2022
DOI: 10.34010/jika.v12i1.7329
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The Importance of The Chief Executive Officer (CEO) Characteristics in relation to Firm Value

Sucma Berlian,
Hadi Sumarsono*,
Dwi Warni Wahyuningsih

Abstract: The purpose of this article is to clarify the relation between CEO characteristics and firm value in the banking industry sector on Indonesia Stock Exchange. This study used 183 data collected from 37 banking companies from 2015 to 2020. The results show that CEO characteristics (gender, MBA degree, tenure) have no effect on firm value as measured using Market to Book Value (MBV). Meanwhile, ROA, Leverage, and financial condition as control variables have an effect on firm value. This result indicates that com… Show more

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Cited by 2 publications
(3 citation statements)
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“…The Chief Executive Officer (CEO) mandates the integration of HRM with all other functional areas of the firm, such as Research and Development (R&D), operations, marketing, logistics, and administration, among others [15]. Despite comprehending the comprehensive complexity of an organization's internal environment and collaborating with each internal stakeholder, the executive officer (EO) must establish, promote, and maintain relationships with the diverse external stakeholders of the organization.…”
Section: Comprehend and Work Together With Various Accomplicesmentioning
confidence: 99%
“…The Chief Executive Officer (CEO) mandates the integration of HRM with all other functional areas of the firm, such as Research and Development (R&D), operations, marketing, logistics, and administration, among others [15]. Despite comprehending the comprehensive complexity of an organization's internal environment and collaborating with each internal stakeholder, the executive officer (EO) must establish, promote, and maintain relationships with the diverse external stakeholders of the organization.…”
Section: Comprehend and Work Together With Various Accomplicesmentioning
confidence: 99%
“…Chief Executive Officer (CEO) Characteristics and Accrual Quality: Empirical Evidence from Indonesia Berlian et al (2022) Companies headed by CEOs who are also company founders, female CEOs, and who have longer tenure tend to report better accrual quality than companies led by CEOs who are not company founders and male CEOs. Meanwhile, CEOs with expertise in the business sector tend to report lower levels of accrual quality compared to CEOs who do not have expertise in the business sector.…”
Section: Ceo Behavioral Influencesmentioning
confidence: 99%
“…It fosters a sense of confidence and reliance among shareholders and other stakeholders, consequently bolstering investment, consumer trust, and the company's standing. The CEO's astute strategic decisions and well-defined vision can result in enduring company expansion and enhanced financial outcomes (Berlian et al, 2022).…”
Section: Implementation Of Corporate Governance On the Performance Of...mentioning
confidence: 99%