Debi P. Mishra, Rasleen K. Kukreja and Arun S. Mishra
This paper aims to investigate how the emerging blockchain technology can tackle dark side or dysfunctional effects at different stages of the interorganizational relationship…
Abstract
Purpose
This paper aims to investigate how the emerging blockchain technology can tackle dark side or dysfunctional effects at different stages of the interorganizational relationship life cycle. The rationale for this study stems from the somewhat paradoxical causes of dysfunctional effects. In particular, concepts such as trust and cooperation that typically result in positive relationship outcomes may also lead to negative effects under certain conditions. This contradiction creates a governance headache for organizations in their quest for initiating, developing, maintaining and enhancing efficient interorganizational relationships.
Design/methodology/approach
The study draws upon multiple organizational theories (agency, signaling, transaction cost, population ecology, institutional) and develops a conceptual understanding of how blockchain can serve as a safeguard for tackling dark side effects in interorganizational relationships. Primarily, the paper outlines a set of research propositions that provides a platform for developing an actionable managerial decision framework. In addition, the authors conduct an automated textual analysis of qualitative blockchain expert opinion using the ALCESTE software and uncover salient themes about blockchain governance.
Findings
The blockchain ledger distributes trust among participants and keeps dark side effects at bay. Hence, blockchain can transform conventional approaches for handling dark side effects into value creating activities. The results of an automated textual analysis on a corpus of expert opinions provides preliminary support for several aspects of blockchain governance. Furthermore, the study articulates a decision framework that managers can use for optimal relationship governance and identifies several areas for future research.
Research limitations/implications
This paper is conceptual in nature and draws upon multiple theoretical perspectives to outline a set of research propositions. Thus, lack of empirical testing is a current limitation. However, the findings from an automated textual analysis of expert opinions provide exploratory but encouraging support for the power of blockchain to tackle dark side effects.
Practical implications
Managers can deploy blockchain creatively while selecting interorganizational relationship partners. For example, provenance issues in organizations’ supply chains can be efficiently managed using blockchain. Likewise, organizations may also create efficient learning around blockchain to gain efficiencies in relationship management.
Originality/value
Conventional approaches for managing dark side effects in interorganizational relationships rely mainly on ex post governance strategies. By contrast, this paper supplements the extant approach by discussing ex ante strategies that can be deployed at different stages of the interorganizational relationship cycle, e.g. initiation, maintenance/development and termination to better address dark side effects.
Details
Keywords
Kushal Anjaria and Arun Mishra
Nowadays, to design the information security mechanism for computing and communication systems, there are various approaches available like cryptographic approach, game-theoretic…
Abstract
Purpose
Nowadays, to design the information security mechanism for computing and communication systems, there are various approaches available like cryptographic approach, game-theoretic approach, quantitative–qualitative analysis-based approach, cognitive-behavioral approach, digital forensic-based approach and swarm computing-based approach. The contemporary research in these various fields is independent in nature. The purpose of this paper is to investigate the relationship between these various approaches to information security and cybernetics.
Design/methodology/approach
To investigate the relationship between information security mechanisms and cybernetics, Norbert Wiener’s concepts and philosophy of the cybernetics have been used in the present work. For a detailed study, concepts, techniques and philosophy of the cybernetics have been extracted from the books of Norbert Wiener titled “The human use of human beings” and “Cybernetics or control and communication in the animal and the machine”.
Findings
By revisiting the concepts of the cybernetics from the information security perspectives, it has been found that the aspects of information security and the aspects of cybernetics have great bonding.
Originality/value
The present paper demonstrates how bonding between cybernetics and information security can be used to solve some of the complex research challenges in information security area.
Details
Keywords
Kushal Anjaria and Arun Mishra
Situation awareness theory is a primary mean to take decisions and actions in a dynamically changing environment. Nowadays, to implement situation awareness, theories and models…
Abstract
Purpose
Situation awareness theory is a primary mean to take decisions and actions in a dynamically changing environment. Nowadays, to implement situation awareness, theories and models in organizational scenarios have become an important research challenge. The purpose of this paper is to investigate the relationship between the situation awareness theory and cybernetics. Further, the aim is to use this relationship to check the feasibility of situation awareness-based information security risk management (ISRM) implementation in the organizational scenario.
Design/methodology/approach
To investigate the relationship between situation awareness theory and cybernetics, Endsley’s situation awareness theory and Norbert Wiener’s cybernetics concepts and philosophy have been used in the present work. For a detailed study, concepts, techniques and philosophy of the cybernetics have been extracted from the thesis of Norbert Wiener titled “The human use of human beings” and “Cybernetics or control and communication in the animal and the machine”.
Findings
The present paper demonstrates that relationship can be successfully established between cybernetics and situation awareness theory. Further, this relationship can be used to solve organizational implementation issues related to situation awareness based systems. To demonstrate relationship and solutions of implementation issues, two case studies related to ISRM are also incorporated in the present case study.
Originality/value
The present work bridges two parallel and prominent theories of situation awareness and cybernetics. It also demonstrates that combination of both the theories can be used to feasibly implement situation awareness based systems in organizations.
Details
Keywords
Kushal Anjaria and Arun Mishra
Any computing architecture cannot be designed with complete confidentiality. As a result, at any point, it may leak the information. So, it is important to decide leakage…
Abstract
Purpose
Any computing architecture cannot be designed with complete confidentiality. As a result, at any point, it may leak the information. So, it is important to decide leakage threshold in any computing architecture. To prevent leakage more than the predefined threshold, quantitative analysis is helpful. This paper aims to provide a method to quantify information leakage in service-oriented architecture (SOA)-based Web services.
Design/methodology/approach
To visualize the dynamic binding of SOA components, first, the orchestration of components is modeled. The modeling helps to information-theoretically quantify information leakage in SOA-based Web services. Then, the paper considers the non-interference policy in a global way to quantify information leakage. It considers not only variables which interfere with security sensitive content but also other architectural parameters to quantify leakage in Web services. To illustrate the attacker’s ability, a strong threat model has been proposed in the paper.
Findings
The paper finds that information leakage can be quantified in SOA-based Web services by considering parameters that interfere with security sensitive content and information theory. A hypothetical case study scenario of flight ticket booking Web services has been considered in the present paper in which leakage of 18.89 per cent information is calculated.
Originality/value
The paper shows that it is practically possible to quantify information leakage in SOA-based Web services. While modeling the SOA-based Web services, it will be of help to architects to identify parameters which may cause the leakage of secret contents.
Details
Keywords
Decision making, behavioural decision making, heuristics, optimistic bias, confirmatory bias, anchoring bias, ready mix cement (RMC) business in India.
Abstract
Subject area
Decision making, behavioural decision making, heuristics, optimistic bias, confirmatory bias, anchoring bias, ready mix cement (RMC) business in India.
Study level/applicability
Post graduate management course, executive training program in the subject areas.
Case overview
Arco is a Projects and Infrastructure-sector company. Some of its key officials, believing that entering the RMC can be beneficial for Arco, plan entry into the manufacturing of RMC but order a feasibility report. The report confirms the hunch and Arco starts the business under the aegis of its associate, EG Ltd (EGL) which is into equipment rental business. At this time a new dimension of reality opens up but the senior officers refuse to accept a revised proposal which is adjusted to the new realities. After a few months and some losses, EGL closes down the RMC plant and rents it out.
Expected learning outcomes
This case study is developed with a purpose to provide a basis to discuss how decisions are taken in real life and how various behavioural elements affect the quality of decisions that affect not only the decision makers but many others and their organizations. Focus is especially on prejudice, heuristics and bias that creep into important organizational decisions such as venturing into new business.
Supplementary materials
Teaching note.
Details
Keywords
The Prevention of Money Laundering Act (the PMLA/the Act) was enacted in India in 2002. Since then, Indian courts have had to deal with two interconnected issues owing to the…
Abstract
Purpose
The Prevention of Money Laundering Act (the PMLA/the Act) was enacted in India in 2002. Since then, Indian courts have had to deal with two interconnected issues owing to the nature of the offence of money laundering (ML) as conceived in the Act itself. The first issue relates to the independence of the offence of ML from the conviction of the underlying offence; and the second is the manner in which the PMLA operates – whether it does so retrospectively or prospectively. The purpose of this paper is to delve into these questions as there is no definitive and binding answer provided for by the courts. It aims to provide normative answers to the above-mentioned questions to enable better functioning of the Act.
Design/methodology/approach
This research paper examines international conventions relating to ML, reports by inter-governmental bodies, the statutory language of the Act and judgements rendered by courts.
Findings
The paper goes on to conclude that for fulfilling the purpose of the Act, the offence of ML must be considered separate from the conviction of the predicate offence. As a result, it also concludes that the Act must apply in instances where the predicate offence was committed prior to its inclusion in the Act’s Schedule if the act of ML occurs after such inclusion.
Originality/value
There does not exist any scholarly literature addressing the judiciary’s interpretation of the Act regarding the said two issues in a systematic fashion. Added to this is the fact that there exist uncertainty and ambiguity because of conflicting judgements. By analyzing international instruments, the phraseology of the Act and contradictory case-law, this paper attempts to find definitive solutions to the said two questions in a purposive manner.
Details
Keywords
Olesya Lobanova, Abhijit Barua, Suchismita Mishra and Arun J. Prakash
The purpose of this study is to explain the poor informativeness of earnings in dual-class firms by examining the quality of earnings and the information environment.
Abstract
Purpose
The purpose of this study is to explain the poor informativeness of earnings in dual-class firms by examining the quality of earnings and the information environment.
Design/methodology/approach
The earnings informativeness, earnings quality and information environment of dual-class firms are compared with a matched sample of single-class firms. The authors have performed the returns-earnings association tests, examine the quality of earnings by using proxies for discretionary accruals, and examine the information environment by employing four empirical constructs: the analyst forecast dispersion, absolute forecast errors, Amihud’s (2002) illiquidity measure, and the bid-ask spread.
Findings
The results show that the quality of earnings is better while the quality of the information environment is worse in dual-class firms compared to single-class firms. Overall, the results suggest that an inferior information environment is a plausible explanation for the low informativeness of dual-class firms’ earnings.
Research limitations/implications
The results provide empirical support for Dechow et al. (2010) that the use of the earnings-returns association measure to draw conclusions about the quality of earnings is not appropriate in the presence of a poor information environment.
Originality/value
This is the first study to empirically show that low earnings informativeness in dual-class firms can be explained by the inferior quality of the information environment.
Details
Keywords
Suchismita Mishra, Bakhtear Talukdar and Arun Upadhyay
There is some evidence that firms appoint internal candidates to exploit their unique firm specific knowledge and that the type of appointments may have signaling value to the…
Abstract
Purpose
There is some evidence that firms appoint internal candidates to exploit their unique firm specific knowledge and that the type of appointments may have signaling value to the market. However, these studies are limited to chief executive officer appointments whereas other top executives could also play an important role in corporate decision making. The purpose of this paper is to focus on the chief financial officer (CFO) appointments and firm’s debt-equity choice.
Design/methodology/approach
The authors employ a multiple regression framework. To control for potential endogeneity, the authors use an instrumental variable approach with both two-stage least squares and generalized method of moments estimators.
Findings
The authors find that firms with internal CFO hires issue more equity than firms that hire from the external labor market. The authors also find that internal CFOs significantly reduce information asymmetry (IA), which may lower market risk and the cost of financing through equity issues. Furthermore, consistent with the value maximizing role of reduced IA the authors find that this effect is concentrated in value firms. In firms with higher IA this preference for equity by the internal CFO may be weaker as even internal CFOs will prefer debt financing for its disciplining role and to reduce IA. A subsample analysis with growth firms shows this diminishing impact on the financing choice of an internal CFO.
Originality/value
This study provides important information about the influence the CFO has on a firm’s capital structure decisions.
Details
Keywords
Herman Fithra, Sirojuzilam, Sofyan M. Saleh and Erlina
Purpose – This study aims to analyze and assess the relation of freight transportation for regional development in the north zone of Aceh. The impact of freight transportation to…
Abstract
Purpose – This study aims to analyze and assess the relation of freight transportation for regional development in the north zone of Aceh. The impact of freight transportation to accelerate the delivery of goods as observed through several indicators including regulation, retribution, freight entrepreneur, trucker, size of truck bin, punctuality, loading and unloading systems on regional planning supporting has been focus of this study.
Design/Methodology/Approach – The freight transportation in north zone of Aceh, covering Lhokseumawe, Aceh Utara, Bireuen, BenerMeriah and Aceh Tengah regencies will be examined. In several indicators including regulation, retribution, freight entrepreneur, trucker, size of truck bin, punctuality, loading and unloading systems the freight transportation will be surveyed for the analysis. The factors which contribute in the development of the area through freight transportation are the economic growth, human resources improvement, management of land use and environmental harmonization. This regional development approach aims to determine a connection between the two variables.
Findings – The results of the study show that variables of freight transportation in several indicators including regulation, retribution, freight entrepreneur, trucker, size of truck bin, punctuality, loading and unloading systems have a significant impact on regional development. It is indicated by the value of 0.214 in the regression weight result.
Research Limitations/Implications – This research has implications on the relation of freight transportation with regard to several indicators including regulation, retribution, freight entrepreneur, trucker, size of truck bin, punctuality, loading and unloading systems on the regional development based on the aspect of economic growth, human resources improvement, management of land use and environmental harmonization.
Practical Implications – The result of this study will be an important input to the Aceh government, county and city governments in the north zone in Aceh to encourage the establishment of a road network to accelerate freight transportation in that region for the development of new economic zones.
Originality/Value – This study suggests that freight transportation has the strongest links to significantly influence the activities of regional development, so it can be recommended for the Aceh government, county and city governments in the north zone of Aceh to orient road network policy towards the development of the new economic area and support the implementation of the special economic zones of Arun, Lhokseumawe.
Details
Keywords
Rizky Yudaruddin and Dadang Lesmana
This study aims to investigate the market reaction to dividend announcements in five ASEAN countries during the COVID-19 pandemic. We focus on sectors that are less vulnerable…
Abstract
Purpose
This study aims to investigate the market reaction to dividend announcements in five ASEAN countries during the COVID-19 pandemic. We focus on sectors that are less vulnerable during the COVID-19 pandemic, such as communication services, consumer staples, healthcare and information technology.
Design/methodology/approach
A sample of 5,648 dividend announcements from listed companies is utilized for this study, employing the event study method. The market reaction is measured using cumulative abnormal return (CAR), and cross-section regression is employed to examine the determinants of market reaction.
Findings
The findings reveal a significant positive reaction in the communication services, consumer staples, healthcare and information technology sectors following the announcement of an increase or decrease in dividends. These results imply that dividend increase announcements serve as a positive signal for investors amidst the COVID-19 pandemic. However, the market does not respond significantly to announcements of decreased and constant dividends during the pandemic as they are perceived as unfavorable signals. This paper also highlights the role of dividends as a communication tool through which companies express optimism in facing the challenges posed by the COVID-19 pandemic to their investors.
Practical implications
This study highlights the role of dividends as a communication tool through which companies express optimism in facing the challenges posed by the COVID-19 pandemic to their investors.
Originality/value
This study offers a novel cross-country analysis of the market reaction to dividend announcements in the ASEAN region, considering both the pandemic and post-pandemic periods and focusing on sectors less impacted by COVID-19. Unlike previous studies that are limited to single-country or sector-specific analyses, our research uniquely addresses the broader ASEAN context and includes insights into the “new normal” period.