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Red Flags You Won’t See on a CEO’s Resume
For a long time, we have believed that strong corporate governance is enough to prevent CEO malfeasance. However, new research shows that the lifestyle behaviors of executives can spell trouble for companies, regardless of the guardrails in place. Aiyesha Dey, an associate professor at Harvard Business School, has investigated executives’ past criminal records and the cost of their homes and automobiles. Her research has linked an individual’s materialism and propensity for rule breaking to fraud, insider trading, and risky business activities. She says that boards and other hiring bodies should pay more attention to personal behavior when picking organizational leaders. Dey wrote the HBR article "When Hiring CEOs, Focus on Character."
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[HBR IdeaCast podcast series]
HBR IdeaCast
Episode 866
Red Flags You Won’t See on a CEO’s Resume
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A conversation with HBS professor Aiyesha Dey on looking at character when hiring executives.
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July 12, 2022
For a long time, we have believed that strong corporate governance is enough to prevent CEO malfeasance. However, new research shows that the lifestyle behaviors of executives can spell trouble for companies, regardless of the guardrails in place. Aiyesha Dey, an associate professor at Harvard Business School, has investigated executives’ past criminal records and the cost of their homes and automobiles. Her research has linked an individual’s materialism and propensity for rule breaking to fraud, insider trading, and risky business activities. She says that boards and other hiring bodies should pay more attention to personal behavior when picking organizational leaders. Dey wrote the HBR article “When Hiring CEOs, Focus on Character.”
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This article is about PERSONAL ETHICS
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Related Topics:
- Risk management
- Boards
- Succession planning