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1 – 10 of over 6000
Book part
Publication date: 26 October 2016

Lei Dong, Bernard Wong-On-Wing and Gladie Lui

Management has considerable discretion over how to present and announce earnings components that are either unusual or infrequent, but not both (hereafter referred to as special…

Abstract

Purpose

Management has considerable discretion over how to present and announce earnings components that are either unusual or infrequent, but not both (hereafter referred to as special items). In this study, we study the independent and joint effects of the accounting presentation format of, and the level of announcement prominence given to income-decreasing special items on investors’ judgments about the persistence of declining earnings.

Methodology/approach

Our study uses a 3 (format) × 2 (prominence) between-subjects design. In the experiment, participants act as proxies for nonprofessional investors to assess the persistence of a hypothetical firm’s declining earnings and make investment decisions.

Findings

Our results suggest that investors’ judgments are influenced by accounting presentation format and the level of announcement prominence. With respect to format, both classification and disaggregation affect investors’ assessment of earnings persistence. In addition, the degree of prominence given to an income-decreasing special item, albeit self-serving and not audited, introduces additional influence beyond that of accounting presentation format. In particular, we find that announcement prominence has a greater effect when the special item is aggregated with other operating expenses than when the special item is presented under the two other alternatives.

Research implications

Our study contributes to the literature by demonstrating that presentation format and announcement prominence both have significant impact on investors’ judgments and decisions, and that their effects are interactive. Our results also indicate that future research can possibly gain better insight if it considers the accounting attributes of the special items in addition to their economic attributes.

Details

Advances in Accounting Behavioral Research
Type: Book
ISBN: 978-1-78560-977-0

Keywords

Book part
Publication date: 6 May 2003

Adam S Maiga and Fred A Jacobs

Using data collected in 1999 from manufacturing units, this paper reports the results of an investigation into the interactive effect of benchmarking and incentives on…

Abstract

Using data collected in 1999 from manufacturing units, this paper reports the results of an investigation into the interactive effect of benchmarking and incentives on manufacturing unit performance. Based on a mail questionnaire sent to a sample of manufacturing units within U.S. electronic industry, the results of this paper provide evidence of significant interaction effect of benchmarking and incentives resulting in product cost improvement and product quality performance.

Details

Advances in Management Accounting
Type: Book
ISBN: 978-1-84950-207-8

Abstract

Details

Politics and the Life Sciences: The State of the Discipline
Type: Book
ISBN: 978-1-78441-108-4

Book part
Publication date: 12 November 2015

Suosheng Wang and Yao-Yi Fu

The theory of planned behavior (TPB) and place image have both been the foci of studies in understanding one’s intentional visit behavior in leisure research. Few studies…

Abstract

The theory of planned behavior (TPB) and place image have both been the foci of studies in understanding one’s intentional visit behavior in leisure research. Few studies, however, have ever attempted to differentiate the roles of attitude and image in predicting visitors’ intentional behaviors. This study is designed to fulfill this gap by examining the two concepts together in the context of responsible casino gaming. Based on the TPB and the concept of place image, a predicting model of visitor’s intentional behavior was posited and tested, based on a survey dataset collected in an American Midwest city. This study concluded that visitor’s attitude and perception of place image both play significant and distinctive roles in predicting visitor’s intentional behavior, and such perceptual discrepancies between attitude and image should be reflected and highlighted in leisure and marketing. Implications of this study in terms of leisure marketing are discussed.

Details

Advances in Hospitality and Leisure
Type: Book
ISBN: 978-1-78560-271-9

Keywords

Book part
Publication date: 16 July 2019

Charles Bailey, Nicholas Fessler and Brian Laird

The authors investigate the joint effects of two environmental variables, performance-based pay (PBP) and performance monitoring (PM), on behavioral dishonesty in a setting where…

Abstract

The authors investigate the joint effects of two environmental variables, performance-based pay (PBP) and performance monitoring (PM), on behavioral dishonesty in a setting where the controls subsequently are absent. In a laboratory study using 88 participants in a 2×2 experimental design, simulating a work environment, the authors manipulate the presence of PBP and PM. Once the participants are accustomed to their assigned work environment and have completed contractual tasks unrelated to the dishonesty experiment, the authors allow them to privately roll dice to determine the size of a bonus gift card. Dishonesty levels are inferred from differences between treatment groups in the prizes claimed. The authors find an interaction effect, where inferred dishonesty in the performance-based-pay group is higher than the fixed-pay group when there is no PM, but lower when there is PM. Although theory and existing literature did not lead us to hypothesize these exact results, they offer important insights into a complex relationship. By jointly examining the effects of worker contracts and workplace monitoring on dishonesty, this research extends the understanding of the potential consequences of formal controls. As the workplace grows more complex, employers increasingly rely on information provided by frontline employees and managers. Thus, unintended effects of managerial controls on honesty are an important topic in the business literature.

Details

Advances in Management Accounting
Type: Book
ISBN: 978-1-78973-278-8

Keywords

Book part
Publication date: 17 January 2022

Elena Svetieva and Paulo N. Lopes

Purpose: The purpose of the present study is to review and specifically examine the untested but common recommendation that leaders should give more effective positive feedback…

Abstract

Purpose: The purpose of the present study is to review and specifically examine the untested but common recommendation that leaders should give more effective positive feedback that is specific and mindful of nonverbal delivery. Study Design/Methodology/Approach: We used a dyadic interaction study where designated “leaders” interact with a “subordinate” in an idea generation and evaluation task. Leaders (n = 90) first received brief training in delivering positive feedback, and their subsequent feedback behavior during the dyadic interaction was coded for frequency, specificity, and both verbal and nonverbal affective delivery. Key dependent variables were subordinate affective reactions, perceptions of the leader, and subsequent task motivation. Findings: Frequency of leader positive feedback had significant positive impact on subordinate perceptions of the leader, but no impact on subordinate positive affect or task motivation. Positive feedback specificity and affective delivery, however, had no impact on subordinate affect, perceptions of the leader, or task motivation. Training effects were also observed – leaders were able to increase the specificity of their feedback, but were not able to modulate their affective delivery. Originality/Value: The design of the study allowed us to identify the leader positive feedback behaviors that were trainable and had the most impact on subordinates in terms of positive affect, perceptions of the leader, and subsequent task effort. We discuss the implications of these effects for positive feedback theory and application and commonly assumed “best practices.”

Details

Emotions and Negativity
Type: Book
ISBN: 978-1-80117-200-4

Keywords

Book part
Publication date: 1 January 2014

Kip R. Krumwiede and Shannon L. Charles

To empirically test for an impact on profit performance when activity-based costing (ABC) is used in companies with customer service and low-price strategies. We also investigate…

Abstract

Purpose

To empirically test for an impact on profit performance when activity-based costing (ABC) is used in companies with customer service and low-price strategies. We also investigate whether the profit impact of ABC usage is affected by higher-quality information systems.

Methodology/approach

Survey.

Findings

We find a positive impact on profit performance when ABC is used by companies with customer service as a strategic priority but not when ABC is used by companies with lower emphasis on customer service. For companies emphasizing low-price strategies, we find a positive impact on profit performance, especially when ABC is used together with high-quality information systems.

Research limitations/implications

This study develops a method of measuring strategic priorities of a firm. It divides firms into strategy groups based on their degree of emphasis on three strategic priorities: low price, flexibility, and customer service.

Practical implications

Identifies certain contexts when ABC is especially beneficial.

Originality/value of paper

If the use of ABC information leads to better strategic and operational decisions, firm performance should improve. However, prior research on the impact of ABC on firm performance has found little to no connection and usually only when it is used with other practices. This is the first study to find an impact on profit performance for firms with customer service and low-price strategies and high-quality information systems.

Details

Advances in Management Accounting
Type: Book
ISBN: 978-1-78350-632-3

Keywords

Book part
Publication date: 18 January 2022

Povilas Lastauskas and Julius Stakėnas

What would have been the hypothetical effect of monetary policy shocks had a country never joined the euro area, in cases where we know that the country in question actually did…

Abstract

What would have been the hypothetical effect of monetary policy shocks had a country never joined the euro area, in cases where we know that the country in question actually did join the euro area? It is one thing to investigate the impact of joining a monetary union, but quite another to examine two things at once: joining the union and experiencing actual monetary policy shocks. The authors propose a methodology that combines synthetic control ideas with the impulse response functions to uncover dynamic response paths for treated and untreated units, controlling for common unobserved factors. Focusing on the largest euro area countries, Germany, France, and Italy, the authors find that an unexpected rise in interest rates depresses inflation and significantly appreciates exchange rate, whereas gross domestic product (GDP) fluctuations are less successfully controlled when a country belongs to the monetary union than would have been the case under the independent monetary policy. Importantly, Italy turns out to be the overall beneficiary, since all three channels – price, GDP, and exchange rate – deliver the desired results. The authors also find that stabilizing an economy within a union requires somewhat smaller policy changes than attempting to stabilize it individually, and therefore provides more policy space.

Details

Essays in Honor of M. Hashem Pesaran: Prediction and Macro Modeling
Type: Book
ISBN: 978-1-80262-062-7

Keywords

Abstract

Details

International Aspects of Organizational Ethics in Educational Systems
Type: Book
ISBN: 978-1-78714-778-2

Book part
Publication date: 9 May 2014

Laura Gómez-Ruiz and David Naranjo-Gil

Team performance frequently is not reached because of motivation losses. The individual identified motivation best fits in team contexts. However, management control systems…

Abstract

Purpose

Team performance frequently is not reached because of motivation losses. The individual identified motivation best fits in team contexts. However, management control systems research has mainly focused on the external motivation. This chapter analyses how identified motivation and team performance can be enhanced through the interactive use of management control systems and the team identity.

Methodology

An experimental study is conducted among 144 postgraduate students. We manipulate the interactive use of management control systems and the team identity. We controlled its effects on team members’ motivation and performance.

Findings

The results show an indirect effect of the interactive control systems on team performance via team members’ identified motivation. Furthermore, the effect of team identity on team performance is also mediated by the identified motivation.

Practical implications

Managers can increase employees’ motivation by using the control information interactively. Controls focused on socialisation processes and shared values best fit with collaborative environments.

Originality/value of chapter

The results provide empirical support for the recent calls about the effect of interactive control systems at individual levels. Despite the considerable attention to the relation between the design of management control systems and team performance, this chapter provides empirical evidence of the positive relation between the style of use of management control systems and individual behaviour in team-based settings.

Details

Performance Measurement and Management Control: Behavioral Implications and Human Actions
Type: Book
ISBN: 978-1-78350-378-0

Keywords

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