The Impact of Corporate Governance on Social and Environmental Performance Putu Ayu Nikita Sari Wulan, Komang Ayu Krisnadewi*
Universitas Udayana
*komangayukrisnadewi[at]unud.ac.id
Abstract
The purpose of this research is to determine whether social and environmental performance is impacted by sound corporate governance. Data on corporate governance, social performance, and environmental performance in ASEAN nations are used in this study. We make use of performance scores with 25,322 total observations from the CSRHub website. Regression analysis methods are applied using the STATA software. Our study^s findings suggest that a company, social and environmental performance might be enhanced by sound corporate governance. According to the study, efficient governance improves environmental performance, which is consistent with stakeholder and agency theories. According to agency theory, public ESG reporting resolves disagreements between management and shareholders and enhances monitoring. According to stakeholder theory, effective governance balances the interests of stakeholders, which improves environmental performance.
Keywords: corporate governance- environmental performance- community performance- employee performance
