1. Governance, political connections, state ownership, and tunneling. Study on the performance of Indonesian SOEs.
- Author
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Arifah, Siti, Rahmawati, Probohudono, Agung Nur, and Honggowati, Setianingtyas
- Subjects
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GOVERNMENT ownership , *JUDGMENT sampling , *TUNNEL design & construction , *FINANCIAL statements , *PERFORMANCE theory , *CORPORATION reports , *SOCIAL skills - Abstract
This research aims to provide empirical evidence regarding the influence of governance, political connections, state ownership, and tunneling on the performance of Indonesian SOEs. The data is obtained from the annual report published by the SOE. The population used in this study were all Indonesian SOEs with an observation period of 7 years from 2014 - 2020, totaling 700 years of data. The 2014-2020 period was chosen because the Presidential NAWACITA implementation period began in 2014. The sample was determined using a purposive sampling technique where SOEs have complete financial reports from 2014 to 2020, and SOEs have carried out performance assessments with the KPKU. The data were analyzed using multiple linear regression with the help of the Minitab application. The results of this study conclude that governance has a significant positive effect, state ownership has a significant negative influence, and political connections and tunneling do not affect the performance of Indonesian SOEs. The novelty of this study is the use of the KPKU to measure the performance of SOEs. Suggestions for further research are to be able to explore further the impact of the pandemic on the performance of SOEs related to the variables used in this study, where several phenomena occur in the presence of a pandemic. The implications of this research can be input for the government as the majority shareholder of SOEs as well as regulators so that the policies taken related to SOEs can still be directed to improve the performance of SOEs in maintaining their existence and reducing inefficiencies related to the economic and social functions of SOEs. The limitation of this study is that several SOEs do not publish their annual reports, and this research has not been able to provide further descriptions of the impact of the pandemic while the data used is during the pandemic. [ABSTRACT FROM AUTHOR]
- Published
- 2024
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