Martha E. Mangelsdorf, Editorial Director MIT Sloan Management Review
Larry Bennigson and Olubunmi Faleye work in the same town, but they had never met.
Although they didn’t know each other, both men began exploring essentially the same business question with colleagues: How have the increased monitoring demands that have been placed on corporate boards affected innovation and value creation in publicly traded companies? That’s an important issue — for board members, for corporate executives, for shareholders and for the economy as a whole.
Faleye, who is an associate professor of finance and the Trahan Family Faculty Fellow at Northeastern University in Boston, together with his coauthors Rani Hoitash of Bentley University and Udi Hoitash of Northeastern University, addressed the question through academic research. Bennigson, a Boston-based consultant and a former lead director and chair of a publicly traded company, and his coauthor, Frank S. Leonard, drew on their extensive business experience as they developed their ideas.
Both author groups sent their papers to MIT Sloan Management Review’s editorial department within days of each other. It was a surprising coincidence, and at MIT SMR, we concluded readers would benefit from seeing these two quite different approaches to the same problem, side by side.