Busy Directors with Distant Board Positions: Superstar Directors or Lost in Translation?

Marc Steffen Rapp, Thomas Schmid, Daniel Urband

Publikation: KonferencebidragPaperForskningpeer review

Resumé

Based on a novel worldwide data set covering listed firms from 54 countries we study the effect of director busyness. Hypothesizing that there are superstar directors in the pool of directors, which eventually end up with multiple directorships, we argue that – in contrast to local positions – distant board positions likely reflect superior director skills. Calculating travel distances and identifying exogenous retirements, we find that busy directors with high (low) travel distance are beneficial (detrimental) to firm value. Interestingly, our data suggests that these superstar directors improve monitoring, but are not necessarily better advisors.
OriginalsprogEngelsk
Publikationsdato2018
Antal sider54
StatusUdgivet - 2018
Begivenhed2018 Financial Management Association European Conference - University of Agder, Kristiansand, Norge
Varighed: 13 jun. 201815 jun. 2018
http://www.fmaconferences.org/Norway/NorwayProgram.htm

Konference

Konference2018 Financial Management Association European Conference
LokationUniversity of Agder
LandNorge
ByKristiansand
Periode13/06/201815/06/2018
Internetadresse

Emneord

  • Corporate governance
  • Boards
  • Busyness
  • Firm value

Citer dette

Rapp, M. S., Schmid, T., & Urband, D. (2018). Busy Directors with Distant Board Positions: Superstar Directors or Lost in Translation?. Afhandling præsenteret på 2018 Financial Management Association European Conference, Kristiansand, Norge.
Rapp, Marc Steffen ; Schmid, Thomas ; Urband, Daniel. / Busy Directors with Distant Board Positions : Superstar Directors or Lost in Translation?. Afhandling præsenteret på 2018 Financial Management Association European Conference, Kristiansand, Norge.54 s.
@conference{ad9f4b23184a4c268ad589e27d32f0eb,
title = "Busy Directors with Distant Board Positions: Superstar Directors or Lost in Translation?",
abstract = "Based on a novel worldwide data set covering listed firms from 54 countries we study the effect of director busyness. Hypothesizing that there are superstar directors in the pool of directors, which eventually end up with multiple directorships, we argue that – in contrast to local positions – distant board positions likely reflect superior director skills. Calculating travel distances and identifying exogenous retirements, we find that busy directors with high (low) travel distance are beneficial (detrimental) to firm value. Interestingly, our data suggests that these superstar directors improve monitoring, but are not necessarily better advisors.",
keywords = "Corporate governance, Boards, Busyness, Firm value, Corporate governance, Boards, Busyness, Firm value",
author = "Rapp, {Marc Steffen} and Thomas Schmid and Daniel Urband",
year = "2018",
language = "English",
note = "null ; Conference date: 13-06-2018 Through 15-06-2018",
url = "http://www.fmaconferences.org/Norway/NorwayProgram.htm",

}

Rapp, MS, Schmid, T & Urband, D 2018, 'Busy Directors with Distant Board Positions: Superstar Directors or Lost in Translation?' Paper fremlagt ved 2018 Financial Management Association European Conference, Kristiansand, Norge, 13/06/2018 - 15/06/2018, .

Busy Directors with Distant Board Positions : Superstar Directors or Lost in Translation? / Rapp, Marc Steffen; Schmid, Thomas; Urband, Daniel.

2018. Afhandling præsenteret på 2018 Financial Management Association European Conference, Kristiansand, Norge.

Publikation: KonferencebidragPaperForskningpeer review

TY - CONF

T1 - Busy Directors with Distant Board Positions

T2 - Superstar Directors or Lost in Translation?

AU - Rapp, Marc Steffen

AU - Schmid, Thomas

AU - Urband, Daniel

PY - 2018

Y1 - 2018

N2 - Based on a novel worldwide data set covering listed firms from 54 countries we study the effect of director busyness. Hypothesizing that there are superstar directors in the pool of directors, which eventually end up with multiple directorships, we argue that – in contrast to local positions – distant board positions likely reflect superior director skills. Calculating travel distances and identifying exogenous retirements, we find that busy directors with high (low) travel distance are beneficial (detrimental) to firm value. Interestingly, our data suggests that these superstar directors improve monitoring, but are not necessarily better advisors.

AB - Based on a novel worldwide data set covering listed firms from 54 countries we study the effect of director busyness. Hypothesizing that there are superstar directors in the pool of directors, which eventually end up with multiple directorships, we argue that – in contrast to local positions – distant board positions likely reflect superior director skills. Calculating travel distances and identifying exogenous retirements, we find that busy directors with high (low) travel distance are beneficial (detrimental) to firm value. Interestingly, our data suggests that these superstar directors improve monitoring, but are not necessarily better advisors.

KW - Corporate governance

KW - Boards

KW - Busyness

KW - Firm value

KW - Corporate governance

KW - Boards

KW - Busyness

KW - Firm value

M3 - Paper

ER -

Rapp MS, Schmid T, Urband D. Busy Directors with Distant Board Positions: Superstar Directors or Lost in Translation?. 2018. Afhandling præsenteret på 2018 Financial Management Association European Conference, Kristiansand, Norge.