19.3.2019 08:32

President Trump, among other world leaders, have recently been cutting corporate taxes. In our new paper ”Cost behavior around corporate tax rate cuts” (with Jesper Haga & Henrik Höglund, all from Hanken School of Economics), we find that companies exhibit income-decreasing SG&A behavior before tax rate cuts which quickly reverses afterwards. Read the full paper here.


As an english-swedish pun, we affiliate dachshunds with "tax dogs" to illustrate tax cuts.

The more simple language summary is that we have examined how firms have responded to a number of recent national corporate tax rate cuts (e.g. a cut from 24.5% to 20.0% in Finland 2014). We have looked at financial statement data of 70,000 observations (firm-years) from 33 OECD member countries and found that firms in general use the window of opportunity that a tax change generates by engaging in a form of tax planning via selling, general, and administrative costs. We also find that certain characteristics are associated with this behavior. All in all, we inform people who use financial statements and other firm disclosure by providing an explanation for a specific form of cost behavior. Furthermore, we contribute to the discussion on corporate taxation by highlighting that firms seem to cut their tax payments in response to country-level cuts in corporate taxes, which are primarily made to make countries more attractive for business. This translates into large losses in tax revenues for the governments. Future research could examine what happens when the dachshunds run out of hair…

Disclaimer: No “tax dogs” (dachshunds) were harmed in the making of this paper. 

24.2.2019 12:06

While over the past decades we have been witnessing the increase of services’ outsourcing and offshoring, moving standardised tasks abroad to be delivered remotely, in the past few years we have noticed a new trend. Robotizing repetitive, high volume and low variety tasks is the next step in automation. This includes processing of financial data, invoices, purchasing documents, all which are highly standardised. RPA allows 24/7 service, shorter cycle time, low error rate and is linking both established and emerging technologies, such as optical character recognition (OCR) and voice recognition (VR), natural language processing (NLP) and artificial intelligence (AI). Increasing popularity of RPA will enable further costs reduction, but it may also change the global outsourcing market, removing the need for large pool of low-cost labour, which is supplied by current outsourcing destinations, this will change the global service delivery landscape.

Students at Hanken were able to learn about RPA from Dr. Kedziora, guest speaker at 38011 Operations Management course run by Dr. Piotrowicz.


Damian Kedziora is a Doctor of Industrial Engineering and Management from Lappeenranta University of Technology, Finland. He has been working for top global corporations of banking and ICT industry specialising in efficient service migrations to offshore locations. Currently works as Solution Consultant at Intelligent Automation by NORIAN, one of the leading Nordic providers of Robotic Process Automation: He is also conducting academic research and publishing on the topic.

10.9.2018 14:48

Cultural appropriation is not a thing.

First of all, no culture owns any of its symbolism. Dreadlocks have been used by ancient Minoans, Egyptians, Aztecs as well as Slavic pagans and the Zaporozhian Cossack. Even in a religious context they have been worn by Santerians, Rastafarians and Tibetan Buddhists alike. No-one can claim the hairstyle as their own cultural property.

10.9.2018 20:53

Cultural appropriation is not a thing.

First of all, no culture owns any of its symbolism. Dreadlocks have been used by ancient Minoans, Egyptians, Aztecs as well as Slavic pagans and the Zaporozhian Cossacks. Even in a religious context they have been worn by Santerians, Rastafarians and Tibetan Buddhists alike. No-one can claim the hairstyle as their own cultural property.

4.12.2017 09:10

Har revisorns kön ett samband med revisionsberättelsens typ?

Syftet med Emma Haapalas avhandling var att undersöka om det finns ett samband mellan revisorns kön  och  revisionsutlåtandet. 

Resultaten tyder på att  kvinnliga revisorer  ger med en större sannolikhet ett  modifierat  revisionsutlåtande. Resultaten är i linje med tidigare studier (Chin & Chi, 2008; Hardies, 2011; Hardies et al., 2012; Ittonen & Peni, 2012; Ittonen et al., 2013; Hardies et al., 2016).

Tilläggsanalyserna visar ytterligare att könsskilnader finns endast då samplet består av GR revisorer eller revisorer som arbetar i non-Big 4 bolag. I dessa fall är kvinnliga revisorer mer sannolika att modifiera sitt revisionsuttalande än manliga kolleger. Bland CGR och Big 4 revisorer finns inga statistiskt signifikanta skillnader.

Suomen tilintarkastajat tilldelade Haapala en stipendie från Ewvin Sederholms Fond för avhandlingen och publicerade en sammanfattning på finska.

4.12.2017 08:51

Inför årets (2017) Hankendag i Helsingfors valde jag att sätta ihop en workshop om "den perfekta revisiorn". Här finns en sammanfattning från sessionen.

Hanken -tidningen 4/2017


20.11.2017 13:35

Frivillig revision i Finland / Vapaaehtoinen tilintarkastus Suomessa

Tillsammans med Henrik Höglund och Dennis Sundvik gjorde vi en utredning om frivillig revision i Finland. Syftet var att undersöka hur stor andel av bolagen som är befriade från revisionsskyldigheten väljer en revisor frivilligt.


Data och urval

Vår data omfattade alla aktiva aktiebolag som har lämnat in 6B-formulären till skattemyndigheterna (totalt ca. 170.000 bolag år 2014). Revisionslagen befriar småbolag från revisionsskyldigheten:

Revisionslag 2.2§ 2. mom.

Om inte något annat föreskrivs i någon annan lag behöver en revisor inte väljas i en sammanslutning där högst en av följande förutsättningar har uppfyllts såväl under den avslutade räkenskapsperioden som under den omedelbart föregående perioden:

1) balansomslutningen överstiger 100 000 euro,

2) omsättningen eller motsvarande avkastning överstiger 200 000 euro, eller

3) antalet anställda överstiger i medeltal tre.

Eftersom antal anställda inte rapporteras till handelsregistret, använde vi balansomslutningen och omsättningen från de två sista åren för att fastställa befriade bolag. På så sätt kunde vi försäkra att ett högre antal anställda inte gjorde ett bolag revisionsskyldig. Sållningen resulterade i att ca. 42.500 bolag var befriade från revisionsskyldigheten i sampel år 2014 (41.000 och 42.000 för åren 2012 och 2013).


Frivillig revision i befriade bolag

Undersökningen visade att andelen bolag som frivilligt låter utföra revision hade minskat från 32% (2012) till 25% (2014), se bild 2 i rapporten (s. 4: ”Kuva 2”)



Skillnaderna mellan landskap var betydliga. I Österbotten valdes det revisorer frivilligt klart minst (ca. 20%), medan ca. 40% av bolag i Kajanaland och Södra Savolax valde en revisor frivilligt, se bild 3 i rapporten (s. 5: ”Kuva 3”).



5.1.2017 15:39

The massive reform of the Finnish health- and social care system is about to start after years of back and forth discussions. A general principle in the reform will be freedom of choice for Finnish citizens. How this freedom actually will be implemented is still under consideration.

What is clear is that there are strong personal interests on behalf of service providers and administrators involved in the process. Successful implementation requires that these interests be channeled in an appropriate way. Simply referring to the fiduciary duty of public administrators will be far from enough, since the subject of the reform is constantly undergoing fundamental changes caused by changes in information and communication technology. In this process “fiduciary duty” provides few guidelines for what should and what shouldn’t be done. 

Properly functioning competition implies that competing service providers know that if they fail to pick up useful new methods competitors will, and then customers will disappear. In making competition between service providers work good corporate governance of large service providing organizations will be essential to prevent excesses, and mistakes caused by management over confidence. These are problems that tend to be prevalent in particular when new markets are opened. 

In summary, a successful SOTE-reform will require a healthy dose of good corporate governance.

10.10.2016 18:14

Great news for all researchers in Corporate Governance, and in particular for Corporate Governance researchers at Hanken School of Economics: Bengt Holmström received the Nobel Price in economics today together with Oliver Hart, for their contributions to contract theory. Over the years Bengt Holmström has had close contacts with Hanken strating with a stint as assistant professor for one year back in the late 1970’s. Since then Bengt has been a frequent visitor and a much appreciated participant in conferences and seminars organized by Hanken and Hanken faculty. Bengt Holmström also has an honorary doctorate from Hanken.

Congratulations Bengt! – We are really proud of you.

9.1.2017 21:22

(This is a text taken from my LinkedIn page)

Meeting Etiquette is no rocket science but still seems to get neglected in many work communities. In my opinion, by keeping the following things in mind, meetings will be one notch more efficient and meaningful to attend.