Analysis of Quality of Management Accounting Information System to Improve the Implementation of Good Corporate Governance Principles (Case of Sharia Commercial Banks in Bandung City)

Rini Lestari

doi:10.7176/rjfa/11-6-10

Abstract

The main causes of bank failures include: poor bank management, too risky to take risks, and a lack of supervision which is conducted on fraud and embezzlement of funds. One way to overcome this is to improve the quality of management accounting information system (KSIAM) and the application of Good Corporate Governance (GCG) principles in banking institutions, one of which is sharia commercial banks. But in reality, there are still Sharia commercial banks that have poor KSIAM, which is characterized by there are still many complaints from users of the banking service information system, as well as the weak implementation of GCG principles as it is indicated by many cases of deviations in the form of fictitious customer financing facilities. This study aims to explain KSIAM and the application of GCG principles and to analyze KSIAM in improving the application of GCG principles in Sharia commercial banks in Bandung city. The research method is a case study and analytical descriptive with quantitative approach. Data collection techniques were carried out by distributing questionnaires and interviews. The study results showed that KSIAM at Sharia Commercial Banks in Bandung city is included in good categories. The GCG implementation in Sharia Commercial Banks in Bandung city is included in the very good category. Furthermore based on a descriptive analysis of the study results, it showed that KSIAM is able to improve the application of GCG principles in Sharia Commercial Banks in Bandung city. Keywords: Quality of Management Accounting Information Systems, Application of GCG Principles and Sharia Commercial Banks DOI: 10.7176/RJFA/11-6-10 Publication date: March 31 st 2020

Highlights

The main causes of bank failures are marked by the occurrence of the banking crisis in Indonesia
3) Is KSIAM able to improve the application of Good Corporate Governance (GCG) principles in Sharia Commercial Banks in Bandung city?
The quality of management accounting information systems is measured through five components and each component is explained by one to two other measures, the indicators are overall processed into eight statement items

Summary

Introduction

In reality, there are still many problems related to the poor implementation of these GCG principles in a number of Sharia Banks in Indonesia in general, such as the case of breaking into savings of 21 Bank Muamalat customers in the amount of Rp 9 billion (Yusri, 2017). This reflects the weak implementation of the responsibility principle of GCG in sharia banking institutions. The weak application of good corporate governance (GCG) principles in Sharia Commercial Banks can be caused by the poor quality of the management accounting information system (SIAM) (Lestari, Sofianty, Sukarmanto & Nurleli, 2018). Based on the description above, it can be identified the research problems as follows: 1) How is the quality of management accounting information system (KSIAM) at Sharia Commercial Bank in Bandung city?

Objectives

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Results

Conclusion