1. Issues in Social and Environmental Accounting
Vol. 4, No. 1 June 2010
Pp 74-86
Manager’s Perception of the Importance of En-
vironmental Accounting and its Effect on the
Quality of Corporate Environmental Account-
ing Disclosures: Case from Indonesia
Lindrianasari
R. Weddie Adriyanto
Accounting Department Faculty of Economics
Lampung University - Indonesia
Abstract
The purpose of this study is to compare perceptions of managers in Indonesia concerning envi-
ronmental accounting disclosure with actual environmental accounting disclosure. The value of
this research is making an original contribution to develop instrument in exploring managerial
perception of environmental accounting disclosure. Samples for this study are corporate mana-
gerial from listing companies in the Jakarta Stock Exchange and also annual report companies.
This research has developed strategies to measure managerial perceptions of environmental
accounting disclosure. Mail surveys design used on this study. Analysis used for testing rela-
tionship between managerial perception and environmental accounting disclosure is simple
regression test. The dependent sample variable data is the latest data published in Jakarta Stock
Exchange. This study finds a positive correlation between managerial perception of environ-
mental accounting disclosure and actual environmental accounting disclosure. This result
shows that disclosure quality and several legal sanctions in environmental aspects could be
empowerment of regulator pasties to force managers to maintain their pollution and reported
their activity also in their annual report. In hence, legitimacy theory is used as an explanation
for corporate reactions to threats to its legitimacy vis-á-vis the social contract, while legitimacy
theory infers motivation to incorporate environmental accounting disclosure
Keywords: Managerial Perceptions, Environmental Accounting Disclosure, Legitimacy The-
ory
Lindrianasari is currently a teaching staff at Accounting Program Faculty of Economics, University of Lampung, Indo-
nesia, sari_170870@yahoo.com. R. Weddie Adriyanto is currently a teaching staff at the same institution, email:
r_weddie@yahoo.com. This paper has been discussed in several seminars; National Seminar on Higher Education in
February 2007, at the International Seminar on Writing the Ministry of National Education Republic of Indonesia, and
at the International Industrial Relations Association (IIRA) at Sanur Beach, Bali – Indonesia 2010. Special thanks to
A / Prof Greg Shailer from the Australian National University as a supervisor during the preparation of proposal of this
study.

2. Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86 75
I. Introduction in environmental accounting express
accounting disclosure quality environ-
Currently, almost countries are faced ment in which they express the com-
environmental problems. This condition pany's financial statements. As well as
requires the existence of a legitimacy this study will test the power of legiti-
that ensure the implementation of the macy theory in relation to perceptions of
arrangement a good social environment, managers in addressing environmental
especially with regard to the impact of problems. Sementar objectives of this
corporate activity. In a previous study study was to confirm whether the per-
showed that most of the managers con- ception of managers on the importance
cerned and stated that the protection of of environmental accounting impact on
environmental quality is important to be the quality of the actual environmental
sufficient, but on the other hand, evalu- accounting disclosures in the financial
ating the quality of environmental dis- statements of companies in Indonesia.
closures in annual financial statements Another goal to find in this study was to
(annual report) show that the relation- obtain empirical evidence whether the
ship was not significant. There are dif- conservation of living has become part
ferences between the perceptions of of the company's management strategy.
managers with real environmental dis- We assume that when managers per-
closures (Jaggi and Zhao, 1996). In- ceive that environmental accounting is
creased demand for environmental infor- something that is important to be consid-
mation is not matched by the enthusiasm ered, then the company's regulation and
of the presenters report (in this case a also actions to be taken will lead to
company) to provide environmental in- green action.
formation in their financial reports pub-
lis. This asymmetry may be triggered by Compelling reason that can explain why
the fear of the managers of firms that this research must be done is because to
environmental information will increase note how far the perceptions and desires
the company's obligation to control pol- of managers, acting as the motor of the
lution as a consequence of company ac- company, to control the environment.
tivity, and that this action eventually will Furthermore, this research will also see,
trigger cost increasing (Jaggi and Zhao, if the perception is reflected in the per-
1996). formance of environmental accounting
disclosures in annual financial state-
In a number of reasons, voluntary dis- ments. The benefit to achieve from this
closure (voluntary disclosure) to the ac- study is to provide empirical evidence to
counting environment is required as ad- the regulators in addressing the factors
ditional information (compulsory report- that encourage companies to make dis-
ing) to provide accounting information closures of environmental information.
to a wider audience and depth. This pol- If it is necessary to form an environment
icy is expected to control the adverse in accounting regulation, the regulators
effects on the environment arising from in the fields of accounting can immedi-
corporate activities. the issues raised in ately prepare a new draft standard so
this study is whether there is a relation- that it can synergize with the law and the
ship between the perception of managers laws that already exist.

3. 76 Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86
II. Theoretical Framework and 2.1.1. Relation between Perception
Building Hypothesis and Quality of Disclosure
Legitimacy Theory is “A condition or a The increasing needs and public aware-
status which exists when an entity’s ness of environmental control, several
value system is congruent with the value studies analyzing the results using the
system of the large social system of theory of legitimacy (Mobus, 2005;
which the entity is a part. When a dis- Campbell, et al., 2003; Deegan, 2002;
parity, actual or potential, exists between O'Donovan. 2002; Suchman, 1995; O'D-
the two value systems, there is a threat wyer, 2002; Jaggi and Zhao, 1996;
to the entity’s legitimacy (Lindblom, Milne, 2002) generates results that
1994, p.2) through the legitimacy, compliance with
accounting firms to provide environ-
“Legitimacy is a generalized per- mental information in annual financial
ception or assumption that the reports has increased. Mobus (2005)
actions of an entity are desirable, found that there is a negative correlation
proper, or appropriate within between legal sanctions concerning
some socially constructed system mandatory environmental disclosure
of norms values, beliefs, and defi- rules with the deviations made by the
nitions”. (Suchman, 1995, p.574). company. That is, the stronger the appli-
cable legal sanctions in a country, the
Several studies using legitimacy theory less deviation with regulations stipulated
can explain the quality of corporate en- by the regulators. This clearly shows
vironmental accounting disclosures. that the actual legitimacy is needed to
Among of them are Hogner (1982), minimize damage in a general context.
Guthrie and Parker (1989), Patten (1991, Studies conducted by O'Dwyer (2002)
1992, 1995), Gray, Kouhy and Lavers expand and clarify the use of legitimacy
(1995), Deegan and Rankin (1996), theory as motivation in the social ac-
Deegan and Gordon (1996), Walden and counting disclosures by presenting a nar-
Schwartz ( 1997), Brown and Deegan rative concept of legitimacy. Several
(1998), Neu, Warsame and Pedwell studies have also shown that the real
(1998), Burn (1998), Cormier and legitimacy comes from the pressure of
Gordon (2001), Wilmshurst and Frost societal (public), in this case is non-
(2000), Deegan, Rankin and Tobin managerial stakeholders, and thus the
(2002), O'Donovan (1999, 2002), O'D- company subsequently tried to conver-
wyer (2002) and most recently the re- gence with public perception as a re-
search by Mobus (2005). Most of these sponse to public pressure (O'Donovan,
studies reported that the quality of envi- 1999; Bansal and Roth, 2000).
ronmental accounting disclosure and
social disclosure have a strong correla- Furthermore, legitimacy theory is also
tion to legitimacy. These empirical stud- used to describe the reaction of the pres-
ies shows that most environmental ac- sure facing firms in dealing with the le-
counting disclosures and social disclo- gitimacy of the social contract, while it
sures are related to the attention of so- also emerged the concept of legitimacy
cial accounting in the context of legiti- as a motivational theory of social disclo-
macy. sure (Deegan, 2002; O'Dwyer, 2003).

4. Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86 77
Thus be seen that social disclosures will the public. If the company does not
be issued by the management company show the pattern of cooperation and in
will actually highly colored by the social public view it is contrary to the agree-
contract, which is none other than the ment, even detrimental to the public,
basic foundation of legitimacy. As de- then people can just pull the right com-
scribed by Gray et al. (1988), Patten, pany to continue its business. Although
(1992, 1991), Woodward et al. (1996) most studies show that strong environ-
and Deegan (2002), legitimacy theory is mental accounting disclosures relating to
based on the concept of social contract the theory of legitimacy, but there are
between society and in society at large. also several studies that successfully
How the company will continue to stand rejected the results. The study states that
if the public believes that the company is the managers refuse to report their envi-
consistent with the existing social con- ronmental accounting area because, de-
tract. spite the heightened environmental prob-
lems but they sure would gradually sub-
Lindblom (1994) offers a theoretical side. Meanwhile, if in their annual finan-
structure in a theoretical view toward cial statements disclose environmental
accounting studies that uses the frame- problems so that stakeholders attach a
work to think of legitimacy theory, to negative perception of their company
explain voluntary social disclosures is- forever, and it will affect their positions
sued by the company manejer. Lindblom as managers (O’Dwyer, 2002).
explained that legitimacy theory can be
thought appropriate framework in ex- The result of study has suggestion that in
plaining why managers make voluntary fact what the manager is reported in the
disclosures. Although this disclosure annual report will be strongly influenced
rules should not be done, but to meet the by the perception managers. If managers
legitimacy of the public, then the man- have a perception that environmental
ager is doing a voluntary disclosure. To factors are important information to be
view the pattern of rule that forced reported, then the quality of corporate
(mandatory), Suchman (1995) strongly environmental accounting disclosures
supports the explanation that the disclo- would be good too. Conversely, if man-
sure of environmental Lindblom manda- agers do not have the perception that
tory environmental disclosure in corpo- environmental information is important
rate legitimacy, the legitimacy of an in- information, the disclosure of corporate
tegrated and expanded itself. The expla- environmental accounting will also be a
nation is more or less because of the le- disclosure that is less quality. This state-
gitimacy, of the needs arising in society, ment was reinforced by the results of
enabling the regulator to draw up a legal research Halkos et.al. (2002) who found,
instrument that ultimately become some- there are four of the most influential fac-
thing that should be done by the com- tor in the implementation of environ-
pany. Conclusions can be drawn from mental management systems, namely
the entire explanation above that the the- firm size, legislations, environmental
ory of legitimacy requires companies to liabilities, and the perception. And le-
show their responsibility not only to gitimacy is a factor taken into account
owners of capital, but also and more im- factors in influencing these perceptions.
portant is to fulfillment of the right of From these arguments we construct the

5. 78 Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86
hypothesis that there is a positive and better at getting better profitability. This
significant relationship between the per- study fully supports Pava and Krausz
ceptions of managers in Indonesia about (1996), who explained that the informa-
the importance of environmental ac- tion disclosed by the company will not
counting disclosures by the quality of make the company lose the stakeholders.
accounting disclosure of the actual envi- There should also be understood that the
ronment in the financial statements of company that shows its social responsi-
companies in Indonesia. bility, proved to have better environ-
mental performance than companies that
2.2. Relationship of Economic Per- do not show social responsibility. Al-
formance with Quality of Disclosure Tuwaijri et al. (2003) claimed that good
environmental performance must be sup-
Previous researchs in the field of envi- ported by good economic performance.
ronmental accounting disclosures are In other words, good economic perform-
trying to examine the relationship be- ance would be associated with good en-
tween environmental disclosures by eco- vironmental performance as well. The
nomic performance. However, these finding of Al-Tuwaijri et al. is in line
findings still produce diverse conclu- with the findings of previous researchers
sions in explaining the relationship be- (Porter and Linde's (1995), which sup-
tween environmental disclosures by en- ports the view that most investors are
couraging the economic performance of seeing that good environmental perform-
increasingly widespread research in this ance as an intangible asset related com-
field. Testing the relationship between panies.
environmental disclosures by six ac-
counting ratios to measure economic
performance has been done Freedman III. Research Method
and Jaggi (1982). They found statistical 3.1. Data and Collection Procedures
result is not strong enough to reject the
null-hypothesis, which means they do To obtain the primary data manager
not see any significant relationship be- form of perception, we do spread the
tween economic performances with en- questionnaire by post and email. The
vironmental disclosure. Research con- questionnaire contains 17 items that con-
ducted Lindrianasari (2008) also in line sisted of 13 derived from previous re-
with research Freedman and Jaggi search conducted by Jaggi and Zhao
(1982) who failed to accept the alterna- (1996) and added a fourth question
tive hypothesis on the relationship be- about the legitimacy of the use Deegan
tween the quality of disclosures with (2002). Of the 17 items of questions in-
economic performances. deed lead to the theory of legitimacy,
Richardson et al. (2001) observing cor- especially items Deegan questions aris-
porate social disclosure and focus only ing from the particular to the test of le-
on environmental disclosure. Richardson gitimacy theory. All the companies
reported that there was a positive signifi- listed on the Jakarta Stock Exchange is
cant effect on the level of environmental our sample of this research. Secondary
disclosure in an overall cost of capital. data, such as the quality of corporate
Richardson further argues that the actual environmental accounting disclosures,
disclosures that the company will do we get by doing literature study on the

6. Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86 79
company's annual report on the Capital cant relationship between age and export
Market Reference Center at the Indone- of environmental performance. Richard-
sian Stock Exchange. Annual reports of son et al. (2001) reported that there was
companies used in this study is the year a positive significant effect on the level
2005 (because this study we did in 2006) of environmental disclosure in an overall
and reporting to funders conducted in cost of capital. While Al-Tuwaijri et al.
2007. (2003) using the margin by doing ap-
proach, which compares with net income
3.2. Measurement Variables of net sales in research. Cormier et.al
3 2.1. Independent Variables (2005) using five variables that represent
the information used by investors as
5 Likert scale attached to the whole much respect for corporate environ-
question to test the perception of manag- mental management, i.e. risk, capital
ers on the importance of environmental markets, volumes, concentrate owner-
accounting information. Score one for ship and foreign ownership. This study
the perception strongly disagree to the will include four variables of economic
value of five (5) for the perception could performance control variables, namely
not agree more. Answers to the ques- age, export, margins, and the cost of the
tionnaire were obtained from the first capital.
level of validity and reliability. Reliabil-
ity test results of the questionnaire ob- Age. Of a lawsuit against the social con-
tained Cronbach's Alpha value of 83.8% tract to the company at the time of stand-
which indicates that this questionnaire ing in the middle of a community, in
contains questions that can be believed turn stimulate the legitimacy, making a
clarity. 83.8% very good value which strong reason to suspect that the old
means that each respondent understood company, then the corresponding is the
the question posed, therefore has a ten- company's activities with their social
dency not contradictory answers. While environment. Because, if the company
the value derived from product moment does not have a contribution to the envi-
bivariate correlations to measure the va- ronment (in the broad sense), then the
lidity questionnaires used an average of company can’t operate properly and last-
0.05 at the level and some even reach ing. Information age we get from the
the 0.01 level. This is evidence that there company prospectus and grouped into
are questions of the questionnaire of this three.
study have high value ofvalidity. a) The value of one to represent com-
panies that have listings ≤ 10 years
Furthermore, for additional analysis as b) The value 2 to represent a company
well as control variables, this research that has been listing 10 to 20 years
will also use the economic information c) The value of 3 to represent a com-
relating to the quality of disclosure of pany that has listings of more than
environmental accounting. Control vari- 20 years
ables used in the study is the variable
that has been used in previous studies. Export. The existence of the export ban
Kaiser and Schulze (2003) are using age, for products from companies that do not
export, and legal ownership of their perform the conservation of the environ-
studies and found positive and signifi- ment, makes a compelling reason why

7. 80 Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86
the export of variables included in the (Lang and Lundholm 1993). Thus, there
company's economic performance vari- is allegedly a positive relationship be-
ables. The bigger the company expected tween environmental risk disclosure.
to export an environment of accounting
disclosure quality is also better because 3.2.2. Dependent variables .
of environmental conservation activities Quality of disclosures were classified
are carried out is also good. into five level (equivalent to 5 Likert’
scale).
Margin. This research was conducted 5th scale = good quality (to environ-
using margin approach al-Tuwaijri et al. mental disclosure + includ-
(2003), which compares with net income ing value of money and/or
of net sales, we assume that the greater to acquire ISO 14001 and its
the ratio the better the margin of corpo- equivalent added by future
rate environmental accounting disclo- planning
sures, or in other words there is a posi- 4th scale =good quality (to environ-
tive relationship between margin with mental disclosure + includ-
environmental disclosure. ing value of money and/or
to acquire ISO 14001 and its
Company size. Several previous studies equivalent)
rd
have consistently shown that there is a 3 scale = good enough quality (to suffi-
positive relationship between environ- cient environmental disclo-
mental disclosures by firm size (Scott, sure)
1994; Neu et al., 1998; Cormier and 2nd scale = disclosure available is not
Magnan, 1999). In this study, companies very sufficient enough
that used for the same size as that used 1st scale = the environmental accounting
Cormier (2005), ie ln-assets (natural disclosure do not have qual-
logarithm). The objective of this study is ity (in order to limited and
to get the natural logarithm of the rela- even no environmental dis-
tive data to normal, because we know closure)
the asset value of each company is very
large variance, so that surely will create 3.3. Analysis Tools
abnormalities.
The analysis used to assess the relation-
Risk. Cormier et al (2005) explains that ship between manager perceptions of the
volatility is measured by using the beta importance of disclosure of environ-
of the company. Attention to environ- mental accounting with the accounting
mental accounting management which is disclosure quality environment in Indo-
currently increasingly becomes an im- nesia is a multiple regression.
portant key to environmental informa-
tion disclosure by companies to help
Y(QualDis) = α + β1X1(Perceive) + β2X2
investors and creditors understand the
(Age) + β3X3 (Export) + β4X4 (Margin) +
risks of their investments. High risk that
the company will reduce information β5X5 (Assets) + β6X6 (Risk) + εi
costs of investors if companies provide
additional disclosure of the environment

8. Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86 81
Figure 1. Research Model
IV. RESULTS AND DISCUSSION which return the questionnaire to be
more secure. Because we have to harmo-
From the total questionnaires sent, there nize between the perception of corporate
were 283, a total of 52 questionnaires managers with the quality of disclosures
received back, or as much as 15%. After made in corporate environments, the
passing the assessment, only 39 ques- questionnaire which was sent we give
tionnaires are eligible to as samples. the code a part that is not visible. This is
This is because four of returned ques- just an attempt to become the basis of
tionnaires did not answer the question- making conclusions that do not deviate
naire thoroughly, six questionnaires from these research issues.
came from similar companies and three
questionnaires lateness (passed the pe- 4.1. Assumptions of the Classical Test
riod of analysis). This indeed is a com-
mon condition that occurs in research Normality. Jarque Berra test results ob-
that uses mail surveys because of the tained probability value 0.89. This value
weakness of researchers in the control of is greater than the value of α (0.05),
respondents. However, in using the mail which means there is no problem of nor-
survey, we have been attempting to in- mality in the data used in this study. Re-
terfere to make contact by telephone to sidual data is normal, so that the data
several companies, to conduct a confir- used in normal distribution.
mation directly to the manager or direc- 1) Linearity. In the Ramsey RESET
tor of finance of the questionnaires that test tests obtained probability
we send. Randomly, 15 company fi- value 0.44. This value indicates
nance directors successfully contacted that the linearity assumption is
by telephone, generally we do resend fulfilled, because the probability
directly addressed to the name of the of linearity> 0.05.
director who wanted to go. And this 2) Auto-correlation. Autocorrelation
business is enough yield positive results, test is used on Breusch-Godfrey

9. 82 Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86
test the LM Serial Correlation closure of environmental accounting in
Test, the result of probability of Indonesia affected by the perception of
0.91. This result is larger than α the manager of the company. Statistical
(0.05), and showed that there were significance value of 0.033 level (<0.5)
no problems of autocorrelation in can be concluded that there was indeed a
the model. significant relationship between the per-
3) Homoscedasticity. On the test is a ception of managers in Indonesia about
test used homoscedasticity White the importance of disclosure of environ-
Heteroscedasticity, obtained prob- mental accounting on the quality of the
ability value 0.01 which is smaller actual environmental accounting disclo-
than the value of α (0.05), so that sures in the financial statements of com-
we can conclude that there are panies in Indonesia. With these results
problems heteroscedasticity. In- mean we can accept the hypothesis pro-
consistent data. posed in this study.
4) Multicollinearity. Multicollinear-
ity test R2 value shows the value The results of this study do not support
of -0.91 which is smaller than the previous research conducted in China
model R2 value of 0.22. This which found no positive relationship
value indicates that there is no between perceptions of the actual report,
problem in the data and also mul- manager of environmental accounting
ticollinearity between variables. items in the annual report of company
(Jaggi and Zhao, 1996). However, this
From the whole classical assumption, we research managed to support many of
can conclude that our secondary data is a the previous studies which state that the
good and can do further testing, al- theory of legitimacy is very dominant in
though there are problems homoscedas- explaining corporate environmental dis-
ticity. closures. These are studies performed by
Hogner (1982), Guthrie and Parker
4.2. Hypothesis Testing. (1989), Patten (1991, 1992, 1995), Gray,
Kouhy and Lavers (1995), Deegan and
The hypothesis of this study says there is Rankin (1996), Deegan and Gordon
a positive and significant relationship (1996), Walden and Schwartz (1997),
between the perception of managers in Brown and Deegan (1998), Neu, War-
Indonesia about the importance of dis- same and Pedwell (1998), Burn (1998,
closure of environmental accounting Cormier and Gordon (2001), Savage,
with the quality of the actual environ- Rowlands and Cataldo (1999),
mental accounting disclosures in the fi- Wilmshurst and Frost (2000), Deegan,
nancial statements of companies in Indo- Rankin and Tobin (2002), O'Donovan
nesia. From the statistical results ob- (1999, 2002), O'Dwyer (2002) and
tained positive significant value to the Mobus (2005). This result is also sup-
relationship between the perceptions of port previous study conducted by Lindri-
managers of companies in Indonesia anasari (2007) who found that compa-
with the quality of their company's dis- nies with good environmental perform-
semination of environmental accounting ance (showed by ISO 14001) will pre-
items. With the level of 38% positive sent good environmental information in
correlation shows that the quality of dis- corporate annual reports. It shows that

10. Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86 83
companies tend to give information quality accounting disclosures showed
which will have a positive impact on the that the overall economic performance
company. variables do not have a significant rela-
tionship to the quality of environmental
Tests for control variables (economic accounting disclosures.
performances) of the company with
Table 1 . Statistical Test Result of Control Variables
Variables Age Export Margin Assets Risk
Sign. 0.387 0.784 0.665 0.801 0.545
Overall results of testing indicate that building social systems, values and
the perception variables proved to have a norms, and beliefs that exist in society,
significant relationship to the quality of has encouraged the companies to dis-
environmental accounting disclosures. close environmental information. This
And more interestingly, that the legiti- statement is strengthened by the results
macy appear to play an important role of testing the economic performance
on the pattern of Indonesia's top manag- variables that do not have a significant
ers view the importance of disclosure of relationship to the quality of environ-
environmental accounting. The results of mental accounting disclosures.
this study both confirm the results of
previous studies conducted Lindrianasari 5.2. Research Implications
(2008) that shows the economic per-
formance variables have no significance 1. If the facts prove the decreasing de-
on the quality of disclosure of environ- viations with regulations stipulated
mental accounting. This is also in line by the regulators, this clearly shows
with previous research conducted Freed- that the actual legitimacy is needed to
man and Jaggi (1982), but does not sup- minimize damage in the overall con-
port research Richardson et al. (2001). text. Not be separated in the context
of environmental accounting that ulti-
mately affect the quality of the envi-
V. Conclusion and Recommendation ronment. If the rules had been im-
5.1. Conclusions posed on all large companies in Indo-
nesia to provide a reserve fund for
From the results and discussion in the environmental conservation, then at
previous chapter can be concluded that the end of the environment surround-
the study is successfully received the ing the company will be better. And
main of hypothesis proposed. The con- it will be reflected in company dis-
tent of the annual report prepared by closures.
corporate managers is deeply influenced 2. It is time for regulators to consider the
by perceptions of the manager. Positive items that should be reported as re-
and significant relationships are shown lated to environmental conservation.
in the statistical tests in this study. Le- The consistence of monitoring and
gitimacy theory which states that the enforcement of the rules of the gov-
activities of an entity corresponds to ernment, it will give full support to

11. 84 Lindrianasari, R.W. Adriyanto / Issues in Social and Environmental Accounting 1 (2010) 74-86
achieve the environmental quality of Accounting Review, Vol. 27, No.
life better. Furthermore, it is not only 2 pp. 87-108.
a slogan and opinions about “save _________, W.Y. Hill & C.B. Roberts
environmental”, but further more It (1995b) "Environmental, Em-
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5.3. Research Limitations Barthelot, S., Denis Cormier, Michel
Magnan (2003) "Environmental
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and is expected to be corrected in future Literature, Vol. 22, pp. 1-44.
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Materiality of Environmental In- dengan Kinerja Ekonomi Peru-
formation to Users of Annual Re- sahaan di Indonesia, Jurnal
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Deegan, C. &. B. Gordon. (1996) "A gan antara Kinerja Lingkungan,
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14. Issues In Social and Environmental
Accounting Associate Editors:
Hussain, Mostaq M., University of New Burnswick, Canada
Komsiyah, University of Trisakti, Indonesia
(Issues in SEA) Editors Advisors:
Fuglister, Jayne, Cleveland State University, USA
Gray, Rob, St. Andrews University, Scotland UK
Na’im Ainun, Gadjah Mada University, Indonesia
ISSN : 1978-0591 Syakhroza, Akhmad, University of Indonesia, Indonesia
Hasan Fauzi, Sebelas Maret University, Indonesia Members of Boards:
1. Adams, Carol, La Trobe University, Australia
2. Al-Khadash Husam Aldeen, Hashemite University,
Al-Khadash,
Jordania
3. Aras, Guler Yıldız Technical University, Turkey
Guler,
CALL FOR PAPERS (8th ISSUE) 4. Ball, Amanda University of Canterbury, New Zealand
5. Berman Shawn, University of New Mexico, USA
Berman,
6. Brown Judy, Victoria University of Wellington, New
Brown,
Issues in SEA is an international journal as networking and dis- Zealand
semination means of practices and theory of social and environ- 7. Brown, Alistair, Curtin University of Technology, Australia
Brown
mental accounting. Since Problems of social and environmental 8. Campbell David, New Castle University, UK
Campbell,
in general and in accounting context in specific have been global 9. Choi Jong-Seo, Pusan National University, Korea
Choi, Jong-
10. Crowther David. De Montfort University, United King-
Crowther,
issue, it is necessary for us to share and cooperate to make bet-
dom
ter the corporate financial, social and environmental perform- 11. Donleavy, Gabriel D., University of Macau, China
ance. Issues in SEA publishes rigorous, original and innovative 12. Freeman, Edward University of Virginia, USA
Edward,
scholarly papers dealing with theoretical, empirical, applied, 13. Georgakopoulos, Georgios University of Amsterdam,
Georgios,
surveys, and case studies providing meaningful insights into the The Netherlands
subject areas. 14. Ghazali, Imam University of Diponegoro, Indonesia
Imam,
15. Guthrie, James The University of Sydney, Australia
James,
16. Husted, Bryan ITESM/Instituto de Impresa, Mexico
Bryan,
17. Ibrahim, Daing N University of Sains Malaysia, Malaysia
N.,
Subject Coverage 18. Idris, Kamis Universiti Utara malaysia
Kamis,
Topics include but are not limited to: 19. Jasch Christine Maria, The Institute for Environmental
Jasch,
Environmental accounting Management and Economics, Austria
Social accounting 20. Kent, Pamela Bond University, Australia
Kent
21. Kokubu, Katsuhiko Kobe University, Japan
Katsuhiko,
Ethical issues in accounting and financial reporting 22. Lawrence, Stewart University of Waikato, New Zealand
Stewart,
Corporate governance and accountability 23. Mahoney, Lois, Eastern Michigan University, USA
Accounting for the Costs and Benefits of CSR-related Activities 24. Murray Alan, Sheffield University, UK
Murray,
Accounting and Disclosure of Environmental Liabilities 25. Maunders, Keith, University of the South Pacific, Fiji
Corporate Environmental Strategy 26. Magness ,Vanessa Ryerson University, Toronto Canada
Vanessa
Corporate Social Performance 27. Nik Ahmad Nik Nazli, International Islamic University
Ahmad,
Malaysia, Malaysia
Corporate social responsibility and management control 28. O’Donovan Garry, University of Tasmania, Australia
O’Donovan,
Corporate social responsiveness 29. Orlitzky Marc, University of Redlands, USA
Orlitzky,
Triple bottom line performance 30. Palliam, Ralph American University of Kuwait
Ralph,
31. Parker, Lee University of South Australia
Lee,
32. Pondeville, Sophie Marquet Université University of
Marquet,
Namur, Belgium
Specific Notes for Authors
33. Rahman, Azhar A Universiti Utara Malaysia, Malaysia
A.,
Submitted papers must not have been previously published nor 34. Roberts, Robin, University of Central Florida, USA
Roberts
be currently under consideration for publication elsewhere. All 35. Rasheed, Abdul A., University of Texas at Arlington
papers are refereed through a double blind process. Issues in 36. Schaltegger, Stefan University of Lueneburg
Stefan,
Germany
SEA is published biannually in June and December, so each con- 37. Sen Swagata, University of Calcutta, India
Sen,
tributor is encouraged to submit the papers before 30 May and 38. Savage, Deborah EMA Research & Information Center
Deborah,
30 November. See information for contributors and submission (EMARIC), USA
39. Suharjanto Djoko, Sebelas Maret University, Indonesia
Suharjanto,
guidelines to submit your paper. The contributors are required to 40. Stapleton, Pamela, University of Manchester UK
submit their paper electronically, using Microsoft word, to this 41. Svensson, Goran, Oslo School of Management, Norway
address: hfauzi@icseard.uns.ac.id or hfauzi2003@gmail.com 42. Elijido-Ten Evangeline Swinburne University of Technol-
Elijido-Ten, Evangeline,
ogy, Australia
43. Belal, Ataur, Ashton University, UK
Contact: +62271827003 fax +62271827003 44. Freedman, Martin Towson University, USA
Martin,
45. Chen, Jennifer C Brigham Young University, Hawai, USA
C.,
Web Address: http://isea.icseard.uns.ac.id and
46. Cho, Charles H Concordia University, Canada
H.,
http://web.ebscohost.com 47. Patten, Den, Illonois State University, USA
Den
48. Larrinaga-González, Carlos Burgos University, Spain
Larrinaga- Carlos,
49. Laine, Matias, University of Tampere, Finland
Publication of Indonesian Centre for Social and Environ-
50. Tarta, Monica The Academy of Economic Studies,
Monica,
mental Accounting Research and Development (ICSEARD) Bucharest, Romania
and EBSCO Publishing 51. Tilt, Carol A., Flinders University, South Australia
52. Koleva, Petia University of Nantes, France
Petia,
53. Yusoff, Haslinda UiTM, Malaysia
Haslinda,
Faculty of Economics 54. Zein, Mustaffa M UiTM, Malaysia
M.,
Sebelas Maret University, 55. Selvam, V VIT University, India
V.,
Jl. Ir Sutami 36 A 56. Jardat, Rémi ISTEC, Paris, France
Rémi,
Solo 57126 57. Caliyurt, Kiymet Tunca Trakya University, Turkey
Tunca,
Indonesia 58. Momin, Mahmood Ahmed Auckland University of
Ahmed,
Technology, NZ

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