COMPARATIVE ANALYSIS OF ENVIRONMENTAL
MANAGEMENT DISCLOSURE IN ASEAN COUNTRIES
(STUDY ON OIL, GAS, AND MINING COMPANIES)
T H E S I S
Submitted to Qualify the Requirement of
Undergraduate Program of
Accounting Department
Written by :
LUFI YUWANA MURSITA
2012310003
SEKOLAH TINGGI ILMU EKONOMI PERBANAS
SURABAYA
COMPARATIVE ANALYSIS OF ENVIRONMENTAL
MANAGEMENT DISCLOSURE IN ASEAN COUNTRIES
(STUDY ON OIL, GAS, AND MINING COMPANIES)
T H E S I S
Submitted to Qualify the Requirement of
Undergraduate Program of
Accounting Department
Written by :
LUFI YUWANA MURSITA
2012310003
SEKOLAH TINGGI ILMU EKONOMI PERBANAS
SURABAYA
2016
COMPARATIVE ANALYSIS OF ENVIRONMENTAL
MANAGEMENT DISCLOSURE IN ASEAN COUNTRIES
(STUDY ON OIL, GAS, AND MINING COMPANIES)
Proposed by :
LUFI YUWANA MURSITA
NIM : 2012310003
This thesis has been advised and ready to be examined
Thesis Adviser,
Date : 13 January 2016
T H E S I S
COMPARATIVE ANALYSIS OF ENVIRONMENTAL MANAGEMENT DISCLOSURE IN ASEAN COUNTRIES
(STUDY ON OIL, GAS, AND MINING COMPANIES)
Written by
LUFI YUWANA MURSITA NIM : 2012310003
has been presented and defensed before the Team of Examiners and has declared to pass Thesis Examination
on the date of 10 February 2016
Team of Examiners
Chief : Dr. Luciana Spica Almilia, S.E., M.Si. ...
Secretary : Dr. Nanang Shonhadji, S.E., Ak., M.Si. ...
APPROVAL OF THESIS
Name : Lufi Yuwana Mursita
Birthday : Pacitan, 26October 1994
NIM : 2012310003
Major : Accounting
Study Program : Undergraduate
Concentration : Management Accounting
Title : Comparative Analysis of Environmental Management
Disclosure in ASEAN Countries (Study on Oil, Gas, and
Mining Companies)
Approved and well received by :
Head of Accounting Undergraduate Thesis Adviser Date : Date :
“Push yourself harder
!
”
“If you have come into a thing,
do it with your best
!
”
“The next step is determined by the first step.
If you’re never brave to take it, you’ll never
feel how awesome the end
!
”
-Lufi Y. Mursita-
...
“If you don’t take risks,
you
can’t create a future”
“Power isn’t determined by your size,
but by your heart and dreams
!
”
“No matter how hard or impossible it is,
never lose sight of your goal
!
”
ACKNOWLEDGEMENT
I place on record, my sense of gratitude to one and all, who
directly or indirectly. Because of you all this ‘Bachelor of Economy’ will not be realized. [Pardon for the informal which is going to happen. Because you will only find a serious reading after this part.]
First of all, Alhamdulillahirobbil’alamin, Allah always gives me a lot of mercy and guidance so that I can do this well. Second of all, thanks to my father Sukasto and my mother Sularmi for always giving me permission to do all the things I have decided.
No matter how hard for you to say ‘yes’ but you let me going on.
You have sacrificed in many ways and prayed all time to help me continue my undergraduate study. Finally I can prove that rural girl also can be highly educated.
Also being grateful to STIE Perbanas Surabaya who gave me chance to study by scholarship, especially in my expected major, the Accounting undergraduate. Here I found many great people who inspires me a lot.
I take this opportunity to express gratitude to all lecturers for sharing valuable encouragement. My honorable lecturer, Prof. Tatik Suryani, an incredible woman from the same hometown who has shown me much success story. Mrs. Lindiawati who motivated me until I succeed my paper to join International Conference on Business and Banking in Thailand two years ago. Dr. Luciana, as my best semi-personal career tutor who gave me countless opportunity to represent Accounting undergraduate in various external events and competitions. Mrs. Titik Sumarni who support me in joining some events and competitions. Mr. Nanang as my thesis adviser who patiently gave me suggestion and guidance in my thesis writing. Mrs. Munawaroh to become like mother in campus. And all who I cannot mention one by one. Thanks for inspiring me!
Thanks also to my BPM-BEM family in the year 2014-2015. That should be unforgettable memories we have ever had along this life journey. We have done and succeed many work programs together. You also can understand me so much. I believe you all
are going to be successful. Let’s reunite with a black glasses one day! Haha. Cc : Sanny, Cynthia, Nurul, Rizki (Mamad), Yuliana
(Emak), Sofia, Finda, Nayu, Ardo, Zahra, Elka, Agnisa, Taufiq, Herla, Ayu, Velani, Zakky, and Sholi.
Truly appreciate all my team in HARMONI since 2013-2015, especially to Arsy as my long-time partner. Thanks to Ms. Laila
who gave me three years’ experience to involve in the biggest
student committee in STIE Perbanas. And also for the guidance to improve my speaking and confidence before the audience.
A lot of appreciation is also given to my collaboration research team : Lutfiyana, Nurina, and Rista. We already have done guys!
In real, it cannot successfully called as collaboration research because we only develop one topic by our own idea indeed. But it is absolutely okay for us. Thanks also to Martika, Triandina,
Priska, Vania, and all of Mr. Nanang’s students.
Thanks to my 6A boardinghouse girl generation since 2012-2016 : Ria, Evi, Wika, Rizca, Indah, Kiky, Sofi, Ocy, Reni, Antika, Ida, Yurisha [Jessica], Faizah (Jupe), Anisa, Tanza, Ristria, Laily, and
many other girls. You are so nice guys! Let’s gather again in our
table in front of the TV to keep gossiping! May our sins are
forgiven by Allah. LOL!
Thanks to all full-scholarshipers STIE Perbanas Surabaya 2012 : Nurul, Rizki (Mamad), Agnisa, Khusnul, Lucy, Hilus, Nauvani, Indah, Riris, Sukhriyah (Iis), Riska, Mareta, and Alivia. You all guys are definitely inspiring. Also my best team for Accounting, Nurul and Mytha. If those many occasions can be replayed, and we are back to the competition, let’s do it once again with all sweat!
I am always proud of our teamwork, although we just enjoyed our winning in the last days before my final study.
Finally, once again thanks to all of people surround me to help me much in my process of study. Also because of you, this research
is marked as “A”. Hallo all, let’s meet on the top!
PREFACE
The author would like to thank to the Most Merciful, Allah SWT who always
gives His favor for getting me an idea and finishing research with title
“Comparative Analysis of Environmental Management Disclosure in ASEAN
Countries (Study on Oil, Gas, and Mining Company). My sincere thanks and
appreciation are also given to all people who guided, helped, and prayed for me in
completing this research, they are :
1. Dr. Lutfi, S.E., M.Fin. as the Head of STIE Perbanas Surabaya who has given
me motivation in learning English.
2. Dr. Luciana Spica Almilia, S.E., M.Si. as the Head of Accounting
Undergraduate who always gives me support and also recommendation for my
thesis during the examination.
3. Dr. Nanang Shonhadji, S.E., Ak., M.Si. as my Thesis Adviser who has given
his valuable guidance, patience, and suggestion in writing this thesis.
4. My parents who always support my effort and my choice.
5. All friends who were willing to listen and share each other for the thesis writing.
This research studied about environmental management disclosure in
ASEAN countries. Although environmental management disclosure is the part of
Corporate Social Responsibility, there is no prior study conducted in STIE Perbanas
Surabaya which try to deeply and specifically identify this topic. Therefore, this can
Since the emergence of ASEAN Economic Community, it is considered to be
paramount to study about the member countries. This research is expected to
contribute in enlarging knowledge of business in ASEAN environment, especially
in the case of environmental issue. The author expect this research is going to be
useful and beneficial for all the parts who read this.
Sincerely,
TABLE OF CONTENT
TITLE PAGE ... i
ADVISER APPROVAL ... ii
PASSING APPROVAL ... iii
THESIS APPROVAL ... iv
CHAPTER I INTRODUCTION ... 1
1.1 Background ... 1
1.2 Problem of the Research ... 6
1.3 Research Objective ... 6
1.4 Research Benefit ... 7
1.5 Systematic of Writing ... 8
CHAPTER II LITERATURE REVIEW ... 10
2.1 Previous Study ... 10
2.2 Theoretical Review ... 18
2.2.1 Environmental Management Disclosure ... 18
2.2.2 Legitimacy Theory and Social Contract Theory ... 19
2.2.3 Disclosure Guideline for Oil, Gas, and Mining Company ... 20
2.2.4 Corporate Governance and ASEAN Corporate Governance Scorecard ... 22
2.3 Theoretical Framework ... 24
2.4 Research Hypothesis ... 25
CHAPTER III RESEARCH METHODOLOGY ... 27
3.1 Research Design ... 27
3.1.1 Research Type Based on Design of Study ... 27
3.1.2 Research Type Based on Time Horizon ... 28
3.1.3 Research Type Based on Data Collection Technique ... 28
3.2 Research Scope ... 28
3.3 Variable Identification ... 29
3.4 Operational Definition and Variable Measurement ... 29
3.4.1 Operational Definition ... 29
3.4.2 Variable Measurement ... 30
3.7 Data Analysis Technique ... 34
3.7.1 Descriptive Analysis ... 34
3.7.2 Kruskal Wallis ... 35
3.7.3 Regression Analysis ... 36
CHAPTER IV DESCRIPTION OF RESEARCH SUBJECT AND DATA ANALYSIS ... 38
4.1 Description of Research Subject ... 38
4.2 Data Analysis ... 40
4.2.1 Descriptive Analysis ... 40
4.2.2 Hypothesis Examination ... 43
4.3 Discussion ... 49
4.3.1 Extent of Environmental Disclosure in ASEAN Countries ... 49
4.3.2 Comparative Analysis of Environmental Disclosure in ASEAN Countries ... 51
4.3.3 Correlation Analysis of Corporate Governance Score and Environmental Disclosure ... 52
4.3.4 Extended Analysis on Environmental Disclosure ... 53
4.3.5 Factor Influencing Environmental Management Disclosure .... 56
CHAPTER V CONCLUSION ... 75
5.1 Conclusion ... 75
5.2 Limitation ... 76
5.3 Recommendation ... 77
LIST OF TABLE
Table 2.1 : Similarities and Differences with Prior Studies 16
Table 3.1 : Number of Total Corporate Governance Score 30
Table 3.2 : Number of Environmental Management Disclosure Indicator 31
Table 4.1 : List of Observed Companies 39
Table 4.2 : Content Analysis Result 40
Table 4.3 : General Descriptive Analysis of Environmental Management
Disclosure 41
Table 4.4 : Comparative Analysis of Environmental Management
Disclosure by Country 43
Table 4.5 : Extent of Environmental Management Disclosure 43
Table 4.6 : Corporate Governance Score of Oil, Gas, and Mining
Companies in ASEAN Countries 46
Table 4.7 : Data Outliers 47
Table 4.8 : Regression Analysis of Corporate Governance Score and
Environmental Management Disclosure 47
Table 4.9 : Level of Variables Correlation 48
Table 4.10 : Rank of ASEAN Countries Environmental Disclosure 50
Table 4.11 : Environmental Disclosure Aspects Frequency 54
Table 4.12 : Sustainability Report Regulation by Stock Exchange 57
Table 4.13 : Type of Company Published Report 58
LIST OF FIGURE
Figure 2.1 : GRI Disclosure Sectors 20
Figure 2.2 : Theoretical Framework of Comparative Analysis 25
Figure 2.3 : Theoretical Framework of Correlation Test 25
Figure 4.1 : Level of Hofstede’s National Culture Dimensions 61
LIST OF APPENDIX
Appendix 1 : List of Sustainability/CSR Reporting Regulations
Appendix 2 : Checklist of Environmental Management Disclosure GRI
Appendix 3 : Checklist of ASEAN Corporate Governance Scorecard (Disclosure & Transparency)
Appendix 4 : Data of Environmental Management Disclosure 2012-2014
Appendix 5 : Data of Corporate Governance Scorecard 2012-2014
Appendix 6 : SPSS Output
COMPARATIVE ANALYSIS OF ENVIRONMENTAL MANAGEMENT DISCLOSURE IN ASEAN COUNTRIES
(STUDY ON OIL, GAS, AND MINING COMPANIES) Lufi Yuwana Mursita examining the association between corporate governance score and environmental management disclosure and also identifying the cause of difference among ASEAN countries. Therefore, this study is explanatory sequential mixed method which after using quantitative approach it continues with qualitative approach. This study utilized 17 oil, gas, and mining companies from six countries as research sample with total data of 51 annual reports along 2012-2014. To find the result, it conducts descriptive analysis, Kruskal Wallis, and Regression Analysis provides by SPSS version 22.0. The qualitative approach refers to related prior studies, book, and official website. The result shows that environmental management disclosure in ASEAN are still averagely low. It is found a significant difference extent of disclosure among ASEAN countries along the observed period. Besides that, corporate governance score significantly affects the extent of disclosure. The difference among countries is identified as the effect of the existing regulation, the policy taken by company, and national cultures.
