8 Posts found for Author: David Larcker

This paper examines seven commonly accepted myths about corporate governance. How can we expect managerial behavior and firm performance to improve, if practitioners continue to rely on myths rather than facts to guide their decisions?

Content: Article | Authors: Brian Tayan, David Larcker | Source: Stanford University | Subject: Corporate Governance

The New York Stock Exchange requires that the boards of all publicly traded corporations conduct a self-evaluation at least annually to determine whether they are functioning effectively. Our research suggests that many board evaluations are inadequate. How can boards better evaluate the performance of directors? Any thorough evaluation should assess the following.

Content: Article | Author: David Larcker | Source: Harvard Business Review | Subject: Corporate Governance

Should the chairman always be independent? Do CEOs actually make good directors?

Content: Article | Authors: Brian Tayan, David Larcker | Source: Stanford University | Subject: Corporate Governance

Few boards look at how the CEO’s total wealth invested in the company changes as stock prices fluctuate. They could—and they should.

Content: Article | Authors: Brian Tayan, David Larcker | Source: McKinsey Quarterly | Subject: Corporate Governance

A study by Stanford law and business faculty members casts strong doubt upon the value and validity of the ratings of governance advisory firms that compile indexes to evaluate the effectiveness of a publicly held company’s governance practices.

Content: Article | Author: David Larcker | Source: Stanford University | Subject: Corporate Governance

This study investigates the relation between the use of compensation consultants and CEO pay levels. Using new proxy statement disclosures from 2,116 companies, we examine claims that pay is higher in clients of compensation consultants, and test whether any pay differences in users and non-users of consultants are due to differences in economic or corporate governance characteristics. We find that CEO pay is generally higher … [ Read more ]

Content: Article | Authors: Chris Armstrong, Christopher D. Ittner, David Larcker | Source: Social Science Research Network (SSRN) | Subject: Corporate Governance

A study by Stanford law and business faculty members casts strong doubt on the value and validity of the ratings of governance advisory firms that compile indexes to evaluate the effectiveness of a publicly held company’s governance practices. “Everyone would agree that corporate governance is a good thing,” said Business School Professor David Larcker, “but can you measure it without even talking to the companies … [ Read more ]

Content: Article | Authors: David Larcker, Ian Gow, Robert Daines | Source: Stanford University | Subject: Corporate Governance

Formulas used by consultants and ratings services that assign single numbers or grades to a company’s corporate governance practices don’t work, suggest three Wharton professors in a new paper entitled, “Does Corporate Governance Really Matter?” Yes, it matters, the authors say, but what also matters is how performance is measured. Companies and their situations are too diverse to be shoehorned into simple scorecards. As one … [ Read more ]

Content: Article | Authors: David Larcker, Irem Tuna, Scott Richardson | Source: Knowledge@Wharton | Subject: Corporate Governance