Authors:

Dirgantara Dahana Mokoginta, Tauchita Ramadhania Agung

Abstract:

“This study aims to examine the effect of the characteristics of the risk committee as the supervisor of risk management activities on financial distress. The characteristics in question are the number of members, gender diversity, meeting attendance ratio, financial expertise of members, and independence of members. The analytical tool used is logistic regression. The results showed that the number of members, meeting attendance ratio, and independence had no significant effect on financial distress. Gender diversity has a negative effect on financial distress, and financial expertise has a positive effect on financial distress. The conclusion of this study is that women are better at monitoring and managing risk, so they can prevent financial distress, while financial expertise is not a relevant skill for monitoring and managing risk in non-financial companies. Keywords: Financial Distress; Risk Management; Agency Theory.”

Keywords

Financial Distress; Risk Management; Agency Theory.

Downloads:

Download data is not yet available.

References

  • Chou, H. I., Chung, H., & Yin, X. (2013). Attendance of board meetings and company performance: Evidence from Taiwan. Journal of Banking and Finance, 37(11), 4157–4171. https://doi.org/10.1016/j.jbankfin.2013.07.028
  • Chou, T.-K., & Buchdadi, A. D. (2017). Independent Board, Audit Committee, Risk Committee, the Meeting Attendance level and Its Impact on the Performance: A Study of Listed Banks in Indonesia. International Journal of Business Administration, 8(3), 24. https://doi.org/10.5430/ijba.v8n3p24
  • Elamer, A. A., & Benyazid, I. (2018). The impact of risk committee on financial performance of UK financial institutions. International Journal of Accounting and Finance, 8(2), 161. https://doi.org/10.1504/ijaf.2018.10014470
  • Jane Lenard, M., Yu, B., Anne York, E., & Wu, S. (2014). Impact of board gender diversity on firm risk. Managerial Finance, 40(8), 787–803. https://doi.org/10.1108/MF-06-2013-0164
  • Kallamu, B. S. (2015). Risk Management Committee Attributes and Firm Performance. International Finance and Banking, 2(2), 1. https://doi.org/10.5296/ifb.v2i2.8580
  • Kevin, A. (2018). Menyimak Timbunan Utang Perusahaan Bakrie. https://www.cnbcindonesia.com/market/20180118165115-17-1927/menyimak-timbunan-utang-perusahaan-bakrie
  • Kipkoech, S. R., & Rono, L. (2016). Audit Committee Size, Experience and Firm Financial Performance. Evidence Nairobi Securities Exchange, Kenya. Research Journal of Finance and Accounting, 7(15), 87–95. www.iiste.org
  • Kuo, K. C., Kweh, Q. L., Ting, I. W. K., & Azizan, N. A. (2017). Dynamic network performance evaluation of general insurance companies: an insight into risk management committee structure. Total Quality Management and Business Excellence, 28(5–6), 542–558. https://doi.org/10.1080/14783363.2015.1100516
  • Lin, Y. fen, Yeh, Y. M. C., & Yang, F. ming. (2014). Supervisory quality of board and firm performance: A perspective of board meeting attendance. Total Quality Management and Business Excellence, 25(3–4), 264–279. https://doi.org/10.1080/14783363.2012.756751
  • Malik, M. F., Zaman, M., & Buckby, S. (2020). Enterprise risk management and firm performance: Role of the risk committee. Journal of Contemporary Accounting and Economics, 16(1), 100178. https://doi.org/10.1016/j.jcae.2019.100178
  • Masulis, R. W., Wang, C., & Xie, F. (2012). Globalizing the boardroom-The effects of foreign directors on corporate governance and firm performance. Journal of Accounting and Economics, 53(3), 527–554. https://doi.org/10.1016/j.jacceco.2011.12.003
  • Perryman, A. A., Fernando, G. D., & Tripathy, A. (2016). Do gender differences persist? An examination of gender diversity on firm performance, risk, and executive compensation. Journal of Business Research, 69(2), 579–586. https://doi.org/10.1016/j.jbusres.2015.05.013
  • Pletzer, J. L., Nikolova, R., Kedzior, K. K., & Voelpel, S. C. (2015). Does gender matter? female representation on corporate boards and firm financial performance - A meta-analysis. PLoS ONE, 10(6), 1–20. https://doi.org/10.1371/journal.pone.0130005
  • Tao, N. B., & Hutchinson, M. (2013). Corporate governance and risk management: The role of risk management and compensation committees. Journal of Contemporary Accounting and Economics, 9(1), 83–99. https://doi.org/10.1016/j.jcae.2013.03.003
  • Tuan-Hock Ng, Lee-Lee Chong, & Hishamuddin Ismail. (2013). Is the risk management committee only a procedural compliance? An insight into managing risk taking among insurance companies in Malaysia. The Journal of Risk Finance, 14(1), 71–86. https://doi.org/DOI 10.1108/15265941311288112
  • Wu, Y. C., Kweh, Q. L., Lu, W. M., & Azizan, N. A. (2016). The impacts of risk-management committee characteristics and prestige on efficiency. Journal of the Operational Research Society, 67(6), 813–829. https://doi.org/10.1057/jors.2015.101

PDF:

https://jurnal.harianregional.com/akuntansi/full-85795

Published

2022-07-26

How To Cite

MOKOGINTA, Dirgantara Dahana; AGUNG, Tauchita Ramadhania. Pengawasan Manajemen Risiko dan Financial Distress dalam Agency Theory.E-Jurnal Akuntansi, [S.l.], v. 32, n. 7, p. 1675-1687, july 2022. ISSN 2302-8556. Available at: https://jurnal.harianregional.com/akuntansi/id-85795. Date accessed: 08 Jul. 2024. doi:https://doi.org/10.24843/EJA.2022.v32.i07.p01.

Citation Format

ABNT, APA, BibTeX, CBE, EndNote - EndNote format (Macintosh & Windows), MLA, ProCite - RIS format (Macintosh & Windows), RefWorks, Reference Manager - RIS format (Windows only), Turabian

Issue

Vol 32 No 7 (2022)

Section

Articles

Creative Commons License This work is licensed under a Creative Commons Attribution 4.0 International License