Deriatives disclosure in corporate annual reports: bank analysts; perceptions of usefulness

Responding to mixed evidence on the decision-usefulness of annual report disclosures for derivative financial instruments to capital market participants, and concerns identified by practice, this paper examines usefulness in a direct study of user perceptions. Interviews with analysts from Australia’s four major banks reveal essential usefulness, limited by the disclosures’ failure to reflect companies’ actual use of derivatives throughout the period, and inability of users to understand companies’ off-balance sheet risk and risk management practices from information considered generic and boilerplate. The research complements and extends existing archival and survey research and provides new evidence suggesting low-cost ways for increasing usefulness. It supports the International Accounting Standards Board’s disclosure recommendations in its recent Discussion Paper: A Review of the Conceptual Framework for Financial Reporting, but, at the same time, highlights that for these proposed measures to be successful in relation to IFRS 7, they may need to address other issues. The research increases knowledge of the informational requirements of lenders, an important class of financial information user, and supports calls from practice for companies to improve their disclosure of material economic risks.

Open educational resources: Enhancing education provision and practice

Open educational resources (OERs), a disruptive technology, made their appearance in early 2002 as a promising tool for enhancing the quality of and access to education generally and higher education in particular. OERs were also perceived to have the potential to reduce costs by reusing learning materials. This brief draws on a study that reviewed the uptake of OERs and related activities in six institutions in Hong Kong, China; India; Malaysia; Pakistan; and Thailand.

Effects of methyl eugenol feeding on mating compatibility of Asian population of Bactrocera dorsalis (Diptera: Tephritidae) with African population and with B. carambolae

Males of some species included in the Bactrocera dorsalis complex are strongly attracted to methyl eugenol (ME) (1,2-dimethoxy-4-(2-propenyl) benzene), a natural compound occurring in a variety of plant species. ME feeding of males of the B. dorsalis complex is known to enhance their mating competitiveness. Within B. dorsalis, recent studies show that Asian and African populations of B. dorsalis are sexually compatible, while populations of B. dorsalis and Bactrocera carambolae are relatively incompatible. The objectives of this study were to examine whether ME feeding by males affects mating compatibility between Asian and African populations of B. dorsalis and ME feeding reduces male mating incompatibility between B. dorsalis (Asian population) and B. carambolae. The data confirmed that Asian and African populations of B. dorsalis are sexually compatible for mating and showed that ME feeding only increased the number of matings. Though ME feeding also increased the number of matings of B. dorsalis (Asian population) and B. carambolae males but the sexual incompatibility between both species was not reduced by treatment with ME. These results conform to the efforts resolving the biological species limits among B. dorsalis complex and have implications for fruit fly control programs in fields and horticultural trade.

Deriving optimal competition in infrastructure procurement

Typically only a limited number of consortiums are able to competitively bid for Public Private Partnership (PPP) projects. Consequently, this may lead to oligopoly pricing constraints and ineffective competition, thus engendering ex ante market failure. In addressing this issue, this paper aims to determine the optimal number of bidders required to ensure a healthy level of competition is available to procure major infrastructure projects. The theories of Structure-Conduct-Performance (SCP) paradigm; Game Theory and Auction Theory and Transaction Cost Economics are reviewed and discussed and used to produce an optimal level of competition for major infrastructure procurement, that prevents market failure ex ante (lack of competition) and market failure ex post (due to asymmetric lock-in).

Models for engaging public-private partnerships in civil infrastructure projects: A case of ‘having your cake and eating it too’?

Public-Private Partnerships (PPP) are established globally as an important mode of procurement and the features of PPP, not least of which the transfer of risk, appeal to governments and particularly in the current economic climate. There are many other advantages of PPP that are claimed as outweighing the costs of PPP and affording Value for Money (VfM) relative to traditionally financed projects or non-PPP. That said, it is the case that we lack comparative whole-life empirical studies of VfM in PPP and non-PPP. Whilst we await this kind of study, the pace and trajectory of PPP seem set to continue and so in the meantime, the virtues of seeking to improve PPP appear incontrovertible. The decision about which projects, or parts of projects, to offer to the market as a PPP and the decision concerning the allocation or sharing risks as part of engagement of the PPP consortium are among the most fundamental decisions that determine whether PPP deliver VfM. The focus in the paper is on latter decision concerning governments’ attitudes towards risk and more specifically, the effect of this decision on the nature of the emergent PPP consortium, or PPP model, including its economic behavior and outcomes. This paper presents an exploration into the extent to which the seemingly incompatible alternatives of risk allocation and risk sharing, represented by the orthodox/conventional PPP model and the heterodox/alliance PPP model respectively, can be reconciled along with suggestions for new research directions to inform this reconciliation. In so doing, an important step is taken towards charting a path by which governments can harness the relative strengths of both kinds of PPP model.

Guaiac versus immunochemical tests: Faecal occult blood test screening for colorectal cancer in a rural community

Objective: To describe patient participation and clinical performance in a colorectal cancer (CRC) screening program utilising faecal occult blood test (FOBT). Methods: A community-based intervention was conducted in a small, rural community in north Queensland, 2000/01. One of two FOBT kits – guaiac (Hemoccult-ll) or immunochemical (Inform) – was assigned by general practice and mailed to participants (3,358 patients aged 50–74 years listed with the local practices). Results: Overall participation in FOBT screening was 36.3%. Participation was higher with the immunochemical kit than the guaiac kit (OR=1.9, 95% Cl 1.6-2.2). Women were more likely to comply with testing than men (OR=1.4, 95% Cl 1.2-1.7), and people in their 60s were less likely to participate than those 70–74 years (OR=0.8, 95% Cl 0.6-0.9). The positivity rate was higher for the immunochemical (9.5%) than the guaiac (3.9%) test (χ2=9.2, p=0.002), with positive predictive values for cancer or adenoma of advanced pathology of 37.8% (95% Cl 28.1–48.6) for !nform and 40.0% (95% Cl 16.8–68.7) for Hemoccult-ll. Colonoscopy follow-up was 94.8% with a medical complication rate of 2–3%. Conclusions: An immunochemical FOBT enhanced participation. Higher positivity rates for this kit did not translate into higher false-positive rates, and both test types resulted in a high yield of neoplasia. Implications: In addition to type of FOBT, the ultimate success of a population-based screening program for CRC using FOBT will depend on appropriate education of health professionals and the public as well as significant investment in medical infrastructure for colonoscopy follow-up.

Transitions to K–12 Education Systems: Experiences from Five Case Countries

Currently more than 140 countries offer, or are in transition to, what has become the international norm for pre-tertiary education, namely a kindergarten through grade 12 (K–12) school education system—kindergarten because of the preponderance of research asserting the long-term learning and social benefits of school readiness programs; and 12 years of primary and secondary schooling due to the time needed to acquire the knowledge and skills sets necessary for 21st century university education, postsecondary training, or decent1 work. This desk study2 conveys the experiences of four countries and one province in preparing and implementing a transition to a K–12 school education system: Mongolia, Ontario (Canada), the Philippines, Poland, and Turkey. Looking at K–12 transition in countries and systems that vary as broadly as this set enables common threads to stand out and divergent options to be noted.

Integrated Information and Communication Technology Strategies for Competitive Higher Education in Asia and the Pacific

Developing countries in Asia and the Pacific are rapidly reaching middle income economic status. Their competitive advantage is shifting from labor-intensive industries and natural resource-based economies to knowledge-based economies that innovate and create new products and services. Early adoption of information and communication technology (ICT) can allow countries to leapfrog over the traditional development pathway into production of knowledge-based products and services. Since higher education institutions (HEIs) are considered a primary engine of economic growth, adoption of ICT is imperative for securing competitive advantage. ICT is thought to be one of the fastest growing industries and is frequently heralded as a transforming influence on higher education systems globally and, consequently, is enhancing the competitive advantage of countries. It is increasingly becoming evident that an institution-wide ICT strategy covering all evolving functions of competitive HEIs is necessary. Such a system may be designed as an integrated platform but implemented in phases.

Innovations in Knowledge and Learning for Competitive Higher Education in Asia and the Pacific

Competitive advantage in a knowledge economy is dependent on the ability to innovate and create new knowledge products and services, and to find innovative applications for them. Higher education institutions in Asia and the Pacific, modelled on industrial age thinking that demands excellence in routinized capacities, lack the ability to innovate and create new knowledge enterprises. The transition to a knowledge economy is affecting the purpose, content, pedagogy, and methodologies of higher education. Nontraditional stakeholders such as professional bodies, industry experts, think tanks, research institutes, and field experts/practitioners are now involved not only in planning but in providing higher education services. The traditional model of “knowledge versus skills” is no longer relevant. Higher education programs must consider lived experiences, contextual knowledge, and indigenous knowledge.

Engagement with superannuation: Is there really a gender gap?

A recent report produced by Suncorp Bank and The association of Superannuation Funds of Australia (ASFA) found women were less engaged with their superannuation than men (2012). Given that women have lower superannuation balances than men, a lack of engagement could leader to a further reduction in their ability to provide for themselves in retirement (Basu and Drew, 2009). Using a variety of measures of engagement, we find women are mostly as engaged as men. The main determinants of engagement continue to be financial literacy, age and value of superannuation.

Challenges in developing a new regional road safety strategy for ASEAN

In 2011, more than 75,000 people died in road crashes in the ten member countries of the Association of South East Asian Nations (ASEAN) and many times this number sustained long term injuries. Improving road safety outcomes in ASEAN is not only important for the welfare and economic benefit of these countries, but given that a significant proportion of the world's population lives in ASEAN, it will strongly influence whether the aims of the United Nations Decade of Action for Road Safety and the Sustainable Development Goals are reached. Following the ASEAN Senior Transport Officials Meeting in May 2011, the Secretariat requested the Asian Development Bank (ADB) to provide assistance to improve road safety in ASEAN. In response, ADB, funded by the Japan Fund for Poverty Reduction, has funded a package of action to improve road safety in ASEAN, including the development of a new regional road safety strategy. The diversity of the member nations of ASEAN poses significant challenges for the development of the strategy. For example, the road fatality rates per 100,000 population in Malaysia and Thailand are about 5 times greater than in Singapore. In addition, the importance of particular road safety issues varies across the ASEAN countries and for countries which are undergoing rapid motorization, the order of importance may change over the life of the strategy. The development of the ASEAN Regional Road Safety Strategy has adopted the five pillars of road safety of the UN Decade of Action but focused on those aspects which are most relevant at the regional level and where a regional approach will support and facilitate actions taken by individual countries. A draft ASEAN Regional Road Safety Strategy document has been prepared and consultation will further refine its directions and contents. The paper will describe the processes undertaken to identify issues and solutions, the measurement of road safety maturity and behavioural risk factors, and the overall structure and themes of the strategy.

Modeling multi-stakeholder multi-objective decisions during public participation in major infrastructure and construction projects: A decision rule approach

Major infrastructure and construction (MIC) projects are those with significant traffic or environmental impact, of strategic and regional significance and high sensitivity. The decision making process of schemes of this type is becoming ever more complicated, especially with the increasing number of stakeholders involved and their growing tendency to defend their own varied interests. Failing to address and meet the concerns and expectations of stakeholders may result in project failures. To avoid this necessitates a systematic participatory approach to facilitate decision-making. Though numerous decision models have been established in previous studies (e.g. ELECTRE methods, the analytic hierarchy process and analytic network process) their applicability in the decision process during stakeholder participation in contemporary MIC projects is still uncertain. To resolve this, the decision rule approach is employed for modeling multi-stakeholder multi-objective project decisions. Through this, the result is obtained naturally according to the “rules” accepted by any stakeholder involved. In this sense, consensus is more likely to be achieved since the process is more convincing and the result is easier to be accepted by all concerned. Appropriate “rules”, comprehensive enough to address multiple objectives while straightforward enough to be understood by multiple stakeholders, are set for resolving conflict and facilitating consensus during the project decision process. The West Kowloon Cultural District (WKCD) project is used as a demonstration case and a focus group meeting is conducted in order to confirm the validity of the model established. The results indicate that the model is objective, reliable and practical enough to cope with real world problems. Finally, a suggested future research agenda is provided.

DNP3 network scanning and reconnaissance for critical infrastructure

The Distributed Network Protocol v3.0 (DNP3) is one of the most widely used protocols to control national infrastructure. The move from point-to-point serial connections to Ethernet-based network architectures, allowing for large and complex critical infrastructure networks. However, networks and con- figurations change, thus auditing tools are needed to aid in critical infrastructure network discovery. In this paper we present a series of intrusive techniques used for reconnaissance on DNP3 critical infrastructure. Our algorithms will discover DNP3 outstation slaves along with their DNP3 addresses, their corresponding master, and class object configurations. To validate our presented DNP3 reconnaissance algorithms and demonstrate it’s practicality, we present an implementation of a software tool using a DNP3 plug-in for Scapy. Our implementation validates the utility of our DNP3 reconnaissance technique. Our presented techniques will be useful for penetration testing, vulnerability assessments and DNP3 network discovery.

On information technology competencies for collaborative organizational structures

There is an uptake of organizations involvement in collaborative organizational structures (COS). As the nature and level of information technology (IT) investment in COS will be similar, the COS IT competencies will leverage the IT investments to create the collaborative rent generating potential of the COS, which would then improve the business value of the COS members. Consistent with the resource-centric views of the firm, we suggest that the COS members need to contribute their managed IT competencies to their COS, whose synergies would create COS IT competencies. We suggest three key IT competencies for COS; proactive top management decision synergy, collaborative and agile IT infrastructure, and cross-functional tactical management synergy. Using survey data, we find evidence of a positive association between these COS IT competencies and the collaborative rent generating potential of the COS. We also find a positive association between the collaborative rent generating potential of the COS and the business value of the COS members. The results suggest that developing COS IT competencies add value to a COS and its members. This study provides guidance for organizations looking to leverage their involvement in a COS.

Government cracks down on tax avoidance through foreign investment rules

The Turnbull Government announced yet another measure aimed at addressing tax base erosion and profit shifting, placing additional requirements on new foreign investment under the existing national interest test. In the last 12 months Australia has seen various reforms within the tax system. However, this latest initiative is a shift as it links Australia’s tax regime with its foreign investment regime. It sends a broader signal to the market that Australia will look beyond the collection of tax revenues to a consideration of national interest.