Applied Business Research

This document provides a brief summary of the theory and progression in the field of applied business research. It discusses common themes and findings across four articles on corporate governance, as well as different themes and findings. The document also explores the managerial implications of the articles and suggests future research directions. The subject is Applied Business Research, and the document type is a research paper.

Applied business research

Table of Contents
Brief summary of the theory and progression in the field (i.e how has the theory developed). 2
Common themes/findings across the four articles.....................................................................3
Different themes/findings across the four articles.....................................................................3
The managerial implication of the four articles.........................................................................4
Study limitations and future research direction proposed in the four articles............................5
References..................................................................................................................................7

A brief summary of the theory and progression in the field (i.e how has the theory
developed)
Alzeban and Gwilliam (2014) stated that different factors affecting internal audit
effectiveness in Saudi Arabia. It is also assessed that data were collected through 203
management and 239 internal auditors through 79 Saudi Arabian public sector companies. In
addition, multiple regression assessment assesses the relationship amid IAE and five principal
elements. It is assessed that management support for IAE and drives the perceived efficiency
related to internal audit purpose with the view of management and internal auditor’s
perspective.
On the other side, Jizi Salama Dixon and Stratling (2014) evaluated that there is a different
lack of investigation related to the association between corporate social responsibility and
corporate governance in the banking sector. It is assessed that after US sub-prime debt crisis,
corporate governance has an impact on the role of the board of directors as well as the quality
of CSR disclosure in US-listed banks. In addition, this research paper is focusing on a sample
of large US commercial bank for the period 2009-2011. It also states the ways of controlling
the audit committee characteristic, the frequency of board meeting, the profitability of banks,
size, and risk. The two board characteristics are usually related to security of shareholder
interest and this will positively impact on CSR disclosure.
Peters and Romi (2014) assessed that this investigation facilitates sustainability-oriented
corporate governance mechanism and it affects the controlled assurance associated with
corporate sustainability statement. It also focuses on existence and features of environmental
groups such as chief sustainability officer and board of directors between the management
team. It also examines the assurance services, which is beneficial for making difference
between those services offered by consultants, professional accountants, as well as internal
auditors.

In opposed to this, Filatotchev and Nakajima (2014) stated institutional theory and assesses
inter-relationship between the corporate governance of the firm. It also focuses on
responsible leadership and CSR approaches in a different recognized way. It also
demonstrates the critiques of corporate governance and agency theory together with,
emphasizes CSR compliance and regulations.
Common themes/findings across the four articles
There are many common things that are discussed in these four articles on corporate
governance. It is evaluated that corporate governance could lead to make policy and lead
them for making a reliable decision. Further, it is also examined that corporate social
responsibility is also discussed in all articles as it could lead to making a positive image of
the firm among a huge number of consumers (Alzeban and Gwilliam, 2014). Moreover, it is
also evaluated that corporate governance could lead to the organization for operating the
financial function of the business process (Filatotchev and Nakajima, 2014). It could also be
effective for the accomplishment of the desired goal in the least time and cost. From the
analysis, it is addressed that corporate governance could also direct to top management of
manager for managerial decision in the context of auditing. It is addressed hat how auditors
are imperative in the corporate governance (Jizi, et al., 2014). It is evaluated that the
corporate governance could be imperative for promoting the interest among shareholders
towards the organization. In addition, it is evaluated that auditors could evaluate the existing
and past situation of the firm and make a reliable decision. The auditor could deeply analysis
financial situation of firm and support to make a reliable decision and direct them for long-
term (Peters, and Romi, 2014).
Different themes/findings across the four articles
Alzeban and Gwilliam (2014) stated that Saudi Arabia is illustrative of a different developing
and developed atmosphere. It also evaluated that the current governance system and audit is

considered in nations at the global level. In addition, its particular cultural customs entailing
clan as well as tribal communities, universal, and core religious opinion. It is highly entailed
in GCC nations, the Arab world specifically and other developing nations, regardless of
wealth.
On the other side, Jizi Salama Dixon and Stratling (2014) discussed that powerful CEOs may
endorse the visibility regarding CSR activities of banks for private advantageous as per the
perspectives of agency theory. This also stated that powerful CEOs act under specific
pressure for settling concern of stakeholders. They may abuse their position by offering a
high extent of CSR disclosure and this may be an indication of managerial uncertainty and
private image issue of managers.
Peters and Romi (2014) evaluated environmental committees with higher proficiency
demonstrates preference of higher quality assurance facility of professional accounting
companies. In addition, prefer assurance facility from peers with sustainability proficiency
aids in employing consultants. It is found that the company considers a CSO and
demonstrating poor environmental performances with respect to other firms in their industry.
In opposed to this, Filatotchev and Nakajima (2014) assessed that there is a differentiation
between governance systems. It also demonstrates how these kinds of control might be
associated with responsible managerial behavior and CSR strategies of the company.
Moreover, it emphasizes governance studies related to organizational theory. There is link
amid CSR strategies and corporate governance factors like boards of directors, executive
incentives and ownership structure might differ as per legal system and institutional features
in a particular nation.
The managerial implication of the four articles
Mohammad Issam Jizi, et al., (2018) stated that corporate governance could be imperative
for operating the business process and reach the valid conclusion. In the current era, the

auditor could play an imperative role in evaluating the financial situation of the firm and
support to make a reliable decision in the context of the current issue. The corporate
governance could is the structure of rules and procedure wherein the organization is
controlled and directed. It could support the firm for making a balance between the
organization’s interest and shareholders (Alzeban and Gwilliam, 2014). It is evaluated that
auditor is leading to the organization for making a suitable decision with respect to finance
situation. Moreover, it is evaluated that auditor is accountable for offering independent
views towards the organization’s integrity. It could also be imperative for providing
services of audit and make a favorable decision. The organization should also comprehend
factor that might affect to audit effectiveness and direct to make a decision in the least time
and cost (Filatotchev and Nakajima, 2014).
Apart from this, it is evaluated that auditor could support to hire trained and experienced
employees for improving the relationship with external as well as internal auditors. It is
also evaluated that corporate governance could be a tool that assists the organization in
making a reliable decision (Peters and Romi, 2014). It could be imperative for the
accomplishment of the desired goal. An organization should use training and development
method to improve the skills of employees in the least time and cost. The organization
should concentrate on selecting skilled auditors for operating the business and reach a valid
conclusion (Jizi, et al., 2014).
Study limitations and future research direction proposed in the four articles
Jizi et al., (2014) this research paper mainly discusses the corporate governance, CSR
disclosure, content analysis, and financial crisis as it relied on the qualitative research
method. This research is imperative for evaluating theoretical data. Thus, a researcher
should need to consider the qualitative data analysis method for obtaining reliable data. For
conducting further researcher, the investigator will focus on the quantitative data analysis

method and make a reliable decision.
Filatotchev and Nakajima, (2014) found that corporate governance could directly impact on
the sustainability of corporate. This study relies on the two theories related to corporate
governance, which demonstrates that the researcher has used the content analysis method.
Moreover, it is evaluated that there is a lack of research on the auditor role on the corporate
governance. Hence, the researcher will concentrate on both primary as well as secondary
for further research.
Peters and Romi (2014) addressed that this study could be imperative for evaluating
association towards the sustainability governance characteristics and the assurance of
corporate sustainability. Moreover, the auditor could offer an opportunity to sustain the
position of the firm in the marketplace. In addition, it is evaluated that the researcher should
use certain tool and techniques for obtaining a reliable result. This research relies on the
secondary data collection that could not lead to obtaining data from the existing resources.
Hence, the investigator will imply primary data collection method to get the reliable
outcome. The researcher will concentrate on qualitative and quantitative data collection
method to operate research and get a reliable outcome.
Abdulaziz Alzebana David Gwilliamb (2014) stated that this study is effective for
evaluating factors that could be imperative for audit effectiveness. This study is conducted
on 203 managers and 239 internal auditors from 79 Saudi Arabian public sector
organizations. But, it is also evaluated that this research should consider less than 200
research candidates for systematically conducting the research and meet the aim and
objectives. A researcher will remember this concern and make a reliable decision in the
context of the current issue.

References
Alzeban, A. and Gwilliam, D., 2014. Factors affecting internal audit effectiveness: A survey
of the Saudi public sector. Journal of International Accounting, Auditing, and
Taxation, 23(2), pp.74-86.
Filatotchev, I. and Nakajima, C., 2014. Corporate governance, responsible managerial
behavior, and corporate social responsibility: Organizational efficiency versus organizational
legitimacy?. Academy of Management Perspectives, 28(3), pp.289-306.
Jizi, M.I., Salama, A., Dixon, R. and Stratling, R., 2014. Corporate governance and corporate
social responsibility disclosure: Evidence from the US banking sector. Journal of Business
Ethics, 125(4), pp.601-615.
Peters, G.F. and Romi, A.M., 2014. The association between sustainability governance
characteristics and the assurance of corporate sustainability reports. Auditing: A Journal of
Practice & Theory, 34(1), pp.163-198.