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1 – 10 of 123Nathalie Brender, Marion Gauthier, Jean-Henry Morin and Arber Salihi
While the three lines model (TLM) provides an organizational structure to execute risk and control duties, research and practice show limitations in the model's implementation…
Abstract
Purpose
While the three lines model (TLM) provides an organizational structure to execute risk and control duties, research and practice show limitations in the model's implementation. These limitations result in governance issues. Such issues, together with control weaknesses, could be addressed by leveraging properties of distribution, transparency, and immutability of blockchain technology. To this end, in this paper the authors propose a conceptual control framework based on blockchain technology to augment control practice.
Design/methodology/approach
The design of the resulting blockchain-based control framework (BBCF) and its prototype, based on the design science research methodology (DSRM), is presented and discussed in terms of the potential impact in the context of the identified problems within the TLM.
Findings
One potential outcome of BBCF could be to redefine the scope and boundaries of some of the activities in audit and control practices from a more static to a more dynamic and prospective role. In a larger context of improving governance practices, the BBCF could set the path for a more inclusive and participatory interaction between the different governance actors of an organization.
Research limitations/implications
However, this assumes that blockchain is more widely adopted despite its complexity and rigidity.
Practical implications
BBCF covering both a conceptual model design and a reference implementation provides an innovation in audit and control. BBCF could include all relevant stakeholders who have an interest in corporate governance and control activities, including the regulators.
Originality/value
The contribution intends to serve both as a starting point for discussing the evolution of audit and control practice based on blockchain technology, as well as an initial actionable prototype for experimentation and further development.
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Pragmatism is very relevant to workplace management and performance measurement, yet in the accounting literature, it is a term used loosely and in a colloquial manner. By drawing…
Abstract
Purpose
Pragmatism is very relevant to workplace management and performance measurement, yet in the accounting literature, it is a term used loosely and in a colloquial manner. By drawing on a framework based on classical pragmatism, this study aims to examine how a pragmatic perspective is discernible in the form and use of management control (MC) practices.
Design/methodology/approach
This study collects data using a case study of a firm in the green energy construction sector.
Findings
Building on the analytical framework, this study provides evidence that a pragmatic perspective is discernible in both form and use of MC practices, through a clear focus on targets rather than variance analysis, the presence of mutable local MC practices characterised by interaction and problem-solving and the absence of other common MC practices with no clear links to ends-in-view. This study also provides evidence of the potential limitations of a pragmatic perspective including myopia and an exacerbation of the inherent bias in organisations towards exploitation.
Originality/value
This research brings analytical clarity to the study of pragmatism in the accounting literature and insights into how a pragmatic perspective is discernible in the form and use of MC practices. Further, the study shows the potential limitations of a pragmatic perspective for management.
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Xiaogang Cao, Cuiwei Zhang, Jie Liu, Hui Wen and Bowei Cao
The purpose of this article is based on the unit patent license fee model in the closed-loop supply chain.
Abstract
Purpose
The purpose of this article is based on the unit patent license fee model in the closed-loop supply chain.
Design/methodology/approach
This paper analyzes the impact of the bundling strategy of the retailer selling new products and remanufactured products on the closed-loop supply chain under the condition that the original manufacturer produces new products and the remanufacturer produces remanufacturing products.
Findings
The results show that alternative products can be bundled, and in many cases, the bundling of remanufactured products and new products is better than selling alone.
Originality/value
If the retailer chooses bundling, for the remanufacturer, when certain conditions are met, the benefits of bundling are greater than the separate sales at that time; for the original manufacturer, when the recycling price sensitivity coefficient is high, the bundling is better than separate sales.
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Armaghan Chizaryfard, Yulia Lapko and Paolo Trucco
This study advocates the importance of taking an evolutionary perspective in the strategic configuration of closed-loop supply chains (CLSC) in the transition to a circular…
Abstract
Purpose
This study advocates the importance of taking an evolutionary perspective in the strategic configuration of closed-loop supply chains (CLSC) in the transition to a circular economy. Building on the supply chain management and industrial dynamics research domains, an evolutionary analytical framework was developed and applied in the empirical context of the ongoing industrial transition to e-mobility.
Design/methodology/approach
This study is designed as an in-depth exploratory case study to capture the multi-layer dynamic complexities and their interplay in CSLC development. The empirical investigation was based on two-year interactions between the authors and various departments in a leading European heavy vehicle manufacturer. The proposed evolutionary analytical framework was used for investigating the dynamics of four CLSC configurations through ten possible trajectories.
Findings
The findings demonstrate that the evolution of each CLSC configuration comes with multiple challenges and requirements and point out the necessity for the co-development of technologies, product design and production, and infrastructure through long-term relationships among key supply chain actors. However, this evolutionary journey is associated with multiple dilemmas caused by uncertainties in the market and technology developments. All these factors were properly captured and critically analyzed, along with their interactions, thanks to the constructs included in the proposed evolutionary analytical framework.
Research limitations/implications
The proposed evolutionary framework is applicable for examination of SC transformation in the context of market and technology development, and is particularly relevant for transitioning from linear SC to CLSC. The framework offers a single actor perspective, as it does not directly tackle dynamics and effects of actions taken by SC actors.
Practical implications
The developed framework can support SC managers in identifying, framing, and comparing alternative strategies for CLSC configuration in the transition process.
Originality/value
This study proposes the framework for understanding and guiding the evolutionary process of CLSC development. Its uniqueness lies in the integration of concepts from innovation and evolutionary theories coming from industrial dynamics and SCM literature streams.
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Christopher Amaral, Ceren Kolsarici and Mikhail Nediak
The purpose of this study is to understand the profit implications of analytics-driven centralized discriminatory pricing at the headquarter level compared with sales force price…
Abstract
Purpose
The purpose of this study is to understand the profit implications of analytics-driven centralized discriminatory pricing at the headquarter level compared with sales force price delegation in the purchase of an aftermarket good through an indirect retail channel with symmetric information.
Design/methodology/approach
Using individual-level loan application and approval data from a North American financial institution and segment-level customer risk as the price discrimination criterion for the firm, the authors develop a three-stage model that accounts for the salesperson’s price decision within the limits of the latitude provided by the firm; the firm’s decision to approve or not approve a sales application; and the customer’s decision to accept or reject a sales offer conditional on the firm’s approval. Next, the authors compare the profitability of this sales force price delegation model to that of a segment-level centralized pricing model where agent incentives and consumer prices are simultaneously optimized using a quasi-Newton nonlinear optimization algorithm (i.e. Broyden–Fletcher–Goldfarb–Shanno algorithm).
Findings
The results suggest that implementation of analytics-driven centralized discriminatory pricing and optimal sales force incentives leads to double-digit lifts in firm profits. Moreover, the authors find that the high-risk customer segment is less price-sensitive and firms, upon leveraging this segment’s willingness to pay, not only improve their bottom-line but also allow these marginalized customers with traditionally low approval rates access to loans. This points out the important customer welfare implications of the findings.
Originality/value
Substantively, to the best of the authors’ knowledge, this paper is the first to empirically investigate the profitability of analytics-driven segment-level (i.e. discriminatory) centralized pricing compared with sales force price delegation in indirect retail channels (i.e. where agents are external to the firm and have access to competitor products), taking into account the decisions of the three key stakeholders of the process, namely, the consumer, the salesperson and the firm and simultaneously optimizing sales commission and centralized consumer price.
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Ida Gremyr, Andrea Birch-Jensen, Maneesh Kumar and Nina Löfberg
The purpose is to understand how the role of quality functions might evolve amidst digitalisation and an increased focus on services. This study focuses on customer feedback and…
Abstract
Purpose
The purpose is to understand how the role of quality functions might evolve amidst digitalisation and an increased focus on services. This study focuses on customer feedback and how it can function as activation triggers for developing absorptive capacity, as well as how it relates to the value creation processes.
Design/methodology/approach
Following a qualitative research design, the authors gathered primary data from interviews with quality managers at 17 UK and Swedish firms and triangulated it with secondary information from the firms' web pages.
Findings
The findings show that customer feedback-based activation triggers can support development of absorptive capacity in the quality function if there are established processes for acting on customer feedback. This is often the case for codified feedback, which normally concerns products. However, digitalisation offers new opportunities of engaging in value co-creation, and firms need to develop digital capabilities to manage new technologies and data analytic tools. For personalised feedback (the main category of service-related feedback), established processes are missing.
Originality/value
This study work contributes to knowledge about how quality functions respond to customer feedback on both products and services. It clarifies why the quality function sometimes struggles to contribute to service quality as much as to product quality. From a theory development perspective, the authors contribute to understanding customer feedback-based activation triggers, how they lead to development of absorptive capacity and their relation to value co-creation on a functional level.
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Elisabetta Savelli, Laura Bravi, Barbara Francioni, Federica Murmura and Tonino Pencarelli
The paper aims at investigating whether and how the product designation of origin (PDO) label influences consumers' acceptance, attributes' perception and purchase intention of…
Abstract
Purpose
The paper aims at investigating whether and how the product designation of origin (PDO) label influences consumers' acceptance, attributes' perception and purchase intention of PDO foods.
Design/methodology/approach
The study employs an experimental lab study based on the affective test of acceptance methodology with a nine-point hedonic scale. Three PDO foods are compared with similar non-PDO samples concerning cheese, cured ham and olive oil categories.
Findings
The presence of PDO labels enhances the consumers' acceptance as well as their perception of sensory attributes. A critical role of the brand name as an enhancer of consumer acceptance also emerges, highlighting the relationship between brand-name and PDO label.
Research limitations/implications
The main limitation is related to the lab study methodology, which employs a small number of participants and occurs far from a “normal” situation of consumption. The acceptance test, moreover, does not provide explanations about motives underlying the differences in consumers' perception and preferences.
Practical implications
Practical implications are suggested for food companies concerning the management of both PDO labels and brand strategies and the product's properties that could improve the sensory perception of consumers and their overall product's acceptance.
Originality/value
The study contributes to the debate on consumer behaviour towards PDO foods by adding evidence about the positive influence of such a certification on individual preferences on the basis of a sensory methodology that has been little employed for studying the domain of product certifications.
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Cathy Zishang Liu, Xiaoyan Sharon Hu and Kenneth J. Reichelt
This paper empirically examines whether the order of liability and preferred stock accounts presented on the balance sheet is consistent with how the stock market values their…
Abstract
Purpose
This paper empirically examines whether the order of liability and preferred stock accounts presented on the balance sheet is consistent with how the stock market values their riskiness.
Design/methodology/approach
This paper measures a firm’s riskiness with idiosyncratic risk and employs the first-difference design to test the relation between idiosyncratic risk and the order of current liabilities, noncurrent liabilities and preferred stock, respectively. Further, the paper tests whether operating liabilities are viewed as riskier than financial liabilities. Finally, the authors partition their sample based on the degree of financial distress and investigate whether the results differ between the two subsamples.
Findings
The paper finds that current liabilities are viewed as riskier than noncurrent liabilities and preferred stock is viewed as less risky than current and noncurrent liabilities, consistent with the ordering on the balance sheet. Further, the paper finds that operating liabilities are viewed as riskier than financial liabilities. Finally, the authors find that total liabilities and preferred stock (redeemable and convertible classes) are viewed as riskier for distressed firms than for nondistressed firms.
Originality/value
The authors thoroughly investigate the riskiness of several classes of claims and document that the classification of liabilities and preferred stock classes is relevant to common stockholders for assessing their associated risk.
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Andrew Ebekozien, Clinton Aigbavboa, Mohamad Shaharudin Samsurijan, Ahmad Salman and Godspower C. Amadi
The organised self-help approach successfully enhances urban low-income earners' (LIE) homeownership in some developing countries. The technique can enhance urban resilience for…
Abstract
Purpose
The organised self-help approach successfully enhances urban low-income earners' (LIE) homeownership in some developing countries. The technique can enhance urban resilience for sustainable LIE homeownership. There is a paucity of studies concerning sustainable homeownership for Nigeria's urban LIE through a self-help approach. The study investigated the housing needs of the urban LIE via organised self-help mechanisms and how the same can enhance urban resilience for sustainable homeownership in the Ancient City of Benin, Nigeria.
Design/methodology/approach
Given the unexplored nature of the issue, 20 face-to-face interviews were conducted with experts and analysed through a thematic approach.
Findings
Findings identified eleven main barriers faced by the urban LIE. This includes the absence of government housing policy, funding frameworks, urban land scarcity, high property development costs, naira devaluation, high-interest rates, inflation, bribery and corruption, lax mortgage sub-sector, high cost of infrastructure, and government bureaucracy.
Originality/value
This study will contribute to pioneering the role of organised self-help mechanisms in urban resilience for sustainable LIE homeownership in developing cities via a qualitative approach. Also, findings would significantly contribute to developing countries' sustainable housing and urban resilience literature.
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Mohammad B. Hamida, Hilde Remøy, Vincent Gruis and Tuuli Jylhä
The application of circular building adaptability (CBA) in adaptive reuse becomes an effective action for resource efficiency, long-lasting usability of the built environment and…
Abstract
Purpose
The application of circular building adaptability (CBA) in adaptive reuse becomes an effective action for resource efficiency, long-lasting usability of the built environment and the sped-up transition to a circular economy (CE). This paper aims to explore to which extent CBA-related strategies are applied in adaptive reuse projects, considering enablers and obstacles.
Design/methodology/approach
A stepwise theory-practice-oriented approach was followed. Multiple-case studies of five circular adaptive reuse projects in The Netherlands were investigated, using archival research and in-depth interviews. A cross-case analysis of the findings was deductively conducted, to find and replicate common patterns.
Findings
The study revealed that configuration flexibility, product dismantlability and material reversibility were applied across the case studies, whereas functional convertibility and building maintainability were less applied. Low cost of material reuse, collaboration among team members and organisational motivation were frequently observed enabling factors. Lack of information, technical complexities, lack of circularity expertise and infeasibility of innovative circular solutions were frequently observed obstacles to applying CBA.
Practical implications
This paper provides practitioners with a set of CBA strategies that have been applied in the real world, facilitating the application of CBA in future adaptive reuse projects. Moreover, this set of strategies provides policymakers with tools for developing supportive regulations or amending existing regulations for facilitating CE through adaptive reuse.
Originality/value
This study provides empirical evidence on the application of CBA in different real-life contexts. It provides scholars and practitioners with a starting point for further developing guiding or decision-making tools for CBA in adaptive reuse.
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