International Journal of Scientific & Technology Research

IJSTR@Facebook IJSTR@Twitter IJSTR@Linkedin
Home About Us Scope Editorial Board Blog/Latest News Contact Us

IJSTR >> Volume 3- Issue 3, March 2014 Edition

International Journal of Scientific & Technology Research  
International Journal of Scientific & Technology Research

Website: http://www.ijstr.org

ISSN 2277-8616

Social And Environmental Accounting: A Response To The Company's Operational Externalities

[Full Text]



Dewi Susilowati



Keywords: socialandenvironmentalperformance, externalities, economic performance, socialandenvironmentalaccounting, social and environmental disclosure, environmental exposure, environmental content.



Abstract: Conventionalaccountinghas limitationsin responding tothe impact ofexternalitiesgenerated bythe operations ofthe company. This was the background of social and environmental accounting study. Externalitiesthat are notrespondedpositivelywillaffect thelegitimacy ofthe business, so thatthe continuity ofthe company's operationsdisturbed. Therefore, notonlyfinancial informationis neededbutmore comprehensiveinformation. Inthis research, thedisclosure-scoring methodologybasedoncontent analysistomeasure thesecondary data obtainedfromannual report.As for theunitof analysisisthe top eightoil and gascompaniesarethe largestproducerof oil and gasproductionin Indonesia.The results ofthe measurementofsocialand environmentaldisclosure, socialand environmentalperformance, environmentalexposure,andenvironmentalcontent, using disclosure-scoring, usedfordescriptiveandstatisticalanalysisto determine the relationshipand its effect oneconomicperformance. The research provesthat theimpact ofthese externalitiescanaffect thesocialandenvironmentalperformance, social and environmental disclosureandeconomic performance.



[1]. Al-Tuwaijri, Sulaiman A., Christensen. Theodore E., dan Hughes II K.E.,” The Relations among Environmental Disclosure, Environmental Performance, and Economic Perfomance: a Simultaneous Equations Approach”,Accounting, Organizations and Society, 29, 447-471. 2004

[2]. Bansal,P. and Clelland, I., “Talking trash: Legitimacy, impression management, and unsystematic risk in the context of natural environment”, Academy of Management Journal, Vol.47 No.1,pp.93-103.2004

[3]. Bebbington,J. and Gray,R., Accounting for the Environment, Sage Publication Ltd.2001

[4]. Bragdon and Marlin, “Is pollution profitable?”,Risk Management, 19(4), 9-18. 1972

[5]. Bronn, P.S. and Vidaver-Cohen,D., “Corporate motives for social initiative: Legitimacy, sustainability, or bottom line?”, Journal of Business Ethics, Vol.87, pp.91-109.2009.

[6]. Chung, Rae,K., “Prospects for Environmental Sustainability in Asia the Pasific”, in Pursuing Green Growth in Asia and The Pasific, Cengage Learning Asia Pte Ltd, 2010

[7]. Elkins,P. and Tomei,J.,” Eco-efficiency and Resource Productivity: Concepts, Indicators, and Trends in Asia-Pasific”, in PersuingGreen Growth in Asia and The Pasific, Cengage Learning Asia Pte Ltd, 2010

[8]. Gray,R.,Accounting and accountability: Changes and Challenges in Corporate Social and environmental Reporting, Prentice Hall International.1996.

[9]. Gray,R., Owen,D., and Adams,C.,Accounting and Accountability, Changes and challenges in corporate social and environmental reporting, Prentice Hall - London.1996

[10]. Gray,R.,Owen,D., and Mauders,K.,Corporate Social Reporting- Accounting and accountability, Prentice Hall-UK.1987

[11]. Global Reporting Initiatives (GRI).Sustainability Reporting Guidelines. 2006

[12]. Guthrie,J. and Mathews, M.R.,“Corporate Social Accounting in Australasia”,Reseatch in Corporate Social Performance and Policy, Vol 7, pp 251 – 277. 1985

[13]. Hackston and Milne,” Some determinants of social and environmental disclosures in New Zealand companies”,Accounting, Auditing and Accountability Journal, 77– 108. 1996.

[14]. Hamel,G. and Prahalad,C.K.. Competing for the Future, Harvard Business School Press, Boston, Massachusetts. 1994

[15]. JA Hall. A Disagreement about difference, s Malesevic& M. Haugaard,Eds. Making sense of collectivity: Ethicity, Nasionalism&Globalisation. Pluto. 181-194. 2002

[16]. Moh. Nazir..MetodePenelitian. Ghalia Indonesia. 2005

[17]. Solomon, A. and Lewis,L, “Incentives and disincentives for corporate environmental disclosure”, Business Strategy and the Environment, Vol.11 No.3, pp.154-160. 2002

[18]. Spicer,” Investors, corporate social performance and information disclosure: an empirical study”. The Accounting Review, 53, 94–111. 1978

[19]. Ullmann, A.,” Data in search of a theory: a critical examination of relationships among social performance, social responsibility, and economic performance of U.S. firms”,Academy of Management Review, 10, 540–557.1985.

[20]. Waddock,S.A., and Graves,S.B.,“The Corporate Social Performance – Financial Performance Link”,Strategic Management Journal, 18 (4): 303 -319. 1996

[21]. Wartick,S.L. and Cochran, P.L, “The evolution of the Corporate Social Performance Model”, The Academy of Management Review, Vol 10.No.4. Oct, 1984.