Effect of Corporate Governance and Corporate Social Responsibility on Financial Performance

Indah Maha Sari, Rita Anugrah, Azwir Nasir

Abstract


This research was conducted to find out effect of independent commissioner, audit committee, and corporate social responsibility on financial performance at Index Kompas 100  in in Indonesia Stock Exchange period 2016-2018. Index Kompas 100 company has high market capitalization value, so it is suitable for use as a population. Samples were determined using the purposive sampling method. Research using multiple linear analyses. This research prove that independent commissioner, audit committee, corporate social responsibility have a influence on  financial performance.

Keywords


Independent Commissioner; Audit Committee; Corporate Social Responsibiity; Financial Performance

Full Text:

PDF

References


Andriana, A., & Panggabean, R. R. (2017). The Effect of Good Corporate Governance and Environmental Performance on Financial Performance of the Proper Listed Company on Indonesia Stock Exchange. Binus Business Review. https://doi.org/10.21512/bbr.v8i1.1757

Aryan, L. A. (2015). The Relationship between Audit Committee Characteristics, Audit Firm Quality and Companies’ Profitability. Asian Journal of Finance & Accounting. https://doi.org/10.5296/ajfa.v7i2.8530

Beasly, Soctt and Brigham Eugene F. (2004). Essentials of Managerial Finance. USA : South-Western.

Bintara, Ristra. (2019). The Effect of The Mechanism of Good Corporate Governance and Company Size On Financial Performance. South East Asia Journal of Contemporary Business, Economics and Law, Vol 18. Issue 5 (April). ISSN 2289-1560.

Effendi, Muh Arief. (2016). The Power of Good Corporate Governance Teori dan Implementasi. Jakarta : Salemba Empat.

Fadillah, A. R. (2017). Terhadap Kinerja Perusahaan Yang Terdaftar Di Lq45. Jurnal Akuntansi.

Farida, Yuliani, N. L., & BE, P. A. G. (2018). The Effect of Good Corporate Governance on Financial Performance in Sharia Commercial Banks in Indonesia. Prosiding Business and Economics Conference in Utilizing of Modern Technology ISSN 2622-9404. https://doi.org/10.2991/insyma-19.2019.15

Gabriela. (2016). The Audit Committee : Characteristic and Firm Performance : Evidance From The UK. Master in Finance : University of Porto.

Heriyanto, S., & Mas’ud, I. (2017). Pengaruh Good Corporate Governance Terhadap Profitabilitas Perusahaan (Studi pada Perusahaan Manufaktur yang Terdaftar di Bursa Efek Indonesia Tahun 2012-2014). Jurnal Akuntansi Dan Keuangan Methodist.

Lako, Andreas. (2011). Dekonstruksi CSR dan Reformasi Paradigma Bisnis dan Akuntansi. Jakarta. Erlangga.

Mahrani, M., & Soewarno, N. (2018). The effect of good corporate governance mechanism and corporate social responsibility on financial performance with earnings management as mediating variable. Asian Journal of Accounting Research. https://doi.org/10.1108/ajar-06-2018-0008

Mangantar, M. (2019). The Influence of Corporate Social Responsibility and Corporate Governance on Banking Financial Performance. European Research Studies Journal. https://doi.org/10.35808/ersj/1459

Maqbool, S., & Zameer, M. N. (2018). Corporate social responsibility and financial performance: An empirical analysis of Indian banks. Future Business Journal. https://doi.org/10.1016/j.fbj.2017.12.002

McKinsey & Company. (2002). Global Investor Opinion Survey: Key Findings. McKinsey & Company.

Mulyadi, R. (2017). Pengaruh Karakteristik Komite Audit Dan Kualitas Audit Terhadap Profitabilitas Perusahaan. Jurnal Akuntansi.

Newell, R., & Wilson, G. (2002). A premium for good governance. McKinsey Quarterly.

Orjinta, H. I., & Evelyn, I. N. (2018). Effect Of Audit Committee Characteristics On Performance Of Non-Financial Firms: Evidence From A Recessed Economy. International Journal of Innovation and Applied Studies.

Rudianto, Bambang. (2013). A Corporate Social Responsibility. Bandung: Rekayasa Sains.

Saputra, M. (2018). The Influence of Independent Commissioner, Audit Committee, and Institutional Ownership on Stock Price and Its Impact on Profitability (Study at LQ45 Companies Listed on Indonesia Stock Exchange). Account and Financial Management Journal. https://doi.org/10.18535/afmj/v2i12.05

Siregar, N. B., & Br Bukit, R. (2018). Impact of Corporate Social Responsibility and Company Size on Corporate Financial Performance with Good Corporate Governance as Moderating Variable. https://doi.org/10.2991/ebic-17.2018.37

Solihin, Ismail. (2011). Corporate Social Responsibility: From Charity to Sustainability. Jakarta: Salemba Empat.

Stiles, P. and Taylor, B. (2001). Boards at work – how directors view their roles and responsibilities. Oxford University Press, Oxford.

Zulfikar, R., May, N., Suhardjanto, D., & Agustiningsih, S. W. (2017). Independent Commissioner Against Mandatory Disclosure of Financial Performance as a Moderating Variable. Review of Integrative Business and Economics Research.

Ummah, Nurkhasifa Khaira, Yuni Rosdiana, and Efi Fitriah. (2016). Pengaruh Pengungkapan Corproate Social Responsibility terhadap Kinerja Perusahaan Kompas 100 (Studi Empiris Perusahaan Kompas 100 di Bursa Effek Indoensia Tahun 2014-2015). Prosiding Akuntansi. ISSN : 2460-6561

Wu, MC. Lin, H.C, and Lai, C. F. (2009). The Effects of Corporate Governance on Firm Performance. Working Paper. National Changua University of Education, Changua.




DOI: https://doi.org/10.21107/jaffa.v8i2.7449

Refbacks

  • There are currently no refbacks.


Our Journal indexed by:



Our support tools using:

 

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.