PENGARUH MEKANISME CORPORATE GOVERNANCE TERHADAP KINERJA KEUANGAN PERUSAHAAN (Studi Empiris pada Perusahaan Manufaktur yang Terdaftar di Bursa Efek Indonesia)

Abstract

The purpose of this study is to examine the influence of corporate governance mechanisms to the company's financial performance. The dependent variable used in this study is company's financial performance which proxied by return on asset (ROA) and independent variable is corporate governance mechanism which proxies by size of the board of commissioners, size of the board of independent commissioners, size of the audit committee, size of the board of directors, managerial ownership, and institutional ownership. This study used secondary data from annual reports of manufacturing companies which listed on Bursa Efek Indonesia in 2010-2011. Sample were 110 manufacturing companies. This study used purposive sampling method and used multiple linear regression as the analysis instrument. Before being conducted the regression test, it was examined by using the classical assumption tests. The results of this study indicate that the size of the board of commissioners, size of the board of independent commissioners, size of the audit committee, and managerial ownership did not have significant influence to the company's financial performance. The size of the board of directors and institutional ownership have significant influence to the company's financial performance