Behavioral factors in operations management and corporate governance

Abstract

It is well known that corporate governance factors have significant effects on firm performance. In particular, behavioral factors have been widely studied in recent literature. With this regard, this dissertation consists of three chapters considering behavioral factors in corporate governance from the perspective of operations management. The first chapter investigates the effects of the overconfident Chief Operating Officers (COOs) on corporate inventory performance. The second chapter examines the effects of Chief Executive Officers (CEOs) and COOs at the same time on inventory performance under conditions of high product market competition. The third chapter focuses on the institutional investment horizon that influences firm strategic behavior. The analysis is conducted based on Mergers and Acquisitions (M&As) to shed light on the relationship between institutional ownership and inventory management. Overall, it is suggested that the behavioral factors such as managers’ overconfidence and institutions’ investment horizion have significant effects on the inventory management in this dissertation.