Search results
1 – 10 of 13Sylvain Durocher, Claire-France Picard and Léa Dugal
This paper aims to examine how auditors make sense of the ill-theorized and contentious notion of other comprehensive income (OCI), specifically by uncovering their use of…
Abstract
Purpose
This paper aims to examine how auditors make sense of the ill-theorized and contentious notion of other comprehensive income (OCI), specifically by uncovering their use of metaphors to make OCI plausible and intelligible.
Design/methodology/approach
This interpretative paper draws on a collection of 21 interviews with experienced auditors. The analysis first uncovers metaphors that naturally surface within the talk and sensemaking of auditors about OCI (elicited metaphors). The authors then encapsulate these elicited metaphors into second-order constructs (projected metaphors) to synthesize and further explain auditors’ practical sensemaking.
Findings
Auditors conceive OCI as a “safety” that ensures the well-functioning of fair value accounting, metaphorically qualifying this notion as a “necessary evil”, a “passage obligé”, and a “parking lot” resolving fair value-related issues and aberrations. Auditors also metaphorize OCI as a “purifier” that allows “polluted”, “noisy”, and “unloved” items to be “parked” outside net income.
Practical implications
The study’s findings further the understanding of auditors’ tendency to remain uncritical throughout their sensemaking process. Making sense of professional standards of practice through metaphors indubitably involves shadowing and silencing other worldviews.
Originality/value
This paper extends knowledge of auditors’ sensemaking, specifically showing how auditors easily make sense of complex notions even in the absence of conceptual grounds. This study also highlights that metaphors are a powerful sensemaking device that auditors mobilize to render complex notions intelligible and mitigate IFRS inconsistencies.
Details
Keywords
Savannah (Yuanyuan) Guo, Beilei Mei, Yanchao Rao and Jianfang Ye
This study investigates the implementation challenges and economic consequences of the International Financial Reporting Standards 9 (IFRS 9) Financial Instruments.
Abstract
Purpose
This study investigates the implementation challenges and economic consequences of the International Financial Reporting Standards 9 (IFRS 9) Financial Instruments.
Design/methodology/approach
Descriptive evidence on equity asset reclassifications and estimated impairment using the new expected credit loss (ECL) model are presented. Multivariate analyses on the disposal of available-for-sale (AFS) and fund investment post-announcement and the value relevance of impairments to financial assets post-implementation are performed.
Findings
Over 60% of sample firms report inconsistent equity asset reclassifications and do not change estimated impairment using the new expected credit loss model. Firms also switch from AFS to equity fund investments post-announcement. Lastly, impairments to financial assets increase in value relevance to investors’ post-implementation, but only in financial institutions and firms with Big 4 auditors.
Originality/value
This study's findings suggest that IFRS 9 presents implementation challenges and changes equity investment strategies. They also indicate cross-sectional differences in firms' ability to effectively apply the new standards. This study is valuable for policymakers, business leaders, investors and academics.
Details
Keywords
Rajwinder Kaur, Sameer Pingle and Anand Kumar Jaiswal
This research aims to investigate the relationship between employer branding and its antecedent organisational culture within the context of the private banking sector. The study…
Abstract
Purpose
This research aims to investigate the relationship between employer branding and its antecedent organisational culture within the context of the private banking sector. The study also investigates the relationship between employer branding and employee brand equity as a consequential construct. Additionally, the mediating role of trust and the moderating role of gender in the relationship between employer branding and employee brand equity has been examined.
Design/methodology/approach
The present study’s findings result from data analysis collected from a sample of 454 employees working in private banks in India. The data analysis was conducted utilising the structural equation modelling technique with the assistance of analysis of moment structures (AMOS) software.
Findings
The study’s findings indicate that supportive and bureaucratic (formal) culture in private banks exhibit a significant relationship with employer branding. However, the relationship between innovative culture and employer branding was found to be insignificant. The research also reveals a significant positive association between employer branding and employee brand equity variables: brand consistent behaviour, brand endorsement and brand allegiance. Further, the study highlights the mediating role of employee trust in management in the relationship between employer branding and employee brand equity. Examining demographic variables suggests that gender moderates the relationship between employer branding and employee brand equity.
Originality/value
The originality of this study lies in its exploration of the critical role of organisational culture variables in shaping employer branding within the context of private banks. The findings highlight that cultivating supportive and bureaucratic cultures can effectively enhance the employer branding of private banks. The study emphasises the outcomes of employer branding initiatives, signifying that they contribute to developing brand equity among employees. This leads to long-term employee commitment and advocacy towards the organisation, as employees become brand advocates for the bank with which they are affiliated. The study contributes to a better understanding of the relationship between organisational culture, employer branding and employee brand equity, providing valuable implications for the private banking sector aiming to reinforce their employer brand and increase employee engagement.
Details
Keywords
Zhong Ning, Yangbo Chen and Yalin Luo
Anhui Winall Hi-Tech Seed Co., Ltd., a high-tech seed enterprise integrating crop seed research, production, processing and marketing at home and abroad, is the first seed company…
Abstract
Anhui Winall Hi-Tech Seed Co., Ltd., a high-tech seed enterprise integrating crop seed research, production, processing and marketing at home and abroad, is the first seed company listed on GEM in China. Its main business is research and development, breeding and marketing of seeds of hybrid rice, edible rape, cotton, melon and vegetable, with hybrid rice as its leading product. In terms of business model, Winall Hi-tech is engaged in procurement, production, sales and promotion of modified varieties and after-sales service. However, Winall Hi-tech also has to face a few potential problems.
Amer Al-Atwi, Taeshik Gong and Ali Bakir
This study aims to investigate the influential factors driving customer-oriented constructive deviance (COCD) within the context of the tourism and hospitality industry…
Abstract
Purpose
This study aims to investigate the influential factors driving customer-oriented constructive deviance (COCD) within the context of the tourism and hospitality industry. Specifically, the authors explore the role of moral emotions as mediators and moral disengagement as a moderator.
Design/methodology/approach
In Study 1, the participant pool consisted of 259 frontline service employees hailing from a diverse selection of 54 four- and five-star hotels. Study 2 took an alternative approach, using a scenario-based experiment with 212 participants.
Findings
The results reported that organizational injustice toward customers is positively related to other-condemning emotions and leads to COCD. The results also reported that perceived customer citizenship behavior (CCB) positively relates to other-praising emotions, resulting in constructive deviance from customer-oriented. Moreover, these findings support moral emotions and moral disengagement interactions.
Originality/value
This paper shows that an organization’s injustice of external parties, such as customers, may provide important information that employees use to shape their moral emotions (e.g. other condemning emotions) and behavior toward the organization (e.g. COCD). Furthermore, this study confirms that perceived customer citizenship behavior contributes to COCD through other-praising emotions.
Details
Keywords
Alexandre Dos Reis and José Manuel Cristovão Veríssimo
The purpose of this study is to analyze the aspects of the organizational culture (OC) of companies operating in the Brazilian oil, gas and biofuels (O&G) sector based on…
Abstract
Purpose
The purpose of this study is to analyze the aspects of the organizational culture (OC) of companies operating in the Brazilian oil, gas and biofuels (O&G) sector based on semistructured interviews with managers of these organizations and its content analysis.
Design/methodology/approach
This research was conducted based on semistructured interviews with 12 managers of Brazilian O&G companies and analyzed with a computer-assisted qualitative data analysis software, namely, MAXQDA™.
Findings
The results make it possible to obtain the perception of managers about OC, generally understood as a set of attributes and variables of social order, supported by the historical–culturalist theoretical approach. Information about the explicit and implicit manifestation of culture, as well as the evaluation of the most appropriate research instruments and metrics, were also obtained after the interviews.
Originality/value
This study presents detailed results about OC and its characteristics in the perception of managers of the O&G companies that operate in the Brazilian market.
Details
Keywords
This short case challenges students to review an array of corporate financial metrics and to match them to one of 13 listed industries. As such, students must use their intuition…
Abstract
This short case challenges students to review an array of corporate financial metrics and to match them to one of 13 listed industries. As such, students must use their intuition and common sense pertaining to the distinctive characteristics of, and the key differences between, the 13 named industries, and then identify the financial metrics that are most indicative of those traits.
Details
Keywords
To complete this case, students will need to access financial statements from the Securities and Exchange Commission’s webpage. The links are provided. Students will also need to…
Abstract
Research methodology
To complete this case, students will need to access financial statements from the Securities and Exchange Commission’s webpage. The links are provided. Students will also need to review the conceptual framework that is typically covered in Intermediate 1 to respond to question 5.
Case overview/synopsis
This case is based on the three financial statement restatements that Weatherford International Ltd. made over an approximately 18-month period. The restatements were due to a fraud committed by manipulating the income tax accrual in the financial statements. The manipulation used was to overstate the amount of income used to calculate the dividend exclusion and then use a relatively high tax rate to calculate the resulting tax benefit. The tax rate used for the fraud was substantially more than Weatherford’s effective tax rate (ETR), which was a prominent part of the company’s strategic growth plan. The tax senior with the external auditors who reviewed the entry made for the dividend exclusion captured the inconsistency with the comment that “This [the entry] deserves a huh?” The case is intended for students in Intermediate 2, where financial statement restatements and their effect on the company’s financial statements are typically covered. During the years covered in this case, Weatherford was also under investigation for violations of the Foreign Corrupt Practices Act (FCPA). Weatherford’s FCPA violations included multiple instances of bribery, the inappropriate use of volume discounts, improper payments and kickbacks in the United Nation’s Oil for Food program. Weatherford received the eighth-largest fine in the history of FCPA violations (at that time) of $152m. Weatherford’s FCPA investigation expanded, and the company paid another $100m in fines for violations of sanctions law and export control law. This case focuses only on the fraudulent manipulation of the financial statements through the tax accrual and does not delve into the other investigations. However, the linkage between those investigations and the fraud in this case is Weatherford’s nonexistent internal controls.
Complexity academic level
This case was designed to be used in Intermediate 2 financial accounting classes to highlight financial statement restatements and review the conceptual framework and materiality. The students who used the case did not have difficulty with the tax aspect of the case. However, most of the students had taken one tax class previously or concurrently. If students have not had any exposure to tax, the instructor might want to walk students through the tax aspects of the case.
Details
Keywords
The purpose of this paper is to provide a dynamic, multi-faceted and multi-temporal model of organizational change capability (OCC) to better grasp the complexity of this…
Abstract
Purpose
The purpose of this paper is to provide a dynamic, multi-faceted and multi-temporal model of organizational change capability (OCC) to better grasp the complexity of this construct which is still mainly defined through its facilitating conditions rather than its own characteristics.
Design/methodology/approach
Building on the literature on organizational learning, punctuated equilibrium, continuous transformation, organizational ambidexterity and dynamic capabilities, this paper critically analyzes the OCC construct by challenging the ways it is currently studied.
Findings
This paper highlights that OCC contains five dynamically and temporally interrelated dimensions: learning from past change experience, managing continuous change, managing episodic change, managing change without compromising core organizational activities as well as anticipating future change. A set of propositions that link the construct to its facilitators and outcomes are also suggested.
Originality/value
This conceptual analysis shows that recognizing the existence of tensions in change management constructs is crucial to gaining a deeper understanding of the complexities that organizations are facing today. In addition, by proposing a model both in continuity with the literature by adopting a dynamic conception of OCC, but also in discontinuity by shifting the focal point of analysis towards the essence of the construct rather than its peripheral variables, this research takes a step forward to tackle the remaining misconceptions around the interpretation of change capability.
Details
Keywords
Jason Loughrey and Herath Vidyaratne
The purpose of this paper is to analyse the association between farm/farmer characteristics and unsubsidized farm insurance premium expenditure in Ireland. The distribution of…
Abstract
Purpose
The purpose of this paper is to analyse the association between farm/farmer characteristics and unsubsidized farm insurance premium expenditure in Ireland. The distribution of farm insurance expenditures is wide, and it is important to understand the extent to which individual factors influence demand for different levels of insurance premium.
Design/methodology/approach
The quantile regression approach and farm accountancy data from the Teagasc National Farm Survey are used to model the association between farm/farmer characteristics and farm insurance demand in Ireland.
Findings
Asset values (livestock, buildings and machinery) are positively associated with total insurance expenditure. Both forestry area and crop area are significantly associated with farm insurance expenditure with a stronger influence on the middle and upper part of the distribution. The interaction between farm income and farmer age is positively associated with insurance expenditure pointing to the importance of farm income protection.
Research limitations/implications
The research is mainly concerned with insuring against substantive risks, which are capable of threatening the asset base and continuation of the farm business. Future research can integrate questions in relation to farm safety and farmer health with research on the economic survival of the farm business.
Practical implications
Farmers in Ireland adopt unsubsidized farm insurance as a risk management tool. This situation is relevant to other EU member states including Belgium, Denmark, Germany and Sweden. The findings can be used to inform stakeholders and policymakers about the relative impact of different factors on insurance expenditure.
Originality/value
Previous research has typically focused on the linear relationship between farm/farmer characteristics and insurance demand without accounting for variability across the size distribution. This research is based on the quantile regression approach where the association between farm/farmer characteristics and farm insurance expenditure can be assessed at different points of the distribution.
Details