The Characteristic Of Independent Directors On Corporate Performance

The independent director system has been constantly revised and improved in our country,suggests that the government and regulatory departments at all levels have confidence and determination to introduce independent directors in listed companies.With the development of the independent director system files gradually introduced and improved,the listed companies also change the requirement of the independent director,the independent director characteristics changing accordingly.Listed companies on Gem have a high technological content,high-growth,original technology.Products-market capacity is tremendous,but at the same time the gem listed companies are more private enterprises,only little sponsor,equity concentration seriously,the benefits of small and medium-sized shareholders may be ignored by big shareholders;In addition,because of the innovative of the gem listed companies,which leads to the hidden risks of developing;the special business of Gem listed companies,high technical proficiency requirements.Based on the above points,in the gem listed companies which characteristics of the independent directors should be introduced to play an important role on the companies would be necessary.Quantity and quality indicators are choosed to measure the characteristics of independent directors in listed companies on Gem in this study.The quantity features include the ratio of the independent directors in the board of directors;The quality features include background and individual external characteristics.In the aspect of the corpotates' performance,n view of the gem listed companies high technological content,good growth,high risk,using the factor analysis,from the five aspects: he profitability,solvency,operation,growth and innovation to construct the performance evaluation system and measure the gem listed company performance.Build a regression model,through the correlation and regression analysis to evaluate the relationship between the of the characteristics of independent directors and the corpotates' performance.Study found:(1)the education degree of independent directors and the independent directors from academic institutions can have a significant positive effect on the corporate performance;(2)in terms of the accounting specialty background,independent directors with accounting knowledge can help to improve corpotate performance,examined the rationality of the "guidance";(3)the international background of independent directors in listed companies on the gem have reverse effects on corporate performance;(4)Age and different district of independent directors have a good role in promoting the corporate performance.The more older they are and they are from the same places with the companies,the more conducive to improve the corporate performance.(5)other features of the independent directors do not have significantly impact on the corporate performance.The largest innovation of this study lies in the corporate performance measure.Which is different from the previous single performance index,this study choose the performance indicators firstly,and then use factor analysis.At last public factors are concluded,measure the corporate performance from different dimensions,and calculate the comprehensive performance score.Finally,combine the quantity and quality of the independent directors with the corporate performance,draw the conclusion through regression analysis.It is in this paper,using factor analysis method to measure the corporate performance,that accordingly also has a certain limitation: in order to comprehensively reflect the corporate performance,thirteen performance indicators are choosed,and then dimensionality reduction through the factor analysis,and the four common factors are gotten.Finally,calculate the comprehensive performance score.Then combine the independent directors feature variables with four common factor and comprehensive performance score by regression analysis.But the result is that the common factor is standardized,and the common factor is used to calculate the comprehensive performance scores which leads to more error and may affect the regression results.In addition,there are many indicators to measure the corporate performance,both positive and negative indicators,two indicators interaction may affect the comprehensive performance,this may also affect the regression results.While comprehensive performance index can measure corporate performance well.