Risk Management and Value Creation: Empirical Findings from Government Linked Companies in Malaysia

Abstract

This study is an attempt to assess the status of current level of value creation among the Government Linked Companies (GLCs) in Malaysia. This study collected primary data based on a set of questionnaire survey among 134 executives and managers of GLCs in Malaysia. The data were collected based on opinions of the ten factors of value creation practices by using the five-point Likert scale. The data were analysed using descriptive statistics. Further, the reliability of the data was tested using Cronbach’s alpha test, the validity of the data was tested by checking the normality test through skewness and kurtosis, and the consistency of the data was tested using factor analysis. On an average, 80.6% of the respondents agreed that they focus on these factors of value creation. Overall, the federal owned GLCs place more emphasis on certain elements of value creation than the state owned GLCs. Among the elements of value creation, the state owned GLCs emphasize the most on quality development and brand value creation, where the federal owned GLCs emphasized the most on reputation. The GLCs engaged in service sector emphasized the most on brand value and the GLCs engaged in manufacturing sector emphasized the most on customer satisfaction and quality development. This study suggest that GLCs in Malaysia improve the overall value creation by emphasizing on responsiveness, average return on investment, sales growth, profit growth and average return on sales.

Innovation Risk and Sustainable Competitive Advantages: Empirical Assessment of Government-Linked Companies in Malaysia

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Practices of corporate integrity and accountability of non-profit organizations in Malaysia

“…The changing political and economic environment around the globe has resulted in an increasing concern for fraud activities. Fraud does not only involve moral issues, but it is also a barrier to a nation’s prosperity by undermining good governance, distorting public policies, leading to misallocation of resources, and hurting the economic growth (Bardhan, 1997; Rose-Ackerman, 1999; Said et al , 2015, Said, Alam, Abdullah and Zulkarnain, 2016; Said, Alam and Khalid, 2016; Said, Alam, Zulkarnain and Abdullah, 2016).…”