Corporate Governance and Operational Efficiency: Evidence from Russia

Abstract

Authors: Anastasia N. Stepanova National Research University The Higher School of Economics, anstepanova@hse.ru

Sergey Alexandrovich Kuzmin - National Research University "Higher School of Economics"

In this paper we investigate the influence of corporate governance over operational efficiency of Russian companies. We measure efficiency with frontier efficiency methods (DEA and SFA). Corporate governance quality is introduced into the model using the original corporate governance index that is calculated based on methodology proposed in the paper. Using the sample of 54 largest Russian companies we test the model of frontier efficiency and demonstrate the high level of significance of corporate governance index.