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Open Access
Article
Publication date: 28 April 2023

Himanshu Goel and Bhupender Kumar Som

This study aims to predict the Indian stock market (Nifty 50) by employing macroeconomic variables as input variables identified from the literature for two sub periods, i.e. the…

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Abstract

Purpose

This study aims to predict the Indian stock market (Nifty 50) by employing macroeconomic variables as input variables identified from the literature for two sub periods, i.e. the pre-coronavirus disease 2019 (COVID-19) (June 2011–February 2020) and during the COVID-19 (March 2020–June 2021).

Design/methodology/approach

Secondary data on macroeconomic variables and Nifty 50 index spanning a period of last ten years starting from 2011 to 2021 have been from various government and regulatory websites. Also, an artificial neural network (ANN) model was trained with the scaled conjugate gradient algorithm for predicting the National Stock exchange's (NSE) flagship index Nifty 50.

Findings

The findings of the study reveal that Scaled Conjugate Gradient (SCG) algorithm achieved 96.99% accuracy in predicting the Indian stock market in the pre-COVID-19 scenario. On the contrary, the proposed ANN model achieved 99.85% accuracy in during the COVID-19 period. The findings of this study have implications for investors, portfolio managers, domestic and foreign institution investors, etc.

Originality/value

The novelty of this study lies in the fact that are hardly any studies that forecasts the Indian stock market using artificial neural networks in the pre and during COVID-19 periods.

Details

EconomiA, vol. 24 no. 1
Type: Research Article
ISSN: 1517-7580

Keywords

Article
Publication date: 9 August 2021

Himanshu Goel and Narinder Pal Singh

Artificial neural network (ANN) is a powerful technique to forecast the time series data such as the stock market. Therefore, this study aims to predict the Indian stock market…

Abstract

Purpose

Artificial neural network (ANN) is a powerful technique to forecast the time series data such as the stock market. Therefore, this study aims to predict the Indian stock market closing price using ANNs.

Design/methodology/approach

The input variables identified from the literature are some macroeconomic variables and a global stock market factor. The study uses an ANN with Scaled Conjugate Gradient Algorithm (SCG) to forecast the Bombay Stock Exchange (BSE) Sensex.

Findings

The empirical findings reveal that the ANN model is able to achieve 93% accuracy in predicting the BSE Sensex closing prices. Moreover, the results indicate that the Morgan Stanley Capital International world index is the most important variable and the index of industrial production is the least important in predicting Sensex.

Research limitations/implications

The findings of the study have implications for the investors of all categories such as foreign institutional investors, domestic institutional investors and investment houses.

Originality/value

The novelty of this study lies in the fact that there are hardly any studies that use ANN to forecast the Indian stock market using macroeconomic indicators.

Details

International Journal of Ethics and Systems, vol. 38 no. 1
Type: Research Article
ISSN: 2514-9369

Keywords

Article
Publication date: 19 March 2020

Himanshu Seth, Saurabh Chadha, Namita Ruparel, Puneet Kumar Arora and Satyendra Kumar Sharma

The purpose of this paper is to empirically investigate the relationship between working capital management (WCM) efficiency and exogenous variables of the Indian manufacturing…

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Abstract

Purpose

The purpose of this paper is to empirically investigate the relationship between working capital management (WCM) efficiency and exogenous variables of the Indian manufacturing sector along with its sub-industries that are involved in export activities.

Design/methodology/approach

Panel regression (fixed effects) was used on a sample of 563 Indian manufacturing firms involved in export activities, covering a time period from 2008 to 2018.

Findings

Industry-wise results showed a significant relation of leverage, net fixed asset ratio, profitability, asset turnover ratio, total asset growth rate and productivity with cash conversion cycle (CCC).

Research limitations/implications

Firstly, having taken a sample from a developing economy, the results of our study may be generalizable only among developing contexts. Secondly, the time period taken in this study (2008–2018) has witnessed several economic fluctuations such as recession and demonetization which might differ for the firms or countries in normal conditions.

Practical implications

An improved working capital model could advance the firms' performance by reducing the CCC of the firm, thereby creating efficiency in WCM. In addition, the results of this study could be helpful for many stakeholders such as working capital managers, debt holders, investors, financial consultants and others for monitoring the firms.

Originality/value

This study contributes to the existing literature in the relation between WCM efficiency and exogenous variables of the Indian manufacturing firms engaged in the export activities. Moreover, this study is one of the few research studies to investigate this relationship among Indian export firms in different industries, thus filling the gap in similar work done in other countries.

Details

Managerial Finance, vol. 46 no. 8
Type: Research Article
ISSN: 0307-4358

Keywords

Article
Publication date: 28 August 2020

Himanshu Seth, Saurabh Chadha and Satyendra Sharma

This paper evaluates the working capital management (WCM) efficiency of the Indian manufacturing industries through data envelopment analysis (DEA) and empirically investigates…

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Abstract

Purpose

This paper evaluates the working capital management (WCM) efficiency of the Indian manufacturing industries through data envelopment analysis (DEA) and empirically investigates the influence of several exogenous variables on the WCM efficiency.

Design/methodology/approach

WCM efficiency was calculated using BCC input-oriented DEA model. Further, the panel data fixed effect model was used on a sample of 1391 Indian manufacturing firms spread across nine industries, covering the period from 2008 to 2019.

Findings

Firstly, the WCM efficiency of Indian manufacturing industries has been stable over the analysis period. Secondly, the capacity to generate internal resources, size, age, productivity, gross domestic product and interest rate significantly influence WCM efficiency.

Research limitations/implications

First, the selected study period has observed various economic uncertainties including demonetization and recession, so the scenario might differ in normal conditions or country-wise. Second, the findings might not be generalizable to the developed economies, since the current study sample belongs to a developing economy, which further provides scope for comparative study.

Practical implications

An efficient model for managing the working capital comprising most vital determinants could enhance the firms' valuation and goodwill. Also, this study would be helpful for financial executives, manufacturers, policymakers, investors, researchers and other stakeholders.

Originality/value

This study estimates the industry-wise WCM efficiency of the Indian manufacturing sector and suggests measures to the concerned parties on areas to focus on and provide evidence on the estimated relationships of firm-level and macroeconomic determinants with WCM efficiency.

Details

International Journal of Productivity and Performance Management, vol. 70 no. 7
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 19 July 2019

Himanshu Seth, Saurabh Chadha and Satyendra Sharma

The purpose of this study is to get insights into working capital management (WCM) practices and the determinants of its efficiency prevailing in the Indian manufacturing sector…

Abstract

Purpose

The purpose of this study is to get insights into working capital management (WCM) practices and the determinants of its efficiency prevailing in the Indian manufacturing sector using firm-specific as well as macro-economic variables by examining three efficiency models, i.e. cash conversion cycle (CCC), cash conversion efficiency (CCE) and net working capital level (NWCL).

Design/methodology/approach

The study uses panel data techniques on 1,207 firms of the Indian manufacturing sector, as well as on its nine key manufacturing industries from 2008 to 2018 for the analysis.

Findings

Several firm-specific variables such as net fixed asset ratio, size of the firm, profitability, firm’s growth, asset turnover ratio, age of the firm, interest rate and leverage have significant effect on WCM efficiency, whereas total assets growth rate, gross domestic product growth rate and inflation rate have insignificant effect on WCM efficiency.

Research limitations/implications

The study provides new empirical evidence on the short-term liquidity management of manufacturing firms prevailing in the developing countries such as India. The findings are particularly relevant in the present scenario when the liquidity levels are decelerating and there is a marked slowdown in private credit flows to the manufacturing sector due to the problem of burgeoning non-performing assets.

Originality/value

This study examines WCM efficiency exhaustively by incorporating both firm-specific and macro-economic variables using three efficiency measures, i.e. CCC, CCE and NWCL, results of which emerged as an answer to an efficient WCM.

Details

Journal of Global Operations and Strategic Sourcing, vol. 13 no. 1
Type: Research Article
ISSN: 2398-5364

Keywords

Article
Publication date: 19 March 2024

Himanshu Seth, Deepak Deepak, Namita Ruparel, Saurabh Chadha and Shivi Agarwal

This study aims to assess the efficiency of managing working capital in 1,388 Indian manufacturing firms from 2008 to 2019 and investigate the effects of firm-specific and…

Abstract

Purpose

This study aims to assess the efficiency of managing working capital in 1,388 Indian manufacturing firms from 2008 to 2019 and investigate the effects of firm-specific and macro-level determinants on working capital management (WCM) efficiency.

Design/methodology/approach

The current study accommodates a slack-based measure (SBM) in data envelopment analysis (DEA) for computing WCM efficiency. Further, we implement a panel data fixed-effects model that controls for heterogeneity across firms in determining the relationships of selected variables with WCM efficiency.

Findings

The results highlight that manufacturing firms operate at around 50 percent efficiency, which is constant throughout the study period. Furthermore, among the selected variables, yield, earnings, age, size, ability to create internal resources, interest rate and gross domestic product (GDP) significantly affect WCM efficiency.

Originality/value

Instead of the traditional models used for assessing efficiency, the SBM-DEA model is unit-invariant and monotone for slacks, implying that it can handle zero and negative data, which overcomes the incapability of prior DEA models. Hence, this provides accurate efficiency scores for robust analysis. Additionally, this paper provides a holistic working capital model recognizing firm-specific and macro-level determinants for a more explicit estimation of the relationship between WCM efficiency and the selected determinants.

Details

Managerial Finance, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0307-4358

Keywords

Article
Publication date: 20 November 2020

Himanshu Seth, Saurabh Chadha, Satyendra Kumar Sharma and Namita Ruparel

This study develops an integrated approach combining data envelopment analysis (DEA) and structural equation modeling (SEM) for estimating the working capital management (WCM…

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Abstract

Purpose

This study develops an integrated approach combining data envelopment analysis (DEA) and structural equation modeling (SEM) for estimating the working capital management (WCM) efficiency and evaluating the effects of diverse exogenous variables on the WCM efficiency and firms' performance.

Design/methodology/approach

DEA is applied for deriving WCM efficiency for 212 Indian manufacturing firms over a period from 2008 to 2019. Also, the effect of human capital (HC), structural capital (SC), cost of external financing (CEF), interest coverage (IC), leverage (LEV), net fixed asset ratio (NFA), asset turnover ratio (ATR) and productivity (PRD) on the WCM efficiency and firms' performance is examined using SEM.

Findings

The average mean efficiency scores ranging from 0.623 to 0.654 highlight the firms operating at around 60% of WCM efficiency only, which is a major concern for Indian manufacturing firms. Further, IC, LEV, NFA, ATR revealed direct effect on the WCM efficiency as well as indirect effect on firms' performance, whereas CEF had only a direct effect on WCM efficiency. HC, SC and PRD had no effects on WCM efficiency and firms' performance.

Practical implications

The findings offer vital insights in guiding policy decisions for Indian manufacturing firms.

Originality/value

This study is the first to identify the endogenous nature of the relationship of HC, SC, CEF, IC altogether with firms' performance, compounded by the WCM efficiency, by applying a comprehensive methodology of DEA and SEM and provides an efficiency performance model for better decision-making.

Details

Benchmarking: An International Journal, vol. 28 no. 4
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 22 November 2011

Abhishek Vaish, Aditya Prabhakar, Himanshu Mishra, Nupur Dayal, Shishir Kumar Singh, Utkarsh Goel and Natalie Coull

The aim of this research is to demonstrate the importance of placing a valuation on information assets and to propose a new valuation technique that complements existing valuation…

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Abstract

Purpose

The aim of this research is to demonstrate the importance of placing a valuation on information assets and to propose a new valuation technique that complements existing valuation methods and provides improved results. It seeks to answer the following research question: what are the attributes of information relevant to value and how can they be used to produce a valuation of the information?

Design/methodology/approach

Using a test bed, hosted on the college's intranet for 12 days, three important variables were calculated: accessibility, lifespan and outcome across five files. Calculating these three variables is essential to conducting an accurate valuation of the information asset.

Findings

The research demonstrates the relationships between these variable (accessibility, lifespan and outcome) as well as showing that they have a critical impact on the value of the information asset. The findings provide a strong rationale for the practitioner or researcher to adopt the model in real time situations. The correlation coefficients of our attributes are: 0.9996 for accessibility and lifespan; 0.9755 for accessibility and outcome and 0.9754 for lifespan and outcome.

Research limitations/implications

Due to the sensitive nature of some of the information held by the organization, the observations were somewhat limited. However, the model could be replicated with a collaborative arrangement between the organization and academia.

Practical implications

This paper aims to provide a new model for risk management that can be used effectively to conduct a valuation of information assets. The approach will help the organization to better quantify their information assets and will prove to be a useful tool for the next generation of Information security managers.

Originality/value

This paper determines the valuation of information assets based on three variables; accessibility, lifespan and outcome. These variables have been identified from the extensive literature review in the area of intangible assets.

Details

Information Management & Computer Security, vol. 19 no. 5
Type: Research Article
ISSN: 0968-5227

Keywords

Article
Publication date: 31 December 2021

Vandita Dar, Madhvi Sethi, Saina Baby, S. Dinesh Kumar and R. Shrinivas

The objective of this paper was twofold-revisiting the in-kind public distribution system (PDS) – India's flagship food security intervention and seeking beneficiary perspectives…

Abstract

Purpose

The objective of this paper was twofold-revisiting the in-kind public distribution system (PDS) – India's flagship food security intervention and seeking beneficiary perspectives on its efficacy. The feasibility of cash transfers as an alternative mechanism is also examined, especially in the context of the COVID-19 pandemic.

Design/methodology/approach

Primary and secondary data from the southern Indian state of Tamil Nadu were used. In-depth interviews with beneficiaries using phenomenology were conducted to evaluate their perception and willingness to shift to a cash-based PDS in the pre and post-pandemic periods. Secondary district-level data were also used to ascertain institutional preparedness for this shift.

Findings

In-depth interviews of 105 beneficiaries revealed valuable insights, which seem to have significantly changed post-pandemic. Beneficiaries in the post-pandemic period seem much more inclined toward cash transfers, though a combination of cash plus in-kind benefits seems to be strongly preferred. Secondary results pointed out to the lack of institutional preparedness in financial inclusion. The research suggested that while the existing PDS needs to be overhauled, policymakers should look at a model of cash plus in-kind transfers as a probable alternative to pure cash transfers.

Originality/value

There is a dearth of in-depth state-specific studies on beneficiary perception of PDS, and this is important since the economic and sociocultural milieu in each region is unique. Being the only state with universal food security, its experience could yield important insights for other states or even middle or low-income countries similar to India.

Details

International Journal of Social Economics, vol. 49 no. 4
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 26 February 2024

Himanshu Joshi and Deepak Chawla

The study investigates the influence of perceived security (PS) on behavioral intention (BI) via the trust attitude process and explores the moderating effects of gender. PS in…

Abstract

Purpose

The study investigates the influence of perceived security (PS) on behavioral intention (BI) via the trust attitude process and explores the moderating effects of gender. PS in mobile wallets enhances user trust (TR), attitude (ATT) and intention (INT). Using a multiple and serial mediation model, both TR and ATT were found to mediate the relationship between PS and BI.

Design/methodology/approach

Drawing on the stimulus-organism-response (S-O-R) theory, the proposed conceptual model comprises PS, TR, ATT and BI. An online survey was conducted with a cross-sectional sample of 744 mobile wallet users in India. Partial least squares structural equation modeling (PLS-SEM) was used to analyze the hypothesized relationships and test the mediation effects.

Findings

Results show that the stimulus, PS, has a positive and significant influence on TR and ATT, which eventually has a positive influence on BI. The research model explains 64.4 percent of the variance in BI. Further, both TR and ATT independently and parallelly mediate the relationship PS and BI. Lastly, gender is found to moderate the relationship between TR and BI and ATT and BI.

Practical implications

The research showed the importance of PS, TR and ATT towards mobile wallet adoption INTs. Further, the findings support the idea that developing TR and ATT is essential for shaping INTs. This suggests that mobile wallet service providers should invest in methods that not just enhance user TR but also reinforce a positive ATT towards the platform. To demonstrate TR, mobile wallet providers must ensure the confidentiality and privacy of user data, keep customer interests in mind and fulfill commitments. Lastly, for strengthening customer TR, excellent customer support is extremely important.

Originality/value

While prior researchers have majorly used technology acceptance model (TAM) and unified theory of acceptance and use of technology (UTAUT) models to explain adoption INTs, this study examines the relationship between PS, TR, ATT and BI through the lens of the SOR framework.

Details

International Journal of Bank Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0265-2323

Keywords

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