• The Journal of Asian Finance, Economics and Business
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• v.4 no.2
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• pp.55-68
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• 2017

This research is carried out to investigate the relationship between sustainability practices and performance in a financial sense for Malaysian Oil and Gas sector. Objectives include to study the state of sustainability disclosure among Malaysian oil and gas companies, to understand if companies that practiced sustainability had better performances to their financial bottom-line and to conduct a data analysis to understand the relationship between Environmental, social and governance performance [represented by the acronym ACSI] and financial performance. Sustainability performance is measured using ACSI checklist, which is an adaptation of the GRI 3.0 by Global reporting initiative while financial performance was measured on financial and profitability parameters namely EBITDA, EPS and PE ratio. Secondary data sources are used which were then converted into a rating scale to develop quantitative data. SPSS 21 is used for the analysis. The result shows that the majority of oil and gas companies in Malaysia had poor performance in terms of sustainability disclosure. On all three chosen profitability parameters, the companies that practiced sustainability were found to perform better than their counterparts that did not. Strong and significant relationship exists between sustainability practices and better financial performance.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.1
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• pp.9-17
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• 2020

This study examines the effect of financial reporting opacity and audit quality on stock price crash risk using listed firms in Japan. This study is the first research to examine the effect of financial reporting opacity on crash risk using a Japanese listed company. Furthermore, the effect of audit quality on crash risk is verified. High level auditors can mitigate crash risk by playing a role as a corporate governance device mechanism to reduce agency costs. We use a logistic regression and linear regression model to test whether financial reporting opacity and audit quality affect crash risk using listed firms in the Japanese stock exchange market during the fiscal years 2015 January through 2017 February. The results of this study suggest that the financial reporting opacity variable shows a positive relationship with CRASH, which states that a firm with more opaque financial reporting increases crash risk. The results suggest also that the firms audited by Big4 auditors experience less crash risk, implying that the audit quality in Japan can be one of the factors mitigating firm's crash risk. This study provides implications for financial reporting and audit quality to external stakeholders who wants to avoid losses.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.10
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• pp.531-541
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• 2020

This study aims to determine the nature of the association between dividend policy and a corporation's financial performance in emerging countries, as well as the main variables that may have an effect on financial performance. The study included 92 industrial and service sector companies listed on the Amman Stock Exchange (ASE) during the period from 2015 to 2019. The study used Panel Data Analysis and cross-sectional time-series data and simple and multiple linear regression models. A multiple regression model was also developed in order to test whether guess factors may have a possible impact on financial performance (such as Dividend Yield, Dividend Pay-out Ratio, Firm Size, Leverage Ratio, Current Ratio). The data was collected from the annual reports and information that was available on the ASE website covering the period from 2015 to 2019. The results detect a strong relation between DY, DPR, and FSIZE variables that explain firm performance. Also leverage ratio is negatively and significantly associated with ROA and AOE. Moreover, no relations were detected between current ratio and financial performance. The study's conclusion is that dividend policy explains a lot of a company's financial performance, meaning that the dividend policy has a statistically significant impact on company financial performance.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.1
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• pp.225-235
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• 2021

The objective of this study is to identify the effects of ethical values reflected on zakat and Corporate Social Responsibility (CSR) on the financial performance of sharia banking in Indonesia. This study contributes to the Indonesia Financial Service Authority (Otoritas Jasa Keuangan (OJK) policies concerning the need for implementing ethical values in sharia banking and other sharia financial entities based on the philanthropic model, this study posits that firms undertaking zakat and charity are ethical firms. The population of this study is 8 sharia banks listed on the Indonesia Stock Exchange (IDX) in 2014-2018. The result of the study showed that zakat disclosure significantly affected financial performance. Moreover, ethical values that were proxied by CSR disclosure did not significantly affect financial performance. The limitation of the study is the limited number of the sample; therefore, it is expected that the future research adds other sharia financial entities and adds the dimension of management, sustainability, product, and the environment as benchmarks of ethical values. The originality of this study offers an additional explanation of the relationship between ethical values and performance by investigating zakat and CSR disclosure which is a unique factor in Indonesia.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.7
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• pp.231-237
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• 2022

Intellectual Capital, a valuable intangible organizational asset, is primarily linked to a company's financial performance and is divided into three categories: human, structural, and relational capital. This paper investigates the impact of intellectual capital on the financial performance of selected Pakistani companies in the Information and Communication sector, as this sector is heavily reliant on intellectual capital. The data for 11 firms was gathered from the State Bank's Financial Statements Analysis of Companies Listed on the Pakistan Stock Exchange from 2015 to 2020. Pulić's (2004) Value Added Intellectual Coefficient (VAICTM) has been used to assess a company's IC efficiency. VAIC^TM and its components, the efficiency of intellectual capital, and the efficiency of capital employed are calculated. Financial performance is measured through return on assets, return on capital employed, and asset turnover ratio. Multiple regression, fixed-effect, and random-effect Panel Data estimation are used in the empirical study. The findings suggest that intellectual capital efficiency has a large impact on major profitability metrics, but little effect on company productivity. It can be inferred from the results that the companies must invest in advanced technology, the latest machinery, and well-equipped offices to improve financial performance and productivity and gain a competitive advantage.

• The Journal of Asian Finance, Economics and Business
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• v.10 no.1
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• pp.209-221
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• 2023

A significant body of prior research on performance management systems (PMSs) either explains the components and the design of the systems or investigates the link between particular system/s and organizational functions, capabilities, or performance. In contrast, this study investigates the comprehensive use of PMSs and relates them to corporate financial and non-financial performance. Further, this study examines whether the association between PMSs and performance varies between industries or is moderated by the size of the company. Data was collected using a questionnaire that was sent to companies from different industries operating in Riyadh province, where the most important businesses in Saudi Arabia are located. A total of 152 usable responses were received. The results of this study revealed that companies use a variety of PMSs at a balanced level. The extent of each category of PMS use is associated with the extent of other PMS categories' use. However, the larger the company, the more PMSs it uses. Importantly, the results showed a positive and significant association between PMSs' extent of use and both financial and non-financial performance. This association was minimally moderated by the company size and industry for specific categories of PMSs and performance.

• Journal of Digital Convergence
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• v.19 no.1
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• pp.125-139
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• 2021

This study identifies the trend of Korean accounting researches on profit adjustment. We analyzed the abstract of accounting research articles published in Korean Citation Index (KCI) by using text mining technique. Among papers whose themes were profit adjustment, topics were divided into 4 parts: (i) Auditing and audit reports, (ii) corporate taxes and debt ratios, (iii) general management strategy of companies, and (iv) financial statements and accounting principles. Unlike the prediction that financial statements and accounting principles would be the main topic, auditing was analyzed as the most studied area. We analyzed topic trends based on the number of papers by topic, and could figure out the impact of K-IFRS introduction on profit adjustment research. By using Big Data method, this study enabled the division of research themes that have not been available in the past studies. This study enables the policy makers and business managers to learn about additional considerations in addition to accounting principles related to profit adjustment.

• Management Science and Financial Engineering
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• v.12 no.1
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• pp.35-64
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• 2006

This study empirically investigated cultural differences in the amount of information provided by management accounting information systems as well as the differences in organizational performance according to variations in the amount of information. Through cluster analysis, we classified sample firms into five organizational cultural types: Semi-innovative, innovative, bureaucratic, semi-bureaucratic and supportive. The results showed that in the semi-innovative firms, a greater amount of the traditional and advanced types of information is produced, while in bureaucratic firms, traditional information is much more provided than in the innovative, semi-bureaucratic and supportive firms. These results confirmed cultural differences in the amount of information produced. According to the results of this study, it was found that in organizational performance, the rankings of semi-innovative firms, which have the highest scores in the amount of information, are also the highest, and the performance scores in innovative firms are generally next to those of semi-innovative firms. Hence, it is concluded that there are cultural differences in the amount of information provided, and these differences affect organizational performance.

• Journal of Navigation and Port Research
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• v.35 no.2
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• pp.179-185
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• 2011

This paper aims to examine the use of the Balanced Scorecard in a not-for-profit organization (the Korea Shipping Association). The KSA has begun using the Balanced Scorecard paradigm in its strategic planning process. In this paper an overview is presented of the basic concepts of the Balanced Scorecard including the financial perspective, customer perspective, internal process perspective, and learning and growth perspective. The accounting system and its pros and cons of the KSA are then surveyed in terms of its performance evaluation. The application of the Balanced Scorecard approach to the KSA is discussed in detail. Implications in using the Balanced Scorecard are discussed. Finally, conclusions regarding the use of the Balanced Scorecard in a not-for-profit organization are presented. Through this paper, the comprehensive understanding of the performance evaluation for not-for-profit organizations as the KSA would be promoted.

• The Journal of Economics, Marketing and Management
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• v.2 no.1
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• pp.18-28
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• 2014

In this research we investigate the effect return on assets, return on equity, profit margin and earnings per share on working capital management. Current ratio and quick ratio used as proxies for working capital management. The research sample includes 451 year -firm of Tehran Stock Exchange (TSE) listed companies for period 2007-10. The multiple linear regressions were applied to test the research hypotheses. The results showed that, return on assets and earnings per share have a negative impact on working capital management. The results also show that earnings per share and profit margin positively associated with the firm performance.