CORPORATE GOVERNANCE DAN KINERJA PERUSAHAAN

Successful implementation of good corporate governance practice is driven by a corporate culture that supports the application of corporate governance. Implementation of corporate governance should be top-down approach involving commissioners and directors of the company. Policies and decisions taken by management will be reflected on the company's performance. Government of Indonesia regulations require all listed companies to perform good corporate governance, but the company's participation in Corporate Governance Perception Index (CGPI) program is still very low. This research has purpose to find any empirical evidence about differences in performance between companies that have and don�t have GCPI ranking and the influence of corporate governance�s implementation, board of director size and the proportion of independent commissioners toward to firm performance in Indonesia. The population is listed non-financial company at Indonesia Stock Exchange, while the sample is company over the period 2008- 2011 that are in the same sub-sector with listed company that follows the CGPI ranking over the period 2009-2012. Purposive sampling method has used to take these sample data. Hypothesis testing used independent sample test and regression analysis. Results show companies that have CGPI ranking has better performance on Return On Asset (ROA) and Tobin�s Q compared to companies that do not have CGPI ranking. Corporate governance�s implementation have positive significant influence on ROA and Tobin�s Q. Board of director�s size has positive significant influence on ROA, Net Profit Margin (NPM) dan Tobin�s Q. The proportion of independent commissioners has negative significant influence on ROA