Corporate Governance in Indonesia

Arif Hartono, SE. MHRM. PhD.

Introduction of Indonesia

Gross Domestic Product (GDP) in 2009 was estimated at US$ 969.2 billion or around US$ 4,000 per capita

Industry contributes 47.6%, services 37.1%, and agriculture 15.3%. Java Island contributes 57.8%, Sumatra 23.6%, Kalimantan 9.5%, Sulawesi 4.4%, Bali and Nusa Tenggara 2.8%, and Maluku and Papua 1.9%.

Introduction of Indonesia

Indonesian GDP growth: 2005 (5.7%), 2006 (5.5%), 2007 (6.3%), 2008 (6.0%) and 2009 (4.5%). inflation index: 2005 (17.11%), 2006 (6.60%). 2007 (6.59%), 2008 (11.06%), 2009 (2.78%), and 2010 (2.42%) (data per June 2010).

Indonesian Economics in the New Order Governmant (1965-1997)

The growing per capita GDP from US$70 to more than US$1,000 by 1996 Inflation was held between 5%-10% The exchange value of the Rupiah was stable and predictable. To maintain the economic growth, the government tightly controlled almost all aspects of Indonesian life. There was no freedom of speech of the media and press

Indonesian Economics in the Asian Financial Crisi (1997)

The rupiah had fallen from Rp 2,600/US$1 in August 1997 to Rp 11,000/US$1 in early 1998 The economic growth rate declined significantly from an average of 8% to 0.6% during 1997-2002 Many (local) companies went bankrupt or collapsed, exports declined, there were significant increases in the unemployment level and poverty, and many multi national companies withdrew their staff and operations.

Indonesian Economics in the post Asian Financial Crisis

The Indonesian government set up a series of economic and institutional reforms including, prudent macro economic management, the restructure of the banking sector, the resolution of corporate debts issues, promoting good governance, addressing the social impact, and maintaining political stability The implementation of these agendas, in tandem with success in maintaining political and social dynamics, had brought Indonesia back to the right track which was indicated in economic growth around 6%, manageable inflation under 10%, increased exports, and reduced poverty and unemployment . More recently, Indonesia has become a quite stable economy that was little affected by the 2009 global economic crisis and it is now considered a growth nation

Indonesian CG

Guidance of GCG in Indonesia can be found in www.governance-indonesia.or.id Guidance of GCG in Indonesia was set up by KNKG (Komite Nasional Kebijakan Governance) KNKG consists of Sub-Komite Korporasi & Sub-Komite Public

Indonesian CG

The contens of guidance of GCG in Indonesia

Bab I : Penciptaan Situasi Kondusif untuk Melaksanakan GCG Bab II : Asas GCG Bab III : Etika Bisnis & Pedoman Perilaku Bab IV : Organ Perusahaan Bab V : Pemegang Saham Bab VI : Pemangku Kepentingan Bab VII : Pernyataan tentang Penerapan GCG Bab VIII : Pedoman Praktis Penerapan GCG

Bab I: Penciptaan Situasi Kondusif untuk Melaksanakan GCG

Peranan Negara Peranan Dunia Usaha Peranan Masyarakat

Bab II: Asas GCG

Transparency (Transparansi) Accountability (Akuntabilitas) Responsibility (Responsibilitas) Independency (Independensi) Fairness (Kewajaran & Kesetaraan)

Bab III: Etika Bisnis & Pedoman Perilaku

Nilai Perusahaan Etika Bisnis Pedoman Perilaku

Fungsi pedoman perilaku Benturan kepentingan Pemberian dan penerimaan hadiah dan donasi Kepatuhan terhadap peraturan Kerahasiaan Informasi Pelaporan atas pelanggaran dan perlindungan bagi pelapor

Bab IV: Organ Perusahaan

RUPS Dewan Komisaris & Direksi Dewan Komisaris

Komposisi, Pengangkatan dan Pemberhentian Anggota Dewan Komisaris Kemampuan dan Integritas Anggota Dewan Komisaris Fungsi Pengawasan Dewan Komisaris Komite Penunjang Dewan Komisaris Pertanggungjawaban Dewan Komisaris Komposisi Direksi Kemampuan dan Integritas Anggota Direksi Fungsi Direksi Pertanggungjawaban Direksi

Direksi

Bab V: Pemegang Saham

Hak dan Tanggungjawab Pemegang Saham Tanggungjawab Perusahaan terhadap Hak dan Kewajiban Pemegang Saham

Bab VI: Pemangku Kepentingan

Karyawan Mitra Bisnis Masyarakat serta Pengguna Produk dan Jasa

Bab VII: Pernyataan tentang Penerapan GCG

Pernyataan tentang penerapan GCG beserta laporannya, merupakan bagian dari laporan tahunan perusahaan. Dalam hal belum seluruh aspek Pedoman GCG ini dapat dilaksanakan, perusahaan harus mengungkapkan aspek yang belum dilaksanakan tersebut beserta alasannya. Laporan tentang struktur dan mekanisme kerja organ perusahaan Informasi penting lainnya yang berkaitan dengan penerapan GCG dan perlu diungkapkan dalam laporan penerapan GCG

Bab VIII: Pedoman Praktis Penerapan GCG

Dalam rangka penerapan GCG, masingmasing perusahaan harus menyusun pedoman GCG perusahaan dengan mengacu pada Pedoman GCG ini dan Pedoman Sektoral (bila ada). Agar pelaksanaan GCG dapat berjalan efektif, diperlukan proses keikutsertaan semua pihak dalam perusahaan.