Do manager-specific characteristics affect the Efficiency of bank branches?

Subject Areas : Applied Economics

حمید Kordbacheh ¹ ( مسئول مکاتبه )
نادر Mehregan ² ( ندارد )
بتول Taghavi ³ ( ندارد )

Received: 2012-05-21 Accepted : 2013-05-06 Published : 2012-12-21

Keywords: EN bank, Efficiency, the one-stage stochastic front, Manager’s characteristics,

Abstract :

This paper is to examine the effects of manager-specific characteristics on the efficiency of the commercial banks in Iranian banking system. To this aim, a one-stage stochastic frontier panel data model has been applied for a unique data set constructed based on the important characteristics related to the managers of the branches such as age, gender, education, experience, tenure in managerial position in the bank as well as managers mobility in a sampled branches of the EN Bank in Tehran over 1385 – 1387. The results show that the increase of managers’ age (till a specific period) as well as the duration of their activity in the bank can lead to greater efficiency of the branches. Moreover, managers’ education level and their academic education level as well as their movement within the branches have the indirect effects on the efficiency of the branches.JEL Classification: D22,D29,D62,C59