Corporate Governance Mechanism, Company Size Financial Performance and Sustainability Reporting

  • Authors

    • Andhika Ligar Hardika
    • Daniel T. H. Manurung
    • Yati Mulyati
    2018-12-13
    https://doi.org/10.14419/ijet.v7i4.34.23888
  • Independent Commissioners, Institutional Ownership, Managerial Ownership, Audit Committee, Company Size, Leverage, Sustainability Report.

  • Abstract

    The importance of sustainability reporting for companies to be able to know the role of the company in disclosing social responsibility and the implementation of corporate sustainability as a manifestation of corporate governance mechanisms, company size and financial performance. This study uses a stratified random sampling method for companies that have revealed sustainability reports and those that do not disclose sustainability reports. The research method uses logistic regression, with a sample of 13 non-financial companies listed on the Indonesia Stock Exchange. Based on the results obtained, it can be seen that the mechanism of corporate governance consisting of independent commissioner variables has a negative influence on sustainability reporting, institutional ownership variables have a positive influence on sustainability reporting, managerial ownership variables have a negative influence on sustainability reporting, audit committee variables have a negative effect on sustainability reporting, the variable size of the company gives a negative influence on sustainability reporting, and financial performance variables which are leverage variables have a negative influence on sustainability reporting.

     

     

  • References

    1. [1] Adhipradana F, Daljono. Pengaruh kinerja keuangan, ukuran perusahaan dan corporate governance terhadap pengungkapan sustainability report. Diponegoro Journal of Accounting, 2014, 3(1): 1–12.

      [2] Aniktia R, Khafid M. Pengaruh mekanisme good corporate governance dan kinerja keuangan terhadap pengungkapan sustainability reporting. Accounting Analysis Journal, 2015, 4(3): 1–10.

      [3] Belkaoui A, Karpik PG. (1989). Determinants of the corporate decision to disclose social information. Accounting, Auditing and Accountability Journal, 2(1): 36-51.

      [4] Cormier D, Magnan M, & Van Velthoven B. Environmental disclosure quality in large German companies: Economic incentives, public pressures or institutional conditions? European Accounting Review, 2005, 14(1): 3–39.

      [5] Ghozali I. (2011). Aplikasi Analisis Multivariate Dengan Program IBM dan SPSS. In Aplikasi Analisis Multivariate Dengan Program IBM SPSS 19.

      [6] Ghozali, I., & Chairiri, A. (2007). Teori Akuntansi. Universitas Diponegoro.

      [7] Hackston, D., & Milne, M. J. (1996). Some Determinants of Social and Environmental Disclosures in New Zealand Companies. Accounting, Auditing & Accountability Journal, 9(1), 77–108.

      [8] Jensen, C., & Meckling, H. (1976). Theory of the Firm : Managerial Behavior, Agency Costs and Ownership Structure. Journal of Financial Economics, 3, 305–360.

      [9] Man, C., Hong, K., & Wong, B. (2013). Corporate Governance And Earnings Management : A survey of Literature. The Journal of Applied Business Research, 29(2), 391–418.

      [10] Matoussi, H., & Chakroun, R. (2009). Board Composition, Ownership Structure and Voluntary Disclosure In Annual Reports Evidence From Tunisia. International Journal of Business and Behavioural Sciences, , 1–28.

      [11] Putri Yustia Sari, M., & Marsono. (2013). Pengaruh Kinerja Keuangan, Ukuran Perusahaan dan Corporate Governance Terhadap Pengungkapan Sustainabillitty Report. Diponegoro Journal of Accounting, 2(2011), 1–10.

      [12] Roshima, S., Yuserrie, H. Z., & Hasnah, H. (2009). The Relationship Between Corporate Social Responsibility Disclosure and Corporate Governance Characteristics in Malaysian public listed companies. Social Responsibility Journal, 5(2), 212–226.

      [13] Sembiring, E. R. (2005). Karakteristik Perusahaan dan Pengungkapan Tanggung Jawab Sosial : Study pada Perusahaan yang Tercatat di Bursa Efek Jakarta. Simposium Nasional Akuntansi VIII. Solo, (September), 15–16.

      [14] Suryono, H., & Prastiwi, A. (2011). Pengaruh Karakteristik Perusahaan Dan Corporate Governance(Cg) Terhadap Praktik Pengungkapan Sustainability Report (SR) ( Studi Pada Perusahaan – Perusahaan yang Listed (Go-Public) di Bursa Efek Indonesia (BEI) Periode 2007 - 2009 ). Simposium Nasional Akuntansi XIV Aceh 2011, 21–22.

      [15] Waryanto. (2010). Pengaruh Karakteristik Good Corporate Governance (Gcg) Terhadap Luas Pengungkapan Corporate Social Responsbility (CSR) Di Indonesia (Skripsi). Skripsi. Semarang.


  • Downloads

  • How to Cite

    Ligar Hardika, A., T. H. Manurung, D., & Mulyati, Y. (2018). Corporate Governance Mechanism, Company Size Financial Performance and Sustainability Reporting. International Journal of Engineering & Technology, 7(4.34), 201-203. https://doi.org/10.14419/ijet.v7i4.34.23888

    Received date: 2018-12-13

    Accepted date: 2018-12-13

    Published date: 2018-12-13