기업수명주기에 따른 이사회 효과성과 감사보수 간의 관련성

Many previous studies have argued that effective boards spend a lot of money on managerial monitoring, but overlooked how this relationship varies at each stage of the firm life cycle. Therefore, the purpose of this study is to verify the relationship between board effectiveness and audit fees, and then analyze how this relationship differs for each stage of the firm life cycle. Such verification will suggest management strategies that firms should take at each stage of the firm life cycle to increase board effectiveness. From the analysis, board effectiveness is showed to be significantly and positively associated with audit fees. These results indicate that the higher the board effectiveness, the more the firm spends the management monitoring costs. By the firm life cycle stages, the effect of the board on monitoring costs was relatively high in the introduction, shake-out and decline stages, followed by the mature and growth stages. These results show that the more effective the board of directors, the greater the monitoring costs in an environment where future uncertainty and managerial opportunistic behavior are likely to be higher. In addition, board independence, size, and meeting frequency, which are board characteristics, are all positively related to audit fees. However, these relationships are different for each stage of the firm life cycle. In other words, board independence was differentially significant in the mature and growth stages, and the board size and meeting frequency were differentially significant in the decline stage. This study analyzed the relationship between board effectiveness and audit fees at each stage of the firm life cycle, and presented new evidence in the previous study on management monitoring. In addition, in order to increase board effectiveness, it presented a differentiated strategy that firm should take at each stage of the firm life cycle.