The Ties that Bind or Those That Tear Us Apart? Co-CEO Constellations and ESG Performance in Family Firms

Many firms listed on the Milan Stock Exchange are family firms. A significant number of them have more than one CEO. But how do these co-CEO structures impact ESG performance?

In our latest study, my co-authors Yuliya Ponomareva, Francesco Paolone, and Domenico R. Cambrea and I find that co-CEO structures generally reduce ESG performance due to family-induced cognitive diversity. However, when one of the co-CEOs also chairs the board, this negative effect is mitigated and can even turn positive.

Our research is now published online in the Journal of Business Ethics and is available free of charge from here.

Here is the link to a brief podcast summarising the study.