bluuebunny/crossref_metadata_2025 huggingface dataset:
Profile of Early Adopters: SFAS 106
Authors: Leauby Bruce A. , Ugras Y. Joseph , Jeanne Welsh Mary
Published: April 2011

The Statement of Financial Accounting Standards No.106, Employers’ Accounting for Postretirement Benefitsother than Pensions is a dramatic change in how companies measure the cost of providing other post retirement benefits (OPEBs). Companies must change from pay‐as‐you go (cash‐basis) to an accrual method of accounting that is similar to that used for defined benefit pension plans.Our review of early adopters shows that most firms (59 out of 64) elected to recognize the transition obligation immediately, there by reducing current earnings and showing all the bad news in the first year of adoption. From an Income Statement viewpoint, the accrued based OPEB cost under SFAS 106 is 1.63 times larger than the previous year cash basis method, increasing from an average of $13 million to $21 million. From a Balance Sheet perspective, the average recorded liability as a percent of equity exceeds 15 percent. Since companies will adopt this standard over a long transition period, it may be several years before valid comparisons and conclusions can be made about the total impact of SFAS 106.
Do the Foxes Guard the Hen House? A Note on Agency Costs
Authors: Dowen Richard J. , Mann Thomas L.
Published: April 2011

It is a fairly common practice for the CEOs of onecorporation to serve on the Board of Directors of another corporation. The question addressed here is the effect that the presence of outside CEOs on the Board of Directors has on the compensation of the firm’s CEO. There are two alternative views that emerge from the literature. One view is that CEOs are selected to serve as directors because they will back management, including proposals for increased compensation. The other possibility is that a CEO knows the techniques that another CEO may use to obtain increased compensation and will thus serve as a better watch dog than a non‐CEO. Using a sample of the Fortune 1000, we find that for non regulated firms there is a negative relationship between the proportion of outside CEOs serving on the board and three different measures of CEO compensation after controlling for firm performance in four different ways.
Determinants of Bank Profitability
Authors: Chaudhry Mukesh , Chatrath Arjun , Kamath Ravindra
Published: April 2011

This study investigates the determinants of profitability of U.S. commercial banks in the 1970s and 1980s. It is established that banks, depending on their size, may need to exercise greater control over a defined set of variables in order to maximize profits and/or minimize costs. Further, the study provides some indirect evidence of economies of scale/scope in certain aspects of the banks’loan and investment portfolios.
A Dynamic Model of Quality Cost Expenditures
Authors: Prasad Sameer , Tyson Thomas
Published: April 2011

Traditional, single time‐period models of quality cost expenditures assume static conditions and ignore the impact of the learning curve effect on a firm’s product quality, and that of quality improvement efforts by the competitors. In this paper we incorporate both factors in a dynamic model of quality cost expenditures. The interactions not only show how firms can remain competitive, but also how they can achieve a competitive advantage. In addition, the dynamic model shows that quality learning will always lead to fewer product defects, but that total quality cost on a per unit basis will vary according to the interaction of these two factors. This model should also help managers plan, evaluate, and justify voluntary quality cost expenditures.
Total Quality Service and the Business College
Authors: Perotti James
Published: April 2011

Moving a business college to commit to a total quality service approach is much more difficult than the literature suggests. The commitment to customer satisfaction is the essential focus of total quality service. It is unlikely to occur in business colleges. While small incremental change is readily possible, the values and culture of the faculty and administration prevent the requisite acceptance by the faculty of students as their customers, and acceptance of the faculty as customers of the academic administrators.The payoff for achieving high quality service in businesses and business colleges is the loyalty and gratitude from customers, resulting in ever higher demand for the service. Having students begging to be admitted to the college, having large numbers of students trying to take business courses would put the business college in an enviable position within the university. The grateful alumni could, in turn, help with employment opportunities and with major gifts to the college.
Changes in Working Capital of Small Firms in Relation to Changes in Economic Activity
Authors: Lamberson Morris
Published: April 2011

This paper studies how the working capital position of small firms responds to changes in the level of economic activity. Fifty small firms were studied for the time period 1980‐1991. The findings from this study showed that liquidity increased slightly for these firms during economic expansion with no noticeable change in liquidity during economic slowdowns. Their investment in working capital, as measured by the inventory to total assets and current assets to total assets ratios, were relatively stable over the time period of this study.Findings suggest that working capital management practices of small firms in response to changes in economic activity do not follow commonly held expectations.
Procedures for Improving Security of Local Area Networks
Authors: Haugen Susan D. , LaBarre James E. , Korn Willard M.
Published: April 2011

Security of data and information has always been a concern for business organizations. With recent trends towards down‐sizing and the implementation of Local Area Networks, the necessity for the development of carefully formulated policies and procedures for data security has taken on a new emphasis. Auditors are responsible for the verification of security measures, as well as recommending corrective actions or proper measures when risks and exposures are found. The authors provide an overview of the important security considerations, identify threats common to the data and information managed by the organization, and recommend procedures to effectively secure the Local Area Network.
Use of Videotape in the Management Classroom: An Empirical Study
Authors: Lacho Kenneth J. , Herring Robert A.
Published: April 2011

A review of the literature found that little research has been conducted on the use of videotape in the teaching of management courses in university schools of business. Utilizing an adaptation of Gioia and Brass’s (1985‐86) “repertoire of observational techniques,” survey responses were obtained from a nationwide sample of 262 management faculty. Age was found to be the sole differentiating factor in current as well as expected future use vs. non‐use of videotape. Current practices in a wide variety of aspects of video usage are also examined. Implications of the results, including the impact of barriers to the use ofvideotape in the classroom are discussed.
Advisory Services LTD: An Interdisciplinary Project Involving Accounting and Technology Students
Authors: Cooper William D. , Griffin Lynn , Malone Charles F.
Published: April 2011

This paper describes a semester‐long project involving senior‐level accounting students enrolled in Principles of Auditing and senior technology majors enrolled in a Manufacturing Planning and Management (MPM) class in the School of Technology. As part of their course requirements, the technology students establish a real company,raise capital, market a product, distribute profits/losses,and liquidate the company at semester‐end. The accounting students, working in teams, act as advisors (consultants) to this business. Team tasks include developing an accounting system, assisting with the preparation of budgets and financial reports, and analyzing the overall performance of the company. To complete their part of the project, each auditing team must meet with appropriate members of the MPM class, analyze their assigned task, propose a solution or map out a course of action for the MPM students, and prepare both a written and oral report for the MPM students detailing their analysis and findings. Thus, for the auditing students, the project helps hone interpersonal, writing, and oral presenting skills.
Keys to Creative Business Teaching via Distance Education
Authors: Coombs Gary
Published: April 2011

In this paper, I will discuss basic concepts of distance education and will provide suggestions for ways to increase student involvement and satisfaction with the course. Teaching business and related courses in a mediated classroom setting does not have to be an impersonal, negative experience for either the students or the instructor. Increased levels of planning and preparation for the distance‐education course are necessary to make it successful. My experience using frequent experimential exercises in a two‐way interactive televised class are described.
Commercial Sales in Cable Television: An Overview and a Linear Model
Authors: Aiyer Jagu  P. , Rajgopal Jayant
Published: April 2011

This paper deals with the sales of commercial advertisements in the cable television industry. It describes the dynamics of the process, and develops the notion of an audience loss function, the minimization of which is equally desirable to both networks as well as advertisers. A simple, yet robust delivery‐efficient linear model is described for optimizing this loss function, subject to the constraints that are typically inherent in the process. This is followed by a numerical illustration that uses realistic data, and a discussion on the use of the model.
Managing the Costs of Power
Authors: Tracy Lane
Published: April 2011

Executives generally desire more power because it is useful. Business firms like wise try to gain power overeach other. Yet power also has costs that should be considered and managed. There are costs of acquisition, storage, and maintenance of the resources that supply power, as well as costs of using those resources to gain influence. This article analyzes those costs and suggests ways of minimizing them.
Women’s Advancement in the Accounting Profession: Consideration of Person‐Centered and Organization‐Centered Explanations
Authors: Omundson Janet S. , Schroeder Richard G. , Stevens Mary B.
Published: April 2011

Despite the entry of large numbers of women into the accounting profession over the last decade, few women have reached top management levels. Two alternative paradigms that attempt to explain this phenomenon are the person‐centered explanation and the organization‐centered explanation. This study explores the Type A ‐ Type B personality traits, job satisfaction and turnover intentions, while controlling for level of decision making authority andoccupational setting, for a sample of certified public accountants. The research was undertaken to determine if women differ from men in any of these orientations and attitudes, and to assess whether any observed differences lend support to the person‐centered explanation on women’s failure to advance in the accounting profession. The results confirmed previous research which has indicated that Type A prone personality is associated with advancement in the accounting profession, and that women accountants possess relatively higher Type A prone personalities than men. The results also indicate that both level of decision making authority and occupational setting are significant factors associated with personality. The only significant factor found to be related to job satisfaction and turnover intentions was level of decision making authority. It was concluded that women possessed the personality characteristics necessary for success in the accounting profession, but were not advancing. Consequently, the results failed to support the person‐centered explanation on women’s failure to advance in the accounting profession.
International Cultural Diversity and the Design of Management Accounting Systems
Authors: Brewer Peter C.
Published: April 2011

This article uses Geert Hofstede’s taxonomy of work‐related cultural values to examine the relationship between international cultural diversity and the practice of management accounting. The discussion is presented in two parts. First, is a discussion of the relationship between international cultural diversity and the design of cost management systems. Second, management control systems are implicated into the discussion.
Gender Differences in the Attitudes of Teenagers Toward Unions
Authors: Heshizer Brian , Hrivnak Mary W. , Sterbenz Kathleen
Published: April 2011

This study investigated whether male and female high school students hold different attitudes about unions. Results indicated that female students perceived unions as less effective, less influential, and less powerful than male students. These differences remained after statistically controlling for work, social, and demographic factors. Thus, gender‐based attitude differences are being formed as young people make the transition from school to work. However, no gender‐based differences were found concerning willingness to vote for union representation. Suggestions on how unions can use these results and future research questions are discussed.
Workforce Skill Choices and Manufacturing Environments
Authors: Pagell Mark , Vickery Shawnee
Published: April 2011

It has long been recognized that changes in production technology have effects outside the manufacturing unit of the firm. Although researchers have examined the effects of new technologies (e.g. increased automation) on the workforce, these studies have generally examined only technology effects, and have not examined ways of integrating workforce and manufacturing process technology decisions. This paper is a first step toward building a model that integrates workforce and operations decisions by identifying what factors drive managerial choices of skill levels in various manufacturing environments. The model is based upon the literature and empirical data from three case studies. Major findings are that skill level choices are driven by the complexity of a firm’s shop floor and external environments as well as specific labor force issues such as the existence of a union.
Cross‐Functional Interface of Marketing and Accounting
Authors: Stephens James A. , Archambault Jeffery
Published: April 2011

For competitive reasons, many business organizations are becoming more flexible in their operation and cross‐functional in design. Increased emphasis on satisfying the final consumer has led businesses to recognize that value contributions, from internal and external organizational members in the value‐chain, are necessary to efficiently and effectively reach expected levels of customer satisfaction. This broadened cross‐functional and networked perspective has placed greater emphasis on the role performed by all components in the value‐chain. Several changes in marketing such as an emphasis on data‐based marketing, a value‐added focus, a market‐response orientation, and accountability of marketing effort are critical components of this broadened perspective. Additionally,several changes in management accounting such as the use of activity‐based‐costing, focus on strategic cost management, and target‐costing have come together to make this integrated perspective possible. This paper explores how integration of these trends, particularly the trends of data‐based marketing and activity‐based‐costing, can improve customer satisfaction and lead to long‐term competitive advantages.
TQM Stress MIS
Authors: Spencer Michael S. , Duclos Leslie K.
Published: April 2011

As an operating philosophy, TQM has crossed departmental and disciplinary boundaries as a way to increase productivity and improve quality. Information Systems Managers, particularly those supporting legacy systems,face substantial challenges in an organization implementing TQM. A principle philosophy of TQM is that of continuous improvement resulting in a continuous stream of change requests for the IS department. IS managers must understand this as a source of the increase in change requests and seek ways to successfully manage them. In the short run, one method is active participation on the quality teams suggesting such changes. The long run, however, requires a proactive stance by the IS department that includes implementation of the TQM philosophy throughout its own ranks. Otherwise, the IS department will continue to be stressed by an avalanche of change requests and viewed as a roadblock to successful TQM implementation.
A Cross‐Functionally Integrated Undergraduate Business Core Curriculum
Authors: Bishop Terrence R. , Vaughan Timothy S. , Jensen Gerald R. , Hanna Nessim , Graf David
Published: April 2011

In the summer of 1993, a faculty team from the College of Business at Northern Illinois University began working to develop a cross‐functionally integrated undergraduate business principles core curriculum. This paper describes the integrated curriculum, which is comprised of a nine‐hour integrated lecture covering business principles and a three‐hour applications seminar. Both of these courses,which are team taught, are described in the paper. The aper also discusses numerous lessons and issues that should be taken into consideration throughout comprehensive integration efforts.
Gender Differences in the Job Attitudes of Accountants
Authors: Baird Jane E. , Zelin Robert C. , Marxen Dale E.
Published: April 2011

The cost of losing quality employees can be expensive for companies and firms. Higher rates of turnover for women, particularly in public accounting, have sparked efforts to resolve the problem. To further understanding of the current job attitudes of men and women accountants, over 500 accounting graduates employed in a variety of positions were surveyed. Scales were used to measure the following job attitudes: two types of Organizational Commitment (Affective Commitment and Continuance Commitment), Job Satisfaction, Intrinsic Satisfaction, Job Security and Turnover Intentions. The results indicated that the men and women accountants had many similar, positive job attitudes, but there were some notable cross‐gender differences. Overall, men tended to be more intrinsicallysatisfied and affectively committed to their jobs, primarily because they were older and had been in their jobs longer. For the women, unlike the men, job tenure was not associated with higher satisfaction levels or greater feelings of attachment to their organizations. Additionally, economic‐related factors such as percentage of household income contributed, job security, and continuance commitment (attachment to a job’s benefits) were associated with lower reported turnover intentions for men, but not for women. Implications of these findings are discussed.
Influence Tactics as Signals of Fit and Precursors of Turnover
Authors: Thacker Rebecca A.
Published: April 2011

A major premise of this paper is that organizational values are likely to be expressed in the type of influence tactics successful individuals employ. The purpose of this study is to explore the notion that individuals can gauge their fit with the organization according to their perception of the influence tactics they think are important for success. Specifically, this research is premised upon the assumption that individuals, over time, acquire a sense ofthe influence tactics they believe are important, and gauge their fit with the organization accordingly. This study is longitudinal in nature, and includes a measurement of turnover, permitting further exploration of the individual’s perception of fit with the organization. This study is unique in that no research to date has explored the relationship between turnover and individuals’ perceptions of those tactics they think are important for success.
Teaching Computer Software Skills: Matching Teaching and Learning Styles
Authors: Mueller Carolyn B. , Sanman Ma Cynthia
Published: April 2011

This study investigates whether matching teaching approach with student preferred learning style is importantat the undergraduate level. The results suggest that there is a significant association between three areas (1) traditional in‐class and self‐paced teaching approaches,(2) individuals’ preferred learning styles defined as nstructor‐dependent and independent study, and (3)computer skills proficiency. It appears that students who worked independently developed tools necessary to achieve the same level of skill mastery as students who relied on in‐class instruction and instructor assistance, and there was no significant difference between the two groups in the amount of time spent in completing assignments.The results support the idea that students are likely to learn best, in terms of effectiveness and efficiency, when the teaching method most compatible with each student’s choice of learning style is used.
Faculty Internships in Family Business
Authors: Filbeck Greg , Skutch Debbe , Dwyer Deborah J.
Published: April 2011

Faculty internships in family business offer potential benefits to faculty, students, and the community by blending academics with real world business. The purpose of the paper is to report how faculty internship experiences in family businesses enhance the goals of continuous improvement of curriculum and research output in a business school. The University of Toledo Center for Family Business embarked on a pilot faculty internship program during the summer of 1998. We detail the back ground for the Stranahan Faculty Program at the University of Toledo, discuss the program implementation, and report the final organizational level assessment.
Developing and Managing Corporate‐Academic Alliances
Authors: Marchewka Jack T. , Neeley Lynn
Published: April 2011

Strategic alliances between academic and corporate partners can provide exceptional benefits and reveal new opportunities for shared value. Benefits and opportunities include alternative sources of funding to support academic programs, more effective and efficient matching of students with prospective employers, applied research for faculty, innovative and mutual learning environments, and improved business practices. The focus of this paper will describe how three corporate‐alliance relationships with Northern Illinois University’s College of Business were initiated and developed. Other schools and companies looking to develop similar relationships may hopefully benefit from the College of Business’s experience. Moreover, corporate and academic alliances provide a potentially rich area of research.
Use of Short‐run Statistical Process Control Techniques: A Comparison of JIT and Non‐JIT Manufacturing
Authors: Kim Gyu C. , Schniederjans Marc J.
Published: April 2011

The purpose of this paper is to compare implementation of short‐run (i.e., small lot‐size) statistical process control (SPC) techniques in just‐in‐time (JIT) manufacturing environments. Using U.S. and Japanese questionnaires, this research focuses on the use of several manufacturing elements such as setup time, stability of process and quality improvement. Barriers to the implementation of short‐run SPC techniques are also examined. Results show significant difference in the way some short‐run SPC techniques are utilized by JIT and non‐JIT manufacturers.
Best Practice Customer Value and Satisfaction Cultures
Authors: Garver Michael S. , Cook Robert L.
Published: April 2011

To use customer value and satisfaction data effectively, the company culture must embrace, support, and encourage customer value and satisfaction initiatives. The purpose of this article is to discuss the nature of a customer value and satisfaction culture and to model how best practice companies transform their cultures. The research results make a contribution to the literature by revealing unique insights into the nature of a customer value and satisfaction culture and by offering practitioners a model of how to manage such a culture.
Strategies Used by Small Business Entrepreneurs
Authors: Lussier Robert N. , Sonfield Matthew C. , Corman Joel , McKinney Mary
Published: April 2011

This descriptive study of 184 small firms identified strategies most frequently used by their managers. These strategies were identified using the Entrepreneurial Strategy Matrix, a situational model in which the identification of levels of innovation and risk lead to prescriptions of appropriate strategies. Concurrently, this model was empirically tested and its validity supported. Of the strategies used, the five most common were: “work to create a competitive advantage,” “maintain innovation,” “lower the costs of developing and/or maintaining one’s venture,” “defend product/service as it is now,” and “create a first mover advantage.” In addition, there were no differences between the use of strategies by entrepreneurs in service and manufacturing industries.
People, Prose, and Processors: The Haworth College of Business Electronic Portfolio Project
Authors: Rooney Pam , Rea Alan
Published: April 2011

This article describes the origin, design, and implementation of the Haworth College of Business Electronic Portfolio Project, a curricular innovation that is one of the key components of the college’s newly revised and reaccredited undergraduate business program. Included in the article is a description of the portfolio process, its creation, and initial implementation, including implementation challenges and issues. Throughout the discussion, goals and the challenge of meeting them are examined, and suggestions for continuous improvement are explored. The article offers key issues to consider before adopting a portfolio process on a large scale.
Personality Differences and Computer Related Stress in Business Students
Authors: Towell Elizabeth R. , Lauer Joachim
Published: April 2011

There has been long‐term interest in the processes that affect human‐computer interaction, particularly those causing stress. Computer related stress has previously been correlated to general stress (Cohen, Kamarack, and Mermelstein 1983) and to somatic complaints (Derogatis et al. 1974). A negative correlation between perceived stress and academic performance has also been documented (Hudiburg and Jones 1991). This study compares computer related stress levels in three business student populations (239 students): juniors who have not begun their major course work, seniors who are MIS majors, and graduate MBA students. Using standard analysis of variance, we found that MIS students experienced a significantly higher number of stressors than the other two groups and a greater average severity of stress than the premajors. Human‐computer interaction is suspected to be more stressful for MIS students than other business students because their use of computers is greater and their grades are more heavily weighted toward computer work. This study further considers the various personality types/learning styles of these students and investigates how they might be accommodated to minimize anxiety. The Myers‐Briggs Type Indicator (MBTI) test and a computer assignment preference test were administered to the 239 students. Recommendations for different learner types, in terms of environment variables and computer assignment characteristics, were made.
Value Relevance of Unrealized Foreign Currency Translation Gains and Losses
Authors: Bazaz Mohammad S. , Senteney David L.
Published: April 2011

This study uses an equity valuation model to investigate the extent to which SFAS No. 52 unrealized foreign currency translation gains and losses are reflected in levels of equity security prices. Equity security price is used as the dependent variable in our selected model. Book value of equity (adjusted for the cumulative translation gain or loss), earnings, and cumulative translation gains and losses are used as independent variables. Our results indicate that, generally, translation gains and losses are valued, but losses have a greater impact than gains and the value seems to change over time in setting the levels of equity share prices of USbased MNCs. On a pooled basis, the results are clearly statistically significant, although the statistical significance of the results appears to vary with the annual time period examined. Our results are consistent with the SFAS No. 52 intention that these gains and losses be treated as unrealized as the net exposure is considered long‐term in nature for foreign currency functional currency subsidiaries. Our results appear consistent with extant literature suggesting that unrealized foreign currency translation gains and losses are directly valued ‐ although not dollar for dollar ‐ in a manner similar to earnings (i.e., unrealized gains are associated with positive equity returns and unrealized losses are associated with negative equity returns).
Enhancing the Emotional Intelligence of Salespeople
Authors: Sojka Jane Z. , Deeter‐Schmelz Dawn R.
Published: April 2011

In today’s rapidly changing sales environment, successful salespeople must acquire skills that give them a competitive advantage. Emotional intelligence (EI), defined as perceiving, interpreting, and reacting to one’s own and others’ emotions, is offered as one critical skill that will allow salespeople to guide their behavior and think in ways that can enhance their sales performance. In this paper, we review emotional intelligence and discuss how it is related to existing theories of sales performance. Research propositions are then developed based on the Walker, Churchill, and Ford (1977) sales performance model. Strategies for sales practitioners are proposed, and additional opportunities for future research are identified.
The Social Impact of Business Failure: Enron
Authors: Sridharan Uma V. , Dickes Lori , Royce Caines W.
Published: April 2011

Between October and November 2001 the world witnessed the collapse of Enron, a major US publicly traded corporation with global operations. The Enron case highlights the impact corporate failure has on American society and capital markets and underscores the need for better enforcement of regulations and ethical business behavior. This paper discusses the role played by Enron’s senior management, its board of directors, Enron’s auditors, consultants, bankers, Wall Street and the government, in the spectacular rise and fall of this corporate giant. It also examines the impact of Enron’s failure on its employees, the employees of Andersen, and on thousands of ordinary Americans who invested in the stock via their pensions and mutual funds. This paper highlights the conflicts of interest that pervade the financial system and discusses the social and financial impact of a combined business and oversight failure. Students and teachers of finance, corporate governance, and business strategy may be interested in this paper as a pedagogical tool to teach undergraduate finance, business ethics, business strategy, and corporate governance.
More Than Altruism: What Does the Cost of Fringe Benefits Say about the Increasing Role of the Nonprofit Sector?
Authors: Emanuele Rosemarie , Simmons Walter O.
Published: April 2011

Previous research has found that nonprofit organizations pay lower wages than do other organizations. This has been attributed to altruism on the part of workers who are willing to donate some of the value of their time to organizations that support causes in which they believe. This paper extends that analysis to the cost of fringe benefits. Do nonprofit organizations spend less on fringe benefits than do other organizations? Utilizing a data set containing information on wages and fringe benefits in the nonprofit sector we estimate a standard wage equation to test for such a relationship. We find that not only are nonprofit organizations spending less on fringe benefits than are other organizations, but that they are spending significantly less than would be predicted by the previous research on nonprofit wage differentials.
Selecting a Business College Major: An Analysis of Criteria and Choice Using the Analytical Hierarchy Process
Authors: Strasser Sandra E. , Ozgur Ceyhun , Schroeder David L.
Published: April 2011

According to the Chronicle of Higher Education (2001), 15 percent of entering freshmen believe that there is a good chance they will change their college major and 8 percent are undecided. To gain insight into the criteria that students use to select a major, a model of the student decision making process was developed using the Analytic Hierarchy Process (AHP). This model predicted student’s first choice major with 88 percent accuracy for sophomores and seniors. An analysis of the criteria revealed judgement inconsistencies, particularly for accounting, finance, and decision science majors. Not surprisingly, sophomores were more inconsistent in their decision making than were seniors. It was also determined that students clustered the majors into two separate groups, viewing accounting, finance and decision science majors differently than marketing and management majors
Investing with a Conscience: An Evaluation of the Risk‐Adjusted Performance of Socially Responsible Mutual Funds
Authors: Edwards Ed , Samant Ajay
Published: April 2011

This study evaluates risk‐adjusted performance of socially responsible mutual funds during the period 1991‐2000, using objective statistical measures grounded in modern portfolio theory. A socially responsible mutual fund is defined as one which employs “social screens” in stock selection, such as whether a fi rm manufactures tobacco products, whether it is in the gambling business, whether it heeds environmental safety, its human rights records, etc. The main objective of this study is to provide empirical documentation on the risk‐adjusted returns of these mutual funds, for the benefit of investors. To our knowledge, this is one of the first, if not the first, academic study to utilize a relatively new risk‐adjusted performance measure, posited by Nobel Laureate Franco Modigliani and Leah Modigliani in 1997 (hereafter referred to as M Squared), to evaluate socially responsible mutual funds. The idea that underlies their methodology is to adjust the investment risk of a mutual fund to the level of risk in an unmanaged benchmark stock‐market index and then measure the returns on the risk‐matched fund. The M Squared measure not only relates the level of risk to the level of reward, but also enables risk‐adjusted returns to be reported on a percentage basis, rather than on an absolute basis, which makes them more easily understood by the average investor. The results of this study can be used in decision making by investors who seek objective criteria to select a socially responsible mutual fund from among a menu of several funds.
Bankruptcy Prediction: The Case of the CLECS
Authors: Wagner Ricci Cecilia
Published: April 2011

The Telecommunications Act of 1996 led to the creation of the competitive local exchange carriers, known as CLECS (pronounced sea‐lecks). Despite a strong beginning and great optimism, between January 2000 and September 2002, almost half of the publicly held CLECS filed for bankruptcy. Though their path to bankruptcy was typical, the atmosphere surrounding the CLECS was not. They enjoyed the strong support of Wall Street analysts in the form of positive reports and buy ratings, as well as support from institutional investors in the form of investments, for much of their lives. This support may have been the consequence of the telecommunications mania that marked the late 1990s and part of 2000, or, it has been alleged, the result of unethical and possibly illegal behavior on the part of some of Wall Street analysts. Though this situation will no doubt generate a great deal of research in the coming years, this paper examines one of the most important issues that is prompted by the question: Using metrics that are readily available, could investors, analysts and other interested parties have predicted which CLECS would file for bankruptcy prior to the filings? This study attempts to respond to this question by envisioning a scenario in which an investor, analyst, or other observer learns in 2001 that three of the CLECS filed for bankruptcy in 2000. In response, the interested party reads some of the literature on predicting bankruptcy, and then uses certain of the methods described to determine which of the remaining CLECS are likely to become insolvent in 2001 and 2002.
Perceptions of Women as Managers in Chile and the United States
Authors: Owen Crystal L. , Scherer Robert F. , Sincoff Michael Z. , Cordano Mark
Published: April 2011

The objective of the current study was to determine if stereotypical perceptions of women as managers existed among men and women in two different cultural settings, the U.S. and Chile. Using the Women as Managers Scale (WAMS), 412 participants from the U.S. and Chile responded to questions about their perceptions of women performing managerial roles and tasks. Gender and culture effects were identified at both the multivariate and univariate levels.1 The results showed that male subjects in both cultures had more stereotypical and negative perceptions of women as managers than did female subjects, and the U.S. participants (both male and female) had more positive and less stereotypical perceptions of women as managers than the Chilean participants. Implications for research and practice in cross‐cultural and international management are discussed.
Global Account Management: A Literature Based Conceptual Model
Authors: Wilson Kevin , Weilbaker Dan
Published: April 2011

Global Account Management (GAM) is not a recent phenomenon. Xerox first appointed global account managers in 1988 and Citicorp has a history of using GAM processes that go back over twenty‐five years. What is new is that GAM has emerged as one of the major strategic issues facing multinational companies operating markets that are thinking globally. As a consequence GAM has stimulated growing interest among academics and a flurry of experiential articles in practitioner journals and “How we did it” presentations at conferences. Over the past few years a number of major research initiatives have produced papers that attempted to build upon the rather fragmented outputs addressing GAM related issues that began to emerge during the middle of the 1990s. Three of the recent studies of particular interest are: The SRT/SAMA Global Account Management Study; The GAM Contingency Model; and The St.Gallen GAM Study. Even though each has provided valuable insights into the GAM process the new conceptual model provided in this paper is the first attempt to integrate all of the individual findings. A number of propositions are offered in an attempt to stimulate research in the area.
The Informational Content of Consumer Expectations on the Direction of Exchange Rate Movements
Authors: Simpson Marc W. , Ramchander Sanjay
Published: April 2011

This paper shows that the University of Michigan’s ”Survey of Consumers“ can be useful in predicting the direction of change in five U.S. dollar exchange rates. The explanatory power, however, is contingent on the particular survey question employed and the forecast horizon under consideration. The study finds that the survey question regarding car purchases does especially well in predicting the future direction of exchange rate movements. Furthermore, the results generally indicate that the survey is more useful when making distant (i.e., 12‐month ahead) currency forecast than for making near term (i.e., 3‐month and 6‐month ahead) predictions.
Family Business Management Activities, Styles and Characteristics: A Correlational Study
Authors: Lussier Robert N. , Sonfield Matthew C.
Published: April 2011

In the literature of family business, certain management activities, styles and characteristics have been most frequently examined. Yet no prior research focusing on the relationship between these family businesses variables has been found. This is a survey‐research correlation study of 149 family businesses. Of the twelve variables studied, twenty of the sixty‐six correlations were found to be significant. Major findings are the consistent use of professional management activities, styles and characteristics in family businesses, and that using non‐family members within top management does not significantly increase the professionalism of management of such businesses.
An Explanatory Model and Measurement Instrument: A Guide to Supply Chain Management Research and Applications
Authors: Tracey Michael , Fite Richard W. , Sutton Mathias J.
Published: April 2011

The goal of this exploratory study is to establish an explanatory model and corresponding instrument to help further understand, and conduct research in the area of supply chain management (SCM). Constructs pertaining to SCM assimilation, SCM outcomes, and overall firm performance are operationally defined in terms of their dimensions and items. The business literature is utilized to help define the constructs and to generate potential measurement items. The scales are then purified and a preliminary test for predictive validity is performed.
Third‐Party Warehousing Selection: A Comparison of National and Regional Firms
Authors: Moberg Christopher R. , Speh Thomas W.
Published: April 2011

Warehousing remains the most frequently outsourced logistics activity, but empirical research on the third‐party selection process for warehousing remains scarce. The main goals of this research were to identify the most critical factors to customers during third‐party warehousing selection and to compare the perceived performance levels of national and regional third‐party firms on each of the selection criteria. Surveys were sent to warehousing customers in several industries. Responsiveness to service needs, quality of management, and track record of ethical importance were rated by customers as the most important selection criteria. Results indicate that respondents also rated the performance of the typical regional third‐party warehousing firm as significantly better than national firms on six different criteria while national firms were rated significantly higher on only one criterion. It is hoped that this research can provide guidance to logistics managers as they evaluate third‐party warehousing options.
Recognizing Decline: The Role of Triggers
Authors: Gopinath C.
Published: April 2011

Existing models of decline and turnaround assume an automatic initiation of a turnaround strategy when decline occurs. However, extended decline over time suggests that the turnaround strategy did not match the causality and severity of the situation. Borrowing from the crisis management literature, this paper argues that a triggering event or events needs to shock incumbent management into realizing that different action is called for. Such triggering events, or triggers, also play a role in the turnaround process by influencing strategies and inducing management changes. Incorporating the need for, and role of, triggers in understanding the decline/turnaround sequence helps explain the iterative and non‐sequential nature of this process.
International Diversification and Retirement Withdrawals
Authors: Ervin Danny M. , Filer Larry H. , Smolira Joseph C.
Published: April 2011

This study evaluates the success of the monthly withdrawal of funds from hypothetical retirement portfolios for the period January 1930 to December 2001. The objective of this research is to provide an empirical examination of the historical effect of global diversification on the withdrawal of funds from a retirement portfolio. We compare portfolios consisting of U.S. stocks and U.S. corporate bonds, and portfolios consisting of global stocks and U.S. corporate bonds. We examine both portfolio compositions using a variety of portfolio weights, fund withdrawal rates, and fund withdrawal periods. The results of the study indicate that, in general, portfolios with a higher equity portion had a greater likelihood of sustaining a given number of withdrawals over this time. Additionally, for much of the 1930 to 2001 period, including international stocks in a withdrawal portfolio decreased the likelihood the withdrawals lasted for a given period. However, the inclusion of international stocks does increase the terminal value of retirement portfolios after withdrawals during the latter part of the period under study. The results of this study can be used for retirement planning since it provides a historical perspective on the success of various withdrawal rates. The results can also be used to determine the value of the portfolio an individual needs at retirement to fund a given level of withdrawals. This can assist in the retirement timing decision.
An Analysis of Working Capital Management Results Across Industries
Authors: Filbeck Greg , Krueger Thomas M.
Published: April 2011

Firms are able to reduce financing costs and/or increase the funds available for expansion by minimizing the
amount of funds tied up in current assets. We provide insights into the performance of surveyed firms across key
components of working capital management by using the CFO magazine’s annual Working Capital Management Survey. We discover that significant differences exist between industries in working capital measures across time. In addition, we discover that these measures for working capital change significantly within industries across time.
Modeling Tool Impact on Defect Identification in IS Design
Authors: Eierman Michael A. , Hungerford Bruce C.
Published: April 2011

The Unified Modeling Language (UML) has received significant attention as the tool of the future for modeling information systems. However, prior to the development of the UML, IS modeling was done with tools such as Data Flow Diagrams (DFDs) and Entity‐Relationship Diagrams (ERDs). These tools have been developed over many years of information systems development and taught to thousands of information systems professionals. Many organizations continue to use these tools, and many other organizations use these tools but are considering switching to the UML. While the UML is being promoted as the future of IS modeling, there is little empirical evidence that suggests it is a better tool than the traditional approach. This research seeks to inform the decision to adopt the UML over traditional modeling tools by examining the efficacy of the two modeling tools in the identification of design defects in an information system model. The study involved MIS students attempting to find defects embedded in a model of an information system. The study finds that students using UML were able to find approximately twice as many of the defects injected in the model as those using traditional modeling tools.
The Impact of Structural Prescriptions on Joint Venture Survival
Authors: Kaufmann Jeffrey , O’Neill Hugh M. , York Anne S.
Published: April 2011

Prior research on joint ventures using both legal and strategic perspectives provides several transaction cost‐based prescriptions for structuring joint ventures to minimize the threat of opportunistic behavior by venture partners. However, the effects of these prescriptions on the subsequent survival of the alliance are largely untested. Using survey data from senior managers responsible for alliance participation to explore these relationships, results show that many of the prescriptions that impact venture formation also impact survival, but in a somewhat different and more complex manner than previously thought. Managers desiring to influence the long‐term survival of a joint venture should focus on the factors that best fulfill their goals for the partnership. By clarifying these issues we seek to inform our understanding of how the transaction cost‐based prescriptions influence alliance survival, enhance managers’ ability to capture the gains from this potentially valuable strategic tool, and raise important considerations for future research.