Search results

This study aims to examine the moderating effect of audit firm tenure on the association between corporate social responsibility (CSR) and firm value. Prior studies provide mixed results on this association, which may be due to differing theoretical expectations related to CSR and firm value. It is also possible that external stakeholders are unable to differentiate between positive and negative CSR investments, as CSR reports are generally not assured by independent third parties. Thus, the authors propose that audit firm tenure may be used by external stakeholders to evaluate CSR performance.

The authors use an ordinary least squares regression to examine the moderating effect of audit firm tenure on the relation between CSR and firm value after controlling for other determinants of firm value and various internal and external governance mechanisms documented in the literature. The sample consists of 15,707 firm-year observations from US firms during the sample period of 2000 to 2012. The authors measure CSR quality using rating scores from MSCI ESG STATS (formerly the KLD database), audit firm tenure as the number of years the incumbent auditor has served the client and firm value using Tobin’s Q.

The results indicate that CSR is positively associated with firm value when audit firm tenure is long but not when tenure is short. The results are robust to alternative measures of firm value, CSR performance scores, and individual CSR dimensions. The evidence supports the argument against mandatory audit firm rotation in the USA.

Future studies could examine a similar issue in alternative settings and/or look at cross-sectional variations among firms on the association between CSR and firm value by other auditor traits such as auditor industry specialization and big-name reputation. Additionally, as auditor alone is unable to ensure the quality of management disclosures and their accountability, future studies could examine the moderating effect of internal and other external governance mechanisms on the association between CSR and firm value, exploring when the signaling effect of auditor tenure on CSR reporting quality and its effect on firm value is most salient.

The findings are important to regulators and investors. The authors provide evidence that longer audit tenure serves as a signaling device for external investors with regard to the quality of a firm’s CSR performance. Hence, the study facilitates regulators’ cost-benefit analysis related to mandating audit firm rotation. The evidence suggests that mandating a term limit on auditor tenure may have the unintended consequence of eliminating a signaling effect of auditor tenure on the quality of CSR disclosures under information asymmetry. This supports the Public Company Oversight Board’s decision to forgo the requirement of mandatory audit firm rotation in the USA.

Prior literature presents mixed findings on the association between CSR performance and firm value based on a variety of underlying theories (economic, stakeholder and contingency theory). Literature on mandatory auditor rotation has concentrated on the auditor tenure effect on perceived and actual audit quality as reflected in earnings quality. Relying on agency theory, this study posits that auditor tenure serves as a signal for the quality of CSR activities in the absence of CSR assurance reporting as CSR quality can be difficult to evaluate. The authors provide evidence that audit tenure moderates the association between CSR activities and firm value and longer audit tenure makes it more likely that the CSR activities are associated with increased firm value.

Investigates the problems and pressures facing lone mothers in management and professional occupations. Qualitative data were gained from semi‐structured interviews with 20 lone mothers, and the sample also completed the Pressure Management Indicator questionnaire. The interviews revealed that the lone mothers experienced some of the problems and pressures previously reported by women in dual career couples, including difficulties with childcare, work overload and role conflict, but to a much greater degree. Finds also that the death of a partner, separation or divorce affects the career aspirations and career development of the women in the sample and that the lone mothers were less able to take advantage of job‐sharing and part‐time working because of greater financial pressures. The lone mothers reported higher levels of pressure from workload and the home/work balance than comparative normative groups. However, as stress moderating strategies they employed better use of problem‐focussed coping than other women and made more use of social support than other managers.

This study examines contextual influences on taxpayers’ perceptions of a vague “low” probability of detection and the relationship between taxpayers’ perceptions and their likelihood to take questionable tax deductions. As such, we tie psychological theories that explain differential interpretations of qualitative probability phrases (base rate and support theories) to the taxpayer perception literature. Consistent with our hypotheses, taxpayers’ interpretations of “low” differ both between and within subjects, depending on the context in which deductions are presented. On average, our taxpayer subjects are less likely to take questionable deductions perceived to have a higher probability of detection than those perceived to have a lower detection probability. Our results contribute to existing literature by demonstrating that knowledge of subjects’ assessments of an event's probability is integral to designing experiments and drawing conclusions regarding observed behavior. This appears necessary even when researchers provide assessments of detection probabilities and/or employ scenarios for which systematic differences in probability perceptions are not inherently obvious.

The parenting styles, or perhaps lack thereof, of Ambridge families is a much-talked about topic among The Archers listeners. This has been brought into keen focus recently with the parental role in, and reaction to, Ed and Emma Grundy's separation, and the intra- and inter-family dynamics of the Archers clans brought about by Peggy Woolley's Ambridge Conservation Trust. This chapter presents an Archers Assembly, based on the Citizens’ Assembly model, to pass judgement on the parenting styles of the matriarchs and family heads of key Ambridge clans. The Archers Assembly crowdsourced (through the Academic Archers Facebook group) considerations on: The Matriarchs, Peggy and Gill Archer; David and Ruth Archer; Pat and Tony Archer; Susan and Neil Carter; Jenny and Brian Aldridge; and Clarrie and Eddy Grundy. The chapter offers the evidence on each set, with a list of ‘for’ and ‘against’ cases, and quotes, from respondents.

Kinship structures in Ambridge have been analysed using social network analysis (SNA) showing a network of a ‘small world’ type with 75 individual people linked by birth or marriage. Further, the network shows four major cliques: the first two centred on Aldridge and Archer matriarchies and the second where through the marriages of the third generation the Grundies, Carters, Bellamies and Snells connect together. The chapter considers the possible futures for kinship networks in the village, arguing either a version of the status quo or The Headlam Hypothesis through which Archers assume less importance and the strength of the weak ties in the network assume more prominence.

This study aims to explore how transformational leaders enhance public service employees’ growth satisfaction in the job and mitigate job stress and burnout, incorporating follower interpersonal communication satisfaction with the leader (IPCSL) as a mediator.

On the basis of the survey data collected from the Indian public service employees, regression analysis, bootstrapping and SOBEL test are used to test the proposed research model.

The findings highlighted a partial mediation of follower interpersonal communication satisfaction with leader between transformational leadership (TL) and public service employees’ growth satisfaction in the job. Although there was no significant direct effect of TL on job stress and burnout, the results underlined a significant indirect effect of follower IPCSL.

By examining the important role of follower IPCSL, this study unravels the precise intervening mechanism between TL and follower affective outcomes like growth satisfaction in job, job stress and burnout among public service employees.

THE PRAYERFUL UTTERANCE, ‘May we never want a friend in need, nor a bottle to give him,’ has been widely publicized on a poster celebrating a rare Scotch whisky. The man who originated that delectable expression, however, was Captain Edward Cuttle, the delightful old mariner in Dombey and Son, who spoke in riddles and made a practice of winnowing moral precepts from the good Book for the guidance and edification of his young friend and protege, Walter Gay.