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The purpose of this paper is to establish the mediating role of local government delivery system (here after delivery system) in the relationship between local governance (hereafter, governance) and financial distress of local governments in Uganda.

This study is correlational and cross-sectional. It uses a questionnaire survey on a sample of 109 local governments (districts) of Uganda. The data are analysed using SPSS, partial least squares structural equation modelling and Jose’s MedGraph.

Results indicate that government delivery system mediates the relationship between governance and financial distress. Delivery system in terms of capacity development and community participation causes positive variances in local government’s financial distress. Also, governance in terms of political clientelism significantly contributes to financial distress more than oversight mechanisms and audit quality. The study finds that delivery system causes more variance in financial distress than governance.

This study applies the new public management and network governance theory and tests the efficacy of delivery system and governance on financial distress in one-go and succeeded in explaining financial distress of local government using Uganda as the setting; the authors join previous scholars that root for multi-theoretical approaches. Also, this study’s design has allowed for the consideration of more than simply the main effects of governance and delivery systems by exploring the mediating role of delivery systems in the link between governance and financial distress. As such, the authors may now have a more accurate and detailed description of the relationships between governance, delivery system and local government financial distress.

The purpose of this paper is to illustrate how information technology (IT) governance supports the process of enterprise risk management (ERM). In particular, the paper illustrates how the Control Objectives for Information and related Technology (COBIT) framework helps a company reach its objectives by integrating and supporting the Enterprise Risk Management by the Committee of Sponsoring Organizations (COSO ERM) framework.

This paper explains how the integration between the two frameworks (COSO ERM and COBIT 5) can represent, for any organization, a good way to achieve the objectives of internal control and risk management and, more generally, corporate governance.

The paper identifies some gaps in the COSO ERM and illustrates how the COBIT framework facilitates the implementation of an adequate system of internal control.

The originality of the work presented here is in analyzing the COBIT 5 together with the COSO ERM framework. This paper highlights that is not enough to apply only an internal control framework for achieving the risk management and internal control system objectives. An IT governance framework, such as COBIT 5 is proposed as a tool that support risk management in order to develop an adequate system of internal control.

The purpose of this paper is to present the contemporary understanding and emerging structural models of organisational governance of public hospitals in order to provide evidence-based guidance to countries that are reforming their public hospital governance structures in line with best practice.

The paper uses the structural dimension of Cooper, Fusarelli and Randall’s policy model and institutional theory to review the legislative frameworks of four model countries supported by extant literature.

The paper conceptually distinguishes health system governance and organisational governance in the health system. It further visualises the emerging alternative legislative models of organisational governance and a hierarchy of governors applicable to public hospitals.

The paper provides critical knowledge for understanding organisational governance within health system governance framework and develops tools that can be used in reforming institutional mechanism of organisational governance of public hospitals.

Institutional governance theory is used to explain voluntary corporate greenhouse gas (GHG) reporting in the context of a market governance system in the absence of climate change public policy. This paper seeks to hypothesise that GHG reporting is related to internal organisation systems, external privately promulgated guidance and EU ETS trading.

A two‐stage approach is used. The initial model examines whether firms' GHG disclosures are associated with internal organisation systems factors: environmental management systems (EMS), corporate governance quality and environmental management committees as well as external private guidance provided by the Global Reporting Initiative (GRI) and the Carbon Disclosure Project (CDP) for 187 ASX 300 firms. EU ETS trading is also included. Determinants of the extent and credibility of GHG disclosure is examined in the second stage where an index constructed from the GHG reporting standard “ISO 14064‐1” items for a sub‐sample of 80 disclosing firms as the dependent variable.

Firms that voluntarily disclose GHGs have EMSs (uncertified and certified), higher corporate governance quality and publicly report to the CDP, tend to be large and in the energy and mining and industrial sectors. The credibility and extent of disclosures are related to the existence of a certified EMS, public reporting to the CDP, and use of the GRI. Firms that disclose more credible information are more likely to be large and in the energy and mining, industrial and services sectors.

The paper shows that some proactive but pragmatic Australian firms are disclosing their GHGs voluntarily for competitive advantage in the current market governance system in the absence of public policy.

The purpose of this paper is to examine the changes in governance structures that evolved as reverse logistics systems were developed. The UK car crash repair sector was used as a case study.

The value‐chain governance framework proposed by Gereffi et al. was used to assess changes in governance systems as firms developed a reverse logistics flow and three transactional variables were used to determine how supply chains are governed and change. Both forward and reverse product flows for two supply chains were assessed to determine what changes in governance of the supply chain took place as reverse logistics operations developed.

The authors' analysis documents how relationships between the focal firm and other supply chain members altered as the new reverse logistic system developed. The modular governance structure that developed through increased supplier capability coupled with higher levels of knowledge and information codifications were shown to be important factors in the establishment of a reverse logistics system. Supplier capability, knowledge codification and transaction complexity were found to be moderating variables which can enrich the traditional models on buyer‐supplier relationships based on trust and ongoing commitment.

Reverse logistics continues to be a major issue for business. Our findings provide an insight into some of the governance and knowledge management developments as focal firms respond to growing pressures to re‐use materials and parts. In total, six factors were identified which can assist firms in assessing their current governance structures and the development of a pathway for implementation of reverse logistics.

Little research has been conducted into supply chain governance structures needed to manage the new reverse logistics systems for the re‐use, recycling and repair of products.

This research aims to investigate the impact of the collaborative governance mechanism on the implementation of rural governance information systems in developing countries. By integrating institutional logic theory, affordance theory and social identity theory, the authors propose modeling grassroots officials' affordance perception process and exploring the importance of multi-identities’ information technology (IT) goals in affordance perception.

Through an exploratory case study, the authors identified three affordances of rural governance information systems and investigated the mechanisms influencing the perception of these affordances among grassroots officials. Next, the authors established a research model and collected 490 valid questionnaires from grassroots officials in China and analyzed the data using structural equation modeling (SEM).

The authors' study challenges previous assumptions by integrating institutional logic, affordance and social identity theories. The authors establish a perceived affordance path for rural governance information systems, recognize substitute effects among technological affordances and extend the theory to explain social factors influencing IT perception. The authors' findings suggest providing technical training for grassroots officials to enhance IT capabilities, and governments should prioritize essential functionalities in rural governance information systems to optimize resources. Training on collaborative governance mechanisms can improve IT affordance perception, enhancing digital platform utilization in governance processes.

The study was conducted mainly in China, and therefore, the findings may not be universal to other developing countries. Researchers are therefore encouraged to test the proposal in locations with different rural cultures.

The paper includes implications for the development of IT perception in rural governance, the development of affordance perception theory and studying the relationship between IT goals and affordance perception.

Overall, this paper addresses the need to understand how grassroots officials perceive IT affordances in rural governance and study the relationship between multi-identities’ goals and affordance perception.

The purpose of this paper is to deepen the understanding of adaptive governance, which is advocated for as a manner to deal with dramatic changes in society and/or environment. To re-think the possible contributions of organizations and organization theory, to adaptive governance.

Based on social systems theory this study makes a distinction between “governance organizations” and “governance communities.” Organizations are conceptualized as the decision machines which organize and (co-)steer governance. Communities are seen as the social environments against which the governance system orients its operations. This study considers the adaptive mechanisms of organizations and reflect on the roles of organizations to enhance adaptive governance in communities and societies.

Diverse types of organizations can link or couple in different ways to communities in their social environment. Such links can enhance the coordinative capacity of the governance system and can also spur innovation to enable adaptation. Yet, linking with communities can also slow down responses to change and complexify the processes of deliberation in governance. Not all adaptive mechanisms available to organizations can be used in communicating with communities or can be institutionalized, but the continuous innovation in the field of organizations can inspire continuous testing of small-scale adaptive mechanisms at higher levels. Society can thus enhance its adaptive capacity by managing the role of organizations.

The harnessing of insights in organization theory and systems theory for improving understanding of adaptive governance. The finding that both experiment and coordination at societal level are needed, toward adaptive governance, and that organizations can contribute to both.

This paper builds on the “Law and Finance” theory and aims to examine the effect of the legal and institutional environment on the governance–performance relationship in the context of non-US firms. More precisely, it examines whether and how the country’s legal system and the level of investor protection interact with the firm-level corporate governance and affect firm performance.

The authors used the “G-Index” governance score developed by the Governance Metrics International rating for a sample of 12,728 firm-year observations from 23 countries over the 2009–2016 period.

The results show that the interaction between the country-level institutions and corporate governance system significantly affect the firm performance. In particular, the findings indicate that firms operating in common law countries tend to exhibit a positive valuation effect and higher performance than firms with a comparable corporate governance level operating in civil law countries. More precisely, the authors find that in common law countries, higher investor protection with enhanced corporate governance is associated with better firm performance. However, firms operating in civil law countries with weaker investor protection and a comparable corporate governance level tend to experience a negative valuation effect.

The findings suggest that the institutional and legal environment is crucial and important in determining the value-maximizing level of good governance practices. Managers and regulators should carefully analyze the cost of these initiatives and should coordinate it with the needs of the country’s legal system. The challenge for the company will be how to adjust its corporate governance strategy according to the needs and demands of the country’s legal system in which the company operates to improve its performance. The regulators should ensure a fit between the specifics of the national legal and institutional environment and corporate governance standards and practices.

This paper aims to present evidence that the adoption by Japanese firms of a shareholder‐oriented, more transparent, system of corporate governance creates greater corporate value in comparison to the traditional system of statutory auditors.

This study uses panel data of Tokyo Stock Exchange listed companies to explore the potential convergence of corporate governance systems by examining the value differences between Japanese firms selecting one of two legal systems. A random‐effects panel regression is used to analyze the data. The dependent variable of the study is Tobin's q.

This paper finds a significant increase in firm valuation, as measured by Tobin's q, for companies that adopted the alternative of the Anglo‐American type committee system, even though comparative financial data show little difference in performance after adoption. This finding is attributed to signal sending, as companies that adopted this system signal a choice toward transparency via monitoring by outsiders, suggesting a reduction of asymmetric agency costs. The paper finds that the committee corporate governance system produces higher corporate value than the traditional auditor governance. The study also finds evidence that it is the signal provided by adoption of the credible system, not the financial performance variables, that accounts for this difference.

The data support the central idea that corporate governance laws have consequences and encourages additional study of the effects of corporate signaling and the consequences of increased shareholder orientation of agents.

This paper takes advantage of the unique opportunity afforded by Japan's introduction of a dual system of corporate governance in 2003, when companies were offered a choice to adopt a new system of outside directors, which is a shareholder‐oriented committee system. It establishes that firm value can be created by a signal that corporate governance provides.

This study aims to analyse the effect of borrower’s countries on syndicated loan spreads, featuring countries according to institutional factors, namely, financial systems and corporate governance systems.

This study is an empirical investigation based on a unique sample of more than 85,000 syndicated loans from 122 countries. The paper uses standard and two-stage least squares regression analysis to test whether the types of financial and corporate governance systems affect loan spreads.

The paper finds that borrowers from countries with financial systems oriented towards the banking-based paradigm pay lower interest rate spreads than those from countries with financial systems oriented towards the market-based paradigm. In addition, there is evidence that borrowers from countries with more developed financial systems pay lower spreads. The results also show that borrowers from countries with an Anglo-Saxon governance system pay higher spreads than borrowers from countries with a Continental governance system.

This study does not consider potential promiscuous relationships that can arise at the ownership structure and governance level between banks and borrowers and may affect loan spreads.

This study suggests that financial and corporate governance systems are essential factors in the financial intermediation process. Furthermore, the evidence indicates that corporates with higher potential agency costs and higher potential information asymmetry are requested to pay higher spreads. Therefore, the opportunities to such corporates invest optimally tend to be scarcer.

The paper highlights the impact of institutional factors on the cost of financing, characterising the countries according to the type of financial system and the type of corporate governance system. The study finds that borrowers from countries with bank-based financial systems pay lower interest rate spreads than those from countries with market-based financial systems. The paper also highlights how the level of financial development affects the cost of financing. The paper focusses on non-financial firms, unlike financial firms, which have been the focus of several empirical studies on topics relating to the cost of funding and corporate governance.