initiative faculty & staff

WEBSITE http://www.gsb.stanford.edu/cldr

TWITTER http://twitter.com/StanfordCorpGov

EMAIL corpgovernance@gsb.stanford.edu

TELEPHONE +1.650.736.7420

Corporate Governance Surveys http://www.gsb.stanford.edu/cldr/research/surveys.html

Corporate Governance Quick Guides http://www.gsb.stanford.edu/cldr/research/quick-guides.html

Closer Look Series http://www.gsb.stanford.edu/cldr/research/closer_look.html

The Corporate Governance Research Initiative

Stanford Graduate School of Business

Knight Management Center

655 Knight Way, C214

Stanford, California 94305-7298 (USA)

Corporate Governance Matters: A Closer Look at Organizational Choices and Their Consequences

By David Larcker &

Brian Tayan, 2011.

A Real Look at Real World Corporate Governance

By David Larcker &

Brian Tayan, 2013.D a v i D L a r c k e r B r i a n T a y a n

A Real Look at Real World

CorporateGovernanCe

THE CORPORATE GOVERNANCE RESEARCH INITIATIVE,directed by Professor David F. Larcker, is a leader in

developing knowledge and education about domestic and

international corporate governance.

recent books

program information

An Initiative of:

CIRCLE | Centers and Initiatives for Research, Curriculum & Learning Experiences

David. F. LarckerJames Irvin Miller Professor of AccountingDirector, The Corporate Governance Research InitiativeSenior Faculty, Arthur and Toni Rembe Rock Center for Corporate Governance

Brian TayanResearcher, The Corporate Governance Research Initiative (MBA, 2003)Arthur and Toni Rembe Rock Center for Corporate Governance

Michelle E. GutmanResearch Associate, The Corporate Governance Research InitiativeArthur and Toni Rembe Rock Center for Corporate Governance

Corporate governance refers to a broad collection of mechanisms used to guide the behavior of managers so that the interests of shareholders and stakeholders are protected. Despite the widespread attention that corporate governance receives from the press, investors, and regulators, there is little empirical evidence that clearly demonstrates how, or whether, corporate governance practices affect outcomes important to investors. More broadly, there is little understanding of which practices are the most important.

Our Research Strategy• Formulate a reasoned and neutral assessment of corporate governance, based on

academic research and proven experience

• Connect with an audience of influencers and practitioners who can apply our knowledge to classrooms and organizations around the world

• Be receptive to and collaborate with academics and practitioners from the public and private sectors

Our Mission• Advance the intellectual understanding of corporate governance

• Engage academics, regulators, and professionals, bridging the gap between theory and practice

• Strengthen corporate governance as an independent area of teaching and scholarship in business schools worldwide

• Generate new insights into the fundamental “big issues” surrounding corporate governance

recent research

Published Research• David F. Larcker, Allan L. McCall, and Gaizka Ormazabal, “Proxy advisory firms and stock

option repricing,” Journal of Accounting and Economics 56 (November–December 2013):149–

169.

• Chris Armstrong, Ian D. Gow, and David F. Larcker, “The Efficacy of Shareholder Voting:

Evidence from Equity Compensation Plans,” Journal of Accounting Research 51 (December

2013): 909–950.

• Chris S. Armstrong, David F. Larcker, Gaizka Ormazabal, and Daniel J. Taylor, “The Relation

between Equity Incentives and Misreporting: The Role of Risk-Taking Incentives,” Journal of

Financial Economics 109 (August 2013): 327–350.

• David F. Larcker, Eric C. So, and Charles C. Y. Wang, “Boardroom Centrality and Stock

Returns,” Journal of Accounting & Economics 55 (April 2013): 225–250.

• Christopher S. Armstrong, Christopher D. Ittner and David F. Larcker, “Corporate Governance,

Compensation Consultants, and CEO Pay Levels,” Review of Accounting Studies 17 (June

2012): Page 322-351.

• David F. Larcker, and Anastasia A. Zakolyukina, “Detecting Deceptive Discussions in

Conference Calls,” Journal of Accounting Research 50 (May 2012): 495–540.

• David F. Larcker, Allan McCall, and Brian Tayan, “The Influence of Proxy Advisory Firm

Voting Recommendations on Say-on-Pay Votes and Executive Compensation Decisions,” The

Conference Board Directors Note, March 2012.

Stanford Closer Look Series

• Seven Myths of CEO Succession

• Corporate Governance According to Charles T. Munger

• Sneak Preview: How ISS Dictates Equity Plan Design

• Separation Anxiety: The Impact of CEO Divorce on Shareholders

• Pioneering Women on Boards: Pathways of the First Female Directors

• Trust: The Unwritten Contract in Corporate Governance

• Risk Management Breakdown at AXA Rosenberg: The Curious Case of a Quant Manager Trusted Too Much

• Where Experts Get It Wrong: Independence vs. Leadership in Corporate Governance

• And then a Miracle Happens!: How Do Proxy Advisory Firms Develop Their Voting Recommendations?

• Union Activism: Do Union Pension Funds Act Solely in the Interest of Beneficiaries?

• Shareholder Lawsuits: Where Is the Line Between Legitimate and Frivolous?

• Is a Powerful CEO Good or Bad for Shareholders?

• Fixed or Contingent: How Should “Governance Monitors” Be Paid?

• Ten Myths of Say-on-Pay

• Monitoring Risks Before They Go Viral: Is it Time for the Board to Embrace Social Media?

• Sudden Death of a CEO: Are Companies Prepared When Lightning Strikes?

• What Is CEO Talent Worth?

• What Does It Mean for an Executive To Make $1 Million?

• Leadership Challenges at Hewlett-Packard: Through the Looking Glass

• The NCAA Adopts “Dodd-Frank”: A Fable

• Scarlet Letter: Are the CEOs and Directors of Failed Companies “Tainted”?

• Are Current CEOs the Best Board Members?

• Seven Myths of Executive Compensation

• Seven Myths of Corporate Governance

• Tesla Motors: The Evolution of Governance from Inception to IPO

• CEO Health Disclosure at Apple: A Public or Private Matter?

• Pro Forma Earnings: What’s Wrong with GAAP?

Working Papers

• Outsourcing Shareholder Voting to Proxy Advisory Firms (May 2013) David F. Larcker, Allan L. McCall, and Gaizka Ormazabal

• Corporate Governance, Incentives, and Tax Avoidance (April 2013) Chris A. Armstrong, Jennifer L. Blouin, Alan D. Jagolinzer, and David F. Larcker

Corporate Governance Surveys

• 2014 Investment Horizon, Shareholder Base & Corporate Decision-Making

• 2014 How Well Do Corporate Directors Know Senior Management?

• 2014 Succession Planning and Talent Development Survey

corporate governance research