Relational ethics, global business and information and communications technology: interconnections explored

This paper explores, through practitioner experience and literature review, the impact of increased use of information technology in a global business environment on relational ethics. These three variables interact in a dynamic field that supports and challenges global managers in entrepreneurial endeavors. While information and communication technology (ICT) is rapidly expanding, the opportunities for global business and relational ethics affects, and is affected by, the interconnections. Drawing on experiences from daily practice, current literature, and insights gained from a relational approach to ethics, readers are invited to reflect on the ways that relationships influence ethical actions—and outcomes—and how they can be improved. This analysis exposes the critical issues, develops a general framework and makes recommendations for ways to work with and further develop the interconnections between global business, ICT and relational ethics.

Faculty collaboration in teaching global business, MBA teaching process

This presentation stems from global business teaching and ongoing research of an interactive group of professors working together in the service delivery of online MBA education at University of Maryland University College . A model for collaborative teaching by delocated professors who literally span the globe – from Australia to Canada, including the United Kingdom, both coasts of the USA, China and Dubai - is offered, underscoring the enormous mobility of knowledge and knowledge workers. Working together as a collaborating team, it was found that the "whole is greater than the sum of the parts". The teachers became more than a teaching team, they became a collaborating operation as they worked together in the sharing and development of materials, insights and knowledge. The model demonstrates how the teaching of global business in an MBA environment is really an exercise in the management of global service operations.

Business 2.0 : a novel model for delivery of business services

Web 2.0, regardless of the exact definition, has proven to bring about significant changes to the way the Internet was used. Evident by key innovations such as Wikipedia, FaceBook, YouTube, and Blog sites, these community-based Website in which contents are generated and consumed by the same group of users are changing the way businesses operate. Advertisements are no longer dasiaforcedpsila upon the viewers but are instead dasiaintelligentlypsila targeted based on the contents of interest. In this paper, we investigate the concept of Web 2.0 in the context of business entities. We asked if Web 2.0 concepts could potentially lead to a change of paradigm or the way businesses operate today. We conclude with a discussion of a Web 2.0 application we recently developed that we think is an indication that businesses will ultimately be affected by these community-based technologies; thus bringing about Business 2.0 - a paradigm for businesses to cooperate with one another to deliver improved products and services to their own customers.

Aligning global business information with ERP systems for improved performance

This paper is a discussion of research on the co-alignment of enterprise resource planning (ERP) systems capabilities and global business information requirements for improved performance. It is based on Structural Equation Modelling (SEM) analysis to establish that if these two constructs (ERP systems capabilities and global business information requirements) are co-aligned, improved global business performance is achieved. Research undertaken in this paper is based on a survey of global businesses that have implemented ERP systems. It extends the extant IT/IS alignment theories to ERP/Global business information requirements alignment. It makes an important contribution to the global business management information literature, by identifying and validating a set of important global business information requirements. This research also makes a novel contribution to the ERP systems literature by establishing a set of ERP systems capabilities that are useful for managing global business information requirements.

How dynamic capabilities drive performance in the Indian IT industry : the role of information and co-ordination

This study examines key issues and effects of capability management on a fast-growing area of knowledge-intensive global business services – IT outsourcing and offshoring. An exploratory study is undertaken of Indian companies providing complex process-oriented offshore IT services to their global customers. The analysis of the data related to the service provider side shows that developing dynamic capabilities is strongly driven by management and top-clients and results in the development of business processes and in establishing a strategic partnership with the client organization. Key findings are that information exchange and coordination are the key to a leveraging firm performance.

Dot.Com rise as an indicator of business growth and economic progress : a retrospective view on telecom and banking sectors in Australia and India

In the year 2000, businesses in banking and telecom sectors worldwide re-engineered their value chain by extending their services by adapting ebusiness through dot.com launches. Subsequently, their validity became questionable with the spate of dot.com crashes and the IT stock meltdown. This book takes a retrospective view, indicating that e-business, as measured by dot.com growth trends, was a positive indicator for business growth in the sector and overall economic growth as it stimulated the respective economies. The book details an inductive analysis that studied if dot.com floats suggested any positive market capitalisation (broadly regarded as a measure of profitability) for the organisations, within two sectors, in two economies. In addition, there is detailed content analysis of global business trends, drivers, theories, sector/economy perspectives, achieved progress and instrumental cases. The book will be a view in retrospect for economists, business analysts, students of ebusiness and management (particularly MBA); academics and researchers.

Leadership in e-business

Inevitably, the adoption of any new technology brings about change, but e-business is significantly different in that it completely shifts global business into a fast-paced electronic environment. The old notions of management are totally ineffective and a new style,focused on 'leadership', is required-but what style of leadership? To determine the most appropriate leadership style, senior managers from the top 250 e-commerce companies in Australia were selected and surveyed. Using a change management matrix, each manager was positioned within this framework. This model consists of a four-by-four matrix encompassing the scales of change and the styles of change management. The model covers the broad spectrum of levels of change that an organisation can go through. The authors found that within the most successful organisations, leaders had a distinctive style that facilitated. The appropriate change and established a conducive e-business environment. The data highlights those qualities such as visionary, consultative, ability to listen to others opinions, inclusive, risk taking, approachable, forward thinking, open to change, committed, determined, and the ability to communicate are required in leaders to lead an e-business transition.

The Asia Pacific literature review on internal auditing

Purpose – By conducting the 2006 global Common Body of Knowledge (CBOK) study, The Institute of Internal Auditors (IIA) attempts to better understand the expanding scope of internal auditing practice throughout the world. The purpose of this review of recent internal auditing literature in Asia Pacific is to document how the internal audit function is changing in response to the shifts in global business practices.
Design/methodology/approach – The literature in Asia Pacific is reviewed with a focus on developments that have implications for the expanded scope of internal auditing and the changing skill sets of internal auditors. This focus has implications for CBOK 2006.
Findings – The literature indicates a paradigm shift in the activities performed by internal auditors. The increasing complexity of business transactions, a more dynamic regulatory environment in Asia Pacific, and significant advances in information technology have resulted in opportunities and challenges for internal auditors. Although in 2004, The IIA responded to the changing organizational environment by updating the professional practices framework, more work needs to be done to prepare internal auditors for the expanded set of skills and knowledge required to perform audits of the future.
Originality/value – By presenting an overview of past literature in Asia Pacific and discussing the shifting demands on internal audit services, the researchers hope to motivate further research in the field.

International business : a managerial perspective

Provides students with the knowledge, insight and tools to function effectively as managers in this global business environment. Designed specifically for students in Australia and the Asia-Pacific region, this text contains many relevant local examples and applications.

Relational ethics in global commerce

This article identifies the fragility of relationships and ethical practices in the context of global commercial relationships and reflects upon the centrality of human relationships in commerce. The connections between people in global business are underpinned by ethical actions and outcomes and influenced by the degree that information and communication technology are part of the commercial relationship. Issues of trust, privacy, sharing, communication, security, anonymity, and learning emerge as relevant. This analysis positions relational ethics into the field of commerce, exposes the critical issues, and makes recommendations for ways to work with and further develop the link between commerce and relational ethics at the global level, especially in the light of developing technologies and the growth of e-commerce.

Accounting services and SMEs : an Australian study

Background: The observance of regulation has become a fundamental part of life for the conduct of business around the world. Governments and their duly appointed designates, acting in the interest of the collective public, have relied on regulation to moderate economic and social behaviour through the imposition and enforcement of rules. While it can be commonly accepted that such a prescriptive framework may be necessary for the achievement of desired economic and social outcomes, regulation does impose costs on society and on individual firms. These costs, which can include the costs for government departments to administer, the cost for firms to comply, and the multitude of indirect costs such as lost innovation and productivity or their interrelated opportunity costs, have received ample attention.

Accountants are key advisers to all businesses on all aspects of doing business, including regulation. As such, it is appropriate that ACCA has sponsored this study, which explores the regulatory issues facing SMEs and the critical role that accountants and other organisations play in helping SMEs be aware of, comply with and generally manage effectively the regulations that apply to their business.

ACCA has consistently argued for a balanced view to be taken on regulation, recognising that certain rules are necessary for the fair development of business and for employees’ rights. Yet at the same time, ACCA recognises that SMEs are likely to be disproportionately burdened by regulatory requirements and, as a consequence, it actively campaigns for fairness in regulation, recognising the issue as a significant factor in the success, productivity and growth of small businesses.

Overview: This study complements similar research commissioned by ACCA in the United Kingdom and Canada (Blackburn et al. 2006), with the aim of helping to provide a more international picture of the effects of regulation on adviceseeking by SMEs and how accountants can help SMEs meet their regulatory obligations.

The research commenced in November 2006 and was conducted over the Australian summer period 2006/7, among SMEs and accounting practices, as follows:

* telephone survey among 250 SMEs
* postal survey among 130 accounting practitioner firms.

Key findings: The SME section of this study revealed the following points.

* Most SMEs (between 70% and 80%), agreed that the regulations under review were reasonable, however there were significantly high levels of concern regarding:
* the number of regulations affecting their business (80%)
* staying up to date with changing regulations (80%)
* complexity of regulation or the ease of understanding regulations (77%)
* inequity, or the cost of regulation in proportion to the business (66%)
* duplication, or being required to provide the same information to more than one government department (55%).
* External accountants were the most common source of advice, being used by 72% of SMEs; this was followed by federal government agencies,    62%; trade or industry bodies, 61%; and a lawyer or solicitor, 53%.
* Highest levels of satisfaction with the advice provided were recorded for lawyers/solicitors (94%), banks (91%) and external accountants (90%).
* Overall, 80% of SMEs who had used accountants rated their service as excellent or good. Thirty per cent gave accountants an excellent rating.
* Accountants rated particularly well on the following attributes:
* the potential for a long-term relationship with the business (81% excellent/good)
* technical understanding of the regulatory requirements that apply to the business (79%)
* ability to meet the needs of the business (77%)
* understanding of the business of the SME and its operations (73%).

The survey of accounting practitioners produced the following information.
* The results indicate that SME firms with fewer than 10 employees are the main source of revenue for the respondent accounting practitioners.
* Virtually all accountants provide regulatory advice, primarily in the areas of taxation (particularly Goods and Services Tax, GST), and Do-It-      Yourself (DIY) superannuation requirements. These services provided the accountants with their largest business growth in the two years before the time of the survey.

Seventy-nine per cent of accountants referred their SME clients to external professional advisers. Their comments indicate (see Appendix 4) that some accountants consider their role to be as convenors or advisers for their SME clients. Importantly, according to the accountants, SME firms with fewer than 10 employees did not update their knowledge of regulatory requirements; they relied on their accountant for the right advice. The main types of external adviser to whom accountants referred their SME clients were lawyers and financial planners.

* Accountants expressed their concern regarding the complexity and amount of regulations affecting their SME clients.
* The accountants also stated that they would like to provide additional advice to their SME clients.
 
Confidence intervals – SME survey:  The survey sample size was 250 SMEs from the total of 1.2 million Australian SMEs. Any estimate of proportions agreeing or disagreeing with particular statements must be considered with respect to the margin of possible statistical error. Owing to the small sample size, generalising the results from this study to a wider population of SMEs may be constrained.

A 95% confidence interval of the sample mean for the following estimates based on a percentage agreement of 75% to a proposition with a sample size of 250 would be from 69.5% to 80.5%. The 95% confidence interval for estimates of any other value will diverge slightly in magnitude from the numbers given.

In general then we can be highly confident that the actual sample mean will be within approximately ± 5% of the figure given, with a survey of this size. Confidence intervals – acounting practitioner survey IBISWorld estimates reveal a figure of 9,222 accounting practices in Australia as at June 2006 (IBISWorld 2007). The sample size of 133 accounting practitioners gives a 95% confidence limit that the results reported from the mail-out survey are within the ± 5% confidence interval of the reported values.

Conclusions:  This report describes the results of two parallel surveys undertaken on the impact of business regulation on small and medium-sized enterprises in Australia and on the perceptions of accounting firms about the ways in which the regulatory impact on the SME sector drove their business.

The survey of SMEs provides empirical support for many of the concerns raised with the Regulation Taskforce, which reported to the Australian government in 2006. Many businesses are concerned about the volume and complexity of government legislation as it applies to their business. They are concerned that they are unable to keep up with new legislation and that there is apparent duplication of reporting requirements across the various tiers of government.

The survey of accountants revealed that accounting firms derive a significant proportion of their revenue from SMEs. While the SMEs are concerned with regulatory changes, the accountants surveyed reported that the major growth areas in their businesses were in what could be seen as traditional accounting areas of tax and superannuation. Some SMEs sought advice on areas such as employment law, environmental regulation and health and safety but it appears that many accountants refer their clients to specialists in these areas. Recent changes to the laws regarding financial planning in Australia may lead to changes in the market for financial advice in Australia, with many accountants apparently regarding this as a key driver of future business opportunities.

The surveys were conducted using a similar instrument to similar surveys conducted in the UK and Canada and reported in Blackburn et al. (2006). Comparisons of the Australian survey results with those from the UK and Canada seem to support the perception that Australian business is not over-regulated, but the SME sector is concerned with the volume and complexity of regulation. This suggests that the SME sector wants to see improvements to Australia’s regulatory regime as a result of the work of the Regulation Taskforce undertaken in 2005/6. In its response to the work of the Taskforce the government agreed with 158 of the 178 specific recommendations of the Taskforce. This now needs to be followed through at all levels of government.

Accountants in all three countries understand their SME clients’ concerns with the burden of regulation and they are prepared to advise their clients where appropriate or refer them to specialist advisers. Most business growth for accountants has come from the taxation area. Very few accountants in the UK or Australia specialise in providing advice in the areas of environmental regulation or health and safety regulation.

International comparisons show that in all three countries accountants are generally highly regarded by SMEs for their professionalism and competence. The major area of client concern is the value for money offered by the accountant’s service. In an era of rapidly shifting professional and technical boundaries, accountants need to be more strongly attuned to levels of client satisfaction. Lawyers, financial planners and a plethora of specialist advisers operate in the business services market and if they have an opportunity to take business from accountants by competing on price they may well do so. This suggests a stronger role for professional accounting bodies in monitoring the broader business services market for opportunities and threats on behalf of their membership.

The need for treaty-based e-consumer protections in global B2C e-commerce

The thesis puts forward historical, logical and efficiency arguments for the implementation of treaty-based legal protections for e-consumers transacting in global Business to Customer (B2C) e-commerce. It concludes, however, that the international political climate is such that the implementation by the international community of such protections is very unlikely in the near future.

Hume's humanity: a nexus for global management

This chapter explains the development of the Human Nexus, being an original interpretation of ethics based on David Hume's exploration of morality. Recognizing the current moral malaise in global business practice, and searching for a contemporary approach to relational ethics, his elegant reasoning is concisely adapted for global managers. The Human Nexus is proposed as a tool for conveying humanism in global business decision-making today. A matrix of Humean variables from Hume's moral treatise counterbalances usefulness and agreeableness with considerations of self-interest, selflessness and the human connection with ecology. The analysis explores the interaction of variables, relationships and decision processes common in global management. A longitudinal reflective study underpins the research. The resultant construct is presented in context with foundational and emerging literature about the challenge of abstract moral perspectives for global managers, highlighting the desire for something more practical. The Human Nexus shows potential for pragmatically encouraging and enhancing humanistic engagement in ethical decision-making.