Abstract

Financial performance is an important indicator in a company in measuring the level of viability of the company. This study aims to analyze the effect of CEO power (proxied by CEO ownership), and characteristics (CEO educational background and work experience) on firm performance as proxied by ROA with the moderating variable of the percentage of the number of independent commissioners. The population in this study were all companies officially listed on the Indonesia Stock Exchange in 2015-2019. Then the sampling system used purposive sampling and obtained 16 state-owned companies listed on the Indonesia Stock Exchange. The results show that in model 1, CEO ownership variable has no effect on company performance, while the educational background variable has a significant negative effect and work experience variable has a significant positive effect on firm performance. In model 2, only the educational background variable has a significant effect, and the moderating variable does not strengthen the relationship between all independent variables on the company's financial performance.

Details

Title
CEO Power and Characteristics on Firm Performance in Indonesian State-Owned Enterprises
Author
Ahadiat, Ayi; Mahrinasari MS; Syaipudin, Usep; Fajrin Satria Dwi Kesumah
Pages
295-310
Section
original article
Publication year
2023
Publication date
2023
Publisher
Vizja University
ISSN
20840845
e-ISSN
23008814
Source type
Scholarly Journal
Language of publication
English
DOI
https://doi.org/10.5709/ce.1897-9254.511
ProQuest document ID
3167432152
Copyright
© 2023. This work is published under http://creativecommons.org/licenses/by/4.0/ (“the “License”). Notwithstanding the ProQuest Terms and Conditions, you may use this content in accordance with the terms of the License.