Green Accounting Effect at Sustainable Industrialization and Financial Performance in Covid Era

Nurul Devi Ariyani, Wulan Budi Astuti, Belinda Apsari Candraningtyas

Abstract


This study aims to examine the green accounting effect at sustainable industrialization and financial performance in the Covid era from 2019 to 2021. Green accounting is a concept in which industrial production processes prioritize effectiveness and efficiency in the use of resources in a sustainable manner. To answer the research hypothesis, stakeholder theory is used which illustrates that the industry does not only aim to maximize profits but also provide social, economic and benefits to environment. Obtaining samples using the purposive sampling method in the mining industry in Indonesia from 2019 to 2021. The research design will be tested using Structural Equation Modeling (SEM). The results show that green accounting has a significant effect on the Corporate Sustainability Management System (CSMS) as a measure of industrialization sustainability of 0.01 and a significant effect on financial performance of 0.03. While CSMS has no significant effect on financial performance of 0.45. This is because in the period from 2019 to 2021 there is a Covid-19 pandemic which is affecting the company's financial performance. It is hoped that the results of this study can be used as material for consideration for regulators to establish rules related to green accounting for sustainable industrialization and improving financial performance.

 

Keywords : Green Accounting, CSMS, Financial Performance


Full Text:

PDF

References


Aifuwa, H. O., Musa, S., & Aifuwa, S. A. (2020). Corona Virus Pandemic Outbreak And Firms Performance In Nigeria. Management and Human Resource Research Journal, 9(4), 3363–7036. https://orcid.org/0000-0001-8908-6637

Alam, M. M., Wei, H., & Wahid, A. N. M. (2021). COVID ‐19 outbreak and sectoral performance of the Australian stock market: An event study analysis. Australian Economic Papers, 60(3), 482–495. https://doi.org/10.1111/1467-8454.12215

Amelia, S. R., & Hasibuan, R. R. (2022). Determinasi Financial Literacy dan Penggunaan Fintech terhadap Peningkatan Produktivitas UMKM Purbalingga Dimasa Pandemi Covid-19. Pekobis : Jurnal Pendidikan, Ekonomi, Dan Bisnis, 7(1), 1–11. https://doi.org/10.32493/pekobis.v7i1.p1-11.20264

Anggarkusuma, A., Afianika, D., & Kurniati, R. (2022). Determinasi Implementasi Green Accounting Terhadap Corporate Sustainability dan Kinerja Keuangan Pada Perusahaan Manufaktur. Jurnal Ekonomi Bisnis, 6(2), 588.

Anggraeni, A. A., & Dewi, H. P. (2022). Green Accounting and Corporate Social Responsibility Disclosure: Financial Performance of Mining Companies in Indonesia. Journal of Auditing, Finance, and Forensic Accounting, 10(1), 66–70. https://doi.org/10.21107/jaffa.v10i1.14034

Arofah, Anastasia Anggarkusuma; Maharani, Destin Alfianika; Kurniati, R. (2022). Determinasi Implementasi Green Accounting Terhadap Corporate Sustainability dan Kinerja Keuangan Pada Perusahaan Manufaktur. Jurnal E-Bis: Ekonomi Bisnis, 6(2), 571–588.

Astuti, W. B., & Alfie, A. A. (2021). Covid-19 dan Kinerja Saham Perusahaan Indonesia: Pendekatan Event-Study. AKSES: Jurnal Ekonomi Dan Bisnis, 16(1), 57–62. https://doi.org/10.31942/akses.v16i1.4472

Azapagic, A. (2003). Systems Approach to Corporate Sustainability. Process Safety and Environmental Protection, 81(5), 303–316. https://doi.org/10.1205/095758203770224342

Bansal, P. (2005). Evolving sustainably: a longitudinal study of corporate sustainable development. Strategic Management Journal, 26(3), 197–218. https://doi.org/10.1002/smj.441

Cohen, N., & Robbins, P. (2012). Green Business: An A-to-Z Guide. Green Business: An A-to-Z Guide, 128–132. https://doi.org/10.4135/9781412973793

Dewanti, M. P. R. P., & Djajadikerta, H. (2018). Pengaruh Kinerja Keuangan dan Tata Kelola Perusahaan Terhadap Nilai Perusahaan pada Industri Telekomunikasi di Bursa Efek Indonesia. Jurnal Akuntansi Maranatha, 10(1). https://doi.org/10.28932/jam.v10i1.932

Dita, E. M. A., & Ervina, D. (2021). Pengaruh Green Accounting, Kinerja Lingkungan dan Ukuran Perusahaan Terhadap Financial performance (Studi Kasus pada Perusahaan Sektor Pertambangan yang Terdaftar di Bursa Efek Indonesia Tahun 2017-2018). JFAS : Journal of Finance and Accounting Studies, 3(2), 72–84. https://doi.org/10.33752/jfas.v3i2.272

Dočekalová, M. P., & Kocmanová, A. (2016). Composite indicator for measuring corporate sustainability. Ecological Indicators, 61, 612–623. https://doi.org/10.1016/j.ecolind.2015.10.012

Dutta, T. K., Raju, V., & Kassim, R. N. M. (2020). Green accounting in achieving higher corporate profitability and sustainability in ready made garment industry in Bangladesh: A conceptual analysis. International Journal of Innovation, Creativity and Change, 10(10), 181–192.

ENDIANA, I. D. M., DICRIYANI, N. L. G. M., ADIYADNYA, M. S. P., & PUTRA, I. P. M. J. S. (2020). The Effect of Green Accounting on Corporate Sustainability and Financial Performance. Journal of Asian Finance, Economics and Business, 7(12), 731–738. https://doi.org/10.13106/jafeb.2020.vol7.no12.731

Hamidi. (2019). ANALISIS PENERAPAN GREEN ACCOUNTING TERHADAP KINERJA KEUANGAN PERUSAHAAN. Encyclopedia of Corporate Social Responsibility, 6(2). https://doi.org/10.1007/978-3-642-28036-8_100807

Harmoni, A. (2013). Stakeholder-Based Analysis of Sustainability Report: A Case Study on Mining Companies in Indonesia. 204–210. https://doi.org/10.36880/C04.00704

Hörisch, J., Freeman, R. E., & Schaltegger, S. (2014). Applying Stakeholder Theory in Sustainability Management. Organization & Environment, 27(4), 328–346. https://doi.org/10.1177/1086026614535786

Hörisch, J., Schaltegger, S., & Freeman, R. E. (2020). Integrating stakeholder theory and sustainability accounting: A conceptual synthesis. Journal of Cleaner Production, 275, 124097. https://doi.org/10.1016/j.jclepro.2020.124097

Huynh, N., Dao, A., & Nguyen, D. (2021). Openness, economic uncertainty, government responses, and international financial market performance during the coronavirus pandemic. Journal of Behavioral and Experimental Finance, 31, 100536. https://doi.org/10.1016/j.jbef.2021.100536

Jasch, C. (2003). The use of Environmental Management Accounting (EMA) for identifying environmental costs. Journal of Cleaner Production, 11(6), 667–676. https://doi.org/10.1016/S0959-6526(02)00107-5

Jun, J., Toh, Y. N., Sisk, C. A., Remington, R. W., & Lee, V. G. (2021). Do concerns about COVID-19 impair sustained attention? Cognitive Research: Principles and Implications, 6(1), 41. https://doi.org/10.1186/s41235-021-00303-3

Lako, A. (2018). Akuntansi Hijau Isu, Teori, dan Aplikasi. Salemba Empat. https://www.researchgate.net/profile/Andreas-Lako/publication/329541377_AKUNTANSI_HIJAU_Isu_Teori_Aplikasi/links/5ea66b92a6fdccd79457f739/AKUNTANSI-HIJAU-Isu-Teori-Aplikasi.pdf

Miroshnychenko, I., De Massis, A., Miller, D., & Barontini, R. (2021). Family Business Growth Around the World. Entrepreneurship Theory and Practice, 45(4), 682–708. https://doi.org/10.1177/1042258720913028

Mustofa, U. A., Edy, R. N. A. P., Kurniawan, M., & Kholid, M. F. N. (2020). Green Accounting Terhadap CSR pada Bus di Indonesia dengan Kinerja Keuangan Sebagai Variabel Intervening. Jurnal Ilmiah Ekonomi Islam, 6(3), 508. https://doi.org/10.29040/jiei.v6i3.1372

Nguyen, T. H. N., Hoang, T. V. H., & Nguyen, T. T. L. (2019). Green accounting and sustainable development of listed Vietnamese enterprises. Journal of Asian Review of Public Affairs and Policy, 2018(November).

Nicola, M., Alsafi, Z., Sohrabi, C., Kerwan, A., Al-Jabir, A., Iosifidis, C., Agha, M., & Agha, R. (2020). The socio-economic implications of the coronavirus pandemic (COVID-19): A review. International Journal of Surgery, 78, 185–193. https://doi.org/10.1016/j.ijsu.2020.04.018

Praise. (2013). The Influence of Environmental Performance on Financial Performance with Corporate Social Responsibility as an Intervening Variable (Empirical Study on Manufacturing Companies Listed on the Indonesia Stock Exchange (IDX) 2009-2011).

sdgs.un.org. (n.d.). sdgs.un.org. United Nations. Retrieved April 3, 2023, from https://sdgs.un.org/goals/goal9

trends.google.co.id. (n.d.). Trends.Google.Co.Id. Retrieved April 3, 2023, from https://trends.google.co.id/trends/explore?q=green accounting&date=now 1-d&geo=ID&hl=id

Vania, H. F. (2020). Akomodasi dan Pariwisata Sektor Paling Terdampak Covid-19. Katadata.Co.Id. https://databoks.katadata.co.id/datapublish/2020/09/21/akomodasi-dan-pariwisata-sektor-paling-terdampak-covid-19

Whelan, T., Atz, U., Van Holt, T., & Clark, C. (2021). ESG and Financial Performance: Uncovering the Relationship by Aggregating Evidence from 1,000 Plus Studies Published between 2015-2020. NYU | STERN Report. https://www.stern.nyu.edu/sites/default/files/assets/documents/NYU-RAM_ESG-Paper_2021 Rev_0.pdf


Refbacks

  • There are currently no refbacks.