129,120 research outputs found
The effect of firm characteristics and good corporate governance characteristics to earning management behaviors
Purpose: This research is carried out to investigate the influence of firm characteristics and good governance characteristics to earnings management behavior. Furthermore, the research is expanded to determine the predictive discretionary accruals models in Indonesia. The author utilizing firm listed in Indonesia Stock Exchange during 2014 â 2018 as research object. Design/methodology/approach: The research samples is selected by utilizing the purposive sampling method. In addition, the data analyze is conducted through E-Views version 10. Three discretionary accruals models is used to define earnings management behavior. The research assumed firm characteristics factors such as financial performance, firm size, leverage, and share issuance activity and good governance characteristics such as board of directorsâ size and auditorâs size. Findings: The research discovers that firm characteristics can accentuate the earnings management behavior significantly. In other hand, in good corporate governance characteristics only big four auditor is significant. The research also find that discretionary accruals model of Jones, Dechow, and Kothari are predictive in Indonesia. Practical implications: The discoveries of this research provide understanding for investors that enforcement on both governance and monitoring mechanism are essential approach to reduce earnings management behavior. Originality/value: The research investigated three models of discretionary accrualsâ capability in predicting earnings management behavior, and found out all discretionary accruals model are still relevant to be use in predictive to define earnings management behavior in Indonesia.peer-reviewe
The Performance Implications of Fit Among Environment, Strategy, Structure, Control System and Social Performance
Purpose â The paper examined concept of corporate performance. The paper seeks to examine
the impact of corporate social performance on the relationship among business environment,
strategy, organization, and control system and corporate performance.
Design/methodology/approach â The paper is based on a synthesis of the existing literatures in
strategic management and accounting filed.
Findings â The paper finds that corporate social performance defined as stakeholder relationship
become one important dimension of the strategic behaviors that an organization can set to
improve corporate performance.
Research implication â the contextual variables as discussed in strategic management and
accounting domain will be contingent upon strategic behaviors, which are behaviors of members
in an organization.
Originality/value â The paper integrates the contextual variables including business
environment, strategy, organization structure, and control system with corporate performance by
using corporate social performance as moderating variable by means of a recent literatures study
from strategic management and accounting field.
Keywords Contextual variable, strategic behavior, corporate social performance, corporate
performanc
Investment performance and market share : a study of the German mutual fund industry
We study a set of German open-end mutual funds for a time period during which this industry emerged from its infancy. In those years, the distribution channel for mutual funds was dominated by the brick-and-mortar retail networks of the large universal banks. Using monthly observations from 12/1986 through 12/1998, we investigate if cross-sectional return differences across mutual funds affect their market shares. Although such a causal relation has been established in highly competitive markets, such as the United States, the rigid distribution system in place in Germany at the time may have caused retail performance and investment performance to uncouple. In fact, although we observe stark differences in investment performance across mutual funds (and over time), we find no evidence that cross-sectional performance differences affect the market shares of these funds. Klassifikation: G 2
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Audit exemption and the demand for voluntary audit: A comparative study of the UK and Denmark
This is the accepted version of the following article: Collis, J. (2010), Audit Exemption and the Demand for Voluntary Audit: A Comparative Study of the UK and Denmark. International Journal of Auditing, 14: 211â231, which has been published in final form at http://onlinelibrary.wiley.com/doi/10.1111/j.1099-1123.2010.00415.x/abstract.This study investigates the sufficiency of turnover as a surrogate for demand for voluntary audit and compares the determinants in the UK and Denmark. Empirical data for the study were drawn from government surveys of the directors of small private companies in both countries, which were based on the same research instrument, Bivariate tests support the hypothesised effects of turnover and a range of firm-specific factors suggested by economic rationality and agency theory. The main contribution of the study is the finding that turnover alone is not a sufficient surrogate for the costs and benefits of audit. The main predictors are turnover and a slightly different combination of management and agency factors in each country. The study provides a model that can be tested in other jurisdictions and its findings should be of interest to the accountancy profession and national regulators planning to introduce or revise audit exemption for small companies
Management Control Systems and Contextual Variables in the Hospitality Industry
Purpose â The paper examined management control systems (MCS) in Indonesian hospitality
sector. This study examines the impact of six contextual factors at one time to determine the
importance of each factor on the design of MCS.
Design/methodology/approach â The paper is based upon data collected through a survey sent
to âstarâ hotels in Central Java, Indonesia. Using Chenhall (2003) design, a regression equation
is run to examine the relationship between MCS and the contextual variables of environment,
technology, structure, size, strategy and culture.
Findings â The paper finds that higher levels of the contextual variables of technology, structure,
and culture are related to more sophisticated MCS while size is related to more traditional MCS.
Research limitations/implications âThese findings are related to the hospitality industry in
Indonesia. Future research could examine different settings (i.e. country, industry, etc) and
investigate the effect of each contextual variable on the relationships between MCS and firm
performance.
Originality/value â The present study extends the scope of MCS system in accounting literature
by testing Chenhall (2003) works on the relationship between contextual variables and MCS. It
attempts to fill the gap in contingency-based studies that have previously focused on one aspect
of contingency by considering six contextual factors. Furthermore, this paper also contributes to
a fuller understanding of MCS practices in Indonesia and the hospitality industry and helps
management in determining its most effective design.
Keywords Hospitality management, Management Control Systems, Indonesia, Contextual
Variable
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Measuring the effect of customer relationship management (CRM) components on the non financial performance of commercial banks: Egypt case
This paper presents customer relationship management (CRM) components as applied on the Egyptian Commercial Banks, examined from the bankers' point of view. Then, it intends to measure their effect on the level of customer satisfaction and loyalty from the customersâ point of view as examples of the non financial performance measures. The paper is quantitative in nature and consists of two different structured questionnaires using convenience/quota sampling. The first involved 180 employees in order to measure CRM applicability, and the second involved 270 customers to measure the level of customer satisfaction and loyalty and their effect on the Egyptian Commercial Banks' financial performance The findings show that the selected banks apply CRM components but the level of application differs from one bank to another. The results showed a significant positive relationship between CRM and customer satisfaction in the Egyptian Commercial Banks, when applying them together and not separately. In addition, there is a strong positive effect between customer satisfaction and loyalty which was reflected on the Commercial Banks' financial performance. The findings confirm the importance of studying and implementing CRM to achieve customer loyalty and improve the Egyptian Commercial Banks financial performance. Banks wishing to improve their relationships with customers need to focus on the CRM components to develop relevant and effective marketing strategies and tactics. The paper measures the CRM as a multidimensional construct as applied on the Egyptian Commercial Banks and relate it to the achievement of the ultimate goal of retaining customers to gaining a sustainable competitive advantage and achieve more profits
Work-related road safety risk assessment: utilisation of self-report surveys to predict organisational risk
Work-related driving safety is an emerging concern for Australian and overseas organisations. Research has shown that road crashes are the most common cause of work-related fatalities, injuries and absences from work. This study's objectives were to identify driver characteristics which pose potential risks to work-related driving safety within the organisation, as well as determining the value of such self-reported data to predict crash involvement and general aberrant driving behaviours. This paper reports on a study examining the predictive utility of predominant self-report questionnaires to identify individuals involved in work-related crashes within an Australian organisational fleet setting (N = 4195). Survey questionnaires included the Manchester Driver Behaviour Questionnaire (DBQ), Driver Attitude Questionnaire (DAQ), Safety Climate Questionnaire â Modified for Drivers (SCQ-MD) and Risk Taking. The tools were distributed through the companyâs internal mail system to employees who volunteered to participate in the study. An important finding to emerge was that a potential fleet "speeding culture" was identified from univariate analyses. For example, drivers were most likely to report engaging in speeding behaviours and also believed that speeding was more acceptable compared to drink driving, following too closely or engaging in risky overtaking manoeuvres. However, multivariate analysis determining factors associated with self-reported crash involvement revealed that increased work pressure and driving errors were predictive of crash risk, even after controlling for exposure on the road. This paper highlights the major findings of the study and discusses the implications and difficulties associated with utilising driver behaviour measurement tools within contemporary organisational fleet settings
Bankruptcy Prediction of Small and Medium Enterprises Using a Flexible Binary Generalized Extreme Value Model
We introduce a binary regression accounting-based model for bankruptcy
prediction of small and medium enterprises (SMEs). The main advantage of the
model lies in its predictive performance in identifying defaulted SMEs. Another
advantage, which is especially relevant for banks, is that the relationship
between the accounting characteristics of SMEs and response is not assumed a
priori (e.g., linear, quadratic or cubic) and can be determined from the data.
The proposed approach uses the quantile function of the generalized extreme
value distribution as link function as well as smooth functions of accounting
characteristics to flexibly model covariate effects. Therefore, the usual
assumptions in scoring models of symmetric link function and linear or
pre-specied covariate-response relationships are relaxed. Out-of-sample and
out-of-time validation on Italian data shows that our proposal outperforms the
commonly used (logistic) scoring model for different default horizons
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