COMPARATIVE ANALYSIS OF ENVIRONMENTAL MANAGEMENT DISCLOSURE IN ASEAN COUNTRIES (STUDY ON OIL, GAS, AND MINING COMPANIES) THESIS Submitted to Qualify the Requirement of Undergraduate Program of Accounting Department
LECTURER AND STUDENT COLLABORATION RESEARCH
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
LECTURER AND STUDENT COLLABORATION RESEARCH
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
Dr. Nanang Shonhadji, S.E., Ak., M.Si.
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. .......................
Member : Nurul Hasanah Uswati Dewi, S.E., Ak., M.Si. .......................
APPROVAL OF THESIS
Name : Lufi Yuwana Mursita Birthday : Pacitan, 26 October 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 :
Dr. Luciana Spica Almilia, S.E., M.Si. Dr. Nanang Shonhadji, S.E., Ak., M.Si.
“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!”
-Monkey D. Luffy-
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!I also want to express my sincere thanks to my best, Stefano
Joseph who always be there both in happiness or sadness, becoming
my single parent in this city, and also my soulmate who always
be matched in thinking. Hopefully, we can always watch One Piece
together, all time and all life time!
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 be categorized as a new topic research in STIE Perbanas Surabaya.
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, The author
TABLE OF CONTENT
TITLE PAGE .................................................................................................... i
ADVISER APPROVAL ................................................................................... ii
PASSING APPROVAL .................................................................................... iii
THESIS APPROVAL ....................................................................................... iv
MOTTO ............................................................................................................. v
ACKNOWLEDGEMENT ................................................................................ vi
PREFACE .......................................................................................................... viii
TABLE OF CONTENT .................................................................................... x
LIST OF TABLE .............................................................................................. xii
LIST OF FIGURE ............................................................................................ xiii
LIST OF APPENDIX ....................................................................................... xiv
ABSTRACT ....................................................................................................... xv
CHAPTER I INTRODUCTION ......................................................................2.4 Research Hypothesis ............................................................................. 25
3.5 Population, Sample, and Sampling Technique ..................................... 32
3.4.2 Variable Measurement .............................................................. 30
3.4.1 Operational Definition .............................................................. 29
3.4 Operational Definition and Variable Measurement .............................. 29
3.3 Variable Identification .......................................................................... 29
3.2 Research Scope ..................................................................................... 28
3.1.3 Research Type Based on Data Collection Technique ............... 28
3.1.2 Research Type Based on Time Horizon ................................... 28
3.1.1 Research Type Based on Design of Study ................................ 27
3.1 Research Design .................................................................................... 27
CHAPTER III RESEARCH METHODOLOGY .......................................... 27
2.3 Theoretical Framework ......................................................................... 24
1
2.2.4 Corporate Governance and ASEAN Corporate Governance Scorecard .............................................................. 22
2.2.3 Disclosure Guideline for Oil, Gas, and Mining Company ........ 20
2.2.2 Legitimacy Theory and Social Contract Theory ....................... 19
2.2.1 Environmental Management Disclosure ................................... 18
2.2 Theoretical Review ............................................................................... 18
2.1 Previous Study ...................................................................................... 10
CHAPTER II LITERATURE REVIEW ........................................................ 10
1.5 Systematic of Writing ........................................................................... 8
1.4 Research Benefit ................................................................................... 7
1.3 Research Objective ............................................................................... 6
1.2 Problem of the Research ....................................................................... 6
1.1 Background ........................................................................................... 1
3.6 Data and Data Collection Method ......................................................... 33
3.7 Data Analysis Technique ...................................................................... 34
4.3.2 Comparative Analysis of Environmental Disclosure in ASEAN Countries ................................................................. 51
5.3 Recommendation .................................................................................. 77
5.2 Limitation .............................................................................................. 76
5.1 Conclusion ............................................................................................ 75
CHAPTER V CONCLUSION ......................................................................... 75
4.3.5 Factor Influencing Environmental Management Disclosure .... 56
4.3.4 Extended Analysis on Environmental Disclosure ..................... 53
4.3.3 Correlation Analysis of Corporate Governance Score and Environmental Disclosure ......................................................... 52
4.3.1 Extent of Environmental Disclosure in ASEAN Countries ...... 49
3.7.1 Descriptive Analysis ................................................................. 34
4.3 Discussion ............................................................................................. 49
4.2.2 Hypothesis Examination ........................................................... 43
4.2.1 Descriptive Analysis ................................................................. 40
4.2 Data Analysis ........................................................................................ 40
4.1 Description of Research Subject ........................................................... 38
CHAPTER IV DESCRIPTION OF RESEARCH SUBJECT AND DATA ANALYSIS .................................................................. 38
3.7.3 Regression Analysis .................................................................. 36
3.7.2 Kruskal Wallis .......................................................................... 35
REFERENCES APPENDICES
LIST OF TABLE
46 Table 4.7 : Data Outliers
58 Table 4.14 : Hofstede’s National Culture Dimensions Category
57 Table 4.13 : Type of Company Published Report
54 Table 4.12 : Sustainability Report Regulation by Stock Exchange
50 Table 4.11 : Environmental Disclosure Aspects Frequency
48 Table 4.10 : Rank of ASEAN Countries Environmental Disclosure
47 Table 4.9 : Level of Variables Correlation
47 Table 4.8 : Regression Analysis of Corporate Governance Score and Environmental Management Disclosure
43 Table 4.6 : Corporate Governance Score of Oil, Gas, and Mining Companies in ASEAN Countries
Table 2.1 : Similarities and Differences with Prior Studies43 Table 4.5 : Extent of Environmental Management Disclosure
41 Table 4.4 : Comparative Analysis of Environmental Management Disclosure by Country
40 Table 4.3 : General Descriptive Analysis of Environmental Management Disclosure
39 Table 4.2 : Content Analysis Result
31 Table 4.1 : List of Observed Companies
30 Table 3.2 : Number of Environmental Management Disclosure Indicator
16 Table 3.1 : Number of Total Corporate Governance Score
62
LIST OF FIGURE
Figure 2.1 : GRI Disclosure Sectors20 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 Figure 4.2 : Hofstede’s National Culture Score Interpretation
66