Search results for: Shari’ah governance

Authors: Md. Awal Hossain Mollah

Abstract:

The aim of this study was to evaluate the relation between the free, fair and credible election in ensuring democratic governance in Bangladesh. The paper is a case (Bangladesh) study and qualitative in nature and based on secondary sources of materials. For doing this study, conceptual clarification has been done first and identified few elements of free, fair and credible elections. Then, how far these elements have been ensured in Bangladeshi elections has been evaluated by analyzing all the national elections held since independence. Apart from these, major factors and challenges of holding a free, fair and credible election in Bangladesh have been examined through using the following research questions: 1. Does role of election commission matter for free, fair and credible elections to form a democratic government? 2. Does role of political parties matter for democratic governance? 3. Do role of government matter for conducting the free, fair and credible election in ensuring democratic governance? 4. Does non-party caretaker government matter for conducting a free, fair and credible election? 5. Does democratic governance depend on multi-dimensional factors and actors? Major findings of this study are: Since the independence of Bangladesh, 10 national elections held in various regimes. 4 out of 10 national elections have been found free, fair and credible which have been conducted by the non-party caretaker government. Rests of the elections are not out of controversy and full of manipulation held under elected government. However, the caretaker government has already been abolished by the AL government through 15th amendment of the constitution. The present AL government is elected by the 10th parliamentary election under incumbent (AL) government, but a major opposition allies (20 parties) lead by BNP boycotted this election and 154 of the total 300 seats being uncontested. As a result, AL again came to the power without a competitive election and most of the national and International election observers including media world consider this election as unfair and the government is suffering from lack of legitimacy. Therefore, the governance of present Bangladesh is not democratic at all and it is to be considered as one party (14 parties’ allies lead by AL) authoritarian governance in the shade of parliamentary governance. Both the position and opposition of the parliament is belonging in 14 parties’ alliances lead by AL.

Keywords: democracy, governance, free, fair and credible elections, Bangladesh

Procedia PDF Downloads 297

Authors: A. Farhad Sadri, B. Ali Farhadi, C. Nasim Shalamzari

Abstract:

Waste management is a principle of urban and environmental governance. Waste management in Tehran metropolitan requires good strategies for better governance. Using of good urban governance principles together with eight main indexes can be an appropriate base for this aim. One of the reasonable tools in this field is usage of SWOT methods which provides possibility of comparing the opportunities, threats, weaknesses, and strengths by using IFE and EFE matrixes. The results of the above matrixes, respectively 2.533 and 2.403, show that management system of Tehran metropolitan wastes has performed weak regarding to internal factors and has not have good performance regarding using the opportunities and dealing with threats. In this research, prioritizing and describing the real value of each 24 strategies in waste management in Tehran metropolitan have been surveyed considering good governance derived from Quantitative Strategic Planning Management (QSPM) by using Kolomogrof-Smirnoff by 1.549 and significance level of 0.073 in order to define normalization of final values and all of the strategies utilities and Variance Analysis of ANOVA has been calculated for all SWOT strategies. Duncan’s test results regarding four WT, ST, WO, and SO strategies show no significant difference. In addition to mean comparison by Duncan method in this research, LSD (Lowest Significant Difference test) has been used by probability of 5% and finally, 7 strategies and final model of Tehran metropolitan waste management strategy have been defined. Increasing the confidence of people with transparency of budget, developing and improving the legal structure (rule-oriented and law governance, more responsibility about requirements of private sectors, increasing recycling rates and real effective participation of people and NGOs to improve waste management (contribution) and etc, are main available strategies which have been achieved based on good urban governance management principles.

Keywords: waste, strategy, environmental management, urban good governance, SWOT

Procedia PDF Downloads 286

Authors: Rosida A. Razak, Mohamad Shanudin Zakaria

Abstract:

The fundamental issues in ICT Governance (ICTG) implementation for Malaysian Public Sector (MPS) is how ICT be applied to support improvements in productivity, management effectiveness and the quality of services offered to its citizens. Our main concern is to develop and adopt a common definition and framework to illustrate how ICTG can be used to better align ICT with government’s operations and strategic focus. In particular, we want to identify and categorize factors that drive a successful ICTG process. This paper presents the results of an exploratory study to identify, validate and refine such Critical Success Factors (CSFs) and confirmed seven CSFs and nineteen sub-factors as influential factors that fit MPS after further validated and refined. The Delphi method applied in validation and refining process before being endorsed as appropriate for MPS. The identified CSFs reflect the focus areas that need to be considered strategically to strengthen ICT Governance implementation and ensure business success.

Keywords: IT governance, critical success factors, productivity, CSFs

Procedia PDF Downloads 241

Authors: Irakli Manvelidze, Genadi Iashvili, Giga Phartenadze, Giorgi Katamadze

Abstract:

Establishment of electronic governance in the region is facing serious problems. Organizational, technical, social and methodological problems have been identified after the research. These problems currently create serious barriers and prevent the development of effective e-governance. Lack of human resources, difference in program targets of the centre and the region, lack of citizens’ awareness about the project of electronic governance are other issues that should be mentioned. In spite of positive changes the overall situation concerning development of modern information-communication technologies in Adjara is not satisfactory. The information systems in the region can be described as transforming in a democratic way which needs serious reforms. Current situation shows that unsystematic, uncoordinated actions were made which overall represents more chaotic rather than coordinated systematic process. Therefore, a strategic document ‘Adjarian Electronic Government’ should be created which will ensure systematic development of electronic governance in the region. The implementation of the strategy of ‘Adjarian Electronic Government’ should be based on not only conceptual and instrumental but also legal basics. A legal normative basis should be created which will include formation of electronic government’s instrumental basis as well as creation of united regional system of electronic document management. Meanwhile types of documents which would be used in inter institutional relations should be defined under a legal norm. Creation of regional united system of e-filing will regulate regional public institutions, relations between local self-government and public organizations as well as it will ensure coordinated work of all regional public institutions.

Keywords: e-government, information society, public administration, reforming state governance, public institutions

Procedia PDF Downloads 252

Authors: Jalil Salimi, Mandana Asadi, Naser Fathi

Abstract:

Urmia Lake (UL) has undergone a significant decline in water levels, resulting in severe environmental, socioeconomic, and health-related challenges. This paper examines the restoration process of UL from a water governance perspective. By applying a water governance model, the study evaluates the process based on six selected principles: stakeholder engagement, transparency and accountability, effectiveness, equitable water use, adaptation capacity, and water usage efficiency. The dominance of structural and physicalist approaches to water governance has led to a weak understanding of social and environmental issues, contributing to social crises. Urgent efforts are required to address the water crisis and reform water governance in the country, making water-related issues a top national priority. The UL restoration process has achieved significant milestones, including stakeholder consensus, scientific and participatory planning, environmental vision, intergenerational justice considerations, improved institutional environment for NGOs, investments in water infrastructure, transparency promotion, environmental effectiveness, and local issue resolutions. However, challenges remain, such as power distribution imbalances, bureaucratic administration, weak conflict resolution mechanisms, financial constraints, accountability issues, limited attention to social concerns, overreliance on structural solutions, legislative shortcomings, program inflexibility, and uncertainty management weaknesses. Addressing these weaknesses and challenges is crucial for the successful restoration and sustainable governance of UL.

Keywords: evaluation, restoration process, Urmia Lake, water governance, water resource management

Procedia PDF Downloads 38

Authors: Amenawo I. Offiong, Hodo B. Riman

Abstract:

Public debt profile of Nigeria has continuously been on the increase over the years. The drop in international crude oil prices has further worsened revenue position of the country, thus, necessitating further acquisition of public debt to bridge the gap in revenue deficit. Yet, when we look back at the increasing public sector spending, there are concerns that the government spending do not amount to increase in public goods provided for the country. Using data from 1980 to 2014 the study therefore seeks to investigate the factors responsible for the poor provision of public goods in the face of increasing public debt profile. Using the unrestricted VAR model Governance and Tax revenue were introduced into the model as structural variables. The result suggested that governance and tax revenue were structural determinants of the effectiveness of public goods provisioning in Nigeria. The study therefore identified weak governance as the major reason for the non-provision of public goods in Nigeria. While tax revenue exerted positive influence on the provisions of public goods, weak/poor governance was observed to crowd the benefits from increase tax revenue. The study therefore recommends reappraisal of the governance system in Nigeria. Elected officers in governance should be more transparent and accountable to the electorates they represent. Furthermore, the study advocates for an annual auditing of all government MDAs accounts by external auditors to ensure (a) accountability of public debts utilization, (b) transparent in implementation of program support funds, (c) integrity of agencies responsible for program management, and (d) measuring program effectiveness with amount of funds expended.

Keywords: impulse response function, public debt shocks, governance, public goods, tax revenue, vector auto-regression

Procedia PDF Downloads 221

Authors: Endalew Fufa Kufi

Abstract:

The research investigated the role of stakeholders such as students, teachers and administrators in the practices of good governance in higher education by looking into the special contributions of top-officials, teachers and students in ensuring workable ties and productive interchanges in Adama Science and Technology University. Attention was given to participation, fairness and exemplariness as key indicators of good governance. The target university was chosen for its familiarity for the researcher to get dependable data, access to respondent and management of the processing of data. Descriptive survey design was used for the purpose of describing concerned roles the stakeholders in the university governance in order to reflect on the nature of participation of the practices. Centres of the research were administration where supportive groups such as central administrators and underlying service-givers had parts and academia where teachers and students were target. Generally, 60 teachers, 40 students and 15 administrative officers were referents. Data were collected in the form of self-report through open-ended questionnaires. The findings indicated that, while vertical interchanges in terms of academic and administrative routines were had normal flow on top-down basis, planned practices of stakeholders in decision-making and reasonably communicating roles and changes in decisions with top-officials were not efficiently practiced. Moreover, the practices of good modelling were not witnessed to have existed to the fullest extent. Rather, existence of a very wide gap between the academic and administrative staffs was witnessed as was reflected the case between teachers and students. The implication was such that for shortage in participative atmosphere and weaning of fairness in governance, routine practices have been there as the vicious circles of governance.

Keywords: governance, participative, stakeholders, transformative, role-assumption

Procedia PDF Downloads 354

Authors: Saad Bin Nasir

Abstract:

The research will examine the role of corporate governance (CG) practices on firm’s financial performance. Population of this research will be manufacture sector of Pakistan. For the purposes of measurement of impact of corporate governance practices such as board size, board independence, ceo/chairman duality, will take as independent variables and for the measurement of firm’s performance return on assets and return on equity will take as dependent variables. Panel data regression model will be used to estimate the impact of CG on firm performance.

Keywords: corporate governance, board size, board independence, leadership

Procedia PDF Downloads 488

Authors: Ahmed Usman

Abstract:

This paper attempts to examine the relevance of an Electoral Commission in the democratic process of governance in Nigeria. However, democratic system and governance present a clear indication of responsive and responsible governments. The idea of a government being responsive and responsible is based on the premise of conventional principles of democracy such as freedom of political, economic and social rights of and individual. More so, upholding of the Rule of Law based on the ground of constitutionalism is a clear manifestation of the democratic governance. The burdens of ascertaining theses democratic ethos rely solely on the constituted election management body known as Independent National Electoral Commission (INEC) for the case of Nigeria. This body is however, saddled with the responsibility of organizing and conducting periodic regular credible election known as free and fair election. The body also, is expected to be neutral, and independent to ensure fair treatment to all. It is on the basis of this fair treatment that credible leaders emerged. To this end, the paper examines the powers, functions and features of Independent National Electoral Commission. More so, the concepts of election and democracy have been operationalized. It is obvious that electoral process in Nigeria is marred with series of problems of which the paper identified and solutions were proffered towards credible, free and fair elections for sustainable democratic governance. In order to succinctly discuss and analyze the issues at stake, Structural Functional Analysis theory is adopted as a theoretical frame work for the paper.

Keywords: election, electoral commission, democracy, governance

Procedia PDF Downloads 176

Authors: Lasha Mskhaladze, Guram Burchuladze, Khvicha Datunashvili

Abstract:

Technological changes have an impact not only on economic but also on social elements of society which in turn has created new challenges for states’ political systems and their regimes. As a result of unprecedented growth of information technologies and communications digital democracy and electronic governance have emerged. Nowadays effective state functioning cannot be imagined without electronic governance. In Georgia, special attention is paid to the development of such new systems and establishment of electronic governance. Therefore, in parallel to intensive development of information technologies an important priority for public sector in Georgia is the development of electronic governance. In spite of the fact that today Georgia with its economic indicators satisfies the standards of western informational society, and major part of its gross domestic product comes from the service sector (59.6%), it still remains a backward country on the world map in terms of information technologies and electronic governance. E-transparency in Georgia should be based on such parameters as government accountability when the government provides citizens information about their activities; e-participation which involves government’s consideration of external expert assessments; cooperation between officials and citizens in order to solve national problems. In order to improve electronic systems the government should actively do the following: Fully develop electronic programs concerning HR and exchange of data between public organizations; develop all possible electronic services; improve existing electronic programs; make electronic services available on different mobile platforms (iPhone, Android, etc.).

Keywords: electronic transparency, electronic services, information technology, information society, electronic systems

Procedia PDF Downloads 242

Authors: Lucy Novianti

Abstract:

The purpose of this study is to determine the effect of corporate governance, ownership structure, and cash holdings on firm value, either direct or indirect through profitability as an intervening variable for non-financial companies listed on the Indonesia Stock Exchange during 2006 to 2014. Samples of 176 firms are chosen based on purposive sampling method. The results of this study conclude that profitability, the size of Audit Committee, audit quality, and cash flow have positive effects on firm value. This study also shows that the meeting frequency of the Board of Directors and free cash flow have negative effects on firm value. In addition, this study finds that the size of the Board of Directors, Independent Commissioner, and ownership structure do not have significant effects on firm value. In this study, the function of profitability as an intervening variable can only be done on the impact of the meeting frequency of the Board of Directors and cash flow on firm value. This study provides a reference for management in decision making concerning the application of corporate governance, cash holdings, and financial performance. Moreover, it can be used as additional information for investors in assessing the feasibility of an investment. Finally, it provides a suggestion for the government regarding the regulation of corporate governance.

Keywords: cash holdings, corporate governance, firm value, ownership structure, profitability

Procedia PDF Downloads 224

Authors: Emma Avoyan

Abstract:

The safety standards for flood protection in the Netherlands have been revised recently. It is expected that all major flood-protection structures will have to be reinforced to meet the new standards. The Dutch Flood Protection Programme aims at accomplishing this task through innovative integrated projects such as construction of multi-functional flood defenses. In these projects, flood safety purposes will be combined with spatial planning, nature development, emergency management or other sectoral objectives. Therefore, implementation of dike reinforcement projects requires early involvement and collaboration between public and private sectors, different governmental actors and agencies. The development and implementation of such integrated projects has been an issue in Dutch flood risk management since long. Therefore, this article analyses how cross-sector collaboration within flood risk governance in the Netherlands has evolved over time, and how this development can be explained. The integrative framework for collaborative governance is applied as an analytical tool to map external factors framing possibilities as well as constraints for cross-sector collaboration in Dutch flood risk domain. Supported by an extensive document and literature analysis, the paper offers insights on how the system context and different drivers changing over time either promoted or hindered cross-sector collaboration between flood protection sector, urban development, nature conservation or any other sector involved in flood risk governance. The system context refers to the multi-layered and interrelated suite of conditions that influence the formation and performance of complex governance systems, such as collaborative governance regimes, whereas the drivers initiate and enable the overall process of collaboration. In addition, by applying a method of process tracing we identify a causal and chronological chain of events shaping cross-sectoral interaction in Dutch flood risk management. Our results indicate that in order to evaluate the performance of complex governance systems, it is important to firstly study the system context that shapes it. Clear understanding of the system conditions and drivers for collaboration gives insight into the possibilities of and constraints for effective performance of complex governance systems. The performance of the governance system is affected by the system conditions, while at the same time the governance system can also change the system conditions. Our results show that the sequence of changes within the system conditions and drivers over time affect how cross-sector interaction in Dutch flood risk governance system happens now. Moreover, we have traced the potential of this governance system to shape and change the system context.

Keywords: collaborative governance, cross-sector interaction, flood risk management, the Netherlands

Procedia PDF Downloads 103

Authors: Ernest Nweke

Abstract:

This paper examines the changing trend in ownership of Mongolian companies and how this trend has influenced corporate governance mechanisms in Mongolian companies. A study of this magnitude is essential as it x-rays the systematic transformation of Mongolia’s corporate world from the public to private ownership and the tremendous impact it has had on firm governance mechanisms. Owing to Mongolia’s Soviet past, much of the companies in Mongolia were state-owned, state-directed and state-controlled resulting in serious inefficiencies in these companies. This scenario is antithetical to the economic growth and development of any nation as it is grossly at variance with the fundamental principles of good corporate governance that drive prosperity. Consequently, the Mongolian government has in the past decades fine-tuned government policy to prioritize private ownership, establishing various frameworks that will strengthen corporate governance structures in Mongolia. These efforts have paid off and gone a long way in changing the trend in the ownership of companies in Mongolia reversing the old order. The expectation locally and internationally is that companies in post-socialist Mongolia will be more closely aligned to generally accepted corporate governance mechanisms, generally improving company performance and ultimately returns to shareholders. To achieve the research objectives, the survey research method was employed utilizing a sample of seventy randomly selected listed companies representing 22% of Mongolian Stock Exchange listings. Research hypotheses formulated to guide the conduct of the study were tested using Chi-Square analysis, and results show that ownership trend has drastically changed in the post-socialist Mongolia leading to better corporate governance practices in Mongolian companies. This result has important policy implications.

Keywords: corporate disclosure, free market, private ownership, Mongolia

Procedia PDF Downloads 106

Authors: Albert T. Akume, P. D. Dahida

Abstract:

This paper examines the effect of various epochs of governments on policy making in Nigeria. The character of governance and public policy making of both epochs was exclusive, non-participatory and self-centric. As a consequence the interests of citizenry were not represented, neither protected nor sought to meet fairly the needs of all groups. The introduction of the post-1999 democratic government demand that the hitherto skewed pattern of policy making cease to be a character of governance. Hence, the need for citizen participation in the policy making process. The question then is what mode is most appropriate to engender public participation so as to make the policy making process functional? Given the prevailing social, economic and political dilemmas the utilization of the direct mode of citizen participation to affect policy outcome is doubtful if not unattainable. It is due to these predicament that this paper uses the documentary research design argues for the utilization of the indirect mode of citizen participation in the policy making process so as to affect public policy outcome appropriately and with less cost, acrimony and delays.

Keywords: governance, public policy, participation, representation, civil society

Procedia PDF Downloads 339

Authors: Francis O. Iyoha, Daniel E. Gberevbie, Charles T. Iruonagbe, Matthew E. Egharevba

Abstract:

Cost of governance in Nigeria has become a challenge to development and concern to practitioners and scholars alike in the field of business and social science research. It has been observed that it takes 70 percent of the nation’s revenue to maintain less than 20 percent of the Nigerian population that are public servants. Furthermore, it has been observed that on a consistent yearly basis, the recurrent expenditure of government from the national budget keeps rising, while capital expenditure meant for development keeps falling. The implication is that development is stagnated in the country. For instance, in the 2010 national budget of NGN4.60tn or USD28.75b, only NGN1.80tn or USD11.15b was set aside for capital expenditure. Also, in the 2013 national budget of NGN4.92tn or USD30.75b, only NGN1.50tn or USD9.38b was set aside for capital expenditure. Therefore, with the analysis of secondary data, this study examined the reasons for the high cost of governance in Nigeria. It observed that the high cost of governance in the country is in the interest of the ruling class, arising from their unethical behaviour – corrupt practices and the poor management of public resources. As a result, the study recommends the need to intensify the war against corruption and mismanagement of public resources by government officials as possible solution to overcome the high cost of governance in Nigeria. This could be achieved by strengthening the constitutional powers of the various anti-corruption agencies in the area of arrest, investigation and prosecution of offenders without the interference of the executive arm of government either at the local, state or federal level.

Keywords: cost of governance, capital expenditure, recurrent expenditure, unethical behavior, Nigeria

Procedia PDF Downloads 308

Authors: Lameck Zetu Khonje, Mulala Danny Simatele

Abstract:

Malawi’s economy is agriculture based. Recently the government earmarked the tourism sector as an important economic sector which could support the agriculture sector to bring about sustainable economic development and help socioeconomic wellbeing of the local people. Greening of the hotel industry is one of the proven ideal ways of creating a sustainable tourism industry which brings about sustainable economic development in a country like Malawi. This study uses qualitative methodology to examine the efficacy of the governance and policing tools that Malawi uses to guide the development and general practices of the hotel sector to ascertain whether these tools are for greening or not. Grounded Theory method is used whereby semi-structured interviews and field visits were conducted to collect data for the study. The results of the study show that there are loopholes in the governance system in Malawi. The results also reveal gaps within the policing tools such that the hotel industry is not properly guided on green issues. Furthermore, the results show that there is a lack of collaboration for the enforcement of the green practices in the hotel industry. It is also revealed that there is a lack of knowledge of green issues within the governance structures. Awareness campaigns and capacity building would improve greening of the hotel industry in Malawi.

Keywords: governance, greening, Grounded Theory, Malawi

Procedia PDF Downloads 146

Authors: Rodrigo Zeidan

Abstract:

The paper identifies failures of decision making and corporate governance that allow non-financial companies around the world to develop hedging strategies that lead to hefty losses in the aftermath of the financial crisis. The sample is comprised of 346 companies from 10 international markets, of which 49 companies (and a subsample of 13 distressed companies) lose a combined US$18.9 billion. An event study shows that most companies that present losses in derivatives experience negative abnormal returns, including a number of companies in which the effect is persistent after a year. The results of a probit model indicate that the lack of a formal hedging policy, no monitoring to the CFOs, and considerations of hubris and remuneration contribute to the mismanagement of hedging policies.

Keywords: risk management, hedging, derivatives, monitoring, corporate governance structure, event study, hubris

Procedia PDF Downloads 392

Authors: Francesco Venuti, Simona Alfiero

Abstract:

The aim of this paper is to develop an empirical research on the nature and consequences of corporate governance on Eurozone Insurance Industry risk taking attitude. More particularly, we analyzed the effect of public ownership on risk taking with respect to privately held Insurance Companies. We also analyzed the effects on risk taking attitude of different degrees of ownership concentration, directors compensation, and the dimension/diversity of the Board of Directors. Our results provide quite strong evidence that, coherently with the Agency Theory, publicly traded insurance companies with more concentrated ownership are less risky than the corresponding privately held.

Keywords: agency theory, corporate governance, insurance companies, risk taking

Procedia PDF Downloads 389

Authors: Mahdi Ebrahimi

Abstract:

One of the most effective factors that can empower and modernize the Islamic government according to the needs of society is the institution of expediency in Islamic governance. At the same time, not paying attention to the foundations and principles of Islamic governance may cause this factor to create the basis for corruption and totalitarianism of the rulers, which ultimately causes a gap between the people and the rulers and the emergence of whole government corruption and dictatorship. Meanwhile, there are specific principles in the doctrine of Islamic Governance that can prevent such an event from happening. Principles such as: remaining popular and pious by the Ulama, Amr Bil-Maroof Va Nahy An Al-Munkar (commanding the good and preventing the bad) by the individuals, the rule of frank criticism with loud voices and clarification and accountability in the fields that cause the corruption of those in charge. In this research, these principles are presented along with their Islamic basis. It is also stated what effect each of these cases will have on preserving Islam in the ruling system.

Keywords: expediency, Islamic ruling, Islamic principles, Islam

Procedia PDF Downloads 48

Authors: Sarah A. Tobin

Abstract:

Social justice outcomes, derived from customer satisfaction, serve as a main pathway and conduit for achieving Sustainable Development Goals (SDGs) because they prompt democratizing and socially-inclusive effects that are consistent with Islamic economic values. This paper argues that achieving higher levels of social justice and the SGDs is possible only through the realization of Islamic banking and finance customer satisfaction that aligns with Islamic values in the tradition of the Shari`a (or Islamic law). Through this key manifestation of Shari`a in the banks, social justice aims of achieving SDGs become possible. This paper utilizes a case study of a large-scale survey (N=127) comparing customer satisfaction between a conventional and an Islamic bank in Amman, Jordan. Based on a series of linear regressions, the statistically-significant findings suggest that when overall customer satisfaction is high, customers are more likely to become empowered citizens demanding inclusive, quality services and corruption-free management, as well as attribute their experiences to the Islamic nature of the financial endeavors. Social justice interests and expectations increase (and SDGs are more likely met) when a customer has high levels of satisfaction. The paper concludes with policy recommendations for Islamic financial institutions that enhance customer service experiences for better achieving the social justice aims of the Islamic economy and SDGs, including transparency in transactions, exemplary customer service and follow up, and attending to Islamic values in the aesthetics of bank.

Keywords: customer satisfaction, Islamic economy, social justice, sustainable development goals

Procedia PDF Downloads 306

Authors: Rabiaal Adawiyah Shazali, Corina Joseph

Abstract:

The disclosure of Intellectual Capital (IC) information is getting more vital in today’s era of a knowledge-based economy. Companies are advised by accounting bodies to enhance IC disclosure which complements the conventional financial disclosures. There are no accounting standards for Intellectual Capital Disclosure (ICD), therefore the disclosure is entirely voluntary. Hence, this study aims to investigate the extent of ICD and to examine the relationship between corporate governance and ICD in Malaysia. This study employed content analysis of 100 annual reports by the top 100 public listed companies in Malaysia during 2012. The uniqueness of this study lies on its underpinning theory used where it applies the institutional isomorphism theory to support the effect of the attributes of corporate governance towards ICD. In order to achieve the stated objective, multiple regression analysis were employed to conduct this study. From the descriptive statistics, it was concluded that public listed companies in Malaysia have increased their awareness towards the importance of ICD. Furthermore, results from the multiple regression analysis confirmed that corporate governance affects the company’s ICD where the frequency of audit committee meetings and the board size has positively influenced the level of ICD in companies. Findings from this study would provide an incentive for companies in Malaysia to enhance the disclosure of IC. In addition, this study would assist Bursa Malaysia and other regulatory bodies to come up with a proper guideline for the disclosure of IC.

Keywords: annual report, content analysis, corporate governance, intellectual capital disclosure

Procedia PDF Downloads 184

Authors: Henriette Scholtz

Abstract:

Excessive executive directors’ remuneration remains a major concern for many stakeholders and are some of the factors to blame for the recent global financial crisis. The objective of this study was to examine whether certain firm characteristics are an effective way of protecting shareholders’ interests with respect to executive directors’ remuneration. To achieve this, an ordinary least squares model was used to test the relationship between the remuneration of executive directors and a number of firm and corporate governance characteristics to determine whether these characteristics have an influence on executive directors’ remuneration of large listed companies in South Africa. It was found that corporate governance reforms relating to institutional ownership, shareholder voting on the remuneration policy and the number of remuneration committee meetings acts as an effective governance tool to protect shareholder’s interests with regard to executive remuneration. There is no evidence that the number of non-executive directors on the remuneration committee has an influence on the executive directors’ remuneration.

Keywords: executive directors’ remuneration, agency theory, corporate governance, remuneration committee, directors’ shareholding, institutional ownership

Procedia PDF Downloads 163

Authors: Abiodun Oluwaseun Ibude

Abstract:

Every now and then we hear of companies closing down their operations due to unethical practices like an overstatement of company’s balance sheet, concealing company’s debt, embezzlement of company’s fund, declaring false profit and so on. This has led to the liquidation of companies and the loss of investments of shareholders as well as the interest of other stakeholders. As a result of these ugly trends, there is need to put in place a formidable mechanism that will ensure that business activities are conducted in a healthy manner. It should also promote good ethics as well as ensure that the interest of stakeholders and the objectives of any organization is achieved within the confines of the law; wherein law exists to provide criminal penalties for falsification of documents and for conducting other irregularities. Based on the foregoing, it becomes imperative to ensure that steps are taken to stop this menace and face the challenges ahead. This calls for the practice of good governance. The purpose of this study is to identify various components of corporate governance and determine the impact of it on the performance of established organizations. A survey method with the use of questionnaire was applied in collecting data useful for this study which were later analyzed using correlation co-efficiency statistical tools in generating finding, making a conclusion, and necessary recommendation. From the research conducted, it was discovered that there are systems within organizations apart from regulatory agencies that ensure effective control of activities, promote accountability, and operational efficiency. However, some members of organizations fail to explore the usage of corporate governance and impact negatively of an organization’s performance. In conclusion, good corporate governance will not be achieved unless there is openness, honesty, transparency, accountability, and fairness.

Keywords: corporate governance, formidable mechanism, company’s balance sheet, stakeholders

Procedia PDF Downloads 85

Authors: Willie Eselebor

Abstract:

Environmental governance is not new, but may consist of a series of actions taken to establish sanity and ensure sustainable environment. While there is a growing accord linking disaster risk reduction with the management of environment and natural resources, little is known about failure to act which constitute vulnerability and how improved governance reduces risk globally. The paper reviews emerging trends in the field of application of governance tools and approaches for reducing disaster risk. The Hyogo Framework for Action (HFA) enjoin all stakeholders to stimulate the sustainable use and management of ecosystems, which promote the implementation of integrated environmental and natural resource planning that incorporate disaster risk reduction, including structural and non-structural measures, such as integrated management of fragile ecosystems. The methodology adopted is a case study of disaster-prone sites, prompting guided analysis on which hazards are traceable to environmental degradation, why a degraded environment reduces community resilience; how healthy ecosystems provide natural defense, and which opportunities exist to address gaps in reduction of disasters in Nigeria. The paper further analyses the interaction between disaster risk and environmental change. It is established that environmental governance remains a challenge; which implies that there is the need for a shift in traditional approaches to disaster risk management; exploring new initiatives and allowing environmental managers to be docketed as disaster risk managers in context, potentially opening up a window of dialogue on disaster risk management.

Keywords: disaster, ecosystem, environment, risk

Procedia PDF Downloads 318

Authors: Mahmoud Datti Yola

Abstract:

There is wider agreement among the scholars of political science and public administration that transparency and accountability constituted one of the most crucial ingredients of good governance. In addition democratic government is expected to be accountable and responsive to the wishes and aspirations of the people. In Nigeria, after more than fifteen years to the handover of power to the civilian administration, the leaders has not been at their best, as people’ expectations for nation building, socio-economic progress and better opportunities has been dashed by high level corruption, rising insecurity, absence of the rule of law and lack of transparency and accountability. The objective of this paper is to examine the prospects and challenges of transparency and accountability in Nigeria’s democratic governance. The study utilizes secondary data for this purpose. The study is of the view that the enormous task of dealing with the issue of corruption, insecurity and promotion of ethics and accountability in Nigeria lies not only in effective oversight of the executive by the legislative bodies, respect for the rule of law and an independent judiciary, but also in the ability of the citizens, civil society organizations and other associations to hold elected and appointed officials accountable.

Keywords: good governance, transperancy, accountability, Nigeria

Procedia PDF Downloads 561

Authors: Ghadeer A.Al-Jabaree, Husam Aldeen Al-Khadash, M. Nassar

Abstract:

This study aimed at investigating the effect of well-designed corporate governance system on the financial stability of insurance companies listed in ASE. Further, this study provides a comprehensive model for evaluating and analyzing insurance companies' financial position and prospective for comparing the degree of corporate governance application provisions among Jordanian insurance companies. In order to achieve the goals of the study, a whole population that consist of (27) listed insurance companies was introduced through the variables of (board of director, audit committee, internal and external auditor, board and management ownership and block holder's identities). Statistical methods were used with alternative techniques by (SPSS); where descriptive statistical techniques such as means, standard deviations were used to describe the variables, while (F) test and ANOVA analysis of variance were used to test the hypotheses of the study. The study revealed the existence of significant effect of corporate governance variables except local companies that are not listed in ASE on financial stability within control variables especially debt ratio (leverage),where it's also showed that concentration in motor third party doesn't have significant effect on insurance companies' financial stability during study period. Moreover, the study concludes that Global financial crisis affect the investment side of insurance companies with insignificant effect on the technical side. Finally, some recommendations were presented such as enhancing the laws and regulation that help the appropriate application of corporate governance, and work on activating the transparency in the disclosures of the financial statements and focusing on supporting the technical provisions for the companies, rather than focusing only on profit side.

Keywords: corporate governance, financial stability and solvency margin, insurance companies, Jordan

Procedia PDF Downloads 455

Authors: Manmeet Kaur, Madhu Vij

Abstract:

The Board of Directors in a firm performs the primary role of an internal control mechanism. This Study seeks to understand the relationship between internal governance and performance of banks in India. The research paper investigates the effect of board structure (proportion of nonexecutive directors, gender diversity, board size and meetings per year) on the firm performance. This paper evaluates the impact of corporate governance mechanisms on bank’s financial performance using panel data for 28 listed banks in National Stock Exchange of India for the period of 2008-2014. Returns on Asset, Return on Equity, Tobin’s Q and Net Interest Margin were used as the financial performance indicators. To estimate the relationship among governance and bank performance initially the Study uses Pooled Ordinary Least Square (OLS) Estimation and Generalized Least Square (GLS) Estimation. Then a well-developed panel Generalized Method of Moments (GMM) Estimator is developed to investigate the dynamic nature of performance and governance relationship. The Study empirically confirms that two-step system GMM approach controls the problem of unobserved heterogeneity and endogeneity as compared to the OLS and GLS approach. The result suggests that banks with small board, boards with female members, and boards that meet more frequently tend to be more efficient and subsequently have a positive impact on performance of banks. The study offers insights to policy makers interested in enhancing the quality of governance of banks in India. Also, the findings suggest that board structure plays a vital role in the improvement of corporate governance mechanism for financial institutions. There is a need to have efficient boards in banks to improve the overall health of the financial institutions and the economic development of the country.

Keywords: board of directors, corporate governance, GMM estimation, Indian banking

Procedia PDF Downloads 231

Authors: Ayu Diar Sari, Sidharta Utama

Abstract:

The main objective of this study is to examine the empirical association among strategic corporate social responsibility (Strategic CSR), corporate governance (CG), and firm performance by investigating their causal effects. In order to get the comprehensive result, this study uses CSR variables which consist of Strategic CSR, Non-Strategic CSR and CSR as a whole. Exerting the two stage least square (2SLS) method, the result showed that CG mechanism positively influences CSR, Non-Strategic CSR, and firm performance (both ROA and PBV). CSR and Non-Strategic CSR positively influence ROA. Meanwhile CSR, Strategic and Non-Strategic CSR positively influence PBV. Firm’s Strategic CSR engagement plays a significantly positive role in enhancing PBV. The results supported the social impact hypothesis, agency theory, and conflict resolution theory.

Keywords: corporate financial performance, corporate governance, corporate social responsibility, strategic corporate social responsibility

Procedia PDF Downloads 268

Authors: Mujeeb Saif Mohsen Al-Absy, Ku Nor Izah Ku Ismail, Sitraselvi Chandren

Abstract:

This study examines whether corporate governance (CG) mechanisms in firms that have a whistle-blowing policy (WHBLP) are more effective in constraining earnings management (EM), than those without. A sample of 288 Malaysian firms for the years 2013 to 2015, amounting to 864 firm-years were grouped into firms with and without WHBLP. Results show that for firms without WHBLP, the board chairman tenure would minimize EM activities. Meanwhile, for firms with WHBLP, board chairman independence, board chairman tenure, audit committee size, audit committee meeting and women in the audit committees are found to be associated with less EM activities. Further, it is found that ownership concentration and Big 4 auditing firms help to reduce EM activities in firms with WHBLP, while not in firms without WHBLP. Hence, functional and effective governance can be achieved by having a WHBLP, which is in line with agency and resource dependent theories. Therefore, this study suggests that firms should have a WHBLP in place, and policymakers should come up with enhanced criteria to strengthen the mechanisms of WHBLP.

Keywords: corporate governance, earnings management, whistle-blowing policy, audit committee, board of directors

Procedia PDF Downloads 105

Authors: Venugopal Kummamuru

Abstract:

Corporate Governance (CG) is of utmost importance for running a company ethically. It is essential for the growth and success of the corporation. It is intended to increase the accountability of an organization to the larger context of the business environment. The general principles of CG include and are related to Shareholder recognition, Stakeholder interests, and focus on Corporate Social Responsibility (CSR), Clear Board responsibilities, Ethical behavior, and Business transparency. Network Marketing Organizations (NMOs) focus on marketing through direct-sales using people who are associated with the organization but are not their employees. This paper tries to study the importance of Ethics and CSR in an NMO and suggest a basic guideline for CG in NMO(s). This paper could be used as a basis or starting point for conducting an in-depth research to understand the difference in CG practices between NMO(s) and other organizations and define a standard set of guidelines for CG practice.

Keywords: corporate governance, corporate responsibility, direct selling, network marketing

Procedia PDF Downloads 281