The unmaking of Video Symphony: personal ethics, business decisions, and management practices

2018 ◽  
Vol 14 (6) ◽  
pp. 648-671
Author(s):  
Stephen M. Rapier ◽  
Doreen E. Shanahan ◽  
Nancy E. Dodd ◽  
Jeffrey R. Baker
Keyword(s):  
Business Model ◽  
Management Practices ◽  
Ethical Decision Making ◽  
Managerial Behavior ◽  
Entertainment Media ◽  
Business Decisions ◽  
Content Type ◽  
Analog To Digital ◽  
Pepperdine University ◽  
Management Staff

Synopsis In the 1990s, Mike Flanagan foresaw video moving from analog to digital and developed an equipment rental business to meet the needs of the entertainment/media production industry. By 1996 he established a second company to offer training in the use of Avid, a digital video-editing program. Flanagan sold the rental business in 1998 and by 2002 expanded the training away from a business model to a full-fledged college business model. By 2014 what started as a successful training program developed into a negative interaction with the US Department of Education and Flanagan found himself being forced out of business. Research methodology This case was originally a client-based project conducted real time in an MBA-level marketing course at the Graziadio School of Business and Management at Pepperdine University. Relevant courses and levels The case is well suited for a variety of business and law courses that integrate ethical decision making in their curriculum at the undergraduate and graduate levels. The case allows for a greater understanding of the implications of managerial behavior tied to ethical beliefs and the possible outcomes that may result. It also allows for a stronger grasp of the integral nature of management, staff, consumers and outside organizations on the pervasive impact of non-ethical behavior. Last, this case creates a framework for students to assess how ethics influence managerial behavior that will affect an organization’s success. Theoretical bases What ethical duties and obligations does a business owe to its customers and other stakeholders? Is ignorance an excuse for failing to meet those ethical obligations?

Aligning management model and business model in the management innovation perspective

2015 ◽  
Vol 28 (1) ◽  
pp. 43-58 ◽  
Author(s):  
Alessandro Basile ◽  
Rosario Faraci
Keyword(s):  
Business Model ◽  
Conceptual Analysis ◽  
Dynamic Capabilities ◽  
Business Models ◽  
Management Practices ◽  
Organizational Level ◽  
Management Model ◽  
Management Innovation ◽  
Content Type

Purpose – The purpose of this paper is to present some evidence on the role of management models in the implementation or in the transformation of the business models, highlighting the pivotal role of managerial dynamic capabilities. The analysis provides relevant lines of managerial action both strategic and operational levels. Design/methodology/approach – An innovative conceptual analysis is proposed. Managerial dynamic capabilities play a central role in the coupled link between management model and business model at the organizational level. Findings – The authors propose a highly usable and generalizable conceptual model for management practices, strategic planning and operational assessment. Originality/value – This paper investigates a new emerging research stream of management innovation theory. The research presents a new and innovative conceptual analysis of management model and business model alignment. This theme has not been explored in prior researches and represents an experiment to pair the management model and the business model evidence.

Stock pledging and earnings management: an empirical analysis

2019 ◽  
Vol 27 (3) ◽  
pp. 350-372
Author(s):  
Sandhya Bhatia ◽  
Sangita Choudhary ◽  
Amish Dugar ◽  
Smita Mazumdar
Keyword(s):  
Earnings Management ◽  
Management Practices ◽  
Reporting Quality ◽  
Cash Flows ◽  
Decision Makers ◽  
Real Earnings Management ◽  
Managerial Behavior ◽  
Content Type ◽  
Agency Risk ◽  
The Impact

Purpose The purpose of this paper is to investigate the impact of agency risk implied in case of personal debt obtained by promoters through pledging of their stock on accrual and real earnings management practices. Design/methodology/approach In this paper abnormal accruals, as suggested in Dechow et al. (1995), and the real earnings management proxies as indicated in Dechow et al. (1998) and Roychowdhury (2006) are used. OLS regression is run over 29,054 firm-years of Indian companies starting from the year 2008 to 2016. Then the occurrence of earnings management is tested in firms in year t where promoters pledge/release their holdings from the pledge in year t+1. Findings The findings suggest that earnings management increases in the prior year with an increase in the proportion of promoters’ stock pledge in the subsequent year. The authors find evidence for increased earnings management through accruals and also for real earnings management using abnormal cash flows and abnormal discretionary expenses. However, the authors do not find real earnings management using abnormal production cost as a measure. Practical implications The paper has considerable implications on managerial behavior toward earnings management because of the flexibility managers have in applying accounting policies and authority in operating decisions under domestic GAAP, and IFRS and earnings are prone to management tactics, fostering agency risk when they relate to the welfare of decision makers. Originality/value This paper addresses the consequences of individual borrowing of promoters collateralized by their stake in the firm, which is a global phenomenon, on reporting quality.

Strategies for health and safety management in Ghana

2019 ◽  
Vol 18 (2) ◽  
pp. 431-450
Author(s):  
Kweku Bedu Simpson ◽  
Aloysius Sam
Keyword(s):  
Management Practices ◽  
Safety Management ◽  
Health And Safety ◽  
Sampling Techniques ◽  
Snowball Sampling ◽  
Construction Sites ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Content Type ◽  
Management Staff

Purpose This paper aims to investigate the contemporary strategies for Health and Safety (H&S) management practices at the construction sites in Ghana. Design/methodology/approach The study used a mixed method approach in conducting a cross-sectional survey at 28 active construction sites in the Kumasi and Accra metropolises of Ghana using questionnaires and interview guide by using purposive, convenience and snowball sampling techniques. Data were collected from 170 survey respondents and 18 interview participants comprising artisans and management staff. Findings On H&S management practices, the study found that most construction sites have policies for H&S delivery and are duly followed and enforced. Nonetheless, construction workers moderately agreed that there was reward for; the avoidance and reduction of accidents and illnesses, good H&S behaviour and provision for insurance and hospital claims. It was also revealed that most of the construction sites adopt either one or a combination of mandatory H&S standards. Generally, most workers possessed a fairly positive perception about the H&S management practices at their sites and were either satisfied or very satisfied with its performance. Research limitations/implications Generalizing the findings beyond the study areas is limited because of the use of the non-probability sampling techniques. Originality/value This study focused on the active construction sites in the study areas to investigate their H&S practices against the backdrop of numerous publications describing the general H&S situation in Ghana as poor. It revealed the current H&S performance of the construction sites for the benefit of the construction industry, researchers and the academia.

scholarly journals Management as a science-based profession: a grand societal challenge

2017 ◽  
Vol 40 (1) ◽  
pp. 5-9 ◽  
Author(s):  
Georges Romme
Keyword(s):  
Design Methodology ◽  
Management Practices ◽  
Management Practice ◽  
Managerial Behavior ◽  
Content Type ◽  
Distributed Intelligence ◽  
Management Technology ◽  
Societal Challenge ◽  
And Control ◽  
Practical Implications

Purpose The purpose of this paper is to explore how the quest for management as a science-based profession, conceived as a grand societal challenge, can be revitalized. Design/methodology/approach A reflective approach is adopted by questioning some of the key assumptions made by management scholars, especially those that undermine their capacity to inform management practice. One key assumption is that management needs to be done by a few people at the top of the organization; this idea is widespread but false. Findings An important finding is that the future of the management discipline may largely depend on the rise of new forms of management drawing on distributed intelligence and circularity of power and authority. Management scholars thus need to shift their attention from an almost exclusive focus on managerial intentions and behaviors to (the development and use of new) management technologies, similar to how modern aviation technology involves airplanes that only to a limited extent require intervention and control by a single pilot. Practical implications The practical implications of the shift from managerial behavior to management technology are illustrated by means of so-called circular management practices, also known as holacracy and sociocracy. Originality/value This paper provides a novel perspective on how the quest for science-based professionalism in management, as a grand societal challenge, can be revitalized.

R&D disclosures and earnings management

2019 ◽  
Vol 18 (1) ◽  
pp. 111-130
Author(s):  
Nadia Lakhal ◽  
But Dedaj
Keyword(s):  
Financial Crisis ◽  
Earnings Management ◽  
Voluntary Disclosure ◽  
Management Practices ◽  
Global Financial Crisis ◽  
Annual Reports ◽  
Managerial Behavior ◽  
Data Set ◽  
Content Type ◽  
Ifrs Adoption

Purpose The purpose of this paper is to examine the effect of Research and Development (R&D) disclosures on earnings management practices. Design/methodology/approach This study has been conducted by using a longitudinal archival data set of French companies belonging to the CAC All-Tradable index and instrumental variable estimations. Findings The results of the research highlight the moderating effect of International Financial Reporting Standards (IFRS) adoption and the financial crisis in this relationship. It also shows that R&D disclosures are negatively associated with earnings management. The findings also show that the IFRS adoption is complementary in its monitoring role of managerial behavior in reducing earnings management in the presence of R&D disclosures. Furthermore, this study finds that the negative effect of R&D disclosures on earnings management is more prevalent during the global financial crisis. Originality/value This study examined the consequences of the voluntary disclosure of R&D information in the French context. It introduces a measurement for the disclosure of R&D activities in annual reports through the construction of an R&D disclosure index.

An Empirical Study of New Age Employment in Tour Operations and Allied Areas

2015 ◽  
Vol 8 (1and2) ◽  
Author(s):  
Shyju P. J. ◽  
Rinzing Lama
Keyword(s):  
Information Technology ◽  
Factor Analysis ◽  
Empirical Study ◽  
Business Model ◽  
Management Practices ◽  
Tourism Sector ◽  
Human Resource Management Practices ◽  
Specific Factors ◽  
New Generation ◽  
Micro Enterprises

In this study, the authors makes an attempt to understand the aspirations of the new generation employees in tour operation business and allied areas. It is being attempted with the presumption that the takeover of information technology seeded the concept of micro enterprises in tourism which functions with the business model of low investment and good turnover. The focus was in identifying employee specific factors of encouraging and discouraging in nature in the fast growing tourism sector, especially job attrition and the dynamics of human resource management practices. Factor Analysis, independent sample t-test, multiple regression have been used to establish various relationships. The findings of the study are considered to be relevant since it quantitatively establish the dynamics of employment in tourism in India.

scholarly journals Advantages and potential challenges of data management in e-maintenance

2019 ◽  
Vol 25 (3) ◽  
pp. 378-396 ◽  
Author(s):  
Arian Razmi-Farooji ◽  
Hanna Kropsu-Vehkaperä ◽  
Janne Härkönen ◽  
Harri Haapasalo
Keyword(s):  
Data Management ◽  
Design Methodology ◽  
Management Practices ◽  
Future Research ◽  
Conceptual Approach ◽  
Content Type ◽  
Different Types ◽  
Maintenance Systems ◽  
Industry Leader ◽  
Practical Implications

Purpose The purpose of this paper is twofold: first, to understand data management challenges in e-maintenance systems from a holistically viewpoint through summarizing the earlier scattered research in the field, and second, to present a conceptual approach for addressing these challenges in practice. Design/methodology/approach The study is realized as a combination of a literature review and by the means of analyzing the practices on an industry leader in manufacturing and maintenance services. Findings This research provides a general understanding over data management challenges in e-maintenance and summarizes their associated proposed solutions. In addition, this paper lists and exemplifies different types and sources of data which can be collected in e-maintenance, across different organizational levels. Analyzing the data management practices of an e-maintenance industry leader provides a conceptual approach to address identified challenges in practice. Research limitations/implications Since this paper is based on studying the practices of a single company, it might be limited to generalize the results. Future research topics can focus on each of mentioned data management challenges and also validate the applicability of presented model in other companies and industries. Practical implications Understanding the e-maintenance-related challenges helps maintenance managers and other involved stakeholders in e-maintenance systems to better solve the challenges. Originality/value The so-far literature on e-maintenance has been studied with narrow focus to data and data management in e-maintenance appears as one of the less studied topics in the literature. This research paper contributes to e-maintenance by highlighting the deficiencies of the discussion surrounding the perspectives of data management in e-maintenance by studying all common data management challenges and listing different types of data which need to be acquired in e-maintenance systems.

scholarly journals Beyond agency and stewardship theory: shareholder–manager relationships and governance structures in family firms

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ann Sophie K. Löhde ◽  
Giovanna Campopiano ◽  
Andrea Calabrò
Keyword(s):  
Social Exchange ◽  
Family Business ◽  
Social Exchange Theory ◽  
Family Firms ◽  
Governance Structure ◽  
Managerial Behavior ◽  
Exchange System ◽  
Content Type ◽  
The One ◽  
Over Time

PurposeChallenging the static view of family business governance, we propose a model of owner–manager relationships derived from the configurational analysis of managerial behavior and change in governance structure.Design/methodology/approachStemming from social exchange theory and building on the 4C model proposed by Miller and Le Breton-Miller (2005), we consider the evolving owner–manager relationship in four main configurations. On the one hand, we account for family businesses shifting from a generalized to a restricted exchange system, and vice versa, according to whether a family manager misbehaves in a stewardship-oriented governance structure or a nonfamily manager succeeds in building a trusting relationship in an agency-oriented governance structure. On the other hand, we consider that family firms will strengthen a generalized exchange system, rather than a restricted one, according to whether a family manager contributes to the stewardship-oriented culture in the business or a nonfamily manager proves to be driven by extrinsic rewards. Four scenarios are analyzed in terms of the managerial behavior and governance structure that characterize the phases of the relationship between owners and managers.FindingsVarious factors trigger managerial behavior, making the firm deviate from or further build on what is assumed by stewardship and agency theories (i.e. proorganizational versus opportunistic behavior, respectively), which determine the governance structure over time. Workplace deviance, asymmetric altruism and patriarchy on the one hand, and proorganizational behavior, relationship building and long-term commitment on the other, are found to determine how the manager behaves and thus characterize the owner's reactions in terms of governance mechanisms. This enables us to present a dynamic view of governance structures, which adapt to the actual attitudes and behaviors of employed managers.Research limitations/implicationsAs time is a relevant dimension affecting individual behavior and triggering change in an organization, one must consider family business governance as being dynamic in nature. Moreover, it is not family membership that determines the most appropriate governance structure but the owner–manager relationship that evolves over time, thus contributing to the 4C model.Originality/valueThe proposed model integrates social exchange theory and the 4C model to predict changes in governance structure, as summarized in the final framework we propose.

Earnings management and equity incentives: evidence from the European banking industry

2019 ◽  
Vol 27 (2) ◽  
pp. 244-261 ◽  
Author(s):  
Mohammad Alhadab ◽  
Bassam Al-Own
Keyword(s):  
Earnings Management ◽  
Management Practices ◽  
Banking Industry ◽  
Future Research ◽  
Loan Loss ◽  
Content Type ◽  
Loan Loss Provisions ◽  
Equity Incentives ◽  
European Banking ◽  
European Banks

Purpose This study aims to examine the effect of equity incentives on earnings management that occurs via the use of loan loss provisions by using a sample of 204 bank-year observations over the period 2006-2011. Design/methodology/approach The authors use the data of 39 European banks to test the main hypothesis. Several valuation models and regressions are used to measure the main proxies for executives’ compensation and the determinant factors of loan loss provisions. Findings The empirical results reveal that earnings management that occurs via discretionary loan loss provisions is associated with equity incentives in the banking industry. In particular, European banks’ executives with high equity incentives are found to manage reported earnings upwards by reducing loan loss provisions. The results therefore show that income-increasing earnings management via discretionary loan loss provisions is widely practised by the executives of European banks and that this is partly motivated by executives’ compensation. Practical implications The findings of this paper present important implications for regulators in the European Union, who should take further steps to reform the regulatory environment to monitor and mitigate the earnings management practices that occur via the manipulation of loan loss provisions. Earnings management practices do not just negatively affect subsequent performance but are also found to lead to firms’ failure. Thus, regulators should take the necessary reforms to protect the wealth of stakeholders (investors, creditors, etc.). Originality/value This study provides the first evidence on the relationship between equity incentives and earnings management in the European banking industry. The study sheds more light on an issue of great interest to a broad audience that does not receive much attention in the prior research, thus opening new avenues for future research.

Business strategy, performance appraisal and organizational results

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alberto Bayo-Moriones ◽  
Jose Enrique Galdon-Sanchez ◽  
Sara Martinez-de-Morentin
Keyword(s):  
Firm Performance ◽  
Human Resources ◽  
Performance Appraisal ◽  
Competitive Strategy ◽  
Management Practices ◽  
Robust Regression ◽  
Innovation Strategy ◽  
Content Type ◽  
The Impact ◽  
Developmental Performance

PurposeThe purpose of this study is to analyze how the design of performance appraisal is influenced by the competitive strategy of the firm. Then, this paper examines if the alignment between appraisal and strategy impacts firm performance.Design/methodology/approachThe study sample includes 258 Spanish firms in the manufacturing and services sectors. This information was gathered through questionnaires addressed to the CEO and the senior human resources manager. Several econometric models are estimated, using robust regression analysis and including a set of relevant control variables.FindingsA positive relationship is found between an innovation strategy and developmental performance appraisal. A cost strategy has a negative impact on the adoption of developmental performance appraisal. The findings also confirm that firms with a quality strategy and developmental appraisal have higher performance. In addition, firms adopting an innovation strategy and administrative appraisal enjoy higher return of equity.Research limitations/implicationsFuture research should analyze the dynamics of the relationships between appraisal, strategy and performance to rule out the flaws of cross-sectional data. Another potential extension is the analysis of the interactions of the design of other human resources management practices with both competitive strategy and firm performance.Practical implicationsFirms can improve performance by aligning performance appraisal design with strategy. Those with an innovation strategy should choose administrative appraisal, and those competing on quality should focus on developmental appraisal.Originality/valueThis paper compares the theoretical recommendations on performance appraisal for different competitive strategies, what firms actually do, and the impact that the alignment between appraisal and strategy has on firm performance.

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