ROLES OF THE BOARD DIRECTORS AND FIRM VALUE

Abstract

This study aims to analyze the Integrated Reporting Disclosure in the company, the influence of the role of the board of directors as measured by the composition of the independent board of directors, the number of board meetings and the composition of the audit committee on the Integrated Reporting Disclosure, and the influence of the Integrated Reporting Disclosure on firm value. This study was conducted on 45 companies with an LQ 45 index on the Indonesia Stock Exchange, using a regression for data processing. The results showed that the composition of the independent board of commissioners and the number of board of directors’ meetings affected the Integrated Reporting Disclosure. Meanwhile, the audit committee did not affect the Integrated Reporting Disclosure. In addition, Integrated Reporting Disclosure affects firm value. The results of this study contribute to investors that the Integrated Reporting Disclosure provides information needed by investors in making decisions.