Title: Branch manager characteristics and efficiency during capital controls

Authors: Eleftherios Aggelopoulos

Addresses: Department of Business Administration, University of Patras, University Campus, 26504, Rio – Patras, Greece

Abstract: This paper investigates the impact of manager characteristics on bank branch efficiency during the extreme economic event of capital controls. A unique branch-level data set comprising of accounting and personal managerial information of a representative Greek systemic bank is utilised. A profit-oriented bootstrapped DEA model is run for both the total branch network of the bank under investigation and a homogeneous group of its branches, covering the period from January 2016 to February 2017. It is found that university graduate managers outperform on average their colleagues with a secondary education level regardless of the sample used. In the case of the homogeneous sample, more experienced managers can tackle adverse crisis effects on branch performance more effectively than inexperienced managers; this is even more applicable to the large branches. In this homogeneous branch framework, management experience can satisfactorily compensate for educational limitations caused by a manager not having higher education qualifications.

Keywords: banking; bank branch efficiency; manager characteristics; experience level; educational background; accounting information; profit and loss statements; bootstrap DEA; capital controls; Greece.

DOI: 10.1504/IJBAAF.2018.089424

International Journal of Banking, Accounting and Finance, 2018 Vol.9 No.1, pp.44 - 60

Received: 17 Oct 2016
Accepted: 15 Jul 2017
Published online: 23 Jan 2018 *

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