scholarly journals A company performance index for motor vehicle manufacturers: company performance measurement with environmental concerns

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Qinqin Zeng ◽  
Wouter Beelaerts van Blokland ◽  
Sicco Santema ◽  
Gabriel Lodewijks
Keyword(s):  
Decision Making ◽  
Performance Index ◽  
Motor Vehicle ◽  
Geometric Mean ◽  
Linear Method ◽  
Data Availability ◽  
Environmental Concerns ◽  
Company Performance ◽  
Content Type ◽  
A Company

PurposeCurrent literature presents limited measurement methods of quantifying manufacturers' performance with environmental concerns. The purpose of this paper is to construct a company performance index for benchmarking motor vehicle manufacturers (MVMs) with environmental concerns.Design/methodology/approachMethods of constructing the index include regression analysis, a modified linear method for normalizing variables and a geometric mean for aggregating variables into a single index IMVM (index for MVMs). A case study is conducted in 12 MVMs from 2008 to 2017. A sensitivity analysis with the simple additive weighting method is performed to analyze how different aggregation methods affect the final value. The index IMVM is assessed through a benchmark with three existing indices.FindingsThree realistic considerations are identified from MVMs, based on which proper and transparent methods are chosen to construct the IMVM. The construction of the index IMVM has been assessed through a benchmark against the methodologies of three other indices. The results indicate that the new measurement is feasible and effective for MVMs to measure their company performance from an environmental perspective.Practical implicationsThe construction of the index IMVM can support policymakers with accurate statistics for decision-making. As a response to current imperative climate policies, this paper raises awareness of CO2 emissions in vehicles' production. For statistical organizations and stakeholders in the investment world, this paper provides available and reliable statistics for trend analysis of different MVMs.Originality/valueA new method is designed for constructing a company performance index for MVMs. Three environmental variables are identified based on literature, their environmental impact as well as their data availability from public documents. A ranking by manufacturer with environmental concerns is generated. This index can contribute with available statistics and useful insights toward decision-making.

Technology adoption and company performance

2018 ◽  
Vol 22 (2) ◽  
pp. 143-161
Author(s):  
Yeong-Wha Sawng ◽  
Yongjae Park ◽  
Seok-Hong Jo ◽  
Seung-Lak Park
Keyword(s):  
Performance Index ◽  
Strategic Decision ◽  
Equation Modeling ◽  
Company Performance ◽  
Relative Importance ◽  
Smart Technology ◽  
Content Type ◽  
Internal Process ◽  
Smart Technologies ◽  
Interdisciplinary Study

Purpose The purpose of this paper is to provide useful implications for Korean export companies to adopt the smart technology to improve their performance in the era of industrial convergence with the interdisciplinary study between trade and technology management. Design/methodology/approach This study followed the five-stage procedure and methods. In the first stage, measurement items were developed in four performance factors: leaning and growth, internal process, customer and finance. In the second stage, data were collected by conducting two types of surveys: first, for Korean export companies that have adopted Radio frequency identification (RFID) to test the proposed model and analyze the performance and second, for RFID experts of industry-university R&D cooperation to measure the relative importance of factors and items. In the third stage, the model was verified with structural equation modeling. In the fourth stage, AHP was used to analyze the relative importance of factors and items. In the fifth stage, post-RFID adoption performance in Korean export companies was measured by a formula for the performance index. Through these five-stage procedure and methods, the final performance improvement strategies and practical implications are presented in the conclusion. Findings The framework finds that the total score of RFID post-adoption on company performance proved relatively low, which indicates that the effect of this technology on export companies’ performance is still unsatisfactory. And financial performance proved to be ‘top priority’ area, which requires the most urgent effort for improvement since its importance was higher than learning and growth, internal process and customer performance—but nonetheless its performance index was the lowest. This study finds that strategic decision making is required for adopting smart technology in the perspective of technology convergence to improve the performance of companies among heterogeneous industries. Research limitations/implications Despite the significant results of this study alone, it also has limitations. Therefore, the direction of the future study is as follows: future research should focus on finding specific impact factors enhancing post-adoption of smart technologies including RFID performance by conducting empirical studies that identify the factors affecting post adoption of smart technologies rate directly or indirectly. Originality/value In the current global market environment, not only technological convergence in the same kind of industry but also industrial convergence in the different kinds of industries are essential to manufacturing and service companies including to export companies with perspective of Innovation. This study has the value as an interdisciplinary study to actually measure the performance of a company by industrial convergence through the theme of adoption of smart technology in export companies.

scholarly journals Women on corporate boards and allocation of capital raised through IPOs

2019 ◽  
Vol 57 (3) ◽  
pp. 547-568 ◽  
Author(s):  
Bazeet Olayemi Badru ◽  
Nurwati A. Ahmad-Zaluki ◽  
Wan Nordin Wan-Hussin
Keyword(s):  
Decision Making ◽  
Governance Structure ◽  
Capital Allocation ◽  
Strategic Decision ◽  
Corporate Boards ◽  
Content Type ◽  
Investment Opportunities ◽  
Women On Corporate Boards ◽  
The Impact ◽  
A Company

Purpose The purpose of this paper is to examine whether the differences in men and women, such as risk aversion in decision making, can influence the amount of capital that the board of directors can allocate for investment opportunities. Design/methodology/approach This study sampled 212 IPOs over the period of 2005–2015 and employed the OLS and the quantile regression techniques to examine the impact of female directors on capital allocation. Findings The results show that women on corporate boards have a positive influence on the amount of capital an IPO company can allocate for investment opportunities. These findings suggest that the investment strategies of women in an emerging financial market, like Malaysia, may differ from women in other financial markets. Practical implications The presence of women on corporate boards plays an important role in board involvement in a company’s strategic decision at the time of the IPO. Therefore, regulators and IPO issuers should pay close attention to the corporate governance structure of a company at the time of an IPO. In addition, investors and other stakeholders of a company may consider women on corporate boards as an important factor in financing and investment decisions. Originality/value Despite several studies that have examined the influence of women on corporate boards on corporate outcomes, globally, the presence of women on corporate boards and their influence on corporate decision-making related to allocation of capital to investment opportunities, have not been fully explored in the IPO literature.

Crowdsourcing the ecosystem’s expectations: a decision-making process to manage the unmanageable

2014 ◽  
Vol 42 (3) ◽  
pp. 3-8 ◽  
Author(s):  
Haydn Shaughnessy
Keyword(s):  
Decision Making ◽  
Ecosystem Change ◽  
Content Type ◽  
Risk Levels ◽  
Continuous Innovation ◽  
Uncertainty Monitoring ◽  
Traditional Sense ◽  
High Level ◽  
Wealth Generation ◽  
A Company

Purpose – The author warns that nowadays a company must learn to be “co-productive” with an app developer community, a supplier community, a content community, an advocacy community or a customer ecosystem in order to stay competitive through continuous innovation. Leaders need new tools to promote informed decisions. Design/methodology/approach – The article shows how companies monitoring dynamic ecosystem change can develop crowd-based reporting scorecards to guide decision making. Findings – Increasingly it is the innovations and expertise of the ecosystem, not the talents and resources of the firm, that are crucial to its future wealth generation. But many of the consequences of ecosystem change are, in fact, unmanageable in any traditional sense. An experimental way to identify the uncertainty produced by a dynamic ecosystem offers decision support. Practical implications – The uncertainty monitoring experiments described in this article can clarify the risk levels and the need for preparatory investments. They offer a high level view of the dynamics of the new market ecosystem environment. Originality/value – This article offers cutting-edge insights for managers struggling to make decisions about investments related to the dynamic ecosystem of users, suppliers, partners and customers in their companies’ markets.

scholarly journals Doing it for the kids: the role of sustainability in family consumption

2016 ◽  
Vol 44 (11) ◽  
pp. 1100-1117 ◽  
Author(s):  
Elaine L. Ritch ◽  
Douglas Brownlie
Keyword(s):  
Decision Making ◽  
Empirical Work ◽  
Geographical Location ◽  
Well Being ◽  
Educational Interventions ◽  
Environmental Concerns ◽  
Exploratory Research ◽  
Social Resilience ◽  
Content Type ◽  
Family Consumption

Purpose The purpose of this paper is to explore social dynamics around food and clothing provisioning for young families and how involvement in environmental concerns shapes those dynamics and presents challenges and opportunities to in terms of evolving consumer tastes. Through collecting and analysing narratives of mothering, the authors explore the influence of children on decision making in household provisioning; in particular, how their education into sustainable concepts through the European initiative of eco-schools impacts provisioning. Design/methodology/approach The exploratory research design specifically sought the demographic profile identified in extant literature as engaging with sustainability issues to explore how they were interpreted into familial consumption. This resulted in 28 unstructured interviews exploring a range of related topics with a group of highly educated working mothers with a profession. Findings The study finds that family consumption behaviour is mediated by relations towards environmental concerns and taste positions taken by both parents and children. It illustrates how care for children’s safety, social resilience and health and well-being is habitus informed as well as being the subject of wider institutional logics including educational interventions such as school eco-status and participation in mother and child activity groups. However, tensions arose surrounding the children’s socialisation with peers and space was provided to help the children self-actualise. Research limitations/implications The exploratory goal of the study limited the scope of its empirical work to a small group of participants sharing consumer characteristics and geographical location. Practical implications The research provides ideas for retailers, brands and marketers to better position their product offering as it relates to growing family concerns for ecological issues and sustainable consumption, as well as what motivates sustainable behaviours, from both the child and mothers perspective. Social implications The research identifies the immersion of sustainability into family households when there are no financial implications, influenced through campaigns, schools and society. This provides examples of what motivates sustainable behaviours for retailers and marketers to develop strategies that can be capitalised on. Originality/value The originality of the research emerges through examining how children influence sustainability within households and decision making, moving beyond health implications to educate children to be responsible consumers through play and authentic experiences.

Environmental event materiality and decision making

2012 ◽  
Vol 27 (3) ◽  
pp. 284-298 ◽  
Author(s):  
Jeffrey Faux
Keyword(s):  
Decision Making ◽  
Research Approach ◽  
Policy Makers ◽  
Content Type ◽  
Environmental Event ◽  
User Groups ◽  
Environmental Events ◽  
A Company ◽  
Action Decision

PurposeThe purpose of this paper is to investigate environmental event materiality and user decision making, providing an empirical basis for reporting entities disclosures regarding material environmental events that further users' ability to make decisions.Design/methodology/approachA vignette describing an environmental event facing a company was provided to participants who were asked whether the event was deemed to be material and, second, whether the event would initiate an action or no action decision. The use of an experimental approach reveals results regarding the decision‐making process of users rather than relying on respondents stating preferences.FindingsResults indicate that user groups consider the environmental event to be material at a threshold of 6 percent. The determination of the event as material results in a “no action” decision that suggests isolated events of this size may not result in “action” decisions. The study has implications for policy makers and entities disclosing environmental events.Research limitations/implicationsThe experimental research approach adopted is primarily limited by the specific contextual nature of the event.Originality/valueEntity reporting of environmental events is receiving unprecedented levels of interest and this paper contributes to the materiality research and practice in this area.

How can a group of procurement experts select suppliers? An approach for group decision support

2014 ◽  
Vol 27 (4) ◽  
pp. 337-357 ◽  
Author(s):  
Arpan Kumar Kar ◽  
Ashis Kumar Pani
Keyword(s):  
Decision Making ◽  
Decision Support ◽  
Group Decision Making ◽  
Supplier Selection ◽  
Group Decision ◽  
Geometric Mean ◽  
Group Decision Support ◽  
Individual Decision ◽  
Individual Decision Making ◽  
Content Type

Purpose – The application of theories on group decision support is yet to be explored extensively in supplier selection literature, although the literature in both domains is extremely rich, in isolation. The purpose of this paper is to explore the application of group decision support theories for supplier selection. Design/methodology/approach – The row geometric mean method (RGMM) of the analytic hierarchy process (AHP) has been used in this study for the prioritization of group preferences under consensus. A case study was conducted to test the theories of consensual group decision making and compare it with other approaches based on AHP. Findings – The study establishes that the application of decision support theories for group decision making can improve the supplier selection process. Findings further imply that RGMM is more effective than eigen value method, for group decision making under consensus. Research limitations/implications – Methodologically, the study highlights the greater regularity in outcome of group decision making, vis-à-vis individual decision making, for the same decision-making context. Also, it highlights how RGMM is more effective since it preserves reciprocal properties and diversity in preferences better. Practical implications – The study establishes that firms can improve supplier selection processes by leveraging on the collective expertise of a group rather than depending on individual decision-making expertise. Originality/value – This study explores the application of different theories based on AHP for consensual group decision making. It compares different approaches based on AHP and establishes that RGMM is a superior approach for supplier selection.

Corporate brand building at SRF: challenge of selecting the brand consultant

2011 ◽  
Vol 1 (4) ◽  
pp. 1-27
Author(s):  
Jaydeep Mukherjee ◽  
Mukund Trivedy
Keyword(s):  
Decision Making ◽  
Subject Area ◽  
Management Program ◽  
Advertising Agency ◽  
Corporate Brand ◽  
Business Decision ◽  
Content Type ◽  
Brand Building ◽  
Postgraduate Level ◽  
A Company

TitleCorporate brand building at SRF: challenge of selecting the brand consultant.Subject areaThe case is about the selecting the agency to take up the brand building challenge of SRF Limited, a well established, large business in India having diverse lines of “industrial products”. The business decision problem of SRF stemmed from the fact that the corporate leadership team, which had to take a decision on the topic had considerable reservation about the appropriateness of each of short‐listed agencies for the job at hand. There were also differences of opinion on what would be the criteria for selecting the brand consultant. The Managing Director had to ensure that the team arrived at a consensus, rather than being foisted with a decision from top.Study level/applicabilityThis case can be taken up in executive education programs as well as the basic marketing management program at the postgraduate level or in a specialist advertising courses. The case can be taught in the core marketing course at the postgraduate level while discussing the selection on advertising agency.Case overviewThe decision‐making focus of the case is about selecting an advertising agency among a set of three, which was most suited to help SRF achieve the repositioning, branding and the awareness creation challenge. The agencies, however, were mostly experienced in building brands for consumer product which was distinct from industrial intermediaries company like SRF. As an organization, SRF had no experience of dealing with an advertising agency, thus the selection was quite a challenge. It brings to focus the decision‐making dilemma faced by a large number of companies in emerging markets which are making the transition to brand building.Expected learning outcomesThe following insights could be elucidated by the case: Help the students understand the corporate branding concept as distinct from product branding. Decision‐making dilemmas associated with corporate brand building for a company with long legacy of product branding.Criteria for evaluating the proposals by advertising agency from the perspective of a client organization.Supplementary materialsTeaching notes.

Analysis or intuition? Reframing the decision-making styles debate in technological settings

2020 ◽  
Vol 58 (1) ◽  
pp. 129-145 ◽  
Author(s):  
Ludovico Bullini Orlandi ◽  
Paul Pierce
Keyword(s):  
Decision Making ◽  
Information Processing ◽  
Data Availability ◽  
Mobile Technologies ◽  
Content Type ◽  
Processing Styles ◽  
Analytical Information ◽  
Decision Making Styles ◽  
Decision Making Processes

Purpose The debate over intuitive vs analytical decision-making styles began almost 40 years ago and had yet to deliver definite answers. The debate – however – has led to divergent theoretical stances and empirical results. The purpose of this paper is to investigate the role of these information processing styles in customer-related decision-making in the context of mobile technologies. Design/methodology/approach The hypotheses are derived from the contrasting theoretical propositions and empirical evidence present in the debate around decision-making styles. The study also introduces and investigates the moderating role of environmental dynamism (ED). Analyses and results are based on survey research that involves 251 managers with responsibility for organizational decision-making processes. Findings The study’s findings suggest that both intuitive and analytical styles are relevant in the actual context characterized by mobile technologies. Intuition still plays a central role in managers’ decision-making processes, but when the industry environment is highly dynamic analytical information processing also plays an essential role in supporting organizational responsiveness and performance. Practical implications This study can help managers in reconsidering the way in which they employ analytical or intuitive information processing activities inside their decision making at different levels of ED. Originality/value The novelty of this paper relies on testing hypothesis simultaneously developed by both the theoretical stances favorable to intuitive and to analytical information processing. Besides, it tests these hypotheses in the actual empirical context characterized by a transformed scenario in terms of data availability.

In GAAP We Trust: Examining How Trust Influences Nonprofessional Investor Decisions Under Rules-Based and Principles-Based Standards

2011 ◽  
Vol 24 (1) ◽  
pp. 25-46 ◽  
Author(s):  
Wendy J. Bailey ◽  
Kimberly M. Sawers
Keyword(s):  
Decision Making ◽  
Financial Reporting ◽  
Reporting System ◽  
Data Availability ◽  
Accounting System ◽  
Accounting Standard ◽  
Nonprofessional Investors ◽  
Investment Choices ◽  
A Company ◽  
Allocation Decisions

ABSTRACT In this study, we investigate whether and how trust in our current, more rules-based financial reporting system and type of accounting standard affects nonprofessional investor decision making. In an experiment, 151 nonprofessional investors analyzed two companies that were economically identical except for a single underlying financial reporting difference that allowed one company to more positively report its financial results. By itself, the type of standard (rules-based, principles-based) did not affect investment choices or allocation decisions. However, when trust was considered, nonprofessional investors who are less trusting of our current financial reporting system chose to invest in a company with more positive financial results only when evaluating principles-based financial statements. Conversely, the type of standard did not affect investor decision making for nonprofessional investors who trust our current financial reporting system. These results have implications for standard setters as we move to a more principles-based accounting system. Data Availability: Available on request.

The renewal of assets using a tool to aid decision making

2015 ◽  
Vol 53 (7) ◽  
pp. 1412-1429 ◽  
Author(s):  
Antonio Muñoz-Porcar ◽  
Mª Jesús Alonso-Nuez ◽  
Mónica Flores-García ◽  
Daniel Duret-Solanas
Keyword(s):  
Decision Making ◽  
Metallurgical Industry ◽  
Final Decision ◽  
Multi Criteria Decision Making ◽  
Content Type ◽  
Technical Parameters ◽  
Economic Decisions ◽  
Electre Method ◽  
Aid Decision ◽  
A Company

Purpose – The purpose of this paper is the application of a tool to assist the multi-criteria decision-making process for selecting an asset for a company in the metallurgical industry which manufactures metal parts for diverse industries. Design/methodology/approach – This investment, complex due to the commitment of resources it requires, has been made with the assistance of decision-making methodologies, specifically versions I and IV of the ELECTRE method. Findings – This model of multi-criteria decision making has been chosen over other models because it offers the possibility of including technical and economic decisions so they can be analyzed simultaneously, therefore the decision is not based solely on financial aspects. Many companies base their decisions exclusively on financial returns, however in this case it is also appropriate to include the technical parameters, since the asset being replaced is the most important asset of the company. Originality/value – Applying version I of the methodology, the optimal technical configuration of the asset will be analyzed based on the features requirements, all of which are among options available in the market. Once a subset of technically and economically viable alternatives has been defined, version IV will be applied and a ranking of the alternatives from the best to the worst will be obtained and, based on this ranking, the final decision will be made.

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