THE INFLUENCE OF INTERNAL AUDIT ON THE IMPLEMENTATION OF THE PRINCIPLES OF GOOD CORPORATE GOVERNANCE AND THE IMPLICATIONS FOR MANAGERIAL PERFORMANCE (A survey of three State-Owned Strategic Industries in Bandung)
No Thumbnail Available
Date
2020
Journal Title
Journal ISSN
Volume Title
Publisher
Solid State Technology Volume: 63 Issue: 3
Abstract
The purpose of this research is to examine the effect of internal audit on the application of principles good corporate governance (GCG) and its implications for managerial performance. By implementing GCG, it will encourage better managerial performance. Internal audit has a role to ensure the implementation of GCG principles. Independence and objectivity, auditor competence, quality and ethics assurance programs and improvement of quality and ethics are significant influences on the implementation of GCG principles. This research is an explanatory research. Data were collected using a survey method using a questionnaire to 182 respondents. Hypothesis testing using SEM analysis. The results of calculations carried out using the LISREL program. Based on the calculation results obtained the calculated F value of 62.66. This value will be compared with the F table value with a sample size of 182 obtained F table of 2.27. Thus, F count> F table, which means independence and objectivity, competence of internal auditors, assurance program and ethics simultaneously affect GCG and its implications for managerial performance.
Description
Keywords
Internal Audit, Good Corporate Governance Principles, Managerial Performance