Is there a future for hotel financial controllers?

Evidence suggests that organisations can benefit from outsourcing part or all of their accounting function but for hotels, however, this may not be appropriate, given the complexity and variety of the operating and non-operating departments. A recent research project concludes that outsourcing is unpopular, due to issues of management control, but that centralisation of accounting functions may be appropriate providing that control remains within the unit. Two types of financial management are emerging—very standardised systems in highly branded hotels, and fully self-accounting systems for independent hotels. Hence, the type of hotel financial controller may, or may not, be highly skilled and qualified, with implications for their future education and development.     

The Wheat War of 1994: Comment

The opinions expressed are those of the authors and not those of the United States International Trade Commission or any of its Commissioners. This article is a U.S. Government work and, as such, is in the public domain within the United States of America.     

How persuasive is ‘free’ public transport?: A survey among commuters in the Brussels Capital Region

In Belgium, several cities have been experimenting with ‘free’ public transport based on the concept of a third payer system. This study explores the modal shift potential of this measure for commuters by means of a large-scale survey. The results indicate that there is still a margin for a further modal shift, but in order to make public transport more attractive to car users, the price paid by the commuter should be lowered, the quality and capacity of the public services should be improved and the mobility policy of the companies should be adjusted in favour of public transport.     

Riverboat casinos’ impact on host communities: Comments from business owners and residents

A qualitative component was incorporated in a gaming impact study to explore how business owners and residents make sense of their lives and experiences with the presence of a riverboat casino in their community. Data collected were categorized to summarize their perceptions on the effect of riverboat casinos on their businesses, their lives, and the community. Most respondents’ comments represented a balanced view of the casinos’ influence. Increased gambling addiction appeared to be their major concern. This article provides insights of the real feelings of people who were affected the most by the gaming development.     

Australian Trade Unions' Responses to Human Resource Management Initiatives in a Globalized Era

Within the development of a human resource (HR) philosophy, the HR function has been elevated to take an active role in business strategic planning processes. It should be co-ordinated and integrated to support the notion of human resources as a source of competitive advantage, and these changes should be accompanied by greater involvement in HR matters by all managers and employees as part of their everyday work. This research focuses on the role of trade unions and their strategies in maintaining a pro-active position within workplaces that embrace a HR framework. If the goal of a unified workforce, committed to common goals, is to be realized it is critical that industrial relations reflect this philosophy. Employee commitment becomes a pivotal precondition for success. This view raises questions about whether dual commitment to both the organization and union is possible, or indeed whether such an approach precludes the need for unions. Greenfield sites, relatively free from past negative stereotypes, have been identified for the research because they offer an untarnished opportunity for the practice of effective HR principles and the observation of union responses.     

Good disclosure doesn't cure bad accounting—Or does it?: Evaluating the case for SFAS 158

This paper investigates whether the newly required recognition of the funded status of defined benefit (DB) plans under SFAS 158 is incrementally value relevant in its adoption year (2006) relative to the corresponding amounts which were previously disclosed from both equity investor and credit rating perspectives. In equity valuation models, we use a sample of 878 firms (1756 firm years) offering DB plans in 2005 (disclosure year) and 2006 (recognition year), and find no incrementally significant association with market prices of newly recognized amounts under SFAS 158 over the same information that was disclosed pre-SFAS 158. Our credit rating tests, using a sample of 428 DB firms (856 firm years) for 2005 and 2006 also show no differential impact of recognition over disclosure. Overall, we find that equity investors price the SFAS 158-imposed pension differential while credit rating agencies do not, regardless of whether such information is recognized or disclosed in the financial statements. Our results are consistent with efficiency in both equity and credit markets with respect to pension information and suggest that SFAS 158 has not changed the way market participants in aggregate use pension-related financial statement information.     

The agency problem and the moderating role of culturally based management style on Chinese managers’ discretionary accruals

Upon completion of overseas acquisitions, Western firms typically hire Chinese locals or expatriates to run their Chinese operations. This action is an important consideration because a Western executive's managerial style may impact Chinese employee behavior differently than a Chinese executive's managerial style. Utilizing an experiment with Chinese managers as participants, we examine the effect of the agency problem (when both an incentive and opportunity to act in line with one's self-interest are present) on Chinese managers’ discretionary accrual decisions, as well as the role that their executives’ culturally based management style (Eastern versus Western) plays in affecting their propensity to manage earnings. We find that Chinese managers tend to override corporate concerns and recommend higher discretionary expense accruals in an effort to maximize their two-year bonus potential when the agency problem is present. Conversely, they tend to recommend lower discretionary expense accrual figures to help achieve corporate goals when the agency problem is not present. Interestingly, we also find that an executive's culturally based management style moderates the impact of the agency problem in that Chinese managers’ willingness to manage earnings across agency problem conditions is significantly more pronounced in the presence of a Western (U.S.) executive than in the presence of an Eastern (Chinese) executive.     

An investigation of paradigm choice in Australian international human resource management research

This paper addresses the question of whether Australian international human resource management (IHRM) research is dominated by either a universalist or contextualist paradigm. Using a systematic review approach, 82 peer reviewed papers were analysed using a basic extraction tool to record publication and research design details. The universalist/contextualist distinction decision was based on the point at which theory became evident in each publication. Results indicated an almost even split in the universalist/contextualist paradigm choice suggesting a balanced rather than dominant research preference. This finding may reflect the impact of both European and North American influences in Australian IHRM research. A second finding is a high level of papers without proposed theoretical relationships: this second finding has a number of ramifications for IHRM research and practice in Australia.     

The relationship between new venture entry mode and firm performance

Grounded in the knowledge-based view of the firm, this paper compares the performance outcomes from different modes of new venture entry. Data from new hotels entering the United Kingdom between 2006–2010 was used to explore how entry mode (i.e., franchised or independent) impacts post-entry firm performance. Controlling for market demand and market segments, this study found that affiliation with a franchise made it easier for new owners to ramp up revenues in the first six months if the service had a high level of operational complexity (e.g., full-service hotels). After this initial benefit period no significant performance benefit accrued to branded full-service hotels. In contrast, hotels that offered less complex services obtained higher levels of performance when relying on independent status vs. brand affiliation between six and twenty-four months after entry. Implications of the results are offered in the context of determining the value of explicit versus tacit knowledge obtained from external sources versus going it alone as an entrepreneur.