Factors Affecting Indonesian Public Company Disclosure Of CSR Activities

Cynthia Glennisa; Riki Martusa; Meythi Meythi

doi:10.24912/ja.v28i2.1725

Authors

Cynthia Glennisa Accounting Department, Faculty of Business, Maranatha Christian University, Bandung
Riki Martusa Accounting Department, Faculty of Business, Maranatha Christian University, Bandung,
Meythi Meythi Accounting Department, Faculty of Business, Maranatha Christian University, Bandung

DOI:

https://doi.org/10.24912/ja.v28i2.1725

Keywords: Audit Committee Size; Board of Commissioner Size; Corporate Social Responsibility; Public Accountant Firm Reputation.

Abstract

This study aims to examine the size of the board of commissioners, the size of the audit committee, and the reputation of the CPA firm on the disclosure of the company's Corporate Social Responsibility (CSR) activities. We use a regression model based on secondary data sources. The study's samples used several industry categories listed on the Indonesian Stock Exchange between 2019 and 2021. We will use SPSS software for multiple linear regression data analysis to understand the connection between the three factors and CSR activity disclosure. The results showed that the size of the board of commissioners did not affect the company's CSR activity disclosure. In contrast, the size of the audit committee and CPA firms' reputations affected the company's CSR activity disclosure. This study implies that the CSR of CPA firms depends on two factors: i.e. their reputation and the audit committee size.

Author Biographies

Cynthia Glennisa, Accounting Department, Faculty of Business, Maranatha Christian University, Bandung

2257009@bus.maranatha.edu

Riki Martusa, Accounting Department, Faculty of Business, Maranatha Christian University, Bandung,

riki.martusa@eco.maranatha.edu

Meythi Meythi, Accounting Department, Faculty of Business, Maranatha Christian University, Bandung

meythi@eco.maranatha.edu

References

Adel, C., Hussain, M. M., Mohamed, E. K. A., & Basuony, M. A. K. (2019). Is Corporate Governance Relevant To The Quality Of Corporate Social Responsibility Disclosure In Large European Companies? International Journal of Accounting & Information Management, 27(2), 301–332. https://doi.org/10.1108/IJAIM-10-2017-0118.

Aditya, M., & Sinaga, I. (2021). Penentuan Pengungkapan Sustainability Report Dengan Gri Standar Pada Sektor Non Keuangan. GEMA : Jurnal Gentiaras Manajemen Dan Akuntansi, 13(1), 23–35. https://doi.org/10.47768/gema.v13i1.225.

Alfiani, D., & Nurmala, P. (2020). Pengaruh Ukuran Perusahaan, Profitabilitas, Solvabilitas, Dan Ukuran Kantor Akuntan Publik Terhadap Audit Delay. Jurnal ULTIMA Accounting, 9(2), 33–49. https://doi.org/10.31937/akuntansi.v9i2.728.

Bazhair, A. H. (2022). Audit Committee Attributes And Financial Performance Of Saudi Non-Financial Listed Firms. Cogent Economics & Finance, 10(1). https://doi.org/10.1080/23322039.2022.2127238.

Belinda, A., & Lahaya, I. A. (2022). Analisis Pengaruh Opini Audit Dan Ukuran Kantor Akuntan Publik Terhadap Harga Saham Dengan Ukuran Perusahaan Sebagai Variabel Pemoderasi Pada Perusahaan Sektor Keuangan Yang Terdaftar Di Bursa Efek Indonesia (Periode 2018-2020). Kinerja, 19(2), 316–326. https://doi.org/10.30872/jkin.v19i2.11168.

Buallay, A., & Al-Ajmi, J. (2020). The Role Of Audit Committee Attributes In Corporate Sustainability Reporting: Evidence From Banks In The Gulf Cooperation Council. Journal of Applied Accounting Research, 21(2), 249–264. https://doi.org/10.1108/JAAR-06-2018-0085.

Cahyaningsih, C., & Septyaweni, A. (2022). Corporate Social Responsibility Disclosure Before And During The Covid-19 Pandemic. Jurnal Akuntansi & Auditing Indonesia, 26(47), 11–22. https://doi.org/10.20885/jaai.vol26.iss1.art2.

Chen, C.-C., Khan, A., Hongsuchon, T., Ruangkanjanases, A., Chen, Y.-T., Sivarak, O., & Chen, S.-C. (2021). The Role Of Corporate Social Responsibility And Corporate Image In Times Of Crisis: The Mediating Role Of Customer Trust. International Journal of Environmental Research and Public Health, 18(16), 8275. https://doi.org/10.3390/ijerph18168275.

Dewi, I. G. A. A. O., & Premashanti, N. M. N. (2020). Pengaruh Reputasi Kantor Akuntan Publik, Keberadaan Komite Audit, Dan Prior Opinion Terhadap Pemberian Opini Audit Going Concern Pada Perusahaan Manufaktur Di Bursa Efek Indonesia. STATERA: Jurnal Akuntansi Dan Keuangan, 2(2), 133–142. https://doi.org/10.33510/statera.2020.2.2.133-142.

Dharmawan, R. D., & Hermawan, S. (2022). The Influence Of Board Of Commissioners Size, Company Size, And Profitability On Corporate Social Responsibility (CSR) Disclosures (Study On Pharmaceutical Companies Listed On The Indonesia Stock Exchange 2016-2019). Chinese Journal of Aeronautics, 14. https://doi.org/10.1016/S1000-9361(22)00214-X.

Fauzyyah, R., & Rachmawati, S. (2018). The Effect Of Number Of Meetings Of The Board Of Commissioners, Independent Commissioners, Audit Committee And Ownership Structure Upon The Extent Of CSR Disclosure. The Accounting Journal of Binaniaga, 3(02), 41. https://doi.org/10.33062/ajb.v3i2.232.

Haji, A. A., Coram, P., & Troshani, I. (2023). Consequences Of CSR Reporting Regulations Worldwide: A Review And Research Agenda. Accounting, Auditing & Accountability Journal, 36(1), 177–208. https://doi.org/10.1108/AAAJ-05-2020-4571.

Hapsari, D. P., Wijaya, H., & Umdiana, N. (2022). Pergantian Kantor Akuntan Publik: Analisis Berdasarkan Pergantian CEO Dan Opini Audit Modifikasi. JAK (Jurnal Akuntansi) Kajian Ilmiah Akuntansi, 9(2), 232–238. https://doi.org/10.30656/jak.v9i2.4810.

Harun, M. S., Hussainey, K., Mohd Kharuddin, K. A., & Farooque, O. Al. (2020). CSR Disclosure, Corporate Governance And Firm Value: A Study On GCC Islamic Banks. International Journal of Accounting & Information Management, 28(4), 607–638. https://doi.org/10.1108/IJAIM-08-2019-0103.

Hendrastuti, R., & Harahap, R. F. (2023). Agency Theory: Review Of The Theory And Current Research. Jurnal Akuntansi Aktual, 10(1), 85. https://doi.org/10.17977/um004v10i12023p085.

Kuswanto, R. (2019). Penerapan Standar Gri Dalam Laporan Keberlanjutan Di Indonesia: Sebuah Evaluasi. Jurnal Bina Akuntansi, 6(2), 1–21. https://doi.org/10.52859/jba.v6i2.59.

Martens, W., & Bui, C. N. M. (2023). An Exploration Of Legitimacy Theory In Accounting Literature. OALib, 10(01), 1–20. https://doi.org/10.4236/oalib.1109713.

Mei Rinta. (2021). Ukuran Dewan Direksi, Aktivitas Komite Audit Dan Ukuran Komite Audit Terhadap Manajemen Laba. Journal of Accounting Science, 5(1), 89–103. https://doi.org/10.21070/jas.v5i1.1336.

Mohammadi, S., Saeidi, H., & Naghshbandi, N. (2021). The Impact Of Board And Audit Committee Characteristics On Corporate Social Responsibility: Evidence From The Iranian Stock Exchange. International Journal of Productivity and Performance Management, 70(8), 2207–2236. https://doi.org/10.1108/IJPPM-10-2019-0506.

Nurwanti, S. R., & Uzliawati, L. (2023). Independent Commissioner, Firm Size, Financial Distress, Leverage And Konservatisme Akuntansi: Evidence Insurance and Finance Company in Indonesia. International Journal of Management Studies and Social Science Research, 05(02), 182–191. https://doi.org/10.56293/IJMSSSR.2022.4587.

Palit, N. G., & Sibilang, N. P. (2022). The Effect Of Profitability And Solvency On Audit Delay With Audit Tenure As Moderating Variables. Aksara: Jurnal Ilmu Pendidikan Nonformal, 8(2), 1439. https://doi.org/10.37905/aksara.8.2.1439-1456.2022.

Pertiwi, D. E., & Husaini, H. (2021). Ukuran Komite Komite Audit Dan Penerapan Manajemen Risiko. Jurnal Fairness, 7(3), 169–180. https://doi.org/10.33369/fairness.v7i3.15180.

Rezaei Pitenoei, Y., Safari Gerayli, M., & Khozein, A. (2022). Audit Committee And CSR Disclosure: Does The Gender Diversity Of Audit Committee Members Matter? Gender in Management: An International Journal, 37(7), 875–890. https://doi.org/10.1108/GM-03-2021-0055.

Rivandi, M., & Putra, R. J. (2021). Pengaruh Ukuran Perusahaan, Profitabilitas Dan Komite Audit Terhadap Pengungkapan Corporate Social Responsibility. Owner, 5(2), 513–524. https://doi.org/10.33395/owner.v5i2.468.

Sucahyati, D., Harymawan, I., & Nasih, M. (2022). Corporate Social Responsibility (CSR) Disclosure On Politically Connected-Family Firms. Journal of Accounting and Investment, 23(2), 281–309. https://doi.org/10.18196/jai.v23i2.14865.

Wang, Y., Yekini, K., Babajide, B., & Kessy, M. (2022). Antecedents Of Corporate Social Responsibility Disclosure: Evidence From The UK Extractive And Retail Sector. International Journal of Accounting & Information Management, 30(2), 161–188. https://doi.org/10.1108/IJAIM-08-2021-0158.

Widiyanti, M., Sadalia, I., Zunaidah, Irawati, N., & Hendrawaty, E. (2019). Determining Firm’s Performance: Moderating Role Of CSR In Renewable Energy Sector Of Indonesia. Polish Journal of Management Studies, 19(2), 432–441. https://doi.org/10.17512/pjms.2019.19.2.37.