scholarly journals The Relationship between CFO Compensation and Corporate Sustainability: An Empirical Examination of German Listed Firms

2021 ◽  
Vol 13 (21) ◽  
pp. 12299
Author(s):  
Mirko Profitlich ◽  
Yassin Denis Bouzzine ◽  
Rainer Lueg
Keyword(s):  
Corporate Sustainability ◽  
Future Research ◽  
Chief Financial Officer ◽  
Empirical Examination ◽  
Listed Firms ◽  
Agent Theory ◽  
Social Governance ◽  
Thomson Reuters ◽  
Cfo Compensation ◽  
The Relationship

In this paper, we analyze the relationship between Chief Financial Officer (CFO) compensation and Corporate Sustainability (CS) by relying on stakeholder-agent theory and institutional theory. Taking a closer look at the German DAX30 and MDAX firms for the business years 2014–2018 (313 firm-year observations), we perform regression and correlation analyses to determine if the different CFO compensation components are related to CS. Our analyses use the environmental, social, governance (ESG) performance as a proxy for CS, determined by the Asset Four database of Thomson Reuters and the CFO compensation data from the Beck et al. (2020) database, and reveal a positive relationship between CS and CFO compensation for pension and stock compensation. Based on our knowledge, this study is the first empirical study that takes a closer look at the relationship between the different CFO compensation components and CS for the German DAX30 and MDAX firms. This result comes with important implications concerning the design of CFO compensation and for future research.

scholarly journals Internal Control Personnel’s Experience, Internal Control Weaknesses, and ESG Rating

2020 ◽  
Vol 12 (20) ◽  
pp. 8645
Author(s):  
Ja Eun Koo ◽  
Eun Sun Ki
Keyword(s):  
Internal Control ◽  
Corporate Sustainability ◽  
Length Of Service ◽  
Listed Firms ◽  
Control Quality ◽  
Efficiency And Effectiveness ◽  
Internal Control Weaknesses ◽  
Accounting Expertise ◽  
The Relationship ◽  
Positive Effect

Effective internal control is expected to have a positive effect on Environmental, Social, and Governance (ESG) ratings, which are an indicator of corporate sustainability, as it ensures improvements in efficiency and effectiveness in operations, reliable reports, and compliance with applicable laws and regulations. However, no matter how well an internal control system is designed, internal control quality deteriorates if internal control (IC) personnel do not understand the firm’s business or lack accounting experience. This study first explores the relationship between ESG ratings and internal control weaknesses (ICWs). We then examine two types of career experience of IC personnel—length of service and accounting experience—and their effect on ICWs. We conduct logit regression analyses using the data of 1876 non-financial listed firms in Korea. The results show that ICW firms have low ESG ratings. We also find that the accounting experience of IC personnel is more closely related to ICWs than the length of service. This implies that the accounting expertise of IC personnel may have a greater effect on internal control quality than the understanding of a firm’s business. Overall, our findings provide evidence that firms must have IC personnel with sufficient accounting expertise for sustainable management.

scholarly journals Board Diversity and Corporate Sustainability Practices: Evidence on Environmental, Social and Governance (ESG) Reporting

2019 ◽  
Vol 10 (3) ◽  
pp. 31
Author(s):  
Aida Maria Ismail ◽  
Izrul Haida Mohd Latiff
Keyword(s):  
Voluntary Disclosure ◽  
Corporate Sustainability ◽  
Listed Companies ◽  
Board Members ◽  
Board Diversity ◽  
Thomson Reuters ◽  
Sustainability Practices ◽  
Relationship Of ◽  
The Relationship ◽  
Sustainability Practice

The emerging awareness on sustainability issues among Malaysian listed companies has increased the voluntary disclosure on environmental, social and governance (ESG) in the annual report. This study examines the relationship of board diversity on firm’s sustainability practices. Board diversity characteristics in terms of gender, age, board composition, board capabilities and board reputation are examined as to their influence towards firm’s sustainability practice. The data includes the ESG Scores of 38 listed companies in Malaysia for the period in 2010–2016 which was obtained from the Thomson Reuters Eikon™ Datastream. The result showed that board diversity traits such as age, board capabilities and board reputation are positively associated with firm’s sustainability practices. In contrast, women director and independent directors are negatively related with firm sustainability practice. Result of this study helps to provide another viewpoint on the roles played by board members, particularly their diversity representations as the determinant for corporate sustainability practice.

A conceptual model of knowledge sharing

2018 ◽  
Vol 10 (2) ◽  
pp. 238-260 ◽  
Author(s):  
Rayees Farooq
Keyword(s):  
Knowledge Sharing ◽  
Conceptual Model ◽  
Business Performance ◽  
Review Process ◽  
Theoretical Perspective ◽  
Future Research ◽  
Content Type ◽  
Industry Type ◽  
Thomson Reuters ◽  
The Relationship

Purpose The purpose of the study is to develop a conceptual model of knowledge sharing and how knowledge sharing is linked to business performance. The study proposes basic dimensions of knowledge sharing which seem to be poorly defined in the past literature. Design/methodology/approach The studies were explored from journals which are indexed (Scopus, Thomson Reuters and ProQuest) and specialized in knowledge sharing and business performance. Majority of the papers were available in electronic format, so that papers could be easily explored using the key terms. Various search engines were used to explore the studies such as Google scholar, Emerald insight and ProQuest. Published theses, conference proceedings, working paper series and work in progress were excluded from the search. The review process included the studies from 1987 to 2017. During the review process, papers were explored on the basis of key word search, namely, “Knowledge sharing”, “Business performance” and “Industry type” to reduce interpretation bias. Findings Knowledge sharing is the significant predictor of business performance and industry type moderates the relationship between knowledge sharing and business performance. The relationship between knowledge sharing and business performance is important in both manufacturing and service organizations. Knowledge sharing dimensions proposed are elementary in nature and require further refinement and development. Research limitations/implications The study was approached from a theoretical perspective and the model proposed can be empirically validated by identifying statements for each dimension. Future research should explore the following: As to what extent these dimensions reflect knowledge sharing? Are dimensions chosen carefully? Or do they emerge as a result of previous studies? Practical implications The model can be very helpful for managers and practitioners who want to study how knowledge sharing enhances business performance. Managers will be able to understand how industry-specific differences affect business performance through knowledge sharing. Originality/value Proposed conceptual model advances the theoretical base of knowledge sharing by suggesting dimensions based on comprehensive review of the literature. The study contributes to knowledge management and business performance literature.

scholarly journals Business Intelligence Capability, Complementary Resources and Performance among Public Listed Firms in Kenya

2020 ◽  
Vol 15 (9) ◽  
pp. 66
Author(s):  
Edward Buhasho ◽  
Agnes Wausi ◽  
James Njihia
Keyword(s):  
Business Intelligence ◽  
Mixed Methods Research ◽  
Capital Expenditure ◽  
Future Research ◽  
Cross Sectional ◽  
Listed Firms ◽  
Complementary Resources ◽  
Improved Performance ◽  
And Performance ◽  
The Relationship

Whereas Business Intelligence initiative has been a primary focus many organisations globally for several years and accounting for billions of dollars in capital expenditure, empirical research remains sparse on the actual impact derived from this investment. Even when the benefits are established, its indirect and delayed impact on business results make it difficult to assess its value. Available literature on how insights triggered by Business Intelligence are transformed into profitable business learning is vague and fragmented. Hence, the main objective of this study was to establish the influence of complementary resources on the relationship between Business Intelligence capability and firm performance. The study used interdisciplinary theories to achieve the research objective, namely, Information systems capability theory and organisational learning. The study was performed using a mixed methods research methodology and cross-sectional approach. Data was collected from 64 public listed companies in Kenya. Findings indicated that complementary resources have a positive and significant impact on the relationship between Business Intelligence capability and performance. The study contributed to theory by building a framework for business intelligence assessment, including factors that significantly lead to improved performance. The results also provide new insights into the existing literature and suggest directions for future research with implications for academia, policymakers and management.

scholarly journals OWNER-MANAGER CHARACTERISTICS INFLUENCE ON THE SMEs INNOVATION ORIENTATION OF SMEs: A LITERATURE EXPLORATION

2019 ◽  
Vol 1 (2) ◽  
pp. 01-11
Author(s):  
Ahmad Aminu Daneji ◽  
Kamran Shavarebi ◽  
Jeffrey Boon Hui Yap
Keyword(s):  
Relevant Literature ◽  
Innovation Process ◽  
Personal Characteristics ◽  
Innovation Adoption ◽  
Future Research ◽  
Empirical Examination ◽  
Study Objective ◽  
Research Activities ◽  
Policy Direction ◽  
The Relationship

The firm’s involvement in innovation became a necessary attribute for firms to remain competitive and successful. However, innovation is still considered a hallmark of large firms only. The literature on SME's involvement in innovation is scant and needs further exploration regarding the innovation process in the SME firms. This paper aims to hint the gap of knowledge related to the association between the owner-manager characteristics and innovation orientation at the SMEs. A review of relevant literature was exhausted for the achievement of the study objective. The findings of the study highlight that to fully explore the innovation process at the SME level, there is a need to divide the innovation concept into innovation creation and innovation adoption as two discrete concepts effected by the owner-manager personal characteristics. Literature hints at these two conceptualizations of the innovation among SMEs, but empirical examination is non-existence. Therefore, this work recommends future research endeavors to empirically examining the direction and strength of the relationship between owner-manager characteristics and SME's innovation performance in terms of creation and adoption. Moreover, literature and policy direction can be drawn from the respective research activities.

scholarly journals The Relationship Between Organizational Culture and Police Officer Wellbeing

2021 ◽  
Author(s):  
Silas Patterson
Keyword(s):  
Organizational Culture ◽  
Law Enforcement ◽  
Police Officer ◽  
Well Being ◽  
Police Culture ◽  
Future Research ◽  
Organizational Policy ◽  
Empirical Examination ◽  
Cultural Attitudes ◽  
The Relationship

This thesis examines the relationship between organizational culture and police officer well-being, using an empirical examination of one agency. Culture is important in law enforcement. Previous studies on police culture have typically sought to understand the effect of culture on officer behaviors. This thesis takes a different approach by examining the effects of culture on individual officer well-being. The results of this study indicates that culture is related to well-being, along certain dimensions. Cultural attitudes towards an organization’s administration and the citizens officers interact with are shown to be consistent predictors of well-being. The results of this study provide implications for future research along with police organizational policy.

scholarly journals The impact of corporate governance on market capitalization: evidence from Bahrain bourse

2016 ◽  
Vol 13 (3) ◽  
pp. 121-130 ◽  
Author(s):  
Muneer Mohamed Saeed Al Mubarak ◽  
Allam Mohammed Mousa Hamdan
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Ownership Structure ◽  
Fixed Effects ◽  
Future Research ◽  
Market Capitalization ◽  
Listed Firms ◽  
Econometric Methods ◽  
The Impact ◽  
The Relationship

Our study is based on the “Agency Theory”, as it interprets the relationship between corporate governance and market capitalization of firms listed in Bahrain Bourse (BB). Longitudinal data is used in this study from 36 listed firms in Bahrain Bourse during the period of 2009-2013. A set of econometric methods, including the fixed effects method, is used to overcome different measurement problems of such relationship. The study findings include a set of results that are related to effect of ownership structure and board of directors’ characteristics on market capitalization of firms. Based on these findings, a set of recommendations, along with study limitations and future research, are put forward.

Extending understanding of the internal marketing practice and employee satisfaction relationship: A budget Chinese airline empirical examination

2018 ◽  
Vol 25 (1) ◽  
pp. 88-98 ◽  
Author(s):  
Yu-Ting Huang ◽  
Sharyn Rundle-Thiele ◽  
Yen-Heng Chen
Keyword(s):  
Competitive Advantage ◽  
Employee Satisfaction ◽  
Structural Equation ◽  
Internal Marketing ◽  
Flight Attendants ◽  
Future Research ◽  
Marketing Practice ◽  
Empirical Examination ◽  
Future Research Directions ◽  
The Relationship

Enhanced internal marketing (IM) practice may deliver a competitive advantage for budget airline operators through increased employee satisfaction. This study examines the relationship between IM practice and employee satisfaction in a budget airline setting. A survey was administered to 252 flight attendants to investigate and analyse their perceptions of IM practice and current satisfaction with their employer. Data were analysed via structural equation modelling. The results indicate that IM practice impacted significantly on an employee's satisfaction with the budget airline. The findings suggest IM practice can be used by budget airline managers to deliver increased employee satisfaction, which in turn will enhance competitive advantage. Limitations and future research directions are outlined.

scholarly journals Environmental Disclosure and Stock Market Liquidity of Public Listed Firms in Malaysia

2019 ◽  
Vol 2 (1) ◽  
pp. 56-64
Author(s):  
Mohd Waliuddin Mohd Razali
Keyword(s):  
Stock Market ◽  
Environmental Information ◽  
Market Liquidity ◽  
Annual Reports ◽  
Future Research ◽  
Environmental Disclosure ◽  
Listed Firms ◽  
Bid Ask Spread ◽  
Thomson Reuters ◽  
Stock Market Liquidity

The frequency of environmental disclosure that implemented by public listed firms worldwide had been increased. This is because disclosure of environmental information can enhance the stock market liquidity. The main purpose of the research was to investigate the relationship between environmental disclosure and the stock market liquidity of public listed firms in Bursa Malaysia in term bid-ask spread. Disclosure of environmental information was measured by using content analysis of word counts in annual reports. There are 465 companies as the final samples from year 2016 had been investigated. The financial data were collected from Data Stream by Thomson Reuters while non-financial were gather from the annual reports. After accounting for control variables such as firm leverage, firm size and market to book ratio, the results showed that there has relationship between environment disclosure and stock market liquidity. Environmental disclosure had positive significant relationship with bid-ask spread. This suggested that high disclosure level of environmental disclosure helped the public listed firms to increase the stock market liquidity and enhance investor in making investing decision by increase firm transparency. For future research, this paper recommended to extend the study by using other variables such as trading volume and stock volatility as other measurements of stock market liquidity.

Payout differences between family and nonfamily listed firms: a socioemotional wealth perspective

2016 ◽  
Vol 6 (1) ◽  
Author(s):  
Manon Deslandes ◽  
Anne Fortin ◽  
Suzanne Landry
Keyword(s):  
Design Methodology ◽  
Family Firms ◽  
Family Firm ◽  
Future Research ◽  
Share Repurchases ◽  
Probit Regression ◽  
Socioemotional Wealth ◽  
Listed Firms ◽  
Definition Of ◽  
The Relationship

Purpose The objective of this study is to explain family firm payout decisions based on socioemotional wealth (SEW) considerations. Design/methodology/approach A sample of publicly listed Canadian companies is examined for the period from 2003 to 2008. Distinguishing family firms from nonfamily firms, a Probit regression is used to analyze the likelihood of making a payout. For payout firms, regressions are used to analyze the relationship between payout level (dividends and share repurchases) and payout mix and family firms. Findings Results indicate that family firms are more likely to make a payout than nonfamily firms. Among payout firms, the level of payout among payout firms is lower for family firms than for nonfamily firms and their portion of payout in the form of dividends is higher. Lone founder family firms have a lower likelihood of making payouts than other family firms. However, among payout firms, they pay out more than other family firms and have a smaller percentage of their total payout in dividends than other family firms. Research limitations/implications Results are impacted by the definition of what constitutes a family firm. Family ownership was used as a proxy for the underlying SEW considerations. Future research could involve interviews with family firm representatives to investigate the relative importance of SEW considerations in their payout decisions. Originality/value In providing an alternative theoretical framing of family firms’ payout policies, the study suggests that payout differences between family and nonfamily firms may be driven in part by SEW considerations.

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