Non-financial Performance Indicators Research Articles

소비자 안전보건을 위한 ESG 공시기준에의 제품안전 지표설정 연구

ESG management has now become a new management paradigm both domestically and internationally. ESG is a non-financial performance indicator to achieve corporate sustainability, and encompasses responsibilities and obligations to stakeholders. Recently, as the safety issue of overseas products imported from online shopping malls in China has emerged, the need to ensure consumer safety and health from hazardous products is increasing. Accordingly, the establishment of product safety disclosure standards for consumer protection is required in the ESG information disclosure process. In this paper, in order to establish product safety indicators for sustainability disclosure standards for ESG management, the disclosure standards of major domestic and foreign initiatives were reviewed and analyzed to examine the introduction of product safety-related indicators, and product safety indicators that can be set for consumer safety and health were developed and presented. As product safety indicators, this paper first presented the occurrence of illegal and defective products, occurrence of product accidents, block hazardous products, number of recall orders and recommendations, and recall recovery rate as indicators that can be introduced throughout the entire product life cycle. In addition, the product risk level, the number and ratio of products for which risk assessment was performed, and the methods and standards used for risk assessment were presented as indicators related to product risk that indicate the level of impact of the product on consumer safety and health. In addition, the consumer safety index was presented as an indicator related to product safety accidents that occur during the consumer product use phase. The consumer safety index is an index that allows consumers to directly feel the level of product safety due to product accidents that occur when consumers use the product. It can be said to be a product safety index from the consumer's perspective that can protect consumer safety.

Eight-year evaluation of dental public health students’ research using balanced scorecard – Retrospective study

Introduction:Measuring the performance of dental schools in the research area has always been challenging. Balanced Scorecard (BSC) is a performance measurement tool with four perspectives that balance financial and non-financial performance indicators. Some medical colleges use BSC for performance measurement of all departments’ activities while others use it in some sections or departments. This study is the first in the dental education field to use the BSC approach to assess the performance measurement of dental students’ research projects. Methods:A self-developed BSC was designed by the staff members at the dental public health department to reflect the educational strategies and objectives of the department; all data on dental public health students’ research from 2013/2014 to 2020/2021 were collected from the dental public health department, Dental Clinics Complex (DCC) files as well as databases of the Quality Assurance Unit to cover the basic four balanced perspectives. Results:Data from the four perspectives were introduced to Balanced Scorecard Pro Software Version 4.7.1.20. The resulting balanced scorecard indicated that the overall performance of students’ research activities was 89.38%. The learning and growth perspective showed the highest performance (95.33%) followed by the financial perspective (92.5%) then the internal process perspective (89.55%) while the customer perspective showed the lowest performance (82.19%). Conclusions:BSC is an efficient tool for the measurement of the performance of the departments at medical colleges. Our process is highly adaptable and can be easily implemented by any section, or institution looking to advance its educational mission and vision.

Environmental protection tax, green innovation, and environmental, social, and governance performance

This study investigates the impact of China's Environmental Protection Tax Law, implemented as a quasi-natural experiment, on the environmental, social, and governance (ESG) performance of listed industrial enterprises from 2012 to 2022. The objective is to gain a better understanding of how this tax influences corporate behavior toward sustainability, addressing a gap in the literature regarding the effect on nonfinancial performance indicators. By employing a dataset of 9077 observations from the Wind and CSMAR databases, we determine whether the tax leads to improved ESG outcomes and fosters green innovation within these enterprises. The findings reveal that the tax significantly enhances the ESG performance of firms, particularly in environmental aspects, by encouraging green innovations. Moreover, the tax's impact is more pronounced in nonstate-owned enterprises than in state-owned ones. These results suggest that similar fiscal policies can effectively drive corporate sustainability; hence, policymakers should leverage economic tools for environmental management.

Integration of Financial and ESG Performance Indicators to Measure and Evaluate Egyptian Insurance Companies Performance

This study aims to evaluate the performance of Egyptian insurance companies through the integration of financial and non-financial performance indicators through the dimensions of sustainable development as a mediator variable. The study relied on Allianz Egypt property and liability insurance company data from 2012 to 2021, and the Monte Carlo simulation method was used based on the Mathcad program. This study used structural Equations Modeling via AMOS program to extract the direct and indirect effect through path analysis. The results showed that each environmental dimension, social dimension, and governance dimension plays a mediator role in the relationship between solvency, liquidity, credit, activity, underwriting profitability, and both market share and investment profitability. Our research contributes to the literature of achieving sustainable development in the insurance sector, to keep pace with global developments. This paper presents evidence of the relationship between integrating ESG indicators into insurance companies’ performance and achieving an additional competitive advantage.

Implications of corporate social responsibility on the financial and non-financial performance of the banking sector: A moderated and mediated mechanism

This study aims to investigate the influence of corporate social responsibility (CSR) on both financial and non-financial performance in the Pakistani banking sector by applying a quantitative research approach to the primary data from 405 branch managers in the Pakistani banking sector. Both financial and non-financial performance indicators are analyzed in relation to CSR practices. The CB-SEM findings of this study reveal a significant and positive correlation between CSR and both financial and non-financial performance. Our results demonstrate that CSR initiatives contribute to improved financial performance, reputation, and innovation within the sector. These findings confirm the importance of prioritizing social responsibility initiatives to enhance overall performance in the banking industry. This study provides valuable insights into the impact of CSR on performance in the context of the Pakistani banking sector. The research contributes to the existing literature by highlighting the positive relationship between CSR and financial/non-financial performance. The findings underscore the relevance of CSR practices for banks in Pakistan and emphasize the potential benefits of incorporating social responsibility initiatives into their operations. This study serves as a foundation for future research, encouraging further exploration of CSR's role in the banking industry and its implications for sustainable business practices.

The Interplay Between ESG Disclosure And Financial Profitability

This study seeks to elucidate the correlation between the enactment of environmental, social, and governance (ESG) pillars and financial profitability. A total of 275 samples were amassed from 55 corporations listed on the Indonesia Stock Exchange, chosen via the purposive sampling technique. The ESG scoring data employed in this investigation was evaluated following the criteria set forth by Thomson Reuters Eikon. To examine the nexus between profitability and the ESG pillars, this research utilized the panel data regression methodology. The theoretical framework guiding hypothesis formulation was the resource-based view theory. The findings of this inquiry reveal that the environment, social, and governance variables exert a significant positive impact on corporate profitability. The implications of these findings suggest that this research could act as a pivotal consideration for corporations to integrate non-financial performance indicators within their operational strategies. Furthermore, the outcomes of this study provide investors with a metric to gauge the potential and efficiency of companies in achieving optimal profitability.

The Linkage Between Knowledge Management Practices and Sustainable Business Growth: Empirical Evidence from Nigeria

Purpose: The objective of this study is to examine the correlation between knowledge management (KM) and lasting company expansion within a specific group of family enterprises located in Lagos State, Nigeria. The study encompasses an examination of six distinct sub-variables, namely knowledge sharing, knowledge training, knowledge capture, knowledge transfer, knowledge acquisition, and knowledge application, in relation to the variable of knowledge management. Additionally, it considers four dependent sub-variables, namely profitability, number of employees, customer base, and market share, in relation to the variable of sustainable business growth. Methods: A survey research methodology was employed in this study to examine the correlation between knowledge management and business performance among a specific group of family companies located in Lagos State, Nigeria. This article employed a cross-sectional survey research design and utilised a quantitative technique. This design was adopted based on the research topic and its associated research questions. This paper utilised the previous research methodology employed by Olubiyi, Egwakhe, Amos, and Ajayi (2019), Olubiyi (2019), Olubiyi, Lawal, & Adeoye (2022), Olubiyi (2022), and Olubiyi, Jubril, Sojinu, and Ngari (2022). The study employed a cross-sectional survey approach and focused on a population of family businesses, specifically owners/managers of selected small and medium-sized enterprises (SMEs) in Lagos State, Nigeria. Results and Conclusion: The findings is consistent with the conceptual framework and these studies (Fulgence, Hu, Larbi-Siaw, Tuo, & Gnahe, 2022; Ge & Campopiano, 2021; Ha, Lo, Suaidi, Mohamad,& Razak,2021; Hernández‐Perlines, Moreno‐García, & Yáñez‐Araque, 2017; Inkinen, 2016; Majid, Mahmud, 2019; Marija, 2022; Olubiyi, 2020; Patwary, Alwi, Rehman, Rabiul, Babatunde, & Alam, 2022; Santoro, Messeni-Petruzzelli, & Del Giudice, 2021; Shafique, Kalyar, Patwary, Alwi, Rehman, Rabiul, Babatunde, & Alam, 2022; Shafique, Kianto, & Beh, 2022; Su, & Daspit, 2021; Tan, Hii,. & Cheong, 2022; Torabi, & El-Den, 2017; Zamfir, 2022). Furthermore, the findings of the research validate the empirical data about the correlation between knowledge management strategies and the long-term viability of family enterprises. Evidence suggests that the growth of enterprises in Lagos State, Nigeria is significantly influenced by several factors such as knowledge training, knowledge generation, knowledge capture, information sharing, knowledge transfer, and knowledge application. The data analysis demonstrated a significant correlation between knowledge management techniques and the long-term survival of family firms (R2=0.252, F(6, 461)=27.167; p<0.05). Research implication: The report acknowledges that its findings and implications are specific to Lagos, Nigeria, with a primary focus on family enterprises. Hence, the research might be further extended by conducting comparable studies on major corporations in Nigeria or other regions. In order to enhance the generalizability and reliability of the findings, it is advisable to increase the sample size by incorporating a larger number of respondents through the use of new data collection methods. The primary obstacle in getting objective performance metrics in the majority of family businesses in Lagos State, Nigeria, was the lack of data. Consequently, non-financial performance indicators were employed as a solution. Originality/value: The objective of this study is to examine the correlation between knowledge management (KM) and sustainable business growth within a specific group of family companies located in Lagos State, Nigeria. This study enhances the understanding of knowledge management strategies employed by owner-managers in family businesses, making it relevant to entrepreneurs, policymakers, and scholars. The research presents an innovative analysis of current sources, specifically focusing on the primary metrics employed to assess the knowledge management and sustainable business expansion of family enterprises. This study addresses the want for enhanced lucidity and comprehension within the family business industry.

User-generated Contents(UGC)를 이용한 지각된 서비스품질 측정과 온라인 구전이 지각된 소비자 품질 불확실성에 미치는 영향에 관한 연구

This study aimed to measure perceived service quality by analyzing consumer reviews posted on online review platforms. The proposed Perceived Service Quality Index (PSQI) was validated by examining whether its five dimensions could explain overall satisfaction, a non-financial performance indicator for customers. The findings showed that the PSQI was partially valid, with four out of five dimensions significantly explaining the average rating, a proxy for overall satisfaction. To demonstrate the applicability of the PSQI, this study also investigated the impact of electronic word-of-mouth (eWOM) on consumers' uncertainty in perceived service quality using longitudinal PSQI data. The findings indicate curvilinear relationships between eWOM and consumers' uncertainty in the dimensions of assurance, tangibility, and food. Specifically, insufficient information in the eWOM environment may increase uncertainty in these service quality dimensions, while exceeding a certain level of eWOM may decrease uncertainty. Therefore, this study suggests that restaurant managers should continuously monitor and manage the information level distributed through online review platforms to reduce consumer uncertainty in the purchasing decision-making process.

Studying research in balanced scorecard over the years in performance management systems: a bibliometric analysis

PurposeSince the introduction of balanced scorecard by Kaplan and Norton in 1992, it garnered considerable research and practice attention across disciplines. Using bibliometric analysis, this study examines trends in balanced scorecard research in last 20 years and identifies future areas of research.Design/methodology/approachThe Web of Science database was used to extract research papers from the 2003 to 2023 period with “Balanced Scorecard” as topic. The final sample consisted of 445 articles. Trends and patterns were analyzed using bibliometric analysis through research profiling and thematic analysis.FindingsThe findings reveal that BSC, spanning across disciplines, including business and operations, has enriched the theory and practice of BSC research. Analytical and survey methods were more prevalent than primary studies. Scholars from the USA and the UK have made noteworthy contributions to balanced scorecard research. Emerging themes include integrating human resources, sustainability, subjectivity in performance evaluation and non-financial performance indicators in BSC for better strategic decision-making.Practical implicationsThe study would inspire researchers to generate new research questions and hypotheses and help in identifying gaps in the current knowledge base and areas where further investigation is needed. Managers would gain useful insights into performance management by studying the BSC research evolution to find a fit for modern-day industry needs.Originality/valueThe authors’ contribution fills the void by providing useful account of extent research over last 20 years using bibliometric analysis and motivate future research directions.

BALANCED SCORECARD BASED APPROACH IN MODELING A BUSINESS INTELLIGENCE SYSTEM

This paper is a part of a wider research, the goal of which was to develop a model of strategic school management at the local and regional level in order to effectively manage schools. The proposed model is based on business intelligence, or advanced analytics of business performances that will enable timely, efficient and fair management of school resources, which the state has delegated to local governments.The performance management of schools should be based on financial and nonfinancial performance indicators. The balanced scorecard (BSC) may be a suitable method for that. This paper investigates the possibility of implementing balanced scorecard in the area of school management. The presented BSC model is developed for school management on local and regional level in Croatia. Defined are perspectives of BSC, strategic objectives and perfor-mance measures related to these objectives. The presented model is universally applicable. It is intended for founders - Local and Regional Administration in countries with similar legislation. For the application of the model any founder should enter realized values, master data and the scope of activities for its school system.

SISTEM INFORMASI AKUNTANSI, KINERJA NON-KEUANGAN DAN KINERJA KEUANGAN DI PERUSAHAAN KECIL: PENELITIAN EMPIRIS BERDASARKAN GENDER

AIS is a mandatory tool for managers to have a competitive advantage amidst rapid technological advances. Business competition is conducted based on financial as well as non-financial performance indicators. The research objective was to examine gender differences in the use of AIS and non-financial and financial performance measures by SMEs for better performance. AIS requirement, AIS capacity, and non-financial and financial performance are measured using a questionnaire. AIS alignment is measured by multiplying the AIS requirement items by the AIS capacity. The hypothesis was tested using multiple linear regression to determine the effect of AIS requirement and AIS capacity on AIS alignment and the effect of AIS alignment on SME financial and non-financial performance. Different tests are used to examine differences in AIS alignment based on gender and differences in financial and non-financial performance based on gender. AIS requirement and AIS capacities have a significant influence on AIS alignment. AIS alignment does not have a significant impact on SME non-financial performance or financial performance. Women have a more positive perception of the non-financial and financial performance of SMEs than men. There is no significant difference in perception between men and women regarding AIS alignment. Research suggestions include getting a larger and more representative sample of small companies. The research is expected to provide guidance for SMEs in choosing an appropriate AIS to face a competitive business environment and serve as a basis for further research

Construction of Economic Management Performance Model of Mining Enterprises under the Background of Supply-side Reform

The proposal of supply-side structural reform measures has ushered in new development opportunities for mining enterprises in the bottleneck period. As a result, a model for evaluating the economic management performance of mining firms at the new performance level must be established. This paper suggests an assessment model for the economic management of mining firms against the backdrop of supply-side reform in light of this. This study reasonably incorporated financial and non-financial performance indicators, constructed the Economic Management Performance (EMP) evaluation index system of mining enterprises, and created an economic management performance evaluation model of mining enterprises based on the BP neural network and analytic hierarchy process. The study selected the relevant data of five mining companies A, B, C, D, and E from 2017 to 2022 as the research object, verified the effectiveness of the model, and analyzed the performance evaluation results of the companies. The research results show that the model constructed in this study can evaluate the economic management performance level of enterprises within a reasonable range (the mean relative error is 1.98%). Since 2017, the comprehensive performance level of these five mining companies has gradually declined. But thanks to the supply-side reform, the comprehensive performance has gradually recovered after 2022 and among the five mining companies, company A has always been at the performance level way ahead. Overall, the model developed in this research has strong operability and practicability and can be utilized more effectively to forecast the mining industry’s potential for future growth.

Women Micro-Enterprises Performance, Role of Social Capital, Locus of Control and Institutional Support on Entrepreneurial Orientation Nexus. A Conceptual Perspective

This research proposed a framework on the interactive effect of Social Capital, Locus of Control and Institutional Support on the nexus of entrepreneurial orientation (EO) and micro-enterprises performance. As the level of empirical research is lacking on the elements identified in a single study. This study used the uni-dimension of EO encompassing the proactiveness, innovativeness, and the risk-taking proclivity of women micro-enterprises in developing novel jobs towards narrowing the economic disparities of people. The incorporated variables like Social Capital, entrepreneur’s internal locus of control and Institutional Support relate to entrepreneurship as per extant literature. A quantitative research method will be utilised and with the help of the G-Power to establish the acceptable minimum sample size suitable for the study. Data will be obtained via purposive sampling technique and analysis done with the use of the Smart PLS-SEM software. The findings would provide vital value on the significance of the antecedent variables on the perceived financial and non-financial performance indicators of women micro-entrepreneurs. The study will be anchored on the model of strategic entrepreneurship, organisational learning and learning organisation theories stressing how their adoption by women micro-entrepreneurs could enhance optimal sustainable performance. The implications of this findings would be of great significance on women micro-entrepreneurs’ performance, enabling them to compete well in this competitive business environment, evolve to SMEs and large business that will find their presence in the international market. Further, findings would provide direction for educators, policymakers and future research to enhance the optimal sustainable performance of women micro-entrepreneurs and in Malaysia.

PREDICTIVE ROLE OF KNOWLEDGE CULTURE AND INNOVATION CULTURE ON NON-FINANCIAL PERFORMANCE INDICATORS

The aim of the research presented in this study was testing the correlation of knowledge and innovation culture and non-financial performance indicators (NFPIs), the predictive role of independent variables knowledge and innovation culture in NFPIs and differences between dependent and independent variables between micro, small and medium size companies. The study included 124 Serbian MSMEs, that voluntarily responded to 40 questions, presenting the research instrument. Statistical data analysis showed that a significant correlation exists between dependent and independent variables, that knowledge and innovation culture predict NFPIs with 33.4% and that there are differences in innovation culture and NFPIs, but not knowledge culture between companies grouped according to size. The conclusion of the study is that innovation and knowledge culture are of high importance for MSMEs, due to their predictive role in NFPIs, which are most often used, according to literature findings, for the assessment of their long-term success and sustainability. This study also revealed that the highest level of innovation culture and NFPIs is in micro companies in Serbia.

Predictive Ability of Financial and Non-Financial Performance for Financial Statement Publication Time Frame: Moderating Role of COVID-19 Pandemic

Purpose: This study examined the ability of financial and non-financial performance in predicting financial reports publication time frame as moderated by the COVID-19 pandemic. Theoretical framework: Signal theory postulates that management serves a crucial role in providing information to stakeholders regarding the condition of the company (Brigham & Houston, 2001). According to Spence (1973), companies are motivated to provide relevant information to stakeholders. If the performance conditions are good, the company tend to speed up the process of presenting financial statements. Conversely, if performance is poor, there is a tendency to delay the financial reports publication. The long span of time for the publication of financial reports can indicate bad news that the company has so that it has yet to publish the news to the public. Scott (2015) suggests that when managers know there is unfavorable news about the condition of the company in the future, they will avoid publishing this information or at least delay the presentation of financial statements. Method/design/approach: Financial performance was measured by four indicators: profitability, liquidity and solvency. Meanwhile, variable non-financial performance was measured by the index of good corporate governance (GCG) and auditor reputation. The proposed model was tested based on the quantitative data collected from 156 manufacturing companies listed on the Indonesia Stock Exchange (IDX) from 2018 and 2020. The multiple regression analysis was performed to analyze and interpret the data. Results and conclusion: Result indicates that solvency, good corporate governance, and auditor reputation were significant predictors of the time span of financial report publication. However, the predictive ability of profitability and liquidity on the publication timeframe was found to be not significant. Furthermore, the results show that the COVID-19 pandemic moderates the ability of profitability and good corporate governance in predicting the publication timeframe. Research implications: Financial and non-financial performance indicator gives different results in predicting the RWPLK of manufacturing companies in Indonesia. ROA and CR are not able to predict RWPLK, but DER, GCG, KAP are able to predict RWPLK. The role of the COVID-19 pandemic was able to moderate the ability of ROA and GCG in predicting the timeframe for publication of financial reports, but was unable to moderate the ability of CR, DER and KAP in predicting RWPLK. Originality/value: The present study provides the first empirical evidence on the moderating role of the COVID-19 pandemic on the predictive ability of financial and non-financial performance for financial statement publication time frame.

Measuring Inequality in Sub-Saharan Africa Post-Pandemic: Correlation Results for Workplace Inequalities and Implication for Sustainable Development Goal ten

Purpose: This paper aims to investigate the relationship between workplace inequalities and business effectiveness in selected and listed businesses in Nigeria. It includes an analysis of four independent sub-variables (gender segregation, incentive disparity, ethnic factors and professional disparity) for the variable workplace inequalities and four dependent sub-variables (creativity, service quality,productivity and business growth)for the variable business effectiveness. Methodology: This study used a survey research approach to investigate the relationship between workplace inequalities and business effectiveness in selected and listed businesses in Nigeria. The survey research design was cross-sectional in this paper, and the technique was quantitative. The adoption of this design was influenced by the research problem and its related research questions. The unit of analysis for this study was the staff of consumer goods companies of Seven listed consumer goods companies in Nigeria that controlled 93.08% of the total market capitalization of the entire consumer goods sector as of October 31, 2022. The population comprised 491 employees of the selected consumer goods companies in Nigeria. A structured questionnaire with Cronbach’s alpha reliability coefficients for the constructs ranging from 0.77 to 0.88 was used for data collection. Findings: The findings of this study are in consonance with the view of Bandura (2012), who insists that entrepreneurial self-efficacy is the level of confidence shown by an individual towards the undertaking of a task or position which favourably influences small business performance. The findings of this study are consistent with those of Ngek (2015); Dessyana and Riyanti (2017); Adolfina and Lumintang (2018); Budiman and Pangestu (2018); Cumberland, Meek, & Germain, (2015): Yusuff et al. (2019); Oyeku et al. (2020); Islam et al. (2020); Kale, (2020); Khalil et al. (2021); McGee & Peterson, (2019); Torres and Watson, (2013) which demonstrate that entrepreneurial self-efficacy positively and significantly affects business performance Research limitation and implication: It recognized that the findings and implications of this paper are situated within Lagos, Nigeria, and primarily small businesses as the focus of its attention. The research can be expanded with similar studies conducted across large businesses in Nigeria or other climes. To achieve more generalizability and trustworthiness, the sample size can be raised by considering more respondents with innovative data gathering techniques. In this research, the absence of data in the majority of small businesses in Lagos was the most significant challenge to obtaining objective performance measurements, for this reason, the non-financial performance indicators were adopted. According to Khalil, et al. (2021), subjective measurements may be produced without objective measures. Practical implication: For every business to scale or survive there is a need to have a reliable configuration of strategies of which managerial capability is key, as such the findings of this study are expected to help create a reminder of the need to improve skill sets in the owner-managers of small businesses to beat the competition and remain viable Social implication: This research will help society comprehend the need for managerial capabilities and entrepreneurial self-efficacy for harmonious business growth and performance in operations. Consequently, generating employment and boosting firm income. Originality/value: The paper provides evidence of the performance of small business in Lagos State Nigeria. This paper extends understanding of entrepreneurial self-efficacy and managerial capabilities among owner-managers of small businesses, and should be of particular interest to entrepreneurs, policy-makers and academia. The paper provides a new interpretation of existing sources particularly the key indicators used for the purpose of determining managerial capabilities and performance of small businesses. This research contributes to the need for greater clarity and knowledge small business sector

Key Corporate Sustainability Assessment Methods for Coal Companies

Many businesses view sustainability issues as important and design corporate sustainability strategies. However, creating such a strategy does not mean the company will progress in sustainable development because the factors influencing businesses remain largely unexplored. Based on a review of studies on corporate sustainability, we identified the major factors affecting any company’s sustainability. They include government regulation, imperfect management, interaction with stakeholders, corporate self-regulation and self-reflection, and the regulatory framework, and can be consolidated into two groups. We also analyzed the groups of methods that can be used to assess a company’s sustainability: traditional corporate sustainability assessment methods, circular economy assessment methods, ESG assessment methods, and non-financial performance indicators. For each group of methods, limitations were identified, and it was concluded that corporate sustainability assessments should factor in the environment in which the company operates. As part of this study, a lack of methods for assessing the corporate sustainability of coal companies was revealed, along with insufficient consideration of industrial factors in the prior literature. These factors are responsible for incorrect corporate sustainability assessments in the coal industry. Taking into account the division of Russian coal companies into three types (energy companies, metal manufacturers, and coal producers) and the aspects of their functioning against the backdrop of economic restrictions (including sanctions and embargoes), the authors prove that each group of companies requires an individual corporate sustainability assessment methodology.

МЕТОДИКА СКЛАДАННЯ ЗВІТУ ПРО УПРАВЛІННЯ: ЗАКОНОДАВЧІ РЕАЛІЇ ТА ПЕРСПЕКТИВИ УПРОВАДЖЕННЯ

The legal grounds for submitting a management report appeared in the autumn 2017 when amendments to the Law of Ukraine “On Accounting and Financial Reporting in Ukraine” No. 996 dd. 16th of July, 1999 were adopted. The definition of the management report also appeared there. The drawing up and submitting procedures for management reports for all business entities were developed by the Ministry of Finance of Ukraine, while those for banking institutions were developed by the National Bank of Ukraine. The management report is also referred to in the Financial Statements Submitting Procedure (Resolution of the Cabinet of Ministers of Ukraine dated 28th of February 28 2000 No. 419), however, according to this regulation, the Management Report is not part of the financial statements, which is stated explicitly in the text of par. 2 of Procedure No. 419. It is only submitted “together with the annual financial statements.” In case of the consolidated reporting, a consolidated management report is to be submitted. European accounting and financial reporting standards imply that financial reporting cannot provide all the necessary information to interested users about the company’s activities. Therefore, the purpose of the management report is to fill this gap and provide information about the performance that cannot be obtained from financial statements and notes thereto. This can be financial information – analysis of company indicators and existing risks, achievement of key financial performance indicators, forecast of financial indicators; and non-financial information – creation of a new product, expansion of sales markets, community and environmental activity, protection of human rights, research and development, achievement of key non-financial performance indicators, description of the company's development prospects, etc. Therefore, the appearance in the legal space of the concept of the Management Report in the domestic reporting practice is not a whim of the national legislative and regulatory bodies, it is most likely a consequence of the adaptation of the domestic laws to the European regulations. It is supposed that the management report cannot be considered purely an “accounting report”, because other company employees and even external consultants can and should be involved in preparation of the management report. Today, the form, structure, methods of submitting information, detailed content and scope of the management report are not regulated by any governmental authorities, so compiling of a management report can be considered quite “creative”. According to the authors, it should be regarded more as a reputation business card of the company, rather than an official report. The authors have performed a critical review, analysis and systematization of the legislative basis for the implementation of the management report; the results of the search for unified informational and methodological approaches for implementation of the legislative basis in the accounting and analysis regarding the preparation of the company's reporting, in particular, nonfinancial reporting, are presented.

Nonprofit Organizational Effectiveness: The Effects of Financial and Social Performance on Its Scale and Scope of Operations, and Social Impact

In the face of increased accountability pressures, nonprofits are searching for ways to demonstrate their effectiveness. In the Absence of meaningful tools to evaluate effectiveness, financial ratios are largely used to approximate it. There is an extensive body of literature on the determinants of nonprofit effectiveness. However, it largely remained exploratory in nature. This is a novel attempt to propose a theoretical framework linking performance to effectiveness, but also applying this to a larger sample by means of a survey. For this, we employed Iwu et. al. (2015) configuration for the identification of major financial and non-financial performance indicators of NPOs and used in the Program Logic Model (W.K. Kellogg Foundation, 2004) to assess its impact. We hypothesize that this financial and non-financial performance and activities produced positive output in terms of increased participation that in turn, leads to positive outcomes on the participants live and at last these outcomes leads to positive impact towards the society by reducing the problems this NPO are set to tackle. For the empirical side, we collected data from 200 participants belonging to 14 NROs operating in Pakistan, by means of a close-ended questionnaire. Data were analyzed using confirmatory factor analysis and structured equation modeling. The results were according to the theory and showed a positive and significant effect of financial and non-financial performance on output, then to the outcome and finally to impact. These findings can be used by the growing number of not-for-profits throughout the world to measure and report performance.

The Link between Mission and Performance Management System – Empirical Results from an ITC Company

It is becoming very clear that the ITC industry is setting trends in the global economy as regards the strength of national economies, bearing in mind that in the future, digitally driven innovation will virtually be the benchmark of a nation’s, region’s or even continent’s economic performance. Thus, a strong organisational culture, based on a clear purpose and direction, together with a system of core values shared by the members of the organisation, facilitates the achievement of strategic objectives at high performance standards and is a strong source of internal stability and integration. In such a context, this study seeks to present results from an extensive research project, the overall purpose of which was to develop a model for assessing the impact of organisational culture on organisational performance, based on non-financial performance indicators in a multinational ITC company. Specifically, it examines the relationship between mission, as a feature of organisational culture according to Denison’s model, and performance management system. Among the main results which emerged, it should be noted that good statistical links were identified between the variables analysed, i.e., the mission had a strong influence on the performance management system in the company under study.