Splitting Chairman, CEO Roles Fails to Tilt Performance

Photo: dealbreaker.com

Jamie Dimon, chairman and CEO of JPMorgan Chase, survived a movement yesterday to strip him of his chairman's title. The effort was backed by two prominent proxy advisory firms, but rejected by shareholders at the New York company's annual meeting.

A recent report by David Larcker and Brian Tayan at the Center for Leadership Development and Research at the Stanford School of Business makes an intriguing observation: separating a company's chairman and CEO roles has a nominal influence on stock price and financial performance.

“Instead of debating features of corporate governance features of corporate governance, more attention should be paid to contextual issues – a company’s leadership, culture, and specific situation," Larcker and Tayan write.

A summery of their research, which does not specifically address Dimon's roles and influence at JPMorgan Chase, is available here.