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Article
Publication date: 21 November 2008

Edwin Mirfazli

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…

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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

International Journal of Islamic and Middle Eastern Finance and Management, vol. 1 no. 4
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 1 August 2008

Edwin Mirfazli

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…

2462

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.

Details

Social Responsibility Journal, vol. 4 no. 3
Type: Research Article
ISSN: 1747-1117

Keywords

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