{"title":"Steering the Intangible Wheel: Chief Executive Officer Effect on Corporate Cultural Change","authors":"Xina Li, Guoli Chen, Rui Shen","doi":"10.1287/orsc.2022.17210","DOIUrl":null,"url":null,"abstract":"We provide large-scale empirical evidence of how much chief executive officers (CEOs) change corporate culture. To do this, we use employee reviews to measure corporate cultural change in S&P 1500 firms. In a variance decomposition analysis, we find a modest effect of CEOs on corporate cultural change. The effect of CEOs on cultural change is larger than industry effect but smaller than firm effect. Regression analysis in the context of CEO succession further shows consistent evidence of a modest effect of CEO succession on corporate cultural change. In addition, the relationship between CEOs and cultural change is not likely to be fully explained by time trend, reverse causality, sample selection bias, and omitted variable bias. An investigation into the contextual contingencies of the CEO-cultural change relationship suggests that succession characteristics, such as predecessor influence and turnaround situation, weaken postsuccession cultural change, but industry task environment has a weak moderation effect. Overall, our study contributes to the literature on strategic leadership and corporate culture. Funding: X. Li acknowledges financial support from the Ian Potter (‘93D) PhD Award. Supplemental Material: The online appendix is available at https://doi.org/10.1287/orsc.2022.17210 .","PeriodicalId":48462,"journal":{"name":"Organization Science","volume":null,"pages":null},"PeriodicalIF":4.9000,"publicationDate":"2024-01-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Organization Science","FirstCategoryId":"91","ListUrlMain":"https://doi.org/10.1287/orsc.2022.17210","RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"MANAGEMENT","Score":null,"Total":0}
引用次数: 0
Abstract
We provide large-scale empirical evidence of how much chief executive officers (CEOs) change corporate culture. To do this, we use employee reviews to measure corporate cultural change in S&P 1500 firms. In a variance decomposition analysis, we find a modest effect of CEOs on corporate cultural change. The effect of CEOs on cultural change is larger than industry effect but smaller than firm effect. Regression analysis in the context of CEO succession further shows consistent evidence of a modest effect of CEO succession on corporate cultural change. In addition, the relationship between CEOs and cultural change is not likely to be fully explained by time trend, reverse causality, sample selection bias, and omitted variable bias. An investigation into the contextual contingencies of the CEO-cultural change relationship suggests that succession characteristics, such as predecessor influence and turnaround situation, weaken postsuccession cultural change, but industry task environment has a weak moderation effect. Overall, our study contributes to the literature on strategic leadership and corporate culture. Funding: X. Li acknowledges financial support from the Ian Potter (‘93D) PhD Award. Supplemental Material: The online appendix is available at https://doi.org/10.1287/orsc.2022.17210 .
我们就首席执行官(CEO)对企业文化的改变程度提供了大规模的经验证据。为此,我们使用员工评论来衡量标准普尔 1500 家公司的企业文化变化。在方差分解分析中,我们发现首席执行官对企业文化变革的影响不大。首席执行官对文化变革的影响大于行业影响,但小于公司影响。以 CEO 继任为背景的回归分析进一步表明,CEO 继任对企业文化变革的影响不大。此外,时间趋势、反向因果关系、样本选择偏差和遗漏变量偏差不可能完全解释 CEO 与文化变革之间的关系。对首席执行官与文化变革关系的背景或然因素的研究表明,前任影响和转机情况等继任特征会削弱继任后的文化变革,但行业任务环境的调节作用较弱。总之,我们的研究为有关战略领导力和企业文化的文献做出了贡献。研究经费:X. Li 感谢 Ian Potter('93D)博士奖的资助。补充材料:在线附录见 https://doi.org/10.1287/orsc.2022.17210 。
期刊介绍:
Organization Science is ranked among the top journals in management by the Social Science Citation Index in terms of impact and is widely recognized in the fields of strategy, management, and organization theory. Organization Science provides one umbrella for the publication of research from all over the world in fields such as organization theory, strategic management, sociology, economics, political science, history, information science, communication theory, and psychology.