THE IMPACT OF POLITICAL TIES, FAMILY OWNERSHIP AND BOARD POSITIONS ON GOOD GOVERNANCE: A LITERATURE REVIEW
##plugins.themes.EpsilonTheme.article.main##
Agustina Wahyu Widyaningrum*
Fajar Gustiawaty Dewi
Usep Syaipudin
This article explores the evolution of corporate governance in Indonesia through literature review approach. The article accentuates the pivotal role of political connections in surmounting external challenges, while vigilantly recognizing potential risks, such as manipulated financial reporting aligned with the interests of controlling shareholders. Within the realm of family-owned enterprises, where familial influence often permeates key leadership roles, the centralized nature of family ownership introduces complexities in decision-making, necessitating a careful examination of policy quality to attain organizational objectives. In its conclusion, the study also underscores the perpetual necessity for transparent practices, stringent regulatory enforcement, and ethical governance. The intricate interplay between ownership structures, political affiliations, and corporate performance emerges as a crucial focal point for fostering enduring prosperity and resilience within the landscape of Indonesian businesses.
Abdallah, A. A.-N., & Ismail, A. K. (2017). Corporate governance practices, ownership structure, and corporate performance in the GCC countries. Journal of International Financial Markets, Institutions and Money, 46, 98–115. https://doi.org/10.1016/j.intfin.2016.08.004
Annisa, S., Rizal, M., & Herawaty, T. (2021). Studi Literatur: Implementasi Good Corporate Governance Pada Bisnis Keluarga. Jurnal Ilmiah Manajemen dan Bisnis, 6(2), 72–83. https://doi.org/10.38043/jimb.v6i2.3206
Chou, T.-K., Buchdadi, A. D., & State University of Jakarta, Indonesia. (2018). Executive’s compensation, good corporate governance, ownership structure, and firm performance: A study of listed banks in Indonesia. Journal of Business & Retail Management Research, 12(03). https://doi.org/10.24052/JBRMR/V12IS03/ART-07
Kirana, D. J., & Ermawati, E. (2017). Peranan Corporate Governance Dalam Meningkatkan Kinerja Perusahaan Family Ownership Di Indonesia. Prosiding SNaPP: Sosial, Ekonomi dan Humaniora, 7(2), 493-499.Lozano, M. B., Martínez, B., & Pindado, J. (2016). Corporate governance, ownership and firm value: Drivers of ownership as a good corporate governance mechanism. International Business Review, 25(6), 1333–1343. https://doi.org/10.1016/j.ibusrev.2016.04.005
Indaryanto, K.G. 2004, Konsepsi Good corporate governance, dalam Suprayitno, G., Indaryanto, K.G, Yasni, S., Krismatono, D., Rita, L., dan Rahayu, R.G., Komitmen Menengakkan Good corporate governance, The Indonesian Institute for corporate governance, Jakarta, Indonesia.
Ningrum, L. C., & Setiawati, E. (2022). Kepemilikan Keluarga, Hubungan Politik, dan Family Aligned Board Terhadap Implementasi Tata Kelola Perusahaan. 6(1).
Rizqiani, A., Palutturi, S., & Noor, N. B. (2020). Implementation of Good Hospital Corporate Governance (GCG) in Makassar, Indonesia. International Journal of Innovation, 12(7).
Sanjaya, I. P. S., Brahmana, R. K., & Setiawan, W. Y. (2022). Family Ownership and Corporate Performance. Jurnal Akuntansi Dan Pajak, 22(2), 636. https://doi.org/10.29040/jap.v22i2.3202
Setiawati, E., Putri, E., & Nisa, N. (2022). Implementation of corporate governance, family ownership, and family-aligned board: Evidence from Indonesia. Problems and Perspectives in Management, 20(4), 14–23. https://doi.org/10.21511/ppm.20(4).2022.02
Syarifah, N. D. (2019). The Influence Of Family Ownership, Family Aligned Board, and Political Connection Toward the Implementation of Good Corporate Governance in Banking Industry. Doctoral Dissertation, STIE Perbanas Surabaya), 77, 6000.
Utamaningsi, L. 2020. Perusahaan Keluarga, Koneksi Politik & Kinerja Perusahaan. Jurnal Ilmiah Universitas Batanghari Jambi, 20(1), Februari 2020, pp.68-73
