Company Management Research Articles

Breaking through the glass ceiling: women on the board as a mechanism for greater environmental transparency

Purpose This research paper aims to examine the influence of greater female participation on the board of directors on the environmental transparency of companies. Design/methodology/approach To achieve the purpose of this study, the authors analyzed the environmental transparency of 412 companies in the energy sector, headquartered in 19 countries, during a four-year period (2016 to 2019). Findings The data reveal that gender diversity has a positive effect on the environmental transparency of companies in developed countries and on the total model. Furthermore, after removing the US companies, the results remained the same, indicating that companies with more women on the board tend to have greater environmental transparency. Regarding corporate governance variables, the results show that companies that have a corporate social responsibility committee tend to have greater environmental transparency, both in emerging countries and in developed countries. Practical implications The findings indicate that if companies aim to have greater environmental transparency, they must encourage female participation on boards, giving them equal opportunities for professional growth. Organizations must deconstruct the ideology that women are fewer valuable members of their boards, which limits their contribution to organizational success. Additionally, regulators can encourage greater female participation on boards through the implementation of quota laws. Originality/value The authors’ evidence indicates that the presence of women on board is an antecedent of greater quality in the dissemination of environmental information. Thus, managers of companies in the energy sector must understand that diversity on the board affects communication with its stakeholders through environmental transparency.

Analyzing shopping cart abandonment enablers: an ISM and MICMAC approach

PurposeThe primary purpose of this study is to examine the factors leading to shopping cart abandonment and construct a model depicting interrelationship among them using interpretive structural modeling (ISM) and Matriced Impact Croises Multiplication Appliquee an un Classement (MICMAC).Design/methodology/approachInitially, 20 factors leading to shopping cart abandonment were extracted through a systematic literature review and expert opinions. Fifteen factors were finalized using the importance index and CIMTC method, for which consistency has been checked in SPSS software through a statistical reliability test. Finally, ISM and MICMAC approach is used to develop a model depicting the contextual relationship among finalized factors of shopping cart abandonment.FindingsThe ISM model depicts a technical glitch (SC8), cash on delivery not available (SC4), bad checkout interface (SC9), just browsing (SC11), and lack of physical examination (SC12) are drivers or independent factors. Additionally, four quadrants have been formulated in MICMAC analysis based on their dependency and driving power. This facilitates technical managers of e-commerce companies to focus more on factors leading to shopping cart abandonment according to their dependency and driving power.Research limitations/implicationsTaking an expert’s opinion as a base may affect the results of the study due to biases based on subjectivity.Practical implicationsThis study’s outcomes would accommodate practitioners, researchers, and multinational or national companies to indulge in e-commerce to anticipate factors restricting the general public from online shopping.Originality/valueFor the successful running of an e-commerce business and to retain the confidence of e-shoppers, every e-commerce company must make a strategy for controlling factors leading to shopping cart abandonment at the initial stage. So, this paper attempts to highlight the main factors leading to shopping cart abandonment and interrelate them using ISM and MICMAC approaches. It provides a clear path to technical heads, researchers, and consultants for handling these shopping cart abandonment factors.

Analysis of The Influence of Technology, Latest Working Equipment Usage, and Industrial Relations Strategies Towards Business Sustainability

This research aims to contribute to modern business, new work systems, and industrial relations. This research is a longitudinal study involving manufacturing companies. Researchers collected data at two different periods. Researchers surveyed by sending a questionnaire to the company's human resources managers. Research findings show a reasonably strong relationship between implementing new work practices and better company results. However, according to the dominant theory, this result does not always occur in every case. These results indicate a greater focus on small businesses, which play a significant role in the fabric industry. The third result shows the durability or sustainability of individual practices. These new practices have proven effective in improving company performance, which may be why groups are more confident implementing them. Discriminant analysis reveals that firms' structural and market characteristics account for most of the variability in their orientation toward organizational innovation. The intensity of relationships with other companies positively correlates with using new work practices, mainly if the company operates internationally. The competition level in the company's market is also related to the use of new work practices and intense, innovative activities, especially those related to technology and the coordination of activities within the organization, such as information technology.

Knowledge, Attitudes, and Practices on Circular Economy among Senior Managers of Ethiopian Textiles and Agro-Food Processing Companies

AbstractCompanies are increasingly seeking to adopt a Circular Economy (CE) approach when aiming for greater corporate sustainability. In Ethiopia, a country rapidly industrializing, a CE approach in line with Ethiopia’s Green Manufacturing Strategy offers businesses a more sustainable and efficient economic approach than linear value chains. This study evaluates approaches towards implementing CE principles into novel business practices, focusing on the crucial role of senior business managers. Drawing on a sample of 145 senior managers of Ethiopian textiles and agro-food processing companies, we analysed their knowledge, attitudes, and practices vis-à-vis CE. The findings show that managers have high levels of knowledge about CE and hold positive attitudes towards it, although their companies’ practices did not reflect this. Logistic regression analysis showed that environmental management training, business circularity strategies, and the type of managerial positions are the major determinants of managers’ willingness to adopt circular practices. A critical finding was that participation in environmental management training and their managerial status negatively affect the willingness to adopt circular practices. Based on these findings, the study offers key recommendations focused on the potential to build CE models at the corporate level in developing countries, such as Ethiopia, through policy change and improved education and training.

Empirical Examination of the Relationship between Supply Chain Effectiveness and a Company’s Overall Success

The relationship between the effective management of supply chains and overall organizational success is not fully explained in the literature. The differences in the effectiveness of supply chains as well as the corporate social responsibility (CSR) of supply chain companies in North America, Europe, and Asia Pacific are not broadly studied. This article attempts to bridge that gap in the literature using data from the Gartner Supply Chain Group, Brand Finance, American Consumer Satisfaction Index, and Bloomberg Finance. Pertinent statistical tools including multiple regression, ANOVA, t-tests, and chi-square tests were utilized in the study. SCM top performers were found to have higher customer satisfaction than their industry counterparts; supply chain variables used currently do not have a statistically significant impact on the overall success of those companies; North American companies have experienced significantly higher supply chain effectiveness than their counterparts in Europe and Asia Pacific; and European supply chain companies are significantly ahead of companies in America and Asia in the area of CSR. The findings can help managers in companies to benchmark with their global peers. The main contribution of this research is that it demonstrates the value of supply chain effectiveness while underscoring the need for further research to link supply chain effectiveness with organizational performance. Supply chain managers need to explore operational or internal process metrics that have a more significant impact on overall company success.

Storage Conditions of Refrigerated Prickly Pears in Small Processing Industries

Prickly pears (Opuntia ficus-indica), which are well known for their beneficial properties for human health, are the subject of many studies due to their high content of bioactive compounds. However, the presence of spines on the fruit’s surface is a factor that limits consumption. Therefore, the viability and nutritional quality of peeled and packaged white, orange, and pink prickly pears were studied during storage. Refrigerated whole fruits stored at 8 °C and 85% RH for 0, 1, 2, 3, or 4 weeks were electrically peeled and packaged with micro-perforated film. At each time point, their microbial quality; physical parameters, such as hardness, texture, and color; and chemical parameters, including pH, titratable acidity, total soluble solids content, sugar content, ascorbic acid content, antioxidant capacity, and total phenol content, were analyzed. The mesophilic aerobic counts were lower than the values established by Spanish legislation (7 log (CFU/g f.w.)) until day 8 after packaging (or until day 6 after 4 weeks of storage). The hardness, texture, pH, sugar content, ascorbic acid content, and antioxidant capacity decreased significantly between day 0 and day 8 after packaging, independently of the number of weeks for which the whole fruits had been refrigerated previously. Furthermore, the changes in the parameters analyzed for whole fruits during storage were less remarkable. The evaluation of the sensory features was positive throughout the preserved period. The minimally processed prickly pears retained suitable microbial, nutritional, and sensory qualities when the whole fruits had been refrigerated for 1, 2, 3, or 4 weeks, facilitating their management in small processing companies.

Sustainable human resource management factors

Purpose of the research is to analyze works on the topic of sustainable human resource management, study factors, as well as identify and systematize specific practices for each category of factors.Research methodology. In this work, an analysis of existing publications in the Scopus database was carried out.Originality / value of the research. Although the concept of sustainable development is not new and has been actively studied since the 1960s of the last century, the study of sustainable human resource management as a separate concept dates back only about twenty years. Works from this period focus on exploring theory regarding the definition of concept, characteristics and functions, but the specific factors and practices through which sustainable human resource management in companies is expressed have not been explored much.Findings. The result of the study was the identified factors of sustainable human resource management, a model of sustainable human resource management formed based on the De Prince approach, as well as a systematization of practices for each of the identified factors. The article may be useful both for theoretical study of the concept and for practical application in companies by human resources management departments.

The Influence of Capital Intensity, Leverage, Profitability, and Corporate Social Responsibility on Tax Avoidance with Firm Size as a Moderating Variable

Aims: This research aims to test and analyze capital intensity, leverage, profitability, and corporate social responsibility on tax avoidance with firm size as a moderating variable.
 Study Design: This research uses a quantitative causality method that relies on secondary data collection originating from the Indonesian Stock Exchange.
 Place and Duration of Study: Companies listed on the Jakarta Islamic Index from 2018 to 2022.
 Methodology: The sampling method used purposive sampling, so that 80 samples were obtained from 16 suitable companies. The analytical method used in this research is panel data regression analysis carried out with Eviews 12 software.
 Results: The research results show that capital intensity, leverage, and profitability influence tax avoidance, while corporate social responsibility does not affect tax avoidance. The results of the moderation test show that firm size does not moderate the influence of capital intensity, leverage, profitability, and corporate social responsibility on tax avoidance.
 Implications: Company managers and tax regulators need to pay attention to factors such as capital intensity, leverage, and profitability in managing and supervising tax avoidance practices.

The Impact of Audit Quality on Earnings Management: Evidence from Listed Companies in Sri Lanka

Earnings Management (EM) is related to the manipulation of reported income through accounting practices and decisions. With the occurrence of numerous financial collapses and failures, the reliability of the audit function has been challenged, as auditors play a critical role in expressing an opinion on the financial statements. This study investigates the impact of Audit Quality on EM in Sri Lankan listed companies. This study employs Modified Jones model to examine earnings management practices through Discretionary Accruals (DA). The selected proxies of audit quality which are Length of Audit Tenure, Audit Firm Size and Auditor Independence are the independent variables. The data is collected from annual reports for the financial periods 2015 - 2020 and audit reports for the financial period 2012 - 2020 of listed companies on the Colombo Stock Exchange (CSE). This study employed descriptive statistics, correlation analysis, and multivariate analysis to analyze the data. Based on the quantitative analysis, the results demonstrated that the association between audit firm size and earnings management in Sri Lankan listed companies is negative and significant. It was found that the level of EM between companies using Big 4 auditors and those using non-Big 4 auditors is much lower. This study revealed that auditor independence and EM have a significant negative association. It was suggested that independent auditors have a greater ability to regulate and identify EM activities through company management. Further, this study exposed that there is an insignificant association between the length of audit tenure and earnings management. These findings are useful to shareholders in appointing or reappointing auditors. Furthermore, this study enables stakeholders, including regulatory bodies, to examine the presence of EM practices in listed companies of CSE.

Enterprise Risk Management Practices and Financial Performance of Apparel Industry in Sri Lanka

The apparel industry plays an important role in the Sri Lankan economy. However, based on the previous literature, apparel factories continuously face many internal and external risks and business recessions that affect their performance. Therefore, the main objective of this study is to identify the impact between enterprises' risk management practices and firm’s financial performance.To achieve the said objective, researchers carried out a questionnaire-based survey of 167 managers who were involved in enterprise risk management in the apparel industry in Sri Lanka, applying a simple random sampling method. This study is quantitative research that adopts ontological and positivist research philosophy. The Statistical analysis has been done through correlation coefficient analysis with the SPSS software.Results found that small apparel factories' risk management systems turned out to be relatively weak and informal. Further, firm size and management attitude toward risk have been shown to significantly impact enterprises’ risk management practices and company financial performance. The findings confirmed a strong positive correlation between risk management practices and financial performance in the Sri Lankan apparel sector.

A Study on Factors Influencing the Employee Engagement in MetroFlex Mattress Pvt Ltd

This research work titled “A study on Factors Influencing the Employee Engagement in Metroflex Mattress Pvt Ltd”, was done with the main objective to study on Factors influencing the Employee Engagement in Metroflex Mattress Pvt Ltd. To know the influence of Company Management on their engagement and job satisfaction in the Metroflex Mattress Pvt Ltd. To provide the suggestion for the organization in Employee Engagement at Metroflex Mattress Pvt Ltd, Karur. It is descriptive research design. The Primary data has been used to collect data with the help of Questionnaire. The sample size is 120. Tools used in this study Correlation ANOVA and the major findings are the majority 79.2% of the respondents are of the gender male. The majority 55.8% of the respondents are Production Department. The suggestions for the betterment of the company is provide the competitive compensation along with attractive benefits packages. Offer flexible schedules or remote work to help employees balance work and personal life. Provide training to help employees grow in their roles and careers. Regularly review salaries to ensure they're competitive and fair. Create a supportive and inclusive workplace culture where everyone feels valued. Keywords –Compensation, Job satisfaction, Employee growth opportunities, Working environment.

The Influence of a New Model of IT Leadership on Organizational Change Management and IT-Business Value Delivery in the First Phase of Digital Transformation Amid COVID-19

This study examines and analyzes the influence of a new model of IT leadership on organizational change management and IT-business value in large manufacturing companies. This study used a quantitative research method; data were collected using a questionnaire using SmartPLS 4. This study involved 47 large manufacturing companies as unit analysis with multistage sampling in sample selection, first by purposive sampling and second by the Slovin formula. The results of this study stated that IT leadership affects organizational change management significantly but has no effect on IT-business value. Organizational change management affects IT-business value significantly. The lack of experience and knowledge in IT leadership has an impact on failure in delivering IT-business value. The results of this study provide valuable insight for IT executives in developing their IT leadership, business executives for their engagement in IT-business value delivery, and manufacturing companies to cope with their struggles in managing change in the ERP implementation, especially in the first phase of their digital transformation to achieve IT-business value successfully.
 Keywords: IT leadership, organizational change management, IT-business value

Crisis resilience assessment and management of public utility companies

Currently, the most frequently used models for forecasting the probability of company bankruptcy in the housing and utilities sector lack accuracy. The hypothesis is put forward that crisis resilience of a company can be assessed based on its adaptive capabilities. The paper aims to construct a more accurate compared to the known regression model for predicting bankruptcies, as well as develop models for assessing the quality of crisis adaptation management at public utility companies allowing for the stakeholders’ interests and peculiarities of their interface. The methodological basis of the study consists of the theory of crisis management and a stakeholder approach. The methods include multiple regression analysis, stakeholder mapping, sociological survey, and expert assessments. The evidence comes from the accounting and statistical reporting of 49 public utility companies, materials of arbitration cases, survey results of 33 heads of organisations obtained in the period from February to March 2023. The theoretical developments are implemented within the empirical studies of public utility companies. To improve crisis adaptation and resilience of public utility companies the findings recommend to launch staff training programmes, establish mechanisms for horizontal intra-sectoral connections and maintain cooperation at the level of public authorities in order to control investments in the housing and utilities sector.

Does operational disclosure curb textual tone manipulation by corporate management?

ABSTRACT Information disclosure regulations play a crucial role in shaping the information disclosure behaviour of company management, influencing the information environment of capital markets, and subsequently impacting the efficiency of resource allocation. Drawing on a quasi-experimental approach involving the phased implementation of the Industry Information Disclosure Guidelines (IIDG) and utilising data from Chinese listed companies spanning 2010–2021, we delve into the governance effects of the IIDG on company management’s textual tone manipulation and its mechanisms. Our findings reveal a significant reduction in the degree of textual tone manipulation in firm management discussions and analyses following the IIDG implementation. This is achieved through various channels, including enhanced disclosure of quantitative information related to firms’ operations, increased comparability of textual information across firms, and heightened investor attention. The governance effect is more pronounced when management has stronger incentives to manipulate the tone of the text and when there is more room for manipulation. Moreover, the IIDG has a spillover effect, extending to the suppression of tone-of-text manipulation in sections of the annual report beyond the management discussion and analysis. Additionally, investors penalise firms that continue to engage in tone manipulation after the IIDG implementation, as evidenced by a negative market reaction. We not only furnish micro-level evidence regarding the effectiveness of the IIDG as regulatory measures for disclosure but also introduces new perspectives on governing textual tone manipulation.

Knowledge Management Capabilities on the Performance of Startup Companies: Evidence from Startups in Kerala

Purpose: The purpose of the study is to point out the importance of knowledge management in startup companies. For this, four knowledge management processes—knowledge acquisition, conversion, application, and protection—that may have an impact on startup companies' performance are closely examined.  Design, Methodology, and Approach: The empirical research was conducted by participating 250 startup companies that are registered in the Kerala startup mission from 2015 to 2020, and structural equation modeling (SEM) was applied to determine the relationship between the knowledge management process and startup performance.  Findings: The study supports the resource-based view theory by stating that knowledge management is essential for newly established ventures. It has been found that both knowledge conversion and protection play significant roles in the performance of startup companies. While acquisition and application are insignificant.  Social Implication: This study has several implications, one of which is that institutions and government bodies should focus on implementing knowledge management strategies.  Research Limitation: The study has some drawbacks, including the fact that it only included 250 startup companies from Kerala and had a limited sample size. Therefore, generalizations in a global setting are challenging. Second, other intangible assets that fall beyond the scope of the study also have an impact on how well startup businesses perform.  Originality or Value: The study gives startup founders insight into how knowledge management is important at each stage of their firm's life cycle and affects their ability to raise startup funding.Paper Type: Research Paper

Holacracy as a flexible technology for managing IT companies

The paper considers the features of holacratic structure as one of the forms of flexible organization management. The aim of the paper is to investigate the possibilities of integrating this tool into the management of Russian IT companies, as well as to analyze the consequences of such an implementation. The author solved the following tasks: the main features of holacracy in the context of Agile philosophy are outlined, the features of holacratic and traditional hierarchical structures are compared from the point of view of the system approach to organizational management, the statistics of the use of this technology in the activities of domestic IT companies is studied, the most significant results of the implementation experience of recent years are given, the arguments in favor of the use of holacracy as an organizational management tool in IT companies are substantiated. Based on the analysis of the scientific literature on project management and a number of Internet sources, the authors have identified the readiness attributes that an organization should possess for successful transition to a holacratic structure. The risks and difficulties of such a transition are considered, taking into account the advantages and disadvantages of this management method. The application of flexible management methods, including holacracy, seems to be the most expedient for those Russian IT market participants, whose activity implies the presence of cross-functional teams and microservice architecture. As a conclusion, the authors emphasize the decisive role of the personal factor in ensuring the proper level of self-organization of the company and its readiness for holacracy,and recommend a compromise variant of using holacratic principles for Russian IT.

Multi-criteria decision support model for selecting the appropriate construction management firm

Construction management (CM) companies serve as representatives for clients, aiding them in overseeing construction projects throughout the project’s entire life cycle. Opting for the right CM firm enhances the likelihood of a successful project completion. Existing research has highlighted a lack of decision support models for CM firms. This study introduces a multi-criteria decision support model employing the Analytic Hierarchy Process (AHP) for the selection of suitable Construction Management firms. The primary objective of this model is to guide decision-makers in choosing the most suitable CM firm, ensuring that the provider offers the necessary services from project initiation to closure. Additionally, this research seeks to standardize the CM firm selection process based on key criteria, which were identified through a literature review. The significance of these criteria was assessed via a survey distributed to construction professionals in the United Arab Emirates (UAE). The survey collected feedback by having respondents make pairwise comparisons of the identified criteria. The data, consisting of 52 survey responses, were analysed using Expert Choice software and utilized to construct the AHP-based model. The findings reveal that the most crucial factors for CM firm selection are prior experience in similar projects, financial stability, proficiency in Building Information Modelling (BIM), the qualifications and capabilities of key staff members, ongoing project experience, and expertise in risk management. The study also presents a four-stage framework that decision-makers can follow when selecting the appropriate CM firm, and it includes a case study to illustrate the application of the proposed model.

Does working capital management improve financial performance in China's agri-food sector during COVID-19? A comparison with the 2008 financial crisis.

The objective of this study is to explore the impact of working capital management on firms' financial performance in China's agri-food sector from 2006 to 2021. In addition, we analyze whether this impact is the same during the 2008 financial crisis and the 2020 COVID-19 crisis. Working capital management is measured by working capital investment policy (measured by current assets to total assets ratio), working capital financing policy (measured by current liabilities to total assets ratio), cash conversion cycle, and net working capital ratio. The results reveal that current assets to total assets ratio and net working capital ratio positively influence financial performance measured through return on assets (ROA), while current liabilities to total assets ratio and cash conversion cycle negatively influence ROA. We also find that the relationship between working capital management and financial performance is more affected during COVID-19 than in the 2008 financial crisis. The findings might provide important implications for company managers to make optimal working capital management practices, depending on the economic environment.

Organizational justice, supervisor-provided resources and duty orientation: lessons from the mining sector

PurposeThe study analysed the influence of organizational justice on the duty orientation of employees in the mining sector of Ghana. Also, it examined the mediating role of supervisor-provided resources in the relationship between organizational justice and duty orientation.Design/methodology/approachThe study obtained data through a self-administered questionnaire from 291 employees of a mining firm. The data were analysed and interpreted in light of the hypotheses using the partial least squares structural equation modelling technique.FindingsThe findings revealed that organizational justice had a significant positive relationship with duty orientation and supervisor-provided resources. The results again established that supervisor-provided resources had a significant positive relationship with duty orientation. The study finally documented that supervisor-provided resources partially mediate the relationship between organizational justice and duty orientation.Practical implicationsWe recommended that the management of the mining companies devote resources to developing organizational justice policies based on fairness in resource allocation, clear roles, employee feedback and effective information dissemination. Furthermore, supervisors should place priority on acquiring and dispensing resources as employees demonstrate their willingness to improve duty orientation.Originality/valueThe study contributes to knowledge in a novel research area. It adds to empirical evidence by highlighting the possible variables that may influence employees to engage in duty orientation.

Volume, Biomass, and Carbon Estimates for Commercial Tree Species in a Managed Forest: A Case Study in the Bolivian Amazon

Tropical forest management has a potential role in forest conservation if it is sustainable. This study of a forest under management in Bolivian Amazonia strongly suggests that the management project is not sustainable and that no potential changes in management would be likely to make it so. In a 216.41 ha harvested area, 278 commercial trees from 10 families, 15 genera, and 15 species were measured. The density of commercial species with diameter at breast height (DBH) ≥ 50 cm was 1.28 trees ha−1, and the harvestable commercial volume was 12.40 m3 ha−1. Due to market restrictions, the actual amounts harvested were much lower: 96 trees were harvested with commercial boles totaling 2.7 m3 ha−1. Of the total impact on biomass and carbon (above- and belowground), the logs removed from the area represented only 13.4%, while 86.6% was from losses in the forest as follows: 14.5% from the stumps, crowns, and roots of harvested trees (DBH ≥ 50 cm) plus 72.1% from the trees (DBH ≥ 10 cm) in the forest lost to roads, log landings, and skid tracks and the gap openings caused by felling the harvested trees. The estimated expenses exceeded the gross revenue of the management company (USD 519.15 ha−1), a fact confirmed by the company’s subsequent bankruptcy. The project’s low harvest intensity reduces the environmental impact per hectare but increases the impact per cubic meter of wood harvested because producing a given volume of wood requires disturbing a larger area and because more kilometers of access roads and skid tracks have to be installed to extract a given volume of wood. Because many costs are fixed regardless of harvest intensity, small harvest volume can render such projects financially unfeasible, increasing the likelihood that they will be abandoned and not provide long-term “sustainable” forest protection. However, this does not mean that higher harvest intensity results in sustainability, as other constraints apply to high-intensity projects. We conclude that conservation alternatives to maintain the forest would be more beneficial than management for timber.