Percent Of Companies Research Articles

Companies’ Behavior of Carbon Emission Reduction at the Risk of Oil Price Volatility

This paper has established an evolutionary game model, and has examined the promotional effect of the rising oil price on companies’ behaviour of carbon emission reduction. The research results show that, the promotional impact of the rising oil price on companies’ carbon reduction behaviour is uncertain. In the case of the rising oil price, the evolutionary result of companies’ carbon emission reduction behaviour will depend on the extent of the rising oil price, the initial status of companies, the saved cost and the revenues from emission permits. At the same time, the percentage of companies who reduce carbon emission at the initial evolutionary period will also influence the evolution direction of the whole group. This paper has showed the relationship between the rising oil price and companies’ carbon reduction behaviour, and it will provide theoretical reference for promulgating rational low carbon policies.

International Financial Reporting Standards (IFRS) Without an International Financial Reporting Language (IFRL): Evidence of Information Asymmetry in the EU

Since 2005, companies in the European Union (EU) are required by Regulation 1606/2002 to prepare financial statements in accordance with IFRS; however, these listed companies are not required to prepare financial statements and disclosures in an International Financial Reporting Language (IFRL) or lingua franca. We question whether firms that file IFRS financial statements only in the local language but not in English, the IFRL or lingua franca, limit the benefits of IFRS; whereas, companies that also file in English reduce information asymmetry and increase the effectiveness of IFRS as a global informational tool. This paper examines annual filings from 6,000 listed companies in the European Union (EU) for the years 2009 and 2012. We found that approximately 60 percent of companies from non-English speaking countries file in their local language and voluntary disclose in English; while 40 percent report only in their native languages, Our research suggests that until international companies adopt English as the International Financial Reporting Language (IFRL) the full benefit of complying with IFRS will not be recognized.

Corporate Disclosure of Greenhouse Gas Emissions in the Context of Stakeholder Pressures: An Empirical Analysis of Reporting Activity and Completeness

In this study, we shed light on the practice of disclosure of quantitative Greenhouse gas (GHG) emissions by companies in Europe. We develop a classification of reporting completeness based on three dominant voluntary reporting guidelines. We find that from 2005 through 2009 only 15 percent of companies that disclose GHG emissions report them in a manner that we consider complete with respect to scope of emissions, type of emissions, and reporting boundary. We subsequently examine whether proxies for exposure to climate change concerns from different stakeholder groups influence the existence and, separately, the completeness of quantitative GHG emissions disclosure. Controlling for factors representing companies’ resources to report, the results of our logistic regression analyses provide evidence that while external stakeholder pressure is a determinant of the existence of GHG emissions disclosure, it is not substantially related to the disclosure completeness. Our findings are consistent with stakeholder theory in that companies appear to respond to stakeholder pressure to report GHG emissions. Results are also consistent with legitimacy theory arguments in that firms may be using incomplete reporting of GHG data, presumably due to the voluntary nature of the disclosure practice, as a symbolic act to maintain legitimacy in the face of the exposures. We conclude that bringing corporate GHG emissions disclosure in line with recommended guidelines will require either more direct stakeholder pressure or, perhaps, a mandated disclosure regime.

A Comparative Study of Sustainability Disclosure Practices of India and USA

Sustainable development efforts presented on a piece of paper take the shape of a sustainability report, also labelled as sustainable development report. Sustainability report integrates economic, environmental and social performance of the company into one report. This study compares the sustainable development efforts by companies in developed (USA) and developing (India) nations. The recent sustainability reports from a three-year period that is 2008–2011 of AMEX major market index (USA) and SENSEX companies (India) are studied using content analysis. Independent sample t test and ANOVA have been used to compare the reports of the said countries. The results of the analysis show that companies are now more aware of sustainable development. Out of 20 AMEX major market index companies, 14 companies are providing sustainability information in a separate sustainability report while in case of SENSEX there are 16 companies out of 30 that are producing sustainability reports. In USA greater percentage of companies is disclosing sustainability information, while the quantity of information disclosed as per GRI’s G3 guidelines, in sustainability reports is more in the case of Indian companies.

A historical analysis of diversity trends in French and Dutch lettuce cultivars

Using historical seed catalogues in combination with molecular fingerprinting data, diversity trends of lettuce, representing an important vegetable with active breeding programmes, were studied. Seed catalogues originating from France and the Netherlands from five different decades, the earliest dating from the 1840s, were checked for the occurence of lettuce cultivars. A total of 225 catalogues, with 7,311 records of lettuce, representing 878 different cultivars were found. The number of unique cultivars on offer by French and Dutch companies showed a small continuous increase until the 1960s, after which the number of cultivars on offer more than doubled to a total of 534 in the 1990s. Only a relatively small overlap between France and the Netherlands in the range of cultivars offered was observed. The 1960s appeared to be a period with many changes: the lowest genetic diversity in lettuce cultivars was found for this decade, whereas after the 1960s the number of companies supplying lettuce seeds reduced dramatically. The percentage of companies in a decade offering an identical cultivar decreased over time, and in the 1990s almost all cultivars were unique to only a single company. The possible relations of the observed trends with the developments in plant variety protection and in the plant breeding industry are discussed.

Innovation or Stagnation? Crossing the Creativity Gap in Healthcare

L ike excellence, the word innovation is often overused in healthcare, frequently espoused in well-intended promotional materials lacking in any real substance. Referred to indiscriminately, innovation is a nice feel-good notion. But implemented strategically, it can mean the difference between performing on par with the industry and achieving exceptional success that includes defining strong healthcare brands, serving as a magnet for patients and employees, and increasingly changing the way healthcare is practiced. True innovation is a powerful concept with an inherently unique capacity to align people, foster creativity, and bring significant improvement to existing processes or transformational change to whole systems and industries. According to PwC’s 2011 Annual Global CEO Survey, innovation is one of the top priorities for executives in almost every industry—not just for realizing efficiencies, but because they see it as integral to growth. In fact, 78 percent of CEOs surveyed believe innovation will generate “significant” new revenue and cost reduction over the next three years. However, as the study also highlights, only about 9 percent of companies described themselves as active innovators, revealing a gap between where most companies are and where CEOs want to go (PwC 2011). How can this gap be crossed? How do hospitals and healthcare organizations leverage the value of innovation and, more importantly, build a sustainable culture of innovation that becomes part of the organization’s DNA over time—especially in the face of unprecedented reforms imposed by the Accountable Care Act?

The Significance of a Suitable Information Ethical Code

IntroductionComputers and electronic communication facilitate a detached form of interaction among people, and are media through which people are able to send and receive information in an unpremeditated way, leading to changes in interpersonal relationships. Moreover, they represent a quick, low cost communication mechanism through which the copying and printing of intellectual property is easily done, making the violation of patent rights, residuary rights, copyright, and piracy rife, and the interception of messages and invasion of privacy commonplace. Such a communication channel provides considerable freedom and space for the innovative use and diffusion of information. The concept of information sharing runs counter to that of complete confidentiality and partial accessibility. For this reason, the principle of information ethics always contravenes the important value of freely accessible information. In view of this, the electronic age requires legal authentication to render unnecessary paper authorization and legitimization. Therefore, due to the unique difficulties and challenges of the IT developments outlined above, the principle and application of ethics must be adapted to accommodate the needs of information technology (IT) (Weiss, 1990; Martin, 2001; Davison et al., 2006).A well-designed code will help to educate several communities. If a code is sufficiently detailed, it will help to educate clients and society, and reduce the developer's tendency to take short-cuts. A detailed code can be used as a foundation for a malpractice suit against developers who intentionally fail to meet the standards specified in a code. A code also serves to educate its membership and potential membership about the standards of the profession (Gotterbarn, 1998). The Center for Business Ethics (1986) found that 83 to 93 percent of companies have an ethical code (Berenbeim, 1992), the manager of those companies believing that the code is instrumental in the prevention of unethical conduct among employees (Manley, 1991). As employees recognize the ethical code as a form of law and rule, it helps clarify the definition of the range of behavior unacceptable to the company, thus helping both to prevent computer abuse and to influence the moral judgment of employees (Bequai, 1983).The ethical code of NASW (National Association of Social Workers, 1996) includes a series expectant of the normative description of workers' attitude and behavior, most of which is context dependent. Due to the inhibitions of code, to resolve the conflict between situation factors and code, rule and standard should refer to the context. The hypothesis of the code is individuals of good character will behave responsibly in good faith. For this reason, social workers should consider cultural habits and adopt a flexible interpretation of the behavior of professionals (Goldstein, 1999).Although a number of scholars have studied information ethics (Schlegelmilch, 1989; Langlois and Schlegelmilch, 1990; Swinyard et al., 1990; Berenbeim, 1992; Whitman et al., 1998; Guillen et al., 2002; Wood et al., 2004; Davison et al., 2006; Mele et al., 2006; Hui et al., 2007), studies from the cultural perspective using longitudinal and qualitative methods are still scarce (Chang, 2009). According to Mason (1 986) there are four aspects to informational ethics (PAPA): privacy, accessibility, property, and accuracy. In light of this, the present paper aims to explain the different reactive processes of MIS professionals in CHSyst (pseudonym) in Taiwan, Hong Kong, and Mainland China, and to interpret these reactions from the perspective of Chinese morality (Hwang, 1998) and Mason's PAPA (1986). It aims to provide fresh insight into the Chinese morality perspective, and to create a new direction for ethical codes in Chinese enterprises.The structure of the paper is as follows: The first part reviews the body of literature on the theory of the importance of ethical codes and the Chinese morality perspective. …

Instrumentos de Apoio à Inovação Tecnológica no Paraná: Disponibilidade e Uso nas Empresas do Arranjo Produtivo Local (APL) de Software de Curitiba

This research aims to identify if companies from the Local Productive Arrangement Software of Curitiba know and use the tools to promote technological innovation that are available in Parana. Thus, the intention is to understand if the demand and supply mechanisms for encouraging and supporting technological innovation are in harmony. The research has verified, through a structured questionnaire and documentary survey, that the percentage of companies in Local Productive Arrangement that know and use the instruments. We also listed the support mechanisms for technological innovation available in the state. As a result, there’s a study on the promotion and support of technological innovation in companies of the Software Cluster in Curitiba.

Effective Cycle Time: A Real World Balancing Index for Paced Assembly Lines

Assembly Line Balancing (ALB) aims at optimally assigning the work elements required to assemble a product to an ordered sequence of workstations, while satisfying precedence constraints. Notwithstanding the advances and developments in ALB over the years, recent and thorough surveys on this field reveal that only a small percentage of companies employ ALB procedures to configure their assembly lines. This paradox may be attributed, to some extent, to the fact that ALB is addressed mostly under ideal conditions. Despite the time variability inherent in manufacturing tasks, there is a strong research trend towards designing and implementing algorithms that consider ALB on a deterministic basis and focus on the optimality of the proposed task assignments according to existing ALB performance measures. In this paper, the need to assess the performance of the proposed solutions of various algorithms in the literature is corroborated through simulation experiments on a benchmark ALB problem under more realistic conditions. A novel ALB index, namely the Effective Cycle Time, ECT, is proposed to assess the quality of alternative assembly line configurations in paced assembly lines operating under task times variations.

Assessing new product development success factors in the Thai food industry

PurposeThe aim of this paper is to measure new product development (NPD) success factors in the Thai food industry.Design/methodology/approachThe quantitative research was designed based upon previous qualitative analysis by Suwannaporn and Speece. A total of 114 questionnaires sent to medium and large food companies were returned (17.5 percent of companies).FindingsManagers' perceptions of the important success factors differ by job function, so that data about what is important cannot distinguish higher vs lower success rates. Manager perceptions of what factors are important do not match actual practice very closely, but they do report what is actually done in the NPD process consistently. Reported practices can distinguish success rates. Discriminant analysis shows that the use of marketing research is most critical in this industry. Internal communication in the NPD process and supplier linkages are also predictors of success rate, and strategy and planning plays a weak role.Practical implicationsNPD is context‐specific. The food industry is strongly market‐driven, so rapid adaptation to customers is critical. Strategy and planning is less important than an ability to remain flexible and move quickly in response changing consumer tastes. Most local companies have strong business secrecy, which is likely to inhibit collaborative research and development (R&D). However, supplier linkages do contribute in distinguishing companies with higher vs lower success rates.Originality/valueThis paper demonstrates that what managers involved in the NPD process believe to be the important success factors cannot always predict NP success rates.

Innovation metrics

PurposeReviews the latest management developments across the globe and pinpoints practical implications from cutting‐edge research and case studies.Design/methodology/approachThis briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.FindingsEven in the current economic turmoil, innovation remains a high strategic priority for most companies, and it is typically seen as a strong contributor to growth. Yet many of these same companies still struggle to measure, as effectively as they should, the performance of their innovation activities. A fact confirmed by three different studies on innovation practices and measures conducted during the later half of 2008. For instance, the Boston Consulting Group's Senior Management Survey entitled “Measuring Innovation 2008; squandered opportunities” found that only 43 percent of companies surveyed track innovation as rigorously as they track other (and less important) business operations, even though three out of four executives believes they should do so. Also, only 35 percent of executives are satisfied with their company's current innovation‐measurement practices.Practical implicationsProvides strategic insights and practical thinking that have influenced some of the world's leading organizations.Originality/valueThe briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy‐to‐digest format.

The Evolution and the Prospects of Contemporary Financial Instruments in Greece: The Case of SWAPS

This paper presents the results of a survey of derivatives and especially of swaps usage in the Greek market. Dividing the sample to Greek companies and Greek institutional investors, we find that institutional investors use derivatives much more than companies. In particular we find that 100% of institutional investors use derivatives when the corresponding percentage of companies is 34.75% and discover the most important reasons that companies do not use derivatives. Moreover, institutional investors use all the swap products that are referred to the questionnaire when companies use only interest rate and currency swaps.

Research by Retailers: Understanding Loss and the Effectiveness of Loss Prevention Strategies

Many retail companies may conduct research on various aspects of retail theft or loss prevention but because of the proprietary nature of this research, it may not be reported in academic or trade journals. As a result, we know little about the focus or analytical techniques retailers use to conduct research. The data for this study were collected from a diverse group of retail companies. The study examines retailers' conduct to better understand theft in their stores and technologies to reduce theft. The findings indicate that retailers use a variety of analytical techniques to study retail loss and loss prevention, and are more likely to conduct research to understand the nature of loss when they believe that they have a severe loss problem. A substantially higher percentage of companies conduct research on loss prevention technologies than they do on understanding the sources of loss.

Flexibilizing Labor Relations Systems and Impacts on Corporate Financial Performances in Brazil

Based on the work of Chadwick and Cappelli (2002), this paper attempts to ascertain the impacts of the functional and numerical flexibilization of work systems on corporate financial performances. A Multiple Regression and Variance Analysis was carried out to validate four Hypotheses. Hypothesis 1 may be partially validated, stating that human resources systems based on functional flexibility are associated with a better corporate financial performance, compared to the numerical flexibility system, as a significant alteration was noted in the Net Revenues indicator. Hypothesis 2 was validated, stating that organizations with cost leadership strategies post better performances with human resources systems based on numerical flexibility, with poorer performances by systems based on functional flexibility, as the survey showed a statistically significant difference, indicating a higher percentage of companies with cost leadership strategies in the group of enterprises with a better numerical flexibility profile. Hypothesis 3 may be validated, stating that highly capital-intensive companies post better financial performances with the functional flexibility system, and poorer financial performances with the numerical flexibility system, as the survey showed a positive statistical variance for highly capital-intensive companies working with functional flexibility. Hypothesis 4 could not be validated, stating that unionized companies post better performances with systems based on functional flexibility, and poorer performances with numerical flexibility systems, as the findings did not present any significant statistical variation. The Chadwick and Cappelli (2002) survey obtained findings opposite to those presented by this study. In the USA, this survey demonstrated that companies with functional flexibility post better financial performances in terms of both Revenue and Profit Indicators. The explanation for this difference in the findings may lie in the vast gap between the negotiatory labor system adopted in the USA and the statutary system established by Brazilian Law. Offering more flexibility to enterprises and employees, the US labor system endowings the work-force with greater adaptability, while not burdening the payroll with labor dues.

Knowledge management: much more than a technology exercise

PurposeReviews the latest management developments across the globe and pinpoints practical implications from cutting‐edge research and case studies.Design/methodology/approachThis briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.FindingsKnowledge management (KM) has become a buzz‐word in big business with over 90 percent of companies considering it crucial to their success. However, the problem is that few businesses seem to have a good understanding of what KM actually is. A variety of definitions abound, with many firms interpreting KM as simply a technological fix. In fact, so many KM initiatives fail that some companies have tried re‐branding it under the guise of “best practice” or “benchmarking”. Dean Call provides a clear explanation of KM and describes the six steps to KM success using examples from the commercial and business sectors.Practical implicationsProvides strategic insights and practical thinking that have influenced some of the world's leading organizations.Originality/valueThe briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy‐to‐digest format.

Applicability of the Classic WACC Concept in Practice

ABSTRACT A large percentage of companies use the discounted cash flow (DCF) approach as the primary technique for investment/project evaluation and the capital budgeting process. This approach requires forecasting the detailed cash flow of the project under evaluation and then discounting the resulting cash flow to the present value (Net Present Value–NPV) using an appropriate discount rate. The discount rate commonly used represents the Weighted Average Cost of Capital (WACC) of the firm. There is no scarcity of literature on this subject as the concept has been around for the last 50 years or so. Although most analysts believe the concept is simple and very well known, the irony is that its misinterpretation and misuse prevails. There are many versions of the WACC equation and each is specific to a certain cash flow. Therefore, using the classic WACC relationship in all cases may result in the calculation of an overly optimistic NPV. Depending on the cash flow pattern, the investment may show a positive NPV at the classic WACC but it will actually be losing equity. This paper highlights (a) pitfalls and misuses of the WACC, (b) interdependence between types of cash flow and WACC, (c) assumptions behind the WACC and whether these assumptions are realistic, and (d) alternative approaches to arrive at the correct net present value (NPV). Company CEOs, management, analysts, and other investors using the WACC for investment decisions need to be fully aware of its pitfalls and misuses. RESUMEN. Un gran porcentaje de empresas usan el enfoque del flujo de caja descontado (DCF–discounted cash flow), como la técnica principal para evaluar las inversiones/proyectos y el proceso de elaboración del presupuesto de capital. Este enfoque exige la proyección detallada del flujo de caja del proyecto bajo análisis y, a continuación, el redescuento del flujo de caja resultante al valor actual-Valor Actual Neto (Net Present Value–NPV) utilizando una tasa de redescuento apropiada. La tasa de descuento comúnmente utilizada representa el Costo de Capital Medio Ponderado (Weighted Average Cost of Capital (WACC) de la empresa. No falta literatura a este respecto, ya que el concepto ha existido ya alrededor de 50 años. Aunque la mayoría de los analistas creen que el mismo es simple y muy conocido, irónicamente, lo que prevalece es su mala interpretación y uso equivocado. Existen muchas versiones sobre la ecuación WACC, y cada una se identifica con un flujo de caja específico. Consecuentemente, el uso de la relación WACC clásica puede resultar, en todos los casos, en un cálculo de NPV exageradamente optimista. Dependiendo del tipo de flujo de caja, la inversión puede mostrar un NPV positivo con un WACC clásico, cuando en realidad estará perdiendo patrimonio. Este documento coloca en destaque (a) escollos y mal uso del WACC, (b) interdependencia entre el tipo de flujo de caja y el WACC, (c) presunciones por detrás del WACC, y si ellas son realistas, y (d) mostrar enfoques alternativos para llegar al valor actual neto correcto (NPV). El CEO de la empresa, su gerencia, analistas y otros inversores usarán el WACC para tomar decisiones inherentes a la inversión. RESUMO. Uma grande porcentagem das empresas usa a abordagem do fluxo de caixa descontado (DCF) como técnica básica de avaliação de investimentos/projetos e do processo de orçamentação de capital. Essa abordagem requer que se preveja o fluxo de caixa detalhado do projeto sob avaliação e, depois, desconte o fluxo de caixa resultante para obter o valor presente líquido (NPV) usando uma taxa de desconto apropriada. A taxa de desconto geralmente usada representa o Custo de Capital Médio Ponderado (WACC–Weighted Average Cost of Capital) da empresa. A literatura sobre este tema é abundante, já que o conceito existe há uns 50 anos. Embora a maioria dos analistas considere o conceito simples e bem conhecido, o fato é que erros de interpretação e utilização predominam. Existem muitas vers$oTes da equação do WACC, cada uma específica a certo fluxo de caixa. Portanto, aplicar a relação WACC clássica a todos os casos pode resultar em cálculos de NPVs otimistas demais. Dependendo do padrão de fluxo de caixa, o investimento pode exibir um NPV positivo no WACC clássico, quando na verdade estará perdendo patrimônio. Este artigo realça (a) as armadilhas e usos equivocados do WACC, (b) as interdependências entre tipo de fluxo de caixa e WACC, (c) pressupostos por trás do WACC e se esses pressupostos são realistas, e (d) mostra abordagens alternativas para se chegar ao valor presente líquido (NPV) correto. Visa os CEOs das empresas, a gerência, os analistas e utros investidores que usam o WACC nas decisões de investimentos.

The “Glass Ceiling” Persists: Women Leaders in Communication Companies

This article documents the number of women in executive positions and on boards of directors of the nation’s largest companies and looks at the human resources policies of these companies. On average women make up no more than 15% of top executives and even less of board directors, and no company has a majority of women in top executive positions or on boards. The article also examines the degree to which these firms provide benefits packages that address women’s needs. Although the percentage of companies that offer aU employees medical benefits of particular concern to women such as mammograms and annual gynecological exams is quite high, other benefits are still notably lacking. Programs that provide on-site early education and care are very rare as are programs that provide paternity benefits. Paid maternity leave at a minimum threshold is also offered to all employees by only half of the companies responding to our survey.

Reporting Financial Performance Through Internet

The analysis of results of preset study shows that not more than half of the sample firm is providing mandatory and voluntary information. Power and steel sector is providing financial information to greater extent in comparison to other sectors. Balance sheet and profit and loss account have been provided in majority of cases and only few companies are providing director's report. No company is providing auditor's report. Only one fourth of the companies having web sites are providing voluntary disclosures. Most of the companies have emphasized on installing information about company profile, company history etc. and are not giving any relevant information from user's point of view. Results show that Indian companies have started using Internet as a media for reporting corporate financial performance. Though the percentage of companies giving information for investor's use is not very high but there are chances of increasing trend in Indian corporate sector. The percentage of Indian companies reporting financial performance via Internet is low in comparison to other advanced countries but it is going to gain importance in the recent future. Thus, it can be suggested that greater stress should be given on providing up to date financial information. An attempt should be made to include auditor's report while presenting information on web sites. Awareness should be created among various users for reporting financial performance through web. Launching separate web sites for all companies coming under same group should provide detailed and requisite financial information. Last, but not the least, users perception should be kept in mind while providing financial disclosures.

Dividend Policy of Indian Corporate Firms: An Analysis of Trends and Determinants

The present study examines the dividend behavior of Indian corporate firms over the period 1990 - 2001 and attempts to explain the observed behavior with the help of trade-off theory, and signaling hypothesis. Analysis of dividend trends for a large sample of stocks traded on the NSE and BSE indicate that the percentage of companies paying dividends has declined from 60.5 percent in 1990 to 32.1 percent in 2001 and that only a few firms have consistently paid the same levels of dividends. Further, dividend-paying companies are more profitable, large in size and growth doesn't seem to deter Indian firms from paying higher dividends. Analysis of influence of changes in tax regime on dividend behavior shows that the tradeoff or tax-preference theory does not appear to hold true in the Indian context. Test of signaling hypothesis reinforces the earlier findings that dividend omissions have information content about future earnings. However, analysis of other non-extreme dividend events such as dividend reductions and non-reductions shows that current losses are an important determinant of dividend reductions for firms with established track record and that the incidence of dividend reduction is much more severe in the case of Indian firms compared to that of firms traded on the NYSE. Further, dividend changes appear to signal contemporaneous and lagged earnings performance rather than the future earnings performance.

Negotiating With Third Party Payers: One Community Pharmacy’s Experience

To evaluate financial terms and legal wording in insurance contracts and negotiate their terms with companies to improve an independent pharmacy's financial position and to determine the time required to negotiate a contract and translate that time into a salary cost. An independent pharmacy in a small town in Alabama with a population of approximately 6,000. The prescription department accounts for two-thirds of the pharmacy's sales and dispenses approximately 70,000 prescriptions each year. Insurance companies paid for over 59% of these prescriptions in 2000. The pharmacy is open 7 days a week with one full-time pharmacist and a second pharmacist who works 2 days a month. A contract negotiation form was developed that addressed factors that might affect a pharmacy's decision to accept or reject a contract; the form included an area for recording the time involved in negotiating each contract. Insurance companies selected by the pharmacy owner were faxed copies of an Insurer Demographics Collection Form. Upon collection of all data and finalization of proposed changes, a copy of the contract with the proposed changes marked, along with a letter explaining and justifying the changes, was sent to the insurance company. If no response was received from the company, the contact person was called and negotiations proceeded over the telephone. Primary end points were the percentage of companies that would negotiate and the average increase in reimbursement achieved. Secondary end points included the time involved in negotiations and the translation of that time into a salary cost. None of the nine participating companies accepted any of the changes proposed. The time to negotiate each contract ranged from 28 minutes to 74 minutes, taking an average of 48.4 minutes. Depending on the division of work between the pharmacist and the technician, the salary cost for the negotiations ranged from $14.68 to $18.73 per contract. This study provides a realistic description of attempts at contract negotiation between one pharmacy and nine third party payers. The difficulty of achieving successful results and the necessity of carefully considering the time and cost of contract negotiations underscore how important it is for independent pharmacists to concentrate their efforts on contracts and terms they have an opportunity to change.