Board of Directors Effectiveness, Integrated Reporting Quality, and Firm Risk

Rita Sugiarti, Ancella Anitawati Hermawan

2018

Abstract

IR is propose to "reform" corporate's financial statements, address the shortcomings in existing reporting practices and provides a better understanding of financial and non-financial information in an integrated manner. This study aims to provide empirical evidence on the role of IR quality in mediating the effect of board of director effectiveness on firm risk directly and indirectly. This study is a quantitative research and used panel data. The sampleswere used are 143 listed companies on the Johannesburg Stock Exchange (South Africa) with 4 years observation that is from 2014 to 2017. Structural Equation Model was used to analize data and test hypotheses. The results found that BOD effectiveness has a significant negative effect on firm risk but has not affect IR quality,andIR quality has not affects firm risk directly. This study also found that IR quality cannot mediate the effect of BOD effectiveness on firm risk. It is because the implementation of IR was only use to comply with regulatory requirements.

Paper Citation

in Harvard Style

Sugiarti R. and Anitawati Hermawan A. (2018). Board of Directors Effectiveness, Integrated Reporting Quality, and Firm Risk.In Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC, ISBN 978-989-758-387-2, pages 112-121. DOI: 10.5220/0008437401120121

in Bibtex Style

@conference{seabc18,
author={Rita Sugiarti and Ancella Anitawati Hermawan},
title={Board of Directors Effectiveness, Integrated Reporting Quality, and Firm Risk},
booktitle={Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC,},
year={2018},
pages={112-121},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0008437401120121},
isbn={978-989-758-387-2},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference - Volume 1: SEABC,
TI - Board of Directors Effectiveness, Integrated Reporting Quality, and Firm Risk
SN - 978-989-758-387-2
AU - Sugiarti R.
AU - Anitawati Hermawan A.
PY - 2018
SP - 112
EP - 121
DO - 10.5220/0008437401120121