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Specificity of CEO human capital and compensation

✍ Scribed by Dawn Harris; Constance Helfat

Book ID
101239924
Publisher
John Wiley and Sons
Year
1997
Tongue
English
Weight
199 KB
Volume
18
Category
Article
ISSN
0143-2095

No coin nor oath required. For personal study only.

✦ Synopsis

Much research on top management compensation has focused on the relationship between pay and firm performance. Firms, however, may compensate executives for inputs such as skills, as well as for outputs such as firm performance. This study refocuses attention on the links between managerial abilities and compensation by examining pay differences between types of CEO successors who have differential skills-namely, internal and external successors.

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## Abstract We examine determinants of IT compensation using archival salary data from 2,251 IT professionals in Singapore. Consistent with human capital theory, we find that professionals in IT jobs requiring more firm‐specific human capital are paid more than those in jobs requiring less firm‐spe