Influence Of Corporate Governance Research Articles

Mommy don’t go: The stories of separation anxiety of kindergarten pupils thru the lens of mothers

The evolution of financial reporting standards has been marked by significant shifts from the traditional Generally Accepted Accounting Principles (GAAP) to the globally recognized International Financial Reporting Standards (IFRS). This research explores the historical development, key differences, and implications of transitioning from GAAP to IFRS, along with emerging trends that may shape the future of financial reporting. Through a mixed-methods approach, including qualitative interviews with accounting professionals, auditors, regulatory bodies, and quantitative analysis of financial data from organizations that have undergone this transition, the study aims to provide a comprehensive understanding of the impact of IFRS adoption on financial transparency, comparability, corporate governance, and investor behavior. The findings indicate that IFRS adoption improves financial transparency and comparability, positively influences corporate governance, and enhances investor confidence. Furthermore, the study highlights the growing importance of Integrated Reporting (IR) and Sustainability Reporting, as well as the transformative role of technology in financial reporting. Future research should focus on longitudinal studies to assess the long-term impacts of IFRS adoption and explore the integration of emerging technologies, such as blockchain and artificial intelligence, in financial reporting. These insights will be valuable for policymakers, businesses, and stakeholders in navigating the evolving landscape of financial reporting, ensuring better decision-making and enhanced global financial coherence.

Pengaruh Corporate Governance, dan Karakteristik Perusahaan Terhadap Kinerja Keuangan Perusahaan: Studi pada Perusahaan Barang Konsumen Primer Sub Sektor Makanan dan Minuman yang Terdaftar di Bursa Efek Indonesia Tahun 2019-2022

This research aims to find out how much influence corporate governance and company characteristics have on the financial performance of food and beverage sub-sector manufacturing companies listed on the Indonesia Stock Exchange in 2019-2022. Sample selection was carried out using purposive sampling to obtain eighteen companies that met the requirements as samples. The data used in this research is secondary data in the form of financial reports obtained through the Indonesia Stock Exchange (IDX) with a total of 72 financial reports observed. This research uses multiple linear regression statistical methods in the IBM SPSS Statistics 22 application. The results of this research show that: (1) corporate governance has a positive and insignificant effect on financial performance, (2) company characteristics have a positive and significant effect on the company's financial performance, and (3) simultaneously corporate and company characteristics have a positive and significant effect on the financial performance of manufacturing companies in the food and beverage sub-sector, with a coefficient of determination value of 7.9% while the remaining 92.1% is influenced by other factors not included in this research.

The Influence of Company Characteristics and Good Corporate Governance on the Quality of Sustainability Report Disclosure (In Banking Companies Listed on the IDX in 2020-2023)

The aim of this research is to investigate and evaluate the potential influence of company size, profitability, and audit committee on the level of transparency of sustainability reports in banking companies listed on the Indonesia Stock Exchange between 2020 and 2022. This research uses Sustainability Report as an independent variable and Company Size , Profitability, Institutional Ownership, and Audit Committee as dependent factors. The approach used in this research to determine the sample was purposive sampling, consisting of 38 samples of banking companies from financial reports and sustainability reports on the Indonesia Stock Exchange for three consecutive years from 2020–2022. The analysis method in this research uses statistical methods assisted by Eviews 12. The research results show that company size and institutional ownership have a significant effect on sustainability report disclosures, while profitability and audit committees are not significant on sustainability report disclosures.

GOOD CORPORATE GOVERNANCE, GREEN ACCOUNTING, AND EARNINGS SUSTAINABILITY: EVIDENCE FROM JAKARTA ISLAMIC INDEX

This research examines the influence of good corporate governance (GCG) practices on the earnings sustainability of companies listed in the Jakarta Islamic Index. Additionally, it explores the role of green accounting in the relationship between GCG and sustainable earnings. GCG is represented by management ownership, boards of commissioners, the audit committee, and institutional ownership. Green accounting is measured using the corporate environmental management (PROPER) results, which are aligned with the regulations of the Ministry of Environment and Forestry of Indonesia. Data analysis was carried out using panel data regression analysis. The findings indicate that GCG components (management ownership, boards of commissioners, and audit committee) positively impact sustainable earnings. Moreover, green accounting has been empirically proven to moderate the positive effect of GCS on sustainable earnings. Based on the sustainability theory, companies tend to undertake ethical and legal measures to achieve sustainable performance. Thus, sustainability theory suggests that the synergy between corporate governance and green accounting may improve earnings sustainability.JEL: M14, M41, L25.

지속가능경영보고서 발간이 기업지배구조 및 재무성과 개선에 미치는 영향

[Purpose] As corporate social responsibility gains importance, sustainability reports have become essential for demonstrating a company’s commitment to sustainable management across environmental, social, and economic dimensions. [Purpose] This study examines the relationship between the publication of sustainability reports and corporate self－improvement, focusing on listed companies in South Korea from 2018 to 2022. [Findings] The analysis reveals that sustainability reports positively influence corporate governance and have a limited yet favorable impact on financial performance, as measured by return on assets (ROA). [Implications] These findings indicate that publishing sustainability reports can lead to voluntary enhancements in corporate governance, improving management efficiency and decision－making quality, which ultimately boosts profitability. Thus, issuing sustainability reports is proposed as a valuable strategy for future－oriented corporate development.

THE EFFECT OF TAX AVOIDANCE AND CORPORATE GOVERNANCE ONFIRM VALUE WITH SUSTAINABILITY REPORTING AS MODERATION

The research employs Sustainability Reporting as a moderating variable. We aim to discover of Sustainability Reporting roles on the influence of Tax Avoidance and Corporate Governance on Firm Value. This research is a quantitative study with a data panel analysis. The sample used in this study was data from financial reports of financial sector companies published on the Indonesia Stock Exchange website from 2018 to 2021. The sample was selected from 94 companies using a purposive sampling technique. The data are analyzed using panel regression models. Research findings reveal that tax avoidance and corporate governance do not have a significant effect on firm value, and tax avoidance and corporate governance on firm value moderating by sustainability reporting also have no significant effect on firm value. This is because the financial sector consists mostly of banks, subject to stricter supervision than other sectors, so many data measurements are difficult to obtain. The research delivers understanding and information on behalf of the influence of tax avoidance and corporate governance with sustainability reporting as moderating on firm value, particularly for the financial sector in Indonesia.

The Influence of Good Corporate Governance and Profitability on Firm Value of Banking Sub Sector Companies

The Influence of Good Corporate Governance and Profitability on Firm Value of Banking Sub Sector Companies

Women who money: the impact of female board members and institutional ownership on firms’ financial performance

Purpose This study aims to explore the relationship between board diversity and financial performance, examining how the presence of women on corporate boards affects metrics such as profitability. In addition, this study investigates how corporate governance and ownership structure influence gender diversity policies and the appointment of women to boards. Design/methodology/approach Two hypotheses were proposed and following regression models were developed for data analysis. The sample for this study consists of companies listed on the Taiwan Stock Exchange in five years (2015–2019). The data was extracted from the Taiwan Economic Journal Taiwan database with the final data set comprised 9,379 firm-year observations. Findings This study indicates a positive association between board diversity and financial performance. Moreover, the relationship between female directors on the board and financial performance is stronger for firms with a higher percentage of institutional investors. Originality/value By highlighting how gender-balanced boards and engaged institutional shareholders improve profitability, this study suggests that actively recruiting women directors and pursuing governance reforms that empower shareholders can pay dividends for Taiwanese companies. The results make an important contribution to the limited research on diversity's impact within Asian corporate settings.

Debt maturity, governance and investment efficiency: new evidence from emerging market

PurposeThis study investigates the combined influence of corporate governance (CG) and debt maturity (DM) on the investment inefficiency among non-financial 506 NSE-listed firms in India between 2009 and 2022. Additionally, this study also investigates the moderating effect of short-term debt (STD) maturity concerning the relationship between CG and investment inefficiency.Design/methodology/approachUtilizing the residuals extracted from the Biddle et al. (2009) investment model, three different forms of investment inefficiency (investment inefficiency, overinvestment and underinvestment) were measured. To measure the internal governance of firms, a new corporate governance index (CGI) was developed using 65 new governance stipulations, whereas STD was measured as short-term debt divided by total debt. Interaction effects between CG and DM were also estimated. Employing CGI and STD along with firm-specific control variables, many pooled regression models were estimated. Endogeneity issues were addressed through two-stage least squares. Robustness checks were also conducted using the two-step system GMM, alternative measures of dependent and independent variables.FindingsThe findings demonstrate that higher CG and shortened DM increase investment efficiency. This evidence implies that firm-level governance and short-term debt reduce information asymmetry and increase management oversight. Additionally, the evidence suggested that shortened DM and CG complement one another to increase investment efficiency, suggesting companies that utilize STD to a greater (lesser) extent demonstrate a greater (lesser) impact of CG in reducing investment inefficiency.Practical implicationsThis work first advocates the establishment and implementation of robust corporate governance mechanisms to control agency conflicts, moral hazard, adverse selection and limit opportunistic behavior of managers for improving investment efficiency. Second, since interaction effects suggest a complementarity between CG and DM, it is advocated that STDs can be used to achieve optimal investment choices to control moral hazards and adverse selection and discourage suboptimal investment levels.Originality/valueThis work provides new evidence concerning the effects of CG and DM on various forms of corporate investment efficiency (investment inefficiency, overinvestment and underinvestment, using alternate measures) in an emerging economy like India having a unique institutional framework and macroeconomic environment using a newly developed firm-specific CG index for a large sample of companies using recent data.

The Impact of Corporate Governance and Fair Value Accounting on Debt Contracts

This paper investigates the theoretical relationship between corporate governance, fair value accounting, and debt contracts. It primarily examines the individual impacts of corporate governance and fair value accounting on debt contracts, while also exploring the influence of corporate governance on fair value accounting. The study emphasizes the importance of considering the interests and legal status of creditors in the context of debt contracts. The findings indicate that strong corporate governance can reduce the likelihood of debt default and that the company’s restructuring costs in the event of a default determine whether improved corporate governance will increase or decrease debt costs. Additionally, the study reveals that the strength of corporate governance affects the value relevance of fair value accounting. However, the impact of fair value accounting on debt contracts is not inherently positive or negative; for instance, companies may use fair value adjustments with manipulative intent to enhance performance. Ultimately, the research highlights that discussions about corporate governance should not prioritize shareholder interests exclusively but also consider the legitimate position of creditors.

THE INFLUENCE OF CORPORATE SOCIAL RESPONSIBILITY (CSR) AND GOOD CORPORATE GOVERNANCE (GCG) ON COMPANY VALUE WITH FINANCIAL PERFORMANCE AS AN INTERVENING VARIABLE

This research aims to determine the influence of Corporate Social Responsibility (CSR) and Good Corporate Governance (GCG) on company value with financial performance as an intervening variable. CSR variables are measured using CSRI published by GRI G4, GCG variables are measured by audit committee, independent commissioner, managerial ownership and institutional ownership. The financial performance variable is measured using return on equity (ROE) while the firm value variable is measured using Tobins'Q . The type of research used in this research is quantitative research using panel data and analyzed using SPSS Version 25 software. This research uses a purposive sampling technique with the object being raw materials sector companies listed on the Indonesia Stock Exchange (BEI) in 2017-2022. The number of samples obtained was 99 samples. Because the data used was not normally distributed, data outliers were carried out by removing 9 data so that the remaining 90 data would be used as samples. The results of this research indicate that Corporate Social Responsibility (CSR) has no effect on financial performance. Good Corporate Governance (GCG) has no effect on financial performance. Corporate Social Responsibility (CSR) influences company values. Good Corporate Governance (GCG) has no effect on company value. Financial Performance has no effect on company value, Financial Performance cannot mediate CSR on Company Value. Financial Performance can mediate GCG on Company Value.

The Influence of Profit Management and Corporate Governance on Tax Aggressiveness

This research aims to determine and evaluate the influence of earnings management and corporate governance on tax aggressiveness. This type of research is associative quantitative. The data used is secondary data. The population in this research is food and beverage sub-sector companies listed on the Indonesia Stock Exchange (BEI) in 2018-2022. The sample data collection technique in this study used purposive sampling, namely a technique that takes into account criteria, so that the sample obtained using this method was 9 companies. The data analysis technique used is panel data regression analysis using E-views 9 software. The research results show that earnings management and corporate governance influence tax aggressiveness. Then, partially earnings management has no effect on tax aggressiveness. Meanwhile, corporate governance variables influence tax aggressiveness. This result is because the higher the corporate governance, the lower the level of tax aggressiveness taken by the company

Corporate social responsibility and firm value: the role of enterprise risk management and corporate governance

Purpose Corporate social responsibility (CSR) has gained tremendous importance after several corporate scandals, financial crises and the rise of the hyper-competitive world. Firms must address multiple stakeholders’ interests to increase firm value. This study aims to investigate the effect of CSR on firm value. This study also examines the mediating role of enterprise risk management (ERM) and the moderating influence of corporate governance (CG) in this CSR-firm value relationship. Design/methodology/approach The sample of the study comprises 119 Pakistan Stock Exchange (PSX) listed firms and the study covers the period from 2010 to 2021. The corporate social responsibility performance has been quantified across five dimensions. These aspects are product, environment, employee relations, diversity and community. Four proxies i.e. strategy, operation, reporting and compliance, have been used to measure ERM. The governance quality of the sample companies was evaluated using the governance index, which included 29 governance provisions. The authors used the dynamic panel data technique (system-GMM) is used to achieve the objectives of the study. Furthermore, a firm’s engagement in CSR activities can also be measured through a multinational financial approach to check the robustness of the result. Findings Based on the regression analysis, the authors discovered that CSR was positively connected with firm value, validating the stakeholder view of CSR. Furthermore, following Baron and Kenny’s (1986) mediation technique, the findings confirm that ERM mediates this association. These results are robust by using the bootstrapping tests by Preacher and Hayes (2004). Furthermore, the result shows that corporate governance (CG) is positively connected with firm performance, and this relationship is strengthened in the presence of an effective governance system in the organization. Practical implications This study provides useful insights to regulators, investors and policymakers to consider CSR as a value-enhancing factor and encourage the development of enterprise risk management and compliance with CG mechanisms to improve firm value. Originality/value The presented analysis strengthens the existing CSR–firm value relationship by analyzing the mediating and moderating roles of ERM and CG, which have not yet been tested, particularly in the context of Pakistan.

The Influence of Corporate Governance, Leverage, and Environmental Performance on Firm Value

The Influence of Corporate Governance, Leverage, and Environmental Performance on Firm Value

CORPORATE GOVERNANCE, FIRM SIZE DAN EARNINGS MANAGEMENT

The aims of this research is to determine empirical evidence regarding the influence of corporate governance, firm size, leverage, sales growth as independent variable to earnings management as dependent variable in listed consumer cyclical and non-cyclical companies on the Indonesia Stock Exchange . Earnings management variable in this research was measured using the Modified Jones Model developed by Dechow et al. This research used a sample of 108 consumer cyclical and non-cyclical sector companies on the Indonesia Stock Exchange for the period 2020-2022 by purposive sampling method. This research uses multiple regression method to determine relation between each independent variable to variable dependent. The results of this research show that independent variables such as board of director’s, auditor’s size, firm performance and firm size have effect on earnings management, while other independent variables such as managerial ownership, leverage, sales growth, and audit committee have no effect on earnings management.

Does ESG decoupling reduce customer stability? Evidence from China

ABSTRACT This paper examines the influence of corporate environmental, social, and governance (ESG) decoupling on customer stability. Using a sample of Chinese listed firms, we discover a significantly negative nexus between corporate ESG decoupling and customer stability. Mechanism tests reveal that ESG decoupling reduces customer stability by damaging corporate reputation and increasing information asymmetry. Cross-sectional analyses demonstrate that ESG decoupling’s adverse influence on customer stability is more prominent in state-owned companies, non-high-tech firms, and firms with fiercer industry competition. Our results show that customers, as corporate primary stakeholders, punish suppliers’ ESG decoupling behaviour. This paper enriches the emerging literature on the consequences of ESG decoupling. Meanwhile, our findings offer implications for firms to maintain supply chain security and stability.

The Influence of Corporate Governance on The Financial Performance of The Asian Stock Market of Large Companies

The research aimed to know the impact of corporate governance with its variables (board size and board independence) on the financial performance of large Asian companies in the stock market. To achieve the research objectives, the study used the analytical approach and collected data from the stock market from 2019 to 2023 for 118 large company. Financial performance was also evaluated by using the rate of return on assets. The results concluded that there is a positive and important relationship between corporate governance with its variables (board size and board independence) with financial performance. The study indicates increased awareness and interest by the management of public shareholding companies regarding the importance of adhering to the rules of governance.

Good Corporate Governance, Intellectual Capital, and ICSR in Companies in Jakarta Islamic Index

ABSTRACT Indonesia's sharia economy and finance is increasingly developing and encouragingthe birth of social responsibility based on Islamic norms called Islamic Corporate Social Responsibility (ICSR). The aim of this research is to determine the influence of good corporate governance and intellectual capital on Islamic corporate social responsibility. The GCG components used are the size of the board of directors, audit committee and independent commissioners. The type of approach in this research is quantitative. The companies in the sample are companies listed on the Jakarta Islamic Index (JII) for the 2018-2022 period using purposive sampling technique. The data analysis method used is panel data regression. The results of data testing explain that the size of the board of directors, independent commissioners, and intellectual capital have a significant positive influence on ICSR. Meanwhile, the size of the audit committee does not have a significant influence on ICSR disclosure. Simultaneously, GCG and Intellectual capital have an influence on ICSR disclosure.

The Influence of Good Corporate Governance, Non Performing Financing, Capital Adequacy Ratio, Financing to Deposit Ratio on Financial Performance (Case Study of Sharia Banks in Indonesia for the period 2018 – 2022)

The Influence of Good Corporate Governance, Non Performing Financing, Capital Adequacy Ratio, Financing to Deposit Ratio on Financial Performance (Case Study of Sharia Banks in Indonesia for the period 2018 – 2022)

Corporate governance, company size, and profitability: the role of corporate social responsibility as a moderator

Profitability is a crucial factor that requires special attention. This is due to the need for a company to remain profitable in order to maintain its survival. This research aims to determine the influence of Corporate Governance and Company Size on Profitability with Corporate Social Responsibility as A Moderating Variable. This research method is a quantitative research method in the period 2018 to 2022 there are 15 companies listed on the IDX which are used as population. The sampling technique in this study used purposive sampling with the criteria that the company publishes annual reports every year and the company is listed on the IDX from 2018 to 2022. After selecting the sample, the population of 15 companies obtained the company data used, namely 14 companies and 70 data which will be processed with panel data regression with statistical software. The research results show that the audit committee, independent commissioner and company size have a positive and significant effect on company profitability, CSR is able to positively moderate the influence of independent commissioners on company profitability. and CSR is unable to moderate the influence of the audit committee and company size on company profitability.