ANALYSING THE IMPACTS OF CORPORATE GOVERNANCE ATTRIBUTES ON FINANCIAL REPORTING TIMELINES WITH A MODERATOR OF FOREIGN OWNERSHIP: EVIDENCE FROM INDONESIAN PLC

Abstract

Financial reporting quality and timeliness are critical elements that enhance organizational performance, necessitating emphasis in recent literature and attention from policymakers. This article examines the impact of corporate governance attributes, specifically board characteristics (BC) and audit committees (AC), on the financial reporting timelines of private limited companies (PLCs) in Indonesia. Additionally, the study explores the moderating role of foreign ownership on the relationship between BC, AC, and financial reporting timelines of PLCs in Indonesia. Primary data was collected from employees of PLCs using survey questionnaires. The data's reliability and the associations among variables were analysed using Smart-PLS. The findings indicate that BC and AC positively influence financial reporting timelines. Furthermore, the results reveal that foreign ownership significantly moderates the relationship between BC, AC, and financial reporting timelines of PLCs in Indonesia. This article provides valuable insights for policymakers in formulating policies to improve financial reporting timelines through effective BC and experienced AC.