ORCID Profile
0000-0001-9652-712X
Current Organisations
Universiti Teknologi MARA Perak
,
Edith Cowan University
,
ACCA
Does something not look right? The information on this page has been harvested from data sources that may not be up to date. We continue to work with information providers to improve coverage and quality. To report an issue, use the Feedback Form.
Publisher: Conscientia Beam
Date: 03-04-2023
Abstract: The recent COVID-19 pandemic, which led to lockdowns and new working norms, has influenced business and accounting transactions in significant ways. This phenomenon and its longer-term impacts are still under-researched and remain unexplored in emerging countries, particularly Malaysia. Therefore, the current study intended to determine the actions taken by Malaysian organizations, specifically in their accounting and finance functions, in response to the COVID-19 crisis. Online survey questionnaires were distributed to collect data. The questionnaires comprised several sections, including demographic information of the respondents and factors affecting users’ intentions to use technology for accounting and finance functions in the face of the COVID-19 crisis. This research adopted the Unified Theory of Acceptance and Use of Technology (UTAUT) model as a theoretical basis from which to evaluate the research objectives. The findings showed that only performance expectancy is related to user intention, while other factors, such as effort, attitude, social influence, self-efficacy, and anxiety, display the opposite effect. This empirical study suggests that accounting and finance functions in Malaysia still lag behind in terms of the technology used by employees. In addition, organizations, particularly government departments, are not ready to adopt a fully integrated scientific accounting and finance system.
Publisher: Emerald
Date: 03-10-2016
Abstract: The purpose of this paper is to investigate the causes and impact of employee fraud, focusing on one particular industry, namely, the automotive industry. One company was selected as a case for the study. Qualitative data analysis was used for the study, with two techniques for data collection. First was the content or document analysis on various reports, such as employee fraud reports and records of disciplinary action, and second was a series of interviews with employees from different levels and various departments of the company. This study found that the most popular type of fraud is misappropriation of assets, including theft of cash and inventories. No significant differences were seen in terms of fraudster position, as they can come from both the lower and the executive level. However, majority of the fraudsters come from the operational and sales department. This study also found that majority of the fraudsters in the case study were male, new employees and young adults. Their motivations to commit fraud include lack of understanding about fraud behavior, opportunity to commit fraud and lifestyle and financial pressure. The results provide further confirmation of the Fraud Triangle Theory and Fraud Diamond Theory on the causes of the fraud. They are also consistent with much prior research and surveys conducted by global professional firms on fraud and its related causes and implications. This study, however, was conducted on only one company with several series of interviews and three years of document analysis. Future research should collect and analyze data from a higher number of companies with more respondents for interviews and longer period for document analysis to get more accurate results. This study provides some recommendations for fraud prevention in the future based on real fraud cases and those that involved managing cases up to and including disciplinary decision. These include closed supervision, fraud awareness training, clearer job descriptions, cultivation of a pleasant working environment and improved security control. This study found that some of the causes of fraud include social factors like lifestyle and financial pressure due to low income. Policy adjustments, such as an effort to push people beyond the poverty line with higher minimum wages, need to be made to prevent low-income workers from seeing their company as another source of illegal income. This study is original, as it focuses on a company that operates in the automotive industry, which is rare in fraud literature, particularly in developing markets. In addition, the company is new, so analysis can be conducted on how the company evolved and learned from the fraud analysis for prevention in the future. Furthermore, this study used two techniques of data collection, so that verification of the findings may be made for better reliability.
Publisher: Universiti Putra Malaysia
Date: 22-06-2021
Abstract: The Malaysian Auditor General’s Report is tabled in Parliament every year. This report covers issues from government ministries, departments, and agencies. Once the report is tabled, it is published to the public in hardcopy. Beyond a thick physical hardcopy, the emergence of information technology allows the public to browse, analyze, and review the report online via the Auditor General’s Online Dashboard. However, the public and many other stakeholders, including Malaysian members of Parliament, are not aware of the existence of those facilities. Therefore, this research aims to gather information on the effectiveness of the Auditor General’s Online Dashboard disclosure and whether such disclosures provide satisfactory information to users and particularly to members of Parliament. A qualitative survey of 30 members of Parliament through convenience s ling is used. This study found that lack of promotion contributed mostly to unawareness of the existence of the Auditor General’s Online Dashboard disclosure.
Publisher: Inderscience Publishers
Date: 2018
Publisher: Inderscience Publishers
Date: 2017
Publisher: Conselho Nacional de Pesquisa e Pos-Graduacao em Direito - CONPEDI
Date: 16-06-2023
DOI: 10.26668/BUSINESSREVIEW/2023.V8I5.1112
Abstract: Purpose: This study aims to investigate of firm's performance through water awareness, intellectual capital, and corporate social responsibility. Theoretical framework: The main goal of the signaling theory by Spence (2002) is to reduce the information asymmetry between two parties. Research by Ericson and Call (2008), Shabaati et al. (2010), Helena, Pedro, and Jardon (2010), and others have demonstrated that intellectual capital has a favorable impact on performance. Clacher, Hagendorff, Jo, and Harjoto (2012), as well as Ameer and Othman (2012), discovered a beneficial relationship between CSR and a company's financial performance. Design/methodology/approach: The present study was conducted on 21 manufacturing companies in Indonesia with a total of 106 s les. The data of the present study were financial reports and sustainability reports which were obtained from the Indonesian stock exchange website and each company's website during the period 2015-2019 by using purposive s ling techniques and multiple linear regression methods. Findings: The findings revealed that water awareness and corporate social responsibility affect company performance, but not the firm’s intellectual capital. However, a firm's sustainability is empirically proven to affect company performance. Research, Practical & Social implications: This study is useful for managers to examine the effectiveness of water awareness and sustainability practices including intellectual capital towards the company's performance. Originality/value: The value of the study is useful for managers to examine the affect company performance, but not the firm’s intellectual capital. However, a firm's sustainability is empirically proven to affect company performance. This measurement of firm’s sustainability model will be very useful for decision makers and policy makers.
Publisher: Emerald
Date: 02-07-2018
DOI: 10.1108/JMLC-07-2017-0030
Abstract: The purpose of this paper is to examine the problems that are related to the witness and acquisition of evidence during the commercial crime investigation. Data for this research were collected primarily from the semi-structured interview session conducted with ten investigation officers from the regulatory and enforcement bodies in Malaysia. The late response from witnesses and third parties will prolong the completion period of investigation. The problem of long completion period arises in a process of investigation, particularly on the cooperation of the witnesses in attending the recording statement session and providing the evidences as well as other party who are required to provide relevant information. Although there are sufficient provisions of law that allow investigation officers to acquire evidences from witnesses and third parties, there is no time limit for third parties to respond to the enquiries from the investigation officers. The degree of the difficulties and complexity of the cases also influence the completion period of the investigation of commercial crime cases. Cases like cheating, criminal breach trust and computer crimes have varieties of modus operandi and difficulty. Thus, the burden to proof beyond reasonable doubt also increased for the investigation officers to fulfill the requirement of evidences as stated in the relevant acts to satisfy the public prosecutor to bring the case to the court. The study provides some evidence to indicate that commercial crime investigation generally is a collective effort. All parties involved should participate and give their best cooperation to complete the investigation in a reasonable period of time, so that the justice can be uphold for the best interest of the victim. This study, however, is limited to small number of respondents and narrow scope of study because of sensitivity of the topics. It should be noted that the main problem that has been faced by the investigation officers is to acquire the cooperation from relevant parties either government or nongovernment agencies and in idual witness. No matter how complex is the case, it will depend largely on the willingness of relevant parties to cooperate and providing the evidences required for the investigation officers to complete the investigation within the reasonable period. The problem has to be remedied to ensure that it will not affect the perception of public especially complainants, toward the efficiency of the investigation officers, to complete the investigation. In general, the public perceptions also affect the image of the government as a whole. This study is original as it gathers the information directly from the investigation officers who are directly involved in the commercial crime investigation. The data collected were also highly confidential and not easily accessible by researchers, which are rare in literature and invaluable for academic publications.
Publisher: Emerald
Date: 09-04-2020
DOI: 10.1108/IJLMA-04-2018-0075
Abstract: This paper aims to explore the director’s work ethics with particular attention given to the Islamic perspectives and prophetic character toward sustaining the performance of the business organizations. As at now, there is a limited code of ethics that can be a guidance for the business organizations and its leaders specifically. This paper examines and reviews the foundation and prior studies on directors’ work ethics and Islamic work ethics. Then, briefly discuss and present a conceptual review of the directors’ work ethics based on prophetic characters, as well as its application in modern business activities. Based on Quran and Hadith , this paper proposes that four fundamental moral characters of directors are siddiq (truthfulness), fatanah (intelligent), tabligh (deliver) and amanah (trust). This paper is conceptual in nature, thus further research needed to empirically test all the characters in actual practices. The outcome of this paper contributes in way of it can be used and applied by the firm and policymakers to construct a comprehensive code of ethics that based on the Islamic values. This paper is original as it attempts to suggest the appropriate constructs of directors’ work ethics from the religious studies in the ethics and management literature. These constructs able to increase the integrity and moral behaviors of the directors, which eventually preventing them from a commit in various unethical and malpractices that may obstruct the progress of the country’s economic development and growth.
Publisher: Inderscience Publishers
Date: 2017
Publisher: Emerald
Date: 02-07-2018
Abstract: The purpose of this study is to investigate the weaknesses of internal control in expenditure claim procedure and to identify the opinions of employees regarding an occupational fraud. This study also attempts to examine the most popular occupational fraud committed by the employee and whether a company’s working environment contributed to the fraud. A case study approach was adopted to investigate and analyse the weaknesses of the internal control and occupational fraud incidents. A mixed method of data collection, specifically, survey questionnaire and document analysis were used. This study found that the internal control of the expenditure claim procedure was weak and needed improvement. This study also found that a strong internal control and a better remuneration paid to the employees could reduce the risk of the occupational fraud committed in the company. In terms of fraud types, this study discovered that claims on mileage, followed by petrol, accommodation and suppliers’ invoice were the most popular occupational frauds committed by the employees. Finally, employee dissatisfaction and poor working-environment culture influence occupational fraud’s level in the organizations. The results provide further confirmation of the fraud triangle theory on the causes of fraud, i.e. opportunity because of a weak internal control and financial pressure because of low and non-standardized salary. This study, however, was conducted only on one company. This study provides some recommendations to overcome the weak internal control and improve employees’ satisfaction which lead to better working environment. Thus, opportunities for fraud in the company can be reduced. This study is original, as it focusses specifically on occupational fraud which is rare in fraud literature, particularly for a study that is conducted in developing markets like Malaysia. It also has examined various related sensitive documents and reports of employee frauds that are generally difficult to be accessed by researchers.
Publisher: Canadian Center of Science and Education
Date: 29-10-2013
Publisher: Emerald
Date: 07-01-2019
Abstract: The purpose of this study was to determine the professional competency levels acquired by internal auditors in detecting unethical behaviour, to evaluate the position of internal auditors on objectivity and integrity in dealing with unethical behaviour and to examine the extent of their awareness on ethical issues in government-linked companies (GLCs). Data were collected via questionnaires that were randomly distributed to the internal auditors of the selected GLS in Malaysia. These questionnaires were constructed from the Certified Internal Auditor (CIA) Examination Paper and The Institute of Internal Auditors (IIA) Competency Framework. This study found that internal auditors of the GLCs had a high level of competency in performing audit engagements and were able to detect unethical practices in the companies. The majority of the internal auditors also had a high level of objectivity and integrity when faced with unethical behaviour during audit engagements. This study provided strong evidence that the internal auditors of Malaysian GLCs strongly complied with IIA Code of Ethics. Besides, they were also aware of the unethical behaviour which occurred within their organizations. However, this study is limited to the internal auditors in GLCs, while the questions of the survey instrument are restricted to the elements of integrity, objectivity and professional competencies of internal auditors. This study highlights the level of internal-auditor competency and adherence to the IIA’s International Standards for the Professional Practice of Internal Auditing (ISPPIA) and IIA’s Practice Guide to identify unethical behaviour within the Malaysian GLCs. This study is original as it focusses on GLCs which did not get much attention from previous researchers, particularly the GLCs that operate in a developing country such as Malaysia.
Publisher: Conscientia Beam
Date: 22-05-2023
Abstract: The COVID-19 crisis has had an impact on every aspect of human life, including business. Many industries ground to a halt, and some businesses had to resort to liquidation. In this context, corporate governance was not spared the effects of the pandemic either, as the crisis almost paralyzed the entire business ecosystem. Therefore, this research aims to determine the most affected area of companies’ corporate governance and examine how companies changed their corporate governance structure in response to the COVID-19 crisis to ensure the survival of their business. Thirty-seven publicly listed companies were selected as the s les of the study. Their annual reports were analyzed using a qualitative data analysis technique. The results showed that the majority of companies had to transfer their Annual General Meeting (AGM) or/and Extraordinary General Meeting (EGM) to an online platform, while the shareholders were required to vote electronically. Moreover, some companies had to revise their budget, revisit their strategic plan, reduce director fees, send their directors for additional training, or conduct board evaluations online.
Publisher: Emerald
Date: 12-03-2018
Abstract: The purpose of this study is to examine whether policies and procedures, one of the fundamental elements in the internal control environment, are adequate and effective in preventing fraud and unethical practices committed by employees of a company. In addition, this study attempts to assess the awareness and understanding of employees on the existence of relevant company policies and standard operating procedures for internal fraud and misconduct deterrence. Five cases from one Malaysian telecommunication company were randomly selected as a case study. Content analyses were conducted on actual cases of internal fraud and wrongdoings that were investigated and the enforcement that was discharged by the company. This study found that the company has sufficient policies and standard operating procedures to curb internal fraud and wrongdoing. However, they are ineffective and malfunction when responsible personnel violate or override the policies and procedures, irrespective of whether this is caused by carelessness, poor knowledge or clear intention to act dishonestly. This study was conducted on only one company with a limited number of investigated fraud cases. Access to higher number of fraud cases, particularly those that involved large amount of losses and considered as high-profile cases, were denied because of confidentiality. The study found that weak compliance to internal controls provides opportunities for fraud to occur, consistent with the fraud triangle theory. Fraud, committed both outside and inside an organization, can be considered as a worrying problem in the organization because of its severe impact on the reputation and bottom line figures of the company. The study provides important information to management to strengthen their compliance with the internal control system generally and policies and procedures particularly. This study is original, as it focuses on the actual fraud cases that occur in the telecommunication industry, which is under-researched in fraud literature, particularly in developing markets such as Malaysia. Prior empirical research on fraud and unethical practices has concentrated on factors that contribute to fraud and the financial and non-financial impacts of fraud in an organization.
Publisher: Emerald
Date: 04-2019
Abstract: The purpose of this paper is to examine the relationship between corporate governance and company performance and how a board’s ethical commitment can influence this relationship. Prior studies documented mixed evidence on the corporate governance and corporate performance relationship, which can be due to the influence of a board’s ethical commitment and will shape the corporate governance mechanism in the company and, in turn, influence performance. This study collected data for two years, i.e. 2013 and 2014, from the biggest 500 Malaysian companies listed in the stock exchange. Corporate governance is measured based on the requirements of the Malaysian Code of Corporate Governance (MCCG), while a board’s ethical commitment is measured based on the MCCG and various international best practices. Corporate performance is measured based on return on equity, return on assets, net profit margin, market-to-book value and TobinQ. A board’s ethical commitment was found to be significant in increasing the strength of the relationship between corporate governance and corporate performance. The findings are robust to the alternative performance measurements and lagged one-year corporate performance. This paper provides further evidence on the importance of ethical practices to improve corporate environment and, hence, sustain a company’s performance. This study, however, was conducted on only large companies with a limited data collection period. This study provides an indicator that the policymaker and regulatory authorities need to double their efforts in promoting and encouraging a board of directors to take a bold step in improving its ethical culture. Shareholders and investors need to use their power and rights to demand the company to improve their governance and ethical practices. This study is original, as it measures a board’s ethical commitment from various sources of local and international best practices such as Malaysia, Australia, Canada, Norway, South Korea, Singapore, Sweden, Turkey, the UK and the USA. It also contributes to the literature and theoretical understanding of the interaction between a board’s ethical commitment and corporate governance on corporate performance, particularly in developing countries like Malaysia, which is scarce in the literature.
Publisher: Emerald
Date: 10-09-2018
DOI: 10.1108/IJLMA-06-2017-0142
Abstract: The purpose of this study is to identify weaknesses in the internal control of the stock management processes and provide recommendations to improve those weaknesses. The study also analyses whether the current stock management processes are adequately documented and updated regularly. One company involved in the automotive industry was selected as a case study and its stock management examined, focusing on the processes involved and the reliability of the current inventory system. Data were collected via interviews with the selected staff and document analysis on various financial and non-financial company records. The results show that there are loopholes and weaknesses in the current stock management system. This is because of poor technology and a lack of exposure and knowledge of staff involved in the stock management system. As this research is based on one company as a study case, generalization must be done with precaution. Access to certain important documents was denied because of the confidentiality. This study will help companies in the automotive sector to improve their stock management process, allowing for more efficient cost control and better services to customers. Specifically, this study identifies weaknesses in the current inventory management and provides recommendations to overcome those weaknesses. This will indirectly prevent fraud and theft and safeguard the cash flow of the company by improving the operation of the procurement and spare parts stock control department. This study is original, as it focuses on a company that operates in the automotive sector, which is rare in the internal control literature, particularly in developing markets such as Malaysia. It contains examinations of various internal documents that are generally difficult to be accessed by researchers for the publication in an academic journal.
Publisher: Emerald
Date: 03-10-2016
Abstract: The purpose of this study is to examine the type of internal control weaknesses and its impact that leads to fraud activities in an oil and gas company, which is rarely found in empirical research. A case study approach was taken to investigate and analyse the fraud incidents to the deepest understanding. A mixed method of data collection, specifically document analysis and interviews, was used. The study found that internal control weaknesses can be major contributing factors for fraud to be committed. Poor supervision and improper documentation process provide opportunity to misappropriate the assets, worst off if it includes several people that cooperate to conduct those illegal malpractices. The results provide further confirmation of the fraud triangle theory on the causes of the fraud, i.e. opportunity because of weak internal control. It also validates with many prior studies conducted by global professional firms such as KPMG, PricewaterhouseCoopers and Association of Certified Fraud Examiners on fraud and its related causes and implications. This study, however, was conducted on only one company with limited number of interviews. This study provides some recommendations to improve weak internal control, which in turn will reduce opportunities of fraud committed in the company. This study is original, as it focuses on a company that operates in the highly specialized industry, i.e. oil and gas, which is rare in fraud literature, particularly in developing markets such as Malaysia. It has examined various documents and reports of employee fraud that are generally difficult to be accessed by researchers to be finally published in an academic journal. The findings of this study are inferred from direct access of company documents that are private and confidential.
Publisher: Emerald
Date: 08-05-2018
Abstract: For a manufacturing company, inventory control and management is crucial to ensure smooth production and sustainable sales performance, as well as preventing stockout that will result in customer switch to competitors. This paper aims to examine the effectiveness of cycle count activities, one of the inventory control tools to manage inventory. Beside, this study also wishes to identify any loopholes in practices and procedures in inventory control of companies. One of the lubricant manufacturing companies in Malaysia was selected as a case study and mixed method data collection of document analysis and observation were used. The analysis and examination was conducted by using Committee of Sponsoring Organization of the Treadway Commission Framework 2013 as guidance. This study found that problems in inventory control can be caused by inconsistency of practices due to incomplete or absent standard operating procedures. Furthermore, no segregation of duties and excessive reliance on one person to conduct many tasks will lead to human error and fraud. This paper enhances the theoretical understanding on the inventory control and management system applied in the manufacturing organization particularly. However, frequent changes of the management in the organization of the case study make the study difficult to obtain consistent information. Not all standard operating procedures were revised or updated and available for examination. In addition, some of the reports needed for investigation are confidential and requests to observe and scrutinize information from those documents are denied by the company. Thus, more in-depth analysis and verification on the issues of interest were unable to be conducted. This study provides an indicator that cycle count activities need to be conducted frequently on a regular basis so that the physical inventory and recording system are accurate. Cycle count activities also must involves various related departments in the company in which regular training is essential to ensure employees are aware and understand their responsibility and accountability on the inventory. This study is original as it focuses on the inventory control management of one of the largest lubricant manufacturing in Malaysia, particularly on cycle count activities which is scare in literature. Furthermore, the company allows research access to the documents and operations conducted in the company, which is usually difficult to obtain from many companies.
Publisher: Emerald
Date: 20-01-2020
DOI: 10.1108/JIABR-05-2016-0057
Abstract: This paper aims to examine the extent of the Shari’a corporate governance disclosure in the annual report of Islamic financial institutions (IFIs) in Malaysia to determine the significant differences in this disclosure between the local and foreign-owned IFIs, small and large size IFIs and IFIs belong to Islamic and conventional holding companies. All 16 IFIs in Malaysia were selected to analyse the extent of disclosure in their annual reports on issues related to Shari’a corporate governance. For this purpose, an index of Shari’a corporate governance disclosure for IFIs was created based on adapting Sulaiman et al. (2015). The index consists of 127 items classified into 14 dimensions. The scoring of the disclosed items is binary, where a score of “1” if disclosed and “0” if it was not disclosed in the annual report. The result shows no significant differences in the Shari’a corporate governance disclosure between the local and foreign-owned IFIs, small and large size IFIs and IFIs belonging to Islamic and conventional holding companies. However, further examination shows that there was a significant difference in the disclosure of the risk management committee dimension between the large and small IFIs and investment account holders dimension between the conventional and Islamic holding companies. The results provide new emerging evidence that deviates from many prior empirical research studies, which document the domination of Islamic-based IFIs in the corporate governance practices, as compared with their conventional financial institutions that venture into Islamic finance. This study, however, was conducted on only 16 IFIs in a one-year period, i.e. 2013. Future research should consider data from a larger number of IFIs that involve a number of countries with more than one year of data to have a better understanding of the extent of Shari’a corporate governance disclosure. This study provides an indicator to the stakeholders of Islamic finance that the Islamic-based IFIs and conventional IFIs are equal and cannot be differentiated based on the Shari’a corporate governance disclosure. For Islamic-based IFIs, as a pioneer in Islamic banking and finance industry, they need to take more efforts in adopting the Shari’a governance framework issued by the Central Bank of Malaysia (BNM), namely, the Shari’a review, audit and risk management. This study is original, as it includes the latest requirements by the Shari’a governance framework issued by the BNM, namely, the Shari’a review, audit, risk management and research functions in its research instrument. In addition, this research also scrutinised the disclosure in detail of all the dimensions constructed in the governance index.
Publisher: Emerald
Date: 09-04-2020
DOI: 10.1108/IJLMA-06-2017-0145
Abstract: The purpose of this study is to determine whether higher-learning institutions have sufficient internal controls to manage whistle-blowing or similar means when encountering repetitive complaints requiring similar corrective actions. This study attempts to classify complaints as per categories, criteria and components of the COSO framework using a checklist called self-assessment checklist of internal control kits so that complaint activities can be efficiently and effectively managed. As a case study, one public university in Malaysia was selected, and 740 complaints were examined over a four-year period. Two methods of data collection, namely, document analysis and interviews, were used. This study found no internal controls established to oversee the complaints that were received. Hence, repetitive complaints were received for similar areas and functions over a period. The application of COSO framework on complaints and whistle-blowing activities, however, led to more organised and visible problems therefore, effective corrective and preventive action may be conducted. This study was conducted on only one organisation with several series of interviews and limited period of document analysis because of privacy and confidentiality of the information. Future research should collect and analyze data from a higher number of organisations with more respondents for interviews and a longer period for document analysis to obtain more accurate results. This study provides further evidence on the suitability of COSO framework for different types of organisations, either public or private, and has been successfully adopted globally. It is effective not only to manage the operation and financial matters but also to manage complaints and whistle-blowing activities in organisations. This study is original because it focuses on the current practices of internal control in government entities, particularly for organisations that operate as higher-learning institutions, which is scarce in the literature. In addition, this study analysed the drawbacks of internal control systems, especially in dealing with whistle-blower reports and complaints by referring to the list of complaints made by their stakeholders.
Publisher: Emerald
Date: 10-09-2018
DOI: 10.1108/IJLMA-03-2017-0024
Abstract: The purpose of this study is to determine the suitability of capital statement analysis in assisting tax investigation to combat tax evasion, measured by the time taken in proving the under-declared income by the tax evader. A weakness in the investigation process that may contribute toward the delay of the tax investigation completion was examined. Five investigation cases were randomly selected from the tax investigation organization for detailed and in-depth analysis on the whole process of reconstruction of capital statement analysis. Document analysis technique was used to analyse the data. This study found that the capital statement analysis can be an effective tool in detecting under-reported income and tax evasion. However, the cooperation from the taxpayer is the most important factor, because if taxpayers do not cooperate, the investigation officer needs to find other informant such as third party as a source of information which usually time-consuming. This paper selected only a small number of tax fraud cases for examination. Many other cases were not accessible due to confidentiality and considered as high-profile cases. The outcome of this paper contributes in the way it can be used and applied by the revenue authority in implementing more practical and effective capital statement analysis technique to deter tax evasion. The investigation activities can be improved so that more cases can be covered in shorter time period. The paper is novel and original, as it focuses on the investigation of tax fraud cases’ which is difficult to access and rare in tax literature, particularly in emerging markets. The findings of this study are inferred from direct examination of the actual cases documents that are private and confidential.
Publisher: Emerald
Date: 18-03-2016
Abstract: The purpose of this paper is to conduct an investigation into the relationship between a firm’s corporate governance mechanisms (audit committee composition and operation, block shareholder, CEO duality, financial state, ownership dominance, political connection, share price, and family control) and auditor quality selection in Malaysia, for periods before and after the introduction of Malaysian Code of Corporate Governance in 2007 (MCCG 2007). 300 companies listed on the Malaysian Stock Exchange from 2006 to 2008 were selected. A Binary regression method was used to analyse the data collected from both annual reports and financial databases. The study has found that in general, MCCG 2007 influenced auditor selection through restructuring of corporate governance tools, such as audit committees and internal audit functions. Results have provided evidence that the restructuring of corporate governance may contribute and drive company to enhance the quality of the audit performed by selecting better quality auditor and/or improvising the audit related functions within the company such as formalising internal audit function. This study, however, employed an archival method of study and only used three years (2006, 2007 and 2008) of data analysis. Future research should analyse data from a longer period and utilize a field survey to understand reasons for auditor selection from the company perspective. Building on previous studies, this study contributes to the current body of knowledge as it also considers the objective from the perspective of the revised MCCG 2007. It examines whether the introduction of new or revised corporate governance guidelines may immediately impact company auditor selection. Therefore, it compares the auditor quality of the company from pre-MCCG 2007 (2006) and post-MCCG 2007 (2008).
Publisher: Emerald
Date: 07-01-2019
Abstract: Many corporate scandals that occurred recently have indicated the importance of a whistle-blowing mechanism in preventing fraud and malpractices from damaging the organizations. By selecting one organization that has experienced a corporate scandal, this study aims to examine factors that influence employee’s intention to blow the whistle to prevent malpractices in the company. In addition, this study also examines the perceptions of employees regarding the business culture in their organization and how this culture impacts their intention to whistle-blow. This study engages in a mixed method of data collection, namely, survey questionnaire and interviews to gather the data. It is found that retaliation is the most important factor that influences the employee’s intention to whistle-blow, followed by the burden to prove the malpractices, cost implications as a result of the wrongdoing and the action taken by the authority as a result of the fraud reporting. In terms of business culture, a large number of employees are reluctant to become a whistle-blower, although a secured and safe whistle-blowing mechanism is in place, indicating that Asian customs of collectivism and assertiveness play a major part in shaping the whistle-blowing mechanism in Malaysian organizations. The results provide further confirmation of the determinants that influence employees to report wrongdoings in the organizations. This study however may subject to self-reported data biasness because of sensitivity of the research that related to fraud and immoral behaviours that occur in the company. Owing to this sensitivity, the study only focuses on employees’ internal whistle-blowing intentions rather than their actual intentions. This study helps the management to understand the working culture in the company so that they can identify the weak area of governance which needs improvement such as whistle-blower protection. This study is original, as it focuses on the employees in a big organization such as government link companies that have experienced corporate scandals albeit having whistle-blowing mechanism in place. In addition, the finding of this study contributes to the theory and body of the literature on the whistle-blowing determinants, currently scarce in the context of a developing country like Malaysia.
Publisher: Emerald
Date: 10-09-2018
DOI: 10.1108/IJLMA-04-2017-0096
Abstract: Most organizations are fully aware of the misconduct that occurs within their company but take a soft-handed approach attending to the problems. Consequently, misconduct that at the beginning is just a mere incompliance may become a corporate scandal involving a substantial amount of money. This paper aims to examine the factors that influence whistleblowing intentions of employees that work in one big corporation, ABC Berhad, which experienced a corporate scandal. A survey questionnaire is used in which the respondents from the various departments of the selected study case, ABC Berhad, were required to indicate the seriousness of the wrong-doing cases and their intention to whistleblow based on the given vignette. A total of 70 survey questionnaires were distributed. Out of these, 63 questionnaires were returned, for a response rate of 90 per cent. The result of the study shows that gender did not have any significant influence to the likelihood to whistle blow. However, the job position of the respondents has a significant result as it can influence the likelihood to whistle blow. The study also found that the more serious the wrongdoing, the higher the likelihood to blow the whistle. The results provide further confirmation of the determinants that influence employees to report wrongdoings in the organizations. This study, however, may be subject to self-reported data biasness due to the sensitivity of the topic. In addition, respondents may not give responses or answers based on the actual situation but be tempted to response based on socially desirable which is to please their peers and others. This study shows ABC Berhad whether its employees are ethical in carrying their duties and indicates their levels in ethical reporting. In addition, the study helps the company generally and ABC Berhad particularly to understand the working culture in the company so that they can identify the areas of the governance that need improvement such as protection to the employee that blew the whistle. This study is original as it focuses on the employees in a big organization such as government-linked companies (GLCs) that have experienced corporate scandals although they have a whistleblowing mechanism in place.
Publisher: Emerald
Date: 10-09-2018
DOI: 10.1108/IJLMA-04-2017-0094
Abstract: The purposes of this study are to examine the standard operating procedure (SOP) on inventory management practices, identify any weaknesses in inventory management and examine its impact on the performance of the company. Inventory management is important because it ensures smooth production and prevents loss of sales because of stockout and/or customer dissatisfaction. This study selects one manufacturing company as a case study and uses the mixed data collection method of document analysis and observation. The research analysis was conducted by using COSO Internal Control – Integrated Frame work 2013 as guidance. It is revealed that a company practices risky inventory management in keeping stock, as it relies heavily on third-party warehousing services beyond the control of the company. This study also reveals that the SOPs are too general and lack specificity. However, poor inventory management has a modest influence on the financial performance of the company. In completing this study, some limitations are experienced such as changes on the management structure of the company as well as the department itself. Frequent changes on several procedures also may influence this study to obtain accurate information. In addition, some highly confidential documents such as detailed information and minutes from management meeting were not permitted to be examined. This study provides recommendations to improve weak internal controls particularly on SOPs, so that fraud and mismanagement opportunities can be reduced. This study makes an original contribution, as it enhances the theoretical and practical understanding on inventory control and management systems, particularly for a manufacturing company in the emerging market environment. In addition, it examines various internal financial reports and directly observes the process in supply change management, which are generally difficult to be accessed by academic researchers.
Publisher: Emerald
Date: 11-03-2019
Abstract: This study aims to identify weaknesses in current internal control systems in protecting customer data and the drivers that motivate employees to steal customer data and the impact of customer data theft on the organization. A case study approach was taken to investigate and analyze internal control system weaknesses. One organization that involved investor and treasury services was selected as a case study in this research. A mixed method of data collection, specifically survey questionnaires and observations, was used. This study revealed that employees are aware of the policy to protect customer data in their organization. Ironically, customer data theft still occurred despite the company having an internal control system. The main concern was the attitude of the employees to adhere to the policies in place, which becomes the major cause of internal control violation. Employees tend to ignore policies and standard operating procedures, providing opportunities for data theft and fraud to occur, although they realize this will result in a severe impact on the reputation of a company. The results provide further confirmation of the fraud triangle theory, i.e. opportunity on the possible causes of the data theft and fraud, supporting prior empirical research and surveys conducted by researchers and global professional firms on fraud. This study, however, was conducted on only one organization with limited participation from employees because of the sensitivity of the nature of the topic. This study provided recommendations that can be a reference for companies and regulatory bodies in preventing customer data theft cases, such as regular training and awareness c aigns to the staff, stringent recruitment policies, close monitoring on the accessibility of customer data and continuous use of advanced technology to prevent a data breach. This study is original, as it focuses on an organization that operates in the financial services industry, which is one of the most attacked sectors for data theft and cybercrime activity globally. Furthermore, this kind of research is rare in fraud literature, particularly in developing markets such as Malaysia. The findings of this study are inferred from the direct observation of the organizational and employee work environments, activities and behaviors, which are private and confidential and difficult to access by researchers for publication in academic journals.
No related grants have been discovered for Ahmad Saiful Azlin Puteh Salin.