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1 – 10 of over 11000Hafiez Sofyani, Zakiah Saleh and Haslida Abu Hasan
This study aims to examine the moderating effect of internal control on the relationship between internal quality assurance implementation and higher education institution (HEI…
Abstract
Purpose
This study aims to examine the moderating effect of internal control on the relationship between internal quality assurance implementation and higher education institution (HEI) quality.
Design/methodology/approach
The study employed a survey method with hypothesis testing using partial least squares-structural equation modelling (PLS-SEM) technique with a second-order analysis approach. The questionnaire survey was administered to 191 HEIs.
Findings
The results revealed that internal control and internal quality assurance implementations are positively associated with HEI quality. Additionally, internal control implementation strengthened the relationship between internal quality assurance and HEI quality.
Originality/value
This study adds to the body of knowledge on the moderating role of internal control in the HEI sector and its role in the non-economic aspect, namely, the HEI quality.
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Hafiez Sofyani, Haslida Abu Hasan and Zakiah Saleh
This study investigates internal control implementation contribution to quality management at higher education institutions (HEIs).
Abstract
Purpose
This study investigates internal control implementation contribution to quality management at higher education institutions (HEIs).
Design/methodology/approach
This study employed a qualitative method by conducting semi-structured interviews. The research respondents (interviewees) consisted of internal auditors, HEI management members and accreditation assessors of Indonesian HEIs. A total of 15 respondents were successfully interviewed to collect the data; 12 were from different HEIs, and 3 were from the HEI accreditation board.
Findings
This study deduced that internal control implementation could contribute to HEI quality management and improvement if integrated with other control policies, such as internal quality assurance, performance measurement systems and performance-based budgeting. By doing so, internal control corroborates total quality management (TQM) implementation within HEIs since it promotes employee empowerment and supervision, reduces budget wastage, increases the achievement of budget targets on output and outcome of programs and activities, enhances strategic and integrated system practices, provides reliable information for better decision-making, and promotes effective communication and coordination and good leadership culture.
Practical implications
The current study presents beneficial suggestions for HEI management on how internal control contributes to quality management at HEIs.
Originality/value
As suggested by Chalmers et al. (2019), most studies related to internal control were conducted in profit-oriented organisation settings, i.e. companies, and focused on their impact on economic aspects, such as profitability, cost efficiency and fraud mitigation. Meanwhile, internal control-related studies in the context of non-profit-oriented organisations, such as HEIs, and their role in non-economic aspects, in this case, the quality management in HEIs, is still lacking.
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Yulianti Yulianti, Mohammad Wahyudin Zarkasyi, Harry Suharman and Roebiandini Soemantri
This study aims to examine the effect of professional commitment, commitment to ethics, internal locus of control and emotional intelligence on the ability to detect fraud through…
Abstract
Purpose
This study aims to examine the effect of professional commitment, commitment to ethics, internal locus of control and emotional intelligence on the ability to detect fraud through reduced audit quality behaviors.
Design/methodology/approach
The analysis unit is the internal auditor in internal control unit at state Islamic religious higher education in Indonesia. Data processing used covariance-based structural equation modeling using Lisrel Software and the Sobel test to verify the direct and indirect effects.
Findings
This study found empirical evidence that professional commitment and emotional intelligence positively impact the ability to detect fraud. Commitment to ethics and emotional intelligence has a negative effect on reduced audit quality behaviors. Furthermore, this study also provides that commitment to ethics and emotional intelligence indirectly impacts on the ability to detect fraud through reduced audit quality behaviors.
Practical implications
The organization periodically monitors auditors’ behaviors, especially reduced audit quality behaviors, during the audit process and encourages regulators to formulate policies related to increasing the ability to detect fraud.
Originality/value
This study provides knowledge regarding the driving force of internal auditors to mitigate reduced audit quality behaviors and increase the ability to detect fraud.
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Ying Zhao, Hongdi Xu, Guangyan Liu, Yanting Zhou and Yan Wang
Digital transformation and innovation-driven development have become an international consensus. The purpose of this paper is to examine the effects of relationships, mechanisms…
Abstract
Purpose
Digital transformation and innovation-driven development have become an international consensus. The purpose of this paper is to examine the effects of relationships, mechanisms and economic consequences between digital transformation and enterprise innovation quality in order to provide a benchmark for developing countries to implement digital transformation strategies and innovation-driven strategies and provide a major support for economic recovery in the post-coronavirus disease 2019 (COVID-19) era.
Design/methodology/approach
Using microdata from A-share listed enterprises in Shanghai and Shenzhen from 2010 to 2021, this study examines the relationship between digital transformation and enterprise innovation quality and further reveals the internal logic and economic consequences of digital transformation to improve enterprise innovation quality through the mediating effect and moderating effect models.
Findings
The results demonstrate that digital transformation is beneficial for improving enterprise innovation quality. The heterogeneity test demonstrates that digital transformation has a larger effect on improving enterprise innovation quality in non-state-owned enterprises and eastern enterprises in China. The mechanism test demonstrates that digital transformation can improve enterprise innovation quality by improving internal control quality and analyst attention. Furthermore, with the increase in enterprise innovation inputs, digital transformation plays a significantly stronger role in improving enterprise innovation quality. The extended analysis demonstrates that digital transformation can significantly improve enterprise financial performance by improving innovation quality.
Research limitations/implications
First, the construction of the core explanatory variable digital transformation index in this study is based on the Python data analysis software, which calculates the frequency of digital transformation in the text of the business situation analysis portion of the annual report of the listed companies and then obtains the degree of digital transformation of the company in this year. There may be some deviation from the degree of digital transformation in the actual production and operation of enterprises. Second, in addition to internal control quality and analyst attention, are there other mediating mechanisms for the impact of digital transformation on the quality of enterprise innovation? Third, whether the moderating effect of innovation input on digital transformation and innovation quality is related to human capital factors of the research and development (R&D) team, such as the technical background of R&D personnel, etc.
Originality/value
This study enriches the relevant theories of digital transformation and broadens the research boundaries of digital transformation and enterprise innovation. This study's result provides an empirical basis for enterprises to improve enterprise innovation quality and financial performance from the perspective of digital transformation at the micro level and points out specific practical directions, combining theory with practice.
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Carolina Bona Sánchez, Marina Elistratova and Jerónimo Pérez Alemán
This study aims to analyse the effect of related party transactions (RPTs) on earnings quality in a sample of Spanish listed firms, as well as the moderating role played by female…
Abstract
Purpose
This study aims to analyse the effect of related party transactions (RPTs) on earnings quality in a sample of Spanish listed firms, as well as the moderating role played by female directors in the relationship between RPTs and earnings quality.
Design/methodology/approach
The sample includes non-financial Spanish listed firms from 2005 to 2019. The authors use panel data analysis based on the firm fixed-effect estimator. Additionally, the authors use the two-step system generalized method of moments estimator to test the robustness of the results.
Findings
The results show a negative effect of RPTs on earnings quality. Further analysis reveals that the negative effect is mainly driven by transactions between the firm and its directors and major shareholders, as well as by RPTs that are more likely to reflect insiders’ self-interest. Moreover, the authors show that the presence of female directors reduces the negative impact of RPTs on earnings quality.
Practical implications
The study provides practical implications for investors, auditors and policymakers, who should be aware that RPTs might harm earnings quality and adversely affect the flow of financial capital to promising investment opportunities. Additionally, the study evidences the key governance role played by female directors regarding financial reporting policies as RPTs increase.
Social implications
The findings promote the need for a higher representation of women in leadership positions since the authors reveal the key governance role played by female directors regarding financial reporting policies as RPTs increase.
Originality/value
The results to emerge from the study complement available evidence concerning the effect of RPTs on earnings quality in a continental European country. The authors also provide novel evidence vis-à-vis the role of female directors in the relationship between RPTs and earnings quality.
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Diana Oliveira, Helena Alvelos and Maria J. Rosa
Quality 4.0 is being presented as the new stage of quality development. However, its overlying concept and rationale are still hard to define. To better understand what different…
Abstract
Purpose
Quality 4.0 is being presented as the new stage of quality development. However, its overlying concept and rationale are still hard to define. To better understand what different authors and studies advocate being Quality 4.0, a systematic literature review was undertaken on the topic. This paper presents the results of such review, providing some avenues for further research on quality management.
Design/methodology/approach
The documents for the systematic literature review have been searched on the Scopus database, using the search equation: [TITLE-ABS-KEY (“Quality 4.0”) OR TITLE-ABS-KEY (Quality Management” AND (“Industry 4.0” OR “Fourth Industr*” OR i4.0))]. Documents were filtered by language and by type. Of the 367 documents identified, 146 were submitted to exploratory content analysis.
Findings
The analyzed documents essentially provide theoretical discussions on what Quality 4.0 is or should be. Five categories have emerged from the content analysis undertaken: Industry 4.0 and the Rise of a New Approach to Quality; Motivations, Readiness Factors and Barriers to a Quality 4.0 Approach; Digital Quality Management Systems; Combination of Quality Tools and Lean Methodologies and Quality 4.0 Professionals.
Research limitations/implications
It was hard to find studies reporting how quality is actually being managed in organizations that already operate in the Industry 4.0 paradigm. Answers could not be found to questions regarding actual practices, methodologies and tools being used in Quality 4.0 approaches. However, the research undertaken allowed to identify in the literature different ways of conceptualizing and analyzing Quality 4.0, opening up avenues for further research on quality management in the Industry 4.0 era.
Originality/value
This paper offers a broad look at how quality management is changing in response to the affirmation of the Industry 4.0 paradigm.
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Olivia McDermott, Jiju Antony, Michael Sony, Marcelo Machado Fernandes, Rajesh Koul and Mehran Doulatabadi
The main objective of this study is to investigate the 7 new quality control or the 7 new management tools and their use in manufacturing organisations. This research investigates…
Abstract
Purpose
The main objective of this study is to investigate the 7 new quality control or the 7 new management tools and their use in manufacturing organisations. This research investigates the understanding, knowledge of the tools and the level of application of the tools within the manufacturing sector. In addition, this paper aims to identify the benefits, challenges and critical success factors (CSFs) for the application of the 7 new quality control (QC) tools.
Design/methodology/approach
An online survey instrument was developed, and data collection was performed utilising a stratified random sampling strategy. The primary strata/clusters were formed by quality professionals working in all aspects of manufacturing organisations and functions. A total of 86 participants from different countries responded to the survey.
Findings
The main finding of this study is that 10% of participants within the manufacturing sector perceived that the 7 new QC tools could solve above 80% of organisational problems. Another relevant finding presented in this paper is that tree diagrams were the most utilised of the 7 new QC tools within the manufacturing sector. The least utilised tools are arrow diagrams. The common benefits of using 7 new QC tools in the manufacturing sector are helping people define, measure and analyse the problem areas or even prioritises them and providing some form of structure to the problem-solving efforts. This paper also revealed that the 7 new QC tools were most used in the manufacturing area but least utilised in the new products and research and development (R&D) functions. This work also presents a list of CSFs and challenges required to properly apply the 7 new QC tools in the manufacturing sector.
Research limitations/implications
This study was just carried out in manufacturing organisations. It would be interesting to try and expand to services sectors and compare use within the services sector.
Originality/value
Authors understand that this is the very first empirical study analysing the use and understanding of the 7 new QC or management tools within the manufacturing sector. The results of this study represent an important first step towards a complete understanding of the applicability of these tools in continuous improvement programs on a global scale and the context in which they can be utilized.
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Amy Kim, Shuoqi Wang, Lindsay McCunn and Novi T.I. Bramono
This paper aims to establish a reliable scale measuring occupants’ levels of environmental trust in their work settings’ indoor air quality and explore the relationship between…
Abstract
Purpose
This paper aims to establish a reliable scale measuring occupants’ levels of environmental trust in their work settings’ indoor air quality and explore the relationship between occupants’ levels of environmental trust and their perceived control over the air quality in their workspace.
Design/methodology/approach
The authors conducted occupant surveys concerning indoor air quality in an office building, and collected corresponding indoor air quality measurements. Descriptive statistics and correlation analysis results are reported to reveal occupants’ levels of environmental trust and perceived control.
Findings
Results reveal that psychological perceptions of indoor air quality can be quite neutral, even shortly after an extreme wildfire event resulting in very poor air quality in an urban area. Occupants’ sense of trust that their office building could protect them from harmful air outside, and their belief that the building could protect them from seasonal smoky conditions, each correlated positively with employees’ sense of control over the indoor air quality in their personal workspace.
Originality/value
This case study adds to an interdisciplinary understanding for facility managers and organizational leaders concerning a way to measure occupants’ sense of control over the indoor air quality in their building, as well as their environmental trust in terms of how protected they feel from harmful air quality conditions.
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Arash Arianpoor, Imad Taher Lamloom, Hameed Mohsin Khayoon and Ali Shakir Zaidan
This study aims to assess the effect of material internal control weaknesses (MICW) on the relationship between ownership structures and future-oriented disclosure.
Abstract
Purpose
This study aims to assess the effect of material internal control weaknesses (MICW) on the relationship between ownership structures and future-oriented disclosure.
Design/methodology/approach
A total number of 197 firms were assessed in this study during 2014–2021. Two measures were used for MICW. First, the number of existing MICW was assessed in independent auditors’ reports. In Iran, the maximum number of weaknesses is 13. Second, the scoring (0 or 1) method was used as a dummy variable, 1 for a firm with MICW and otherwise 0. Moreover, the scoring (0 or 1) method was used to measure the level of future-oriented disclosure of 13 indicators.
Findings
The findings showed that institutional ownership and managerial ownership have a significant positive effect on future-oriented disclosure, whereas the MICW have a significant negative effect on future-oriented disclosure. In addition, MICW played a moderator role in the relationship between ownership structures and future-oriented disclosure. The robustness checks confirmed the results.
Originality/value
As the studies conducted on future-oriented disclosure and the contributing factors are limited, and also the effect of MICW on future-oriented disclosure is not explored, the present findings can show the importance of the study, and fill the gap in this field. This study offers theoretical and practical implications to drive policymakers and managers to the effectiveness of internal control and future-oriented transparency.
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