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The Effects of Learning and Growth Perspective on Financial Performance in Private Universities

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  • Fahmi Fadhl Al-Hosaini

    (Department of Accounting and Finance, Faculty of Management, Universiti Teknologi Malaysia, Johor Bahru, Malaysia & Department of Accounting, Faculty of Administrative Sciences, University of Science and Technology, Sana'a, Yemen)

  • Saudah Sofian

    (Department of Accounting and Finance, Faculty of Management, Universiti Teknologi Malaysia, Johor Bahru, Malaysia)

Abstract

Many organisations are known to focus more on their financial gains to the detriments of their other roles that they are expected to discharge to their workforce and the communities. It has also been established from previous researches that financial performance would not be adequately valid with only performance measures unless others that are non-financial measures are incorporated, particularly with respect to those in the traditional BSC, such as is Learning and Growth Perspective (LGP). Yet, there are limited publications that examined the effects of LGP on organisational FP for Private Universities (PUs). In this paper, the effects of LGP on the Financial Performance of Yemen's PUs was investigated. A designed questionnaire based on Partial Least Square-Structural Equation Modeling (PLS-SEM) was carried out. The results showed that LGP has a positive and direct effect on the Financial Performance of the Yemen's PUs. This paper therefore will help in achieving the goals of Yemen's PUs of Yemen in order to enhance their organizational Financial Performance (FP).

Suggested Citation

  • Fahmi Fadhl Al-Hosaini & Saudah Sofian, 2016. "The Effects of Learning and Growth Perspective on Financial Performance in Private Universities," International Journal of Knowledge-Based Organizations (IJKBO), IGI Global, vol. 6(4), pages 1-13, October.
    • Handle: RePEc:igg:jkbo00:v:6:y:2016:i:4:p:1-13
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