Kuat Waluyo Jati

This study examines the role of the risk management committee as a moderating variable. The risk management committee will moderate the relationship between firm size, profitability, ownership concentration, and the size of the Enterprise Risk Management (ERM) disclosure board. The study is based on agency theory, which discusses the relationship between management and company owners and shareholders. The research sample consisted of 56 manufacturing companies in Indonesia with 224 units of analysis obtained using the purposive sampling technique. It has been proven that the risk management committee can moderate the relationship between firm size and ERM disclosure and ownership concentration and ERM disclosure. Company size is known to affect the disclosure of risk management in a company. But ownership concentration shows different things, that is, it does not affect corporate risk management disclosures. The results also show that the risk management committee cannot moderate the relationship between profitability and the size of the board of commissioners on the company’s risk management disclosures. It has also not been proven that profitability and the size of the board of commissioners directly affect corporate risk management disclosures. Thus, it can be stated that the risk management committee plays a role in controlling the extent of the company’s risk management disclosures; this is necessary to maintain stakeholder trust in the company.

Earnings response coefficient (ERC) is one of the important things for companies and investors, as it reflects a company’s good value. The COVID-19 pandemic, which is happening globally, has greatly affected capital market conditions and companies in general. It is necessary to examine what factors affect ERC significantly to provide an overview to the company while maintaining the good name of the company. This study aims to analyze the effect of firm growth, leverage, information asymmetry, and systematic risk on ERC with dividend payout ratios as moderating on the Indonesia Stock Exchange and Singapore Stock Exchange. The study uses a quantitative approach with secondary data in the form of companies’ annual reports. Population was made up of food and beverage and tobacco manufacturing companies in 2018–2020. It consists of 38 JASICA index companies on IDX, and 33 SGX index companies on SGX. The results showed that, firstly, leverage and systematic risk had a significant negative effect on ERC. Second, firm growth and information asymmetry have no effect on ERC. Third, dividend payout ratio can weaken a positive influence of information asymmetry on ERC. Fourth, dividend payout ratio failed to moderate a positive effect of firm growth and a negative effect of leverage and systematic risk on ERC. All variables have no significant statistical difference between the two stock exchanges. These results indicate that a company must improve the performance and quality of information; pay attention to obligations, mitigate and manage risk to obtain optimal ERC.

Sustainability reporting reflects business contribution to sustainable development. Indonesia seeks to engage in sustainable development by assessing the companies using the PROPER scale. The study aims to determine whether environmental performance (assessed by the PROPER scale) affect sustainability reporting of companies in Indonesia. The research population includes companies listed on the Indonesia Stock Exchange that have published annual and sustainability reports within five consecutive years. This study employs WarpPLS to analyze data from 85 observations. The results show an increase in the disclosure of sustainability reports when the audit committee and the board of directors hold regular meetings. Companies without governance committees focus more on improving governance rather than disclosing sustainability reports. Environmental performance, when associated with the type of industry and governance committee, will increase sustainability reporting. However, a company with good environmental performance will make the audit committee and directors focus on other responsibilities because the community already understands that a company with a good PROPER rating properly manages its environmental impact and is aware of the importance of sustainable development. This study concludes that environmental performance measured by the PROPER scale positively affects sustainability reporting considering the type of industry, governance committee, audit committee, and board of directors of companies in Indonesia. The Indonesian government must support, facilitate, and encourage companies to achieve the gold category in the PROPER scale and promote higher disclosure of sustainability reports to contribute to sustainable development.

Sharia-compliant companies had to add Islamic Social Reporting when disclosing Corporate Social Responsibility information due to its characteristics. Sharia-compliant companies in Indonesia still do not do this much, and it is very interesting to study, because every sharia-based entity must comply with sharia provisions in all aspects of its activities, including when compiling social reporting. The purpose of this study is to analyze the influence of profitability, liquidity, leverage, and an Islamic Governance Score on Islamic Social Reporting in Islamic commercial banks in Indonesia. The sampling is carried out using a purposive sampling technique for up to 10 Islamic commercial banks with a six-year observation period, so there are 60 units of analysis. The data are collected using a documentation technique. The analysis in the study uses panel data regression. Based on a Random Effect Model, the study showed that profitability and leverage do not affect Islamic Social Reporting, while liquidity and the Islamic Governance Score had an impact on the Islamic Social Reporting.

Type of the article: Research Article

Abstract
Ensuring high-quality environmental disclosure has become a strategic concern for companies amid increasing public scrutiny and ongoing environmental degradation. This paper aims to examine the effect of environmental performance and corporate governance structure on the quality of environmental disclosure of manufacturing companies in Indonesia. Observations were made on 52 manufacturing companies that submitted annual and sustainability reports from 2020 to 2022. Panel data were analyzed using regression techniques. The empirical findings indicate that environmental performance, board size, board meeting frequency, multiple directorships, and the age of the youngest director have a positive and statistically significant impact on the quality of environmental disclosure. Specifically, environmental performance demonstrated a coefficient of 6.58 (p < 0.01), the age of the youngest director – 0.30 (p < 0.10), multiple directorships – 1.42 (p < 0.05), board size – 1.28 (p < 0.05), and board meeting frequency – 0.19 (p < 0.10). Conversely, director tenure exhibited a negative effect of 0.53 (p < 0.05). This study concludes that environmental performance and corporate governance are critical determinants of the quality of environmental disclosure in the context of Indonesian manufacturing companies. Overall, the study offers practical implications for regulators and corporate decision-makers seeking to improve environmental accountability and strengthen long-term stakeholder trust.