Session 309

Looking Good and Sounding Better: Impression Management by CEOs

Track X

Date: Tuesday, October 6, 2015

Track O

Time: 08:00 – 09:15

Paper

Room: Governor's Square 9


Session Chair:

  • Daniel Zyung, Rice University

Title: Beautiful is Better: CEO Attractiveness and Securities Fraud

Authors

  • Matt Hersel, Auburn University
  • Brian Connelly, Auburn University

Abstract: Choosing a CEO is one of the most strategic decisions firms make. Scholars have found that markets react positively to attractive CEOs, and that attractive CEOs are associated with outcomes such as high compensation and invitations to join boards. Less research, however, considers how attractiveness might be related to negative organizational outcomes. Using arguments from expectancy theory and strain theory, we hypothesize and find that attractive CEOs are less likely to engage in securities fraud than their less attractive counterparts. We also introduce two key boundary conditions wherein this relationship does not hold. We, of course, do not recommend making hiring decisions based on attractiveness, but we do discuss why this phenomenon is occurring and what it could mean for boards, shareholders, managers, and policymakers.

Title: It’s Not What You Say, But How You Say It: How CEO Dominance Influences Pay

Authors

  • Waqas Haque, University of Cambridge
  • Krishnan Nair, Erasmus University-Rotterdam

Abstract: Socio-political and psychological accounts of executive compensation have become prominent in recent years. However, there has been little research on how CEO personality influences CEO pay. We introduce CEO dominance as a stable personality trait that increases the CEO's social influence over the board. Using insights from the evolutionary psychology literature, we argue that more dominant CEOs are viewed as better leaders, especially during times of crisis. This translates into higher compensation for dominant CEOs. CEO dominance relative to the chairman will also increase the CEO's compensation, especially when the chairman sits on the compensation committee. We test our hypotheses using a sample of FTSE100 firms from 2004 to 2013 using a hierarchical, nested panel model.

Title: Managerial Vocal Attractiveness: Creating Value During Conference Calls

Authors

  • Vivien Jancenelle, Cleveland State University
  • Susan Storrud-Barnes, Cleveland State University
  • Richard Reed, Cleveland State University

Abstract: In this proposal, we follow the strategy research tradition of drawing on valuable insights from other disciplines and use a vocal attractiveness construct to examine the impact of managerial vocal attractiveness on investor reactions to earnings-per-share surprises in conference calls. Using advanced speech-analysis software, we analyze the voices of CEOs and top managers in a sample of 114 conference calls and find that the relationship between earnings surprises and market performance is moderated positively by managerial vocal attractiveness. Our findings illustrate the importance of vocal attractiveness in strategic leadership.

Title: The Romance of Leadership and CEO Dismissal

Authors

  • Sun Hyun Park, Seoul National University
  • Nandini Rajagopalan, University of Southern California

Abstract: Studies showed that leadership efficacy is often determined by the result of social construction rather than objective performance judgment. However, few studies examined how the target of this collective leadership attribution process, i.e. the organizational leader herself, may participate in the leadership image construction and how this intervention can influence the prospect of organizational leadership. We analyze the source quotation patterns and performance attribution contents in journalist articles to theorize that upon journalist invitation, high status corporate-elite CEOs are more likely to provide external attributions of low firm performance and the CEO’s external attribution of low firm performance decreases the likelihood of the CEO’s dismissal. We also examine the moderating effect of board independence for this CEO self-serving performance attribution on dismissal.

All Sessions in Track X...

Sun: 08:00 – 09:15
Session 74: Open Strategy Workshops: Lessons Learned from Practising Strategizing
Sun: 09:45 – 11:00
Session 29: The Elephant in the Room: How public policy and institutions help drive innovation, entrepreneurship, and firm performance
Session 76: The evolution of the strategy as a profession and the field of strategy
Sun: 11:15 – 12:30
Session 12: Environmental Entrepreneurship: How and When do Entrepreneurs address Environmental Degradation?
Session 38: Big Game Hunting: Accessing and Interacting with Senior Executives for Empirical Research
Sun: 13:45 – 14:30
Session 307: Lifetime Achievement Award Recipient
Sun: 14:45 – 15:45
Session 7: New Frontiers in Technologies, Fields, and Business Models: Implications for Academic and Practice Knowledge Creation
Sun: 16:15 – 17:30
Session 61: The Institutional Level of Strategizing Activities
Session 261: Knowledge Creation and Sharing in Virtual Communities
Mon: 08:00 – 09:15
Session 72: External Influences: Audiences and Media
Session 126: Entry Mode & Cross-Border Acquisitions
Session 140: New Perspectives on the Outside Director Selection Process
Mon: 09:45 – 11:00
Session 8: Elevating our Understanding of Organizational Performance: Bridging the Frontiers of Business and Corporate Strategies
Mon: 11:15 – 12:30
Session 149: Management and Coordination of Multinationals
Session 220: Perspectives on CEO Compensation
Mon: 13:45 – 15:00
Session 16: Human Capital and Innovation
Session 37: Political Ties: Knots or Bows?
Session 63: Political and Material Aspects of Strategy Making
Session 97: Accelerators, corporate VCs and new venture creation
Session 258: Explainng CSR: External Factors
Mon: 15:15 – 16:15
Session 227: Mergers, Acquisitions and Divestitures: Reconfiguring Resource Bases for Value Creation and Growth
Session 308: Strategy Beyond the Firm: Creating and Capturing Value from External Resources
Session 310: When the Smoke Clears: The Emergence of the Cannabis Industry
Session 311: Theory Fragmentation in Strategic Management?
Session 312: Climate Change: Why and How Should Strategic Management Care?
Mon: 16:45 – 18:00
Session 42: The Word is Out! Stakeholder Responses to Public Signals of Firms' Behaviors
Session 112: Acquisitions - Before the Deal
Tue: 08:00 – 09:15
Session 309: Looking Good and Sounding Better: Impression Management by CEOs
Tue: 09:45 – 10:45
Session 9: Whatever Happened to Theory in Strategic Management?
Tue: 11:00 – 12:15
Session 70: CEO Characteristics: Microfoundations of Behavioral Strategy
Tue: 14:15 – 15:30
Session 116: Acquisitions - After the Deal
Tue: 15:45 – 17:00
Session 52: Entrepreneurial business models
Session 219: A Tough Crowd: Critical Examinations by Owners and Stakeholders
Session 262: Pioneering Knowledge
Tue: 17:30 – 18:45
Session 144: Board Structure: What Works Best?
Session 208: Internationalization Strategies and Performance

All Sessions in Track O...

Sun: 08:00 – 09:15
Session 40: Strategic Leadership and Governance Expanding: Shifts and New Directions in Research
Sun: 09:45 – 11:00
Session 283: Editor Panel: Publishing Strategic Leadership and Governance Research
Sun: 11:15 – 12:30
Session 38: Big Game Hunting: Accessing and Interacting with Senior Executives for Empirical Research
Sun: 16:15 – 17:30
Session 139: Do Top Managers Matter? Expanding the Focus and Knowledge
Session 147: What Could Strategic IT Governance look like in Smart Cities?
Sun: 17:45 – 00:00
Session 324: Strategic Leadership and Governance Business Meeting
Mon: 08:00 – 09:15
Session 140: New Perspectives on the Outside Director Selection Process
Mon: 11:15 – 12:30
Session 141: Politics as Usual? Political Ideology in the Excutive Suite and Boardroom
Session 220: Perspectives on CEO Compensation
Mon: 13:45 – 15:00
Session 142: Top Management Teams, Senior Executives and Corporate outcomes
Session 215: Personality and Values in Strategic Leadership
Mon: 16:45 – 18:00
Session 216: Blame and Stigma in Response to Poor Orgnizational Outcomes
Session 218: Consequences of Top Management Attitudes and Orientations for the Firm
Tue: 08:00 – 09:15
Session 217: Leadership and Governance in Family Firms
Session 309: Looking Good and Sounding Better: Impression Management by CEOs
Tue: 11:00 – 12:15
Session 145: Strategic Leadership and Corporate Strategy
Session 214: Director Attributes, Director Actions and Director Effectiveness
Tue: 14:15 – 15:30
Session 146: Gender and Diversity in Strategic Leadership and Governance
Tue: 15:45 – 17:00
Session 219: A Tough Crowd: Critical Examinations by Owners and Stakeholders
Tue: 17:30 – 18:45
Session 144: Board Structure: What Works Best?
Session 189: Antecedents and Consequences of CEO Incentives


Strategic Management Society

Denver