Community Research and Development Information Service - CORDIS

Abstract

The Corporate Governance and Product Innovation project, coordinated by Prof. Andrew Tylecote of the University of Sheffield, ran from the beginning of December 1998 to the end of November 2001. It covered six countries (the UK, France, Germany, Italy, the Netherlands and Sweden) and six sectors (machine tools, motor vehicles, fine chemicals, software, banking, pharma/biotechnologies).
The main hypotheses of the project can be stated as follows:
- Industries vary in the degree of novelty in their technologies and markets, and (linked to this) in the frequency and extent of organisational reconfiguration they require. The higher their novelty, the more firms need their corporate governance and financial system (CG&FS) to show industry-specific expertise; the more their requirement for reconfiguration, the more they need it to impose pressure for shareholder value.
- Industries also vary in the visibility of the process of innovation. Low visibility means that performance cannot be properly monitored without the CG&FS showing high firm-specific perceptiveness. It tends to be associated with high spill-overs in innovation; which are best coped with by some kind of �stakeholder inclusion�.
- Outsider-dominated corporate governance and financial systems are generally better at developing industry-specific expertise and imposing pressure for shareholder value. Insider dominated CG&F systems are generally better at developing firm-specific expertise and organising stakeholder inclusion.

Additional information

Authors: TYLECOTE A, University of Sheffield, Sheffield (GB)
Bibliographic Reference: EUR 21036 EN (2006), 101 pp. free of charge
Availability: Katalogue Number: KI-NA-21036-EN-C The paper version can be ordered online and the PDF version downloaded at: http://bookshop.europa.eu
ISBN: ISBN: 92-894-7575-7
Record Number: 200618710 / Last updated on: 2006-09-14
Original language: en
Available languages: en