The “ties that bind” board interlocks research: a systematic review

Board interlocks are a phenomenon of widespread prevalence and one of the most vibrant topics in corporate governance research. However, despite sustained academic interest in interlocks, there has not been a comprehensive review of the literature in nearly two decades. To address this need for an up-to-date review, this paper aims to conduct an assessment and integration of the empirical research on board interlocks.

In reviewing the board interlocks literature, the “systematic review” approach, which emphasizes methodological rigor and transparency, has been used. Using this method, 81 empirical papers that became the focus of this analysis have been identified.

This review reveals that board interlocks research can be categorized based on the theoretical lens used, its focus on antecedents or outcomes of interlock activities and the perspective of the study (i.e. firm- or director-level). Moreover, a number of commonly examined themes have been identified. Several unexpected omissions in the literature have also been uncovered. For instance, it was found that scholars have neither examined the implications of engaging in interlocks in a global context nor have they explored the phenomenon of international interlocks (i.e. interlocks between firms located in different countries).

In developing a deeper understanding of the board interlocks literature, this review identifies several topics and disciplines that, if pursued, could enrich the literature and open promising avenues for future research.