Osterloh, M., &Frey, B. S. (2006). Shareholders should welcome knowledge workers as directors. Journal of Management &Governance, 10(3), 325-345.
The most influential approach of corporate governance, the view of shareholders’ supremacy does not take into consideration that the key task of modern corporations is to generate and transfer firm-specific knowledge. It proposes that, in order to overcome the widespread corporate scandals, the interests of top management and directors should be increasingly aligned to shareholder’ interests by making the board more responsible to shareholders, and ...