Nguyen Huu Thien, Jawad Asif, Qian Long Kweh and Irene Wei Kiong Ting
This study analyses the effects of firm efficiency on firm performance and how controlling shareholders moderate the link between the two variables.
Abstract
Purpose
This study analyses the effects of firm efficiency on firm performance and how controlling shareholders moderate the link between the two variables.
Design/methodology/approach
This study employs data envelopment analysis to estimate firm efficiency and the panel regression method to assess the hypothesised relationships among 1,295 firm-year observations of publicly listed firms in Malaysia from 2015 to 2019.
Findings
The results indicate that firm efficiency (technical efficiency, pure technical efficiency and scale efficiency) has mixed relationships with firm performance (return on assets, market-to-book ratio and operating cash flows), all of which are being moderated by controlling shareholdings.
Practical implications
This study highlights the importance of assessing firm efficiency as the key success factor for improving firm performance. Industrial managers should manage efficiently their resources or operating costs in achieving their corporate financial goals. Moreover, this study notes the presence of controlling shareholders, who can be either self-interested or company goal aligned.
Originality/value
This study suggests becoming efficient in transforming inputs into outputs is a prerequisite before investigating accrual-based and cash-based firm performance measures, and the presence of controlling shareholders matters in these regards.
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Keywords
Qian Long Kweh, Irene Wei Kiong Ting, Jawad Asif and Wen-Min Lu
This study analyses the way various components of intellectual capital (IC), namely, human capital (HC), structural capital (SC), relational capital (RC) and innovation capital…
Abstract
Purpose
This study analyses the way various components of intellectual capital (IC), namely, human capital (HC), structural capital (SC), relational capital (RC) and innovation capital (INNC), act as mediators in the relationship between managerial ability (MA) and a firm’s ability to achieve growth.
Design/methodology/approach
This study employs data envelopment analysis to quantify the MA of 825 Taiwanese listed electronics companies from 2017 to 2022. The proxies of firm growth are return on asset growth, operating income growth and total asset growth. This study then utilises a three-step mediation analysis methodology to examine the relationships between MA, IC and firm growth.
Findings
Findings indicate that HC, SC, RC and INNC mediate the link between MA and firm growth. This suggests that competent managers can capitalise on the potential benefits of these investments to achieve firm growth.
Practical implications
Competent managers can utilise different IC investments to grow the financial performance and strength of their businesses. Managers should continually scan, secure opportunities and adjust their investments in knowledge assets in accordance with the dynamic capabilities view. That is, managers, in general, and operations managers, in particular, can implement guidelines that prioritise IC investments in the future to expedite firms’ development.
Originality/value
This study extends the existing frameworks that study investment variables as mediators between MA and firm outcomes. Most particularly, this study adopts four components of IC for measurement. Moreover, firm performance is measured using dynamic growth indicators rather than static measures.
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Rashed Alotaibi, M. Sohail, F.T. Edum-Fotwe and Robby Soetanto
Many construction projects exhibit poor performance in terms of fulfilling predetermined schedules and financial objectives. Project control systems (PCSs) have been used to…
Abstract
Purpose
Many construction projects exhibit poor performance in terms of fulfilling predetermined schedules and financial objectives. Project control systems (PCSs) have been used to enhance construction project performance; however, a comprehensive framework regarding the key determinants of PCS effectiveness is lacking.
Design/methodology/approach
Herein, the determinants for effective PCSs that can improve construction project performance were comprehensively identified by evaluating existing studies. A systematic strategy following the preferred reporting items for systematic reviews and meta-analyses protocol was employed to search for and select relevant studies, followed by a qualitative synthesis.
Findings
The significance of incorporating and managing many factors associated with PCS for effective project delivery was elucidated. The study synthesized 12 key determinants and 29 sub-determinants of PCS effectiveness in project delivery and grouped them into organizational, human, technological and operational categories. Out of the four categories examined, operational aspects received the most references, underscoring their critical role in PCS effectiveness, while human-related dimensions received the least amount of attention in the reviewed research, accounting for 4%. This also revealed a significant gap in the research addressing the interactions between all PCS aspects.
Originality/value
Understanding of the variables influencing PCS effectiveness in construction project delivery was enhanced, and a framework for future PCS research in five dominant areas was created.
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Syed Asim Shah, Khalid Sultan, Muhammad Haroon Shoukat and Shafique Ur Rehman
The study examines the influence of quality management practices (QMP) on project performance (PP) and the indirect association of QMP with PP through the mediating role of…
Abstract
Purpose
The study examines the influence of quality management practices (QMP) on project performance (PP) and the indirect association of QMP with PP through the mediating role of intellectual capital (IC). QMP may be one of the most successful strategies to improve project performance. Drawing on the resource-based view (RBV) and institutional theory, the study examines the impact of QMP on PP through the mediating role of IC.
Design/methodology/approach
The sample frame of 329 employees in different NGOs and public healthcare organizations was selected. Data were analyzed on SmartPLS 3.2.7 by applying SEM.
Findings
The outcome reveals that QMP has a significant impact on PP. The results found partial mediation of IC on the linkage between QMP and PP.
Research limitations/implications
The key research limitation was that it examined only two antecedents (QMP and IC) of project performance based on RBV and institutional theory, which did not yield deep insights from other institutional forces that could influence the model, such as mimetic pressure, institutional pressure and business orientation.
Originality/value
QMP is highly significant in the healthcare sector; however, research on the relationship between QMP, IC and PP is lacking. Thus, this research is an initial attempt to investigate these relationships empirically. We add to our understanding of RBV by investigating the role of IC in mediating the QMP-PP linkage.
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Nayar Rafique, Irshad Hassan and Muhammad Adil
The case study was developed based on secondary data from the publicly available initial accident report of PIA flight PK8303. The facts presented in the report were then analyzed…
Abstract
Research methodology
The case study was developed based on secondary data from the publicly available initial accident report of PIA flight PK8303. The facts presented in the report were then analyzed in the light of the Human Factor Analysis and Classification System (HFACS).
Case overview/synopsis
The case revolves around the terrible aviation mishap that occurred on May 22, 2020, when Pakistan International Airlines (PIA) Flight 8303 crashed in a Karachi residential area. A total of 97 people lost their lives in this tragedy, and it was Pakistan’s 18th major aviation disaster. The case study explores the human errors and failures of ground handling agencies, air traffic controllers, regulatory agencies, airline employees and cockpit crew by using the HFACS. The focus remains on mistakes made by people, which revolve around inefficient and ineffective communication, and contempt of safety regulations at various stages of flight PK8303.
Complexity academic level
The case study is designed for the students of aviation management at undergraduate and graduate levels.