Do Value Added Intellectual Coefficient and Corporate Governance Contribute to Firm's Economic Value Added

This study is about examining the influence of Intellectual Capital and Corporate Governance to EVA. Data used in this study were collected from a sample of 121 consumer goods companies in Indonesia and Malaysia from 2010 to 2017. Panel data multiple regression was performed to examine the research framework. The intellectual capital was measured by VAIC value, while the corporate governance was explained by the audit committee, remuneration board, and auditor quality and tenure. This study found that HCE, SCE, audit committee gender, remuneration size and remuneration gender had no effect on EVA in both Malaysian and Indonesian companies. In contrast, the audit committee size was found to affect the EVA of the companies in both countries. The CEE affected the company value of Malaysian companies while it had no effect on Indonesian companies. Audit quality and audit tenure had a positive effect only on Malaysian companies and none on Indonesian companies. This study used limited variables and a narrow business sector, thus the future research may expand the research model for other types of industries and apply the model in other countries.

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Do Intellectual Capital, Corporate Social Responsibility, and Good Corporate Governance Affect Indonesia's Mining Companies Value?

GATR Journal of Accounting and Finance Review (AFR) Vol. 4 (4) Oct-Dec 2019 - GATR Accounting and Finance Review ◽

10.35609/afr.2017.2.2(8) ◽

2017 ◽

Vol 2 (2) ◽

pp. 57-63

Author(s):

Nadia Azalia Putri ◽

Tatang Ary Gumanti ◽

Isti Fadah ◽

Supriyadi Supriyadi

Keyword(s):

Corporate Governance ◽

Corporate Social Responsibility ◽

Social Responsibility ◽

Intellectual Capital ◽

Audit Committee ◽

Value Added ◽

Company Value ◽

Good Corporate Governance ◽

Csr Disclosure ◽

Corporate Social

Objective - The purpose of this study was to analyze the effect of Intellectual Capital (IC), Corporate Social Responsibility (CSR) disclosure, and Good Corporate Governance (GCG) on the value of mining companies (as measured by Tobin's Q) listed in Indonesia Stock Exchange period 2011-2015. Methodology/Technique - Intellectual capital was measured by Value Added Capital Employed (VACA), Value Added Human Capital (VAHU), and Structural Capital Value Added (STVA). CSR disclosure was measured using Global Reporting Initiative index. GCG was proxied using independent commissioner, managerial ownership, audit committee, and institutional ownership. Empirical analysis was conducted using linear multiple regression analysis. The samples consisted 15 mining firms. Findings - The results showed that VACA, VAHU, and institutional ownership had a positive and significant effect on company value. STVA and independent commissioner have a positive but insignificant effect on company value. Audit committee and managerial ownership have a negative and insignificant effect on company value. Novelty - The study suggests managers to improve the company value by investing IC subcomponents; that is, physical capital and human capital and also add the number of shares held by institutions. Type of Paper: Empirical Keywords: Company Value; Corporate Social Responsibility; Good Corporate Governance; Intellectual Capital. JEL Classification: M14, M41, M51

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The Influence of Governance on Intellectual Capital in Textile Industry

International Journal of Business and Society ◽

10.33736/ijbs.3220.2020 ◽

2021 ◽

Vol 21 (1) ◽

pp. 1-24

Author(s):

Ramla Sadiq ◽

Safia Nosheen ◽

Waseem Akhtar

Keyword(s):

Corporate Governance ◽

Intellectual Capital ◽

Audit Committee ◽

Random Effect ◽

Empirical Work ◽

Value Added ◽

Future Research ◽

Governance Index ◽

The Impact ◽

Textile Sector

This study is aimed to evaluate the impact of corporate governance index on intellectual capital performance by developing the index from five sub-indices and incorporating the value-added intellectual coefficient (VAIC) methodology for intellectual capital performance. Fixed and Random Effect Regression techniques have been used to analyze the data of the textile sector in Pakistan from 2010 to 2014. The findings suggest a negatively significant impact of corporate governance index on intellectual capital performance while sub-indices give mixed results. The study also investigates the relationship of individual variables in each sub-index with performance and results show a significant relationship for five variables namely independent director, independent audit committee, foreign shareholders ownership, gratuity, and remuneration committee.This study contributed empirical work in the literature of corporate governance and intellectual capital performance.The outcomes of this study can be used by policymakers as an attempt to boost the performance of the textile sector. A modified value-added intellectual coefficient (M-VAIC) methodology can be used in future research.

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The Influence of Corporate Governance on Intellectual Capital Disclosure: Evidence from Bank on Indonesian Stock Exchange 2015-2019

International Journal of Business and Social Science Research ◽

10.47742/ijbssr.v2n4p1 ◽

2021 ◽

pp. 1-10

Author(s):

Indrayati Dra., Ak., MSA., CA ◽

Erlin Melani, SE., Ak., MSA., CA ◽

Slamet Slamet

Keyword(s):

Corporate Governance ◽

Intellectual Capital ◽

Audit Committee ◽

Annual Report ◽

Stock Exchange ◽

Sampling Technique ◽

Ownership Concentration ◽

Concentration Variable ◽

External Auditor ◽

Positive Effect

The purpose of this study was to examine the effect of Corporate Governance on Intellectual Capital Disclosure. The sample used in this study consisted of 22 banking companies listed on the Indonesia Stock Exchange in 2015-2019. The data used is in the form of an annual report. The sampling technique in this study was to use purposive sampling. This study uses multiple regression analysis. The statistical analysis results show that partially the audit committee and external auditor variables have a significant positive effect on intellectual capital disclosure. Meanwhile, the independent commissioner variable has no significant effect on intellectual capital disclosure. The ownership concentration variable harms intellectual capital disclosure. Simultaneously, the variables of the independent commissioner, ownership concentration, audit committee, and external auditor have a significant effect on intellectual capital disclosure.

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PENGARUH INTELLECTUAL CAPITAL, TATA KELOLA PERUSAHAAN DAN KUALITAS AUDIT TERHADAP MANAJEMEN LABA

JURNAL AKUNTANSI BERKELANJUTAN INDONESIA ◽

10.32493/jabi.v3i1.y2020.p56-71 ◽

2020 ◽

Vol 3 (1) ◽

pp. 56

Author(s):

Nawang Kalbuana ◽

A. Nugroho Budi R ◽

Nita Yulistiani

Keyword(s):

Corporate Governance ◽

Earnings Management ◽

Intellectual Capital ◽

Audit Quality ◽

Stock Exchange ◽

Institutional Ownership ◽

Future Research ◽

Institutional Control ◽

Management Actions ◽

Operational Activities

Earnings management is defined as earnings engineering activities / actions with certain objectives carried out by management. This research is expected to obtain empirical evidence of the influence of intellectual capital, corporate governance and audit quality in influencing earnings management in transportation companies and was listed on the Indonesia Stock Exchange in 2014-2018. Data was collected using a purposive sampling method and there were 14 companies that met the research criteria and carried out by testing the multiple linear regression hypothesis through the application of SPSS 23. In this study produced variables of intellectual capital, corporate governance and audit quality simultaneously have an influence on earnings management. While partially only intellectual capital variables that affect earnings management. Companies that are audited by large KAPs may not be able to limit the occurrence of earnings management actions. The large share ownership should be able to make the institutional control of operational activities, but the reality of institutional ownership is not able to limit the existence of earnings management. Theoretical implications expected from research are able to make intellectual capital as one indicator in measuring the occurrence of earnings management in future research. Keywords: Intellectual Capital; Institutional Ownership; Managerial Ownership; Audit Quality; Earnings Management

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PENGARUH CORPORATE GOVERNANCE, CORPORATE SOCIAL RESPONSIBILITY DAN INTELLECTUAL CAPITAL TERHADAP NILAI PERUSAHAAN

National Conference of Creative Industry ◽

10.30813/ncci.v0i0.1313 ◽

2018 ◽

Author(s):

Wendy Salim Saputra

Keyword(s):

Corporate Governance ◽

Corporate Social Responsibility ◽

Social Responsibility ◽

Intellectual Capital ◽

Firm Value ◽

Audit Committee ◽

Value Added ◽

Audit Committees ◽

Manufacturing Companies ◽

Corporate Social

Maximizing the interests of shareholders through increasing company value is one of the goals the company wants to achieve. To achieve these objectives, the company must pay attention to several things including implementing good corporate governance, paying attention to social and environmental interests so as not to intersect and improve the ability of its human resources.This study focuses on the implementation of corporate governance proxied by the proportion of independent board of commissioners and the number of audit committees, disclosure of corporate social responsibility and intellectual capital as well as examining its effect on firm value in manufacturing companies listed on the Indonesia Stock Exchange for the period 2014-2016The statistical method in this study uses multiple regression analysis, where the independent variable is the proportion of independent commissioners, the number of audit committees, coporate social responsibility disclosure (CSRD) and intellectual capital proxied by value added intellectual capital (VAIC). Whereas the dependent variable is the value of the company proxied by Tobin's QThe results of this study indicate that the audit committee affects the value of the company while the proportion of independent board of directors, coporate social responsibility disclosure and value added intellectual capital does not have an influence on the value of the company.Keywords: Corporate Value, Proportion of Independent Commissioners, Audit Committee, Corporate Social Responsibility, Intellectual Capital

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Relationship between audit committee characteristics, external auditors and economic value added (EVA) of public listed firms in Malaysia

Corporate Ownership and Control ◽

10.22495/cocv12i1c9p12 ◽

2014 ◽

Vol 12 (1) ◽

pp. 899-910 ◽

Cited By ~ 10

Author(s):

Abdullah Al-Mamun ◽

Qaiser Rafique Yasser ◽

Md. Ashikur Rahman ◽

Ananda Wickramasinghe ◽

Thurai Murugan Nathan

Keyword(s):

Firm Performance ◽

Audit Committee ◽

Audit Quality ◽

Negative Impact ◽

Economic Value ◽

Value Added ◽

Measurement Tool ◽

Corporate Leaders ◽

Listed Firms ◽

Code Of Corporate Governance

Malaysia is a developing economy which is one of the corporate leaders in South East Asian countries. Practicing audit committee is mandatory for public listed firms in Malaysia according to Bursa Malaysia Listing Requirements as well Malaysian Code of Corporate Governance. The purpose of this paper is to examine the association between audit committee characteristics and firm performance among public listed firms in Malaysia. This study employed EVA as performance measurement tool. The sample is 75 firm year observations and covers fiscal years 2008-2010. The study found that audit committee independence is positively associated with firm performance while audit quality is negatively associated in Malaysia. Overall, audit committee characteristics have a positive effect on firm performance. This study contributes to the literature as well as in empirical evidence on audit committee characteristics and firm audit quality. The results suggest that Big 4 firms have a negative impact on value based measure in Malaysia.

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Corporate governance and auditor quality – Malaysian evidence

Asian Review of Accounting ◽

10.1108/ara-11-2013-0072 ◽

2016 ◽

Vol 24 (2) ◽

Cited By ~ 18

Author(s):

Azrul Ihsan Husnin ◽

Anuar Nawawi ◽

Ahmad Saiful Azlin Puteh Salin

Keyword(s):

Corporate Governance ◽

Audit Committee ◽

Design Methodology ◽

Internal Audit ◽

State Ownership ◽

Share Price ◽

Future Research ◽

Auditor Quality ◽

Auditor Selection

Purpose The purpose of this paper is to conduct an investigation into the relationship between a firm’s corporate governance mechanisms (audit committee composition and operation, block shareholder, CEO duality, financial state, ownership dominance, political connection, share price, and family control) and auditor quality selection in Malaysia, for periods before and after the introduction of Malaysian Code of Corporate Governance in 2007 (MCCG 2007). Design/methodology/approach 300 companies listed on the Malaysian Stock Exchange from 2006 to 2008 were selected. A Binary regression method was used to analyse the data collected from both annual reports and financial databases. Findings The study has found that in general, MCCG 2007 influenced auditor selection through restructuring of corporate governance tools, such as audit committees and internal audit functions. Research limitations/implications Results have provided evidence that the restructuring of corporate governance may contribute and drive company to enhance the quality of the audit performed by selecting better quality auditor and/or improvising the audit related functions within the company such as formalising internal audit function. This study, however, employed an archival method of study and only used three years (2006, 2007 and 2008) of data analysis. Future research should analyse data from a longer period and utilize a field survey to understand reasons for auditor selection from the company perspective. Originality/value Building on previous studies, this study contributes to the current body of knowledge as it also considers the objective from the perspective of the revised MCCG 2007. It examines whether the introduction of new or revised corporate governance guidelines may immediately impact company auditor selection. Therefore, it compares the auditor quality of the company from pre-MCCG 2007 (2006) and post-MCCG 2007 (2008).

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The Influence of Intellectual Capital Disclosure, Economic Value Added Analysis, and Inclusion of Warrants on the Level of Underpricing in Shares

E-Jurnal Akuntansi ◽

10.24843/eja.2019.v28.i03.p04 ◽

2019 ◽

Vol 28 (3) ◽

pp. 1682

Author(s):

Muhammad Faisal ◽

Gerianta Wirawan Yasa

Keyword(s):

Initial Public Offering ◽

Intellectual Capital ◽

Stock Exchange ◽

Economic Value ◽

Value Added ◽

Sampling Technique ◽

Economic Value Added ◽

Ipo Underpricing ◽

Company Value ◽

Public Offering

The underpricing phenomenon often occurs when a company conducts an initial public offering or commonly known as IPO (Initial Public Offering). This condition causes stakeholders receive not enough information for assessing the company value. This study aims to analyze the effect of intellectual capital disclosure, economic value added, and inclusion of warrants on the level of underpricing of shares. This research was conducted in all companies that conducted IPOs on the Indonesia Stock Exchange (IDX) in the period 2012-2014. The number of samples taken was 60 companies, with a purposive sampling technique. The data analysis technique used is multiple linear regression. The results of testing the partial test hypotheses found that intellectual capital disclosure variables negatively affect the level of underpricing, while the variables of warrants participation have a positive effect on the level of underpricing. The economic value added variable does not affect the level of underpricing. Keywords : Initial Public Offering (IPO), Underpricing, Economic value added, Warrant.

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PENGARUH KARAKTER EKSEKUTIF DAN DIMENSI TATA KELOLA PERUSAHAAN TERHADAP PENGHINDARAN PAJAK (Studi Empiris pada Perusahaan Manufaktur yang Terdaftar di Bursa Efek Indonesia Periode 2012-2016)

Journal of Islamic Finance and Accounting ◽

10.22515/jifa.v2i1.1595 ◽

2019 ◽

Vol 2 (1) ◽

pp. 1 ◽

Cited By ~ 1

Author(s):

Sharma Aidha Afriyanti

Keyword(s):

Corporate Governance ◽

Audit Committee ◽

Sampling Method ◽

Audit Quality ◽

Stock Exchange ◽

Tax Avoidance ◽

Manufacturing Companies ◽

Purposive Sampling ◽

Positive Effect

The purpose of the study is to analyze the influence of executive character and corporate governance dimensions on tax avoidance in manufacturing companies that listed on the Indonesia Stock Exchange Period 2012-2016. The samples of this study is 37 companies that selected by using purposive sampling method. The results of this study shows that: Executive characters positive effect on tax avoidance. Independent commissioners not effect on tax avoidance. The audit committee not effect on tax avoidance. Audit quality positive effect on tax avoidance.

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Intellectual capital and market value: evidence from Jordan

Investment Management and Financial Innovations ◽

10.21511/imfi.16(4).2019.04 ◽

2019 ◽

Vol 16 (4) ◽

pp. 37-45

Author(s):

Mohammad Fawzi Shubita

Keyword(s):

Intellectual Capital ◽

Economic Value ◽

Value Added ◽

Market Value ◽

Physical Capital ◽

Future Research ◽

Industrial Firms ◽

Structural Capital ◽

The Impact ◽

The Empirical Analysis

This research aims to apply the value-added intellectual coefficient (VAIC) model to test the impact of intellectual capital (IC) on market value of the Jordanian industrial firms. The research increases the awareness of the need for firms of all sizes to communicate and value their business beyond capturing numbers alone. The sample for this study is 73 Jordanian manufacturing shareholders companies during the period 2005–2017. The sample employed consists of 648 firm-year observations. Market value is measured using the market capitalization over the total assets. Valuation approaches are a challenging area created to enable the stakeholders, or outside parties, to put an economic value on a firm.The IC and its components: capital employed (CEE), structural capital (SCE), and human capital (HCE) of industrial firms have been analyzed, and their impact on market value has been estimated using regression models. The results show that there is no relationship between IC and the market value; HCE is associated with the market value, and SCE and CEE are not associated with the market value. This could be explained by the increase in employees’ training, as a regular training program is an essential factor in managers’ and employees’ performance. Practically, investors have a positive view of a firm that has higher employee expenditure than its investment in physical capital. Future research should be made on the empirical analysis of other sectors to determine whether different results and explanations can be obtained.

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