scholarly journals The Influences of Independent and Female Directors on the Use Non-Financial Measures in the Evaluation of CEO Performance in Malaysia

2019 ◽  
pp. 16-25
Keyword(s):  
Performance Evaluation ◽  
Recent Decade ◽  
Independent Directors ◽  
Cross Sectional ◽  
Business World ◽  
Financial Measures ◽  
Female Directors ◽  
Efficiency Theory ◽  
And Performance ◽  
Research Domain

CEO compensation and performance evaluation has become a highly contention issue in the business world. Several factors appear to be behind the image problem but the uppermost is the dramatic increase in CEO reward in recent decade. Wage efficiency theory argues higher compensation would increase the performance but on the evaluation of CEO performance many issues are faced in selecting performance measurement indicators. The purpose of this paper is to extend discussions in evaluating the CEO performance in research domain. Based on agency theory, the model of this research is developed. The cross-sectional data was collected by questionnaires. By applying regression model, this study revealed that independent directors and female directors on the use of non-financial measures in CEO performance evaluation, are found to be positively associated with the use of non-financial measures which reinforce the findings of prior studies in regarding their influence on the use of non-financial measures in CEO and corporate performance evaluation. The ratio of female directors on the BOD is significantly and positively associated with the use of non-financial measures in the evaluation of CEO performance. This study contributes economically, socially and politically.

Board Independence and the Efficacy of Social Reporting

2017 ◽  
Vol 17 (1) ◽  
pp. 25-45 ◽  
Author(s):  
Mustafa A. Dah ◽  
Mohammad I. Jizi
Keyword(s):  
Recent Decade ◽  
Governance Structure ◽  
Independent Directors ◽  
Board Independence ◽  
Corporate Boards ◽  
Future Prospects ◽  
Csr Reporting ◽  
Corporate Governance Code ◽  
Effective Discharge ◽  
And Performance

ABSTRACT The recent decade of scandals, financial crisis, and loss in moral values questioned the soundness of firms' governance structure and held them more accountable to their societies. This put corporate boards under increased pressure to acknowledge their monitoring needs and respond to societal obligations. This paper offers a deepened understanding of the CSR-firm welfare relationship by suggesting its reliance on the participation of independent directors on corporate boards. Our findings show that higher board independence increases social disclosures. We also show that the effect of social disclosure on the firm's risk and performance is favorably affected by the participation of independent directors on corporate boards. Accordingly, we demonstrate that board independence not only facilitates firms' CSR reporting, but also positively influences the CSR-firm performance association. Board independence enhances the efficacy of CSR reporting by elevating the reliability of the disclosed information and amplifying its signaling power regarding the firm's future prospects. Our empirical evidence supports the U.K. corporate governance code main principles encouraging higher board independence for effective discharge of responsibilities.

scholarly journals Topical Issues in Corporate Governance Development in the Russia's Electric Power Industry

2019 ◽  
Vol 139 ◽  
pp. 01022
Author(s):  
G.I. Sheveleva
Keyword(s):  
Corporate Governance ◽  
Performance Evaluation ◽  
Electric Power ◽  
Boards Of Directors ◽  
Electric Power Industry ◽  
Social Engineering ◽  
Power Industry ◽  
Independent Directors ◽  
Corporate Governance Code ◽  
And Performance

Corporate governance in the Russian power companies is developing slowly, and its importance for increasing their investment appeal remains underestimated. In order to identify the main problems hindering such development, the assessment of corporate practices of these companies was carried out. It was performed mainly as per the criteria of the guidelines of Russia’s Bank on compliance with the principles of the Corporate Governance Code, as well as those not included in its guidelines. The results obtained were compared to those of the TopCompetence Corporate Governance Center, the Platforma Center for Social Engineering, the Center for Strategic Studies at the MGIMO University, the Corporate Governance Index of the Independent Directors Association and the HSE University. We benchmarked PJSC LUKOIL that ranks among the world's top 10 companies in terms of the total shareholder return as estimated by the Boston Consulting Group. On the basis of a generalization of all the obtained findings we delineated the topical issues of the development of corporate governance. These issues were mainly concerned with the Boards of Directors and were grouped according to the stages of their nomination, election, current operations and performance evaluation. The emphasis was put on the issues related to the adoption of new managerial technologies.

scholarly journals A study on the impact of Job Satisfaction on Job Performance of Employees working in Automobile Industry, Punjab, India

2017 ◽  
Vol 9 (1) ◽  
pp. 117
Author(s):  
Shaju. M. ◽  
Subhashini Durai
Keyword(s):  
Job Satisfaction ◽  
Performance Evaluation ◽  
Job Performance ◽  
Automobile Industry ◽  
Social Factors ◽  
Employee Performance ◽  
Exploratory Research ◽  
Business World ◽  
And Performance ◽  
The Impact

Performance evaluation is a major measure adopted by the organizations in evaluating the quantitative and qualitative contributions rendered by their employees. The competitive and employee oriented business world has now joined hands with the HR department in assisting and managing employee performance. Psycho-social factors of employees would be considered at various managerial levels for enhancing employees’ job performance. Job satisfaction is such a psychological attribute, whose contribution to the concept of employee performance is much more. A satisfied employee would have an emotional bond with the organization and takes pride in their membership, which paves way to keep up industrial integrity and a high morale. This is an exploratory research, attempting to discover how the dimensions of job satisfaction are significantly related to the job performance of an employee. The data were collected from employees working in Automobile industry, Punjab having experience of above or below 10 years, so as to ensure relatively accurate responses on performance evaluation at different groups of employees in the Automobile industry. The result shows the existence of a positive correlation between the dimensions of job satisfaction and performance of employees at both supervisors and workers levels working in the Automobile industry.

Impact of board characteristics on firm dividends: evidence from India

2019 ◽  
Vol 19 (6) ◽  
pp. 1204-1215 ◽  
Author(s):  
Neeti Khetarpal Sanan
Keyword(s):  
Gender Diversity ◽  
Cash Flows ◽  
Independent Directors ◽  
Cross Sectional ◽  
Dividend Payout ◽  
Content Type ◽  
Board Characteristics ◽  
Female Directors ◽  
Free Cash Flows ◽  
The Impact

Purpose This study examined the impact of board size, independence and gender diversity on firm dividend payout. Furthermore, it examined whether the board characteristic–dividend payout relationship was moderated by free cash flows in the firm. Design/methodology/approach A total of 118 Indian firms representing multiple industries were examined for a period of four financial years from 2013 to 2016. The data are in panel form given the cross-sectional and time series nature of the study. Random effects specification was used for analysis Findings Results of the study indicated that the proportion of independent directors and proportion of female directors on the board have a negative and significant effect on dividend payout. In addition, the results showed a negative and significant moderating role of free cash flows, which implied that the magnitude of the impact of the proportion of independent directors and the proportion of female directors on the board on dividend payout is significantly greater in firms with high free cash flows. Overall, the results suggested that firms whose board characteristics signaled strong governance paid lower dividends. Originality/value This study contributes to a nuanced understanding of internal governance mechanisms by presenting evidence of the substitution hypothesis from an emerging economy, one in which firms operate within a unique regulatory framework of board composition.

scholarly journals Pentingnya Ukuran Kinerja Nonfinansial dalam Balanced Scorecard, Komitmen Organisasi, dan Kinerja Manajerial

2020 ◽  
Vol 5 (2) ◽  
pp. 210-221
Author(s):  
Praja Hadi Saputra ◽  
Hamid Bone ◽  
Linayati Lestari
Keyword(s):  
Performance Evaluation ◽  
Organizational Commitment ◽  
Balanced Scorecard ◽  
Employee Performance ◽  
Performance Measurement System ◽  
Valuable Insight ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Nonfinancial Measures ◽  
And Performance

This study investigates the role of the degree of importance of using nonfinancial performance measures (in Balanced Scorecard) by superiors for performance evaluation in influencing employee performance through organizational commitment. This study adopted a quantitative research design and conducted a cross-sectional survey by questionnaire to collect responses from 118 local managers in Samarinda, Indonesia. Based on PLS analysis, the results of this study indicate that the use of nonfinancial measures in Balanced Scorecard for performance evaluation is significantly affect employee organizational commitment and directly affect managerial performance through organizational commitment. The results also prove that organizational commitment has a mediation role in the relationship between nonfinancial measures and performance. This study provides valuable insight that the degree of importance of the use of nonfinancial measures by superiors to evaluate performance can improve employee commitment and performance. Practically, the results provide an overview for superiors to be more comprehensive in developing a performance measurement system because the system has a crucial role in influencing employee behavior.

Characterization of the PEMFC Catalyst Layer by Cross-Sectional Visualization and Performance Evaluation

2019 ◽  
Vol 33 (1) ◽  
pp. 1465-1470
Author(s):  
Takahiro Suzuki ◽  
Shohji Tsushima ◽  
Shuichiro Hirai
Keyword(s):  
Performance Evaluation ◽  
Catalyst Layer ◽  
Cross Sectional ◽  
And Performance
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