We provide new evidence on the behavior of boards in the ratification of management investment proposals by examining changes in total assets, acquisitions, and write-offs following the CEO turnover event with respect to industry classification. Using Parrino’s (1997) measure of industry homogeneity we find evidence to support the notion boards in homogeneous industries are better able provide value in evaluating management investment proposals. We report homogeneous industry member firms make fewer acquisitions, fewer write-offs, experience smaller cumulative abnormal announcement returns, and less equity volatility following CEO turnover. 1