THE EFFECTS OF TOP MANAGEMENT TEAMS ON ORGANIZATION: A LITERATURE REVIEW

Open Access
Author:
Bae, Jiwon
Area of Honors:
Letters, Arts, and Sciences (Abington)
Degree:
Bachelor of Science
Document Type:
Thesis
Thesis Supervisors:
  • Steven Mcmillan, Thesis Supervisor
  • David Ruth, Honors Advisor
  • Anthony Gyapong, Faculty Reader
Keywords:
  • top management teams
  • heterogeneity
  • outcomes
  • TMT characteristics
  • TMT
  • TMT process
  • TMT Literature
  • effects of top management teams
Abstract:
Since the emergence of the Upper Echelons (UE) perspective introduced by Hambrick and Mason (1984), numerous research studies in the management field have focused on the top management team (TMT) characteristics, often through the analysis of demographic variables, to measure their impact on firm performance. Because the use of demographic variables yielded inconsistent study results, many later studies have built on UE literature by adding a variety of constructs onto the original UE model. This thesis presents a summary and review of past research findings concerning the TMT influence in driving organizational outcomes. From a theoretical perspective, this paper will examine the relationship between top executives and firm performance in the context of four distinct areas: cognitive and behavioral perspective, CEO impact, environmental influence, and demography. After analyzing the existing UE literature, this paper presents a research opportunity that may provide an important avenue for future UE studies.