The Impact of CEO Narcissism Behavior on Firm Performance through Earnings Management
DOI:
https://doi.org/10.57178/atestasi.v4i1.164Keywords:
CEO Narcissism, Firm Performance, Earnings ManagementAbstract
The purpose of this study is to see if Narcissistic CEO behavior patterns lead to earnings management. This study looks at the signs of Narcissistic CEO management practices and how they relate to company performance in 19 Manufacturing Companies listed on the IDX from 2017 to 2019. There are 57 people in the sample. The method of research used in this study was quantitative research with a causal approach. The SPSS test tool for Windows 24.0 is used to test hypotheses by using Path analysis. The findings, CEO narcissism, impact earnings management behavior, but it also impacts company performance through earnings management practices or actions. The CEO is the custodian of data and has the power to make decisions, including policies. The accounting will make every effort to portray good performance through a positive image and profit achievement as expected by investors as an indicator of performance measurement; as a result, CEOs with high self-confidence will use accounting policies to practice earnings management by adding profit figures as needed and the investors' wishes or lowering the profit rate as necessary to achieve the desired results
Downloads
References
Amin, A. (2015). Pengaruh Perputaran Kas, Perputaran Persediaan, Pertumbuhan Penjualan Terhadap Profitabilitas Pada Perusahaan Food And Beverageyang Terdaftar Di Bursa Efek Indonesia. Akmen. Jurnal Ilmiah, 12(4), 525-533 https://doi.org/10.37476/akmen.v12i4
Arif, M. S., Aulia, R., & Herawati, N. (2014). Persepsi Mahasiswa Akuntansi Tentang Praktik Creative Accounting. JAMAL. Jurnal Akuntansi Multiparadigma, 5(1).
Campbell, W., Bush, C., Brunell, A., & Shelton, J. (2005). Understanding the social costs of Narcissism: the case of the tragedy of the commons. Personality and Social Psychology Bulletin, 31, 1358-68.
Chatterjee, A., & Hambrick, D. (2007). It’s all about me: narcissistic chief executive officers and their effects on company strategy and performance. Administrative Science Quarterly, 52(3), 351-386.
Doho, S. Z., & Santoso, E. B. (2020). Pengaruh Karakteristik Ceo, Komisaris Independen, Dan Kualitas Auditterhadap Penghindaran pajak. Media Akuntansi dan Perpajakan Indonesia, 1(2), 70-82.
Falah, L. J., & Mita, A. F. (2020). Peran Narsisme CEOTerhadap Pengungkapan ESGdi Negara ASEAN-5. Jurnal Riset Akuntansi dan Keuangan, 8(2), 393-404.
Gerstner, W., Konig, A., Enders , A., & Hambrick, D. (2013). CEO Narcissism, Audience Engagement, And Organizational Adoption Of Technological Discontinuities. Administrative Science Quarterly, 58(2), pp.257-291.
Guan, L., Wright, C., & Leikam, S. (2005). Earnings Management and Forced CEO Dismissal. Advances in Accounting., 21, 61-81.
Hambrick, D., & Mason, P. (1984). Upper echelons: the organization as a reflection of its top managers. Academy of Management Review, 9(2), 193-206.
Hery. (2015). Analisis Laporan Keuangan - Pendekatan Rasio Keuangan. Yogyakarta: Center for Academic Publishing Service.
Kim., B., Lee, S., & Kang, K. (2018). The moderating role of CEO narcissism on the relationship between uncertainty avoidance and CSR. Tourism Management.
Kusuma, A. B., Setyanto, A. T., & Khasan, M. (2019). Kontrol Diri Dan Kecenderungan Narsistikpada Pengguna Media Sosial Instagram. Jurnal Psikologi Ilmiah, 11(1).
Li, J., & Tang, Y. (2010). CEO hubris and firm risk taking in China: the moderating role of managerial discretion. Academy of Management Journal, 53(1), 45-68.
Li., Y., Gong, M., Zhang, X., & Koh. L. (2018). The impact of environmental, social, and governance disclosure on firm value: The role of CEO power. British Accounting Review. https://doi.org/10.1016/j.bar.2017.09.007
Lin, H., Sui, Y., Ma, H., Wang, L., & Zeng, S. (2018). CEO Narcissism, Public Concern, and Megaproject Social Responsibility: Moderated Mediating Examination. Journal of Management in Engineering., 34(4), https://doi:10.1061/(asce)me.1943-5479.0000629
Marquez, I., Zebedee, G., A., A., & Zhou, L. (2019). Hear Me Write: Does CEO Narcissism Affect Disclosure?. Journal of Business Ethics.
Natonis, S. A. (2019). Pengaruh Aspek Keperilakukan CEO terhadap Kinerja Perusahaan: Sebuah Studi Literatur. Owner. Riset&Riset Akuntansi, 3(2), 250-259. https://doi.org/10.33395/owner.v3i2.165
Njatrijani, R., Rahmanda, B., & Saputra, R. D. (2019). Hubungan Hukum dan Penerapan Prinsip Good Corporate Governance dalam Perusahaan. Jurnal Gema Keadilan, 6(III).
Nugraheni, H., & Wahyuni, S. (2016). Pengaruh Narsismedan Job Stressor Pada Perilaku Kerja Kontra Produktif Dengan Respon Emosional Negatif (Anger) Sebagai Mediator. Jurnal Bisnis & Manajemen, 16(2), 49-66.
Oesterle, M., Elosge, C., & Elosge, L. (2016). The role of CEO narcissism in internationalization decisions. International Business Review.
Olsen, K., Dworkis, K., & Young, S. (2014). CEO narcissism and accounting A picture of profits. Journal of Management Accounting Research, 26(2), 243-267.
Phandeirot, M. (2017). Pengaruh CEO Duality, Earning Management dan Corporate Reputation terhadap Financial Performance pada Perusahaan yang Terdaftar di Bursa Efek Indonesia. Petra Business & Management Review, 3(1), 117-134.
Putri, N. E., & Ramantha, I. (2019). Pengaruh Pergantian CEO Pada Profitabilitas dengan Manajemen Laba. E-Jurnal Akuntansi, 26(3), 2479 -2503. https://doi.org/10.24843/EJA.2019.v26.i03.p30
Reina, C., Zhang, Z., & Peterson, S. (2014). CEO grandiose narcissism and firm performance: The role of organizational identification. The Leadership Quarterly, 25(5), 958-971.
Sadia, N. M., & Sukartha, I. (2014). Pengaruh Pergantian CEO Pada Praktik Manajemen Laba Perusahaan Publik Yang Terdaftar Di Bursa Efek Indonesia. E-Jurnal Akuntansi, 8(1), 200-210.
Sakina, D. A., Wahyuni, N. I., & Mas'ud, I. (2014). Narsisme Dalam Pelaporan Corporate Social Responsibility: AnalisisSemiotik Atas Sustainability Reporting PT. Kaltim Prima Coal Dan PT. Perkebunan Nusantara XIII (Persero). e-Journal Ekonomi Bisnis dan Akuntansi, 1(1), 32-41.
Sakinah, U., Zatrahadi, M., & Darmawati, D. (2019). Fenomena Narsistikdi Media Sosial Sebagai Bentuk Pengakuan Diri. Al-Ittizaan: Jurnal Bimbingan Konseling Islam, 2(1), 34-43.
Sanjaya, S., & Rizky, M. F. (2018). Analisis Profitabilitas Dalam Menilai Kinerja Keuangan Pada PT. Taspen (Persero) Medan. Jurnal KITABAH, 2(2).
Sintyana, I. H., & Artini, L. S. (2019). Pengaruh Profitabilitas, Struktur Modal, Ukuranperusahaan Dan Kebijakan Dividen Terhadap Nilaiperusahaan. E-Jurnal Manajemen, 8(2), 7717–7745.
Zhang, H., Tsui , Y., A.S, & Wang, H. (2017). CEO humility, Narcissism and firm innovation: A paradox perspective on CEO traits. The Leadership Quarterly, 28(5), 585-604.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2021 Atestasi : Jurnal Ilmiah Akuntansi
This work is licensed under a Creative Commons Attribution 4.0 International License.
