The Effect of Gender Diversity on Governance Structure on the Sustainability Disclosure Level and Its Impact on the Firm Value (Empirical Study of Public Companies Listed on the Indonesia Stock Exchange for 2016-2020 Period)

Authors

  • Ismaya Aji Master of Accounting Program, Faculty of Economics and Business, Universitas Mercu Buana Jakarta, Indonesia
  • Ronny Andesto Master of Accounting Program, Faculty of Economics and Business, Universitas Mercu Buana Jakarta, Indonesia

DOI:

https://doi.org/10.31933/dijemss.v4i1.1491

Keywords:

Gender Diversity, Governance Structure, Level of Sustainability Disclosure, Company Value

Abstract

This study aims to determine the effect of gender diversity on governance structure on the sustainability disclosure level and its impact on firm value. The research population is public companies listed on the Indonesia Stock Exchange (IDX) for the 2016-2020 period. sample determination using the purposive sampling method. Sampling using a purposive sampling method. Based on the criteria, as many as 40 public companies were selected as samples with a total of 200 data. The data analysis method used multiple linear regression analysis with software STATA v.16.0. The test results show that gender diversity in the governance structure of the board of directors, the audit committees, and the board of commissioners has no significant effect on the sustainability disclosure level. Meanwhile, only the gender diversity of the audit committees has a significant effect on firm value, while the gender diversity of the board of directors and the board of commissioners do not affect the firm value. The results also show that the sustainability disclosure level is not able to mediate the effect of gender diversity on the governance structure of the board of directors, the board of commissioners, and the audit committees to the firm value.

References

Abdullah, Sh. N., Ismail, K. N. I. K., and Nachum, L. 2016. Does having women on boards create value? The impact of societal perceptions and corporate governance in emerging markets. Strategic Management Journal, 37: 466–476. DOI: 10.1002/smj.2352

Abriyani, D. R., Wiryono, S. K., and Sumirat, E. 2012. The Effect Of Good Corporate Governance And Financial Performance On The Corporate Social Responsibility Disclosure Of Telecommunication Company In Indonesia. The Indonesian Journal of Business Administration. Vol. 1, No. 5, 2012: 296-300

Acker, J. 2004. Gender, Capitalism, and Globalization. Working Paper. Critical Sociology. 30(1), 17-41.

Adel, C., Hussain, M. H., Mohamed, E. K. A., and 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. Vol.27, Issue.2, DOI https://doi.org/10.1108/IJAIM-10-2017-0118

Agustin, S. M., dan Andayani. 2020. Pengaruh Gender Dewan Komisaris, Struktur Kepemilikan Dan Family Control Terhadap Nilai Perusahaan. Jurnal Ilmu dan Riset Akuntansi. Vol. 9, No. 11.

Alfaruq, A. 2021. Indonesia Tertinggal di Bidang ESG. Diakses pada 30 Maret 2021 dari Investor.id Web: https://investor.id/market-and-corporate/242891/indonesia-tertinggal-di-bidang-esg

Andesto, R., & Saebani, A. 2020. The Impact of Firm Characteristics on Sustainability Disclosure and Firm Value (Empirical Evidence from the Indonesia Stock Exchange). International Journal of Law and Management. Vol. 62. No. 4. pp. 339-354. DOI 10.1108/IJLMA-08-2017-0197

Anggraeni, D. Y. and Djakman, C. D. 2017. Slack Resources, Feminisme Dewan dan Kualitas Pengungkapan Tanggung Jawab Sosial Perusahaan. Jurnal Akuntansi dan Keuangan Indonesia, Vol. 14, No. 1: 94 – 118.

Anna, Y. D. 2020. Board gender diversity, sustainability disclosure, and firm value: evidence in Indonesia. South East Asia Journal of Contemporary Business, Economics, and Law. Vol. 23, Issue 1 (Dec) ISSN 2289-1560

Appuhami R., and dan Tashakor, S. 2017. The impact of audit committee characteristics on CSR disclosure: an analysis of Australian firms. Journal of Australian Accounting Review, No. 00, Vol. 00, Issue 0, DOI: 10.1111/auar.12170 1

Arayssi, M., Dah, M. and Jizi, M. 2016. Women on boards, sustainability reporting, and firm performance. Sustainability Accounting, Management and Policy Journal, Vol. 7 Iss 3 pp. http://dx.doi.org/10.1108/SAMPJ-07-2015-0055

Bae, S. M., Masud, Md. A. K., and Kim, J. D. 2018. A Cross-Country Investigation of Corporate Governance and Corporate Sustainability Disclosure: A Signaling Theory Perspective. Journal of Sustainability, 10(8, 2611. https://doi.org/10.3390/su10082611

Bear, S., Rahman, N. and Post, C. 2010. The impact of board diversity and gender composition on corporate social responsibility and firm reputation. Journal of Business Ethics. 97:207–221. DOI 10.1007/s10551-010-0505-2

Byron, K. and Post, C. 2016. Women on boards of directors and corporate social performance: A meta-analysis. Corporate governance: An International Review. Doi:10.1111/corg.12165.

Cicchiello, A. F., Fellegara, A. M., Kazemikhasragh, A., and Monferrà, S. 2021. Gender diversity on corporate boards: How Asian and African women contribute on sustainability reporting activity. Gender in Management; An International Journal Emerald Publishing Limited; 1754-2413; Vol.36, Issue.8, DOI 10.1108/GM-05-2020-0147

Cromie, S. 1981. Women as managers in Northern Ireland. Journal of Occupational Psychology, 54: pp. 87-91.

Cromie, S., and Hayes, J. 1988. Towards a typology of female entrepreneurs. Sociological Review, 36: 87-113.

Davidson, M. and Cooper. 1983. Stress and the Woman Manager, Oxford: Martin Robertson.

Dewi, L. G. K., dan Dewi, A. A. 2016. Pengaruh diversitas dewan komisaris dan direksi pada nilai perusahaan pada perusahaan sektor keuangan yang terdaftar di Bursa Efek Indonesia tahun 2009-2013. E-Jurnal Akuntansi Universitas Udayana, Vol.16, No.1, p: 812-836

Fatchan, I. N., dan Trisnawati, R. 2016. Pengaruh good corporate governance pada hubungan antara sustainability report dan nilai perusahaan (Studi empiris perusahaan Go Public di Indonesia Periode 2014-2015). Riset Akuntansi dan Keuangan Indonesia. DOI: https://doi.org/10.23917/reaksi.v1i1

Global Sustainability Standards Board (GSBB). 2016. GRI 101 – Landasan. Diakses pada 30 Juli 2022 dari GRI Standard https://www.globalreporting.org/standards/media/1529/bahasa-indonesia-gri-101-foundation-2016.pdf

Hadya, R. and Susanto, R. 2018. Model hubungan antara keberagaman gender, pendidikan dan nationality dewan komisaris terhadap Pengungkapan corporate social responsibility. Jurnal Benefita 3(2) Juli 2018 (149-160). Kopertis Wilayah X 149. DOI : 10.22216/jbe.v3i2.3432

Hapsari, T.T. 2022. Jumlah Perempuan dalam Posisi Eksekutif di 200 Perusahaan Tercatat Masih Minim. Diakses pada 30 Juli 2022 dari ibcwe.id Web: https://www.ibcwe.id/event/dets/261

Harun, M. S., Hussainey, K., Kharuddin, K. A. M., and Al Farooque, O. 2020. CSR Disclosure, Corporate Governance and Firm Value: a study on GCC Islamic Banks. International Journal of Accounting & Information Management. DOI 10.1108/IJAIM-08-2019-0103

Huang, H., Yan, Y., Fornaro, J. M., and Elshahat, A. 2011. Market reactions to audit committee director’s gender: evidence from US-traded foreign firms. The International Journal of Banking and Finance, Vol. 8, Number 1, March 2011: 59-75. DOI:10.32890/ijbf2011.8.1.8421

Hunt, P. 1983. Gender and Class Consciousness, London: Macmillan.

Isnalita, and Narsa1, I. M. 2017. CSR disclosure, customer loyalty, and firm values (Study at mining company listed in Indonesia Stock Exchange). Asian Journal of Accounting Research; Vol. 2 Issue: 2, pp.8-14, https://doi.org/10.1108/AJAR-2017-02-02-B002

Jizi, M. 2017. The influence of board composition on sustainable development disclosure Business Strategy and the Environment. Journal of Business Strategy. Environmental; wileyonlinelibrary.com, DOI: 10.1002/bse.1943

Juwita, N. and Honggowati, S. 2022. Corporate board diversity and sustainability reporting: empirical evidence from Indonesia before and during COVID-19. Journal of Accounting and Investment Vol. 23 No. 1, DOI: 10.18196/jai.v23i1.12767

Mahmood, Z., Kouser, R., Ali, W., Ahmad, Z., and Salman, S. 2018. Does corporate governance affect sustainability disclosure? a mixed methods study. Sustainability Journal, Vol.10, Issue.1, 207; DOI:10.3390/su10010207; www.mdpi.com/journal/sustainability

Mintah, P. A. and Schadewitz , H. 2019. Gender diversity and firm value: evidence from UK financial institutions. International Journal of Accounting & Information Management, Vol. 27. No. 1, pp. 2-26, https://doi.org/10.1108/IJAIM-06-2017-0073

Nengzih 2019. The Role of corporate governance to integrated reporting (Survey on Indonesia’s State-Owned Enterprises/SOEs). Saudi Journal of Economics and Finance (Saudi J Econ Fin); DOI:10.21276/sjef.2019.3.8.1

OJK. 2015. Peraturan Otoritas Jasa Keuangan Nomor: 55/POJK.04/2015 tentang Pembentukan Dan Pedoman Pelaksanaan Kerja Komite Audit. OJK. Jakarta

Parashakti, R. D. 2015. Perbedaan gaya kepemimpinan dalam perspektif maskulin dan feminine. Jurnal Ilmiah Manajemen dan Bisnis. Volume 1, Nomor 1.

Purnamawati, I. G. A., Yuniarta, G. A., dan Astria, P. A. 2017. Good Corporate Governance Dan Pengaruhnya Terhadap Nilai Perusahaan Melalui Corporate Social Responsibility Disclosure. Jurnal Keuangan dan Perbankan, 21 (2): 276–286.

Qureshi, M. A., Kirkerud,S., Theresa, K., and Ahsan, T. 2019. The impact of sustainability (environmental, social, and governance disclosure and board diversity on firm value: The moderating role of industry sensitivity. Journal of Business Strategy & Environment; 1–16, DOI: 10.1002/bse.2427; wileyonlinelibrary.com/journal/bse

Reed, W. R and Ye, H. (2011). Which panel data estimator should I use?. In Applied Economics at: https://www.researchgate.net/publication/227346986. DOI: 10.1080/00036840802600087

Siregar, N.F dan Nuzula, N.F. 2020 Pengaruh corporate governance dan profitabilitas terhadap nilai perusahaan (studi pada perusahaan pertambangan yang terdaftar di Bursa Efek Indonesia Periode 2016-2018). Jurnal Administrasi Bisnis (JAB) Vol. 79 No. 1. administrasibisnis.studentjournal.ub.ac.id

Sonia, D., and Khafid, M. 2020. The Effect of liquidity, leverage, and audit committee on sustainability report disclosure with profitability as a mediating variable. Accounting Analysis Journal; Vol.9, Issue.2, 95-96; DOI 10.15294/aaj.v9i2.31060;

Threlfall, R., King, A., Shulman, J., and Bartels, W. 2020. The time has come: The KPMG Survey of Sustainability Reporting 2020. Diakses pada 30 Juli 2022 dari KPMG International entities. Web: home.kpmg/sustainabilityreporting (hlm.10)

Published

2022-11-30

How to Cite

Aji, I., & Ronny Andesto. (2022). The Effect of Gender Diversity on Governance Structure on the Sustainability Disclosure Level and Its Impact on the Firm Value (Empirical Study of Public Companies Listed on the Indonesia Stock Exchange for 2016-2020 Period). Dinasti International Journal of Education Management And Social Science, 4(1), 83–95. https://doi.org/10.31933/dijemss.v4i1.1491