The top management team and enterprise innovation: An empirical study from growth enterprise market listed companies in China

Top management team (TMT) knowledge hiding, which is not only related to the normal operation of the team but also closely related to enterprise innovation performance, has been paid little attention to in the previous studies. Based on the theories of upper echelons, knowledge management, and innovation, this study proposed a moderated mediation model to research how TMT knowledge hiding affected enterprise innovation performance. In this model, TMT knowledge hiding was the independent variable, TMT creativity was the mediating variable, enterprise innovation performance was the dependent variable, and team competitive climate was the moderating variable. MPLUS7.0 was used for the CFAs to evaluate the discriminate validities of the key variables, and SPSS 22.0 was used to calculate the descriptive statistics, analyze the correlations between variables, make the multiple regression analysis, and process the data obtained from 612 executives in 53 TMTs. The results showed that TMT knowledge hiding had a significant negative impact on enterprise innovation performance; TMT creativity had a partial mediating effect between TMT knowledge hiding and enterprise innovation performance, and team competitive climate had a moderating effect on the relationship between TMT knowledge hiding and TMT creativity. These research results fill up the gap of the theoretical research in TMT knowledge hiding and provide scientific guidance to reasonably reduce or eliminate the phenomenon of TMT knowledge hiding and improve enterprise innovation performance.

Download Full-text

The curvilinear effect of top management team task-related demographic faultlines on over-investment

Management Decision ◽

10.1108/md-03-2020-0287 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Qing Xie ◽

Wuwei Li ◽

Yuanyuan Zhang

Keyword(s):

Regression Analysis ◽

Top Management Team ◽

Listed Companies ◽

Management Team ◽

Curvilinear Relationship ◽

Top Management ◽

Content Type ◽

Industrial Environment ◽

Team Task ◽

The Relationship

PurposeThis study empirically examines the curvilinear relationship between top management team task-related demographic faultlines and over-investment, as well as how biodemographic faultlines and industrial environment moderate the curvilinear relationship between task-related demographic faultlines and over-investment.Design/methodology/approachThe study designs the panel data from the listed companies of China's growth enterprises board (GEB) (set up by Shenzhen Stock Exchange in 2009) in the period 2011–2016 and uses hierarchical regression analysis and grouping regression analysis in exploring the curvilinear relationship with the variables involved.FindingsThe study provides empirical insights into the relationship on top management team (TMT) task-related demographic faultlines and over-investment, as well as how biodemographic faultlines and industrial environment moderate the relationship between task-related demographic faultlines and over-investment. It suggests that the relationship between task-related demographic faultlines and over-investment is significantly inverted-U. Furthermore, biodemographic faultlines and industrial environment can strengthen the inverted-U relationship between TMT task-related demographic faultlines and over-investment.Research limitations/implicationsThe study investigates the influence of task-related demographic faultlines on firm over-investment. The sample is restricted to the listed companies on GEM in China and limited in size. It is also not concerned with the cross-culture contrastive analysis between the Chinese- and Western-listed companies.Practical implicationsThe findings suggest that strong/weak TMT task-related demographic faultlines is beneficial in promoting rational investment, but medium TMT task-related demographic faultlines may lead to over-investment.Originality/valueThe study within the crossed-categorization theory, the study provides a contemporary research path by moderating biodemographic faultlines and industrial environments to explain the long-ignored impact of TMT faultlines within a new perspective of firm investment efficiency with a recent significant sample of new emerging countries (e.g. China).

Download Full-text

CEO reputation and top management team compensation

Management Decision ◽

10.1108/md-09-2013-0453 ◽

2014 ◽

Vol 52 (3) ◽

pp. 540-558 ◽

Cited By ~ 12

Author(s):

Gregorio Sanchez-Marin ◽

J. Samuel Baixauli-Soler

Keyword(s):

Corporate Governance ◽

Top Management Team ◽

Listed Companies ◽

Management Team ◽

National Commission ◽

Top Management ◽

Governance Mechanisms ◽

Governance System ◽

Content Type ◽

Top Managers

Purpose – The purpose of this paper is to clarify the influence of chief executive officer (CEO) reputation on top management team (TMT) compensation, proposing corporate governance characteristics as a moderator of the relationships between the power of top managers to extract rents and the importance of external signals. The study aims to expand the domain of executive compensation literature by including the role of CEO reputation in the context of non-Anglo-Saxon corporate governance systems. Design/methodology/approach – The paper opted for a panel methodology for the period 2004-2009, including 534 observations from Spanish listed companies. Data were obtained from several sources. Compensation and governance information was obtained from the Spanish Stock Exchange National Commission; data regarding CEO reputation were obtained from Spanish Corporate Reputation Monitor, and, finally, financial statement was obtained from the OSIRIS database. Findings – The paper provides empirical insights on the CEO reputation diffusion on TMT compensation, showing different scenarios depending on effectiveness of corporate governance. CEO reputation diffusion on TMT pay is strengthened or weakened by the organizational governance effectiveness. General evidence supports the notion that in countries characterized by an incomplete corporate governance system, boards – and also indirectly the structure of ownership – act as a catalyst for external signs of legitimacy, rather than for the organization's and stakeholders’ interests. Research limitations/implications – Because of the difficulty in pooling information for a long period from three different sources of data, the number of observations is not very large. Therefore, researchers are encouraged to test the proposed propositions further using other context of corporate governance. Practical implications – The paper includes implications for the development of effective governance mechanisms which promote an adequate link between the CEO reputation and the TMT compensation, avoiding rent extractions. Originality/value – The paper contributes to new international evidences regarding relations between top managers’ reputations and compensation. Specifically, it allows reinforcement of the importance of institutional arguments in the understanding of the effectiveness of governance mechanisms in large listed companies.

Download Full-text