The Empirical Research On The Relationship Between Characteristics Of Top Management Team And The Growth Of Enterprises

If we want to have a better understanding why organizations do the things they do and why they perform the way they are,we must consider the biases and dispositions of their most actors——the top management team. Based on this notion, Hambrick and Mason (1984) put forward the upper echelons theory. It includes two interconnected parts (1) top management teams are on the basis of their personalized interpretations of the situation, and (2) these personalized construals are a function of the top management team’s experiences, values, and personalities.After that, a large number of empirical research literatures have emerged in Western academia on the relationship between the human capital of executive team and corporate performance. The study of intrinsic link between corporate executives and firm growth for enterprises to build reasonable and sustainable development of enterprises has practical significance. Although there are many Western academia empirical literatures on exective’s team characteristics and firm growth relationship, the domestic studies, especially in China’s economy background are less. On the one hand, the upper echelons theory is still in the process of improving, it will take some time to master the theory for our researchers; on the other hand, the China’s capital market has not yet reached the desired level of effectiveness, obtaining the related data is not easy. China’s economy has experienced thirty years of rapid development. In the dual change of economic and institutional change, revealing the relationship between corporate executive’s team characteristics of enterprise growth is important for the healthy development of China’s market economy and the transformation and upgrading of enterprises. Under this background, this paper cities A-share manufacturing listed companies as samples, through empirical study revealing the inner link between executive team characteristics and firm growth and putting forward some policy suggestions according to the research results.Based on the existing research of domestic and foreign scholars, this paper uses statal2.0 and excel2010 software, collecting data from Wind and Guotaian to construct enterprise growth index by principal component analysis method, a sample of 541 enterprises is chosen,as in descending order according to the growth index, the sample enterprises are divided into high growth, moderate growth and weak growth; secondly, based on the empirical research of previous scholars, the characteristics of TMT are measured in two dimensions of executive team biography characteristic and heterogeneity measure, and each dimension includes four variables respectively:age, tenure, education and job duties. Here are the conclusions:the average age of executives, the average tenure of executives all are Inverted U relationship with corporate growth; the average education of executives is negatively related to corporate growth; the average job duties of executives is positively related to corporate growth; There is a negative correlation between age heterogeneity, tenure heterogeneity, job title heterogeneity and enterprise growth. However the relationship between education heterogeneity and enterprise growth is positive.