Pengaruh Good Corporate Governance (GCG ) Terhadap Kinerja Keuangan Perusahaan (Studi Pada Perusahaan Manufaktur Yang Terdaftar Di BEI Tahun 2017 – 2019)

Abstract

Good Corporate Governance (GCG) is a corporate management system designed to improve company performance, protect the interests of stakeholders and as an effort to comply with applicable laws and ethics. This study aims to determine whether there is an effect of Good Corporate Governance on Return On Assets (ROA) in manufacturing companies listed on the Indonesia Stock Exchange in the 2017-2019 period. This study uses a quantitative research method, the population in this study are companies listed on the Indonesia Stock Exchange in 2017 – 2019. This study uses a checklist of items consisting of 38 Corporate Governance disclosure items which are divided into 5 categories. The data obtained were analyzed using a simple linear regression method. In this study, the independent variable is the implementation of GCG, while the independent variable is ROA. The results of the research conclude that there is an effect of the implementation of Good Corporate Governance on financial performance (ROA). This is because companies with a good level of GCG implementation will be able to manage the company's management in a structured manner and have a good impact on increasing company assets.