The purpose of this paper is to provide empirical proof concerning the social focus of responsibility information disclosure – dominant in annual reports of basic and chemical…
Abstract
Purpose
The purpose of this paper is to provide empirical proof concerning the social focus of responsibility information disclosure – dominant in annual reports of basic and chemical industries groups – and how the company's group type affects the amount and focus of social disclosure in a company's annual report.
Design/methodology/approach
This paper explains and describes data characteristics employed in the research. Annual reports are analyzed by content analysis method.
Findings
The results show that the main foci of social disclosure from companies registered at the Indonesia Stock Exchange are labor theme (51.60 percent), followed by customer theme (19.40 percent), society theme (14.70 percent) and environmental theme (14.30 percent), respectively. Hypothesis test proved that there is no significant difference in the presentation of social disclosure amount in all themes between companies in the basic and chemical industries group or in the variety industries group.
Research limitations/implications
The composing of a social disclosure list tends to be subjective and it is possible to omit certain items that are supposed to be disclosed by the company.
Practical implications
The paper shows that it is necessary to pay increased attention to the social environment, considering that companies and society are equally important.
Originality/value
This paper describes the importance of amount, manner, and the reason behind a company's social responsibility disclosure.
Details
Keywords
The purpose of this paper is to draw disclosure of corporate social responsibility from annual reports of companies which went public on the Jakarta Stock Exchange (JSX). The…
Abstract
Purpose
The purpose of this paper is to draw disclosure of corporate social responsibility from annual reports of companies which went public on the Jakarta Stock Exchange (JSX). The objective of this research is to show the pattern of the companies in practicing social disclosure. The pattern includes category and item, focus, amount and difference per category including high and low profile companies in multifarious group members of JSX.
Design/methodology/approach
Corporate Social Responsibility (CSR) was identified, evaluated and measured, along with the effect on the company and communication to stockholders, as it was seen how much the disclosure about social responsibility accounting was present in the annual report.
Findings
Its use of coding processes in the annual report, with use of content analysis, was specifically for indexing a “yes” or “no” approach. There are 16 members of JSX for Multifarious Group of Industry including High‐Profile and Low‐Profile companies. The research results show the significant difference between High‐Profile and Low‐Profile for disclosure about corporate social responsibility in annual reports.
Originality/value
The paper suggests that the behavior of a company disregarding its social responsibility will harm that company.