IDEAS home Printed from https://ideas.repec.org/a/eme/srjpps/v5y2009i2p212-226.html
   My bibliography  Save this article

The relationship between corporate social responsibility disclosure and corporate governance characteristics in Malaysian public listed companies

Author

Listed:
  • Roshima Said
  • Yuserrie Hj Zainuddin
  • Hasnah Haron

Abstract

Purpose - The purpose of this paper is to examine the relationship between corporate governance characteristics, namely the board size, board independence, duality, audit committee, ten largest shareholders, managerial ownership, foreign ownership and government ownership and the extent of corporate social responsibility disclosure. Design/methodology/approach - The content analysis was used to extract the CSR disclosure items from annual report and companies' web sites. Then, a CSR disclosure index was constructed after combining CSR disclosure items disclosed both in annual reports and in companies' web sites. Hierarchical regression analysis was used to examine the relationship between the corporate social disclosures index and the independent variables, namely the board size, board independence, duality, audit committee, ten largest shareholders, managerial ownership, foreign ownership and government ownership after statistically controlling the effects of a firm's size and the profitability of the companies. Findings - Results based on the full regression models indicated that only two variables were associated with the extent of disclosures, namely government ownership and audit committee. Government ownership and audit committee are positively and significantly correlated with the level of corporate social responsibility disclosure. The most significant variable that influences the level of CSR disclosure is government ownership. Research limitations/implications - The findings are limited to the context of the study and it was limited to Malaysian public listed companies, January to December 2006. The sources of data in this study were companies' annual reports and web sites only. Practical implications - The study is useful to organizations and statutory bodies to take into consideration in identifying the corporate governance characteristics that will enhance CSR disclosure, since it had been shown in previous studies that corporate social responsibility reporting in Malaysia is generally low. The government can determine how important it is that a company should be willing to allocate their costs towards corporate social responsibility activities. Thus, this study will emphasize the level of activities through corporate social responsibility reporting in Malaysian public listed companies and help the government to ascertain the level of corporate social responsibility activities through corporate social responsibility reporting among Malaysian public listed companies. Originality/value - The study reveals the extent of the disclosure of corporate social responsibility to companies web sites and constructed the CSR index based on two sources of data, namely companies' web sites and annual reports.

Suggested Citation

  • Roshima Said & Yuserrie Hj Zainuddin & Hasnah Haron, 2009. "The relationship between corporate social responsibility disclosure and corporate governance characteristics in Malaysian public listed companies," Social Responsibility Journal, Emerald Group Publishing, vol. 5(2), pages 212-226, June.
  • Handle: RePEc:eme:srjpps:v:5:y:2009:i:2:p:212-226
    as

    Download full text from publisher

    File URL: http://www.emeraldinsight.com/10.1108/17471110910964496?utm_campaign=RePEc&WT.mc_id=RePEc
    Download Restriction: Access to full text is restricted to subscribers

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Muhammad Aminu Isa & Sabo Muhammad, 2015. "The Impact of Board Characteristics on Corporate Social Responsibility Disclosure: Evidence from Nigerian Food Product Firms," International Journal of Management Science and Business Administration, Inovatus Services Ltd., vol. 1(12), pages 34-45, November.
    2. repec:gam:jsusta:v:10:y:2018:i:1:p:207-:d:127138 is not listed on IDEAS
    3. repec:gam:jsusta:v:10:y:2018:i:2:p:556-:d:132803 is not listed on IDEAS
    4. repec:gam:jsusta:v:9:y:2017:i:11:p:1934-:d:116389 is not listed on IDEAS
    5. repec:eee:advacc:v:30:y:2014:i:1:p:217-229 is not listed on IDEAS
    6. Sadia Majeed & Tariq Aziz & Saba Saleem, 2015. "The Effect of Corporate Governance Elements on Corporate Social Responsibility (CSR) Disclosure: An Empirical Evidence from Listed Companies at KSE Pakistan," International Journal of Financial Studies, MDPI, Open Access Journal, vol. 3(4), pages 1-27, November.
    7. repec:gam:jsusta:v:9:y:2017:i:6:p:1006-:d:101100 is not listed on IDEAS
    8. repec:exl:25engi:v:27:y:2016:i:1:p:98-108 is not listed on IDEAS
    9. Nahg Abdul Majid Alawi & Azhar Abdul Rahman & Azlan Amran & Mehran Nejati, 2016. "Does family group affiliation matter in CSR reporting? Evidence from Yemen," Afro-Asian Journal of Finance and Accounting, Inderscience Enterprises Ltd, vol. 6(1), pages 12-30.
    10. Kathyayini Rao & Carol Tilt, 2016. "Board Composition and Corporate Social Responsibility: The Role of Diversity, Gender, Strategy and Decision Making," Journal of Business Ethics, Springer, vol. 138(2), pages 327-347, October.
    11. repec:eee:jiaata:v:24:y:2015:i:c:p:13-28 is not listed on IDEAS
    12. Vicente Lima Crisóstomo & Fátima de Souza Freire & Felipe Cortes de Vasconcellos, 2011. "Corporate social responsibility, firm value and financial performance in Brazil," Social Responsibility Journal, Emerald Group Publishing, vol. 7(2), pages 295-309, July.
    13. Jean-michel Sahut & Medhi Mili & Sana Ben Tekaya & Frédéric Teulon, 2016. "Financial Impacts and antecedents of CSR: a PLS Path Modelling Approach," Economics Bulletin, AccessEcon, vol. 36(2), pages 736-751.
    14. Miras Rodríguez, María del Mar & Escobar Pérez, Bernabé, 2016. "Há Influência do ambiente institucional nas práticas de divulgação de RSC? O papel da governança," RAE - Revista de Administração de Empresas, FGV-EAESP Escola de Administração de Empresas de São Paulo (Brazil), vol. 56(6), November.
    15. repec:eee:riibaf:v:45:y:2018:i:c:p:512-528 is not listed on IDEAS
    16. repec:kap:jbuset:v:149:y:2018:i:2:d:10.1007_s10551-016-3099-5 is not listed on IDEAS
    17. Michiyuki Yagi & Katsuhiko Kokubu, 2017. "Introductory analysis of sustainable consumption and production: Factors of corporate social responsibility management in Japan," Discussion Papers 2017-19, Kobe University, Graduate School of Business Administration.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:srjpps:v:5:y:2009:i:2:p:212-226. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Louise Lister). General contact details of provider: http://www.emeraldinsight.com .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.