Implementation of Good Corporate Governance to the Value of Cooperative Company

Abstract

Cooperative business is directly related to the improve the business and welfare of members, so that with good supervision will have a high beneficial impact for members. Cooperative development policy should give priority to quality of cooperatives, to produces quality cooperatives required good supervision. This research was used qualitative research with description method. Implementation of Good Corporate Governance encourages cooperative management in conducting savings and loan activities effectively and efficiently by taking into account the principles of cooperatives and prudential principles so that the cooperative assessment is transparent, accountable and responsive. Principles of Good Corporate Governance required by cooperatives to achieve business sustainability. Management of cooperatives can be done effectively and with the implementation of Good Corporate Governance the performance of cooperatives can be increased and improve service to the member. Cooperative development policy should give priority to quality of cooperatives, to produce quality cooperatives required good supervision This study is one of stage for conducting cooperative business performance research in relation to the creation of value of firm and share holder equity, financed by Kemenristek Dikti – Indonesia .

Does Corporate Governance affect Earnings Management? A case study of Deposit Taking Saccos in South Rift Region, Kenya

“…The company eventually collapsed and these was linked to unethical behaviors of board members from major corporations left many doubting the credibility of auditing as a profession and effectiveness of laid down structures that monitor and assure that corporate boards are performing according to the stakeholders' expectations (Okike, 2007). A study conducted in Indonesia by Dasuki and Lestari (2019) found that practicing good corporate governance improved earnings management and was also associated with best service delivery to the stakeholders of cooperatives in Indonesia. Another study on good corporate governance on performance of cooperatives in Nepal by Puri and Walsh (2018), the findings revealed that when effective corporate governance is in place, it leads to enhanced quality service delivery and thus benefits the cooperate members are empowered economically and socially.…”

Shareholder Rights and Performance of Deposit Taking SACCO’s

“…The Cooperative Act (2012) portends that SACCO's operations should be objective in order to advance members' economic wellbeing and their welfare in line with cooperative principles and values. Similarly Dasuki and Lestari (2019) argues that the existence of cooperatives is oriented towards members' welfare which entails accomplishing the interests of its members and the community to improve their livelihoods.…”