FEMALE DIRECTORS AND FIRM PERFORMANCE: THE MODERATING ROLE OF FAMILY OWNERSHIP?
Atika Zarefar, Arumega Zarefar, Andreas Tan, Anasthasya Tiffany, Nadilla, Fitri Ramadhan

Department of Accounting, Faculty of Economics and Business, Universitas Riau
Department of Accounting, Faculty of Economics and Business, Universitas Riau
Department of Accounting, Faculty of Economics and Business, Universitas Riau
Student of Diploma 3 Taxation Study Program, Faculty of Economics and Business, Universitas Riau
Student of Diploma 3 Accounting Study Program, Faculty of Economics and Business, Universitas Riau
Students of Accounting Professional Study Program, Faculty of Economics and Business, Universitas Riau

Abstract

Purposes: This study aims to empirically examine the influence of female directors on the performance of companies with family ownership as a moderation variable.
Methods: The sample of this study consists of 5139 total observations of companies listed on the Indonesia Stock Exchange from 2010 to 2022. The analysis technique used to test the hypothesis is panel data regression.
Results: The findings of this study reveal that female directors significantly improve company performance. However, family ownership is not significant in moderating the relationship between female directors and company performance.
Conclusion and suggestion: An interesting finding is that female directors improve company performance. The nature and ability of women to carry out their roles as directors have a positive impact on the company. However, other findings of the study revealed that family ownership did not reinforce the positive influence of female directors on company performance. Further research has the opportunity to develop measurements related to these variables to test the research model.

Keywords: Agency Theory, Family Ownership, Female Director, Firm Performance

Topic: Corporate governance