Do Board Characteristics Influence Impression Management through Graph Selectivity Around CEO Changes?
Article first published online: 31 DEC 2008
© 2007 CPA Australia
Australian Accounting Review
Volume 17, Issue 42, pages 84–95, July 2007
How to Cite
MATHER, P. and RAMSAY, A. (2007), Do Board Characteristics Influence Impression Management through Graph Selectivity Around CEO Changes?. Australian Accounting Review, 17: 84–95. doi: 10.1111/j.1835-2561.2007.tb00446.x
- Issue published online: 31 DEC 2008
- Article first published online: 31 DEC 2008
Research has shown evidence of impression management through the selective use of graphs in financial reports of Australian firms changing chief executive officer. This paper examines whether boards with characteristics associated with strong corporate governance constrain impression management in the financial reports of Australian firms that change CEOs. Our tests of graph selectivity find that boards with a higher proportion of independent directors appear to be more effective in curbing any potentially opportunistic impression management by new CEOs in the period of their appointment.