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CEO burnout, managerial discretion, and firm performance: The role of CEO locus of control, structural power, and organizational factors
University of St.Gallen, Global Center Entrepreneurship and Innovation, Institute of Technology Management.
Villanova University, Villanova School of Business, Management and Operations.
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Business Administration and Industrial Engineering.ORCID iD: 0000-0001-6921-1779
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Business Administration and Industrial Engineering. Hanken School of Economics.ORCID iD: 0000-0002-8770-8874
2018 (English)In: Long range planning, ISSN 0024-6301, E-ISSN 1873-1872Article in journal (Refereed) Epub ahead of print
Abstract [en]

Despite the possibility of burnout resulting from dynamics in firms' upper echelons, little if any work has focused on chief executive officer's (CEO's) burnout and firm performance. Drawing on managerial discretion theory, this article analyzes the influence of CEO burnout on firm performance and the moderating roles of the individual (CEO locus of control), structural power (CEO duality and CEO tenure), and organizational characteristics (size, age, and resource availability) related to managerial discretion. Using a sample of 156 CEOs in Swedish firms, we find a negative association between CEOs who report higher burnout and firm performance. Our results confirm that CEO duality and resource availability ameliorate and firm size exacerbates the negative association between CEO burnout and firm performance. Contrary to our expectations, CEO locus of control, CEO tenure, and firm age do not influence this relationship. We discuss the implications of our research for upper echelons theory and strategic leadership theory.

Place, publisher, year, edition, pages
Elsevier, 2018.
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Other Engineering and Technologies not elsewhere specified
Research subject
Entrepreneurship and Innovation
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URN: urn:nbn:se:ltu:diva-68894DOI: 10.1016/j.lrp.2018.05.002OAI: oai:DiVA.org:ltu-68894DiVA, id: diva2:1209884
Available from: 2018-05-24 Created: 2018-05-24 Last updated: 2018-06-04

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