The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market

This study aimed to examine the effect of an independent board of commissioners, public accountant reputation, and public ownership proportion on social disclosure which is the purpose of the agency and legitimacy theory testing. It was carried out on the energy, manufacturing, and basic material co...

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Main Authors: Nor Hadi, Adelina Citradewi, Ifada Retno Ekaningrum, Agus Triyani, Suhita Whini Setyahuni
Format: Article
Language:Indonesian
Published: Universitas Dian Nuswantoro 2025-03-01
Series:Jurnal Penelitian Ekonomi dan Bisnis
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Online Access:https://publikasi.dinus.ac.id/index.php/jpeb/article/view/11933
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author Nor Hadi
Adelina Citradewi
Ifada Retno Ekaningrum
Agus Triyani
Suhita Whini Setyahuni
author_facet Nor Hadi
Adelina Citradewi
Ifada Retno Ekaningrum
Agus Triyani
Suhita Whini Setyahuni
author_sort Nor Hadi
collection DOAJ
description This study aimed to examine the effect of an independent board of commissioners, public accountant reputation, and public ownership proportion on social disclosure which is the purpose of the agency and legitimacy theory testing. It was carried out on the energy, manufacturing, and basic material companies listed on the Indonesian stock exchange in 2021. The sample of this study were 55 companies selected using a purposive random sampling technique. Sample were selected based on the criteria of CSR reporting availability. The ordinary least square was used to test the hypotheses. The testing result showed that public accountants and the proportion of share ownership by the public have a significant effect on social disclosure. This is due to the existence of public accountants and diversified ownership by the public increasing the supervision; as there is a quality assurance and the involvement of several parties in supervision. However, this research proved that the independent board of commissioners does not have a significant effect on social disclosure. This is because, in developing countries such as Indonesia, the role and function as well as compromising attitudes towards CEOs often take place. The distinction of this research showed that problems of agency and legitimacy theory often takes place due to permissiveness, politeness, and reluctance culture which extends to professional work matters. This study has limitations in variable measurement. Therefore, further studies should measure other variables related to the effectiveness of monitoring
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series Jurnal Penelitian Ekonomi dan Bisnis
spelling doaj-art-6ec4d43453ef4559887514e9c8458fef2025-08-20T02:56:02ZindUniversitas Dian NuswantoroJurnal Penelitian Ekonomi dan Bisnis2442-50282460-42912025-03-0110110011310.33633/jpeb.v10i1.1193317440The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging MarketNor Hadi0Adelina Citradewi1Ifada Retno Ekaningrum2Agus Triyani3Suhita Whini Setyahuni4Faculty of Economic and Business, IAIN Kudus, Central Java Faculty of Economic and Business, IAIN Kudus, Central Java Faculty of Economic and Business, Wahid Hasyim University, Central JavaFaculty of Economic and Business, Wahid Hasyim University, Central JavaFaculty of Economics and Business, Dian Nuswantoro University, Central JavaThis study aimed to examine the effect of an independent board of commissioners, public accountant reputation, and public ownership proportion on social disclosure which is the purpose of the agency and legitimacy theory testing. It was carried out on the energy, manufacturing, and basic material companies listed on the Indonesian stock exchange in 2021. The sample of this study were 55 companies selected using a purposive random sampling technique. Sample were selected based on the criteria of CSR reporting availability. The ordinary least square was used to test the hypotheses. The testing result showed that public accountants and the proportion of share ownership by the public have a significant effect on social disclosure. This is due to the existence of public accountants and diversified ownership by the public increasing the supervision; as there is a quality assurance and the involvement of several parties in supervision. However, this research proved that the independent board of commissioners does not have a significant effect on social disclosure. This is because, in developing countries such as Indonesia, the role and function as well as compromising attitudes towards CEOs often take place. The distinction of this research showed that problems of agency and legitimacy theory often takes place due to permissiveness, politeness, and reluctance culture which extends to professional work matters. This study has limitations in variable measurement. Therefore, further studies should measure other variables related to the effectiveness of monitoringhttps://publikasi.dinus.ac.id/index.php/jpeb/article/view/11933social responsibilityindependent board of directorspublic accountantpublic ownership proportionlegitimacysocial disclosure
spellingShingle Nor Hadi
Adelina Citradewi
Ifada Retno Ekaningrum
Agus Triyani
Suhita Whini Setyahuni
The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market
Jurnal Penelitian Ekonomi dan Bisnis
social responsibility
independent board of directors
public accountant
public ownership proportion
legitimacy
social disclosure
title The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market
title_full The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market
title_fullStr The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market
title_full_unstemmed The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market
title_short The Role of the Independent Board of commissioners, Ownership, and Accountant Reputation on Social Disclosure: Case of Emerging Market
title_sort role of the independent board of commissioners ownership and accountant reputation on social disclosure case of emerging market
topic social responsibility
independent board of directors
public accountant
public ownership proportion
legitimacy
social disclosure
url https://publikasi.dinus.ac.id/index.php/jpeb/article/view/11933
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