social identity approach and proposes that under conditions of heightened group salience social loafing can be reduced and turned into social laboring (i.e. increased performance). Design/methodology/approach – Two experimental studies are conducted to examine the impact of participant's group membership salience on task performance. In Study 1, school teachers work either in coactive or in collective working conditions on brainstorming tasks. In Study 2, participants perform both a brainstorming task and a motor task. Findings – The results show social laboring effects. As predicted, participants in the high salient group conditions outperform participants in the low salient group conditions and the coactive individual condition. Practical implications – The results indicate that rather than individuating group members or tasks to overcome social loafing, managers can increase group performance by focusing on group members' perceptions of their groups as important and salient. Originality/value – The studies presented in this paper show that social identity theory and self categorization theory can fruitfully be applied to the field of group performance. The message of these studies for applied settings is that collective work in groups must not necessarily negatively impact performance, i.e. social loafing. By heightening the salience of group memberships groups can even outperform coactively working individuals.

Reliability of vegetation community information derived using decorana ordination and fuzzy c-means clustering

Descriptions of vegetation communities are often based on vague semantic terms describing species presence and dominance. For this reason, some researchers advocate the use of fuzzy sets in the statistical classification of plant species data into communities. In this study, spatially referenced vegetation abundance values collected from Greek phrygana were analysed by ordination (DECORANA), and classified on the resulting axes using fuzzy c-means to yield a point data-set representing local memberships in characteristic plant communities. The fuzzy clusters matched vegetation communities noted in the field, which tended to grade into one another, rather than occupying discrete patches. The fuzzy set representation of the community exploited the strengths of detrended correspondence analysis while retaining richer information than a TWINSPAN classification of the same data. Thus, in the absence of phytosociological benchmarks, meaningful and manageable habitat information could be derived from complex, multivariate species data. We also analysed the influence of the reliability of different surveyors' field observations by multiple sampling at a selected sample location. We show that the impact of surveyor error was more severe in the Boolean than the fuzzy classification. © 2007 Springer.