Research On The Impact Of Executive Team Fracture Zone On ESG Performance Of Listed Companies

ESG focuses on corporate environmental impact,social responsibility and corporate governance,which represents the ability of an enterprise to develop sustainably.ESG concept came into China relatively late,and ESG investment began to grow rapidly in recent years.Enterprise ESG performance has attracted the attention of government regulators,investors and listed companies.Enterprise ESG performance has also become a research hotspot of scholars in recent years.At present,the research generally believes that improving enterprise ESG performance is the performance of improving its sustainable development ability and helps to enhance enterprise value.The senior management team is an important decision-maker of the enterprise,and the members of the senior management team have differences in gender,educational background,age and educational background.This internal difference will lead to the differentiation of the team group,resulting in the fracture zone.Therefore,how to analyze and control the fault zone of the senior management team and how to affect the ESG performance of the enterprise has important research significance.On the basis of summarizing the existing relevant research,this thesis clarifies the concepts of senior management team fracture zone,senior management incentive and ESG performance,and expounds the relationship between senior management team fracture zone and enterprise ESG performance according to the relevant theories such as high-order theory and principal-agent theory.This thesis quantitatively measures the senior management fracture zone(Fau)with the method proposed by Thatcher et al.(2003),Using NLP natural language processing technology to build an ESG evaluation system to measure enterprise ESG performance,this thesis selects Shanghai and Shenzhen 300 index stocks from 2015 to 2019 as a sample,uses multiple regression model to make an empirical analysis,and further studies the regulatory effect of management incentive on them,the nature of property rights and the integration effect of two functions.In order to ensure the robustness of the empirical results and detect whether there is an endogenous problem between explanatory variables and explained variables,this thesis uses ESG lag phase I data and instrumental variable method to test the endogenous of the regression results respectively,and the reliability of regression analysis has been further improved.The empirical results show that(1)the larger the relationship fracture zone of senior management team,the better the ESG performance of enterprises.(2)The larger the executive task fracture zone,the worse the enterprise ESG performance.(3)Executive compensation incentive can weaken the positive effect of executive team relationship fracture zone on enterprise ESG performance,while executive equity incentive can strengthen the positive effect of executive team fracture zone on enterprise ESG performance.(4)In state-owned enterprises,the impact of the fault zone of senior management team group on ESG performance is not significant.(5)When the chairman and CEO of an enterprise are combined,the fracture zone of the senior management team has no significant impact on the ESG performance of the enterprise.According to the above conclusions,enterprises should pay attention to the existence of team fault zone and allocate it reasonably according to the characteristics of senior management team members;In the case of power concentration,we should pay attention to the diversity of management team members.On the one hand,we should strengthen conflict management to improve enterprise ESG performance.On the other hand,we should make full use of formal and informal communication to build a relaxed and open decision-making atmosphere,which is conducive to the improvement of enterprise ESG performance.