Dominant personality exists when the same person
serve as a CEO of a company and Chairman of the
board of director. Stewardship theory proposes that
a CEO duality role would allow for a more effective
action by the CEO and lead to high performance
[24]. The theory further explains that a CEO who is
acting as a steward in an organization, will be
motivated when the corporate governance
arrangement provide him/her higher authority and
discretions. Leaders with greater discretions will be
able to implement their strong decision. The
stewardship theory allows a CEO who is playing a
duality role to make strategies and have more power
to make decisions without afraid of being penalized
by the outside board of directors. Based on
stewardship theory the power given to CEO with a
duality role will enhance their pro-organisational
behaviour.Accordingly, stewards will strive to
maximize their self-utility as they achieve the
organization objective.
Recent Advances in Management, Marketing and Finances
ISBN: 978-