A Review of Executive Leadership Charateristics and Performance of Firms

Abstract

The culture of a company is shaped and reinforced by its senior management team, which plays a major role in guiding and motivating employees and teams. This team serves as the core hub and driving force behind the organization's operations. These people effectively communicate their objectives, establish a well-defined and feasible plan for attaining those objectives, and, of utmost significance, inspire and enable all other members inside the company to achieve success. The objective of this study is to conduct a comprehensive analysis of the existing empirical research pertaining to the correlation between the attributes of executive leadership teams (ELTs) and the performance outcomes of entrepreneurial enterprises. A comprehensive literature review was done, including 33 empirical studies that examine the relationship between ELT and academic achievement. The study included a meticulous analysis and synthesis of the quantitative research conducted within this domain. The findings derived from the comprehensive analysis of existing literature indicate that the association between ELTs (namely heterogeneity and demographics) and the operational outcomes of enterprises of entrepreneurs is not a simple or linear one. Consequently, more research is required to delve deeper into this domain and get a more comprehensive understanding of the underlying dynamics. The author examines the theoretical and empirical literature on the demography and heterogeneity of ELT in connection to the performance of companies. The study also explores potential moderators and mediators that influence the link between the composition of ELT and firms' performance.