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The present study aims to investigate the relationship between intellectual capital and the readability of financial statements with the mediating role of management characteristics of companies listed on the Tehran Stock Exchange. In other words, this research tries to find the answer to whether intellectual capital can positively affect the readability of financial statements.

A multivariate regression model was used to test the hypotheses for this purpose. The research hypotheses were tested using a sample of 1,309 observations listed on the Tehran Stock Exchange from 2012 to 2018 and a multiple regression model based on panel data and fixed-effects models.

The results indicate that intellectual capital has a positive and significant relationship with the readability of financial statements, which means that with increasing intellectual capital in companies, financial statements’ readability also increases. Based on the hypothesis test results, it has been determined that narcissism, accrual and real earnings management have a negative effect on the relationship between intellectual capital and the readability of financial statements.

Since the present study examines such an issue in emerging markets, it provides users, analysts and legal entities with useful information about management’s inherent and acquired characteristics that significantly impact the purchase of audit opinion. This study’s results also contribute to developing science and knowledge in this field and close the literature gap.

The aim of this article is to highlight the major part played by executives in the escalation of corporate social irresponsibility (CSI). Based on the upper echelons theory, the authors developed a model which shows the essential role of CEOs in explaining CSI. The authors proposed that the key personality traits of CEOs—narcissism—, as well as their power, could explain the degree of CSI.

Due to the significant methodological challenges when investigating CSI, the authors explored a novel method for measuring CSI in order to assess the degree of irresponsible behaviors. The authors build a CSI scale based on the perceptions of key informants, i.e. experts with diverse professional backgrounds. The authors apply CSI scale in a sample of 84 Spanish companies that were involved in CSI.

The results of the authors’ empirical study show the positive and significant influence of CEO narcissism and CEO power on the degree of CSI.

On the one hand, corporate irresponsibility scandals have relevant social consequences and practical implications. On the other hand, narcissism is a natural feature of managers in top positions that is increasing in societies.

The authors’ findings may help CEOs, TMTs and corporate boards to acknowledge potential sources of CSI decreasing its likelihood through counterbalancing CEO's power and considering the dark side of narcissism.

On the one hand, corporate scandals have relevant social and practical implications. On the other hand, narcissism is a natural feature of managers in top positions that is increasing in societies.

In this paper, the authors highlight the role of CEOs characteristics and their firms as the key actors for explaining and understanding the degree of CSI.

本研究擬強調行政主管在加劇企業無社會責任感上所扮演的主要角色。我們根據高層梯隊理論, 開發了一個模型, 來顯示執行長如何在解釋企業無社會責任感上所起的關鍵作用。我們提出一個見解, 就是: 執行長的主要人格特質-自戀和其權力-或許能解釋企業無社會責任感的程度。

由於面對在關於企業無社會責任感的研究法上的重大挑戰, 我們探索了一個估量企業無社會責任感的新穎方法, 以能對企業無社會責任感行為的程度進行評估。我們根據主要的資訊提供者的觀念和看法, 制定了一個企業無社會責任感的等級 (這些主要的資訊提供者均為具有不同專業背景的專家), 我們在84間西班牙公司的樣本裡, 使用了這企業無社會責任感等級, 而這些公司均涉及企業無社會責任感的。

我們這實證研究的結果顯示, 執行長的自戀和其權力, 對企業無社會責任感的程度, 起著正面和顯著的影響。

在本學術論文裡, 我們強調了執行長的特徵和他們的公司, 是瞭解和解釋企業無社會責任感的程度的關鍵行為者。

一方面, 企業無社會責任感的醜聞會帶來相關的社會後果和實務方面的影響;而另一方面, 自戀是高層主管的自然特徵, 而這些特徵, 在我們的社會裡不斷增強。本研究的結果, 或許可幫助執行長、高層管理團隊和公司董事會去承認企業無社會責任感的潛在原因, 並以透過平衡執行長的權力和考慮自戀的陰暗面而減低企業無社會責任感產生的可能。

This paper aims to provide a systematic review of literature pertaining to how executive behavioral characteristics relate to financial reporting decisions.

The authors review 44 papers published between 2001 and 2021 in top journals that are nested in leading business, economic and accounting journals.

Through the systematic review, the authors provide a framework for the emergence of narcissism and how it relates to decision making and hence, firm performance. Additionally, this paper identifies different measures of measuring narcissism with their pros and cons and suggest that different measures lead to different outcomes in prior literature.

The study contributes to a growing stream of research on executives' attributes influence on decision making. The authors recommend that future research may focus more on the chief financial officer (CFO) role as the majority of literature in CEO based. Additionally, the authors suggest that different settings may moderate the outcomes, and the authors propose that future research may be conducted to show how the regulatory environment affects or moderates narcissism effect.

This study aims to examine the association between Iranian auditors' narcissism and the auditors' professional skepticism.

The authors' sample is comprised of 355 professional auditors working in the private and public sectors in Iranian firms in 2022. The authors use cross-sectional multivariate regression as the main methodology, along with the structural equation modeling (SEM) technique.

The authors find that a higher level of narcissism leads to a greater level of professional skepticism among auditors, which ultimately can enhance the quality of the audit process. The results provided via the robustness tests also supported this finding.

The authors' findings further the understanding of the role of narcissistic personality traits in improving professional skepticism among auditors of an Islamic and emerging country. In addition, audit firms and audit partners can also consider the findings of this study and enhance the effectiveness of audit processes by assigning appropriate employees with certain personalities to specific tasks.

Counterproductive work behavior (CWB) imposes significant costs on organizations, thus antecedents of CWB are of particular interest to both practitioners and academics. The authors examine how one’s own narcissism interacts with co-worker narcissism to influence willingness to engage in retaliatory CWB against a co-worker.

The data for this study were obtained from Amazon Mechanical Turk participants and Master of Business Administration students, representing a cross-section of employee representatives.

The authors find that employees expect narcissistic co-workers to engage in continuing future CWB and this, in turn, increases employees' willingness to engage in retaliatory CWB. That is, non-narcissistic employees are provoked to engage in organizationally-destructive behaviors by peers perceived as narcissists. This affect is attenuated by the employee’s own narcissism. Relative to non-narcissists, narcissistic employees find a narcissistic co-worker more likeable, which reduces their willingness to engage in retaliatory CWB against the co-worker.

For corporations and HR managers, this study demonstrates the caution necessary when considering hiring and operational practices. Specifically, non-narcissists demonstrate increased willingness to engage in organizationally-destructive behaviors after interpersonal conflict with a narcissistic co-worker.

The authors extend prior research about interpersonal drivers of CWB, which primarily considered superior-subordinate dyad, by examining the joint effects of individual and co-worker narcissism in peer-to-peer relationships.

Utilizing a self-regulatory perspective, the authors examine how narcissism influences perceived negative inequity and the downstream effects on self-enhancement motivation and organizational citizenship behaviors (OCBs) over time.

A total of 689 useable three-wave panel data were obtained via Amazon Mechanical Turk during a three-month period. A latent growth curve modeling approach using EQS 6.4 for Windows was employed to test the hypothesized model.

Results illustrate that individuals with higher levels of narcissism perceive higher levels of perceived negative inequity and then form higher levels of self-enhancement motivation, which prompt more OCB directed toward the organization (OCBO) than OCB directed toward individuals (OCBI). When perceived negative inequity increases over time, narcissists experience a faster increase in self-enhancement motivation, which also leads to a faster increase in OCBO compared to the increase in OCBI.

Theoretically, this study provides theoretical and empirical insights into understanding the process through which narcissists' OCBs are motivated. Practically, this study offers several practical recommendations that help managers manage OCBs effectively in the organization.

This study mainly aims to explore the impact of management practices and managerial behavioral attributes on credit rating quality in Tehran Stock Exchange.

In this study, 214 firms were assessed from 2014 to 2020. The credit rating quality was measured through Technique for Order of Preference by Similarity to Ideal Solution and the entropy weighting method. In accordance with the theoretical literature, managerial entrenchment, managerial myopia, managerial overconfidence and managerial narcissism were considered as the managerial attributes. Furthermore, to examine management practices, cash flow management and accrual management were explored.

The results of this study showed that the cash flow from operations management and the accrual management has a significant positive effect on the credit rating quality. The managerial entrenchment, managerial narcissism and managerial myopia have significant negative effects on credit rating quality, while the effect of managerial overconfidence on credit rating quality is not significant.

Understanding the factors that affect the credit rating quality is of a great importance. Considering the significance of cash management in the present era and the impact of managerial psychological and behavioral characteristics in the development of the organization, empirical results of this study can help investors, capital market regulators and other stakeholders to strengthen the firm and better decisions.

This paper examines how board structure influences real earnings management and the interaction effect of CEO narcissism on board structure-real earnings management relationship.

The authors used panel data derived from secondary sources from publicly listed firms in Kenya during 2002–2017. Hierarchical regression analysis was used to test the hypotheses.

The results indicate that board independence, board tenure and size have significant negative effect on real earnings management, while CEO duality positively affects real earnings management. Further, the interaction results show that CEO narcissism moderates the relationship between CEO duality and real earnings management.

The results suggest that real earnings management reduces when boards are independent, large and comprising of long-tenured members. However, when the CEO plays dual role of a chairman, real earnings management increases. The authors also find that when CEOs are narcissists, the monitoring role of the board is compromised.

The study adds value to the understanding of how board structure and CEO narcissism influence the monitoring role of the board among firms listed at Nairobi Securities Exchange.

This study sheds new light on the personality trait and provides evidence regarding the relation between narcissism and desirable accounting practices, specifically the impact of CEO narcissism on accounting conservatism.

The authors test the relation between CEO narcissism and accounting conservatism for a sample of 907 US companies and their corresponding CEOs for the period between 2010 and 2018. The authors apply three established models of accounting conservatism and measure executives' narcissism using a non-intrusive approach ubiquitous in the literature.

The authors find that CEO narcissism is associated with speculative accounting practices in the form of timely recognition of positive news and more prudent financial reporting of anticipated negative news. The authors provide the first empirical evidence that, despite its well-known negative effects on corporate financial reporting, executive narcissism can also produce positive outcomes.

While managerial overconfidence has received much attention, the effects of executives' narcissism are still widely unexplored (Chatterjee and Hambrick, 2007). The authors thus contribute to the literature by investigating the relationship between CEOs' narcissism and accounting conservatism. The authors conjecture CEO narcissism should have a twofold effect on prudent financial reporting. On the one hand, CEOs' narcissism should be associated with low levels of unconditional conservatism due to excessively fast good news recognition. On the other hand, narcissistic executives should be associated with early recognition of negative news and hence with higher levels of conditional conservatism.

The present study aims to assess the impact of narcissism, self-confidence and auditor's characteristics on audit report readability for companies listed on the Tehran Stock Exchange.

The study’s statistical population comprises firms listed on the Tehran Stock Exchange. The present research used a systematic elimination method, and 1,162 firm-year observations were obtained for seven years from 2012 to 2018. Three variables including auditor tenure, audit fee and audit specialization are used for measuring auditing features. The Fog index is used as a proxy for measuring audit report readability. In addition, in this paper, four regressions, including fixed effects, random effects, pooled and T+1, are used to estimate reliable coefficients.

The findings show a negative and significant relationship between auditor’s characteristics (tenure, fee and specialization) and audit report readability. Moreover, the variables of the auditor’s narcissism, self-confidence and mandatory auditor change have a positive and significant association with audit report readability. This study lends support to the theories of personality disorder and behavioral decision.

Since narcissism and self-confidence are two characteristics that shape an individual’s character and personality, some involved behavioral factors in auditors’ characteristics contribute to their decisions. The effects of these should be detected to enhance the decision-making process. The said factors significantly impact audit report readability. Hence, this paper attempts to assess the effect of the said factors on audit report readability.