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Leading the charge: The impact of executives with R&D backgrounds on corporate digital transformation

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  • Yan, Weichen
  • Cai, Zhipeng
  • Yang, Aishu

Abstract

This study investigates the influence of executives with research and development (R&D) backgrounds on corporate digital transformation. Our findings suggest that they can significantly improve the level of digital transformation, which remains valid after performing a series of rigorous robustness tests. Additional analysis demonstrates that this relationship is more pronounced in firms where executives hold greater authority, receive higher compensation, and operate within the manufacturing sector. We also document that recruiting more R&D personnel and curbing managerial myopia are potential channels. This paper contributes to the literature on digital transformation and the heterogeneity of executives’ backgrounds.

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  • Yan, Weichen & Cai, Zhipeng & Yang, Aishu, 2023. "Leading the charge: The impact of executives with R&D backgrounds on corporate digital transformation," Finance Research Letters, Elsevier, vol. 56(C).
    • Handle: RePEc:eee:finlet:v:56:y:2023:i:c:s1544612323004907
    DOI: 10.1016/j.frl.2023.104118
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