Juniati Gunawan

As a country with a number of dynamic issues, Indonesia has given immense
attention to Corporate Social Responsibility (CSR). CSR is also perceived as
substantial practices as it is now regulated at both national and local levels.
Unfortunately, there is still a common misunderstanding about CSR in
Indonesia; that it has always been linked to social programs, philanthropy
and donation activities. Hence, this paper aims to explore CSR
implementations, challenges, key initiatives, and methods which are used
by several leading organisations in the country.
Supporting information was undertaken through literature reviews, desk
study, and simple unstructured interviews from CSR practitioners. Samples
were randomly selected from 10 leading companies participating in the 2014
CSR Award. Descriptive and comprehensive analyses were then, conducted
to understand the phenomenon of CSR implementation in Indonesia.
Government initiatives and regulations are inevitably found as the most
determinant driving factors in Indonesia for business to conduct CSR,
followed by business organization and local CSR networks. Further,
multinational companies (MNCs) are more likely in bringing the CSR
context that refer to sustainability development, while the majority local
companies are still considering CSR as philanthropy activities. Other than
that, understandly the state owned enterprises (SOEs) seem to be the one
which adhere strickly to Governments’s regulations.
To sum up, CSR implementation in Indonesia is still in the early phase of
development and less likely related to corporate sustainability strategies.
However, rapid development in CSR practices since the political change of
1998 have resulted in CSR being strategically and ethically understood in
business. By that time, the government faced a number of challenges in its
attempt to refocus CSR practices into the more ‘moral obligation’ strand rather
than the ‘regulation-abiding’ strand of CSR.

Indonesia as one of the big developing countries has been responding rapidly to the issue of
Corporate Social Disclosure (CSD). This can be seen from the CSD section in the listed companies’
annual reports which keep increasing throughout the years. However, there are still
inconclusive findings in factors that determine the extent of CSD. Based on a comprehensive
research, therefore, this paper examines some selected factors in their relations to the extent of
CSD, both quantitatively and qualitatively.
Corporate annual reports for the year 2003 to 2006 were examined to verify the CSD practices
by applying a content analysis method and multiple regression analysis. Then, firm’s characteristics
(category, size, financial performances, age), and group influential (creditors, auditors,
owners) were analysed to seek their significant relationships to the extent of CSD. The findings
show that (1) there was no significant influence of ‘company type’ to the extent of CSD;
but ‘company status’ was significantly influence CSD (2) ‘company size’, ‘financial performances’,
‘age’, and ‘auditors’ influences’ were found to have significant positive influences to
the extent of CSD; (3) ‘Owners’ influence’ correlated positively rather than negatively to
CSD; and (4) Mixed results were provided by the ‘creditors’ influence’ throughout the years.
The overall correlations between predictor and criterion variables are considered to be low to
moderate, varied from 0.463 to 0.607 for correlation coefficients (R) and 0.215 to 0.368 for
determinant coefficients (R2) in the regression model.

Abstract
Purpose – This study aims to investigate stakeholders’ influence and motivation for Indonesian listed
companies in practicing corporate social disclosures (CSDs) in their annual reports.
Design/methodology/approach – A questionnaire was distributed to the upper level of management
in the companies and attained 252 respondents.
Findings – The findings show that “community” is the most stakeholder group that influence the
practice of CSD and “creating a positive image” is the main motivation from companies in providing
CSD.
Practical implications – The research supports the majority of studies in CSD areas, especially in
developing countries.
Originality/value – Based on questionnaires, enriched by field visits and interviews, this paper
provides evidence about stakeholder’s influences and company motivations in practising CSD. The
study is valuable to understand the information disclosed in annual reports from both stakeholders’ and
companies perspectives.
Keywords Motivation, Disclosure, Social responsibility, Stakeholders, Indonesia
Paper type Research paper

The purpose of this paper is to examine the relationship between audit quality and the sustainable reputation of auditors in Indonesia in relation to the implementation of a regulation by the Finance Minister of the Republic of Indonesia on public accountant audit services (PMK no.17/PMK.01/2008). This study applies quantitative method by conducting a survey. Multiple regressions is used to evaluate the relationship between auditors’ opinion and their sustainable reputations. The sample selection is based on convenience sampling derived from the auditors’ opinions to seek their own internal competitive advantages. Audit quality is measured with composite measurement dimension - audit quality metric score (AQMS), namely: size, industry specialization, audit tenure, client importance, and going concern opinion. The findings suggest that audit quality influence significantly and positively to the sustainable reputation of auditor.
Key words: Audit quality, Audit Quality Metric Score (AQMS), sustainable reputation, auditor, public Accountant Firm.

Corruption is a serious concern all over the world. Due to the limited amount of Corporate Social Re-
sponsibility (CSR) research on speci
fi
c issues such as bribery, this paper aims to determine the extent of
anti-corruption information disclosure in annual reports that demonstrate organizational commitment
towards combatting corruption. The index consists of 40 items developed from an analysis of past
literature and several organizations' published reports. The input data was based on observation of
several organizations' annual reports, CSR and sustainability reports, past literature and Global Reporting
Initiative (GRI) reporting indicators. The sample consists of 24 companies that participated in the ACCA
Malaysia Sustainability Reporting Awards (MaSRA) and 34 Indonesian companies that participated in the
Indonesia Sustainability Reporting Award (ISRA). The disclosure of anti-corruption practices (ACP) is still
in its infancy in both countries. This study shows that the disclosure of anti-corruption codes of conduct
and whistle-blowing practices was the most reported item. Interestingly, Indonesian companies dis-
closed higher amounts of ACP information compared to Malaysian companies. This is possibly because
there is a higher level of coercive pressure to disclose ACP information in Indonesia compared to
Malaysia. Further, there are several challenges to curbing corruption in Malaysia which potentially
contribute to the low disclosure level of ACP information. This research contributes to CSR studies with a
focus on anti-corruption practice, particularly in emerging economies. Some implications to improve the
level of anti-corruption disclosure are also presented in the paper

Abstract
Purpose – As one of the world’s leading producers of energy resources, offering a large domestic market and workforce,
Indonesia is susceptible to the issue of corporate social responsibility. As this research area is considered relatively new
in the Indonesian context, the purpose of this paper is to provide useful information and describe early pictures of
corporate social disclosure (CSD) practices in Indonesia.
Design/methodology/approach – This study examines the extent of CSD in Indonesian listed companies. Content analysis
method is applied to analyse the companies’ annual reports. An exploratory study was also carried out to fi nd the
motivation of the companies in making CSD, as well as the perceived importance of CSD information by Indonesian
stakeholders. Finally, some preliminary independent variables were selected to be examined in their relationships to the
extent of CSD.
Findings – The results show that the most important information on CSD perceived by the stakeholders is about
“products” while information about “community” is perceived as the least important. However, “community” is
considered as the most infl uence party of CSD for the companies. Additionally, there are three main motives for the
Indonesian listed companies in conducting CSD: “to create positive image”, to “act accountability” and to “comply
with stakeholders’ needs”. This study also indicates that the extent of CSD in Indonesian listed companies is very low.
Further, the correlation examinations demonstrate that the majority of null hypotheses were accepted.
Originality/value – There is currently a level of research or invent CSD practices in developing countries. This paper
helps to fi ll some of this gap.
Keywords Corporate social responsibility, Information disclosure, Indonesia

Introduction This pilot study aims to provide preliminarily findings on corporate social disclosure (CSD) research by the Indonesian listed companies before commencing the major study in the same field. The objectives of this study is, firstly, to determine the extent of CSD practices ...