Purpose The purpose of this paper is to analyse the impact of intellectual capital (IC) on the reputation and performance of Italian companies. Design/methodology/approach The paper exploits a unique data set of 452 non-listed companies that obtained a reputational assessment from the Italian Competition Authority (ICA). To test the hypotheses, this study implemented several regression analyses. Findings Results support the argument that human capital efficiency is a key driver of corporate reputation. Findings also reveal that companies, which obtained reputational rating under ICA scrutiny, show a positive relationship between IC elements and various measures of financial performance. Research limitations/implications The study focuses on a single country; it is not free from the imprecisions of Pulic’s VAIC model. Practical implications This paper recommends companies that are interested to achieve a robust reputation should consider the human capital as a strategic intangible asset. Second, the results suggest that companies with an ICA reputational rating are able to leverage their intangibles to potentiate performance and competitiveness. Originality/value This is the first empirical investigation on the contribution of IC in generating value for corporate reputation. Additionally, the study contributes to the literature on the link between IC and performance by examining a sample of firms not yet explored in prior research.

Purpose This paper aims to investigate the relationship between the female board participation and the readability of annual report. Design/methodology/approach Using hand-collected data from a “network-oriented market”, as exists in Italy, which includes 435 annual reports, this study uses a regression analysis to test whether female board participation affects the annual report readability. Findings Female board participation is found to have a positive impact on disclosure readability in firms with small boardroom connections but the opposite effect in firms with large boardroom connections. Research limitations/implications This paper responds to recent calls in the corporate governance literature by investigating whether the female board participation affects the transparency of the disclosure practices. Practical implications This study has policy implications, as it helps to improve evaluations of how, and under which circumstances, female board participation may lead to higher disclosure quality and thus benefit investors. Originality/value This paper shows that female board participation has different effects on the disclosure readability at different levels of board positions in inter-firm networks.

Purpose This study aims to provide an empirically informed view on the auditing profession’s readiness to embrace “disruptive” technologies. Relying on evidence from Big 4 employees in Italy, this study examines the factors that motivate auditors to use blockchain technology (BT). Design/methodology/approach To this aim, this study uses an integrated theoretical frame merging the third version of the technology acceptance model (TAM3) and the unified theory of acceptance and use of technology (UTAUT). The analytical model is based on an application of the structural equation modelling with partial least square estimation on data gathered through a Likert-based questionnaire. Findings The findings reveal that the main predictors of auditors’ intention to use blockchain are performance expectancy and social influence. Moreover, auditors’ effort expectancy in relation to this technology implementation and use appears to be a reasonably reliable predictor. Originality/value This paper contributes an evidence-based view to the discussion on the impact of automation and disruptive information and communication technologies, on the roles of accounting and auditing professionals. It uses a novel approach to analysis by integrating TAM3 and UTAUT within its theoretical model. It complements and extends the field of studies on technology acceptance by offering fresh insights into auditors’ perceptions. Finally, the paper highlights practical implications for business leaders aiming to use the advantages of BT in audit firms.

Purpose – This study aims to determine the impact of information-sharing disseminated through the\ud firms’ board connections on the readability of the management discussion and analysis (MD&A).\ud Design/methodology/approach – The investigation conducted in this study is performed by using a\ud regression analysis. The readability of the MD&A is measured by the Flesch reading ease. The level of\ud information-sharing is determined by the degree centrality index. The sample is composed of 83\ud Italian-listed firms that comprise over 4,000 directors for the period 2008-2012.\ud Findings – The main results of this study show a significant relationship between the degree centrality\ud and MD&A readability, suggesting that board connections play a crucial role in improving the quality of\ud external reporting.\ud Research limitations/implications – This study uses a limited sample size. Further, we do not isolate\ud the possible effect of other reporting incentives that may affect the readability of external reporting.\ud Practical implications – This study argues that for a non-English-speaking country such as Italy,\ud information-sharing is a vehicle for improving the quality of external reporting and the competitiveness\ud of firms in international capital markets.\ud Originality/value – This research offers an original contribution to the existent literature by highlighting\ud the role of the firms’ board connections in determining the level of the corporate disclosure readability.\ud This implies the opportunity for future research to take into account the firms’ board connections when\ud they analyze related phenomena

Weare the first to examine the market reaction to 13 announcement\ud dates related to IFRS 9 for over 5400 European listed firms. We find\ud an overall positive reaction to the introduction of IFRS 9. The regulation\ud is particularly beneficial to shareholders of firms in countries\ud with weaker rule of law and a smaller divergence between local\ud GAAP and IAS 39. Bootstrap simulations rule out the possibility that\ud sampling error or data mining are driving our findings. Our main\ud findings are also robust to confounding events and the extent of\ud the media coverage for each event. These results suggest that investors\ud perceive the new regulation as shareholder-wealth enhancing\ud and support the view that stronger comparability across accounting\ud standards of European firms is beneficial to international investors\ud and outweighs the costs of poorer firm-specific information