Purpose The purpose of this paper is to evaluate the effect between audit quality and risk taking on value creation. Design/methodology/approach Population under study is companies on the Jakarta Stock Exchange from 2004 to 2015. Considering the limitations, 145 companies studied in this research, which made a sample containing 1,740 company-years. This study is based on the panel data and multivariate regression method. This research uses fixed and random effects to estimate the regression. In this paper, five components of audit quality, including auditor specialization, tenure, audit firm size, ownership concentration and the percentage of unbounded members of the board, are studied. Findings The results of this study indicate that among these five components as well as the risk factor, only tenure and ownership concentration have a significant effect on value creation of companies. In other words, both ownership concentration and tenure are positively effective in value creation and other variables have no significant effect on value creation. Besides, none of them could affect the risk taking on value creation. Originality/value The outcomes of the current study help audit market and capital market in developing nations.

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This study aims to examine several distinguishing factors that are considered to influence the success of Regional Development Bank (BPD) transformation in Indonesia in 2024. This study uses discriminant analysis. The study shows that there are 7 variables that are predictive factors for the success of BPD transformation in Indonesia in 2024, namely learning and growth perspective,nation's culture,organizational culture,public policy,bank health level,regional autonomy and BPD's sustainable competitive advantage. Nation's culture variable is a differentiator that acted as the strongest driver. BPD's sustainable competitive advantage variable is the strongest obstacle to predict the success of BPD transformation in Indonesia in 2024.