The Influences Of Executive Turnover On Firm Performance From The Institution-based Perspective

Through the strategic institution-based perspective,it is known that the institutional environment and organizational status of the firm affect the strategic choice of the firms and ultimately affect the organizational performance;in other words,the firm always makes rational decisions under the established formal and informal institutional framework to maximize utility.In the current reform of China's market economy system,it poses great challenges to the firm itself,and the biggest challenge is caused by institutional changes.In this institutional reform,the role of firm executives is increasingly prominent,and executives are vital to the survival and development of firms,so they are high.Regardless of whether it is for individuals or organizations,it takes a certain amount of risk and costs a lot.However,in the past research on the consequences of turnover,there are many researches on professional and technical personnel,and the role of senior management is neglected.Therefore,this study wants to discuss the consequences of executive turnover,and see executive turnover to the impact of firm performance and what path it affects.The research focus of this thesis is on the impact mechanism of firm executives'performance in listed companies,focusing on the relationship between executive turnover and firm performance,and introducing firm strategic adjustment,regional marketization and firm ownership as executives turnover mediating variables and regulatory variables between the two variables of firm performance,and verifying the mediating effects and regulatory effects.Therefore,the sample of the 492 company's resignation executives in the manufacturing SSE A-shares from 2016 to 2017 was selected for data collection and collation.The company was relocated to the company through CSMAR Database,RESSET Database,Juchao Information Network and firm Annual Report.The financial and functional adjustments are collected and classified according to the information obtained.SPSS18.0 was used to perform sample descriptive statistics,correlation analysis,regression analysis,and mediation and regulation tests on the collected data results.The conclusions obtained are:(1)There is a significant negative correlation between the number of executives turnover,the structure of executives turnover and firm performance,but the impact of the structure of executives turnover on firm performance is greater.(2)Executives turnover(quantity and structure)is positively correlated and significant for the strategic adjustment(quantity and intensity)of the firm.That is,the more senior officials leave,the more strategic adjustments are made.Firm strategy adjustment(quantity,intensity)is negatively correlated and significant for firm performance.The more firm strategic adjustments,the worse the firm performance.On this basis,this paper verifies the mediating role of employee mobility through three steps.(3)The role of marketization in the region where the firm is located,first of all,the degree of marketization in the region regulates the resignation of executives-firm performance.The degree of regional marketization regulates the relationship between the number of executives turnover and firm performance,that is,the market in the region where the firm is located.The degree of change has weakened the impact of the number of executives turnover on firm performance;the degree of marketization in the same region has positively adjusted the relationship between the number of executive turnover and firm performance,that is,the degree of marketization in the region where the company is located has weakened the structure of executives turnover.The impact of firm performance;the degree of marketization in the sub-region adjusts the resignation of executives-firm strategic adjustments,because the product value of the number of executives and the degree of marketization of the region where the firm is located is not significant,so the marketization of the region where the firm is located There is no adjustment effect in the number of executive turnover-the number of firm strategic adjustments;similarly,the degree of marketization in the region where the firm is located does not have a regulatory effect in the number of executives leaving the company-the intensity of firm strategic adjustment;the degree of marketization in the region where the firm is located Adjusting the relationship between the structure of executives turnover and the number of firm strategic adjustments,that is,strengthening the high the negative impact of turnover,market-oriented firms in the region where the balance wheel in between executives leave the structure and the strength of firm strategic adjustment,that is,strengthening the negative impact of executives turnover.(4)In the regression analysis of the regulatory effect of the nature of firm ownership,the nature of firm ownership cannot be adjusted in terms of the number of executives turnover,the structure of executives turnover and firm performance.Finally,according to the results of this paper,combined with the specific situation of the resignation of senior executives of listed companies in China,some practical suggestions are put forward,and the shortcomings and future prospects of this research are expounded.The theoretical contribution of this paper mainly lies in three aspects:First,this study has completed the academic thinking change from the antecedent and process of executives turnover to the influences of executives turnover on firm performance,in order to enrich the research on the field of executives turnover literatures.Second,the research perspective is unique.This article is very innovative from institution-based perspective to explore the influences of executives turnover on firm performance.Third,research content innovation,first through the literature search and collation,summed up the model of turnover,the latest development of turnover,the relationship between narrative turnover and firm performance,and the contradictions and deficiencies in existing research;At present,China is in the context of economic transformation,and discusses the impact of executive turnover on firm performance under the system view.On the basis of the synthesis of the first two parts of the research results,the system is used to study executive turnover to the path of influences of firm performance.Finally,it examines the mediating role of firm strategic adjustment,the degree of regional marketization and the regulatory role of firm ownership to further explore the influences of executives turnover on firm perfonnance.Practical significance of this paper mainly:The research results can also be applied to employee recruitment,employee incentives and the formulation of corresponding human resource management systems.