Corporate governance, accountability and mechanisms of accountability: an overview

Abstract

Publication date 2008 Publication informationAccounting, Auditing and Accountability Journal, 21 (7) 1 Acknowledgments: We are indebted to the many authors who made submissions to this special issue. We are also grateful for the large number of colleagues who reviewed those submissions. We thank James Guthrie and Lee Parker for their guidance throughout the preparation of the special issue. Finally, we thank the referees and Howard Mellett (Cardiff University) for their constructive and useful comments on this introduction to the special issue. AbstractPurpose -This paper reviews traditional corporate governance and accountability research, to suggest opportunities for future research in this field. The first part adopts an analytical frame of reference based on theory, accountability mechanisms, methodology, business sector/context, globalisation and time horizon. The second part of the paper locates the seven papers in the special issue in a framework of analysis showing how each one contributes to the field. The paper presents a frame of reference which may be used as a 'roadmap' for researchers to navigate their way through the prior literature and to position their work on the frontiers of corporate governance research.Design/methodology/approach -The paper employs an analytical framework, and is primarily discursive and conceptual.Findings -The paper encourages broader approaches to corporate governance and accountability research beyond the traditional and primarily quantitative approaches of prior research. Broader theoretical perspectives, methodological approaches, accountability mechanism, sectors/contexts, globalisation and time horizons are identified.Research limitations/implications -Greater use of qualitative research methods are suggested, which present challenges particularly of access to the "black box" of corporate boardrooms.Originality/value -Drawing on the analytical framework, and the papers in the special issue, the paper identifies opportunities for further research of accountability and corporate governance.

Fraud in Rights and Contracts: A Review of Bankruptcy Case of Livent Inc. Based on Governance, Risk, and Compliance (GRC) Framework

“…This is supported by the directors' rationalization and overconfidence in the company ability to pay-off all hidden losses as time goes by through cash from investors' stock investment and long-term bank loans (Brennan & Solomon, 2008). A fraud that is likely to happen in IPO stages in the company is assets and income overstatement.…”

“…It is prohibited to assume revenue based on the project transfer without an agreement that certain completions are done unless it is an unemployed project (Brennan & Solomon, 2008). The revenue recognition deals with the earnings from operational.…”

What happened at Talvivaara Five discourses of Corporate Governance

“…Interpretative and qualitative methods are still rare, although in the recent years a growing volume of research has aimed to understand the phenomenon instead of using a large dataset focusing on causalities between CG and firm performance (Brennan and Solomon 2008 Bruno et al 1987). In this study I endeavor to uncover some reasons for failure rooted in the lack of CSR in CG, in the process adopting the approaches outlined by Grey (2006) and Bebbington (2010).…”

Differentiating control, monitoring and oversight

“…Acknowledging this, scholars have repeatedly called for research on boards of directors beyond listed company boards (Daily et al, 2002;Dalton et al, 2007). Brennan and Solomon (2008) observe that "The way that other types of organisations have been directed and controlled has not been the primary focus of accounting and finance researchers". By studying one extreme board type, we identify constraints on the way investment fund boards operate, which may be relevant to some other board types and situations.…”