Top management team and corporate performance: a study of Greek firms
Abstract
Purpose
This paper seeks to explore the role that boards can play in the contribution of organizational performance and to empirically examine the relationship between the chairman, key board composition variables and firm performance.
Design/methodology/approach
The data presented are drawn from a sample of 27 chairmen of Greek corporations listed in the Athens Stock Exchange (ASE). The authors examine hypothesized links between the demographic characteristics of the chairmen of the board, board composition variables, and organizational performance.
Findings
The authors found a positive relationship between age and competitive positioning which indicates that, the older the chairperson, the better the competitive positioning. Amazingly, the relationship between age and overall firm performance was found to be negative, indicating that even if the chairperson is older and more experienced the possibly efficient performance of the firm does not depend on that.
Research limitations/implications
The authors managed to collect data from 27 questionnaires; given the small size of the sample, the authors cannot generalize the findings.
Practical implications
The research indicates that understanding the variables that influence top management team and firm performance enhances value creation to investors and shareholders.
Originality/value
The choice of the sample was based on a fundamental principle of corporate governance board leadership structure: the chairman of the board is a different entity from the chief executive officer (CEO). This is one of very few studies concerning corporate governance in Greece focusing on the perception of Greek chairpersons.
Keywords
Citation
Koufopoulos, D., Zoumbos, V., Argyropoulou, M. and Motwani, J. (2008), "Top management team and corporate performance: a study of Greek firms", Team Performance Management, Vol. 14 No. 7/8, pp. 340-363. https://doi.org/10.1108/13527590810912322
Publisher
:Emerald Group Publishing Limited
Copyright © 2008, Emerald Group Publishing Limited