The Research On Influencing Factors And Performance Change Of Top Management Turnover In Chinese Listed Companies

With the rapid development of economy, the increasingly drastic market competition, the further development of globalization and the further research on company governance, as the spirit of a company, top managers play a more and more important role in the company's development and destiny. To a large extent, as an important strategic resource, the professional knowledge and administration talent of top managers can determine whether a company can realize long-term and healthy development. Just because of the special position of top managers, the turnover of top managers may have a great influence on the operating performance, management direction and development strategy of a company. This paper deeply analyzes and empirically tests the influencing factors of top management turnover in Chinese listed companies and the change of company performance after turnover.There are five chapters in this paper. The first chapter is the introductory remarks which mainly analyze the meaning of this research, current research related to this issue at home and abroad and innovative points. The second chapter theoretically analyzes the factors which influence turnover of top managers in Chinese listed companies. The third chapter uses parametric and nonparametric test and Logistic regression to empirically test the influencing factors found by theoretical analysis, and finally finds and specifically analyzes influencing factors of top management turnover in Chinese listed companies. The fourth chapter studies overall conditions of corporate performance's change by factor analysis, then through four different classifications makes a further evaluation of the performance differences between different ways of turnover. The fifth chapter is the conclusion of the paper. This paper finds the factors that significantly influence top management turnover, such as insider control, the numbers of special committee in the board of directors, the activities of supervisory board, the proportion of supervisors who don't receive payment, the loss of the company, the developing level of different areas, the worked career and the condition of punishment. Generally speaking, the turnover of top managers upraises performance level of most companies. Furthermore, from the range of improving under four different classifications view, the ST companies are higher than non-ST companies; the companies which have changes applied to controlling shareholder are higher than those ones without change; the external employed companies are higher than internal employed companies; the companies which change board chairmen and general managers simultaneously are higher than those ones without simultaneous change. The research conclusions of this paper provide theoretical and empirical evidence for strengthening the supervision and restriction of top managers and supervision obligation of supervision department. Meanwhile, it is significance for perfecting corporate governance mechanism and promoting the level of corporate governance.