The Impact Of Top Management Turnover And R&D Investment

In recent years,the state has attached great importance to scientific and technological innovation activities of enterprises and actively supported enterprises to carry out innovative R&D projects.As the main body of R&D and innovation activities,the senior managers of enterprises are responsible for the formulation and implementation of various business strategies,which is an important factor affecting the investment of enterprise innovation and R&D.In China’s listed enterprises,the phenomenon of senior management change occurs frequently.The change of senior managers will affect the strategic planning and the stability of organizational members,and then affect the investment level of innovation and R&D.Ownership structure is another factor affecting enterprise strategic planning and investment decision.As a part of enterprise internal governance structure,ownership structure plays an important role in restricting executive behavior.In addition,as the primary person in charge of technology R&D activities in the enterprise,the autonomy of the technical director will also have an important impact on the level of R&D investment of the enterprise.Therefore,it is of theoretical and practical significance to study the relationship between executive change and enterprise R&D investment from the perspective of ownership structure and technical director autonomy.This paper studies the relationship between the ownership structure of listed companies and the ownership intensity of executives(from 2012 to 2018),including the ownership structure of listed companies,the ownership concentration of executives and the ownership intensity of Listed Companies in Shanghai and Shenzhen,Analyze the moderating effect of the above factors on the relationship between executive change and enterprise R&D investment intensity.The regression results show that:(1)there is a significant negative correlation between executive change and enterprise R&D investment intensity.(2)Compared with normal changes,the negative effect of abnormal changes of senior executives on the intensity of enterprise R&D investment is more significant.(3)The ownership nature of state-owned enterprises can weaken the negative impact of executive change on Enterprise R&D investment.(4)Improving the ownership concentration of enterprises can weaken the adverse impact of executive change on Enterprise R&D investment.(5)Through equity checks and balances,enterprises can weaken the adverse impact of executive change on Enterprise R&D investment.(6)A higher proportion of executive shareholding can weaken the negative impact of executive change on the intensity of enterprise R&D investment.(7)Improving the autonomy of technical director can weaken the adverse impact of senior management change on the R&D investment intensity of enterprises.Finally,the paper combs and integrates the research results,and puts forward the following suggestions: first,carefully select managers and reduce the frequency of executive change;Second,optimize the ownership structure of enterprises and reduce executives’ short-sighted behavior;Third,attach importance to enterprise R&D activities and give the technical director reasonable autonomy.It is hoped that it can be used as a reference for enterprises to improve their ownership structure,reasonably allocate the independent behavior space of technical directors,and strengthen the R&D and innovation ability of enterprises.