The effects of IFRS adoption and firm size on audit fees in financial institutions in Ghana

2019 ◽  
Vol 32 (3) ◽  
pp. 436-453
Author(s):  
William Coffie ◽  
Ibrahim Bedi
Keyword(s):  
Financial Institutions ◽  
Firm Size ◽  
Financial Services ◽  
Audit Fees ◽  
Financial Services Industry ◽  
Content Type ◽  
Listed Firms ◽  
Ifrs Adoption ◽  
Services Industry ◽  
The Cost

Purpose This study aims to investigate the effects of international financial reporting standards (IFRS) adoption and firm size on auditors’ fees determination in the Ghanaian financial industry. Design/methodology/approach The authors use the annual report of 52 listed and non-listed firms spanning from 2003 to 2014. Guided by the hypotheses, the authors conditioned audit fees on IFRS adoption and firm size and execute robust fixed effects panel regression. Findings The results show that IFRS adoption has a positive coefficient with audit fees suggesting that the adoption of IFRS, indeed, increases the audit fees paid by banks and insurance firms, as well as the industry as a whole. The results are consistent with the idea that IFRS adoption increases auditor efforts with respect to time and complex nature of some aspect of the standards. Again, as expected, the coefficient of size is positively and significantly related to audit fees. This indicates that the size of the auditee plays a vital role in determining audit fees. Research limitations/implications The study is limited by industry (i.e. the financial services industry) and geography (i.e. Ghana). The authors propose further research that will widely consider other sectors and countries to improve the current scanty literature in this area. Besides, theoretically, the study is limited to the lending credibility theory and feels compelled to reiterate the importance of considering alternative theoretical perspective(s) in future research. Practical implications This study is significant to practitioners as it demonstrates the importance of the determinants of the auditors’ fees. It helps auditors to apply the relevant charging formula when determining audit fees, while it helps managers to improve upon the quality of reporting to control audit bill and forecasting their audit expenditure. Originality/value The results of the study extend the literature on the cost side of IFRS adoption by investigating the financial services industry and non-listed firms in a new context, i.e. a developing country where this research is uncharted. The existing studies based their analysis on either cross-section or pooled analysis and shorter post-adoption period (Cameran and Perotti, 2014). However, using an extended post-adoption period data, the authors base the study on analytical panel model, which directly examine the cost side of IFRS adoption with size as joint key explanatory variables with emphasis on financial institutions and external auditors.

Islamic financial institutions: conduits for money laundering?

2020 ◽  
Vol 23 (2) ◽  
pp. 285-295
Author(s):  
Siti Faridah Abdul Jabbar
Keyword(s):  
Money Laundering ◽  
Financial Institutions ◽  
Financial Services ◽  
Design Methodology ◽  
Financial Services Industry ◽  
Review Of Literature ◽  
Content Type ◽  
Islamic Financial Institutions ◽  
Services Industry

Purpose The purpose of this paper is to discuss various situations in the Islamic financial services industry that are asserted to facilitate money laundering and the counter-arguments to the assertions. Design/methodology/approach The approach adopted by this paper is a review of literature and of several practices of Islamic financial institutions in a number of countries. Findings There is no evidence to support the contentions that Islamic financial institutions facilitate money laundering. Further, Islamic financial institutions are not any more susceptible to money laundering than conventional financial institutions are. Originality/value This paper demonstrates that Islamic financial institutions are not conduits for money laundering.

Affluent and Nonaffluent Consumers′ Needs: Attitudes, and Information‐Seeking Behaviour in the Financial Services Marketplace

1990 ◽  
Vol 4 (4) ◽  
pp. 41-54 ◽  
Author(s):  
Edward G. Thomas ◽  
S.R. Rao ◽  
Rajshekhar G. Javalgi
Keyword(s):  
Statistical Analysis ◽  
Discriminant Analysis ◽  
Survey Data ◽  
Financial Institutions ◽  
Financial Services ◽  
Information Seeking ◽  
Financial Services Industry ◽  
Market Segments ◽  
Information Seeking Behaviour ◽  
Services Industry

Considers the proliferation of products and services in the financial services industry aimed at different market segments. Highlights the affluent and nonaffluent market segments. Employs statistical analysis of survey data to evaluate the financial services needs, attitudes, and information‐seeking behaviour of these segments. Suggests implications for the managers of financial institutions, based on the study findings. Includes appendices on methodology and discriminant analysis used in the study.

Operational Process Management in the Financial Services Industry

2010 ◽  
pp. 1084-1105
Author(s):  
Diana Heckl ◽  
Jürgen Moormann
Keyword(s):  
Financial Institutions ◽  
Financial Services ◽  
General Framework ◽  
Process Management ◽  
Dynamic Environment ◽  
Insurance Companies ◽  
Financial Services Industry ◽  
Operational Process ◽  
Production Processes ◽  
Services Industry

The financial services industry faces significant competitive pressures. Economic and political influences, incessant regulation, and fast changing markets make for a highly complex and dynamic environment. Thus, banks and insurance companies are forced to permanently improve their performance – raising process performance represents one of the biggest levers for success. This chapter analyses the challenges of operational process management for banks and insurance companies. The involvement of customers in service processes of financial institutions make these not as easy to manage as production processes. In response to these challenges, cornerstones for a general framework for operational management of service processes will be developed. The aim of this chapter is to present a framework for structuring service processes which allows combining influences by customers and an operational process management. The concept is based on the modularisation approach and will be demonstrated using a loan process as an example.

Prospects of an online dispute resolution framework for Islamic Banks in Malaysia

2017 ◽  
Vol 25 (1) ◽  
pp. 39-55 ◽  
Author(s):  
Umar A. Oseni ◽  
Sodiq O. Omoola
Keyword(s):  
Dispute Resolution ◽  
Financial Services ◽  
Internet Banking ◽  
Internet Survey ◽  
Islamic Banking ◽  
Financial Services Industry ◽  
Access To Justice ◽  
Content Type ◽  
Online Dispute Resolution ◽  
Services Industry

Purpose This study aims to examine the prospects of using an online dispute resolution (ODR) platform for resolving relevant Islamic banking disputes in the usual banker–customer relationship in Malaysia. It is argued that through proper regulation, such innovative dispute management mechanism would not only address some legal risks associated with banking disputes but could also prevent reputational risks in the Islamic financial services industry. Design/methodology/approach Based on an internet survey, responses were obtained from about 109 respondents in Malaysia. The data obtained were subjected to multivariate statistical analyses considering factors such as access to justice, attitude of stakeholders, resolving disputes, practical issues and understanding of ODR. Findings The results obtained showed that “access to justice”, “attitude of stakeholders” and “resolving disputes” are the most influencing factors affecting the intention to use ODR among stakeholders, particularly customers and bankers in the Islamic financial services industry in Malaysia. Practical implications This study provides a way in which the recently introduced Islamic Financial Services (Financial Ombudsman Scheme) Regulations 2015 can be better enhanced to cater for internet banking disputes which might require an ODR framework. Originality/value Though there have been numerous studies on the dispute resolution framework in the Islamic banking industry in Malaysia generally, the current study focuses on a less explored framework – ODR– a new framework for handling banking disputes.

The impact of entrepreneurial leadership on innovation management and its measurement validation

2017 ◽  
Vol 9 (1) ◽  
pp. 2-19 ◽  
Author(s):  
Avanti Fontana ◽  
Soebowo Musa
Keyword(s):  
Financial Services ◽  
Innovation Management ◽  
Innovation Performance ◽  
Financial Services Industry ◽  
Entrepreneurial Leadership ◽  
Content Type ◽  
Two Samples ◽  
Measurement Validation ◽  
Services Industry ◽  
The Impact

Purpose This paper aims to validate the measurement of entrepreneurial leadership (EL) in the context of innovation management and strategic entrepreneurship, and to examine the relationship between EL and the innovation process (IP). It proposes the measurement of EL and outlines the reason and the importance of EL in the IP. The study further examines whether the IP would have direct impact on innovation performance. Design/methodology/approach The paper opted for an explanatory and confirmatory study using a quantitative approach employing an online survey/questionnaire distributed to two groups of employees representing middle and senior management having mixed background such as finance, marketing, operations and management. The first group consists of 222 respondents spread across multiple industries, and the second group consists of 60 respondents mainly from the financial services industry to validate the measurement of the EL construct. Findings The paper provides empirical insights into the validation of EL measurement through two samples, and on the impact of EL in fostering all elements in the IP (i.e. idea generation, idea selection and development or idea conversion and idea diffusion). The paper also confirms some of the literature views on the difficulty of identifying a significant relationship between the IP and innovation performance. It suggests counterintuitively that the IP may not necessarily have a positive relationship with innovation performance. Research limitations/implications Most of the respondents were those from the financial services industry, which may have an impact on the overall model but less on the validation of the EL measurement. The research affirms the theoretical concept of the dimensions of EL and validates its measurement. The research also shows intriguing findings on the missing link between the IP and innovation performance. Therefore, researchers are encouraged to identify variables or factors that should link the influence of the IP on innovation performance so that the contribution of innovation management to competitiveness can be clearly identified. Practical implications The research validates the measurement of the EL construct, which could be used as a screening tool in measuring the EL capacity at all levels within an organization as part of its leadership development in fostering its IP. Originality/value This paper fulfills an identified need to have a validated measurement of EL and its relationship with the IP.

scholarly journals The risk level of Vietnam non-banking investment and financial services industry under financial leverage during and after the global crisis 2007-2011

2013 ◽  
Vol 3 (3) ◽  
pp. 48-55
Author(s):  
Dinh Tran Ngoc Huy
Keyword(s):  
Financial Services ◽  
Analytical Methods ◽  
Risk Level ◽  
Financial Services Industry ◽  
Viet Nam ◽  
Traditional Model ◽  
External Financing ◽  
Financial Reports ◽  
Listed Firms ◽  
Services Industry

This paper estimates the impacts of external financing on market risk for the listed firms in the Viet nam non-banking financial services industry, esp. after the financial crisis 2007-2009. First, by using quantitative and analytical methods to estimate asset and equity beta of total 10 listed companies in Vietnam non-banking financial services industry with a proper traditional model, we found out that the beta values, in general, for many institutions are acceptable. Second, under 3 different scenarios of changing leverage (in 2011 financial reports, 30% up and 20% down), we recognized that the risk level, measured by equity and asset beta mean, decreases when leverage increases to 30% and vice versa. Third, by changing leverage in 3 scenarios, we recognized the dispersion of risk level increases (measured by equity beta var) if the leverage decreases down to 20%. Finally, this paper provides some outcomes that could provide companies and government more evidence in establishing their policies in governance.

Cooperation and Collaboration

2017 ◽  
Author(s):  
Gordon L. Clark ◽  
Ashby H. B. Monk
Keyword(s):  
Organizational Change ◽  
Financial Institutions ◽  
Financial Services ◽  
Financial Services Industry ◽  
Senior Managers ◽  
Changing Environment ◽  
Space And Time ◽  
Services Industry

Chapter 10 explains how and why new modes of cooperation and collaboration between, rather than within, institutions have become important. It summarizes the distinctive attributes of the global financial services industry. Critically, it looks at the value of cooperation and collaboration as a means of giving senior managers opportunities to adapt or extend the capacities of their institutions in a changing environment. This characterization of cooperation and collaboration is applied to the design of investment platforms bringing together financial institutions across space and time to invest in opportunities beyond inherited capabilities and resources. Findings relevant to the literature on organizational change are explored as a way to better understand the nature and shape of global financial services. The limits of cooperation and collaboration are identified with respect to the capacity of senior managers to make commitments on behalf of their organizations.

Operational Process Management in the Financial Services Industry

2010 ◽  
pp. 529-550 ◽  
Author(s):  
Diana Heckl ◽  
Jürgen Moormann
Keyword(s):  
Financial Institutions ◽  
Financial Services ◽  
General Framework ◽  
Process Management ◽  
Dynamic Environment ◽  
Insurance Companies ◽  
Financial Services Industry ◽  
Operational Process ◽  
Production Processes ◽  
Services Industry

The financial services industry faces significant competitive pressures. Economic and political influences, incessant regulation, and fast changing markets make for a highly complex and dynamic environment. Thus, banks and insurance companies are forced to permanently improve their performance – raising process performance represents one of the biggest levers for success. This chapter analyses the challenges of operational process management for banks and insurance companies. The involvement of customers in service processes of financial institutions make these not as easy to manage as production processes. In response to these challenges, cornerstones for a general framework for operational management of service processes will be developed. The aim of this chapter is to present a framework for structuring service processes which allows combining influences by customers and an operational process management. The concept is based on the modularisation approach and will be demonstrated using a loan process as an example.

Identity and Access Management

2011 ◽  
pp. 208-239
Author(s):  
Nick Pullman ◽  
Kevin Streff
Keyword(s):  
Financial Institutions ◽  
Financial Services ◽  
Financial Services Industry ◽  
Access Management ◽  
Broad Concept ◽  
Services Industry

This chapter discusses the role of identity and access management in the financial services industry. Identity and access management is a very broad concept that has far reaching rewards or consequences within an organization. This chapter provides a survey of the topics within identity and access management so that managers and security administrators of financial institutions can gain an understanding of the issues and possible solutions.

Brand knowledge transfer via sponsorship in the financial services industry

2014 ◽  
Vol 28 (6) ◽  
pp. 452-459 ◽  
Author(s):  
Sujin Yang ◽  
Sejin Ha
Keyword(s):  
Knowledge Transfer ◽  
South Korea ◽  
Financial Services ◽  
Corporate Image ◽  
Brand Awareness ◽  
Financial Services Industry ◽  
Content Type ◽  
Brand Knowledge ◽  
Services Industry ◽  
Sales Agents

Purpose – The main aim of this study is to develop a framework of brand knowledge transfer through sponsorship for sponsors within an insurance industry in South Korea. To this end, this study explores: how pre-event brand knowledge and perceived sponsor–event fit contribute to post-event brand knowledge and if and how consumers’ attitudes toward insurance agents play a role as a moderator in the model. Brand knowledge is examined in terms of brand awareness and corporate image. Design/methodology/approach – Using a paper-and-pencil survey method, data were gathered from consumers (n = 330) who participated in a parenting education program in which an insurance company partnered with a baby food manufacturer in South Korea. Hypotheses were tested using structural equation modeling. Findings – The results confirm the occurrence of brand knowledge transfer for sponsors via sponsorship. Pre-event brand awareness and corporate image affect post-event brand awareness and corporate image, respectively, while perceived event–sponsor fit affects both attributes of post-event brand knowledge. Further, consumer attitude toward sales agents partially moderates brand knowledge transfer. Research limitations/implications – Because the data focused on a single segment of sponsorship events in the financial service industry in South Korea, the results must be carefully applied to other forms of sponsorship, industries and cultures. Practical implications – This study highlights the effectiveness of sponsorship in the financial services industry. By aligning sponsorship events with sponsors’ characteristics and managing their brand knowledge, companies can maximize brand knowledge transfer contributing to brand equity. Originality/value – This study identifies consumers’ pre-extant attitudes toward sales agents as a moderator that controls brand knowledge transfer, the pre-event and post-event corporate image relationship, specifically.

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