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Maturity transformation risk is one of the leading causes of the global financial crisis. While endorsing the new Basel III liquidity reforms, the Islamic Financial Services Board has suggested a modified NSFR ratio as a structural measure for the maturity transformation function of Islamic banks, allowing for their unique balance sheet structure. The purpose of this paper is to analyze various firm-specific and macroeconomic factors that may significantly affect the maturity transformation risk of these banks.

Using an annual data set of 55 full-fledged Islamic banks from 11 different countries over a period from 2006-2015, this study utilizes a two-step system generalized method of moments estimation technique on an unbalanced panel data.

The empirical results reveal bank size, capital, less-risky liquid assets, risky liquid assets, external funding dependence and market power as significant bank-specific factors in determining maturity transformation risk. However, the authors find no evidence for the effect of bank credit risk on maturity transformation risk in Islamic banking system.

This is the first study that focuses on the measurement of maturity transformation risk and its determinants in Islamic banks in a cross-country context, with regards to new liquidity regulatory requirements as proposed by Islamic Financial Services Board (IFSB) in conjunction with Basel III.

Each decision-making involves risk; therefore, risk is a strategic element in management and organization. In terms of risk management, the transformation process in organizations should be aimed at optimizing and improving the most important performance criteria such as cost, quality, flexibility and speed, rather than just as required by legislation. Transformation process has sustainability risks for organizations. ATO transformation process should be well designed. Process also should include clear steps to implement them. Sound and well-designed process will be useful for organizational performance and quality management. The management of the risks of conversion processes is vital for the continuation of operations without interruption. In aviation universities’ approved training organizations (ATOs), each system must be handled and processed separately. Transformation plans should be prepared considering the risks of each system. The purpose of this study is to develop process flowcharts of all systems in sustainable ATO transformation process from risk management perspective.

Flowchart method is useful to identify process risks in organizational system transformation. Flowcharts simplify communication and provide effective analysis of the process. Flowchart enables designing plan which is suitable for aimed results. Flowcharts method provides efficient coding and system analysis and program development phase also serves as a guide while debugging errors. In this study, flowcharts including all stages have been developed for transition to an ATO authorization. With these flowcharts, all elements of the process and the risks, threats and opportunities that may be faced can be proactively identified together. Thus, improvements will be possible to achieve the corporate objectives of the transformation and reorganization process and increase the corporate performance with optimum resource usage.

Flowcharts may contribute to the reorganization and transformation of processes in all aviation academies. In this sense, it provides infrastructure for future studies. New studies can be carried out for the reorganization of all departments in aviation. It is believed that this research will contribute to the aviation management literature. Flowchart is also called as process flowchart or process flow diagram. Flowchart is effective methodology to manage transformation process risk. Owing to clarify each step in transformation process, risks may be managed with timely decision-making by managers. In this research, five fundamental flowcharts have been developed in ATO system. These include all processes in transformation as preparation of manuals, new authority application, competent authority inspections, corrective and preventive actions, revalidation and fees in transformation process and its parts. Presented flowcharts may be useful to identify and manage process risk in initial phase as consent with proactive management style.

This research presents designed flowcharts for ATO transformation risk management process. This research may extend at other departments in aviation universities such as air traffic control, maintenance and management.

As a methodology, flowcharts can be considered as schematic algorithms. The flowchart is a detailed representation of the process to carry out a specific task. In this research, flowcharts have been developed for transformation process stages at ATO authorization. These flowcharts are useful for proactive identification of process elements and their risks – threats and opportunities. Thus, improvements will be possible to achieve the corporate objectives of the transformation and reorganization process and increase the corporate performance with optimum resource usage. Flowcharts may contribute to the reorganization and transformation of processes in all aviation academies. In this sense, it provides infrastructure for future studies. New studies can be carried out for the reorganization of all departments in aviation. It is believed that this research will contribute to the management and strategy literature with engineering.

ATO transformation process risk management has not been studied much in literature. The operational manuals of ATO's management and strategy planning prepare according to both legal regulations and handbooks of aviation authorities which obliged for ATO. It is anticipated that this original study may be useful for determining the risks of transformation processes of flight training departments of civil aviation universities and for good process design. Flowcharts may contribute to the reorganization and transformation of processes in all aviation academies. In this sense, this study provides infrastructure for future studies. New studies can be carried out for the reorganization of all departments in aviation. It is believed that this research will contribute to the aviation management literature. Flowchart is also called as process flowchart or process flow diagram. Flowchart is effective methodology to manage transformation process risk. Owing to clarify each step in transformation process, risks may be managed with timely decision-making by managers. The aviation universities operate with authorization. This research may contribute to their process management and strategy to complete their transformation and transition via risk management. Developed flowcharts present all necessary steps to become authorized as an ATO. This research may serve as a kind of framework guide for other aviation organizations to be used in their transformation/transition process.

The high degree of likely disruption challenges organizations at all levels to develop and implement innovative strategies. Ensuring supply chain continuity even during emergency and complex situations is critical for organizations. Therefore, this study explores some strategies adopted by firms based on innovation and blockchain-enabled digital transformation to reduce risk in their supply chain.

This study follows the qualitative form of enquiry. The authors interviewed 26 professionals from the supply chain domain. After three-layered coding and mapping multiple layers to the data of interviews, the authors identified emerging themes and sub-themes through a thematic analysis.

The authors identified type of risks that can affect global supply chains along with both the role of blockchain and innovation culture in minimizing the degree of such risks and the challenges in adopting blockchain technologies. This led us to develop a framework to address supply chain risk through digital transformation through innovation and blockchain.

This research offers exciting implications for practice by drawing on the insights gathered to facilitate supply chain risk management through innovation and blockchain applications for organizations that are strongly impacted by digital transformation practices around the world. The study also offers the utilization of a framework followed by propositions to reduce supply chain risks in the digital transformation era.

This study focuses on presenting a mechanism of supply chain risk management through the application of innovation and blockchain technology for the digital transformation of a value chain. Blockchain can offer an innovative platform to ready the supply chain for future dynamic situations.

This paper aims to explore what factors influence the possibility of internal and external risk propagation in R&D networks and investigate how government intervention moderates the associations between the influencing factors and risk propagation.

The authors divided government intervention into directive and facilitative intervention and adopted an empirical research approach in this study. They collected 228 questionnaires from managers and R&D personnel participating in R&D projects in Shanghai and Jiangsu province through e-mail and in person. The data were used to carry out multiple regression analysis to test hypotheses.

The results show that the probability and consequence of risks positively affect the possibility of internal and external risk propagation; risk perception and transformation ability negatively influence the possibility of internal and external risk propagation; both directive and facilitative intervention weaken the relationship between the probability of risks and internal risk propagation when they are high than low the association between transformation ability and internal risk propagation is weaker when directive intervention is high than low, whereas facilitative intervention presents the insignificant moderation effect on the relationships between risk perception ability and internal and external risk propagation.

This study provides a distinctive theoretical perspective for risk conduction theory, government intervention theory and risk management. It also offered managers and the government a clear understanding of how to reduce or avoid risk propagation by leveraging directive and facilitative government intervention.

The purpose of this paper is to investigate the relations between the directors' and officers' (D&O) insurance and digital transformation of Chinese-listed companies to provide insights into triggers of digital transformation from the perspective of D&Os' incentive plan.

Based on a panel dataset of 2,590 listed manufacturing companies in China from 2017 to 2020, and using a textual analysis of annual reports, this paper empirically examines the impact of D&O insurance on digital transformation. The authors investigate the mechanism through a mediating model and apply a series of robustness tests including firm fixed effect model, propensity score matching and changing key measures.

The research shows that the digital transformation has been negatively influenced by D&O insurance. The long coverage duration of D&O insurance significantly lowers the level of digital transformation. The moral hazard problem caused by D&O insurance has hampered digital transformation through reducing explorative innovation, while there has been no significant change in innovation quantity. Under the coverage of D&O insurance, firms with worse internal governance and state-owned firms are more reluctant to invest in risky transformation than their counterparts.

Based on a textual analysis of annual reports, this paper empirically tests the influential mechanism of D&O insurance coverage on digital transformation. The authors provide insights into non-tech triggers of digital transformation and uncover how incentive plans influences D&Os' behaviors. This paper provides a new angle to the debate on governance-strengthening and governance-weakening role of D&O insurance.

The paper aims to rethink empirical models and theory used in explaining banks and financial institutions (FIs) and to enhance the process of theory construction. This is a provisional response to Colander et al. (2009) and Gendron and Smith-Lacroix’s (2013) call for a new approach to developing theory for finance and FIs.

An embryonic “behavioural theory of the financial firm” (BTFF) is outlined based on field research about banks and FI firms and relevant literature. The paper explores “conceptual connections” between BTFF and traditional finance theory ideas of financial intermediation. It does not seek to “integrate” finance theory and alternative theory in “meta theory” and has a more modest aim to improve theory content through “connections”.

The “conceptual connections” provide a means to develop ideas proposed by Scholtens and van Wensveen (2003). They are part of a “house with windows” intended to provide systematic means to “take data from the outside world” whilst continuously recognising “the complexities of the context” (Keasey and Hudson, 2007) to both challenge and build the core ideas of FT.

The BTFF is a means to create “conversations” between academics, practitioners and regulators to aid theory construction. This can overcome the limitations of such an embryonic theory.

The ideas developed create new opportunities to develop finance theory, propose changes in banks and FIs and suggest changes in the focus of regulation.

Regulators can use the expanded conceptual framework to encourage theory development and to enhance accountability of banks and FIs to citizens.

The vacancy of office buildings leads to financial problems for the owners and social problems for the community, e.g. vandalism, dereliction and deterioration. A solution may be found through the conversion of vacant office buildings into housing. Vacancy‐threatened buildings are often part of the mediocre part of the building stock. Does conversion make sense in this case? What are the opportunities, threats and risks? What are the critical success factors? The purpose of this paper is to discuss financial, functional, structural, technical and aesthetic issues.

Through previous research at the Delft University of Technology, tools are developed to decide the potential for the conversion of buildings. This paper discusses the risks and chances, and brakes and triggers of transformation projects, based on case studies. These case studies are performed through interviews with professionals involved in the transformation process and through analyses of architectural drawings of the before and after situations. For each project two interviews were held, with the architect and the developer or client. The interviews focussed on the process of the transformation projects.

The conversion of nondescript and unarticulated buildings makes sense from the point of view of sustainability, both ecologically and in an urban regeneration context. These projects will only be interesting for developers of commercial real estate if they can be made economically feasible. Social housing associations also have additional social goals. Through a longer investment perspective these associations can wait for property increases through long‐term externalities as result of upgrading of the area. In buildings that are kept because of economical or social feasibility there are strong connections between the target group, the location and the conversion costs.

The tools developed have proved to be useful for quick scans of the potential for building conversion. This paper is a first step in trying to depict a more detailed view of the risks and chances of building conversions. Knowledge of the risks and chances of conversion is required to make decisions concerning transformation projects.

The paper develops knowledge about transformation projects and decision support tools for the conversion of buildings, based on empirical studies.

This article aims to describe and analyze the results of efforts to improve patient‐centered care (PCC) in psychiatric healthcare.

Using the methodology of a qualitative case study, the authors studied three Swedish child and adolescent psychiatric care (CAP) units in order to describe how patient‐centered actions are performed. They conducted 62 interviews, made 11 half‐day observations, and shadowed employees for two days.

The article shows that the increased focus on accountability for unit performance and medical risks results in unintended consequences. The patient's medical risk is transformed to a personal risk for the psychiatrist and the resource risk is transformed to a personal risk for the unit manager. Patients become risk objects for both psychiatrists and unit managers, which creates an alignment between them to try to send patients elsewhere. New public management (NPM) reforms may consequently lead to the institutionalization of unintended healthcare practices.

The article shows that accountability pressure to reduce patient risk may create new risks for patients.

The study uses theoretical concepts of risk tradeoffs (risk substitution and risk transformation), which were developed for the macro level, to explain the unintended consequences of NPM reforms at the micro level.

The purpose of this paper is to present a clear path to securitize the longevity risk with two distinct swaps in order to inspire a new Chinese life market.

Studies on longevity risk securitization consist of three aspects, respectively, instrument design, pricing methodology and mortality projection. The swaps designed are referenced, respectively, to vanilla and complex survivor swaps (Dowd et al., 2006; Lin and Cox, 2005). Methods applied are RHH model and Gompertz law for mortality projection, as well as two-factor Wang transformation for pricing.

This paper figures out the market price of risk in Chinese annuity market, checks for the sensitivity of the price to parameters and tests the hedging effects by Monte Carlo simulation.

Based on the theoretical and numerical results, this paper suggests an effective way to possibly witness the birth of New Life Market in China.