70 research outputs found
The auditor as a change agent for SMEs: the role of confidence, trust and identification
No full textAlthough the auditor is one of the most important external business partners for an SME in terms of knowledge transfer and the mitigation of internal risks, an investigation of the performance drivers of the qualitative change induced by auditing has not taken place to date. Based on 166 auditor–client dyads (audit partners, CEOs/CFOs) of SMEs in Germany, we narrow this gap by examining the effects of auditor’s trust and auditor’s confidence in the client management and auditor’s identification with the client firm on the qualitative change induced (i.e.level of knowledge transfer, improvement of the internal control system). We find that the auditor’s identification with the client firm and the auditor’s confidence in the client management are highly relevant to the level of qualitative change perceived by the client, while previously used indicators of auditor expertise (e.g. audit firm size, level of non-audit services) do not reveal a significant effect. Interestingly, auditor’s trust in the client does not exert a significant effect, which might be due to the special setting of auditor–client relationships. In addition to the theoretical contributions, the findings have practical implications for SMEs as well as for auditors
Trust, control and knowledge transfer in small business networks
No full textThe ability to transfer knowledge effectively in the networks of small and medium-sized firms (SMEs) is paramount for supporting firm competitiveness. Our research is the first one that explores the joint effect of trust and control mechanisms on knowledge transfer in the case of networks of SMEs. We use a multiple case study approach based on six Italian networks of SMEs. We analyse the joint impact of different ethical based trustworthiness factors—namely benevolence and integrity—and the levers of control (LOCs)—namely, belief, boundary, diagnostic and interactive LOCs—on knowledge transfer between SMEs in networks. We find that trust substitutes for the implementation of boundary, diagnostic, and belief tools, while it works jointly with interactive tools in order to support knowledge transfer. These insights not only provide a rich foundation for follow-up research, but also inform SME managers about how to increase the effectiveness and efficiency of knowledge transfer with their network partners
Depolymerization of technical lignins by heterogeneous catalysis
No full textAuthor Verena Aschauer, BScMasterarbeit Johannes Kepler Universität Linz 2024Arbeit nach Ablauf der Sperre auf den öffentlichen PCs in den Bibliotheken der JKU+Medizin abrufba
Public investment and economic growth in Mexico
No full textMexico's growth rate began to plummet at roughly the same time that its public investment expenditures declined. That decline also appears to coincide with a slowdown in the growth of infrastructure capital in the electricity, transport, and communications sectors. Because of these parallel developments, many economists have attributed at least part of the blame for the decline in Mexico's growth after 1981 to the decline of public infrastructure investment. The empirical results presented in this report provide only limited support for this argument. They also suggest, in turn, that increases in public investment would not automatically translate into faster output and productivity growth. One reason not to take for granted a positive relationship between more public investment and faster growth is public investment's crowding out effect on private investment. Although the time-series regression results for Mexico all point toward a crowding out coefficient of less than unity, the existence limits the growth impact of public investment by reducing its net effect on capital accumulation. The time-series results also suggest that the economy's total factor productivity growth responds positively to increases in the ratio of public to private investment. In light of that result, increases in public investment should have a positive net impact on economic growth, despite significant crowding out effects. Chow breakpoint tests indicate, however, that the positive productivity effect appears to have weakened significantly in the past decade. A third reason for questioning a stable relationship is that the impact of increased public investment is likely to depend on how it is financed. The cross-country regressions reported here indicate that a general increase in the public capital stock has a positive impact on growth only if financed through savings generated through lower public consumption expenditures, but not if financed through higher public debt, which implies higher current and future taxation levels. The scope for reducing public consumption expenditures in Mexico is very limited, however, since they are already at rock bottom levels. Therefore, the only way to assure that the public investment program makes a significant contribution to growth is by improving its"quality"through careful attention to its rate of return and complementarity with private capital. In Mexico the most important reforms to make public investment more productive came from policymakers'recognition of the need to distinguish more clearly between the roles of the public and private sectors. This led to the privatization of most public enterprises and a reorientation of public investment to a more narrowly focused set of activities. In addition, the government took important steps to strengthen the institutional framework within which the public investment program is determined.Macroeconomic Management,Inequality,Economic Theory&Research,Environmental Economics&Policies,Economic Stabilization
Mandatory Audit-Firm Rotation and Prohibition of Audit-Firm-Provided Tax Services: Evidence from Investment Consultants' Perceptions
No full textImplementing shared service centres in Big 4 audit firms: an exploratory study guided by institutional theory
No full textImplementing shared service centres in Big 4 audit firms: a exploratory study guided by institutional theory
No full textCorporate Failure Prediction: A Literature Review of Altman Z-Score and Machine Learning Models Within a Technology Adoption Framework
No full textResearch on corporate failure prediction is focused on increasing the model’s statistical accuracy, most recently via the introduction of a variety of machine learning (ML)-based models, often overlooking the practical appeal and potential adoption barriers in the context of corporate management. This literature review compares ML models with the classic, widely accepted Altman Z-score through a technology adoption lens. We map how technological features, organizational readiness, environmental pressure and user perceptions shape adoption using an integrated technology adoption framework that combines the Technology–Organization–Environment framework with the Technology Acceptance Model. The analysis shows that Z-score models offer simplicity, interpretability and low cost, suiting firms with limited analytical resources, whereas ML models deliver superior accuracy and adaptability but require advanced data infrastructure, specialized expertise and regulatory clarity. By linking the models’ characteristics with adoption determinants, the study clarifies when each model is most appropriate and sets a research agenda for long-horizon forecasting, explainable artificial intelligence and context-specific model design. These insights help managers choose failure prediction tools that fit their strategic objectives and implementation capacity
Accounting Perspectives / The accuracy and informativeness of management earnings forecasts : a review and unifying framework
No full textThis paper synthesizes the literature on management earnings forecasts (MFs) and adaption mechanisms, combines existing theories into a unifying framework, and discusses the primary determinants of MF accuracy and informativeness. The proposed model refines existing theories by emphasizing the dynamics and multiperiod interactions among firm management, financial analysts, and investors, thereby simplifying the assessment of the complex relations within the forecast cycle. Furthermore, we analyze when and to what extent financial analysts and investors anticipate bias and misleading information. Overall, the literature review provides strong support for a positive correlation between the extent and credibility of MFs, on the one hand, and stock returns, share liquidity, and analyst coverage, on the other hand. Earnings forecasts tend to be optimistically biased, with a positive correlation with forecast uncertainty, earnings flexibility, financial distress, investor sentiment, and the share price dependency of managers' remuneration. Firm growth, legal liability, and litigation risk are significantly associated with forecast pessimism. We also find that MF accuracy increases with previous forecast accuracy, firm size, analyst coverage, analyst agreement, management qualifications, and corporate governance level. Moreover, investors do not anticipate the full extent of predictable forecast bias, leading to systematic share price drifts after the announcement of earnings forecasts and actual earnings. The study's results have substantial implications for researchers, firm managers, investors, financial analysts, and regulators. Although managers may enhance their forecasts' credibility by providing precise, bundled, and disaggregated forecasts, external stakeholders should carefully analyze forecast antecedents and characteristics to assess the direction and magnitude of expected MF bias.Version of recor
Familiarity Threat Arguement Revisited:Does Trust compromise Professional Skepticism
No full textAbstract:Trust between auditors and their clients is commonly thought to threaten auditors’ professional skepticism and thus compromise audit quality, although a systematic review of auditing literature provides an ambiguous picture. We close this gap by investigating the impact of auditors’ trust in their clients on the clients’ perceptions of their auditors’ professional skepticism. Further, we investigate the impact of auditor /audit firm tenure, non-audit services (NAS) and auditors’ confidence in their clients. We employ a two-study design. First, in a qualitative study conducted among auditors and clients, we identify their subjective theories of trust and discuss them against the backdrop of recent trust research to develop four hypotheses. In the second study, the hypotheses are tested in an OLS regression based on data from 218 auditor-client dyads in Germany. Then, our interpretations of the qualitative results are discussed with auditors, clients, policy makers and researchers via a moderated online forum. We find that close relationships between auditors and their clients do not compromise the perceived professional skepticism of auditors per se, but monetary ties and over-reliance on the clients’ abilities do. The long-term engagement of the audit firm and relationships characterized by strong identification-based trust, however, contribute to a climate of professional skepticism. Besides the theoretical contribution, the practical implications of our findings for (re)designing the regulations for auditing are discussed. <br/
- …
