The effect of corporate social responsibility and corpo- rate governance on company’s performance

Abstract

Received: 5 December 2018 Accepted: 3 January 2019 Published: 20 February 2019 The aim of this research is to 􀅭ind out the effect of corporate social responsibility and corporate governance on company’s performance on BUMN (State Owned Enterprises) which is registered in Indonesia Stock Exchange in 2012 until 2017. The number of the sample were 14 companies. The phenomenon that occured the performance of State Owned Enterprises with Return on Assets (ROA) indicator was more decreasing from 2012 until 2016. The company does not only pay attention to the business interests but the social responsibility needs to be paid attention to create the added value. There are a lot of things thatmust be solved in State OwnEnterprise, especially in corporate governance. The result of this study is the social responsibility with CSRDij indicator and corporate governance with indicators of Board of Directors, Board of Commissioners, and Audit Committee have signi􀅭icant in􀅭luence on company’s performance with ROA indicator. But, partially, corporate governance does not affect the company’s performance.