The relationship between financial accountability in a good corporate governance concept with organizational performance

Development of financial performance in the application of Good Corporate Governance and Corporate Social Responsibility which affects the values of honesty private individuals, in order to be able to run the accountability, value for money, fairness in financial management, transparency, control, and free of conflicts of interest (independence). The main concern in this study is focused on achieving value personal spirituality through the financial performance and capabilities of Good Corporate Governance (GCG) and Corporate Social Responsibility (CSR) in moderating the relationship with the financial performance of value personal spirituality. This study is a descriptive verifikatif. The unit of analysis in this study was 15 companies in Indonesia with a policy that has been applied through the concept since January of 2008 until now, with the support of the annual report of the company, the company's financial statements, company reports to the disclosure of Good Corporate Governance and Corporate Social Responsibility in the annual report. Overall reports published successively during the years 2008-2011. The results of this study indicate financial performance affects the value of personal spirituality, and for variable GCG obtained results that could moderate the relationship of financial performance to the value of personal spirituality. But for the disclosure of CSR variables obtained results can’t moderate the relationship with the financial performance of personal spirituality.

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Pengaruh Profitabilitas, Ukuran Perusahaan, Dan Good Corporate Governance Terhadap Pengungkapan Corporate Sosial Responsibilty Dan Dampaknya Terhadap Abnormal Return Pada Perusahaan LQ45

JURNAL AKUNTANSI DAN PAJAK ◽

10.29040/jap.v22i1.1920 ◽

2021 ◽

Vol 22 (1) ◽

Author(s):

Putri Frisca Kuncorowati ◽

Muhammad Miqdad ◽

Ahmad Roziq

Keyword(s):

Corporate Governance ◽

Data Analysis ◽

Path Analysis ◽

Abnormal Return ◽

Abnormal Returns ◽

Company Size ◽

Analysis Study ◽

Good Corporate Governance ◽

Csr Disclosure ◽

The Relationship

This study examines the effect of Profitability, Company Size, GCG on CSR disclosure and its impact on abnormal returns. The purpose of this study was to analyze the effect of Profitability, Company Size, GCG on abnormal returns and the indirect effect on CSR disclosure. The sample in this study was the LQ-45 company listed on the IDX in 2020. Data analysis used Path Analysis. The results of the path analysis study have directly shown that profitability, company size, GCG has a significant effect on CSRD with sig results less than 0.05. Meanwhile, the results of research using path analysis indirectly show that CSR disclosure is not able to strengthen the relationship between profitability, company size, GCG on abnormal returns.

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Exploring Linkages Between Corporate Governance and Business Performance: Does Good Corporate Governance Lead to Enhanced Business Value?

South Asian Survey ◽

10.1177/0971523120907189 ◽

2020 ◽

Vol 27 (1) ◽

pp. 37-61

Author(s):

Tirthankar Nag ◽

Chanchal Chatterjee

Keyword(s):

Corporate Governance ◽

Firm Performance ◽

Business Performance ◽

Stock Exchange ◽

Random Effect ◽

Corporate Boards ◽

Market Returns ◽

Good Corporate Governance ◽

Governance Practices ◽

The Relationship

This study explores the influence of corporate governance practices in corporate boards on firm performance and draws insights on the relative importance for companies for fostering the development of governance mechanisms in business. The study examines 50 firms belonging to the benchmark index of the National Stock Exchange of India (NIFTY 50) and tracks them for over a five-year period. The study uses fixed and random effect econometric models to explore the relationship between corporate governance variables, and firm performance using both accounting returns (EVA, ROA and ROE) and market returns (MVA). The study finds that corporate governance variables significantly improve firm performance or value creation. Especially, multiple directorships, involvement of foreign institutional investors and increase in promoter holdings may significantly affect returns of the firm. The study suggests that it may be useful to foster better corporate governance practices and monitor linkages with firm performance as the effect is influenced by other control variables also.

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The effect of industry nuances on the relationship between corporate governance and financial performance: Evidence from South African listed companies

South African Journal of Economic and Management Sciences ◽

10.4102/sajems.v21i1.1964 ◽

2018 ◽

Vol 21 (1) ◽

Cited By ~ 3

Author(s):

Jonty Tshipa ◽

Leon M. Brummer ◽

Hendrik Wolmarans ◽

Elda Du Toit

Keyword(s):

Corporate Governance ◽

Financial Performance ◽

South African ◽

Resource Dependence ◽

Stock Exchange ◽

Listed Companies ◽

Company Performance ◽

Johannesburg Stock Exchange ◽

Good Corporate Governance ◽

The Relationship

Background: Premised on agency, resource dependence and stewardship theories, the study investigates empirically the existence of industry nuances in the relationship between corporate governance and financial performance of companies listed in the Johannesburg Stock Exchange. Aims: The main objective of the study is to understand the relationship between internal corporate governance and company performance from the perspective of three distinct economic periods, as well as industry nuances, cognisant of endogeneity issues. Setting: South Africa, as an emerging African market, offers an interesting research context in which the corporate governance and financial performance nexus can be examined empirically. Method: A sample of 90 companies from the five largest South African industries, covering a 13-year period from 2002 to 2014 (1170 firm-year observations) was examined with three estimation approaches. Results: Two key trends emerged from this study. First, the relationship between corporate governance and company performance differed from industry to industry. Second, the association between corporate governance and company performance also changes during steady and non-steady periods, which is an indication that the nexus is driven by the state of the global economy and the type of the industry. Conclusion: Evidence from the study suggests that companies should be allowed to optimise rather than maximise their corporate governance options. This finding questioned the approach of the recently published King IV Code of Good Corporate Governance, which requires Johannesburg Stock Exchange-listed companies to ‘apply and explain’ as opposed to ‘apply or explain’ as pronounced by King III Code of Good Corporate Governance.

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PENGARUH KINERJA KEUANGAN TERHADAP NILAI PERUSAHAAN DENGAN PENGUNGKAPAN CSR DAN GCG SEBAGAI VARIABEL PEMODERASI

Media Riset Akuntansi Auditing & Informasi ◽

10.25105/mraai.v10i2.1018 ◽

2010 ◽

Vol 10 (2) ◽

pp. 41

Author(s):

Hidayatullah ,

Keyword(s):

Corporate Governance ◽

Financial Performance ◽

Stock Exchange ◽

Value Added ◽

Corporate Financial Performance ◽

Corporate Value ◽

Moderating Variables ◽

Good Corporate Governance ◽

Relationship Of ◽

The Relationship

This Thesis investigated the influence of financial performance toward corporate value by exposing Corporate Sosial Responsibility (CSR) and Good Corporate Governance (GCG) as Moderating Variables. Corporate Financial performance as independent variable is represented by the Financial Value Added (FVA) and Corporate Value as Dependent Variable is represented by Tobin `s Q value. CSR value is indexed based on the 78 items of exposure themes and GCG value is indexed using the 18 items of exposure themes which the researcher called Corporate Governance Perception Index. After selecting 149 companies listed in Indonesia Stock Exchange, the researcher found 39 manufacture companies. qualified as the research objects based on the defined criteria, with observation timeframe from the year of2005 to 2008. The result of the research concludes that: Financial Performance (FVA) significantly influences the corporate value (Tobins 'Q); Corporate Sosial Responsibility also influences the relationship of corporate financial performance and the corporate value; and Good Corporate Governance influences the relationship of corporate financial performance and the corporate value as well.Keywords: Financial value Added, Tobin 's Q, CSR, GCG

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Can Information Technology and Good Corporate Governance Be Used by Internal Control For Fraud Prevention?

International Journal of Recent Technology and Engineering - 2 ◽

10.35940/ijrte.c5503.098319 ◽

2019 ◽

Vol 8 (3) ◽

pp. 5556-5567

Keyword(s):

Information Technology ◽

Corporate Governance ◽

Internal Control ◽

Random Sampling ◽

Primary Data ◽

Fraud Prevention ◽

Construction Companies ◽

Good Corporate Governance ◽

The Relationship ◽

Control Tool

The purpose of this research was to know the effect of using information technology (IT) in fraud prevention, the effect of good corporate governance (GCG) in fraud prevention, the effect of the moderators of internal control tools on the relationship between the use of information technology with fraud prevention, and the effect of the moderators of internal control tools on the relationship between good corporate governance and fraud prevention. The object of the research is construction companies in Tangerang, with 37 respondents as the sample using purposive non random sampling. Primary data by distributing questionnaires. The results of this research indicate: 1) The use of information technology has a significant effect in fraud prevention; 2) Good corporate governance has an effect; 3) The internal control tool moderates between the use of information technology and fraud prevention; and 4) The internal control tool moderates between good corporate governance and prevention fraud.

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The impact of good corporate governance practices on financial reporting quality: Empirical evidence from Jordanian listed companies

Corporate Ownership and Control ◽

10.22495/cocv9i4c1art4 ◽

2012 ◽

Vol 9 (4) ◽

pp. 178-186 ◽

Cited By ~ 1

Author(s):

Khaled Erieg Abu-Risheh ◽

Mo’taz Amin Al-Sa’eed

Keyword(s):

Corporate Governance ◽

Board Of Directors ◽

Financial Reporting ◽

Stock Exchange ◽

Reporting Quality ◽

Audit Committees ◽

Financial Reporting Quality ◽

Good Corporate Governance ◽

Governance Practices ◽

The Relationship

The main objective of this paper is to analyze the relationship between the good corporate governance practices on the financial reporting quality of Jordanian listed companies. Specifically, we focus on the board’s independence, board’s transparency, and separate audit committee. A listing of Share -Traded Jordanian Companies was available from the Amman Stock Exchange as of 31 December 2011. A total of (167) company shares were traded as of 31 of December 2011. It was decided to distribute (160) questionnaires to the related external auditors, the expertise members of the Audit Committees, and the Jordanian regulatory bodies that oversight the corporate reporting of those companies, which include the Jordanian Securities Commission, Insurance Commission, and Central Bank of Jordan. The empirical study is realized based on a sample of the companies listed on the Amman Stock Exchange. Our research results shows that the good corporate governance practices impact the financial reporting quality, were Independence is considered one of the determinants of the success of financial reporting quality (T = 3.709, 008) and (R= 0.676), in addition to that; the independent variables are able to explain the variance in the dependent variable, a multiple regression test was carried out to test the relationship between board of directors’ transparency, board of directors’ independence, and audit committees, and financial reporting quality (FRQ), they are able to explain nearly 0.805% (R=0.805% P< 0.000) of the variance in financial reporting quality. The correlation analysis allows testing the strength of relationships between several independent variables and one dependent variable, which is the case in this study. The results of correlation analysis shows that the relationships between boards of directors’ transparency, board of directors’ independence, and separate audit committees, and the dependent variable which is financial reporting quality (FRQ), are significant.

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Mediating Effect of Islamic Social Reporting on the Relationship between Good Corporate Governance and Company Value: The Case of the State-Owned Enterprises

Global Review of Islamic Economics and Business ◽

10.14421/grieb.2020.081-01 ◽

2020 ◽

Vol 8 (1) ◽

pp. 001

Author(s):

Indah Yuliana ◽

Farahiyah Sartika

Keyword(s):

Corporate Governance ◽

The State ◽

Partial Least Square ◽

Least Square ◽

Mediating Effect ◽

Stock Index ◽

Social Reporting ◽

Company Value ◽

Good Corporate Governance ◽

The Relationship

The concept of Good Corporate Governance (GCG) is related to the disclosure of Islamic Social Reporting (ISR) which guarantees that the funds invested in the company are well managed and will provide adequate returns so that this can attract investors and indirectly can increase the company value. This research aims to analyze the indirect effect of GCG rating on company value through the disclosure of ISR and it also attempts to analyze the direct effect of GCG and ISR toward company value, and the effect of GCG towards ISR. This research used quantitative and descriptive approaches with secondary data. The state-owned enterprises in the manufacturing and mining sector listed in the Indonesian Sharia Stock Index (ISSI) were selected as the sample of the study. The method used in this study includes descriptive statistical analysis, partial least square, and mediation test. The result shows that GCG has a positive effect on company value and ISR disclosure, while ISR disclosure does not affect company value. However, GCG does not affect company value through ISR disclosure. This indicates that ISR disclosure has no mediation effect on the relationship between GCG and company value.

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Corporate Disclosure, Ownership Structure And Earnings Management: The Case Of French-Listed Firms

Journal of Applied Business Research (JABR) ◽

10.19030/jabr.v31i4.9332 ◽

2015 ◽

Vol 31 (4) ◽

pp. 1493 ◽

Cited By ~ 3

Author(s):

Nadia Lakhal

Keyword(s):

Corporate Governance ◽

Earnings Management ◽

Ownership Structure ◽

Management Practices ◽

Corporate Disclosure ◽

Minority Shareholders ◽

Listed Firms ◽

Good Corporate Governance ◽

Management Measures ◽

The Relationship

The purpose of this paper is to investigate the effect of corporate governance devices on earnings management for French-listed firms. Particularly, it examines the relationship between corporate disclosure practices, ownership structure features and earnings management by French managers. Results show that the relationship between earnings management measures and disclosure scores is negative suggesting that less transparent firms are likely to engage in earnings management practices. The findings also show that families, institutional investors and multiple large shareholders negatively influence earnings management, and hence, act as good corporate governance devices to limit managerial discretion. This paper shed light on the monitoring role of corporate disclosures and ownership structure in the French context where minority shareholders interests are less protected than in common law countries.

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The Effect of Intellectual Capital and Good Corporate Governance on Company Value Mediated by Competitive Advantage

Journal of Accounting and Investment ◽

10.18196/jai.v22i2.10412 ◽

2021 ◽

Vol 22 (2) ◽

Author(s):

Selvia Roos Ana ◽

Agung Budi Sulistiyo ◽

Whedy Prasetyo

Keyword(s):

Corporate Governance ◽

Competitive Advantage ◽

Intellectual Capital ◽

Firm Value ◽

Capital Good ◽

Company Value ◽

Good Corporate Governance ◽

The Relationship ◽

A Company

Abstract: This study examines the effect of the relationship between intellectual capital, good corporate governance, and firm value by using competitive advantage as mediation. Design/methodology/approach : This study uses a sample of companies registered in CGPI during the 2014-2018 period. Data analysis using regression and path analysis.Research findings : The research results show that the creation of a competitive advantage is inseparable from the role of intellectual capital and good corporate governance. In addition, competitive advantage is able to increase firm value but unfortunately it is not able to mediate company value.Theoretical contribution/ Originality : This study uses M-VAIC to measure intellectual capital where in this measurement there is additional relational capital, and the use of competitive advantage as a mediating variable.Practitioner/Policy implication : This study proves the resourced-based theory which states that a company can win the competition by having a competitive advantage so that in the end it can increase firm value.Research limitation/Implication: This study only includes CGPI listed companies as the research sample. In addition, the independent variables used are limited to intellectual capital and good corporate governance. Keywords: intellectual capital, good corporate governance, competitive advantage, company value

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