Articles

The Effect of Good Corporate Governance on Indications of Financial Statement Fraud in State-Owned Enterprises Listed on The Indonesian Stock Exchange for The 2020-2024 Period

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The purpose of this study was to analyze how Good Corporate Governance mechanisms, as represented by the the board of commissioners, audit committee, institutional ownership, and whistleblowing system, affect indications of financial statement fraud in state-owned enterprises listed on the Indonesia Stock Exchange during the 2020-2024 period. This research was conducted on state-owned enterprises listed on the Indonesia Stock Exchange. Data were obtained through the official website of the Indonesia Stock Exchange at www.idx.com. The sampling technique used was purposive sampling, resulting in a sample of 17 state-owned enterprises listed on the Indonesia Stock Exchange during the 2020-2024 period. The analysis was carried out using panel data multiple linear regression with the assistance of  EViews statistical software. The results of this study indicate that the audit committee variable has an effect on indications of financial statement fraud. Meanwhile, the board of commissioners, institutional ownership, and whistleblowing system variables do not have a significant effect on indications of financial statement fraud.

The Effect of Financial Performance and Ownership Structure on Financial Distress with Good Corporate Governance as a Moderating Variable in Non-Regional Government Conventional Banks

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This study aims to analyze the effect of financial performance and ownership structure on financial distress, with Good Corporate Governance (GCG) as a moderating variable in non-regional government conventional banks in Indonesia during the 2019-2024 period. Employing a quantitative approach with panel data regression analysis on 17 banks listed on the Indonesia Stock Exchange, the results indicate that financial performance has a significant effect on financial distress, while ownership structure does not have a significant effect. Furthermore, GCG is proven to moderate the relationship between financial performance and financial distress; however, it does not moderate the effect of ownership structure on financial distress. These findings emphasize the importance of implementing GCG principles in strengthening financial performance and mitigating the risk of financial distress in the conventional banking sector.

The Evaluation of The Impact of Improving GCG Quality on PT Holding X’s Performance

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Based on the Decree of the Minister of SOE No Kep-117/M-MBU/2002 concerning the Implementation of Good Corporate Governance Practices in State-Owned Enterprises it is stated that SOEs are required to implement GCG consistently and sustainably. PT Holding X as a subsidiary of the leading SOE in the field of information, technology, and telecommunications in Indonesia are aware of the importance of implementing GCG. They believes that by implementing GCG, the overall performance of the company will grow positively. Thus, the company decided to improve its GCG quality in period 2021, yet the company has not conduct a full assessment on the impact of improving GCG quality on company performance. The goal of this research is to analyse the impact of increasing good corporate governance practices on performance at PT Holding X. This study will look at good corporate governance practices based on Ministerial Regulation Number Per-01/MBU/ 2011 concerning the Implementation of GCG in SOEs which links the results of the GCG assessment and the company’s achievements to the KPIs previously determined by the company. This study will use performance measurements based on the 4 perspectives of the balanced scorecard. There was an increase in the quality of GCG at PT Holding X by 26.32% and an increase in the performance of PT Holding X by 14.72%. This score indicates that there is a positive impact from improving the quality of GCG on improving company performance, this results is in line with the expectation of the company based on previous research results.

Enterprise Risk Management (ERM) Practices to Achieve Long Term and Sustainable Organization’s Goals: Case of Institut Teknologi Bandung (ITB)

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Every choice made in the pursuit of objectives has its risks. From day-to-day operational decisions to the fundamental trade-offs in the boardroom, dealing with uncertainty in these choices is a part of the organizational lives. A strategy is nothing more than a commitment to a set of coherent, mutually reinforcing policies or behaviours aimed at achieving a specific competitive goal. In order to ensure the implementation of efforts and the allocation of resources to achieve strategic goals, top management should conduct integrated risk management practices to all activities/initiatives of the organization’s management, both individually and collectively. Risk management is an intrinsic part of business planning and decision making. No direction is taken without looking at the potential risks and comparing them against the organization’s risk appetite.
This paper aims to research in general the practice of enterprise risk management within Institut Teknologi Bandung (ITB) as a well-known and public-state-owned university in Indonesia. This research concludes that the enterprise risk management implementation is not fully implemented yet within ITB as an enterprise. Almost all respondents agree that the implementation of enterprise risk management has a positive and significant influence on the organization’s objectives achievement. Improving university performance overall will require an effective enterprise risk management practice. Author highly recommends ITB to adopt risk management practice based on ISO-31000 standard, and it can be combined with other risk management standards available nowadays if necessary. ITB needs to start the implementation at the soonest as possible, in order to maintain its strategic position as a top university in Indonesia, increase its competitive advantages to compete in the global scale, and at the same time achieving its vision and mission in a long-term and sustainable manner.