In the language of psychology, individuals who are more afraid of missing opportunities than taking risks are considered promotion-focused. Their counterparts are individuals who are more afraid of taking risks than missing opportunities; these are prevention-focused individuals. A study of U.S CEOs and CFOs (the latter considered the second most influential executive in strategic decisions) […]
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New research demonstrates how leadership humility positively influences the performance of a group or organization. Specifically, the research, based on two laboratory studies and one field study, shows that leadership humility leads to collective humility on the part of the group he or she is leading, which in turn leads to a group focus on […]
Read More… from Leadership Humility Is Contagious-Resulting in High Performance
How does competitive pressure impact innovation? To answer this question, two researchers, Kenneth Younge of the E?cole polytechnique fe?de?rale de Lausanne (EPFL) and Tony Tong of the University of Colorado Boulder Leeds School of Business, took advantage of a fortuitous series of court rulings in Delaware that eased the competitive pressure on firms incorporated in […]
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A number of different incentives can potentially push leaders to make decisions that favour short-term returns over long-term value. To test whether such incentives actually have an impact on decision-making, a team of researchers used market reaction to new project announcements by CEOs. They compared differences in the market response to CEOs who had incentives […]
Read More… from Wrong Incentives Push CEO to Focus on the Short-term
New research into the personal history and decisions of division managers, CEOs and directors of nearly 360 S&P 1500 industrial conglomerates reveals the extent of the gender bias that exists in large corporations, and highlights some of the surprising origins of the bias. Specifically, the in-depth study led to the following findings: 1. CEOs are […]
Read More… from CEOs-Gender-biased Formative Years Has a Negative Economic Impact
In general, previous research shows a linear relationship between intelligence and perceived leadership effectiveness, with the line heading steadily northeast (the more intelligent, the higher your actual and perceived leadership capabilities). Intuitively, this would seem to make sense: you need smart people to make the right decisions, to resolve problems or even to gather and inspire […]
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What influence does a CEO’s personality have on the major strategic decisions of his or her firm? To answer this question, a team of researchers studied the impact of a CEO’s extraverted or introverted nature on his or her company’s M&A activities. The team focused on extraversion as a personality trait because of the ‘big […]
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What makes a good leader? The answer is often given in the context of the leader’s impact on followers — a natural response since the effectiveness of a leader is defined not by what he or she does, but by what he or she is capable of getting others to do. For this reason, theories […]
Read More… from Understanding Follower Attitudes Helps Decipher Leadership Success
Diverse backgrounds on top management teams (TMT) can lead to the creation of knowledge-based faultlines. These faultlines are the result of top managers clustering into TMT subgroups based on shared knowledge and expertise. Researchers debate whether these subgroups are positive or negative: some believe the subgroups allow better information processing, while others believe that they […]
Read More… from Bridge-Building CEOs Unite Divided Management Teams to Succeed
People who are considered for positions of leadership have proven their intelligence and competence, have acquired the experience required for the job, and often display a sense of authority and strength. These attributes might have been sufficient at a time when top-down command-and-control leadership (where the job of followers was for the most part to […]
Read More… from How Emotional Intelligence Leads to Effective ‘Human’ Leaders