Can Company Size Moderate Good Corporate Governance on Disclosure of Sustainability Reports?

Abstract

This research was carried out with the aim of testing Good Corporate Governance on Disclosure of Sustainability Reports with Company Size as Moderation. Good Corporate used in this study is using Independent Commissioners, Audit Committee, Board of Directors and Managerial Ownership. Disclosure of the Sustainability Report that is disclosed is Economic, Social and Environmental. The size of the company uses the Logarithm of Natural Assets (LN Assets). This type of research used is quantitative research. The population of this study are state-owned companies listed on the Indonesia Stock Exchange for the 2015-2020 period. The sample selection used was the purposive sampling method from 56 registered state-owned companies and based on the available criteria, the number of samples was 9 companies that met the criteria. Documentation techniques are used as data collection, outer model analysis and inner model are data analysis used for this study using the smartPLS 3.2.7 application. The results of the research that has been conducted show that (1) the Independent Commissioner has influence over the disclosure of the Sustainability Report, (2) the Audit Committee has influence over the disclosure of the Sustainability Report, (3) the board of directors has influence over the disclosure of the Sustainability Report, (4) Managerial ownership has an influence on the disclosure of the Sustainability Report, (5) Company size cannot moderate the influence of independent commissioners on the disclosure of the Sustainability Report, (6) Company size cannot moderate the influence of the audit committee on the disclosure of the Sustainability Report, (7) Company size cannot moderate the influence of the board of directors on the disclosure of the Sustainability Report, (8) Company size cannot moderate the effect of managerial ownership on the disclosure of the Sustainability Report. The implications of this research are from previous research examining GCG on disclosure of sustainability reports, the results are still inconsistent.

Sustained or Not: Does Intellectual Capital Strengthen CEOs and Independent Commissioners on the Sustainability of Their Companies?

“…Independent Commissioner and Sustainability Report [64] explain that independent commissioners are parties who do not have share ownership and/or affiliation in the company where they hold office and are representatives of minority shareholders. In this regard, independent commissioners are not bound by conflicts of interest that could affect the objectivity and integrity of the implementation of their duties and functions [65]. Having the role of representing minority shareholders (the public), independent commissioners tend to be more conservative in disclosing company benefits [66].…”

Optimalisasi Nilai Perusahaan: Eksplorasi Indeks Pengungkapan Laporan Keberlanjutan dan Kepemilikan Manajerial

“…Manajer mungkin melihat pengungkapan keberlanjutan sebagai kunci ketika membuat keputusan investasi pribadi. Ini karena mereka percaya bahwa praktik keberlanjutan dapat meningkatkan nilai jangka panjang perusahaan atau menunjukkan dedikasi perusahaan terhadap tanggung jawab sosial dan lingkungan (Biduri et al, 2023). Temuan dari penelitian ini sejalan dengan studi sebelumnya yang dilakukan oleh Elmagrhi et al (2016), Muttakin & Subramaniam (2015), Kumar et al(2022), Biduri et al, (2023), dan Salehi et al (2017).…”

“…Ini karena mereka percaya bahwa praktik keberlanjutan dapat meningkatkan nilai jangka panjang perusahaan atau menunjukkan dedikasi perusahaan terhadap tanggung jawab sosial dan lingkungan (Biduri et al, 2023). Temuan dari penelitian ini sejalan dengan studi sebelumnya yang dilakukan oleh Elmagrhi et al (2016), Muttakin & Subramaniam (2015), Kumar et al(2022), Biduri et al, (2023), dan Salehi et al (2017). Studi ini juga menyimpulkan bahwa SRDI memiliki pengaruh positif pada kepemilikan manajerial.…”