경영자능력이 경영자보상에 미치는 영향

고창열,정훈 한국회계정보학회 2016 재무와회계정보저널 Vol.16 No.2

This study investigates the relation of managerial ability and management compensation. And this study further examines whether there is a difference the relation of managerial ability and managerial compensation depend on the ownership structure of the firm. we collect nonfinancing firms data from Korean listed companies for the period 2003-2013. Using this sample, this study performs an empirical analysis on the relation of managerial ability and managerial compensation and the effect of managerial ownership on the relation of managerial ability and managerial compensation. This study tries to overcome the limitation of prior research through examination the relation of managerial ability measure by Demerjian et al.(2012) and managerial compensation. Demerjian et al.(2012) made managerial ability measure which means the relative effectiveness within same industry. The results of the study are as follows:First, there exists a statistically significant positive relation between managerial ability and managerial compensation. This result supports managerial compensation reflects managerial ability according to managerial ability hypothesis. Second, when management own stock of the firm, the effect of managerial ability on managerial compensation decreases. This result represent that because management can restore the wealth through ownership of the firm, the effect of managerial ability on the managerial compensation decreases. The contributions of this study are as follows:First, this study presents an empirical evidence which shows that managerial compensation reflects the managerial ability. Second, this study presents the management ownership have an effect on the relevance of managerial ability and managerial compensation. We expect that the results of this study will provide the academic and practical base. This study will contribute to improve future research in managerial accounting through the examination of the relevance of managerial ability which is a new measure and managerial compensation. 기업에서 매우 중요한 역할을 수행하고 있는 경영자의 보상수준은 일반적으로 기업성과에 기반하여 결정된다. 하지만 기업의 성과는 외부환경적인 요소 및 기업의 자체특성요인에 영향을받을 수 있다. 따라서 경영자보상이 온전한 경영자의 능력을 반영하고 있는가는 경영자와 해당기업, 그리고 외부이해관계자들에게 매우 중요하다. 지금까지 경영자능력과 경영자보상에 대한연구는 경영자 능력의 측정에 어려움이 있어 미진하였다. 본 연구는 Demerjian et al.(2102)의경영자능력 측정치를 이용하여 경영자의 능력이 경영자보상에 영향을 미치는지를 실증하고자한다. 분석을 위해 2002년부터 2013년까지 유가증권시장에 상장된 기업을 대상으로 경영자능력 및 경영자보상간의 관계를 실증 분석하였다. 연구 결과 경영자 능력은 경영자보상과 통계적으로 유의한 양(+)의 관련성을 가지는 것으로 나타났다. 이는 경영자의 보상이 경영자의 능력을 반영하고 있다는 경영자 능력가설을 지지하는 결과이다. 추가적으로 경영자의 능력과 경영자 보상의 관련성이 경영자의 자사주식 보유여부에 따라 차이를 보이는지를 분석하였다. 분석결과 경영자가 자사주식을 보유할 경우 경영자의 능력이 경영자 보상에 미치는 양(+)의 영향이 경영자가 자사주식을 보유하지 않을 경우에 비해 다소 감소되는 것을 확인하였다. 이러한결과는 경영자의 능력으로 인해 증가하는 기업가치는 경영자가 보유하고 있는 주식가치를 높여경영자의 부를 증가시킬 수 있기 때문에 경영자가 자사주식을 보유한 경우 경영자 능력에 따른경영자의 보상이 자사주식을 보유하지 않을 경우보다 다소 감소하는 것으로 해석이 가능하다. 본 연구는 실증에 어려움이 있던 경영자 능력과 경영자보상의 관련성을 실증하였다는 점에서공헌점을 찾을 수 있다. 또한, 경영자의 자사주식 보유여부가 경영자 보상과 경영자 능력의 관련성에 추가적인 영향을 미친다는 실증근거를 제시했다는 점에서 선행연구와 차별성을 지닌다.

경영자능력 측정방식에 관한 연구

정훈,고창열 한국상업교육학회 2023 상업교육연구 Vol.37 No.6

Demerjian et al. (2012) proposed a new measure of managerial ability using data envelopment analysis(DEA). The purpose of this study is to analyze the measurement methods of managerial ability in Korean research papers on managerial ability that have been developed since Demerjian et al. (2012) and to propose a reasonable and valid managerial ability measurement method for future research. We collected 87 research articles on managerial ability using the Korean Journal Index (www.kci.go.kr). The publication of these articles covers a period of 10 years from 2013 to 2022. We analyzed the 87 articles to summarize and investigated how they measure managerial ability. Then, we proposed a managerial ability measurement method that fits the Korean environment. The results of the study are as follows. First, it is appropriate to apply variable returns to scale(VRS) as a production function assumption in the first-stage DEA model. Second, under the assumption that the number of samples in the first-stage DEA analysis is sufficient, industry-year estimation is most appropriate, but in the case of Korea, where the number of samples is not sufficient, it is preferable to use the industry DEA model. Third, in the first stage of estimating firm efficiency, estimating firm efficiency scores by year biases the managerial ability measure upward. To remove this potential bias from the managerial ability measure, we include industry fixed effects in the second-stage regression. Similarly, if we estimate efficiency by industry in step 1, we need to use year fixed effects in step 2. Fourth, in the regression analysis to test the research hypotheses, researchers should be taken not to consider managerial ability as a dependent variable to avoid distorting the results. We expect that this study will contribute to the overall understanding of the measurement of managerial ability and provide reference for future studies on managerial ability. In addition, it can be used as an educational material for research that explains various management phenomena related to managerial ability.

경영자 능력이 보수주의에 미치는 영향에 관한 연구

이건(제1저자) ( Gun Lee ),한승수(교신저자) ( Soong Soo Han ),김응길(공동저자) ( Eung Gil Kim ) 한국회계학회 2015 회계학연구 Vol.40 No.3

본 연구는 1999년부터 2013년까지 유가증권 및 코스닥 시장에 상장된 기업을 대상으로 경영자의 능력과 회계 보수성의 관계를 실증 분석하였다. 선행연구에서 보수주의가 경영자와 투자자간의 정보비대칭을 줄여준다고 하였고 경영자 개인의 특성이 회계정보의 질에 영향을 미친다고 하였으나 경영자 능력이 보수주의와 어떠한 관련성을 가지는 지에 대하여는 보고된 바가 없다. 본 논문에서는 Demerjian et al. (2012)에서 사용된 DEA(Data Envelopment Analysis)를 이용하여 경영자 능력을 측정하고, 이러한 경영자의 능력이 회계의 보수성에 어떠한 영향을 미치는 지를 살펴보았다. 주요 연구결과는 다음과 같다. 첫째로 경영자의 능력이 높을수록 회계의 보수성은 감소하는 것으로 나타났다. 즉, 경영자의 능력이 높을수록(낮을수록) 외부이해관계자에게 미래 경영성과와 현금흐름에 대해 상대적으로 낮은(높은) 불확실성을 제공하기 때문에 보수적인 회계처리에 대한 요구가 상대적으로 적다는(많다는) 것을 시사 하는 결과라 할 수 있다. 둘째로 Watts (2003a, b) 등의 선행연구에서 제시되고 있는 채권자 보호 차원에서의 보수주의를 경영자 능력과 연계하여 살펴보았다. 부채비율의 크기에 따라 경영자의 능력과 보수주의의 관계를 검증한 결과, 부채비율이 낮은 집단에서는 경영자의 능력과 보수주의 사이에 유의한 음(-)의 관계가 있음을 실증하였다. 반면 부채비율이 높은 표본의 경우 음(-)의 관계는 일관되었으나 통계적인 유의성은 검증되지 않았다. 즉, 기업의 재무구조가 상대적으로 취약하여 채권자의 보수주의에 대한 요구가 높은 상황에서는 경영자의 능력에 관계없이 보수적인 회계처리가 이루어지고 있음을 의미한다. 한편 이러한 결과는 채권자 보호를 위한 보수주의의 역할이 적절하게 작동하고 있는 것으로 해석할 수도 있다. This study examines the association between managerial ability and accounting conservatism. Prior literature reports that conservatism is one of the mechanisms that lower the risk of investors by reducing information asymmetry between managers and investors (Basu 1997; Watts 2003a b; Ball and Shivakumar 2005; LaFond and Roychowdhury 2008). Although prior studies show that manager-specific characteristics are related to the quality of accounting information (e.g., Schrand and Zechman 2012; Ahmed and Duellman 2013; Demerjian et al. 2013), no prior study shows how managers`` ability interacts with accounting conservatism. One the one hand, managers with high abilities are more likely to be conservative in order to maintain the high level of reputation by constraining opportunistic accounting choices. On the other hand, highly able managers have more knowledge about the firm and the industry so that they tend to incorporate more forward-looking, positive information in reporting their performance. Although managerial ability is one of important factors that affect accounting information, prior literature does not examine the effect of managerial ability on accounting conservatism. This paper fills this void. We measure managerial ability using DEA (Data Envelopment Analysis) following Demerjian et al.(2012) and accounting conservatism is measured by using the method by LaFond and Roychowdhury(2008), and Ball and Shivakumar(2005). Using those measures, we examines the effect of managerial ability on accounting conservatism and whether the level of leverage mitigates or intensifies the association between managerial ability and conservatism. Our initial sample comprises the data of all Korean listed companies - both KOSPI and KOSDAQ listed companies, for the period from 1999 to 2013, which yields the pooled samples of 13,565 firm-year observations. One of our main findings is that the firms with higher (lower) managerial ability tend to have lower (higher) level of accounting conservatism. This result suggeststhat managerial ability may play a role as a substitute for accounting conservatism. Futhermore, the association is more pronounced for firms with higher leverage, which suggests that the economic demand for conservative accounting still exists although the firm``s management is of high ability. We also perform various robustness tests. First, we use a measure of firm-specific conservatism, C-Score (Khan and Watts 2009), as an alternative measure of conservatism. Our results are robust to the alternative model of conservatism. Second, instead of measuring managerial ability by DEA method, we use past performance including both accounting and stock performance, and our results are not changed. Third, our findings are robust to the inclusion of a control variable for managerial opportunism such as discretionary accruals. Lastly, we find that our results are more pronounced for firms with worse information environment, for example firms with less independent board or without analysts following. The contribution of this study is two folds. First, while empirical literature in the area of accounting conservatism has largely focused on firm-specific characteristics, we investigate manager-specific effects using the measure of managerial ability developed in Demerjian et al.(2012). Second, we find that the association between managerial ability and conservatism differs significantly depending on leverage. This result suggests, at least indirectly, that accounting conservatism plays an important role in protecting the debt holders in the capital market. Overall, our study extends prior literature on accounting conservatism by providing evidence that the firm-level accounting conservatism may be substituted by manager-specific factors like managerial ability, but the effect may be attenuated by higher demand for accounting conservatism.

DEA를 이용한 경영자 능력이 기업성과에 미치는 영향에 관한 연구

고창열(Chang Youl Ko),박준호(Joonho Park),정훈(Hoon Jung),유관희(Kwan Hee Yoo) 한국관리회계학회 2013 관리회계연구 Vol.13 No.1

본 연구는 DEA를 이용한 경영자 능력과 기업성과의 관련성을 분석한다. 선행연구의 경영자 능력 측정치들은 경영자의 통제를 벗어난 기업의 중요한 특성들을 포함한다. 본 연구에서는 자료포락분석(DEA)을 이용한 회사효율성에서 회사특성요소가 설명하지 못하는 부분을 경영자 능력 측정치로 정의한다. 분석 결과 경영자 능력과 기업성과는 통계적으로 유의한 양(+)의 관련성을 가짐을 확인하였다. 또한 선행연구에서 주로 이루어졌던 경영자 교체사건에서도 본 연구에서 제시한 경영자 능력 측정치가 유의하게 적용됨을 확인하였다. 그리고 선행연구의 경영자 능력 대용치를 포함하여 분석한 결과 경영자 능력 관련 경제적 현상을 모두 설명할 수 있는 경영자 능력 측정치는 본 연구에서 제시한 Demerjian et al.(2012a)의 경영자 능력 측정치임을 확인하였다. 본 연구의 공헌점은 다음과 같다. 첫째, 기업의 특성 요소를 제외한 경영자고유의 능력을 측정하는 정교한 측정치를 제공하였다. 둘째, 경영자 능력이 기업 성과와 관련성이 있음을 실증적으로 제시하였다. 셋째, 경영자 교체시로 한정하였던 경영자 능력에 대한 연구를 일반화시켰다. 본 연구에서 제시한 경영자 능력 측정치는 경영자의 교체?선임, 경영자의 보상수준의 결정 등에 유용한 정보로 활용될 수 있을 것이며, 경영자 능력과 관련한 다양한 회계현상의 분석에 대한 연구 확장에 도움이 될 것이다. We investigated that the relevance of the ability of managers and corporate performance. Until now, the main research methods of managerial ability are to study the changes of market value and firm performance as CEO turnover. In addition, managerial ability measures of previous studies are including important firm characteristics which are beyond of management control. We used managerial ability measure which is produced DEA and tobit regression in this study. The results of analyses indicate that managerial ability is correlated with future firm performance with positively and significantly. Also, we show that as managerial ability is higher, there is lower probability of CEO turnover. To compare new managerial ability measure with conventional measure, we analyze past abnormal performance, managerial pay, manager career. The results of this analysis are that new managerial ability measure is only measure which can explain all of economic results. The contributions of this study are as follows. First, we provide delicate measure which can measure managerial ability. Second, we show that there is the relevance of managerial ability and firm performance. Third, we extend the DEA method across various industry and generalize the research of managerial ability. The managerial ability measure of this study will be used in management change, management election and the decision of management compensation. Additionally, this study help the future study of managerial ability and various accounting event.

경영자 능력과 감사노력 및 감사보수 프리미엄의 관계

정경철,이건 한국회계정보학회 2017 회계정보연구 Vol.35 No.3

본 연구는 경영자 능력과 감사인의 노력(감사시간) 및 감사 보수 프리미엄(시간당 감사보수) 의 관계를 분석한다. 실증분석결과 경영자 능력이 우수한 경우 감사보수와 감사시간이 감소하지만 시간당 감사보수와는 유의한 관계가 없었다. 따라서 감사인은 경영자 능력이 우수한 기업에 대해서는 감사위험이 낮은 것으로 판단하여 투입 노력을 줄이지만 위험 프리미엄에 영향을 주지는 않는 것으로 밝혀졌다. 즉, 감사인은 경영자 능력 차이에 따른 감사위험을 감사노력으로 통제가능한 위험으로 여기고 있는 것으로 추정된다. 본 연구를 통해 감사인들의 위험평가 및 감사절차에 대한 이해가 높아질 것으로 기대된다. This study examines the effect of managerial ability to audit fees, audit hours and unit audit price. Audit fees are decreasing in managerial ability because able managers improves the firm performance and lowers the risk of firm failure. However, it is not known how the auditors of the firm with a able manager will benefit in return for the low audit fee. This study examines the effects of managerial ability to audit efforts(i.e., audit hours) and audit fee premium(i.e., unit audit price) based on the fact that audit fees are composed of audit hours and unit audit price to answer this question. We find that auditors reduce audit fees and audit hours when they audit firms with high managerial ability and find no evidence that managerial ability is related with unit audit price. These results suggest that auditors of high managerial ability firm appear to reduce not unit audit price but audit effort. Furthermore, we find no evidence that managerial ability are related to audit fee, audit hours and unit audit price in new hired manager subsamples which managerial ability information is not available. We contribute to the audit literature by establishing a negative relation betwen managerial ability and audit hours, which means auditors lower their efforts for the firms with high managerial ability. We suggest that understanding auditor effort behavior with managerial ability may provide valuable information to audit practitioners, regulators since manager’s ability may affect audit fees and audit hours.

Managerial Ability and Analyst Participation on Earnings Conference Calls: Evidence from CEO Turnover

안민관,김세희,곽소연,경항수 한국국제회계학회 2022 국제회계연구 Vol.- No.105

[Purpose]Ahn et al. (2022) find a positive association between managerial ability and the number of questions from analysts on conference calls. They further document that there is a greater increase in forecast accuracy around conference calls when more questions are asked of higher ability managers. They interpret these findings as suggesting that managers with high ability induce more questions from analysts on conference calls. However, the positive association they document could be also driven by correlated omitted firm characteristics such as firm performance and information environment. This paper aims to address these alternative explanations by exploiting CEO turnover as a shock to managerial ability. [Methodology]Using CEO turnover as a shock to managerial ability, we investigate whether the change in managerial ability following CEO turnover is associated with the change in analysts’ participation in earnings conference calls. More specifically, we examine how the change in managerial ability around CEO turnover affects the change in the number of questions asked by analysts. [Findings]Consistent with the findings from Ahn et al. (2022), we find that the change in managerial ability around CEO turnover is positively associated with the change in the number of questions from analysts on conference calls. We further show that this positive association is primarily driven by the positive change in managerial ability. We also find that there is a greater increase in analyst forecast accuracy when more questions are asked of more able incoming managers relative to departing managers. Finally, we find that the number of non-financial and forward-looking questions asked is increasing in managerial ability. [Implications]These findings from CEO turnover suggest that managerial ability plays an important role in inducing analyst participation in earnings conference calls and as a result, in shaping the firm’s information environment.

Managerial Ability and Innovation Performance:Empirical Evidence from Chinese Manufacturing Listed Companies

샨훼이,고대영,왕람 한국회계정보학회 2022 재무와회계정보저널 Vol.22 No.2

[Purpose]Enterprise innovation is a necessary condition for enterprises to survive and develop in the increasingly fierce competition. However, as an important human resource, there has been a lack of relevant empirical research on the impact of managerial ability on enterprise innovation. This study investigates how managerial ability affects innovation level and innovation efficiency, and further examines the relationship between managerial ability and innovation performance in manufacturing enterprises from the aspects of patent type, property rights and industry nature. [Methodology]This study selects A-share manufacturing listed companies in China from 2007 to 2019 as the research sample, uses the DEA-Tobit two-stage model proposed by Demerjian et al. (2012) to measure the managerial ability, and empirically tests the impact of managerial ability on enterprise innovation performance from two aspects of enterprise innovation output and enterprise innovation efficiency. [Findings]We discover that the stronger the managerial ability, the lower the innovation output and the higher the innovation efficiency. Moreover, by distinguishing the patent type, property right nature and industry nature, we further find that high-ability management can improve enterprise innovation efficiency in state-owned enterprises, but it has no significant impact on enterprise innovation output. The positive effect of managerial ability on enterprise innovation efficiency is not significant in high-tech enterprises, which is inconsistent with previous experience. [Implications]First, taking the managerial ability as the starting point, we not only study the impact of managerial ability on enterprise innovation output, but also on innovation efficiency, which supplements and improves the existing literature on the influencing factors of enterprise innovation performance. Secondly, combined with China's institutional background, this study further discusses the influencing factors of enterprise innovation output and innovation efficiency, so as to provide empirical evidence from emerging markets for relevant research. Thirdly, with the integration of psychology, behavior, financial accounting and other disciplines, managerial ability is introduced into the research field of financial accounting, and this study provides new empirical evidence for the research on the economic consequences of managerial ability. Finally, this study can provide suggestions and decision support for manufacturing enterprises to improve innovation performance, and help to further standardize the professional manager market.

경영자 능력, 미래성과, 그리고 조세회피

신현미,박원 한국세무회계학회 2020 세무회계연구 Vol.0 No.64

[Purpose]It verified the impact of managerial ability and tax avoidance on the future performance of an enterprise and analyzed how the effect on the relationship between managerial ability and future performance depends on the level of tax evasion. [Methodology]An empirical analysis was conducted on 4,167 samples (company/ year) of non-financial businesses that were listed in December from 2007 to 2017. It was expanded to measure the next management performance by 2018 and excluded less than 15 samples per industry per year to measure management capabilities, etc. [Findings]The relationship between managerial ability and future performance was shown to be a significant positive (+) relationship, and the tax avoidance had a negative impact on future performance. In addition, as the level of tax evasion increased, the relationship between managerial ability and future performance decreased, which resulted in proxy problems such as tax avoidance and reduced management’s monitoring and supervisory functions, it was possible to confirm that future performance was reduced than other companies with superior managerial abilities. [Implications]While managerial ability can be seen as one of the important characteristics of generating a company’s future performance, managerial ability can be reduced to contributing to future performance if its tendency is unethical and it is negative to the company’s investment or propensity for future value. This study is likely to be meaningful in its recent proposal for the effects of opportunistic actions such as tax avoidance on negative consequences (Francis et al., 2013;Jeonju Sung, 2011;Kim Hyung-guk, 2018;Chang et al., 2010) for corporate performance or value of managerial ability. [연구목적]경영자 능력, 조세회피가 기업의 미래성과에 어떠한 영향을 미치는지 검증해 보고 조세회피의 수준에 따라 경영자 능력과 미래성과의 관계에 미치는 영향이 어떻게 달라지는가를 실증분석 하였다. [연구방법]2007년부터 2017년까지 상장된 비금융업 12월 결산법인 4,167개(기업/년)표본을 대상으로 실증분석을 실시하였다. 차기 경영성과 측정을 위하여 2018년까지 확대되었으며 경영자능력 등을 측정하기 위하여 연도별 산업별 표본수가 15개 미만은 제외하였다. [연구결과]경영자 능력과 미래성과는 유의적인 양(+)의 관계로 나타났으며 조세회피는 미래성과에 음(-)의 영향을 미치는 것으로 나타났다. 그리고 조세회피 수준이 증가할수록 경영자 능력과 미래성과의 관계는 감소하여 조세회피와 같은 대리문제를 발생시키고 경영자의 감시, 감독 기능이 약화될 경우 경영자 능력이 우수한 다른 기업보다 미래성과가 감소됨을 확인할 수 있었다. [연구의 시사점]경영자 능력이 기업의 미래성과를 창출하는 중요한 특성 중 하나인 요소 볼 수 있지만 경영자의 성향이 비윤리적이고 기업의 미래 가치를 위한 투자나 성향에 부정적일 경우 경영자의 능력이 미래성과에 기여함이 감소될 수 있다. 본 연구는 최근 경영자 능력의 기업의 성과나 가치에 부정적인 결과(Francis et al., 2013;전주성, 2011;김형국, 2018;Chang et al., 2010)에 대해 조세회피와 같은 기회주의적 행위가 미치는 영향을 제안한 것에 의미가 있을 것으로 보인다.

Managerial Ability and Accounting Conservatism - US Evidence

( Eunggil Kim ),( Soongsoo Han ),( Tony Kang ),( Gun Lee ) 한국회계학회 2021 會計學硏究 Vol.46 No.2

In this study, we investigate whether the managerial ability is associated with accounting conservatism and how demand for accounting conservatism affects the association. While prior literature in the area of accounting conservatism has largely focused on firm-specific characteristics, we investigate manager-specific effects using the measure of managerial ability. Using a sample of US firms for the period of 1988-2019, we find that firms with high ability managers are less likely to use conservative accounting. More importantly, we show that the association becomes weaker when the usefulness of accounting conservatism is the most - i.e., when firms are highly leveraged. Overall, our result suggests that high ability managers are more likely to resolve uncertainty in their performance by their operational ability so that they have less incentive to use conservative accounting. In addition, although managerial ability could be a substitute for conservative accounting to some extent, conservatism is still a useful mechanism to alleviate information asymmetry, especially when demand for conservatism is higher. This paper shed new light on the role of managerial ability in the choice of the level of conservatism.

경영자 능력과 감사인의 산업전문성

김범준 ( Bum-joon Kim ),박진하 ( Jin-ha Park ),현지원 ( Jiwon Hyeon ) 한국회계학회 2018 회계저널 Vol.27 No.2

본 연구에서는 경영자 능력에 따라 감사인 선택이 차별적으로 이루어지는지 여부를 분석하였다. 선행연구에 따르면, 유능한 경영자는 사업에 대한 이해가 높을 뿐만 아니라 자신의 높은 명성을 유지하기 위하여 기회주의적인 사적이익 추구 동기가 낮으며, 재무보고의 질이 높아 경영자와 주주간 대리인 비용이 낮다. 따라서 첫 번째 가설에서는 경영자의 능력이 높은 기업일수록 프리미엄 감사인인 산업전문감사인을 선임할 가능성이 낮을 것으로 예상하고 분석을 수행하였다. 다음으로 두 번째 가설에서는 경영자의 능력과 산업전문감사인 선임 간의 관계에 이사회의 독립성이 어떤 영향을 미치는지 분석하였다. 실증분석결과, 경영자의 능력과 산업전문감사인 선임 간의 유의한 음(-)의 관련성이 존재하였다. 또한, 경영자의 능력이 낮은 경우에만 감사인 선임과정에 영향력을 행사할 수 있는 이사회의 독립성이 높을수록 산업전문감사인을 선임한다는 결과를 일부 모형에서 부분적으로 발견하였다. 이러한 연구결과는 감사인 선임에 영향을 미치는 요인으로 기존의 기업수준(firm level)의 특성을 확장하여 경영자 특성을 분석함으로써, 감사인 선임 결정요인과 관련된 선행연구를 확장하였다는 점에서 공헌점이 있다, 또한, 독립적인 이사회의 역할이 감사인 선임에 있어서 중요한 요인이라는 선행연구결과와 일관된 실증결과를 제시함으로써 감사인 선임과정과 관련된 메커니즘을 이해하는데 기여한다. In this study, we investigate whether auditor selection is differentiated according to manager's ability. According to previous studies, able managers not only have a good understanding of their business but also have less incentive to pursue opportunistic proprietary interests due to their high reputation. Thus, high managerial ability will decrease the agency problem between manager and shareholders. Based on this theory, we first predict that the higher the managerial ability, the less likely it is to appoint a premium industry specialist auditor(ISA). Moreover, prior study shows that independent board has incentive to approve the industry specialist auditor to decrease agency problem in auditor selection process. Thus, we also investigate whether the relationship between the managerial ability and the auditor selection differed according to the board independence. The empirical results show that there exits a significantly negative relationship between the managerial ability and the possibility of appointing the industry specialist auditor. Next, when managerial ability is low, the higher the independence of the board, the more likely appointing ISA. However, this result is partially supported. Thus, this study contributes to extend the prior auditor selection literature by analyzing the effects of managerial characteristics on the selection of external auditors and by showing the importance of independent board.