The Balanced Scorecard (BSC) is a performance measurement and strategic management system which appears suitable for use by all types and sizes of business. The BSC's greatest strength for most businesses comes from its innate ability to integrate financial and non-financial measures together by measuring both strategic and business performance across four interrelated perspectives. Many studies have shown that the BSC can be successfully implemented within large-scale companies and organizations. However, there is limited empirical evidence regarding the use of the BSC within small companies. This study adds to the existing literature by reporting the results of a comparative investigation of BSC awareness and use within small companies located in the UK and Cyprus. In addition, the study examines the reasons for non-adoption by small companies and whether these companies use performances measures that are similar to those typically contained within the BSC model. The research data was collected from self-completed questionnaires that were distributed to 500 companies in the UK and Cyprus. The findings of the survey suggest that the majority of small companies, especially in the UK, are unaware of the BSC, and consequently levels of BSC usage are extremely low. Certain respondents believed that BSC is an unsuitable tool for small companies and that its implementation is beyond the resources available to such entities. However, the findings also suggest that even though very few small companies actually use the BSC, many such companies appear to use performances measures and indicators similar to those typically included within a BSC model.
Purpose -The purpose of this paper is to critique the accounting and auditing requirements of the 2011 RICS Code of Practice, Service Charges in Commercial Property and examines whether the new 2014 version of the RICS Code and its associated accounting guidance note provide a "best practice" framework for service charge accounting and audit. This theoretical discussion is then applied to empirical data obtained from a sample of UK commercial office properties to assess whether current practices used by managing parties for the preparation and review of service charge reconciliation certificates actually embody the principles of best practice. Design/methodology/approach -The paper uses inductive reasoning to theorise about how the accounting and auditing of commercial service charges might be improved. The paper also uses a deductive approach to identify whether current commercial service charges accounting and audit practices achieve a theoretical level of best practice. The paper reviews a range of secondary literature and utilises hand-collected data from the service charge documents provided to commercial leaseholders. Findings -The paper finds deficiencies within the RICS Code's requirements for service charge accounting and audit. As a result, empirical evidence is found suggesting that UK commercial service charge accounting and audit practices are inconsistent, lack transparency and provide poor levels of negative assurance for tenants. Research limitations/implications -Content analysis requires subjective interpretation on behalf of the researcher. Originality/value -Data are original to this research and provide a unique insight as to the accounting and audit practices used by facilities managers, managing agents, accountants and independent auditors within the commercial property sector.
Purpose -The paper aims to examine how to create a sinking fund, the legalities of its creation and ownership, taxation issues and the accounting treatment of tenant contributions towards sinking funds within service charges demands in the UK office sector. Design/methodology/approach -The paper reviews the prescriptive guidance that the 2007 RICS Code of Practice makes in terms of the creation and operation of such funds, and concludes within an empirical investigation of industry practice on sinking funds from 2004-2008. Findings -The paper reports whether the Code has improved practice, disclosure, communication and transparency in terms of such funds and speculates on how a future Code might further improve on existing management. Originality/value -The data are original, and findings conclusively prove the need for enforcement of the existing Code, and necessary revisions as well.
Purpose -The paper seeks to measure compliance by owners and their managing agents with the RICS Code of Practice Service Charges in Commercial Property, emphasising the financial reporting to tenants in multi-let financial services buildings. Design/methodology/approach -Data were hand collected by examining original source documents provided to commercial leaseholders as part of the service charge management process. This removes bias from relying on secondary respondents to provide data. Findings -The paper finds that requirements of the Code of Practice are not onerous, and whilst service charge management has improved, the majority of landlords still fail to achieve its requirements.Research limitations/implications -The sample represents approximately 6.2 per cent of multi-let office space in England and Wales 1998-2009. The content analysis method used requires some subjective interpretation by the researchers. Originality/value -Data are original to this research and the paper offers an analysis on the current standards of accounting practice by service charge managers.
Purpose -The paper benchmarks compliance for 2010-2011 with the RICS Code of Practice for Commercial Service Charges 2006. Design/methodology/approach -Whether the proxy adopted is measured by floorspace or number of commercial office buildings, the sample size conforms to Kreycie and Morgan's determination for representative sample size. Data are generated directly from the original documents provided to commercial leaseholders to ensure authenticity and remove the need for third party reporting of said data. This guarantees the data are valid. Findings -The research discovers that compliance with the RICS Code of Practice for commercial service charges is poorly, if variably, implemented. This contrasts with claims by the professional body.Research limitations/implications -The work only concerns 17 corporate tenants operating principally in the financial services sector and data are drawn from the clients of one property services company. Content analysis is utilised in order to interpret the data and requires some subjective judgement by the researchers. The work only refers to multi-let office space in England and Wales. Originality/value -Data are original and the paper offers a unique benchmarking test. This contrasts markedly with the anecdotal evidence offered by the profession in defending their standards of practice and whilst the paper has limitations, it is the largest and most accurate study yet carried out in the field.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
hi@scite.ai
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.