JAMAR Summer 2010

THE JOURNAL OF APPLIED MANAGEMENT ACCOUNTING RESEARCH

JAMAR Information

Table of Contents


ARTICLES

 

Time-Driven Activity-Based Costing (TDABC): An Initial Appraisal through a Longitudinal Case Study

TDABC is presented by its “inventors”, R. Kaplan and S. Anderson as a new method. Their aim is to respond to the criticism directed at the ABC method, mainly regarding the cost and complexity of implementing and maintaining it. 

Our study shows that, while TDABC offers a partial solution to these issues, it still has some inherent weaknesses. Apart from the hesitation as to whether to use standard costs or actual costs, the measurement of time, which forms the basis of the method, also appears problematic. Homogeneity and maintaining it over time have not been given much consideration either, in spite of their importance for obtaining reliable costs. There is nothing new about calculating the cost of capacity and the deviation revealed by TDABC is only a deviation in business volumes. The quality of the data processing applications remains an essential factor in alleviating the complexity of the method. When it comes down to it, the real purpose of TDABC could be to monitor labour time.  

 

 

 

Michel Gervais

Yves Levant

Charles Ducrocq 

 

 

1

 

Corporate Governance and Financial Performance with a Perspective on Institutional Ownership: Empirical Evidence from Turkey
This paper aims to evaluate the impact of corporate governance on financial performance in Turkey, taking the issue of institutional ownership into account. The purpose of this study is also to explore how the financial performance of the companies which are listed in the Corporate Governance Index is affected by institutional ownership, distinguishing between domestic and foreign ownership.
This paper employs panel data analysis on a sample of 164 firm-year observations for Real Sector firms on the Istanbul Stock Exchange (ISE) covering the 4 year time span from 2005-2008. The results of the analyses demonstrate the positive influence of corporate governance and institutional ownership on financial performance. Additionally, the impact of institutional investors is found to be more strongly pronounced on firms listed on the corporate governance index.

Corporate Governance and Financial Performance with a Perspective on Institutional Ownership: Empirical Evidence from Turkey


This paper aims to evaluate the impact of corporate governance on financial performance in Turkey, taking the issue of institutional ownership into account. The purpose of this study is also to explore how the financial performance of the companies which are listed in the Corporate Governance Index is affected by institutional ownership, distinguishing between domestic and foreign ownership. 
This paper employs panel data analysis on a sample of 164 firm-year observations for Real Sector firms on the Istanbul Stock Exchange (ISE) covering the 4 year time span from 2005-2008. The results of the analyses demonstrate the positive influence of corporate governance and institutional ownership on financial performance. Additionally, the impact of institutional investors is found to be more strongly pronounced on firms listed on the corporate governance index.

 

 

 

A. Osman Gürbüz’

Aslı Aybars

Özlem Kutlu 

 

 

 

21

 

De-escalation Strategy: The Impact of Monitoring Control on Managers’ Project Evaluation Decisions

The paper examines the effect of monitoring control as a control mechanism in preventing managerial escalation of commitment under an agency problem setting. A total of 74 business students participated in a laboratory experiment based on a 2x2 factorial analysis of variance (ANOVA) between-subjects design with random assignment.  The independent variables are information availability (public and private) and monitoring control (present and absent).  The dependent variable is project managers’ decision for continuing or discontinuing a failing or unprofitable investment project.  The results suggest that project managers will discontinue an unprofitable project in the presence rather than absence of monitoring control under a private information situation. .84). 

 

 

Vincent K Chong

Rindah F Suryawati 

 

 

39

Management Accounting and Organisational Change: An Exploratory Study in Malaysian Manufacturing Firms

This study explores the changes as well as potential association among environmental factors, management accounting practices and organisational factors in Malaysian manufacturing companies in the Klang Valley. 

Results of the study showed that the majority of the responding companies have reacted positively to changes in competitive business environment and advanced manufacturing technology. Increased changes are also reported in management accounting practices and organisational factors (namely structure, strategy and performance).

A positive significant association is found among all of the variables except for competitive environment and advanced manufacturing technologies with performance. This research provides useful insights into management accounting practises and organisational change in Malaysia.

Tuan Zainun Tuan Mat

Malcolm Smith

Hadrian Djajadikerta rd

 

 

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TEACHING NOTE

Enhancing the Teaching of Management Accounting Through the Use of Innovative Assignment Design.

 

This paper describes a computer program that was developed by an educational software firm for use by accounting educators.   The author received a beta version of the software for evaluation and research purposes.  The program generates individual management accounting assignments for students enrolled in an accounting degree.  The program also generates solutions to each unique assignment. This assists tutors in their marking and provides students with detailed feedback. The assignment generator was designed to help overcome various educational problems associated with plagiarism. This paper discusses related issues of ethics, equity, motivation and cooperative learning. The effectiveness of the program was evaluated after implementation. Student performance on individual and traditional accounting assignments was compared.  The findings indicated that academic misconduct and its related consequences was significantly diminished without increasing administrative or marking costs. 

An associated aim of the project was to show the feasibility of this approach to accounting educators who possess reasonable programming skills

Erwin Waldmann 

 

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