Does board composition matter for innovation? A longitudinal study of the organizational slack–innovation relationship in Nasdaq-100 companies

Abstract In high-tech industries, firms accumulate increasing amounts of excess resources. Existent research paints an ambiguous picture these slack resources for innovation: while some is integral innovation as fuel experimentation, too much inhibits by causing inefficiencies. However, in industries cannot develop and sustain competitive advantages the long run without sufficient steady investments innovation. Additionally, complexities within highly dynamic make it easier managers to pursue their self-interests—often organization’s detriment. Against this backdrop, role board directors particularly crucial determines efficacy board’s governance resource provisioning functions. This study proposes several characteristics moderators slack–innovation relationship. The dataset builds on a longitudinal sample from Nasdaq-100 Index between 2010 2020. results advance management literature extending notion double-edged sword industries. findings also show that relationship contingent specific characteristics: larger more independent boards dampen relationship, longer tenure, affiliations, share women amplify it. Further, caution balance necessity promoting with its efficiency additionally inform practitioners determining optimal composition face mounting pressures sustained