Management Behaviour Research Articles

Transfer pricing, earnings management and corporate governance among listed firms: Evidence from Ghana

PurposeThis study aims to examine the prevalence of transfer pricing and earnings management activities, and how they are impacted by corporate governance mechanisms.Design/methodology/approachUsing the political cost theory, the study provides insights into how opportunistic managerial behaviours which have a strong link to profit shifting and tax evasion are driven by corporate governance using data from 16 listed firms for the period 2008–2020.FindingsThe results reveal that the transaction-based transfer pricing model is better than the index-based model and the accrual-based earnings management model suits the political cost theory more than the real earnings management metric. Board size and female CEO increase transfer pricing aggressiveness but board independence, CEO tenure, CEO nationality and female Board Chairwomanship reduce transfer pricing aggressiveness. The findings also reveal the role of multinational enterprise status, private ownership, industry type, firm size, financial leverage, asset tangibility and firm age. For accrual-based earnings management, board independence, CEO tenure, and female Board Chairwomanship significantly decrease earnings management. Other factors include private ownership, firm size, and firm age.Practical implicationsThe findings of the study are relevant for shaping industry-level policies on earning management, transfer pricing and related-party transactions. Since these opportunistic managerial behaviours are the foremost drivers of tax avoidance and profit shifting, the findings of this study provide relevant insights for practitioners, tax and other regulatory authorities, policymakers and the academic community alike.Originality/valueThis is among the premier studies on the transfer pricing and earnings management nexus with corporate governance factors using the political cost theory, especially in the developing country context. It also reveals the significant impact of gender and suggests the need for gender diversity in corporate management.

Correlation between level of knowledge about dysmenorrhea with dysmenorrhea management behaviour in Sleman

Introduction: Adolescence is a period of development that begins with the maturity of the physical (sexual) organs so that later they are able to reproduce, including puberty in young women, namely menstruation. Most women feel pain during menstruation, even the presence of discomfort and even severe pain is what is often called menstrual pain dysmenorrhea. Knowledge and treatment of dysmenorrhea is needed by young girls, physical problems that may arise are a lack of personal hygiene (personal hygiene) so that it risks causing disease, therefore women also have a responsibility regarding personal hygiene to themselves. Preliminary study found that some female students did not know about dysmenorrhea. This study was to determine the relationship between knowledge about dysmenorrhea and behavior in handling dysmenorrhea in adolescents at school in Sleman. Methods: Analytical survey method with a cross sectional approach, taking samples by total sampling using a questionnaire. Results: The results of the research on the relationship between the level of knowledge of adolescent dysmenorrhea and the behavior of handling dysmenorrhea at school in Sleman. Paste lack of knowledge as many as 23 respondents (41.1%), The behavior of handling dysmenorrhea with the highest percentage is the behavior of handling dysmenorrhea with only 26 respondents (51%). Discussion, and Conclusion: The statistical test results showed a correlation coefficient of 0.426 so that it can be stated that there is a relationship between knowledge about dysmenorrhea and behavior in handling dysmenorrhea in young women at school in Sleman with a low closeness relationship. It is hoped that the school can provide facilities or facilities to increase young women's knowledge about dysmenorrhea by holding programs and being able to work with health facilities. 426 so that it can be stated that there is a relationship between knowledge about dysmenorrhea and the behavior of handling dysmenorrhea in young women at school in Sleman with a low closeness relationship. It is hoped that the school can provide facilities or facilities to increase young women's knowledge about dysmenorrhea by holding programs and being able to work with health facilities. 426 so that it can be stated that there is a relationship between knowledge about dysmenorrhea and the behavior of handling dysmenorrhea in young women at school in Sleman with a low closeness relationship. It is hoped that the school can provide facilities or facilities to increase young women's knowledge about dysmenorrhea by holding programs and being able to work with health facilities.

Relational gatekeeper behaviour of HR managers in the Middle East: the role of informal networks

Wasta, the informal network context omnipresent in the Middle East, is widespread in human resource management (HRM) practices. Yet, its influence on the behaviour of HR managers has not been explored. Utilizing relational gatekeeping theory and the informal network perspective in conjunction with in-depth expert interviews with HR managers, we seek to explore whether and how informal networks (wasta) influence and shape their role in an Arab Middle Eastern context. Our findings indicate that the level of wasta penetration in organizations is reliant on the relational gatekeeping behaviours of HR managers. Furthermore, we show how HR managers compensate for structural deficiencies by leveraging their wasta-derived power to amplify their voices. Nevertheless, the findings also emphasize the significance of power sharing in reducing the expansion of culturally derived power associated with wasta, thereby limiting power dynamics and authority to that derived from the formal organizational hierarchy. These insights advance knowledge on gatekeeping behaviour in the Arab Middle Eastern context and contribute new knowledge regarding the operational modes of informal networks within organizations. Our findings underscore the pivotal role that HR managers play in shaping the organizational culture. From a practical perspective, we offer actionable solutions, such as power sharing through committee work, to enhance the effectiveness of the HR function.

MANAGEMENT PRACTICES: SHAPING EMPLOYEE SATISFACTION AND COMMITMENT IN LARGE GERMAN COMPANIES

The rapid evolution of the political, economic, and social landscape has generated increased interest in understanding the contextual application of Management styles and behaviours toward employees. In this context, organizations must comprehend and assess employee satisfaction to enhance productivity and realize their strategic and economic goals. Therefore, this study aims to investigate the prevailing and significant Management behaviours toward employees in large German companies and their impact on employee satisfaction and job commitment. To achieve the research objective, the study will employ a qualitative method to explore Management behaviours toward employees. Data was collected through interviews with randomly selected Managers from different companies and departments. The study aims to uncover discrepancies or variations in employee expectations regarding Management behaviour. The findings will provide a better understanding of the most prevalent and significant Management behaviours toward employees in large German companies and their impact on employee satisfaction and job commitment. The results will be valuable to Management in adopting suitable leadership styles and improving employee satisfaction, leading to increased productivity and organizational performance. The research will contribute to the existing body of knowledge in the field of Management and human resource Management by providing insights into the impact of Management behaviours on employees. It will also offer recommendations to Management on how to enhance employee satisfaction and job commitment, leading to improved organizational performance. In conclusion, this study will investigate the prevailing Management behaviours toward employees in large German companies and their impact on employee satisfaction and job commitment.

Towards circular fashion: Management strategies promoting circular behaviour along the value chain

The fashion industry is a significant driver of cultural, societal, and economic growth worldwide, but its traditional linear approach has led to negative environmental and social impacts. This study addresses the need to transition towards sustainable and circular practices by exploring the relationship between management strategies and behaviours across the fashion value chain. Through 10 semi-structured interviews with top industry decision-makers, thematic analysis revealed eight core themes, including collaborations, marketing strategies, product-related characteristics, education and awareness, business models, integration of technology, regulations and legislation, and strategic planning. The study provides targeted recommendations for stakeholders to promote a more sustainable and circular behaviour in the fashion industry. For instance, it emphasises strategic partnerships with suppliers, waste management companies, and consumers to minimise waste and promote circularity across the value chain. It urges the adoption of sustainable materials and eco-friendly designs for environmentally conscious consumers and encourages visual storytelling for transparency. Additionally, the study highlights the need for circular business models, recommending on-demand and made-to-measure manufacturing to align production with demand and reduce overproduction. Offering end-of-life strategies such as take-back programs, recycling initiatives, and repair services extends product lifecycles and creates sustainable value. Integrating advanced technologies such as digital IDs improves supply chain transparency and accountability. These actionable recommendations guided the development of a comprehensive framework for the practical application of sustainable and circular practices across the value chain, offering industry practitioners, researchers and policymakers effective strategies for driving impactful change within the fashion industry.

Determinants of Firm Value: Perspectives of Free Cash Flow, Investment Opportunities, Managerial Ownership, and Opportunistic Behavior

This study analyses the effects of free cash flow, investment opportunities, managerial ownership, and opportunistic managerial behaviour on firm value with firm size as a control variable. The research sample comprises 35 manufacturing companies listed on the Indonesia Stock Exchange for 2018-2022. Data were analysed using panel data regression with a random effects model. The results show that free cash flow has no significant effect on firm value, while investment opportunities have a positive and significant impact. Managerial ownership negatively and significantly affects firm value, indicating potential agency conflicts. Opportunistic managerial behaviour also negatively and substantially affects firm value, reflecting management actions prioritising personal interests. Firm size has no significant effect on firm value. This study provides insights into the optimal management of factors such as investment opportunities, ownership structure, and managerial conduct, which are crucial to enhancing firm value and shareholder interests.

Effectiveness of eHealth interventions for HIV prevention, testing and management: An umbrella review.

Human immunodeficiency virus (HIV) infection has become a major contributor to the global burden of disease. Globally, the number of cases of HIV continues to increase. Electronic health (eHealth) interventions have emerged as promising tools to support disease self-management among people living with HIV. The purpose of this umbrella review is to systematically evaluate and summarize the evidence and results of published systematic reviews and meta-analyses on the effectiveness of eHealth interventions for HIV prevention, testing and management. PubMed, Embase and the Cochrane Library were searched for reviews. The methodological quality of the included studies was assessed using AMSTAR-2. A total of 22 systematic reviews were included. The methodological quality of the reviews was low or critically low. EHealth interventions range from Internet, computer, or mobile interventions to websites, programs, applications, email, video, games, telemedicine, texting, and social media, or a combination of them. The majority of the reviews showed evidence of effectiveness (including increased participation in HIV management behaviours, successfully changed HIV testing behaviours, and reduced risk behaviours). EHealth interventions were effective in the short term. Ehealth interventions have the potential to improve HIV prevention, HIV testing and disease management. Due to the limitations of the low methodological quality of the currently available systematic reviews, more high-quality evidence is needed to develop clear and robust recommendations.

Spindle cell carcinoma of the maxillary antrum presenting in the oral cavity: A case report

AbstractBackgroundSpindle cell carcinoma is a rare biphasic malignancy consisting of epithelial and mesenchymal components. It is a poorly differentiated variant of squamous cell carcinoma accounting for less than 2% of intraoral tumours, with only 69 cases reported in the literature. Clinical presentation may vary from exophytic tumours to infiltrating ulceration in the oral mucosa. Atypical presentation and erractic behaviour of these tumours mean management can be challenging, therefore prompt diagnosis and treatment are required to address the significant morbidity and mortality associated with this disease.Case PresentationA 49‐year‐old patient presented to the oral medicine clinic reporting pain affecting the left side of their palate and cheek. Prior to their attendance, they were assessed by their general medical practitioner and neurologist; however, a trial of various medications resulted in no improvement in their symptoms. Intra‐oral examination revealed an ulcer in the left hard palate with underlying visible maxillary bone. A subsequent biopsy confirmed the diagnosis of spindle cell carcinoma, and the patient received radiotherapy with adjuvant chemotherapy. Further imaging revealed distant metastasis in the right lung and treatment was changed to palliative immunotherapy. Follow‐up imaging has shown lung nodules to be stable, and the patient remains under review with the regional head and neck cancer team.ConclusionsWe report a rare case of intra‐oral spindle cell carcinoma diagnosed from a palatal lesion, which has only been reported in four cases previously at this site. Despite preceding encounters with multiple medical professionals, it is not clear whether an intra‐oral examination was carried out which may have established the diagnosis earlier. It emphasizes the importance of full head & neck examination, including intraoral examination in presentations of unexplained and intractable orofacial pain.

Assessing the Role of Organizational Behavior in Secondary School Management in Nigeria

Organisational behaviour in Nigerian secondary school management is examined in this essay. Nigeria faces many obstacles that make it hard to provide empowering, sustainable secondary education to the young. Insufficient federal, state, and local financing is education's biggest issue. Between 1997 and 2000, federal education spending was below 10% of total spending. According to the paper, secondary school organisational conduct is a major issue that can be addressed by vivid organisational observation. Secondary school settings have numerous perspectives and backgrounds, making it difficult to modify rapidly. However, school management can employ organisational behavioural theories to minimise this. If school administration understands organisational behaviour, kids can succeed. Secondary school administrators should also know how to manage and build strong relationships with students and parents for a positive school climate and to fulfill educational goals. Organisational behaviour helps school administrators motivate staff and pupils to succeed. Keywords: Development, Educational goals, Organizational behaviour, School administrator, Secondary school managemen

Unmasking the Connection Between Managerial Narcissism, Machiavellianism and Leader–Member Exchange in the Singaporean Construction Industry: Managerial Corporate Psychopathic Behaviour as a Mediator

The current study aims to investigate the effect of managerial narcissism and Machiavellianism on leader–member exchange (LMX) quality and the mediating role of managerial corporate psychopathic behaviour in the aforementioned relationships. A questionnaire was designed and distributed to management professionals working in the Singaporean construction sector. A total of 300 responses were collected and analysed through SPSS version 26 and SmartPLS 4 software. The results demonstrated that managerial narcissism and Machiavellianism were negatively associated with LMX quality. The findings of this study showed that managerial narcissism and Machiavellianism facilitate managerial corporate psychopathic behaviour. The study also found that a negative relationship exists between managerial corporate psychopathic behaviour and LMX quality. Most importantly, the study provided valuable empirical evidence on the mediating effect of managerial corporate psychopathic behaviour in the relationships between narcissism and LMX quality and between Machiavellianism and LMX quality, thereby highlighting the underlying mechanism interconnecting the variables. Practically, this study draws attention to the need for construction corporations to create an organizational culture emphasizing collaboration instead of hierarchy and autocracy to minimize the indifference between managers and subordinates.

Management behaviour in Confucian culture

AbstractConfucian culture, the core value of Chinese society, influences daily life and, in the business world, has a significant impact on management behaviour. Based on an introduction of Confucian culture and Chinese society, this study investigates how Confucian culture influences management behaviour from the perspectives of economic performance, corporate governance, human capital and innovation. Furthermore, this paper discusses the implications for future research on Confucian culture and management behaviour. The analysis in this study provides a reference for research on management behaviour under specific cultural patterns.

The impact of lobbying on managerial short-term resource adjustment decisions

This study examines the effect of political lobbying on firms' short-term resource adjustment decisions. Controlling for a wide range of known determinants of managerial cost behaviour, our results suggest that U.S. lobbying firms exhibit significantly less cost stickiness than non-lobbying firms. Lobbying reduces managers' "wait-and-see games" as they obtain preferential access to information on political and legislative processes. With early knowledge of impending (political and regulatory) threats and long-lasting downturns, managers can adjust unutilised capacity more swiftly. This effect is more pronounced for firms without alternative information channels like permanent exchange with regulators. Our findings hold for several robustness checks, for instance, controlling for potential sample selection bias or employing alternative measures of lobbying as well as (political) uncertainty and alternative samples.

Menstrual hygiene behaviour among the tribal married women aged 15 to 49 years: A cross-sectional study in a community development block of Paschim Bardhaman District, West Bengal.

Menstrual hygiene management is integrally associated with reproductive health of women. Menstrual health and hygiene needs, particularly of tribal women still remain unmet for many reasons. Inappropriate menstrual behaviour leads to adverse health consequences. This study aimed to ascertain the menstrual hygiene behaviour of tribal married women aged 15 to 49 years and its correlates. A descriptive cross-sectional study was conducted from May 2019 to April 2020 in the Barabani block of Paschim Bardhaman district, West Bengal. A calculated sample of 530 women was selected randomly from 10 tribal villages of the study area; they were interviewed through a pre-designed schedule for socio-demographic and menstrual hygiene behaviour characteristics. Menstrual hygiene management score was derived based on five essential components- hygienic absorbents, hygienic disposal of absorbents, frequency of changing of absorbents, cleaning of external genitalia and source of water for cleaning; menstrual hygiene behaviour was categorised as favourable and unfavourable. Bivariate and multivariable logistic regression was performed using SPSS v. 20. All 530 women were Hindu and belonged to Santhal ethnicity; 53.4% were illiterate. Sanitary pads were used by 43.8% of women; 63% practised indiscriminate throwing for disposal of absorbents; 86% practised appropriate changing of absorbents. Overall, 63% had favourable menstrual hygiene management behaviour, and the literacy status of women was found to be a significant predictor. Unfavourable menstrual practices are still widely prevalent among tribal women, mainly attributable to lack of knowledge. Awareness generation should be focused on improving those practices, which would also result in the improvement of general health conditions.

The role of nurse-patient mutuality on self-care behaviours in patients with chronic illness.

To examine the role of nurse-patient mutuality on three self-care behaviours in chronic illness patients. A cross-sectional multi-centre study was conducted. Mutuality was measured with the Nurse-Patient Mutuality in Chronic Illness scale which has the dimensions of developing and going beyond, being a point of reference and deciding and sharing care, and self-care was measured with the Self-care of Chronic Illness Inventory (SC-CII). Multivariable linear regression analyses were used to assess the contribution of three dimensions of mutuality on self-care maintenance, monitoring and management behaviours controlling for patient gender, age, education, number of medications, and presence of a family caregiver. The sample included 465 inpatients and outpatients with at least one chronic illness. The three dimensions of mutuality had different roles in their influence on the three dimensions of self-care. Developing and going beyond was significantly associated with self-care maintenance and self-care monitoring behaviours. Point of reference was significantly associated with self-care maintenance behaviour. Deciding and sharing care was significantly associated with self-care monitoring and self-care management behaviours. The mutuality between nurse and patient may be a novel area of research to support and improve patient self-care behaviours with implications for clinical practice and education. Mutuality between nurse and patient increases patient engagement, symptom recognition, decision-making process and patient-centred approach favouring the development of self-care behaviours. Mutuality between nurse and patient is a new concept and its association with the patient outcomes could bring relevance to the nursing profession. Self-care behaviours are important in the management of chronic diseases, but are difficult to perform. Mutuality between nurse and patient influences the three different behaviours of self-care in chronic illness, for this reason it is important to increase the level of mutuality in this dyad. STROBE checklist for cross-sectional studies was followed in this study. Patients were involved in the sample of the study.

Managerial coaching and taking charge at work: the mediating roles of work engagement and role breadth self-efficacy

PurposeHow does a manager’s coaching behaviour encourage taking charge behaviour among subordinates? Although prior research has found a positive association between managerial coaching behaviour and employee performance, to date few studies have examined its effect on proactive behaviours in the workplace such as taking charge. Drawing on social exchange theory (SET) and social cognitive theory (SCT), this study develops a theoretical model to examine the mediating effects of work engagement and role breadth self-efficacy (RBSE) in the relationship between managerial coaching and subordinates taking charge. Additionally, drawing on social role theory (SRT), we test whether our proposed relationships are contingent on subordinates’ gender.Design/methodology/approachWe tested our proposed moderated-mediation model using empirical data collected across two waves from 196 employees within a large Malaysian services enterprise. Partial least squares structural equation modelling was used to test the proposed hypotheses.FindingsThe results revealed that managerial coaching has a significant, positive relationship with taking charge, work engagement and RBSE. However, only work engagement was found to partially mediate the relationship between managerial coaching and taking charge. Subordinates’ gender was found to positively attenuate the direct effect between managerial coaching and taking charge among females. However, the mediating effects of work engagement and RBSE in managerial coaching and taking charge were found to be not contingent on subordinates’ gender.Practical implicationsFinding from this study reveals that managerial coaching is useful in shaping employees' taking charge behaviour through work engagement. Hence, organisations should focus on strategies aiming to enhance managers' coaching capabilities. Originality/valueThis study extends the nomological networks of managerial coaching by highlighting it as a predictor of taking charge. Moreover, drawing on SET and SCT to explain the mechanism of managerial coaching and taking charge, we provide a novel perspective on how managerial coaching can influence taking charge. Specifically, we highlight the critical role of work engagement as a key mechanism that influences the relationship between managerial coaching and taking charge. Finally, we demonstrate managerial coaching as a means through which organisations can improve individual functioning.

Transferring paternalistic entrepreneurial leadership behaviours (PELB): Chinese organisations in sub-Saharan Africa

This article evaluates the processes of transferring managerial and leadership practices of Chinese entrepreneurs in sub-Saharan Africa (SSA). From the lens of paternalism, we investigate Chinese entrepreneurs’ behaviours towards their African employees in Kenya, Zambia, and South Africa (SA). Through 148 interviews (with 127 interviewees) from 78 organisations, we explain how the Chinese paternalistic entrepreneurial leadership behaviours (PELB) are legitimised, transformed, and resisted in African settings. Chinese leaders adopt a nurturing approach to transfer managerial and leadership behaviours within paternalistic cultures in the development of their organisations in SSA. We articulate the types of Chinese PELB that help to sustain Chinese organisational development and those that hinder this process in SSA.

Comparison of oral health status, oral hygiene management behaviours and satisfaction of patients with fixed orthodontic appliance and clear aligner: A quasi-experimental design.

This study aimed to determine the overall oral health statuses of patients with fixed orthodontic appliance and clear aligner, as well as their oral hygiene management behaviours and satisfaction. We selected 40 participants (20 each with fixed orthodontic devices and clear aligners) who visited a dental clinic. We conducted a survey to determine the oral hygiene management behaviours of the subjects and their satisfaction with their orthodontic treatment. Three measurements were also conducted at 4-week intervals to determine the oral health statuses of the subjects. The Löe and Silness gingival index of patients with fixed orthodontic appliances indicated moderate gingivitis (1.1 ± 0.3), and those with clear aligners had mild gingivitis (0.6 ± 0.4) (p < 0.001). The modified O'Leary index also indicated that the degree of dental plaque deposition in the oral cavity was lower in patients treated with a clear aligner (43.0 ± 18.2 points) than in those treated with a fixed orthodontic (28.1 ± 10.9 points) (p = 0.004). Regarding oral hygiene management, the fixed orthodontic group received scaling more frequently (p = 0.006), received more oral health education (p < 0.001) and had a longer brushing time (p = 0.008) than the clear aligner group. No significant difference was observed in satisfaction between the fixed orthodontic appliance and the clear aligner. Regarding the oral health status by orthodontic appliance type, the clear aligner group had the advantages of reduction in dental plaque attachment and gingival health. The fixed orthodontic group exhibited better oral hygiene management behaviours. Satisfaction with orthodontic treatment was found to be similar for the two device types.

Situational leadership during the post-pandemic crisis: a case of Amanah Institute

Learning outcomes After completion of the case study, students will be able to learn, understand, examine and customize leadership styles per organizational culture; understand the conflict management styles of a female leader; and comprehend the organizational change process to devise an effective communication strategy. Case overview/synopsis Ever-changing business demands managers adopt organizational change in leadership styles, business processes, updated skill sets and minds. One must be ready to understand influential nurtured corporate culture and human resource resistance towards the inevitable change. This case study attempted to discuss the female protagonist dealing with an organizational conflict. The case study introduces one such protagonist from a century-old woman’s educational institution. Subsequently, this case study presents organizational change under the leadership of a female protagonist. This teaching case study gives the reader an insight into situational leadership, conflict management styles and the corporate change process by implementing an appropriate communication strategy. This case study describes the change process through the various decision-making scenarios that an academic institute over a century old faced during the post-pandemic crisis after adding a crucial protagonist. The employee union, followed by students and administrative employees, has challenged the dominating leadership position held by the college principal. Protests occurred due to the college administrator’s refusal to adjust her approach to leadership. This teaching case then provided different leadership styles of the current and old leaders. Finally, the case study lists the challenges a leader faces during turbulent times and the lessons a leader should learn from such situations while transforming the institute. Complexity academic level The teaching case benefits undergraduate students in business management subjects such as conflict management, leadership and organizational behaviour. Nevertheless, trainers can use this case study to teach seasoned managers and emerging leaders the significance of adopting and implementing change while understanding situational leadership. Supplementary materials Teaching notes are available for educators only. Subject code CSS 10: Public Sector Management.

Green human resource management and employee ecological behaviour: Testing green culture and green satisfaction as parallel mediators in Malaysian higher education

AbstractThis research examines the influence of green human resource management (green HRM) on employee ecological behaviour (EEB) by drawing on Ability‐Motivation‐Opportunity theory. The mediating roles of green culture and green satisfaction are also investigated. The paper employs a quantitative design using a convenience sampling technique/approach by collecting data using a structured questionnaire from 308 academics working in the Malaysian higher education institutions. Partial least squares‐structural equation modelling is employed to verify the proposed hypotheses. The results demonstrate that green HRM positively impacts green culture and green satisfaction. Furthermore, green satisfaction positively influences EEB, where it fully mediates the association between green HRM and EEB. These results are helpful for HR professionals and senior management in terms of how green HRM may impact employee green outcomes. To date, the literature on green HRM in the higher education context is limited. This study not only enriches the general literature on green HRM but also offers a novel contribution regarding the introduction of green culture and green satisfaction as mediating variables in the association between green HRM and EEB.

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.