Good corporate governance and corporate sustainability performance in Indonesia: A triple bottom line approach
Related Experiment Video
Updated: Aug 5, 2026

Transcript and Metabolite Profiling for the Evaluation of Tobacco Tree and Poplar as Feedstock for the Bio-based Industry
Published on: May 16, 2014
Bambang Tjahjadi1, Noorlailie Soewarno1, Febriani Mustikaningtiyas1
1Faculty of Economics and Business, Airlangga University, Indonesia.
Abstract:
This study aims to investigate the effect of good corporate governance (GCG) on corporate sustainability performance (CSP) using the Triple Bottom Line (TBL) approach in a two-tier GCG system. GCG is measured by the size and education background of board of commissioners (BoC) and top management team (TMT). CSP consists of economic, social, and environment sustainability performance. As many as 117 sample data were collected from the financial statements, annual reports and sustainability reports of non-financial companies listed on the Indonesia Stock Exchange (IDX) for the period of 2013-2017. Multiple regression analysis was employed to test the hypotheses studied with the following results. First, BoC education has a negative effect on economic and environmental sustainability performance and no effect on social sustainability performance. Second, BoC size has a positive effect on economic sustainability performance, a negative effect on social sustainability performance and no effect on environmental sustainability performance. Third, CEO's education has a negative effect on economic sustainability performance, and no effect on environmental and social sustainability performance. Fourth, TMT size has a negative effect on economic and environmental sustainability performance and no effect on social sustainability performance. Contributions, limitations and implications of the study are also discussed.
Related Concept Videos
Sustainable Development
Indicators
Ethical Standards I
The Code of Ethics provisions outline the nurse's duty to the patient, the healthcare team, the profession, and society. The Code's fundamental principles include advocacy,...
Ethical Standards II
Nurses are entrusted with upholding various ethical principles and standards. Nurses forge solid therapeutic relationships using trust, empathy, autonomy, confidentiality, and professional competence.
Confidentiality is crucial, embodying respect for individual privacy and...
Design Example: Sustainability in Concrete Building
There are multiple approaches to achieve sustainability in a commercial concrete building. For instance, construct a concrete parking area under the building, utilizing pervious concrete paver blocks in open areas to facilitate rainwater collection through an underground cistern.
Equity Theory