scholarly journals Readabilty in management reports: extension and good governance practices

2021 ◽  
Vol 24 (1) ◽  
pp. 19-30
Author(s):  
Álvaro Melón-Izco ◽  
Francisco Javier Ruiz-Cabestre ◽  
Carmen Ruiz-Olalla
Keyword(s):  
Good Governance ◽  
Stock Exchange ◽  
Extensive Management ◽  
Visual Elements ◽  
Complex Information ◽  
Governance Practices ◽  
Buenas Prácticas

La legibilidad en los informes de gestión: extensión y buenas prácticas de gobierno corporativo. Este estudio expande el conocimiento sobre la legibilidad de los informes contables, su extensión y el cumplimiento de las empresas con las prácticas de buen gobierno. También cubre un vacío en el análisis de la legibilidad de la información narrativa escrita en español. Examinamos la legibilidad en los Informes de Gestión de las empresas españolas que cotizan en el Mercado Continuo de la Bolsa de Madrid durante el período 2010-2016. Los resultados revelan que los informes de gestión más extensos, es decir, aquellos con mayor cantidad de texto, son los menos legibles, y que el uso de elementos visuales en los informes ayuda a mejorar su legibilidad. Además, las empresas que siguen prácticas de buen gobierno, emiten información compleja con claridad, velocidad y simplicidad, lo que mejora la legibilidad de los informes contables. This study expands our knowledge about the readability of accounting narratives, their extension and companies’ compliance with good governance practices. It also covers a gap in the analysis of the readability of narrative information written in Spanish. We examined the readability in Management Reports of Spanish companies listed on the Continuous Market of the Madrid Stock Exchange during the period 2010–2016. The results reveal that the most extensive management reports — that is, those with the greatest quantities of text — are the least readable and that the use of visual elements in reports helps to improve their readability. Moreover, companies that follow good governance practices issue complex information with clarity, speed, and simplicity, which improves the readability of accounting narratives.

scholarly journals Thy Governance Matters: A Study on Governance Practices of Stock Exchanges in India

2021 ◽  
Vol 4 (1) ◽  
pp. 41-54
Author(s):  
Amit Majumder
Keyword(s):  
Organizational Structure ◽  
Insider Trading ◽  
Good Governance ◽  
Stock Exchange ◽  
Effective Control ◽  
Stock Exchanges ◽  
Outside Directors ◽  
Global Pattern ◽  
Governance Practices ◽  
Set Up

Historically the responsibility of ushering the practices of good governance, transparent management and effective control process for the corporate houses rests under the jurisdiction of those stock exchanges where the shares of the companies are listed. However, the very question of the management and governance of these stock exchange houses are always under the scanner across the globe in view of the limitations of their historic pattern of member-owned ‘non-profit’ kind of mutual organizational structure. The lacunae of that typical organizational structure was that their activities are primarily targeted towards members interests as well as that set up was not immune fully from the malice like insider trading and conflict of interest for office bearers and traders. In view of this following the global pattern the Union Government of India had decided for corporatization of stock exchanges thereby creating a separation of ownership, management and trading membership of stock exchanges which is formally known as demutualization and corporatization of stock exchanges. A committee was set up by the SEBI under the chairmanship of Justice M.H. Kania which had submitted the report in 2002 recommending corporatizations and demutualization of stock exchanges which become mandatory for every stock exchange in India to implement within a stipulated period of time. Against this backdrop the present study is conducted to make an overview of the present state of governance affairs of major stock exchanges in India. It has been observed that the corporatization and governance practices of the major bourses in India had followed governance practices like separation of the post of chairman and CEO, inclusion of public interest directors as outside directors in the board, adherence to code of conducts for directors, organizing frequent meetings of directors etc.

scholarly journals Transparency in executive compensation and corporate governance in Brazil

2011 ◽  
Vol 8 (3) ◽  
pp. 396-405
Author(s):  
Andre Carvalhal da Silva ◽  
Pedro Cochrane
Keyword(s):  
Corporate Governance ◽  
Executive Compensation ◽  
Good Governance ◽  
Stock Exchange ◽  
The Other ◽  
Significant Relation ◽  
Proxy Variables ◽  
Governance Practices ◽  
The Relationship ◽  
The U.S

Studies regarding executive compensation are still recent in Brazil, and are predominantly focused on qualitative surveys. Usually the reason given to justify the lack of studies in this area is the absence of available data, or the level of quality and transparency when the data exist. This study analyzes the relationship between governance practices and transparency in disclosure of executive compensation data by Brazilian companies. One of the contributions of this study to existing literature is the creation of an original transparency index for executive compensation. Using the listing of ADRs in the U.S. and on the “Novo Mercado” of the Brazilian stock exchange (BM&FBovespa) as proxy variables for good governance practices, the results show that companies with ADRs tend to be more transparent regarding executive compensation. On the other hand, there is no significant relation between executive compensation transparency and listing on Novo Mercado. This conclusion makes sense, given that the U.S. law includes detailed guidelines for information on executive compensation, whereas the Novo Mercado does not contain specific rules regarding disclosure of executive compensation.

Relationship between Code of Corporate Governance and Corporate Financial Performance (An Empirical Study of Food Companies Listed on KSE)

GIS Business ◽  
2017 ◽  
Vol 12 (4) ◽  
pp. 01-09
Author(s):  
Asma Rafique Chughtai ◽  
Afifa Naseer ◽  
Asma Hassan
Keyword(s):  
Corporate Governance ◽  
Stock Exchange ◽  
Securities And Exchange Commission ◽  
Executive Directors ◽  
Agency Conflicts ◽  
Cross Sectional ◽  
Return On Equity ◽  
Governance Practices ◽  
Code Of Corporate Governance ◽  
The Impact

The crucial role that implementation of Code of Corporate Governance plays on protecting the rights of minorities, shareholders, local as well as foreign investors cannot be denied. Companies all over the world are required to implement their respective Code of Corporate Governance for avoiding agency conflicts between companies management and stakeholders and for assuring transparency in accountability. This paper aims at exploring the impact of implementation of corporate governance practices (designed by Securities and Exchange Commission of Pakistan) have on the financial position of companies. For explanatory variables of the study, composition of the board as per the Code of Corporate Governance that comprises of presence of independent, executive and non-executive directors has been taken into consideration. Return on equity has been taken as an indicator of firms profitability i.e. the dependent variable. For this study, companies listed on food producing sector of Karachi Stock Exchange have been screened for excogitation of the relationship. It is an empirical research based on nine years data from 2007–2015. Using Hausman Test for selecting the data analysis technique between Fixed or Random, Fixed Cross Sectional Panel Analysis has been used for analysis of the data collected. Findings indicate that presence of independent, executive and non-executive directors as per the code requirements levies a significant impact on the profitability of companies indicated by return on equity. It is, thus concluded that companies should ensure compliance with code of governance practices to reduce not only the agency issues but also to increase their profitability.

Governance of Development Assistance: Issues and Challenges

2017 ◽  
Vol 63 (2) ◽  
pp. 252-264
Author(s):  
Navreet Kaur ◽  
Lhoukhokai Sitlhou
Keyword(s):  
Sustainable Development ◽  
Development Process ◽  
Good Governance ◽  
Development Assistance ◽  
Target Population ◽  
Poor Countries ◽  
Disaster Assistance ◽  
Governance Practices ◽  
Bilateral Assistance ◽  
Rich Countries

Good governance emphasises upon efficient and effective institutional mechanism, greater transparency, people’s participation, citizen-centric services and accountability. These reforms are not only limited to national governance practices but also applicable to distribution, disbursement and effectiveness of development assistance. The objective of development assistance is to provide opportunities to needy, deprived and disadvantageous sections of the society. The available data on development assistance clearly demonstrate that rich countries, Development Assistance Countries (DACs) provide financial assistance to poor countries and it has reached US$100 billion in recent years. Non-DAC bilateral assistance (NDBA) is more than US$8 billion in Office of Disaster Assistance (ODA) and US$5 billion annually in country programmable aid (CPA). Private aid (PrA) from DAC members contribute between US$58 billion and 68 billion per year. Total aid flows to developing countries currently amount to around US$180 billion annually. Multilateral aid agencies (around 230) outnumber donors and recipients combined. But the harsh reality is high percentage of illiteracy, high child mortality, gender inequality, prevalence of corruption and exclusion of needy people from the development process. The examination of the process and procedures involved in development process revealed that there are many challenges in the process adopted for allocation, methodological limitations, evaluation limitation, lack of coordination among multiple agencies, political compulsions of donor and recipient countries, transparency, accountability and multidimensional global financial markets compulsions. Certain measures can make development more inclusive and sustainable. Collective efforts of all agencies are the need of the hour to achieve the targets of sustainable development. Coordination among multiple agencies, capacity building of target population and involvement of private agencies in the development process will pave the way for sustainable development.

scholarly journals Editorial: Practical implications of governance and regulation

2021 ◽  
Vol 10 (2, special issue) ◽  
pp. 192-194
Author(s):  
Branka Mraović
Keyword(s):  
Western Europe ◽  
Good Governance ◽  
Special Issue ◽  
The Balkans ◽  
Regulatory Frameworks ◽  
Governance Practices ◽  
The Usa ◽  
Market Opportunities ◽  
Written Word ◽  
Practical Implications

The authors of papers in this special issue of the Journal of Governance and Regulation come from different parts of the world such as West and South Africa, South and Southeast Asia, the Middle East, the Balkans, Western Europe, and the USA, and offer interesting, vivid and educational experiences how countries with different economic, political, cultural and regulatory frameworks deal with global challenges, testifying that the universalism of science and good governance practices transcend geopolitical conflicts and divisions. Each of these papers sheds light on some aspect of governance and provides financiers, investors, regulators, scientists, managers, professionals, students, and other interested readers with useful insights into the market opportunities and challenges of developing countries. The practical implications of these academically written papers are supported by a solid research methodology that ensures the credibility of the written word and calls for new empirical verifications.

scholarly journals Short-run price performance of IPOs and corporate governance practices: Evidence from a frontier market

2018 ◽  
Vol 2 (1) ◽  
pp. 34-42 ◽  
Author(s):  
SMRK Samarakoon ◽  
KLW Perera
Keyword(s):  
Corporate Governance ◽  
Initial Public Offerings ◽  
Negative Impact ◽  
Stock Exchange ◽  
Sri Lankan ◽  
Governance System ◽  
Public Offerings ◽  
Price Performance ◽  
Governance Practices ◽  
Short Run

The short-run price performance of Initial Public Offerings (IPOs) indicates that the prices are often underpriced which is widely documented as a universal phenomenon. Corporate governance refers to the set of systems, principles and processes by which a company is governed. Establishing good corporate governance system in an IPO company makes good decisions which attract more outside investors. Therefore, this study examines whether there is any impact of corporate governance practices on short-run price performance of Sri Lankan IPOs. Study examined 44 fixed price IPOs which were listed on the Colombo Stock Exchange (CSE) during the period of 2003 – January to 2015- December. The study found that Sri Lankan IPOs underprice by 30% on AR, which is statistically significant at 5% level. Further, it found that block holder ownership (ownership concentration), CEO duality and existence of the non-executive directors in the board are positively related to the short-run underpricing, which are statistically significant at 5%. But, the board size has a significant negative impact on underpricing. These relationships are in line with the international literature which confirms that the corporate governance practices have significant impact on short-run price performance of IPOs in Sri Lanka. These findings also support the agency and signaling theories.

scholarly journals Empirical Assessment of Good Governance in the Public Sector of Malaysia

2019 ◽  
Author(s):  
Maizatul Akmar Khalid ◽  
Md. Mahmudul Alam ◽  
Jamaliah Said
Keyword(s):  
Public Sector ◽  
Good Governance ◽  
Primary Data ◽  
Policy Makers ◽  
The Public ◽  
Governance Systems ◽  
Governance Practices ◽  
The Status ◽  
Questionnaire Respondent ◽  
Service Groups

To improve the trust of citizens and delivery of services, employing good governance principles in the public sector is very crucial. Despite efforts to improve service delivery, criticisms and complains toward public services remain evident. This study aims to assess the status of good governance practices in the public sector of Malaysia. Primary data were collected from the responses of 109 department heads under 24 federal ministries to a survey questionnaire. Respondent perception of good governance practices was measured using a seven-point Likert scale and analyzed by descriptive statistics and path measurement modeling. Standard diagnostic tests were also conducted to check the reliability of the data and model. Results indicated that nine factors were significant in the measurement of good governance practices. However, very few people in the public sector of Malaysia practice fraud control, which is at the lowest intensity. Among the service groups, the engineer group practiced good governance at the highest level, whereas the health service group practiced good governance at the lowest level. Therefore, still there are scopes available to improve good governance systems to become more reliable and efficient public sector in Malaysia. Findings of the study will help policy makers improve the efficiency of the public sector of Malaysia and other countries.

scholarly journals The Relationship Between Corporate Governance Practices and Financial Performance: Evidence from Amman Stock Exchange

2021 ◽  
pp. 63-87
Author(s):  
Hussein Ahmad Bataineh ◽  
Sulaiman Salim Al Harthy ◽  
Raqiya Ali Al Balushi
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Stock Exchange ◽  
Predictor Variable ◽  
P Value ◽  
Amman Stock Exchange ◽  
Governance Practices ◽  
Unit Increase ◽  
Beta Coefficient ◽  
The Relationship

The objective of the study was to establish the relationship between corporate governance Index and financial performance and evidence from Amman stock exchange. To achieve this objective, this study applied descriptive research structure. In this case, the research focused on the 181 firms listed at the Amman Stock Exchange (Appendix I). The statistical techniques that was applied to analyze collected data included descriptive statistics. The information analyzed revealed that the model summary indicated that the R² to be 0.243. This meant that 24.3% of the variation in performance (ROA) was due to the predictor variable captured in the study. This also implied that 75.7% of the variation in ROA was attributed to the measurements of error and other factors that could have had an effect on the ROA but were not captured in the study. The estimated model showed that ROA when other factors are held constant was 1.610. The outcomes also revealed that governance score had a beta coefficient of 0.573 indicating that for every unit increase in governance score on the ROA went up by 0.573. This relationship is significance since P-value of 0.025<0.05. Therefore, the model qualified as a good predictor. Keywords: Corporate Governance, Financial Performance, Amman stock Exchange.

scholarly journals PROBLBEM SOVING AND DECISION MAKING TRAINING FOR VILLAGE OFFICIALS TO IMPROVE THE QUALITY OF VILLAGE FINANCIAL MANAGEMENT IN CIAWI DISTRICT, BOGOR REGENCY

ICCD ◽  
2019 ◽  
Vol 2 (1) ◽  
pp. 588-590
Author(s):  
T Herry Rachmatsyah ◽  
Harry Nenobais
Keyword(s):  
Decision Making ◽  
Financial Management ◽  
Good Governance ◽  
Skills Training ◽  
Simulation Methods ◽  
Group Discussions ◽  
Governance Practices ◽  
The Village ◽  
Management Cycle

Village finance must be managed in a transparent, accountable, and participatory manner, and carried out in an orderly and disciplined budget. For this purpose, village officials must have sufficient skills to be able to manage village finances based on good governance practices. In general, villages will experience various problems in each stage of the village financial management cycle and decisions must be made on these issues. To improve problem solving and decision-making skills, training was carried out using lecture, discussion, and simulation methods with training participants consisting of village heads, village secretaries, and heads of financial affairs or village treasurers. During the training, participants showed high attention to the material provided by the facilitators and actively participated in group discussions and simulations. The trainees also considered that the material presented was relevant to their needs and it was hoped that the knowledge gained could be applied to improve the quality of financial management in their respective villages

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