Board Effectiveness and Intellectual Capital Disclosure: Insights From Knowledge‐Based Industries

This study examines the relationship between board of directors' effectiveness (BODE) and intellectual capital disclosure (ICD) in knowledge‐based companies. Drawing on agency theory, resource dependence theory, and the knowledge‐based view of the firm, the paper investigates how key board characteristics—namely board independence, frequency of board meetings, board meeting attendance, board age, gender diversity, and CEO duality—affect the extent of ICD and its components, including human, structural, and relational capital. The empirical analysis is based on panel data from 39 listed companies operating in knowledge‐intensive industries over the period 2010–2019. While the dataset reflects a prepandemic context, it provides a stable analytical framework for examining governance mechanisms before major disruptions in corporate reporting and digital transformation. The findings indicate that board independence has a consistent and positive effect on ICD, whereas other board attributes exhibit heterogeneous and context‐dependent influences. The results further reveal that structural capital is the most extensively disclosed component, while human capital disclosure remains comparatively limited. By incorporating recent developments in corporate governance and intellectual capital research, the study contributes to a more nuanced understanding of how governance mechanisms shape knowledge‐related disclosure practices. The findings offer important theoretical and practical implications for improving transparency and governance structures in knowledge‐based firms.