Foundations of Knowledge and Professional Skills

Foundations of Knowledge and Professional Skills

Part A: Review of the article

The article mainly focused on the directors and why they serve on boards. Different literature research was done, and research questions were made accordingly. Hypothesis was also part of the article. Methods of dissertation were manipulated and finally the result of the article was concluded.

Research Questions

Some of the Research questions in the article were:

What encourages the person to work as outside directors on boards?

Why an individual who is a highly paid, busy professional chooses to serve or work on a board, or continue to work on board?

What manipulates that the board appointments will be continued or exits by the directors?

Theoretical Frameworks of the Article

The theoretical framework emphasizes on the self-determination theory. Mostly middle and lower levels are focused in the majority of studies of Self determination theory. Previous reviews have shown that there has been minimum research on the encouragement of an individual in the firm, and almost no longitudinal research has been done. Therefore, this article does longitudinal research with relation to the self-determination theory and motivating factors. Literature review was mainly focused on the self-determination theory and other motivation factors (Boivie, et. al, 2012, pp. 1336).

Self determination theory

Self-determination theory is a theory that is related to motivation. It identifies both essential and extrinsic encouraging factors direct behavior. Particularly, individuals differ in the level to which they "assimilate and reconstitute formerly external regulations so that individuals can be self-determined while enacting them (Boivie, et. al, 2012, pp. 1336).”

Self determination theory argues intrinsic and extrinsic factors both that encourage the individuals simultaneously. The noteworthy thing about self determination theory is that it focuses that both intrinsic and extrinsic factor work in parallel to motivate the individual. Finally, it can be said that self-determination theory can be used to identify the motivating and demotivating parameters that will be helpful in order to visualize that the directors will stay or leave the board service (Boivie, et. al, 2012, pp. 1337).

Inspiring Factors

One of the main aspects that encourage the directors to continue their service on board is the prestige factor, it is taken from appointment. Prestige is considered as the extrinsic recompense for working on board. Prestigious associations are identified to offer a support which discloses the quality of the individual; therefore these affiliations are also a motivating remuneration for working on a company's board of directors. Though the causes of prestige that comes from the companies' high reputation and performance might leads to increased inherent inspiration (Boivie, et. al, 2012, pp. 1337).

The extra rewards and satisfaction which comes from prestige, that is created by the high reputation and performance and thus decrease the chances that a director will leave the company's board (Boivie, et. al, 2012, pp. 1337).

Hypothesis

Some of the hypotheses that were created in the article are as follows (Boivie, et. al, 2012, pp. 1338- 1339).:

A director will leave the board is directly related to the performance of a focal ...