The determinants of board size in Italian State-owned enterprises operating in water industry

Abstract

This study investigates what are the determinants of board size in Italian water Stateowned enterprises. The analysis has been conducted on a sample of 105 Italian water State-owned enterprises. Furthermore, data for the year 2018 have been used to run an ordinary least squares statistical model. Most relevant findings suggest that the two ownership structure variables, expressed through the number of public owners and the degree of direct public ownership, are statistically and significantly related to board size. Specifically, the number of public owners is positively and significantly related to board size. Conversely, the degree of the direct public ownership is negatively and significantly related to board size. The investigation provides a contribution for academics and policy-makers. Given the essentiality of water resource for humanity and future generations, the study emphasizes the need to ensure the inclusion of citizens in Italian water SOEs’ ownership and boardroom as a pragmatic and functional reality.