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The Influence of Corporate Governance on The Intellectual Capital Disclosure: A Study on Indonesian Private Banks

Author

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  • Tulung, Joy Elly
  • Saerang, Ivonne Stanley
  • Pandia, Stevanus

Abstract

The release of bank’s intellectual capital is one of the important elements of bank’s annual report. Although it is not presented adequately in the annual reports, voluntary disclosure of bank’s intellectual capital relatively represents the response to the needs of greater information for the users. This research aims to see the influence of corporate governance on the intellectual capital disclosure, a case study on private banks in Indonesia. The variables to be examined in the research include the composition of independent commissioners as well as the competence of audit committee and risk oversight committee. The samples were taken using purposive sampling, considering particular criteria. As many as 62 banks are selected to be taken as research samples. The data were analyzed using multiple linear regression analysis method. The result of partial test shows that the composition of independent committee has positive and significant influences on intellectual capital disclosure; competence of audit committee has positive and significant on the intellectual capital disclosure; and competence of risk oversight committee does not influence the intellectual capital disclosure. meanwhile, the result of simultaneous test shows that the composition of independent committee, competence of audit committee, and the competence of risk oversight committee significantly influence the intellectual capital disclosure.

Suggested Citation

  • Tulung, Joy Elly & Saerang, Ivonne Stanley & Pandia, Stevanus, 2018. "The Influence of Corporate Governance on The Intellectual Capital Disclosure: A Study on Indonesian Private Banks," MPRA Paper 118728, University Library of Munich, Germany, revised 29 Oct 2018.
    • Handle: RePEc:pra:mprapa:118728
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    References listed on IDEAS

    as
    1. Haniffa, R.M. & Cooke, T.E., 2005. "The impact of culture and governance on corporate social reporting," Journal of Accounting and Public Policy, Elsevier, vol. 24(5), pages 391-430.
    2. Tulung, Joy Elly & Ramdani, Dendi, 2015. "The Influence of Top Management Team Characteristics on BPD Performance," MPRA Paper 79906, University Library of Munich, Germany, revised 2016.
    3. Jing Li & Richard Pike & Roszaini Haniffa, 2008. "Intellectual capital disclosure and corporate governance structure in UK firms," Accounting and Business Research, Taylor & Francis Journals, vol. 38(2), pages 137-159.
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    Cited by:

    1. Fiaz Ahmad Sulehri & Hafiz Muhammad Ahsan Khan & Mujahid Shahzad & Amjad Ali, 2023. "Beyond the Balance Sheet: Analyzing the Relationship between Corporate Governance, Financial Performance, and Stock Prices in Pakistan's Non-Bank Financial Industry," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 12(4), pages 88-95.
    2. Fiaz Ahmad Sulehri & Hafiz Muhammad Ahsan Khan & Mujahid Shahzad & Amjad Ali, 2023. "Beyond the Balance Sheet: Analyzing the Relationship between Corporate Governance, Financial Performance, and Stock Prices in Pakistan's Non-Bank Financial Industry," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 12(4), pages 88-95.
    3. Mohammad Ahsan Uddin & Mir Misnad Sultana, 2024. "Does Corporate Governance Affect Intellectual Capital Disclosure Practices?," International Journal of Science and Business, IJSAB International, vol. 41(1), pages 34-55.

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    More about this item

    Keywords

    Indonesian Banking; Corporate Governance; Intellectual Capital Disclosure; Indonesia;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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