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This study aims to investigate the link between audit quality and in-court debt restructuring. The aim is to understand whether the confirmation of debt restructuring plans is affected by audit quality, which, in the light of agency theory, reduces information asymmetries between outsiders (creditors and the court) and insiders (shareholders and managers) of the debtor company.

A logistic regression is performed to test whether higher audit quality is associated with an increased probability of successfully completing a debt restructuring proceeding (RP). Consistent with the literature, audit quality is assessed ex ante based on auditor size, which is used as a proxy for independence. The analysis considers private Italian companies.

Audit quality positively affects debt restructuring. Among financially distressed companies, those audited by an audit company are more likely to succeed in RPs than those audited by a single practitioner. There is no evidence of a Big N effect.

This study fills a gap in literature as, in contrast to other financial and governance characteristics, audit quality has never been studied before as a determinant of efficient restructuring. It contributes to the literature on auditing and governance by highlighting the importance of audit quality in complex situations such as RPs, and it expands on debt restructuring literature by considering the importance of the information exchanged during RPs.

The purpose of this paper is to analyze the conceptual framework about human resources downsizing and restructuring and how organizations of the public sector can do that effectively and efficiently. These facts drive to the conclusion that the implementation of early retirement incentives requires the most elaborate planning and execution to be effective, predictable and safe in the long term.

This paper adopts an analytical, descriptive methodology approach to describe the basic features of the data by using the descriptive research design. Data have been collected through different sources, which include secondary data, to introduce the theoretical literature of the subject as books, journals, articles, published working papers and referred previous studies related to the same subject.

Downsizing process is a deliberate administrative process that includes, but is not limited to, workforce reduction and is primarily aimed at achieving efficiency in public organizations. The definition of workforce downsizing may be narrowed to reducing the number of workers, or more likely to refer to general efforts to restructuring human resources in public organizations, Early Retirement Incentive Programs (ERIP) represents a viable alternative for organizations seeking to reduce staff. For the ERIP to be successful, the program coordinator must understand the business objectives and goals that the organization is trying to obtain.

Human resources strategies concerning downsizing public administration workforce should be more appropriate to those who leave the organization and those who stay at work, reducing the negative psychological, administrative and economical effects. This could be achieved through a strategy called early retirement incentive programs.

Enterprise systems are commonly implemented by firms through outsourcing arrangements with software vendors. However, deriving benefits from these implementations has proved to be a challenge, and a great deal of variation has been observed in the extent of value generated for client and vendor firms. This research examines the role of co-specialization as a strategy to make the most out of outsourced enterprise systems. The authors develop hypotheses relating resource co-specialization with two indicators of success for implementation of enterprise software: (1) exchange success and (2) firm growth.

The hypotheses are tested using a unique panel data set of 175 firms adopting Advanced Planning and Scheduling (APS) software, a type of enterprise system used for managing manufacturing and logistics. The authors identify organizational factors that support co-specialization and then examine how co-specialization is associated with enterprise software implementation success, controlling for the endogenous choice to co-specialize.

The empirical results suggest that resource co-specialization is positively associated with implementation success and that the two resource co-specialization pathways that are examined complement each other in providing performance benefits.

This paper contributes to the research literature on outsourcing. The study also provides a new empirical test using a unique data set of 175 firms adopting APS Software.

Retaining employee loyalty after restructuring is a problem for all types of businesses. The major issue concerns how management and employees can establish a new, mutually acceptable "psychological contract" which ensures employee loyalty but not lifelong employment. Eighteen small businesses in Fairfield County, Connecticut were surveyed to investigate loyalty and motivation after downsizing. A significant correlation was found between loyalty and motivation. Furthermore, several motivational techniques employed were inconsistent with employee needs. Suggestions are offered on how to retain employee loyalty.

The paper investigates the production inefficiency of the US electricity industry in the wake of restructuring and emission reduction regulations.

The study estimates a multiple-input, multiple-output directional distance function, using six inputs: fuel, labor, capital and annualized capital costs of sulfur dioxide (SO₂₎, nitrogen oxides (NO_X) and particulate removal devices, two good outputs – residential and industrial-commercial electricity and three bad outputs – SO₂, carbon dioxide (CO₂) and NO_X emissions.

The authors find that restructuring in electricity markets improves deregulated utilities' technical efficiency (TE). Deregulated utilities with below-average NO_X control equipment tend to invest less in these devices, but above-average utilities do the opposite. The reverse applies to particulate removal devices. The whole sample spends more on NO_X, particulate and SO₂ control systems and reduces its electricity sales slightly. Increased investments in SO₂ and NO_X control equipment do not reduce SO₂ and NO_X emissions, but expansions of particulate control systems cut down SO₂ emissions greatly. Stricter environmental regulations have probably shifted the production frontier inwards and the utilities farther from the frontier over time.

Restructuring and environmental regulations do not make all utilities invest more in emission control systems. The US government should devise other schemes to achieve this goal.

The paper unveils heterogeneous reactions of US electric utilities in the wake of restructuring and emission regulations.

The purpose of the paper is to analyze the new Bankruptcy Law in Saudi Arabia (KSA Bankruptcy Law) under both a comparative lens and a policy-oriented one, while highlighting some of the most essential operational steps and procedures in a bankruptcy proceeding under the law.

The approach adopted analyzes the specific mechanics and procedures of a bankruptcy law under the general policies and goals of bankruptcy. Additionally, where appropriate, a brief comparison to the US Bankruptcy code and its provisions is presented to provide an alternative approach on how similar issues are handled under a reputable and proven bankruptcy system.

Overall, the KSA Bankruptcy Law is a major accomplishment and advancement to the Kingdom’s insolvency regime. The law consolidated and codified the laws governing bankruptcy under the Kingdom’s prior regime, and followed the structure of a modern bankruptcy regime. In doing so, several of the law’s policies and objectives have been fulfilled by providing an effective, predictable and reliable bankruptcy system.

Given the relatively recent adoption of the KSA Bankruptcy Law, the paper provides a comprehensive assessment of the law’s operation and its effectiveness in achieving its policy goals as a modern bankruptcy law.

This paper aims to examine the role of “restructuring” in confronting the challenges facing contemporary high streets in the devolved UK. It complements three articles concerned with repositioning, reinventing and rebranding and illustrates the multi-faceted approaches involved in addressing retail change and town centre transformations. This paper emphasises the role of planning and governance in effecting change.

Informed by a literature review, action research involved inter-related interventions in selected locations, and associated workshops with engaged practitioners and community actors.

The findings highlight that the “resilience” of contemporary town centres demands resisting efforts to return to the status quo and necessitate forms of adaptive management. Understanding high street degeneration and the limitations of a retail-only led policy focus as a “wicked issue” further demands socially constructing town centres as an ecosystem requiring a holistic response. New forms of joint-working involve selecting appropriate models, attending to relational aspects and defined roles and responsibilities. Land use planning, including masterplanning and creating evidenced policy options, provides an important democratic space for legitimising action, offering leadership and extending participation to new change agents.

Restructuring of governance is an essential prerequisite in effecting change.

The originality of this study lies in the application of the restructuring element of the 4 Rs Framework which enables a focus on the governance dimensions of town centre and high street regeneration. The findings are enhanced through the experiential evidence which stresses both the importance of place-based diversification and value of prioritising holistic and joint actions developed through participatory visioning exercises.

Recently, the entry of new players has prompted significant restructuring in the Australian coal market with value migrating away from the existing fragmented, traditional production/export model characterised by competing operators generally using 'common user' infrastructure facilities to new, fully integrated supply chains creating a multi-tiered production-consumer framework.

This paper argues that not only are coal markets restructuring but they are doing so within the framework of a significant paradigm shift towards efficiency-seeking and efficiency-driven mechanisms. Value innovation and a deregulated market are enabling operators to enter the industry seeking and implementing end-to-end control of the supply chain - and, in so doing, capturing the significant gains of integration.

This paper explores these changes within the framework of integrative efficiency - a product of end-to-end control by a single party, derived from a number of companies, or chain elements, working cooperatively rather than competitively, or a single operator vertically integrating the chain from point of production to point of consumption to capture and deliver significantly higher value. The paper focuses attention on this paradigmatic shift in a brief though detailed case study of a major new industry entrant into export coal chains from the rapidly developing Galilee Basin in northern Queensland. It examines the dynamics and implications of this shift in the context of chain efficiency and value innovation

This study aims to develop a model based on the financial variables for better accuracy of financial distress prediction on the sample of private French, Spanish and Italian firms. Thus, firms in financial difficulties could timely request for troubled debt restructuring (TDR) to continue business.

This study used a sample of 312 distressed and 312 non-distressed firms. It includes 60 French, 21 Spanish and 231 Italian firms in both distressed and non-distressed groups. The data are extracted from the ORBIS database. First, the authors develop a new model by replacing a ratio in the original Z”-Score model specifically for financial distress prediction and estimate its coefficients based on linear discriminant analysis (LDA). Second, using the modified Z”-Score model, the authors develop a firm TDR probability index for distressed and non-distressed firms based on the logistic regression model.

The new model (modified Z”-Score), specifically for financial distress prediction, represents higher prediction accuracy. Moreover, the firm TDR probability index accurately depicts the probabilities trend for both groups of distressed and non-distressed firms.

The findings of this study are conclusive. However, the sample size is small. Therefore, further studies could extend the application of the prediction model developed in this study to all the EU countries.

This study has important practical implications. This study responds to the EU directive call by developing the financial distress prediction model to allow debtors to do timely debt restructuring and thus continue their businesses. Therefore, this study could be useful for practitioners and firm stakeholders, such as banks and other creditors, and investors.

This study significantly contributes to the literature in several ways. First, this study develops a model for predicting financial distress based on the argument that corporate bankruptcy and financial distress are distinct events. However, the original Z”-Score model is intended for failure prediction. Moreover, the recent literature suggests modifying and extending the prediction models. Second, the new model is tested using a sample of firms from three countries that share similarities in their TDR laws.

In today’s business settings, most firms strive to closely integrate their resources and activities with those of their business partners. However, these linkages tend to create lock-in effects when changes are needed. In such situations, firms need to generate new space for action. The purpose of this paper is twofold: analysis of potential action spaces for restructuring; and examination of how action spaces can be exploited and the consequences accompanying this implementation.

Network dynamics originate from changes in the network interdependencies. This paper is focused on the role of the three dual connections – actors–activities, actors–resources and activities–resources, identified as network vectors. In the framing of the study, these network vectors are combined with managerial action expressed in terms of networking and network outcome. This framework is then used for the analysis of major restructuring of the car industries in the USA and Europe at the end of the 1900s.

This study shows that the restructuring of the car industry can be explained by modifications in the three network vectors. Managerial action through changes of the vector features generated new action space contributing to the transition of the automotive network. The key to successful exploitation of action space was interaction – with individual business partners, in triadic constellations, as well as on the network level.

This paper presents a new view of network dynamics by relying on the three network vectors. These concepts were developed in the early 1990s. This far, however, they have been used only to a limited extent.