Analysis Firm Size, Bod’s, Coso Erm on Companies Financial Performance: Compass Index 100
Abstract
This study aims to analyze the determinants of the Company's Financial Performance on Issuers of the Kompas 100 Index with the Implementation of the COSO Enterprise Risk Management Model as an Intervening variable. The determinant variable of the company's financial performance consists of the size of the company and the number of the board of directors. Based on previous research, there is a Research Gap from the results of the research provided so that researchers are interested in re-testing by including the implementation variable of the COSO Enterprise Risk Management model as an intervening variable. The novelty of this research from previous researchers lies in the use of the intervening variable, namely the application of the COSO Enterprise Risk Management model. This research was conducted using quantitative methods which are classified as explanatory research. Sampling in this study used a purposive sampling method, namely a sampling technique with special considerations. The sample used in this study is stock classified as the Compass Index 100. The sample in this study is 100 companies. The data that has been collected is then analyzed using Smart PLS. The results show that in the first hypothesis for the size of the company does not affect the company's financial performance, then the company's financial performance on the issuers of the compass index 100 did not change. The second hypothesis shows that company size affects the implementation of COSO Enterprise Risk Management, meaning that the higher the size of the company, the implementation of COSO Enterprise Risk Management on issuers of the Kompas 100 Index increases. The third hypothesis shows that the number of boards of directors affects the company's financial performance, meaning that the higher the number of boards of directors, the company's financial performance on issuers of the Kompas 100 Index will increase. The fourth hypothesis shows that the number of boards of directors affects the implementation of COSO Enterprise Risk Management, meaning that the higher the number of boards of directors, the implementation of COSO Enterprise Risk Management on issuers of the Kompas 100 Index will increase. The fifth hypothesis of the study shows that the implementation of COSO Enterprise Risk Management has an effect on the company's financial performance, meaning that the higher the implementation of COSO Enterprise Risk Management, the financial performance of issuers of the Kompas 100 Index will increase.
Keywords: Firm Size, Board of Directors, COSO ERM, Company Financial Performance, and Kompas 100 Index.
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