Impact of IT Service Management Frameworks on the IT Organization

Over 90 percent of companies are estimated to use IT Service Management (ITSM) frameworks, yet there is little research on their benefits to the Information Technology (IT) department and the business units. An international survey of 491 firms was conducted to assess the benefits of the IT Infrastructure Library (ITIL), the de-facto ITSM framework, specifically on how these benefits evolve as companies increase their adoption of the ITIL model. Also studied are the perception of challenges of the implementation and the number of ITIL processes implemented in relation to the progress of the adoption of ITIL. Results indicate that as the maturity of implementation increases, the perception of challenges decreases. Findings also show that as the maturity of implementation increases, the number of realized benefits increases, as well as the number of implemented ITIL processes. Implications for practitioners and researchers are also discussed.     

Economic Evaluation and Optimization of the Degree of Automation in Insurance Processes

In the context of value and customer orientation there are various requirements concerning the process – especially in insurance companies: processes are meant to be standardized, automated, and flexible. It is in question whether a fast and cheap automated processing is preferred to manual handling. For which claims and which process steps is it of economic value to have the flexibility and the competence and ability to solve problems of human operators at your disposal? Various combinations, representing different degrees of automation, are possible. The different degrees of automation for the processing of an insurance claims are compared and resulting cash flows are determined. It is essential to include all consequences that can be attributed to a single process and to consider customer reactions and restrictions to the capacity of processing. Instead of using heuristic rules to decide on automation in practice, here the decision is flexible and depends on the given situation. Viewing an aggregated number of insurance claims it is possible to deduce information about the performance of the process. The model is exemplarily illustrated with help of a part of the process for handling own damage glass claims.     

Does the Quality of Corporate Governance Affect Firm Valuation and Risk? Evidence from a Corporate Governance Scorecard in Hong Kong*

Using Hong Kong firm data, we construct an index of corporate governance during 2002–2005, which scores the corporate governance practices of listed companies from the public shareholders' perspective based on the Organization for Economic Corporation and Development Principles of Corporate Governance. The findings show that family firms and firms with concentrated ownership structures are associated with bad corporate governance. The evidence also shows that these firms improve their corporate governance practices slower than their peers. Overall, the quality of corporate governance is very significant in explaining future company stock returns and risk. Good corporate governance is associated with both higher stock returns and with lower risk. Improvements in corporate governance are associated with significantly higher stock returns and lower company risk.     

Evidence-Based Structuring and Evaluation of Empirical Research in Requirements Engineering

The objective of the contribution is to develop and motivate an approach of structuring, evaluating, and representing empirical research results regarding requirements engineering. Therefore, the authors develop a framework in order to organize the area of interest. The use of this framework and an evidence-based classification system allows us to develop a research map which helps to structure identified empirical research while enabling the derivation of further research needs. Additionally, it supports the selection of methods, techniques, etc. in requirements engineering practice.     

Matching of police and hospital road crash casualty records – a data-linkage study in Malaysia

Underreporting of road crashes hampers the development of appropriate road safety countermeasures in many countries. In this study, police and hospital records from road crash casualties in the Melaka Tengah district in Malaysia from 2014 were collected to determine their matching and reporting rates. Based on authentic personal identifiers from both types of records, Microsoft SQL was used to reveal how the matching rate varies due to multiple factors. The results showed that 311 cases (of 7625 hospital records) could be linked to both databases, yielding a 4.1% matching rate and a 4.7% police reporting rate. Both the reporting and matching rates increased with the level of injury severity. The significant underreporting in the police database showed that complementary data are necessary for enhancing the current official crash data records.     

Do Variations in the Strength of Corporate Governance Still Matter? A Comparison of the Pre- and Post-Regulation Environment

Corporate scandals brought the issue of corporate governance to the forefront of the agendas of lawmakers and regulators in the early 2000s. As a result, Congress, the New York Stock Exchange, and the NASDAQ enacted standards to improve the quality of corporate governance, thereby enhancing the quantity and quality of disclosures by listed companies. We investigate the relationship between corporate governance strength and the quality of disclosures in pre- and post-regulation time periods. If cross-sectional differences in corporate governance policies affect the quality of financial disclosures, the quality of information available to analysts varies with such policies. Specifically, higher quality disclosures, produced as a result of strong corporate governance, should lead to more accurate and less dispersed analysts’ forecasts. Our analysis suggests that voluntary implementation of stronger corporate governance enhanced the quality of disclosures in the pre-regulation period; however, exceeding current corporate governance standards does not appear to result in higher quality disclosures post-regulation. These results suggest that SOX and the stronger regulations enacted by U.S. exchanges were effective in reducing variation in the quality of financial information available to investors.     

Governance of Knowledge‐Intensive Firms in the Modern Market Economy

We model contracting for joint production between workers and shareholders when investment in knowledge is non‐verifiable and the resulting specific human capital embedded in the workers is non‐tradable. The model explains how the effective cost of human capital services will vary depending on whether the investment in knowledge is financed by the workers or by the shareholders. We apply the results of the modeling to identify which firms are expected to gain and which to lose from posted trends in higher employability and lower empowerment of workers in modern market economies. Finally, we present conditions on the self‐interest of current shareholders to empower workers as a way to stimulate their investment in firm‐specific human capital.     

How Do Board Size and Occupational Background of Directors Influence Social Performance in For-profit and Non-profit Organizations? Evidence from California Hospitals

This study investigates how board size and occupational background of directors differentially influence social performance in for-profit and non-profit organizations. Using data from California hospitals, we develop a quantitative measure of social performance and provide the following empirical evidence. First, board size is negatively (positively) associated with social performance in for-profit (non-profit) hospitals. Second, the presence of government officials on the board is negatively (positively) related to social performance in for-profit (non-profit) hospitals. Third, representation of physicians on the board is positively associated with social performance in for-profit hospitals, whereas their presence is not significantly related to social performance in non-profit hospitals. Our findings highlight the different effects of governance mechanisms on social performance in for-profit and non-profit organizations.     

A Fair Trade-off? Paradoxes in the Governance of Fair-trade Social Enterprises

This paper explores how fair trade social enterprises (FTSEs) manage paradoxes in stakeholder-oriented governance models. We use narrative accounts from board members, at governance events and board documents to report an exploratory study of paradoxes in three FTSEs which are partly farmer-owned. Having synthesized the key social enterprise governance literature and framed it alongside the broader paradox theory, we used narratives to explore how tensions are articulated, how they can be applied within an adapted paradox framework, and how governance actors seek to mitigate paradoxes. The paper contributes to current debates in social enterprise scholarship concerning hybridity (Pache and Santos, Acad Manag Rev 35(3):455–476, 2010; in Institutional logics in action, Part B (Research in the sociology of organizations), 2012), hybrid organizing (Battilana and Lee, Acad Manag Ann 8(1):397–441, 2014) and operational tensions (Smith et al., Bus Eth Q 23(3):407–442, 2013) by illustrating empirically how the central social/enterprise paradox manifests in FTSEs governance arrangements. We build on the paradox categories proposed by Lüscher and Lewis (Acad Manag J 51(2):221–240, 2008) and adapted in Smith et al. (Bus Eth Q 23(3):407–442, 2013) by developing a recursive model of legitimacy-seeking governance processes, conceptualizing how boards seek to mitigate, but not necessarily resolve, paradoxes.     

The Post-entry Performance of Cohorts of Export Starters in German Manufacturing Industries☆

This paper investigates four cohorts of firms from German manufacturing industries that started to export between 1998 and 2002, and follows them for five years after the start. Export starters are a rare species and small in Germany. Around 30–40% of those starters studied became continuous exporters. The share of total exports contributed by export starters of a cohort is tiny in the start year, and it remains so over the years that follow. Contrary to the market selection hypothesis, there is no evidence that productivity in the start year is systematically related to survival in the export market. There is no evidence of a negative impact of a smaller firm size in the start year on the chance of surviving in the export market. Starting with a higher share of exports in total sales, however, tends to increase the probability of continuing to export.     

Characteristics of non-fatal injuries in Leon,Nicaragua – 2004

This article describes the epidemiology of injuries collected in the Injury Surveillance System in Leon Hospital in Nicaragua. A total of 6659 persons were treated for injuries in 2004. It was discovered that 88% of all injuries were unintentional, 9% involved interpersonal violence, 2% were self-inflicted and 0.2% was undetermined. Men accounted for 64.7% of the cases, with the highest rate among 20 – 24 year olds (5625.8 per 100 000 inhabitants). Among women, the highest rate was in those aged 64 years and older (5324.2 per 100 000 inhabitants). The most common mechanisms were falls (33.9%), blunt force (26.8%), cut/pierce/stab (15.1%) and transportation-related (12.8%). These results indicate the need to identify prevention strategies for those injuries that were most commonly treated in emergency, such as unintentional falls among older women, self-inflicted poisoning among young women and blunt force and transportation-related injuries among young men.     

Critical Success Factors of Service Orientation in Information Systems Engineering

Service orientation has been a major buzz-word in recent years. While the buzz is on a decline, organizations are slowly, but steadily moving towards service oriented designs. However, service orientation turns out to be as much of a managerial challenge as of a technical one. The most important complexity drivers in the service oriented design of information systems seem to be (a) inconsistent design goals of stakeholders and (b) the pursuit of exhaustive service orientation coverage. This research focuses on the following two questions: (1) What are the characteristics of successful implementations of service oriented information systems, and (2) what are the critical success factors influencing, driving and/or, determining these characteristics? Data of an empirical analysis is used to test a set of cause-effect relationship hypotheses based on nine latent variables. In the core of this model we differentiate the variables “overall service orientation infrastructure success” and “service orientation project success”. The hypothesized interrelationships between the nine variables lead to a causal model which is proven to hold.     

Hirschman’s Rhetoric of Reaction: U.S. and German Insights in Business Ethics

In recent times, representatives of American management science have been arguing increasingly for a functionalization of ethics to change economic thinking: what they are seeking is the systematic integration of ethics into the economic paradigm. Using the insights developed by Hirschman, I would like to show how one must first expose the rhetoric of those critics of change (referred to below as conservatives or reactionaries) in order then to implement that which is new (representatives of this approach are referred to below as progressives). Such an ‹unmasking’ works particularly well when one can defuse the arguments of the reactionaries – which is precisely what one achieves by strategically integrating ethics into economics. In his work The Rhetoric of Reaction Hirschman examines three basic forms of reactionary thought: the perversity thesis, the futility thesis, and the jeopardy thesis. According to the perversity thesis, intended goals are transformed into their opposites. The futility thesis argues that the setting of goals is useless since history runs its own course independent of those goals. The jeopardy thesis claims to preserve what already exists since change might substantially endanger that which has already been achieved. The importance of Hirschman’s ideas for the strategic interplay between the academic disciplines can be seen quite clearly in the example of German business ethics. This will be displayed below with reference to Hirschman’s three theses. Finally, implications will be drawn for business ethics in general and for management theory in particular.     

Cost-Benefit Analysis for the Selection,Migration, and Operation of a Campus Management System

An increasing number of students, together with organizational and technological requirements, pose new challenges for universities. For these reasons, Campus Management Systems provide a solution for the necessary IS-support in student administration. In order to ensure cost-effectiveness, an extensive cost-utility analysis of the campus management systems under consideration is required. The process model illustrated here facilitates a ten-step cost-utility analysis for the selection, migration and operation of a campus management System. The process-oriented approach addresses the challenges posed by cost and benefit allocation. The subsequent ten steps, using the case analysis of two large German universities, show that the implementation of an integrated campus management system can lead to significant cost saving effects. The presented process model enables comparative calculations of differences with regard to the alternatives. The approach enables a comprehensive decision-support system for the selection of a university-specific and individually applicable campus management system.     

Asking Questions: A Sine Qua Non of Facilitation in Decision Support?

This paper reflects our ongoing interest in discovering essential elements of facilitation in decision support for groups with members having different perspectives on a strategic problem. We investigated questioning behaviour, a critical aspect of microlevel behaviour, of the facilitator in a classroom experiment with five-person groups (N?=?26). The supported groups used a facilitated modelling approach, that is, group model building, which is based on system dynamics. In the control condition, one of the participants led the group discussion in the role of chairperson. As expected, we found that the facilitator asked more questions than the chairperson. Subsequently, based on proposed functions of questions by discussion leaders in group decision making, we distinguished three categories of questions; related to (a) rational and social validation, (b) reflection, and (c) information management. Analysis of question type frequencies revealed that facilitators mainly ask questions from the rational and social validation category, and that this question type declines over the course of the discussion process. Questions prompting reflection increased over time. Information management questions were mostly used in the beginning and middle part of the session. In the groups led by a chairperson, a less clear picture emerged. There was a great variety between groups with respect to type of questions and sequence in which the chairperson asked questions. The only consistent result for unsupported meetings is that information management primarily took place at the end of the sessions.