Jakman

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Vol. 7 No. 4 (2026): September

Articles

Board Characteristics and Their Impact on Firm Performance

N Natasha Elisabeth Manuputty D Daryanto Hesti Wibowo
10 September 2026 Vol. 7 No. 4 (2026): September https://doi.org/10.35912/jakman.v7.n4.p497-511.2026
Abstract
10 Sep 2026

Purpose: This study examines the effects of board gender diversity, board experience, and board meetings attendance as board characteristics within the corporate governance framework on firm performance, measured by Return on Assets (ROA), in consumer non-cyclicals companies listed on the Indonesia Stock Exchange during 2021–2024. The study addresses inconsistent findings in prior corporate governance research and limited evidence from this sector.
Research Methodology: Secondary data were obtained from companies’ annual reports and financial statements. The sample was selected using purposive sampling. Panel data regression was employed using the Random Effects Model (REM) with Panel Corrected Standard Errors (PCSE).
Results: Board gender diversity and board experience have no significant effect on firm performance (ROA), while board meetings attendance have a significant negative effect. Collectively, board characteristics significantly explain firm performance.
Conclusions: The findings suggest that firm performance depends not only on-board characteristics but also on the effectiveness of governance practices and firm-specific conditions.
Limitations: This study is limited to one industry sector, a four-year observation period, three board characteristics, and relatively low board gender diversity.
Contributions: This study contributes to the corporate governance literature by providing empirical evidence on the relationship between board characteristics and firm performance in Indonesia’s consumer non-cyclicals sector, offering insights into the role of governance mechanisms in emerging markets.

Keywords: Board Characteristics Board Gender Diversity Corporate Governance Firm Performance Return on Assets
How to Cite
“
Manuputty, N. E., & Wibowo, D. H. (2026). Board Characteristics and Their Impact on Firm Performance. Jurnal Akuntansi, Keuangan, Dan Manajemen, 7(4), 497–511. https://doi.org/10.35912/jakman.v7.n4.p497-511.2026
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