Remuneration and Management Behavior Evaluation: A Critical Review
DOI:
https://doi.org/10.14738/abr.46.2512Abstract
Environmental accounting (EA) practices are developing rapidly in some countries and has a positive impact on their organizations. Sustainability report (SR), as an indicator of EA practices, helps company in improving its reputation, set by the management. However, some countries in ASEAN including Indonesia do not have relevant accounting standards on the environment. EA practice is still not widely known in Indonesia, although, internationally there have been standards that provide guidelines on environmental practices such as the Global Reporting Initiative (GRI).
Another prospect in GRI is remuneration. Remuneration is a part of personnel cost which is a motivation about the positive effects of EA practices to disclose management concerns. This a critical review on evaluation of remuneration structure and the consistency of EA practices in the Sustainability Report .
References
ACCA. (2004). Advances in Environmental Accounting. UK.
Andayani, & Riduwan, A. (2011). The environment resposibility and the role of environmental cost information on management decision making: the qualitative study (Tanggungjawab Lingkungan Dan Peran Informasi Biaya Lingkungan Dalam Pengambilan Keputusan Manajemen: Studi Kualitatif). In Simposium Nasional akuntansi XIV Aceh 2011 (pp. 1–30).
Barbier, E. B. (1989). The Contribution of Environmental and Resource Economics to an Economics of Sustainable Development (Vol. 20).
Bassett, M., Koh, P.-S., & Tutticci, I. (2007). The association between employee stock option disclosures and corporate governance: Evidence from an enhanced disclosure regime. The British Accounting Review, 39(4), 303–322. http://doi.org/10.1016/j.bar.2007.06.003
Beck, A. C., Campbell, D., & Shrives, P. J. (2010). Content analysis in environmental reporting research : Enrichment and rehearsal of the method in a British – German context. The British Accounting Review, 42(3), 207–222. http://doi.org/10.1016/j.bar.2010.05.002
Benoit-moreau, F. (2011). Building brand equity with environmental communication : an empirical investigation in France. EuroMed Journal of Business, 6(1), 100–116. http://doi.org/10.1108/14502191111130334
Cagatay, S. & Mihci, H. (2006). Degree of environmental stringency and the impact on trade patterns. Journal of Economic Studies, vol.33, no.1, pp.30–51.
Coles, JL., Daniel, ND & Naveen, L. (2008). ‘Boards: Does One Size Fit All?’ Journal of Financial Economics, vol. 87, no.2, pp. 329–56.
Coletti Angela L, K.L.S.K.L.T. (2005). The Effect of Control Systems on Teams and Alliances: Trust and Cooperation in Collaborative Environments. The Accounting Review, 80(2), pp.477–500.
Darmadi, S. (2012), ‘Remuneration of Board Members in a Two-Tier System : The Indonesian Evidence’, in Green Concern: Peran Akuntan dalam Mewujudkan Bisnis yang Sustainable, pp. 21–22.
Eugénio, T.C.P. (2009). ‘Social and environmental accounting: a case study on a portuguese cement company’ , April, pp. 1–262.
Farouk, S, Cherian, J & Jacob, J. (2012), ‘Green Accounting and Management for Sustainable Manufacturing in Developing Countries’, International Journal of Business and Management, Oct., vol. 7, no. 20, pp. 36–44.
Global Reporting Initiative. (2011). ‘G4 Sustainability Reporting Guidelines’, pp. 1–94.
Guo, Z., Ai, N. & Polenske, K.R. (2008). Evaluating environmental and economic benefits of yellow dust storm-related policies in north China. International Journal of Sustainable Development and World Ecology, vol.5, pp.457.
Hunton, J.E & Rose, J.M. (2008). ‘Can Directors’ Self-Interests Influence Accounting Choices?’ Accounting, Organizations and Society, vol. 33 no.7-8, pp.783–800.
Husser, J, Irgo, M.I.V, Andre, J & Barbat, G. (2012). ’CSR and sustainable development : are the concepts compatible ?’, Management of Environmental Quality: An International Journal, vol. 23, no. 6, pp. 658–672.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the Firm : Managerial Behavior , Agency Costs and Ownership Structure. Journal of Financial Economics, 3(4), 305–360.
Kuang, X. & Moser, D. V. (2009). Reciprocity and the effectiveness of optimal agency contracts. Accounting Review, 84(5), pp.1671–1694.
Li-Chin, J.H & Taylor, M.E. (2007). ‘An Empirical Analysis of Triple Bottom-Line Reporting and Its Determinants: Evidence from the United States and Japan’, Journal of International Financial Management & Accounting, vol. 18, pp. 123–50.
Lindrianasari & Adriyanto, W. (2010). ‘Manager ’ s Perception of the Importance of Environmental Accounting and its Effect on the Quality of Corporate Environmental Account- ing Disclosures : Case from Indonesia’, Issues in Social and Environmental Accounting, vol. 4, no. 1, pp. 74–86.
McGregor, D. (1966). The Human Side of Enterprise. Reflections, vol.2, no.1, pp.1–11. http://doi.org/10.5465/AMR.2004.12736104
Özsözgün Çalişkan, A. (2014). How accounting and accountants may contribute in sustainability? Social Responsibility Journal, 10(2), 246–267. http://doi.org/10.1108/SRJ-04-2012-0049
Pickett-Baker, J & Ozaki, R. (2008). ‘Pro-environmental products: marketing influence on consumer purchase decision,’, Journal of Consumer Marketing, vol. 25, no. 5, pp. 281–293.
Raska, D & Shaw, D. (2012). ‘When is going green good for company image?’, Management Research Review, vol. 35, no. 3/4, pp. 326–347.
Robert, L & Lipe, M.G. (1992). ‘Incentives, Effort, and the Cognitive Processes Involved in Accounting-Related Judgments.’ Journal of Accounting Research, vol. 30, no. 2, pp. 249–73.
Tilling, M.V. (2008). ‘Refinements to Legitimacy Theory in Social and Environmental Accounting Not One Theory but Two ( at Least ),’ Commerce Research, pp. 1-11.
Trotman, K.T., Tan, H.C. & Ang, N. (2011). ‘Fifty-year overview of judgment and decision-making research in accounting,” Accounting & Finance, vol. 51, no. 1, pp. 278–360.
Yakhou, M. & Dorweiler, V.P. (2004). ‘Environmental accounting: an essential component of business strategy’, Business Strategy and the Environment, Mar, vol. 13, no. 2, pp. 65–77.
Yang, F., Dolar, B. & Mo, L. (2014). ‘CEO Compensation and Firm Performance: Did the 2007-2008 Financial Crisis Matter? Journal of Accounting and Finance, vol.14, no.1, pp.137.
Yusoff, H. & Lehman, G. (2009). Corporate environmental reporting through the lens of semiotics. Asian Review of Accounting, vol.17, no.3, pp.226–246.
