ISLAMIC SOCIAL REPORTING DETERMINATION IN THE MANUFACTURING INDUSTRY SECTOR LISTED IN INDONESIA SHARIA STOCK INDEX

Soeharjoto Soekapdjo(1*),

(1) Universitas Trisakti
(*) Corresponding Author

Abstract


Aims of this study is to know about Islamic Social Reporting determination at manufacturing  industry sector listed on Indonesia Sharia Stock Index, with the exchange rate and inflation as moderating variables. Panel data regression is used as a method with Islamic Social Reporting  as a dependent variable and Return on Equity, Current Ratio, Debt to Equity Ratio, Firm Size as an independent variables, while inflation and exchange rates used as a moderating variables. Sampling is from manufacturing industrial companies listed in Indonesia Sharia Stock Index used purposive sampling in 2013-2018. Sourced data from Financial Services Authority, Central Statistics Agency and Bank Indonesia. Result shown that Return on Equity with inflation moderation has a positive and significant effect on Islamic Social Reporting, Current Ratio has a positive and significant effect on Islamic Social Reporting, and Debt to Equity which is moderated by the exchange rate has a positive and significant effect on Islamic Social Reporting.  However, the inflation moderated Firm Size is not significant to the Islamic Social Reporting. In order to get blessings, manufacturing industry needs awareness from companies to implement the Islamic Social Reporting, Financial Services Authority implements and develops ISR indicators for all sectors, investors fully apply sharia principles to get blessings, and people buy products that are halal and toyiban, also government maintain exchange rates stability and inflation.  


Keywords


Islamic Social Reporting, financial ratio, macro economy.

Full Text:

PDF

References


Affandi, H., & Nursita, M. (2019). Profitabilitas, Likuiditas, Leverage, dan Ukuran Perusahaan: Sebuah Analisis Islamic Social Reporting (ISR) pada Perusahaan yang Terdaftar di JII. Majalah Ilmiah Bijak, 16(1), 1‑11. https://doi.org/10.31334/bijak.v16i1.318

Ahmad, N., Naveed, A., Ahmad, S., & Butt, I. (2020). Banking Sector Performance, Profitability, and Efficiency: A Citation-Based Systematic Literature Review. Journal of Economic Surveys, 34(1), 185‑218. https://doi.org/10.1111/joes.12346

Alfiyah, S. N. (2018). Effect of Profitability and Leverage on Disclosure of Corporate Social Reporting in Islamic Commercial Banks. Journal of Finance and Islamic Banking, 1(2), 133‑149. https://doi.org/10.22515/jfib.v1i2.1494

Alkhatib, K. (2012). The Determinants of Leverage of Listed Companies. International Journal of Business and Social Science, 3(24), 78‑83.

Almilia, L. S., & Retrinasari, I. (2007). Analisis Pengaruh Karakteristik Perusahaan terhadap Kelengkapan Pengungkapan dalam Laporan Tahunan Perusahaan Manufaktur yang terdaftar di BEJ. Proceeding Seminar Nasional Inovasi dalam Menghadapi Perubahan Lingkungan Bisnis.

Badjuri, A. (2011). Faktor-Faktor Fundamental, Mekanisme Corporate Social Responsibility (CSR) Perusahaan Manufaktur dan Sumber Daya Alam di Indonesia. Dinamika Keuangan dan Perbankan, 3(1), 38‑54.

Cahya, B. T., & Rohmah, F. (2019). Evolution of Islamic Social Reporting: Viewed from Islamic Position in the Continuum Social Responsibility. Jurnal Ekonomi dan Bisnis Islam, 5(2), 196‑222. https://doi.org/10.20473/jebis.v5i2.15143

Carvalho, A. R. de, Ribeiro, R. S. M., & Marques, A. M. (2018). Economic Development and Inflation: a Theoretical and Empirical Analysis. International Review of Applied Economics, 32(4), 546‑565. https://doi.org/10.1080/02692171.2017.1351531

Devirahtiasari, Fitrarahmasari, R., & Fadah, I. (2018). CSR in islamic perspective. International Journal of Scientific and Technology Research, 7(12), 50‑53.

Fatmawatie, N. (2015). Pengungkapan Corporate Social Responsibility (CSR) Dalam Akuntansi Sosial Ekonomi di Tinjau dari Syariah. Jurnal Ekonomi Syariah, 3(2), 221‑237.

Firmansyah, I., & Hariyanto, E. (2014). Analisis Pengungkapan Kinerja Sosial (Social Disclosure) Perbankan Syariah di Indonesia dan Malaysia dalam Perspektif Islamic Social Reporting. Buletin Ekonomi, 12(1), 69‑84.

Fitria, S., & Hartanti, D. (2010). Islam dan Tanggung Jawab Sosial: Studi Perbandingan Pengungkapan Berdasarkan Global Reporting Initiative Indeks dan Islamic Social Reporting Indeks. Simposium Nasional Akuntansi XIII.

Freeman, R. E., Harrison, J. S., & Zyglidopoulos, S. (2018). Stakeholder Theory: Concepts and Strategies. Cambridge: Cambridge University Press.

Haniffa, R. (2002). Social Reporting Disclosure an Islamic Perspective. Indonesian Management & Accounting Research, 1(2), 128‑146.

Jeon, B. N., Zheng, D., & Zhu, L. (2017). Exchange Rate Exposure: International Evidence from Daily Firm-Level Data. Journal of Economic Integration, 32(1), 112‑159.

Lucas, R. E. (2014). Liquidity : Meaning, Measurement, Management. Federal Reserve Bank of St. Louis Review, Third Quarter, 96(3), 199‑212.

Mais, R. G., & Lufian, N. (2018). Pengaruh Sharia Governance Structure terhadap Pengungkapan CSR Berdasarkan Islamic Social Reporting Index. Jurnal Akuntansi dan Manajemen, 15(1), 83‑100. https://doi.org/10.36406/jam.v15i01.145

Mousa, G. A., & Hassan, N. T. (2015). Legitimacy Theory and Environmental Practices: Short Notes. International Journal of Business and Statistical Analysis, 2(1), 41‑53. https://doi.org/10.12785/IJBSA/020104

Nugraheni, P., & Khasanah, E. N. (2019). Implementation of the AAOIFI index on CSR disclosure in Indonesian Islamic banks. Journal of Financial Reporting and Accounting, 17(3), 365‑382. https://doi.org/10.1108/JFRA-02-2018-0013

Nugroho, L., Utami, W., Doktorlina, C. M., Soeharjoto, & Husnadi, T. C. (2017). Islamic Banking Capital Challenges to Increase Business Expansion (Indonesia Cases). International Journal of Commerce and Finance, 3(2), 1‑10.

Othman, R., Thani, A. M., & Ghani, E. K. (2009). Determinants of Islamic Social Reporting Among Top Shariah-Approved Companies in Bursa Malaysia. Research Journal of Internatıonal Studıes, (12), 4‑20.

Prasetyoningrum, A. K. (2018). Pengaruh Ukuran Perusahaan, Profitabilitas, Leverage, Efisiensi Biaya, dan Umur Perusahaan terhadap Islamic Social Reporting (ISR) pada Perbankan Syariah di Indonesia. MALIA: Journal of Islamic Banking and Finance, 2(2), 147‑162. https://doi.org/10.21043/malia.v2i2.4780

Rama, A., & Meliawati. (2014). Analisis Determinan Pengungkapan Islamic Social Reporting: Studi Kasus Bank Umum Syariah di Indonesia. Equilibrium: Jurnal Ekonomi Syariah Jurnal Ekonomi Syariah, 2(1), 84‑103.

Sari, N. (2017). Islamic Banking and Social Responsibility: Studi Komparasi Indonesia dan Malaysia dengan Pendekatan Islamic Social Resporting Indeks dan Global Resporting Initiative Indeks. Ekspose, 16(2), 419‑427.

Setiawati, N. N., Pramono, S. E., & Endri. (2019). Determinan Islamic Social Report Disclosure Industri Barang Konsumsi yang terdaftar di Indeks Saham Syariah Indonesia (ISSI). Jurnal Manajemen dan Organisasi, 10(3), 170‑181. https://doi.org/10.29244/jmo.v10i3.30151

Soekapdjo, S., Nugroho, L., Badawi, A., & Utami, W. (2018). Bad Debt Issues in Islamic Bank: Macro and Micro Influencing (Indonesia Cases). International Journal of Commerce and Finance, 4(1), 10‑26.

Spence, M. (1973). Job Market Signaling. The Quarterly Journal of Economics, 87(3), 355‑374.

Triyuwono, I. (2011). Mengangkat « Sing Liyan » untuk Formulasi Nilai Tambahan Syari’ah. Jurnal Akuntansi Multiparadigma. https://doi.org/http://dx.doi.org/10.18202/jamal.2011.08.7116

Widayati, A. D., & Sukmana, R. (2016). Difference Analysis of Social Performance with The Islamic Social Reporting (ISR) in Syariah Banking That Are in Indonesia and Malaysia. AFEBI: Islamic Finance and Economic Review, 1(1), 53‑62. https://doi.org/10.47312/aifer.v1i01.21

Widayuni, N., & Harto, P. (2014). Faktor-Faktor yang Mempengaruhi Pengungkapan Corporate Social Responsibility pada Perbankan Syariah di Indonesia dan Malaysia. Diponegoro Journal of Accounting, 3(2), 1‑11.

Wijaya, M. (2012). Faktor-Faktor yang Mempengaruhi Pengungkapan Tanggung Jawab Sosial pada Perusahaan Manufaktur yang Terdaftar di Bursa Efek Indonesia. Jurnal Ilmiah Mahasiswa Akuntansi, 1(1), 26‑30.

Winardi, Priyarsonob, D. ., Siregar, H., & Kustanto, H. (2019). Peranan Kawasan Industri dalam Mengatasi Gejala Deindustrialisasi. Jurnal Ekonomi dan Pembangunan Indonesia, 19(1), 84‑95. https://doi.org/10.21002/jepi.v19i1.834

Yuliana, I., & Sartika, F. (2020). Mediating Effect of Islamic Social Reporting on the Relationship between Good Corporate Governance and Company Value: The Case of the State-Owned Enterprises. Global Review of Islamic Economics and Business, 8(1), 1‑11. https://doi.org/10.14421/grieb.2020.081-01

Zadeh, F. O., & Eskandari, A. (2012). Firm Size As Company ’s Characteristic and Level of Risk Disclosure : Review on Theories and Literatures. International Journal of Business and Social Science, 3(17), 9‑17.

Zanariyatim, A., Bayinah, A. N., & Sahroni, O. (2016). Pengungkapan Corporate Social Responsibility (CSR) Bank Umum Syariah Berdasarkan Islamic Social Reporting Index (Indeks ISR). Jurnal Akuntansi Dan Keuangan Islam, 4(1), 85‑104. https://doi.org/10.35836/jakis.v4i1.31




DOI: http://dx.doi.org/10.33019/ijbe.v5i2.356

Article Metrics

Abstract view : 603 times
PDF - 235 times

Refbacks

  • There are currently no refbacks.


Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Creative Commons License

Integrated Journal of Business and Economics is licensed under a Creative Commons Attribution 4.0 International License.