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The Role of Corporate Governance and Financial Performance on Financial Distress Heriyanto, Tyfani; Alie, Maria Septijantini; CN, Yudhinanto; Desmon , Desmon; Oktaria, Eka Travilta; Megasari , Megasari; Bakti, Umar
Journal of Multidisciplinary Academic and Practice Studies Vol. 4 No. 1 (2026): February
Publisher : Goodwood Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35912/jomaps.v4i1.3838

Abstract

Purpose: This study examines the influence of good corporate governance—comprising institutional ownership, the board of directors, the board of commissioners, independent commissioners, and the audit committee—on financial distress, with financial performance as an intervening variable in manufacturing companies listed on the Indonesia Stock Exchange during 2020–2024. Research Methodology: A quantitative approach using secondary data from the financial reports of 15 manufacturing companies over five years (75 samples) was applied. Purposive sampling was used, and data were analyzed to test both the direct and indirect effects of corporate governance components on financial distress through financial performance. Results: The findings show that all corporate governance components simultaneously affect financial distress. Specifically, institutional ownership, the board of commissioners, and the audit committee negatively and significantly influence financial distress, both directly and via financial performance. Meanwhile, the board of directors and independent commissioners positively and significantly affect financial distress, both directly and through financial performance. Conclusions: Good corporate governance plays a significant role in shaping financial distress, and financial performance acts as an important mediating mechanism. Certain governance elements can either mitigate or exacerbate financial distress depending on their influence. Limitations: This study is limited to manufacturing companies listed on the Indonesia Stock Exchange and focuses on selected governance indicators, excluding external economic or industry-specific factors. Contribution: The study provides empirical evidence on the role of corporate governance in financial distress and highlights the mediating function of financial performance, offering practical guidance for managers and investors to improve governance structures and enhance firm stability and performance.
The Effects of Competence, Work Experience, and the Work Environment on Employee Performance Hadi, Misran; WA, Armalia Reny; Hasbullah , Hasbullah; Surya, Andi; Desmon , Desmon; CN, Yudhinanto
Journal of Multidisciplinary Academic Business Studies Vol. 3 No. 2 (2026): February
Publisher : Goodwood Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35912/jomabs.v3i2.3884

Abstract

Purpose: The purpose of this study is to examine the individual and combined effects of competence, work experience, and the work environment on employee performance, particularly in public sector institutions where service quality and accountability are crucial.Method: The study utilized a quantitative research design, collecting primary data from all employees of the Way Tenong District Office in West Lampung Regency. A census (saturation sampling) approach was employed, where the entire population was included in the study sample. Hypotheses were tested using multiple linear regression analysis to assess both partial and simultaneous relationships between the variables. Results: The results indicate that competence, work experience, and the work environment have significant positive effects on employee performance. Additionally, the three variables together explained a substantial portion of the variance in employee performance. Conclusions: The study concludes that strengthening employee competencies, leveraging work experience, and creating a supportive work environment are key to enhancing employee performance in public sector organizations. Limitations: The study may have limitations in terms of its focus on a single district office, which may affect the generalizability of the findings to other regions or sectors. Contributions: This study contributes to the understanding of factors influencing employee performance in the public sector, providing valuable insights for improving the effectiveness of public sector institutions through targeted interventions in competence development, work experience, and work environment improvements.