Culture and corporate voluntary reporting: a comparative exploration of the chairperson's report in India and New Zealand

Purpose – The purpose of this paper is to explore the cultural underpinnings of accounting practices through a comparative analysis of India and New Zealand, using the chairperson's report, which is increasingly becoming one of the most important segments of the corporate annual report.
Design/methodology/approach – The annual reports of Indian and New Zealand companies from 2001 to 2005 were selected to investigate the extent and nature of information disclosure in their chairperson's report. “Content analysis” is the main methodological orientation of the paper.
Findings – The paper argues that, contrary to propositions based on Hofstede's cultural framework, Indian companies provide more disclosure in their chairperson's report than their New Zealand counterparts. This leads to the conclusion that voluntary disclosure, more generally, is a complex phenomenon and cultural variables alone may not be sufficient predictors of the voluntary disclosure practices of a country.
Originality/value – Using India and New Zealand, two countries with significant cultural differences, according to Hofstede's typology, the paper extends the literature by focusing on the chairperson's report, a more recent accounting phenomenon which is gaining popularity across the globe.

Geocentric Corporate Organizational Culture and Employee National Identity

The purpose of this paper is two-fold. First, the literature on geocentric organizational culture is reviewed; second, the dynamics between geocentric organizational culture and employee national identity is suggested as a necessary direction for HRD research.

The impact of culture and corporate governance in dividend policy: evidence from emerging and developed countries

The present research aims to analyse the impact of corporate governance and cultural dimensions in dividend policy. The corporate governance and dividend policy have a close relationship, in that both are evidenced in literature to mitigate agency problems. Cultural factors are also related to agency problems. The existence of agency problems and their solutions differs across countries and it is related to the implementation of the mechanisms of governance. So, cultural factors may have influence on corporate governance and dividend policy. Our sample consists in 1 232 companies belonging to the main indices of 38 countries classified as emerging or developed. To measure the quality of firm level corporate governance, we use the ASSET4 Corporate Governance Performance Index, developed by Thomson Reuters, and as proxy of culture we use three cultural dimensions developed by Geert Hofstede, namely uncertainty avoidance, masculinity and indulgence. We obtained significant empirical evidence that firms with high quality of corporate governance pay higher dividends. With regard to cultural factors, we confirm that in countries with high levels of masculinity and uncertainty avoidance, the dividend payout ratio is lower. On the other hand, countries with high level of indulgence have higher dividend payout ratio. However, we verify that the impact of cultural effects is minimized when the firms have a high quality level of corporate governance. Additionally, we found that the impact of corporate governance and cultural factors in dividend policy differs when dealing with emerging or developed countries.

Corporate governance in China : the role of the state and ideology in shaping reforms

Examines the political and ideological influences on China's economic reforms since the early 1980s. Discusses the influence of the Chinese Communist Party and Confucianism on economic progress and assesses the effect of reforms. Outlines the requirement for new corporate governance laws to meet the needs of expanding private businesses and considers China's use and adaptation of some Western models of corporate governance. Comments on whether these fit easily with China's business culture. Criticises the shortcomings of China's corporate laws. Looks in particular at the telecommunications industry and at the Company Law 2006.

The dynamic processes of visual, corporate, and organisational identity : an exploratory study

The purpose of this study is to contribute to the cross-disciplinary body of literature of identity and organisational culture. This study empirically investigated the Hatch and Schultz (2002) Organisational Identity Dynamics (OID) model to look at linkages between identity, image, and organisational culture. This study used processes defined in the OID model as a theoretical frame by which to understand the relationships between actual and espoused identity manifestations across visual identity, corporate identity, and organisational identity. The linking processes of impressing, mirroring, reflecting, and expressing were discussed at three unique levels in the organisation. The overarching research question of How does the organisational identity dynamics process manifest itself in practice at different levels within an organisation? was used as a means of providing empirical understanding to the previously theoretical OID model. Case study analysis was utilised to provide exploratory data across the organisational groups of: Level A - Senior Marketing and Corporate Communications Management, Level B - Marketing and Corporate Communications Staff, and Level C - Non-Marketing Managers and Employees. Data was collected via 15 in-depth interviews with documentary analysis used as a supporting mechanism to provide triangulation in analysis. Data was analysed against the impressing, mirroring, reflecting, and expressing constructs with specific criteria developed from literature to provide a detailed analysis of each process. Conclusions revealed marked differences in the ways in which OID processes occurred across different levels with implications for the ways in which VI, CI, and OI interact to develop holistic identity across organisational levels. Implications for theory detail the need to understand and utilise cultural understanding in identity programs as well as the value in developing identity communications which represent an actual rather than an espoused position.

Safety leaders' perceptions of safety culture in a large Australian construction organisation

Safety culture in the construction industry is a growing research area. The unique nature of construction industry works – being project-based, varying in size and focus, and relying on a highly transient subcontractor workforce – means that safety culture initiatives cannot be easily translated from other industries. This paper reports on the first study in a three year collaborative industry and university research project focusing on safety culture practices and development in one of Australia’s largest global construction organisations. The first round of a modified Delphi method is reported, and describes the insights gained from 41 safety leaders’ perceptions and understandings of safety culture within the organisation. In-depth, semi-structured interviews were conducted, and will be followed by a quantitative perception survey with the same sample. Participants included Senior Executives, Corporate Managers, Project Managers, Safety Managers and Site Supervisors. Leaders’ definitions and descriptions of safety culture were primarily action-oriented and some confusion was evident due to the sometimes implicit nature of culture in organisations. Leadership was identified as a key factor for positive safety culture in the organisation, and there was an emphasis on leaders demonstrating commitment to safety, and being visible to the project-based workforce. Barriers to safety culture improvement were also identified, with managers raising diverse issues such as the transient subcontractor workforce and the challenge of maintaining safety as a priority in the absence of safety incidents, under high production pressures. This research is unique in that it derived safety culture descriptions from key stakeholders within the organisation, as opposed to imposing traditional conceptualisations of safety culture that are not customised for the organisation or the construction industry more broadly. This study forms the foundation for integrating safety culture theory and practice in the construction industry, and will be extended upon in future studies within the research program.

Safety leaders’ perceptions of safety culture in a large Australasian construction organisation

This paper reports safety leaders’ perceptions of safety culture in one of Australasia’s largest construction organisations. A modified Delphi method was used including two rounds of data collection. The first round involved 41 semi-structured interviews with safety leaders within the organisation. The second round involved an online quantitative perception survey, with the same sample, aimed at confirming the key themes identified in the interviews. Participants included Senior Executives, Corporate Managers, Project Managers, Safety Managers and Site Supervisors. Interview data was analysed using qualitative thematic analysis, and the survey data was analysed using descriptive statistics. Leaders’ definitions and descriptions of safety culture were primarily action-oriented and some confusion was evident due to the sometimes implicit nature of culture in organisations. Leadership was identified as a key factor for positive safety culture in the organisation, and there was an emphasis on leaders demonstrating commitment to safety, and being visible to the project-based workforce. Barriers to safety culture improvement were also identified, including the subcontractor management issues, pace of change, and reporting requirements. The survey data provided a quantitative confirmation of the interview themes, with some minor discrepancies. The findings highlight that safety culture is a complex construct, which is difficult to define, even for experts in the organisation. Findings on the key factors indicated consistency with the current literature; however the perceptions of barriers to safety culture offer a new understanding in to how safety culture operates in practice.

Organizational culture in airworthiness management programmes : extending an existing measurement model

All civil and private aircraft are required to comply with the airworthiness standards set by their national airworthiness authority and throughout their operational life must be in a condition of safe operation. Aviation accident data shows that over 20% of all fatal accidents in aviation are due to airworthiness issues, specifically aircraft mechanical failures. Ultimately it is the responsibility of each registered operator to ensure that their aircraft remain in a condition of safe operation, and this is done through both effective management of airworthiness activities and the effective programme governance of safety outcomes. Typically, the projects within these airworthiness management programmes are focused on acquiring, modifying and maintaining the aircraft as a capability supporting the business. Programme governance provides the structure through which the goals and objectives of airworthiness programmes are set along with the means of attaining them. Whilst the principal causes of failures in many programmes can be traced to inadequate programme governance, many of the failures in large-scale projects can have their root causes in the organizational culture and more specifically in the organizational processes related to decision-making. This paper examines the primary theme of project and programme-based enterprises, and introduces a model for measuring organizational culture in airworthiness management programmes using measures drawn from 211 respondents in Australian airline programmes. The paper describes the theoretical perspectives applied to modifying an original model to specifically focus it on measuring the organizational culture of programmes for managing airworthiness; identifying the most important factors needed to explain the relationship between the measures collected, and providing a description of the nature of these factors. The paper concludes by identifying a model that best describes the organizational culture data collected from seven airworthiness management programmes.

The role of the board of directors in ensuring a culture of integrity

Corporate scandals are as old as the corporate form itself. Consider, for example, the controversies surrounding the role of one of the first modern corporations, the British East India Company, in the Bengal famine of 1770 and in the Chinese opium trade. Yet it is the increasing scale and scope of unethical acts carried out by individuals in the name, and interests, of corporations that continue to be concerning. Recent revelations surrounding the extent of bribery and covert surveillance used by News Corporation journalists in its British operations continue to shock the world and undermine confidence in that organiszation and journalists in general. Yet despite the systemic nature of many of these unethical activities, corporate leaders generally plead ignorance when transgressions come to light. During the enquity into the News Corporation scandal, Rupert Murdoch, the CEO and chairman, rejected the assertion that he was ultimately 'responsible for this whole fiasco' (House of Commons, 2011, Q.230). Instead, like many corporate leaders before him, Murdoch placed blame on the employees within the newspaper. His responses poses an increasingly important question: Do corporate leaders bear responsibility for the conduct of individuals within a corporation and, if so, why?

Corporate reputation and financial performance : underlying dimensions of corporate reputation and their relation to sustained financial performance

This thesis examined the relationship between firms' corporate reputation and their future financial performance. Corporate reputation was represented by measuring the level of senior executives' attention to a number of intangible firm' resources (e.g. financial reputation, service culture) within firms' annual reports over a 17 year period. Initial findings suggested there was only a small relationship between reputation and future performance which lead to a reformulation of the problem. Reputation was posited to be a source of corporate resilience that helped firms with stronger reputations to sustain superior financial performance in times of difficulty, as well as allowing them to rebound more quickly from performance decline. Results suggest this interpretation of corporate reputation as well as indicating that industry sectors operate in different reputational 'domains' in which the relative importance of financial versus stakeholder aspects of corporate reputation varies.

The moderating role of entrepreneurial management in the relationship between absorptive capacity and corporate entrepreneurship : an attention-based view

Building on the attention-based view, we argue that companies need a challenging mechanism to focus their absorptive capacity attention on corporate entrepreneurship versus mainstream activities or other purposes. We suggest entrepreneurial management as the attential driver for deploying absorptive capacity towards corporate entrepreneurship. From our analysis of a sample of 331 supplier companies providing products and services to the mining industry of Australia and Iran, we observe that absorptive capacity positively affects corporate entrepreneurship. The data also demonstrate that the effect of absorptive on corporate entrepreneurship increases when firms adopt the entrepreneurial culture and reward systems. However, the entrepreneurial growth and resource orientations negatively moderate the relationship between absorptive capacity and corporate entrepreneurship.