The effects of perceived business uncertainty, external consultants and risk management on organisational outcomes

Purpose – The purpose of this paper is to investigate the relations between perceived business uncertainty (PBU), use of external risk management (RM) consultants, formalisation of RM, magnitude of RM methods and perceived organisational outcomes.
Design/methodology/approach – This paper is based on a questionnaire survey of members of the Chartered Institute of Management Accountants in the UK. Using AMOS 17.0, the paper tests the strength of the direct and indirect effects among the variables and explores the fit of the overall path model.
Findings – The results indicate significant and positive associations exist between the extent of PBU and the level ofRMformalisation, as well as between the level ofRMformalisation and the magnitude of RMmethods adopted. The use of externalRMconsultants is also found to have a significant and positive impact on the magnitude of RM methods adopted. Finally, both the extent of RM formalisation and the magnitude of RM methods adopted are seen to be significantly associated with overall improvement in organisational outcomes.
Research limitations/implications – The study uses perceptual measures of the level of business uncertainty, usage of RM and organisational outcomes. Further, the respondents are members of a management accounting professional body and the views of other managers, such as risk managers, who are also important to the governance process are not incorporated.
Originality/value – This study provides empirical evidence on the impact ofRMdesign and usage on improvements in organisational outcomes. It contributes to the RM literature where empirical research is needed in order to be comparable with the traditional management control system literature.

Thai hedging practices post-Asian financial crisis

This paper provides survey evidence captured from a sample of 113 respondents to a 2008 questionnaire sent to 344 companies in Thailand. The study examines Thai hedging practices following the Asian Financial Crisis of 1997. Thai companies, like their international counterparts, rely predominantly on matching and forward contracts to hedge transaction exposure. Thai companies, however, appear to be less rigorous when it comes to internal control and supervision of derivative activity. It is recommended that Thai companies improve their risk management practices by putting into place a documented hedging policy, which includes a requirement that senior staff be actively engaged in the risk management activities of the firm.

Towards a resilience management framework for complex enterprise systems upgrade implementation

The lack of knowledge of how resilience management supports enterprise system (ES) projects accounts for the failure of firms to leverage their investments in costly ES implementations. Using a structured-pragmatic- situational (SPS) case study research approach, this paper reports on an investigation into the resilience management of a large utility company as it implemented an ES upgrade. Drawing on the literature and on the case study findings, we developed a process-based resilience management framework that involves three strategies (developing situation awareness, demystifying threats, and executing restoration plans) and four organisational capabilities that transform resilience management concepts into practices. We identified the crucial phases of ES upgrade implementation and developed indicators for how different strategies and capabilities of resilience management can assist managers at different stages of an ES upgrade. This research advances the state of existing knowledge by providing specific and verifiable propositions for attaining a state of resilience, the knowledge being grounded in the empirical reality of a case study. Moreover, the framework offers ES practitioners a roadmap to better identify appropriate responses and levels of preparedness.

An era of governance through performance management - New Labour's National Health Service from 1999 to 2010

In 1997, the New Labour government inherited a ‘crisis’ in the UK National Health Service from the outgoing Conservative government. To address this perceived crisis, New Labour offered investment and, contrary to expectations, further neo-liberal health service reforms. In particular, the government extended the scope of performance management beyond financial numbers to encompass all aspects of managerial and organisational performance. Drawing on an analytics of government framework, this paper demonstrates how reforms were framed and given meaning through a framework of hierarchical accountability and centralised control. These panoptical arrangements relied on performance-management technologies of targets and ratings, which were linked to patient choice and a prospective funding system called ‘Payment by Results’. In turn, these top-down technologies disciplined knowledge, identity, and visibility and control of practice.

Chalk and cheese: Grounded theory case studies of the introduction and usage of activity-based information in two British banks

During the conduct of a research project into influences on the use of management accounting information, the use of activity-based techniques and information in two British banks was studied by the application of grounded theory principles. Juxtaposition of these two case studies reveals insights about the managers' significantly different experiences of ongoing applications, and the different outcomes of implementation that may arise, despite commonality in the organization and industry environment. This paper presents these two case studies, highlights the similarities and differences between them, and draws some conclusions about the causes of the differences. Factors that can be managed to achieve a greater use of these particular management accounting techniques, and the information they generate, are revealed. In particular, the findings suggest that the introduction of transfer charging between the bank's internal units highlights the need for activity-based techniques, and that education, communication and implementor support are vital, both for implementation success and for the widespread continuing use of the resultant applications. Further, between the two cases the greatest consensus was found in a common concern about the amount of detail in the databank and reports.

Managing social and intellectual capital to inform design and development of learning objects : issues, applications and technologies

The purpose of this paper is to present and analyse a case example of the development and implementation of a digital learnmg object in context with academic literature in the field. The paper's content describes the creation of a multimedia learning object from conception in 2004 to completion m 2006. Provided is the rationale and outcome of a strategically funded University project aimed at illuminating an industrial case study of good management and communication practices for use in classrooms throughout the entire university. This paper is intended to act as a guide for others. Our experience as academics in successful dialogue With educational technologists will inspire and inform those embarking on similar projects, and aspects of it will generalise to development and implementation Issues for other kinds of learning objects.

IT project implementation strategies for effective changes : a critical review

Information technology (IT) project implementation is still a grey area. There are differences of opinion among educators and practitioners on strategic emphasis and implementation methods. Implementation of IT projects, especially large IT projects, is synonymous to management of changes in an organisation, be it for altering the work culture or gaining competitive advantages. When formulating effective change management strategies to support the introduction of IT, it may be useful to integrate and use concepts and practices drawn from disciplines such as traditional project management, organisational/product innovation, and change management theory and practices. This paper examines project management and product innovation literature to identify change management concepts and practices.

Sustainable components of leadership effectiveness in organizational performance

Purpose – The objective is to describe a selection of sustainability components of leadership effectiveness in organizational performance.
Design/methodology/approach – The paper is based on a conceptual discussion. Findings – The paper contributes to descriptive models that address sustainability components of leadership effectiveness in organizational performance. The study highlights some common views that exist in the management literature and in prosperous management practice related to the direct impact of the relationship in organizational performance between leadership and effectiveness. In fact, it also highlights the critical or sceptical views of leadership effectiveness in organizational performance raised in the literature. Research limitations/implications – The paper contends that the actual leadership effectiveness in organizational performance varies over time and across contexts. At times, the achievement in organizational performance is the outcome of prosperous and conscious leadership, while it at other times may be the outcome of poor and deficient leadership. The topic at hand is positioned and limited to the interface that may describe and explain the connection between these two views. Furthermore, it is limited to corporate decision making and business behaviour in relation to leadership effectiveness and organizational performance. Practical implications – The leadership of an organization need not only to be successful today, but they also need to be successful tomorrow to stay in control and to flourish. Quality control and quality assurance are no longer enough for most organizations. They need to build an awareness of the sustainability components into processes of their management and business practices (i.e. internal and external ones) in order to be judged as successful in corporate decision-making and business behaviour in organizational performance in the long term. Originality/value – The principal contributions of the study are a model of timely leadership effectiveness, a model of contextual leadership effectiveness, and a typology of leadership effectiveness in corporate decision-making and business behaviour. These contributions provide theoretical and managerial ideas and insights into the sustainability components of leadership effectiveness in organizational performance.

Reflexive and critical views of leadership performance in corporate accomplishment : framework and illustration

Purpose – This paper intends to shed some light on the relationship between leadership performance and corporate accomplishment through the aid of complexity sciences. The objective is to describe leadership performance in corporate accomplishment using different teleological approaches.

Design/methodology/approach – The paper discusses the underlying criteria of the relationship between leadership performance and corporate accomplishment. Case illustration and narrative analogy are also provided.

Findings – The authors believe that the discussion highlights a potential downside of leadership performance in corporate accomplishment and its precision rarely highlighted in practice and literature.

Research limitations/implications – There is a reigning assumption in management practice that is based on the belief that a top-down approach of leadership performance in management and business practices is superior to the bottom-up approach. It proffers the assumed importance of strategic management issues, but neglects the knowledge, experience, competence and awareness inherent among employees at tactical and operational levels of business practices. It also proffers a mechanical view of employee performance and ignores the worth of the generation of ideas from subordinates in management and business practices that contribute to corporate achievements. Furthermore, it neglects the fact that it is not possible to know the future nor it is predictable.

Practical implications – The paper contends that the importance of top management tends to be inflated in respect to corporate achievements in the management/leadership literature. It also contends that it should be questioned as to whether the top management of corporations are largely responsible for the corporate results on which they attempt to justify their salaries and other benefits. Furthermore, the paper contends that it also should be questioned as to what extent corporate accomplishment may be derived from the performance of the top management in organizations.

Originality/value – The paper strives to contribute to the ongoing discussion of leadership performance in corporate accomplishment in various ways. The principal contributions are: a set of teleological sub-processes of leadership performance and a case illustration and narrative analogies of teleological leadership performance patterns, in respect to corporate accomplishment in management and business practices. These contributions provide theoretical and managerial ideas and insights to anticipate and avoid deficient or erroneous grounds of leadership performance evaluation in corporate accomplishment.

Managers' trust, reliance on control mechanisms and performance of subordinates

Many organisational scholars claim that interpersonal trust between managers and subordinates will bring about a number of positive organisational outcomes including enhanced job performance in subordinates. Recent management accounting literature implies that the trust's positive effect on performance is achieved by using trust-based controls such as 'social control'. While the former indicates a direct positive relationship between trust and performance, the latter indicates an indirect positive relationship between trust and performance through controls. Whether the trust's relationship with performance is direct or indirect is particularly important issue for management accountants because of the possible implications of the nature of the relationship for the design and exercise of management control in organisations.

How farmers learn : different approaches to change

This paper presents findings of an Australian study that investigated how farm- management teams go about learning to manage their businesses, including how they learn in order to make strategic and tactical changes. The Australian farming context is one of increasing complexity and risk that demands greater sophistication and professionalism in farm management. Learning is related to increased capacity to manage successful change. Farm-management teams employ four different learning patterns when making changes to their management and marketing practices. Learning patterns are termed local focussed, people focussed, outward looking and extensive networking. These patterns appear to be related to ongoing learning practices of farm-management teams as well as to learning for change. Local focussed management teams learnt for change by accessing only local sources (including government extension services) or a single individual. People focussed farm-management teams preferred to learn for change principally by seeking information and advice on a one-to-one basis from more than one person, most frequently experts, but often other farmers. The remaining farm businesses accessed a variety of sources. The group classed as extensive networkers accessed a large number of varied sources in learning for change. Others who used a less extensive range were termed outward looking.

Evaluating the efficiencies of university faculties : adjusted data envelopment analysis

Efficiency measurement is at the heart of most management accounting functions. Data envelopment analysis (DEA) is a linear programming technique used to measure relative efficiency of organisational units referred in DEA literature as decision making units (DMUs). Universities are complex organisations involving multiple inputs and outputs (Abbott & Doucouliagos, 2008). There is no agreement in identifying and measuring the inputs and outputs of higher education institutes (Avkiran, 2001). Hence, accurate efficiency measurement in such complex institutes needs rigorous research.

Prior DEA studies have investigated the application of the technique at university (Avkiran, 2001; Abbott & Doucouliagos, 2003; Abbott & Doucouliagos, 2008) or department/school (Beasley, 1990; Sinuany-Stern, Mehrez & Barboy, 1994) levels. The organisational unit that has control and hence the responsibility over inputs and outputs is the most appropriate decision making unit (DMU) for DEA to provide useful managerial information. In the current study, DEA has been applied at faculty level for two reasons. First, in the case university, as with most other universities, inputs and outputs are more accurately identified with faculties than departments/schools. Second, efficiency results at university level are highly aggregated and do not provide detail managerial information.

Prior DEA time series studies have used input and output cost and income data without adjusting for changes in time value of money. This study examines the effects of adjusting financial data for changes in dollar values without proportional changes in the quantity of the inputs and the outputs. The study is carried out mainly from management accounting perspective. It is mainly focused on the use of the DEA efficiency information for managerial decision purposes. It is not intended to contribute to the theoretical development of the linear programming model. It takes the view that one does not need to be a mechanic to be a good car driver.

The results suggest that adjusting financial input and output data in time series analysis change efficiency values, rankings, reference set as well as projection amounts. The findings also suggest that the case University could have saved close to $10 million per year if all faculties had operated efficiently. However, it is also recognised that quantitative performance measures have their own limitations and should be used cautiously.

Public libraries in Ballarat : 1851-1900

This thesis analyses the development of the Ballarat East Free Library (1859), the Ballarat Mechanics’ Institute Library (1859) and the City of Ballaarat Free Library (1878) within the broader context of public librarianship in Victoria between 1851-1900. Mechanics’ Institute libraries and free libraries represent the major derivatives of a nineteenth-century library model that emphasised the pursuit of lifelong learning, private reading and the enjoyment of genteel recreational facilities. The circumstances that led to the formation of an Institute and a free library in Ballarat in, 1,859 provide a unique opportunity to analyse the public library model for two reasons. These libraries were established in a remarkable goldfield city that enjoyed a number of economic and cultural advantages and secondly, the Ballarat Mechanics’ Institute Library and the Ballarat East Free Library experienced such spectacular growth that by 1880 they were two of the largest public libraries in Australia. However, it is argued that this growth cycle could not be sustained due to a combination of factors including low membership levels, limited funding for recurrent expenditure purposes, and heightened dissatisfaction with the book collections. Libraries began to stagnate in the late-1880s and the magnitude of this collapse in Ballarat, and throughout the colony, was subsequently confirmed with the publication of a national survey of Australian libraries in 1935. The ‘Munn-Pitt’ report found that public libraries had provided a better service in 1880 than at any other time in the next six decades. Four conclusions are drawn in this comparative analysis of the Ballarat Mechanics’ Institute Library, the Ballarat East Free Library, and to a lesser extent, the City of Ballaarat Free Library, between 1851-1900. Firstly, is it shown that the literature places considerable emphasis on the formation of public libraries but is far less critical of the long-term viability of the public library model as it evolved in Ballarat and throughout the colony in the nineteenth century. Secondly, whilst Ballarat and its library committees benefited from the city's prosperity and the entrepreneurial zeal of its pioneers, these same library committees were unable to overcome the structural flaws in the public library model or to dispel the widespread belief that libraries were elitist organisations. As a consequence, membership of the major libraries in Ballarat never exceeded 4% of the total population. Thirdly, it is acknowledged that an absence of records relating to book borrowing habits by individuals limits is a limiting factor, but this problem has been addressed, in part, by undertaking a comparative analysis of collection development policies, invoices, lists of popular authors and books, public comment and the book borrowing patterns of a number of comparable libraries in central Victoria. These resources provide a number of insights into the reading habits of library patrons in Ballarat in the late-nineteenth century. Finally, this thesis focuses on the management policies and practices of each library committee in Ballarat in order to move beyond the traditional explanation for the demise of nineteenth-century libraries and to propose an alternative explanation for the stagnation of public libraries in Ballarat in the mid-1880s. The traditional explanation for the demise of colonial libraries was the sudden reduction in government funding in the 1890s, whereas this thesis argues that a combination of factors, including the unresolved tensions with regard to libraries collection development policies, committee and municipal rivalry, and increasing conservatism, had already damaged the credibility of Ballarat’s libraries by the mid-1880s. It is argued that the intense rivalry between library committees resulted in an unnecessary duplication of services and an inadequate membership base. It is also argued that the increasingly conservative, un-cooperative and uninviting attitudes of these library committees discouraged patronage and as a direct consequence, membership and daily visitor rates of the free and Institute libraries in Ballarat plummeted by 80% between 1880-1900.

A note on work-related values, budget emphasis and managers’ organisational commitment

Managers’ work-related values (WRVs) have important implications for designing appropriate management accounting systems (MAS) in organisations. This paper examines the effect of the interaction between managers’ WRV for innovation and budget emphasis (an integral part of MAS) on their organisational commitment. The sample consisted of 109 managers from production, marketing and support departments within Australian manufacturing firms. Hypotheses were tested using both quantitative and qualitative data collected by a questionnaire survey and post-survey interviews. The results indicate that the adoption of low budget emphasis led to high organisational commitment when managers’ WRV for innovation was high, but not when managers’ WRV for innovation was low. The results also indicate that marketing managers held higher WRV for innovation than production managers. The post-survey interviews provide further insight into how a more customer- and competitor-focused subculture of marketing managers and a more technical- and efficiency-focused subculture of production managers may promote the difference in their WRV for innovation, and affect their attitudes towards budget emphasis. The findings of the study have implications for design of performance evaluation systems for managers in functionally differentiated organisations.

The role of environmental stewardship in nature conservation

This research explored the concept of environmental stewardship, creating an Environmental Stewardship Model and Performance Framework to enhance and fulfill the objectives of global biodiversity conservation. The model framework are social science approaches to assessing the effectiveness of community engagement in natural area planning and management for global biodiversity conservation objectives.