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How the Size of the Independent Commissioners and Board of Commissioners Affects Profitability

Author

Listed:
  • Maria Novita Olin

    (Universitas Insan Pembangunan Indonesia)

  • Dwi Purwaningrum

    (Universitas Insan Pembangunan Indonesia)

  • Adiyanto

    (Universitas Insan Pembangunan Indonesia)

  • Joswin Simaremare

    (Universitas Insan Pembangunan Indonesia)

Abstract

This study aims to investigate the effect of board size and independent commissioners on profit. Company financial reports from 2019 to 2023 serve as the data source; as a result, the data collection method is secondary. State-owned businesses (SOEs) are included in the study sample. Multiple linear regression is the statistical test that is employed. According to the statistical study's conclusions, board size partially boosts profitability. In the meantime, profitability is not somewhat improved by independent commissioners.

Suggested Citation

  • Maria Novita Olin & Dwi Purwaningrum & Adiyanto & Joswin Simaremare, 2025. "How the Size of the Independent Commissioners and Board of Commissioners Affects Profitability," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(9), pages 1091-1097, September.
    • Handle: RePEc:bcp:journl:v:9:y:2025:issue-9:p:1091-1097
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    References listed on IDEAS

    as
    1. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    2. Johanna Palmberg, 2015. "The performance effect of corporate board of directors," European Journal of Law and Economics, Springer, vol. 40(2), pages 273-292, October.
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