The Influence of Good Corporate Governance Structure on the Quality of Financial Reports

This quantitative research with Good Corporate Governance Structure as an independent variable proxied by 3 indicators, namely the independent board of commissioners, audit committee, and board of directors, and the dependent variable is the Quality of Financial Reports. The sample of this study consisted of 20 companies that were consistently listed on the Jakarta Islamic Index (JII) during the 2021-2023 period. The measurement method in this study is a quantitative method with the Partial Least Square (PLS) method which in its statistical testing uses the SmartPLS 4 program. The results of the study show that: the Independent Board of Commissioners has a positive effect on the Quality of Financial Reports (1), the Audit Committee has no effect on the Quality of Financial Reports (2), the Board of Directors has a positive effect on the Quality of Financial Reports (3). The results of the study can explain that the presence of independent commissioners makes the quality of financial reports better because the board of commissioners acts as a representation of investors. The audit committee may not be able to carry out its duties effectively if management does not provide detailed information or lacks transparency, Then the more directors in a company, the better cooperation will be in determining and evaluating the company's strategy for both the short and long term.