Operating Performance Of Companies Research Articles

An Empirical Analysis on Financial Capability and Operating Performance of China’s Listed Tourism Companies

In this paper, we made an empirical analysis on China's listed tourism companies’ financial capability and operating performance. We used the SPSS software. We could learn the whole process from table 2 to table 5. This is the first time analyzing the relationship between financial capability and operating performance in tourism industry. The result shows that indicator of sales margin ratio has the most important relationship with operating performance, followed by the debt-to-asset ratio, inventory-turnover ratio and receivables-turnover ratio. The result is significant to the development of tourism industry in the future. China’s tourism companies should use the financial leverage moderately and improve the inventory-turnover ratio and receivables-turnover ratio constantly to make the company's operating performance reach to a new height.

An Evaluation of Company Operation Performance Using Data Envelopment Analysis (DEA) Approach: A Study on Malaysian Public Listed Companies

An Evaluation of Company Operation Performance Using Data Envelopment Analysis (DEA) Approach: A Study on Malaysian Public Listed Companies

Lean Six Sigma method in Phase 1 clinical trials: a practical example

Lean Six Sigma uses data and statistical analyses to measure and improve a company's operational performance by identifying and eliminating defects in processes. Historically, Six Sigma has been mainly used in the manufacturing process but the benefits to research and development (R&D) processes have recently been highlighted, in particular applications in early phase research. This article reviews the challenges of applying the Lean Six Sigma methodology in the clinical trial Phase 1. Copyright © 2005 John Wiley & Sons, Ltd.

Ownership structure and post-issue operating performance of firms conducting seasoned equity offerings in Thailand

This paper investigates the post-issue operating performance of companies that conducted seasoned equity offerings (SEO) in the Stock Exchange of Thailand (SET) during the period 1991 to 1994. It is documented that SEO firms exhibited declining operating performance after the offering. Further, there is a negative relation between inside ownership concentration and postissue operating performance decline. In support of the signaling effect, the ratio of issue proceeds to pre-issue equity also negatively relates to post-issue operating performance. Further, the negative relation between issue proceeds and operating performance decline is intensified among SEO firms with high insider ownership concentration. The finding offers evidence in support of agency conflicts and information asymmetry and suggests that the two factors are operating simultaneously.

The benchmarking matrix

Since its introduction in the 1980s, benchmarking has become increasingly popular for measuring the operational performance of companies. Benchmarking generally means to analytically compare a company with leading practices identified in the industry. The main obstacle in performing benchmarking is that comparison between companies is most of the time limited due to industry, geography and company peculiarities. To overcome these limitations, the benchmarking matrix is a modern tool for comparing the cost structure of companies within the same industry. By using the benchmarking matrix, differences in costs can be identified, potential efficiency gaps can be quantified and allowance made for identification of improvements.

Does It Pay to Implement a Full-Scale EVA Management System?
 Evidence from Brazilian Companies

The goal of this study is to compare and contrast the market performance of Brazilian companies that have implemented a full scale EVA financial management system under Stern Stewart & Co. guidance with that of the broad national stock market index, the Ibovespa index and also a comparison against a portfolio of comparable companies. In the US, several academic papers have been published on this matter, showing the better performance of companies that have adopted the EVA system against a benchmark performance, usually the S&P 500, a group of peer companies in the same industry or an industry-specific index. In one of these studies, Prof. Robert Kleinman, from Oakland University, shows that the stock performance of Stern Stewart's EVA companies is 9% per year better, on average, than their industry peers. Moreover, he found that substantial improvements in EBITDA and operating margins, faster asset turns and stronger cash flow generation are the drivers of the superior performance. In another much cited paper, Wallace (1997) attests the superior operating performance of companies that have an EVA metric system linked with their incentive compensation schemes. This is the first attempt ever to carry out such empirical study in Brazil and, despite the relatively small number of listed companies in the sample, the conclusions are robust and worth further investigation. The major findings show the better performance of the portfolio containing EVA companies (EVA Index) against the market index and against the comparables portfolio both on a Total Return-only basis and on a Risk-Adjusted Performance basis (we are using Leah and Franco Modigliani's Risk-Adjusted Performance Measure definition - from now on called RAP). It is important to mention that the results should not be interpreted as a recommendation of any particular trading strategy based on picking companies that implement the EVA Financial Management System. Rather, we believe that the results suggest that the local capital market starts to differentiate and to look positively to companies that implement EVA, which may also be viewed as a proxy for an improved Internal Corporate Governance System.

Ownership structure pre- and post-IPOs and the operating performance of JASDAQ companies

This paper considers how the operating performance of JASDAQ companies is affected by the ownership structure pre- and post-IPOs. We document that operating performance varies according to managerial ownership in addition to the age and size of the firm. Our results on JASDAQ contrast with evidence from Cai and Wei [Pacific-Basin Finance Journal 5 (1997) 389], who analyze the operating performance of companies newly listed on the Tokyo Stock Exchange (TSE). They indicate the post-IPO deterioration in operating performance cannot be attributed to the reduced managerial ownership.

THE LONG-RUN PERFORMANCE OF COMPANIES THAT WITHDRAW SEASONED EQUITY OFFERINGS

We examine the long-run stock price and operating performance of companies that withdraw seasoned equity offerings (SEOs). Firms that withdraw an offering provide an opportunity to examine whether markets fully adjust to the information conveyed when managers announce the intent to issue shares, independent of any agency problems that might be intensified by the completion of the offering. As in completed seasoned equity offerings, long-horizon event-time operating and stock price performance in sample firms is substantially lower than what is observed among control firms. Underperformance is also observed in an equally weighted calendar-time analysis. Results are consistent with overpricing among small firms that attempt, but then withdraw, SEOs.

Ownership and Operating Performance of Companies that Go Public

Ownership and Operating Performance of Companies that Go Public

The Long-Run Performance of Firms that Withdraw Seasoned Equity Offerings

We examine the long-run stock price and operating performance of companies that withdraw seasoned equity offerings. Firms that withdraw an offering provide an opportunity to examine the long-run impact of the intent to issue shares, independent of any agency problems that might be intensified by the actual acquisition of equity capital. As in completed SEOs, long-horizon stock returns to sample firms are substantially lower than returns to control firms. Long-run operating performance is similarly poor. Long run stock price performance is worst among high market-to-book assets firms that withdraw equity issues in hot SEO markets. The evidence is consistent with a model in which firms attempt to sell overvalued shares to a market that doesn't react sufficiently to the implications of the action, even if the shares are not actually issued.

Ownership and operating performance of companies that go public

Going public typically leads to a separation of managerial control and stock ownership, and potentially worsens managerial incentives. We document that the median ownership stake of officers and directors declines significantly from the year before going public to ten years later. Median operating return on assets also declines from the year before the offering to the end of the first year of public trading, but performance declines no further in ten years. In general, operating performance both within one year of the offering and during the first ten years of public trading is unrelated to ownership of officers and directors.

Achieving superior operating performance from integrated pipeline management: an empirical study

Offers a reference model for the study of influences that new approaches to channel co‐ordination have on company operating performance. Presents three propositions concerning the management of flow and quality. Explores these propositions by means of an empirical investigation of medium‐sized manufacturing companies. Provides suggestions as to what should be done at chain level to improve the single firm operating performance.

The Economic Value Added Approach to Corporate Investment

The EVA® approach, which is basically a reordering of the cash flow valuation approach, allows shareholders to relate company operating performance directly to shareholder value. If a company maximizes EVA, it will improve all the traditional measures of value. Analysts can use the approach for any company or acquisition candidate to measure the capital, one component of value, and the present value of the expected EVAs, the other component of value. These two components will define total value and, therefore, what an investor should be willing to pay for the equity.This presentation comes from the Equity Analysis: The Role of Corporate Financial Decision Making conference held in Washington, DC, on January 19, 1995.

Discussion of “Communicating the Company's Operating Performance Data” by Howard G. Birnberg (January, 1985)

Discussion of “Communicating the Company's Operating Performance Data” by Howard G. Birnberg (January, 1985)

Communicating the Company's Operating Performance Data

A report format and indices for communicating the company's operating performance data are presented. The process described can be performed with almost any aspect of engineering firm management; however, in financial management, this process is most vital. A major difficulty preventing adequate financial management is the fact that most financial data is presented in a format understandable and useful to accountants, but unclear to the design professionals who manage the firm.