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Purpose The purpose of this paper is to investigate the relationship between board characteristics and real performance among state-owned enterprises (SOEs) in Malaysia in a longitudinal period following the introduction of transformation policy.Design/methodology/approach The study deviates from prior research in utilising a real performance measure rather than traditional measures of performance. The authors adopt the quantile regression approach to examine the impact of board characteristics on real performance in a comparison using ordinary least squares.Findings The results of quantile regression reveal that the impact of board mechanisms on real performance was not as expected. Specifically, board size and duality had a bearing on real performance. Board independence also is considered as influential factor through the time. However, such effects were not homogenous across different quantiles. The dummy year variable to compare the period pre- and post-transformation policy reveals that the dummy year is not significant, indicating that performance post-transformation is indifferent compared to the pre-transformation policy period.Practical implications It is important for government to reconsider the policies embedded in the transformation policy. This study provides insights on the enhancement of board effectiveness and new developments regarding GLCs.Originality/value This is an early to attempt to measure real performance and its link to board characteristics in SOEs post-transformation policy. [ABSTRACT FROM AUTHOR]

Purpose The fundamental question addressed in this research is: How do cultural intelligence, personality traits of expatriates, spousal support and cultural adjustment of expatriates impact their performance? The answer to the question is important to ensure that expatriation is successful. The paper aims to discuss these issues.Design/methodology/approach The integrated framework linking the factors was formulated and tested among the 139 expatriates employed by multinational corporations (MNC) in Malaysia. A questionnaire was developed and distributed. The framework was validated using structural equation modeling technique.Findings Based on the analysis, the important findings are: cultural empathy and social initiatives (personality traits) of expatriates, cultural intelligence and spousal support enhance cultural adjustment of expatriates; spousal support, cultural empathy and social initiatives influence the cultural intelligence of the expatriates; and cultural intelligence and spousal support impact the performance of expatriates.Research limitations/implications This study selected the expatriates working in MNCs and residing in Malaysia for six months and above.Originality/value This integrated view helps us understand the mechanism that leads to an expatriate’s perceived performance. Generally, researchers use “Big Five” to capture the personality traits. This research has used the construct and its dimensions that are relevant for studies on expatriation. [ABSTRACT FROM AUTHOR]

Deficiencies in the quality of risk reporting impede investors' ability to make well-informed investment decisions. In the wake of unexpected corporate collapses, calls for a greater amount of voluntary risk disclosures by the regulators are entirely legitimate, in the expectation that improved risk reporting published in the annual report enables investors to assess a firm's risk profile and its firm value more accurately. This study investigates the relationship between the voluntary corporate risk disclosures (VCRD), board leadership effectiveness, audit committee financial expertise, and firm performance of 290 companies listed on the Kuala Lumpur Stock Exchange (KLSE). To collect and measure the quality of risk disclosures, we performed a manual content analysis method. We employ the partial least square structural equation modeling (PLS-SEM) technique, and the empirical results show that the relationship between VCRD and firm performance is positive and significant. We found a significant and positive relationship between board size and the level of firm performance, as measured by both accounting (ROA) and market-based performance (Tobin's Q) measures. However, CEO duality is found to be non-significant in its association with firm performance. SEM results further demonstrate that audit committee financial expertise has a positive and significant moderating influence on the VCRD-ROA nexus. Overall, the findings of this study demonstrated that the exogenous latent constructs collectively accounted for 30.8% and 69.3% of the variance in ROA and Tobin's Q, respectively. Research contributions, policy implications, and future directions are also discussed in this paper. To the best of the authors' knowledge, no study has yet to examine the interplay between the extent of VCRD, governance mechanisms, and firm performance in Malaysia, following the implementation of the Malaysian Code of Corporate Governance (MCCG) 2017. [ABSTRACT FROM AUTHOR]

This paper assesses the impact of outbreaks from the perspective of volatility of Malaysian Listed Property Companies in mixed-asset portfolios, concentrating on periods of time between outbreaks. The real issue of this study is the health crisis that has troubled institutional investors, as it has already significantly impacted the returns on investments. Investors need to be better informed on the impact of health outbreaks on investments in order to minimize their impact. To assess the impact of the outbreaks, the GARCH method has been employed to examine the dynamic volatility of listed property companies in mixed-asset portfolios. The volatility level will give investors better information from point of view of the dynamics of volatility of the Malaysian listed property companies' performance within mixed-asset portfolios. The findings show that listed property companies demonstrate high volatility compared to other mixed-asset portfolios during the periods of outbreaks. This indicates Malaysian listed property companies were the most volatile investment in mixed-asset portfolios. This empirical study will contribute significantly to institutional investors, especially in terms of the investment decision-making process during outbreaks. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to investigate the relationship between strategic business network and business performance among SME manufacturing firms in Malaysia. Moreover, this study contributes to our understanding of the contextual factors in strategic business network-business performance relationship by examining the moderating influence of human capital and business environment. A mail and self administered questionnaire were employed to collect the data from four regions in Peninsular Malaysia. The sample of SMEs' owner-managers was identified based on stratified random sampling procedure. Overall, data from 186 usable replies were received and the theoretical model was tested using hierarchical multiple and hierarchical moderated regression. The findings show that strategic business network has significantly and positively affect business performance. The results also show that human capital and business environment significantly moderate the relationship between strategic business network and business performance. Lastly, methodological, managerial and policy maker implications as well as future research suggestions are discussed. [ABSTRACT FROM AUTHOR]

Purpose Past studies show that companies’ connection with the government (or politically connected companies (PCCs)) contributed negatively to their financial performance. The grabbing hand theory suggests that political connection demand companies to serve political and social obligation that exhaust companies’ financial resources. The purpose of this paper is to extend the previous studies by examining the role of monitoring mechanisms, specifically corporate governance mechanism and institutional ownership (IO), whether they weaken or strengthen the financial performance of PCCs in Malaysia.Design/methodology/approach The sample consists of all companies listed on the Main Board of Bursa Malaysia (previously known as Kuala Lumpur Stock Exchange) for the year of 2004-2007. The time periods were chosen because there were no significant economic and political events that could possibly distorted the financial and non-financial data.Findings The findings show that companies’ political connection (the presence of political figure or government representative as members of board of director) has consistently showing negative relationship with performance. The result is consistent with the grabbing hand theory that argues that companies’ connection with government would actually destroy companies’ value. The monitoring role of corporate governance as measured by the percentage of independent board members does not have any significant effect on firm’s performance. The monitoring role of corporate governance as measured by the composition of independent board members have shown a positive significant effect on the company’s performance. However the second monitoring mechanism, the percentage of institutional investors, have a tendency to weaken the company’s performance.Originality/value The findings of this study provide an additional understanding of the consequence of government intervention on companies’ performance. This study also highlights the role of monitoring mechanism (independence board members and IO) in strengthening or weakening the performance. The findings suggest that the proper appointment criteria for board members should be seriously considered to ensure better corporate governance structure. Therefore, the formation of the nomination committee as suggested by the current Malaysian Code of Corporate Governance play an important contribution to ensure candidates nominated as board members have proper credentials and qualifications to carry out responsibilities as board members. [ABSTRACT FROM AUTHOR]

Retraction notice The publishers of Business Process Management Journal wish to retract the article Rimin, F., Bujang, I., Wong Su Chu, A. and Said, J. (2021), “The effect of a separate risk management committee (RMC) towards firms’ performances on consumer goods sector in Malaysia”, Business Process Management Journal, Vol. 27 No. 4, pp. 1200-1216. https://doi.org/10.1108/BPMJ-06-2020-0265 An internal investigation into a series of submissions has uncovered evidence that the peer review process was compromised. As a result of these concerns, the findings of the article cannot be relied upon. This decision has been taken in accordance with Emerald’s publishing ethics and the COPE guidelines on retractions. The authors of this paper would like to note that they do not agree with the content of this notice. The publishers of the journal sincerely apologize to the readers.

Research Aims - The study aims to examine the influence of financial literacy on the performance of small and medium-sized enterprises (SMEs) in Malaysia. Design/methodology/approach - The data were obtained from questionnaires distributed to 200 SME managers/owners. Multiple regression analysis was applied to test the influence of financial literacy on SMEs performance by controlling manager profile and SME-specific characteristics. Research Findings - Multiple regression results prove that financial literacy has a positive and significant impact on SMEs' performance. Managers/owners with financial literacy skills understand business-related financial concepts, including debt, savings, takaful, insurance, and investment, which ensure the good performance of their business. Theoretical Contribution/Originality - Similar research has been conducted outside Malaysia. However, there is a need to validate the financial literacy and SME performance relationship in the Malaysian environment due to differences in culture; ways of thinking; and legal, business, and political situations. These differences lead to different responses which then contribute to the way the effect of financial literacy on SME performance is explained. In addition, this study improves the consistency of the existing evidence on SME performance and expands the scope of the Resource-Based View (RBV) from the perspective of SMEs Research limitation & implications - Government agencies such as SME Corporation recognise the importance of financial literacy among entrepreneurs. Therefore, proactive efforts need to be accelerated to provide an adequate level of financial literacy among entrepreneurs. Furthermore, entrepreneurial finance can be introduced in formal and non-formal education to ensure that every layer of society enjoys the benefits regardless of their economic status. [ABSTRACT FROM AUTHOR]

Company performance self-assessment (CoPSA), whose fundamental purpose is to provide a check-and-balance mechanism for practice performance through progress-and-performance self-assessment (PaPSa) is yet to be in place in the facilities management industry. Specially needed by facilities service outsourcing firms (FSOFs), CoPSA benefits the top management from organizational introspection of company's own performance. This paper proposes and tests a CoPSA model using a parametric approach. Managers’ perceptions about service delivery performance of their firm are measured using the likert scale and then deduced into a three-equation two-step recursive model. From a total of 207 randomly chosen Malaysian outsourcing firms, sixty responses were obtained. The results indicate that more than half of the sampled managers have envisioned high performance delivery, with 80% achievement as their goal. However, this has not been adequately supported by a coherent firm's internal structure. In view of the finding, the study concludes that the service delivery strategy of small fSofs in Malaysia is perceived to be rather passive. [ABSTRACT FROM PUBLISHER]

Market expansion into foreign markets has become increasingly important for construction businesses, including Malaysian contractors. It is therefore imperative that these firms are able to sustain performance in international markets. This paper aims to determine the significant factors influencing the Malaysian contractors' performance in international markets. This study adopts a mixed method using questionnaires that were sent to 115 construction firms as a sampling frame. The quantitative findings were further validated through in-depth interviews with five firms currently operating at the international level. It was found that the firms' profit targets based on return on investment and revenues supported by the firms' competitive advantages due to employees' capabilities and competencies have significantly influenced the firms' performance. However, further insights disclosed that having strong and stable human relationships were very important to enhancing the firms' performance in international markets. The findings build further understanding of international strategies for construction in developing countries. Finally, the study identifies the need to develop a suitable tool to measure firms' performance by taking into consideration the complex elements within the identified significant influencing factors. [ABSTRACT FROM AUTHOR]

Corporate governance is being acknowledged by almost all kinds of business communities and firms as an ultimate driver to improve the firm financial performance. This study examined the association between corporate board structure and corporate financial performance using a dynamic panel model. Principles of corporate governance deliver an explicit board structure for the purpose to facilitate the board members, which helps in making good decisions. The board of directors consists of the CEO, the chairman, the internal directors, and the external non‐executive directors to work for the shareholders. This study undertakes different corporate governance attributes including non‐executive directors, board size, and CEO duality and examines its effect on firm performance. The dynamic panel model is used, and preestimation and postestimation tests were conducted for the validity of the model. This study found a significant effect of board size, CEO duality, and non‐executive directors on firm performance. The findings show that most of the governance variables are endogenous by nature. Results are consistent with agency theory. This study provides the theoretical and empirical evidence and applies a superior model (dynamic panel model) to better explain the association between corporate board structure and corporate firm performance in listed firms. [ABSTRACT FROM AUTHOR]

In the era of Industrial Revolution 4.0 (IR 4.0), Information and Communications Technology (ICT) sector provides cost effective solution to improve overall organizational performance as well as support sustainable national economic growth of emerging economies like Malaysia. On top of it, local ICT related companies, especially those are listed in Bursa Malaysia, are expected to work and contribute toward the accomplishment of vision 2050 in transforming Malaysian into smart communities. At the same time, the performance of these companies has to be evaluated as they will become financially distressed if they are not financially stable. The objective of this paper is to evaluate the financial performance of technology companies in Malaysia using Zmijewski model. The model uses financial ratio analysis that measures the performance, lever-age and liquidity of these companies. The data of this study comprises technology-based companies that are listed in Malaysia's stock market. The period of this study is from year 2013 to 2017. The results indicate the financial condition of these companies based on the Zmijewski value computed. This study is significant because it assesses the financial condition of the technology companies in Malaysia. As a result of it, stakeholders will initiate proactive and preventive measures to promote the economic growth of technology sector in Malaysia. [ABSTRACT FROM AUTHOR]

Purpose: This research attempts to assess the role of green intellectual capital components with respect to the sustainability business performance of manufacturing SMEs in Malaysia. Design/methodology/approach: Empirical data for this study were gathered through structured questionnaire forms, from entrepreneurs, managers, and decision-makers of manufacturing, small and medium enterprises. A sample of 500 individuals from 170 manufacturing SMEs from Malaysia was participated. Partial Least Squares (PLS) Structural Equation Modelling technique was used to examine the impact of green intellectual capital on the sustainability business performance of SMEs. Findings: Results expressed that green intellectual capital has a positive significant impact on the sustainability business performance of manufacturing SMEs in Malaysia. Results also posited that the three components such as green customer capital, green technological capital, and green spiritual capital were supported while green human capital, green structural capital, and green social capital were not supported. Practical implications: The present study inspects how entrepreneurs, managers, and policymakers should practice the concept of green and sustainability to attain maximum benefits from green intellectual capital to increase the sustainability business performance of their organizations. Originality/value: This pioneering research produces a comprehensive theoretical model of green intellectual capital, supporting the current literature where similar works have been yet. This theoretical model will guide entrepreneurs and managers of SMEs to measure green intellectual capital in SMEs. Despite the significant contribution, this study offers insights to researchers, academicians and practitioners to mitigate environmental destruction and to achieve the sustainable business performance of SMEs in Malaysia and developing countries. [ABSTRACT FROM AUTHOR]

This study examines how controlling shareholders influence firm performance through the mediating role of firm efficiency in transforming inputs into outputs. To achieve this objective, it conducts a mediation analysis with 5,000 bootstraps on a dataset of 2,849 firm-year observations of publicly listed firms in Malaysia from 2009 to 2019. The findings reveal a positive relationship between controlling shareholdings and firm performance, with both total and indirect effects having this positive relationship. Moreover, while controlling shareholdings improve firm performance, firm efficiency partially mediates this relationship. Thus, improved firm efficiency plays a critical role in understanding the relationship between governance by controlling shareholders and enhanced firm performance. In summary, this study contributes to the existing literature by expanding our understanding of the complex relationship between controlling shareholdings, firm efficiency, and firm performance. In addition, the findings shed light on the importance of indirect channels in shaping organizational outcomes. As such, this study provides a valuable direction for future research in this area. [ABSTRACT FROM AUTHOR]

The purpose of this study is to examine the impact of corporate social responsibility (CSR) disclosure on the profitability and firm performance of Halal food companies in Malaysia. Applying a quintitative method, the study utilised a dynamic GMM-based statistical technique for analysing the data from 75 public-listed Halal food companies in Malaysia from 2012 to 2021.The findings highlight a substantial relationship between CSR disclosure and profitability (ROA) as well as firm performance (TBQ) of Halal food companies in Malaysia. The result showed economic, environmental, and social CSR disclosures have a significant effects on ROA and TBQ in dynamic models. The outcome of the study implies that actively engaging in economic, environmental, and social CSR practices provides with a competitive advantage, contributes to long-term viability, and attracts socially conscious investors. It also emphasises the strategic importance of comprehensive CSR strategies for encouraging positive stakeholder relationships, managing diverse aspects of sustainability, and enhancing overall business success, including employee engagement and motivation. [ABSTRACT FROM AUTHOR]

The issue of women's representation at the decision-making level in Malaysia has received special attention from the Government since 2004, the year in which it adopted a policy requiring that 30 % of the posts at the decision-making level in the public sector be filled by women. In 2011, the policy was extended to the private sector where 30 % of listed firms' board seats are to be allocated to women with 2016 being the deadline for compliance. To this end, this paper aims at examining the factors that determine the appointment of women to the boards of Malaysian large firms. Large firms were chosen in this study because they have the resources and the capacity to adopt the policy more readily than smaller firms. The results reveal that gender diversity is positively associated with board size and the presence of family on the board. That is, the larger the board, the more likely it is that women sit on it. The fact that the presence of women on the board is associated with the presence of one or more family members on the board means that the appointment of women to the board is very much influenced by family ties rather than commercial reasons. The results also reveal a positive association between board independence and the proportion of women directors. Further, it is found that board independence is associated positively with the presence of independent women directors. Finally, the results show that firm performance is negatively associated with gender diversity. That is, firms with low financial performance are more likely to have women on their boards. Hence, taken altogether, the evidence suggests that the appointment of women to the board is very much driven by tokenism and family connection rather than by the business case. [ABSTRACT FROM AUTHOR]

Purpose – This paper examines the impact of corporate governance attributes and ownership structure patterns on corporate performance of Malaysian listed companies following the revised code on corporate governance in 2007. To provide an insightful assessment on the revised code's implications on firm performance, data before (2006) and after (2009) the revised code in 2007 were analyzed. Design/methodology/approach – The study involves analyses of 170 observations in a two-year period, 2006 and 2009. The sample of the study was selected on the basis of a stratified random sampling procedure to allow a representative sample of the various sectors listed on Bursa Malaysia. Based on data extracted from the annual reports of 2006 and 2009, corporate performance was captured using accounting performance indicators (return on assets and return on equity). In addition to descriptive analyses, multiple regression analysis was used to assess the influence of the governance and ownership structure attributes on firm performance. Findings – The findings revealed a decreasing trend of the financial performance of the sample companies over the two-year period which this study attributes to the recent global financial meltdown. In terms of corporate governance compliance, the results showed that there were cases of non-compliance of the basic requirements of the corporate governance code in Malaysia even after the revised code in 2007. In addition, the multiple regression results showed that only board meetings had significant negative association with firm performance following the revised code. None of the other variables had significant impact on firm performance before and after the revised code. Firm size and leverage, as control variables, however, showed significant association with firm performance. Practical implications – Given the lack of non-compliance by some of the sample companies in Malaysia to some basic requirements such as the required percentage of independent directors on corporate boards and the insignificance of governance attributes in enhancing performance, this study suggests that the revised code needs reinforcement, at best, or even an overhaul change to suit more to the Malaysian business environment. Originality/value – In distinction from most prior studies, this study provides ex-ante and ex-post examination of the relationship between corporate governance and firm performance, following changes in the regulatory environment. Such analysis is expected to have some practical implications in indicating whether recent regulatory changes are practiced in the corporate environment. This study draws evidence from Malaysia in adding to our understanding on whether changes in regulatory frameworks enhance firm performance. [ABSTRACT FROM AUTHOR]

This study aims to identify the strategic roles of competitive intelligence and to examine the mediating effect of competitive intelligence practices on the relationship between perceived strategic uncertainty and firm performance. Data are collected from 123 public listed companies in Malaysia using mail questionnaire survey. The study highlights the essential role of competitive intelligence in supporting strategic decision making and strategic planning as well as in identifying opportunities and threats. Results reveal that perceived strategic uncertainty relates positively to competitive intelligence practices, which in turn, relates positively to firm performance. This paper includes implications, limitations, and recommendations for future studies. [ABSTRACT FROM AUTHOR]

Human resource (HR) practitioners, as change agents, are responsible for easing the impact of changes in their organization and to protect employees against the side effects of these inevitable changes. Sometimes, the change helps to produce a significant increase in performance and the company can boost sales and production without additional cost. Several vital competencies that are reviewed in this paper include business knowledge culture management, effective relationship and human resource development skills. Based on the findings of this study, not all competencies are related to the role of change agent. HR practitioners who are unable to function as change agents will inevitably create a barrier against their becoming a well-integrated strategic partner. Therefore, the role of change agent also mediates the relationship between certain HR competencies and organizational performance. [ABSTRACT FROM AUTHOR]

Previous literatures have demonstrated a significant research gap in terms of the quality of the management practices in the organizational performances of the SMEs particularly in the food processing industry in Malaysia. Subsequently, an exploratory study is conducted to verify the proposed critical success factors (CSF) and the model constructs for SMEs in the Malaysian food industry that is in line with these practices. Therefore, the purpose of this paper is to identify CSF of quality management practices of the Small and Medium Enterprises (SMEs) in the Malaysian food industry and to develop a conceptual framework of quality management practices based on the Total Quality Management (TQM) in relation to the organizational performance of the SMEs in the food processing industry in Malaysia. The quality management framework consists of leadership, corporate planning, human resource management, customer focus, supplier focus, information management, process management and quality assurance as the CSF. Finding from the exploratory study has supported the proposed constructs and results show that the instrument is reliable in measuring the construct. Thus, this study is important to support the SMEs in the food processing industry in Malaysia to manage and prioritize the implementation of QM in order to improve the organizational performance. [ABSTRACT FROM AUTHOR]

This paper investigates the characteristics, performance, and share price reaction of politically connected firms versus a control sample of independent firms in Malaysia. Politically connected firms had higher level of leverage, lower profitability, and lower sales to profitability, and paid lower taxes and lower dividends compared to independent firms. Their share prices increase with the announcement of favorable political events. In terms of performance, the active rent-seeking activities in return for preferential treatment produce comparable performance to independent firms during an economic upturn. However, their performance deteriorates more than independent firms during an economic downturn. The percentage of ownership of government institutions in politically connected firms is also much lower, and these firms use more Tier 1 auditors than the independent firms. Overall, the findings are consistent with expectations and evidence from similar studies in developed and developing economies. © 2012 Wiley Periodicals, Inc. [ABSTRACT FROM AUTHOR]

This research describes Knowledge and Innovation Management (KIM) dimensions and processes that are practiced in corporations in Malaysia. Specifically, KIM dimensions and KIM processes were measured and their relationship towards company financial and non-financial performances were determined. Data was collected from 300 large corporations operating in Malaysia. The analyses suggest that KIM dimensions and KIM processes are significantly practiced by corporations and these constructs (KIM dimensions and processes) have significant impact towards firms' financial and non-financial performances. This paper raises awareness and provides empirical evidence for the systematic implementation of KIM in organization, which are vital for firm performance. As empirical studies that tests and validates KIM principles in corporations are rare, this research provides valuable insights into the critical role of KIM in organizations as well as paves path for further exploration in the field of organizational performance. [ABSTRACT FROM AUTHOR]

The environmental effects of supply chain operations are under the significant influence of Green Supply Chain Management (GSCM), with a potential enhancement of organizational sustainability performance. Even though previous studies have pointed to the contribution of integration of various activities associated with GSCM, no investigations have been carried out for the possible interdependencies of these activities and their application effects. Consequently, this paper aims at investigating the associations of GSCM methods and performance of manufacturing firms using the Natural Resource-Based View (NRBV) as well as Institutional Theory. The collected data from manufacturing firms were analyzed using the partial least squares technique. Accordingly, mimetic, normative, and coercive pressures were found to affect GSCM positively and significantly. Moreover, the GSCM and the firms' environmental, operational and economic performances were found to be positively and significantly associated. In addition, according to the moderation analysis, collaborative capabilities had significant moderating effects on the association of green chain management and environmental as well as economic performance. However, collaborative capabilities could not moderate the association of GSCM and operational performance. Managers, supply chain specialists and also policy makers would benefit from the findings of the present study along with the inspirations resulting from the contribution of specific drivers in implementing GSCM methods, while application of the mentioned methods could be effective in achieving the desired performance levels. Furthermore, industrial sectors are provided with managerial and theoretical insights by the results obtained in the present paper to concentrate on environmental awareness through the adoption of GSCM methods. • Green supply chain management practices and impact on firm performance. • The use of Natural Resource-Based View (NRBV). • 270 manufacturing firms in Malaysia from a variety of sectors were studied. [ABSTRACT FROM AUTHOR]

This paper examines institutional support (financial and marketing support) on export-oriented firms' performance or so-called born globals. We develop a model to address how financial and marketing support can help young entrepreneurial firms to overcome the liability of newness and smallness in gaining competitive capabilities. Using a quantitative method, data were collected from 217 manufacturers and service sectors in Malaysia, an emerging Southeast Asian market. The results suggest that government assistance in marketing leads to competitive capabilities and export performance; however, financial support neither contributes to competitive capabilities nor export performance. We found the significant role of competitive capabilities as a mediator in enhancing the relationship between marketing support and export performance. Practical implications drawn from this result can be offered as guidelines for the policymakers in supporting young entrepreneurs that lead to competitive capabilities and superior performance. [ABSTRACT FROM AUTHOR]

The Covid-19 pandemic has had an adverse effect on the global economy, particularly the hotel industry. Industry players have turned to big data to recover and improve their business performance. This paper aims to identify the key resources to develop and build big data analytics capabilities (BDAC). Drawing upon the knowledge-based and dynamic capability views, this research also examines the interplay among BDAC, organizational agility, marketing and organizational innovations, and firm performance in the hotel industry. The partial least square structural equation modeling is used for the data analysis, while quota sampling is used for the sampling design. Based on the statistical data analysis from 115 star-rated hotels in Malaysia, BDAC positively impacts organizational agility, marketing and organizational innovations, and firm performance. Likewise, organizational agility positively impacts firm performance, marketing and organizational innovations. The empirical findings provide researchers and industry players with meaningful insights for improving firm performance in the hotel industry using big data. [ABSTRACT FROM AUTHOR]

Over the past two years, the Covid 19 pandemic was the greatest communicable outbreak that has upended almost every aspect of our lives. Despite this, the progress in realizing sustainable development remains as a challenge in the global perspective and yet it should be eliminated. The world is facing a pragmatic threat of climate change which potentially damage the Earth's ecosystems. There is a need for all relevant parties to cooperatively care for the environment in decreasing the environmental degradation and climate change in achieving sustainability to leave no one left behind. Our study highlights the perception of the firm at firm-level that can link environmental sustainability practices and firm performance, especifically in the Micro, Small and Medium Enterprises (MSMEs). Hence, in this study, we will examine how corporate sustainability orientation influences firm performance, and how corporate sustainability orientation influences firm performance through environmental practices with the use of the Natural Resource-based View (NRBV) theory and Stakeholder theory. This study uses a judgmental sampling method with a set of criteria to have an accurate result for the study. A total of 219 responses were collected and this study uses a Partial Least Squares - Structural Equation Modeling (PLS-SEM) approach in data analysis. From the analysis, both corporate sustainability orientation and environmental practices were found significant, while the relationship between corporate sustainability orientation and firm performance was found significant through the indirect effect. For future studies, this study suggests researcher to explore corporate sustainability orientation in the perspective of firm-level and individual-level to have a comparison in terms of perception towards sustainability practices and how it impacts the firm performance. [ABSTRACT FROM AUTHOR]

The effects of firm-specific resources on firm performance has been a quest of many and widely studied worldwide. In today's business environment, arguments suggesting the relative importance of firm-specific resources in explaining firm performance variation are said to be of the greatest influence on the study of firm behavior. On the other hand, firms with strong, positive reputations can attract and retain crucial talent and often have loyal customers likely to buy a broader range of products and services. It can lead to higher sales generated by satisfied customers and their referrals and can potentially raise capital and share price, and improve the firm performance. An empirical study such as this attempts to investigate the combinations of resources of the firm and focus on reputational risk management concerning firm performance. As such, this study involves variables partially adopted from Donabedian Theory, such as intangible resources, namely capability as an exogenous construct towards endogenous construct and firm performance, as well as proposing a mediation model to analyze the mediated relationship of reputational risk in accelerating the relationship between capabilities and firm performance. This study applies variance-based structural equation modeling via Smart PLS to a sample of 161 listed firms in Malaysia as respondents. A judgment purposive sampling technique has been adopted as the respondents are derived from listed firms under Malaysian Bourse. Overall, the findings of this study reveal how firms may gain competitive advantages in terms of their reputation and eventually be able to sustain their firm's performances by implementing an integrative model of intangible resources such as capabilities and in their routines and processes within the firms. [ABSTRACT FROM AUTHOR]

This study inquires the impact of the third Malaysian Code on Corporate Governance (MCCG 2012) introduced in March 2012 on the level of Boardroom Gender Diversity (BGD) and its possible association with Firm Financial Performance (FFP). To capture the difference, if any, the study compares a stratified random sample of 300 non-financial companies listed on Bursa Malaysia (Malaysia's Stock Exchange) in 2 years (2010–2011) pre and 3 years (2012–2014) post-enactment period of the code. The descriptive statistics disclosed that BGD has slightly increased after the enactment of the code. The use of Panel Corrected Standard Errors (PCSEs) further revealed that even a tiny increase in BGD has pronounced its significant positive impact on FFP (ROA and decreasing stock volatility) after the enactment of the code. Interestingly, it is also unveiled that neither 'tokenism' nor 'critical mass' hypotheses are applicable in the context of Malaysia. The study has several contributions and implications for the literature, policy and practice. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to examine the impact of environmental, social and governance (ESG) practices on the financial performance of Malaysian Shariah-compliant companies over the period 2010–2017. Design/methodology/approach: Panel regression models are used for this study to test the effect of ESG practices on the performance and the interaction variables to examine the impact of double ESG – Shariah screening on firms' performance. Findings: This study finds a positive relationship between ESG practices and financial performance, suggesting that ESG practices can enhance firm value. Additionally, the authors also find evidence that double ESG–Shariah screening can enhance the ESG relationship with performance. These results are consistent and robust to three proxies for financial performance and different estimation techniques. Practical implications: The positive relationship between ESG practices and performance implies that firms should improve their ESG commitment as this is consistent with enhancing performance. Originality/value: This study presents evidence concerning the impact of ESG practices on the financial performance of Shariah companies, thereby paving the way for further studies in sustainability investments in Shariah companies. [ABSTRACT FROM AUTHOR]

The Clean Development Mechanism (CDM) enables transferring technology from developed countries to developing countries, such as Malaysia, and simultaneously promotes sustainable growth. Although this has been proven, the contribution of Malaysian companies in CDM projects is low. Therefore, this study has been aimed at investigating the determinants of CDM adoption and its impact on companies' performances. Data were gathered by surveying 91 companies in the energy, agriculture, and forestry sectors in Malaysia implementing CDM projects. The data were analysed using the partial least squares technique. The results show that environmental regulations, competitiveness, and financial benefits have a positive impact on CDM implementation. Additionally, this study reported a significant positive effect of CDM implementation on economic performance. This paper extends the knowledge on the determinants and financial outcome of CDM implementation. The information given in this research might be beneficial for policy makers and managers in modifying tactics and strategies towards successful promotion of the CDM in developing countries. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to examine the effect of entrepreneurial resources on micro businesses and the mediating role of innovation capability in this relationship. Design/methodology/approach: A structured questionnaire was used to gather data for this quantitative study, which adopted partial least squares structural equation modelling to test the hypotheses on a sample of 455 women entrepreneurs in Malaysia. Findings: The results reveal that entrepreneurial resources, particularly technical resources, positively and significantly affect innovation capability and enhance business performance. Furthermore, innovation capability mediates the relationship between entrepreneurial resources and microbusiness performance. Research limitations/implications: This study contributes theoretically by combining six entrepreneurial resources into a single framework in light of the resource-based view and finance-based theory. The results corroborate the effects of entrepreneurial resources on the performance of women's micro businesses and the mediating role of innovation capability in this relationship. However, the cross-sectional design study limited this study's ability to engage respondents in a more in-depth analysis of pertinent themes. Practical implications: This research provides guidance and directions for business managers/owners and decision makers to adopt and improve entrepreneurial resources to achieve superior performance and competitive advantages. It presents evidence of innovation capability's significant role in converting resources into innovative outcomes and creating value. Additionally, it is useful for policymakers to design development programmes for micro, small and medium enterprises (MSMEs) in emerging markets. Social implications: This study highlights the value of innovation with a variety of entrepreneurial resources for women business owners that significantly impact Malaysian employment and gross domestic product and may have a positive social impact by enhancing social life in local communities. The nation's unique context of multiracial and ethnic groups reflects Malaysia's truly Asian ethnic composition. Originality/value: This study fills the research gap by offering empirical evidence of the mediating role of innovation capability in the link between entrepreneurial resources and microbusiness performance, thus significantly contributing to emerging markets worldwide, where women-owned micro businesses are increasingly generating value and employment. [ABSTRACT FROM AUTHOR]

Even though several studies have been done on intellectual capital, ownership structure, and firm performance, their status has remained uncertain in developing countries like Malaysia. Prior studies have generally focused on a single industry and overlooked the input of all Malaysian non-financial firms. This study investigates the impact of intellectual capital, its components, and ownership structure on firm performance. This study employs a balanced panel data examination for the data of 409 non-financial firms from 11 sectors listed on Bursa, Malaysia for five years (2016–2020). The modified value-added intellectual coefficient model was applied to examine the effect of IC efficiency on firm performance. The empirical findings revealed that IC efficiency, human capital efficiency, structural capital efficiency, capital employed efficiency, and relational capital efficiency are positively and significantly related to firm performance. However, physical and structural capital is the most substantial element of intellectual capital efficiency in augmenting profitability. In addition, government and foreign ownership positively affect firm performance. The research will help managers, policymakers, and investors understand how IC investments increase performance and make prudent investment choices in government and foreign ownership firms. [ABSTRACT FROM AUTHOR]

Purpose: This study empirically investigates the role of product market competition and mature-stage firm life cycle on the relation between corporate social responsibility (CSR) and market performance in an emerging market context – Malaysia. Design/methodology/approach: The authors construct a comprehensive CSR index toward the economy, environment and society (EES) and apply both Ordinary Least Squares (OLS) and Two-Stage Least Squares (2SLS) instrumental variables (IV) approaches to test the hypotheses of the study. Findings: The authors find that EES-based CSR generally enhances firms' market performance; however, the level of product market competition undermines the market performance of socially and economically responsible firms. In addition, the study results indicate that mature-stage firm life cycle with more involvement in CSR activities shows better market performance. However, the endogeneity check of CSR suggests that both CSR and mature-stage firms are mutually exclusive in influencing market performance. The study findings are robust to alternative measures and different identifications of high and low default risk situations of sample firms. Practical implications: This study carries practical policy implications for the listed firms, regulators and stakeholders in general. For example, regulatory bodies may promote greater involvement in CSR activities by listed companies in the Malaysian stock market. Investors and other market participants should be aware of factors influencing socially responsible firms' market performance such as the corporate life cycle and the level of competition in product markets. Originality/value: This research work responds to the call of regulatory bodies in Malaysia at a time when the Malaysian economy is under threat of environmental distraction practices by the palm oil industry and import ban by the largest export market, i.e. the European Union by 2030. The study also contributes to the theoretical literature by refining the moderating role of product market competition and mature-stage life cycle on the relationship between CSR and market performance from the perspectives of resource-based and stakeholder theories in emerging economy settings. [ABSTRACT FROM AUTHOR]

This study investigates whether government participation in firm ownership leads to better firm performance of publicly listed companies in Malaysia. The sample covers 257 companies listed on the Bursa Malaysia from 1997 to 2009. Multiple regression models with balanced panel data are used to examine the impact of government ownership (GOVN) on firm performance. We find a negative relationship between GOVN and firm performance, a finding that supports the negative public perception of government-linked companies (GLCs) in Malaysia. We conclude that government ownership is not an effective tool for improvement of firm performance in Malaysia. [ABSTRACT FROM AUTHOR]

Nowadays, separation of ownership from control in business causes the inability of shareholders to have a full control over managerial actions. In this situation, agency theory assumes an opportunistic behavior, that is, individuals want to maximize their own expected interests and are resourceful in doing so. This opportunistic behavior leads to conflict of interest between managers and shareholders on the one hand, and majority and minority shareholders on the other. From the agency theory perspective, the aim of Corporate Governance (CG) is to mitigate these agency conflicts and direct the operations to achieve an appropriate performance. Therefore, the aim of this study is to examine the relationship between CG characteristics and firm performance in Malaysian listed firms where divergence between cash flow and control rights is critical. Based on a randomly selected sample of 400 companies listed on Bursa Malaysia and applying the linear multiple regression, it is found that board independency and CEO duality have respectively positive and negative relationship with firm performance. In addition, audit quality has a significantly positive relationship with firm performance. The contribution of this study is to add a dummy interaction between audit quality and divergence between cash flow and control rights. It is found that high-quality audit firms can mitigate the agency problems in firms with divergence between cash flow and control rights. [ABSTRACT FROM AUTHOR]

The integration of Industry 4.0 (I4.0) has emerged as an innovative paradigm for industrial firms contemplating environmental and economic issues. This study explicates the role of I4.0 technologies (I4.0TEC) in reinforcing the management of environmental assets (ENVASS) as well as optimizing financial performance (FP). The data in this research was collected from 738 industrial firms in Malaysia between 2009 and 2018. The analyses of ordinary least square statistics (OLS) and structural equation modeling (SEM) delineated three major findings. The individual effect of ENVASS, robotization, and flexibility in production technologies has a marginal impact on sales, exports, and labor productivity indicators. The complementarities of these variables represent a similar effect on the performance indicators. The findings related to gross operating margin elucidate that ENVASS and I4.0TEC have neither individual nor complementarity effects. This was explained by developing a robust model by integrating ENVASS, I4.0TEC, spending and investing in R&D, flexibility in production, and human capital management. Our findings have confirmed that the proposed model offers a functional toolkit for the firms considering optimizing their profitability by leveraging ENVASS and I4.0TEC. This research also contributes to developing an ethical business model for the circular economy. [ABSTRACT FROM AUTHOR]

Objective: The main objective of this research is to integrate the resource-based view (RBV) to analyse how the relationship between firm performance and entrepreneurial orientation is mediated by outbound innovation among furniture firms in Malaysia. Research Design & Methods: In this research, data has been poised via questionnaire from the furniture firms in Johor state, Malaysia. In this study, 391 responses were considered and analysed. The partial least squares (PLS) model was employed to test the hypothetical relationships among entrepreneurial orientation, firm performance and outbound innovation intention to adopt open innovation practices. Findings: Research findings show that innovativeness, competitive aggressiveness, risk-taking, outbound innovation are statistically significant factors influencing entrepreneurial orientation and open innovation adoption among furniture companies in Malaysia. However, autonomy and proactiveness do not have significant effects on entrepreneurial orientation and open innovation adoption intention. Implications & Recommendations: Few implications that are significant for academics and practitioners are also debated according to research findings. This research can serve as a guideline for successfully implementing entrepreneurial orientation and open innovation among furniture firms in an emerging economy. Thus, offering an external knowledge search-collaboration mechanisms-superior performance framework. Through using this open approach, companies will seek to find opportuni9es for crea9vity that go beyond their current capabilities to dramatically boost success. Contribution & Value Added: This research, expanding the open innovation (OI) paradigm, explicates and measures the impact of OI's direct and mediating inputs on entrepreneurial orientation (EO) and firm performance. The results are consistent with the current OI literature demonstrating the complex connection among together outbound innovation and EO dimensions and firm performance by investigating Malaysian furniture manufacturers by building scales and evaluating their validity by developing outbound innovation. The initial findings are direct ties between entrepreneurial orientation dimensions with business performance and outbound open innovation. All the indirect (mediation) relations among the study variables were the second part of the results. [ABSTRACT FROM AUTHOR]

The research aims to determine how organizational performance is increased when soft TQM, agility, and knowledge management are aligned. It employs a model constructed from a literature review, and an empirical study conducted amongst electrical and electronics manufacturers in Malaysia. Soft TQM was found to have no significant direct relationship with organizational performance, but had a strong relationship when mediated by knowledge management. This relationship was further strengthened by the mediation of both agility and knowledge management. The empirical findings validate recent conceptual models of enablers of organizational performance, as well as contributing to the body of knowledge concerning the knowledge‐based view of the firm, and the view of the firm as an epistemic community. In addition, the study identifies factors that should be considered when implementing soft TQM, agile practices, and knowledge management in an organization. [ABSTRACT FROM AUTHOR]

Abstract: This study focuses on common-law Malaysia, which is classified as an advanced emerging market. It assesses the association between environmental disclosure and environmental performance and examines the financial attributes of companies with different environmental disclosure scores. It investigates the relation between environmental disclosure quality and corporate governance, and also examines the extent to which effective environmental disclosures are value relevant and how they influence investor perceptions. The findings of the study show that environmental disclosure is positively linked to environmental performance. Company attributes, such as large size, the need for capital, profitability and capital spending, are positively associated with environmental disclosure quality. High quality environmental disclosers display effective corporate governance and would tend to face less difficulties in accessing capital markets. They generally are audited by a big 4 auditor or cross-listed on foreign stock exchanges and display significant levels of managerial and institutional ownership. High quality environmental disclosures are value relevant and improve investor perceptions. High quality disclosers overall belong to beverages, chemicals, food producers, forestry and paper, and industrial metals and mining. [Copyright &y& Elsevier]

Using firm level data while controlling firm heterogeneity, we examine the importance of the government's role, organizational innovation and export incidence for product and process innovation. The empirical results show that government incentives, organizational innovation and export are significant in explaining innovative activities among firms. By separating innovation into product and process categories, the empirical evidence reveals that organizational innovation and export incidence are important for both types of innovation while government incentives are significant only for process innovation. Hence, government indirect supports via tax and non-tax incentives such as government technological support is found to have no effect on product innovation suggesting policy redesign to improve the capability of indigenous product development. This study also suggests policy implications for manufacturing firms with regard to sustaining technological upgrading and innovation. [ABSTRACT FROM AUTHOR]

Purpose - The purpose of this paper is to investigate the operations strategy of service firms (hotels) in order to determine whether the infrastructural aspects of their operational practices, i.e. leadership competency and organizational culture, would affect their responsiveness (as a cumulative capability) to their employees and customers and eventually their performance (increase in revenue). Design/methodology/approach - The approach takes the form of an empirical analysis of data (using structural equation modeling) obtained via a questionnaire survey involving 88 hotels of various ratings in Malaysia. Findings - The findings indicate that leadership competency and organizational culture have positive relationships with responsiveness. In addition, responsiveness has a positive relationship with hotel revenue. These findings imply that leadership competency and organizational culture are important factors for hotels to be responsive to their customers, and in turn responsiveness to customers would improve hotel revenue Research limitations/implications - Some limitations include those that come with cross-sectional analysis, the use of perceptual measures, and low response rate. Practical implications - Hotel managers need not only to improve their leadership competency but also to instill an organizational culture that is supportive of their employees. These operations practices would make their hotel more responsive to customer needs, which in turn would help to improve their hotel performance. Originality/value - There are differences between this study and prior studies. Leadership competency was examined in the context of service operations practices where evidence was provided that leadership competency would affect cumulative capability of responsiveness of service firms. Organizational culture was viewed in the context of operations practices, where the finding implies that organizational culture practices, such as attentive listening to staff, giving reward and recognition for their performance, and taking care of their welfare, would lead to a positive effect on the ability of a hotel to be responsive toward their customer needs. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to advance the discussion on internal audit (IA) findings by empirically investigating the relationship between chief executive officer (CEO) characteristics and the IA function, particularly IA findings and implementing IA recommendations and examining whether CEO and management support for IA moderate the effect of the recommendations on corporate performance. Design/methodology/approach: Data were gathered from two sources. A survey was conducted, directed at 217 heads of internal audit (HIAs) in listed companies on the Bursa Malaysia, and the annual reports of these companies for the period of 2018–2019 were consulted. A second survey was directed at audit committee chairs to obtain a perspective from other parties. Findings: The results indicate that although CEO characteristics are not significantly associated with the number of IA findings, only CEO experience has a significant relationship with the level of the implementation of IA recommendations. The study also demonstrates that management support for IA is positively associated with corporate performance. Further, CEO experience and management support for IA increase the effects of the level to which those recommendations are implemented on corporate performance. However, the effect of management support on corporate performance is eliminated when it interacts with the involvement of CEOs in the HIA appointment and when these HIAs report directly to CEOs. Practical implications: These outcomes provide implications for policymakers, regulators and researchers. Malaysia's regulatory authorities, as well as those in other countries, particularly emerging markets where the institutional and cultural environments have similar characteristics, could consider the evidence of the relationship between the CEO's financial background, management support for IA and IA recommendations when guiding companies about the mechanisms for appointing HIAs. Simultaneously, the results obtained could be useful when auditors are involved in risk assessment and rely on IA recommendations. Originality/value: This study adds to the literature on the significant relationship between CEO characteristics (particularly CEO experience) and the level of implementing IA recommendations. It advances the research efforts on management support for IA by providing empirical evidence of how such support fosters a greater role for IA in improving corporate performance, as well as moderates the effect of IA in that endeavour. Further, the present study contributes to the developing literature on determinants of corporate performance by considering how these variables perform in the Malaysian setting. [ABSTRACT FROM AUTHOR]

Hedging practices among Shari'ah compliant firms (ShC) are still not well explored and firms in Malaysia is very much lag behind in derivatives usage against firms in the developed countries. This study investigates the influence of financial derivatives usage on the value of Shari'ah and non-Shari'ah compliant firms (non-ShC) in Malaysia and compares the influence of derivatives usage on the value between the two categories of firms. To meet its objective, Generalized Method-of-Moment estimator (System-GMM) is employed on a set of panel data from 2000-2017. This study covers 200 firms engaged in derivatives which 59 firms are ShC firms and 141 are non-ShC firms. This study finds financial derivatives contribute positively to the value of Shari'ah compliant but negatively to the non-ShC firms. This study concludes that ShC performed better than its counterpart in risk management using derivatives. The findings enrich the current literature on the Islamic financial market and contribute to a better understanding relating to hedging activities. This study offers new evidence on risk management using derivatives in both Shari'ah and non-ShC firms and the importance of industrial diversification on firm value. This study suggests that the non-involvement in non-ShC firm's activities contributes to the lower risk profile hence a more effective risk management of the Shari'ah compliant firms. [ABSTRACT FROM AUTHOR]

Introduction:Research has shown the negative impacts of climate change on the economy and how the state of the environment has been a complex global challenge. Prior studies have suggested immediate actions to avoid any unforeseen circumstances for all living things on Earth. Previous research has also supported all kinds of sustainability efforts as resolutions to address the deterioration of climate change caused by business activities. Originality: There is a need for companies to start acting and assigning employees to mitigate carbon emitted by corporations. This study is motivated by the lack of empirical evidence that examines how corporate carbon governance influences better carbon performance of organizations and authorizes organizations to implement and embed carbon accounting. Objective: This study used evidence from Malaysia to explore this subject matter and examined the association between carbon governance and carbon performance of corporations. The research also investigated the mediation effect of carbon accounting with respect to carbon governance and carbon performance. Findings: It is revealed that carbon governance had no significant influence on an organization's carbon performance although carbon accounting implementation positively influenced carbon performance. The findings imply that despite its insignificance, carbon accounting remains a vital matter to be deployed by organizations for better carbon emission mitigation. [ABSTRACT FROM AUTHOR]

Although open innovation systems have drastically improved manufacturing performance, still many organizations are not able to leverage on the open innovation systems due to cultural barriers. This research aimed to investigate the interventions of the open innovation systems between the relationships of organizational culture and organizational performance with the moderating effect of management support. A quantitative research design was employed to achieve research objectives. Data was collected through a structured questionnaire from 384 managers of the large manufacturing industry in Malaysia using a multistage random sampling technique. Structural equation modelling by using SMART PLS was used to test hypotheses. Results indicated that the relationship between organizational culture (e.g. clan, adhocracy, and market culture) and organizational performance was mediated by open innovation. Open innovation has no mediation effect between hierarchy culture and organizational performance relationship. While management support moderates the relationship between open innovation and organizational culture. The organizations exhibited more organic culture and focused on differentiation can harness open innovation and enhanced organizational performance. [ABSTRACT FROM AUTHOR]