Efficiency, Performance, Potential Improvement And Dual Banking Analysis of BPR & BPRS In West Java

The banking sector is the area with the most corruption on a global and national scale (ACFE, 2021; ACFE Indonesia Chapter, 2020). The banking sector itself is a sector that is rigid in terms of regulation and places great emphasis on prudential aspects in its business processes. Bahoo (2020) in his paper states that corruption in the banking sector raises considerations for building an anti-corruption architectural system within banks to eradicate corruption. This preliminary study will describe cases of corruption in the banking sector in Indonesia in a limited period of time. This study uses data from court rulings related to banking corruption cases registered in 2020. The overview of corruption cases shows the central tendency related to the profile of fraudsters, the value of state finance loss, court imprisonment, and the modus operandi of fraud/corruption committed by the perpetrators. The findings show that corruption in the banking sector in Indonesia occurs at State-Owned Enterprises and Local Government-Owned in the form of commercial banks, rural banks and sharia rural banks. The data indicates that in terms of gender, the fraudsters, although still dominated by the male gender, are relatively equal with the female gender where ratio of the male and the female is 6:4. Furthermore, the data indicates that in terms of position or rank of the fraudster, the higher the position of the bank’s internal employee, the greater the value of state finance loss incurred. The results of this study also show that the modus operandi of crimes that often occur is borrowing the name of the debtor, fictitious credit, and collusion in applying for credit. The repeated modus operandi is a challenge for policy managers in designing better systems and governance to eliminate the level of corruption in the banking sector. In the future, it is necessary to expand and enrich data collection and data analysis of corruption cases in the banking sector in Indonesia so that it can provide a better picture.

This study aims to examine the influence of good corporate governance proxied by the size of the audit committee, the size of the board of directors, and the size of the board of commissioners, as well as the ownership structure proxied by managerial ownership and institutional ownership on firm value in the banking sector in Indonesia. The research population consists of all banking companies listed on the Indonesia Stock Exchange for the period 2018-2021. The sample was selected using a purposive sampling technique, resulting in 29 companies with a total of 116 observations. This study employs multiple linear regression analysis using SPSS version 23 software. The results indicate that the size of the audit committee, the size of the board of commissioners, managerial ownership, and institutional ownership have a positive and significant effect on firm value. Meanwhile, the size of the board of directors does not affect firm value. Simultaneously, the size of the audit committee, the size of the board of directors, the size of the board of commissioners, managerial ownership, and institutional ownership significantly influence firm value with a coefficient of determination of 16.1%. This study implies that the implementation of good corporate governance and proper ownership structure can enhance the firm value of the banking sector in Indonesia.

Bank Efficiency has been an important issue in the process of Indonesia's banking recovery after facing banking crisis. In most of the transition countries such Indonesia the relative comparison of banks by size, type of ownership has at some point been an issue. How good it is to let new banks enter the market? Should the state owned banks be sold to public or foreigners? Do small banks have future in the era of globalization? How good the intermediation function has been done by banks? These, and other questions continue to dominate discussions of Indonesia 's banking sector. In this paper I analyze efficiency of eleven largest banks in Indonesia using Data Envelopment Analysis (DEA). DEA is a methodology for analyzing relative efficiency and managerial performance of productive units having same multiple inputs and multiple outputs. It allows us to compare relative efficiency of banks by determining the efficient banks, which span the frontier. The most important advantage of DEA over traditional econometric frontier studies is that it is a non parametric, deterministic method and therefore doses not require a priori assumptions about the analytical form of the production function. Therefore the probability of misspecification of the production technology is zero. The disadvantage is that, being a non parametric method, it is more sensitive to possible mismeasurement problems. I measured relative efficiency of eleven largest banks in Indonesia according to their size and type of ownership. Eleven largest banks in Indonesia dominate over 60% of banking sector. I found that in 2002, no state owned banks reached efficient, three of six largest private owned banks reached efficient frontier and Citibank as one and only foreign owned banks reached efficient. In 2003, only one of four state owned bank reached efficient. Three of six private owned banks reached efficient. Citibank still reached efficient. Based on this result, type of ownership appears to have correlation with efficiency. Foreign owned bank is the most efficient, and that state owned banks are the less efficient. Private owned banks are in the middle. Only fifty percent of private owned banks reached efficient.

This study examines the Indonesian banking performance before and during the COVID-19 pandemic with focus on the impact of the government's countercyclical policies as an economic stimulus. The research population is commercial banks listed on the IDX, using purposive sampling technique and secondary data from Publication Reports for the 2017-2022 period using the Wilcoxon test. The findings show that there are significant differences between banking LDR, NIM, CAR and there are no significant differences between NPL, ROA before and during the COVID-19 pandemic. The empirical results from this research can be used by bankers, financial regulator and the government to design further policies in handling the impact of the COVID-19 pandemic and post-pandemic which can strengthen financial stability, especially in the banking sector in Indonesia.

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This study examines the influence of Capital Adequacy Ratio (CAR), Net Interest Margin (NIM), Operational Income on Operating Costs (BOPO), and Loan to Deposit Ratio (LDR) on profit growth in the Indonesian banking sector, both before and during the COVID-19 pandemic. The research employs panel data regression with a sample of 44 banking companies listed on the Indonesia Stock Exchange (IDX). The results show that before the pandemic, CAR had a positive and significant effect on profit growth, while NIM and BOPO had negative and significant effects. LDR, however, showed a negative but insignificant effect. During the COVID-19 pandemic, CAR, NIM, and BOPO were found to have negative and significant impacts on profit growth, whereas LDR also negatively affected profit growth. Simultaneous testing confirms that CAR, NIM, BOPO, and LDR significantly influence profit growth in both periods. The findings provide managerial implications for banking companies to monitor key financial ratios that affect profitability. A healthier and more stable banking industry increases public trust and supports financial system stability. For investors, the study highlights the importance of understanding these financial factors when making investment decisions in the banking sector.

This study aimed to develop an Artificial Intelligence (AI)-based integrative model that combines the principles of Good Corporate Governance (GCG), Environmental, Social, and Governance (ESG), and Sustainable Development Goals (SDGs) to strengthen the financial performance and sustainability of the banking sector in Indonesia. The research sample consists of relevant literature consisting of 42 scientific publications on the application of GCG, ESG, SDGs, and AI in the banking sector. The research method uses a qualitative approach with a Systematic Literature Review (SLR) combined with a design thinking framework to develop an applicable and adaptive conceptual model. The results show that the low quality of ESG-SDGs disclosure in the Indonesian banking sector remains a major challenge, and AI integration can improve the transparency, accuracy, and credibility of sustainability reports. The developed integrative model offers a holistic approach to banking governance by utilizing AI for risk analysis, data-driven decision-making, and real-time monitoring of sustainability performance. The contribution of this research lies in the development of a conceptual framework that fills the gaps in previous research, while providing a strategic foundation for the Indonesian banking sector in designing more transparent, efficient, and competitive digital governance and sustainability in the era of technological transformation

In this digital era, the changes that occur in a company move quickly, so companies must be able to adapt and have a strategy so as not to be disturbed by current developments, one of which is managing and paying attention to the quality of human resources. well, which can start with quality recruitment patterns and appropriate career development, including in the banking sector. The aim of this research is to find out how human resources are managed, especially patterns of worker recruitment and career development carried out by the banking sector in Indonesia. The method used in this research is descriptive analysis, with the main data source being the financial reports of BRI and Bank Mandiri. The research results show that there are similarities in the recruitment and career development patterns of the four banks, namely the use of digital technology in recruitment and career development, digital skills possessed by workers, and competency-based career development. Apart from similarities, there are also several differences, including the recruitment methods used and career development programs, which are influenced by the company's strategic focus.

The increasing development of digital accounting systems has increased its influence on the decision-making quality. This study aims to examine the effect of the success factors of the digital accounting system on the advancement of the decision-making quality in the banking sector in Indonesia. Questionnaires were sent to 98 decision makers who are actual users of the digital accounting system. A quantitative research approach was adopted to examine the proposed research model using SEM-PLS. The results of the study show that the information quality has a significant impact on the overall quality of decision making with digital accounting systems, while data quality and system quality have an insignificant impact. The results also show that information quality has mediated the relationship between data quality and system quality on the decision-making quality. Analytical decision-making culture has strengthened the relationship between information quality and decision-making quality. This research will provide interesting implications and recommendations for practitioners, accounting managers and decision makers about evaluating the influence of digital accounting systems on improving the quality of decision making in the banking sector in Indonesia. Keywords: digital accounting system, decision-making quality, digitalization.

The principles of green banking can strengthen bank risk management strategies, especially related to the environment, and encourage banks to increase investment in environmentally friendly financing. Green banking has developed in its practice with the emergence of regulations, changes, or reconstruction of policies in the banking sector in Indonesia. Therefore, this study aims to examine and analyze the development of the application of green banking in banking policies. Then, it will also find out and analyze the importance of green banking in banking policies in fulfilling banking responsibilities in considering environmental protection in Indonesia. This chapter uses doctrinal legal research methods and is analyzed analytically and qualitatively. The role played by banking corporations is very significant in having a broad impact on the application and efforts to achieve the goals of the green banking concept. The weakness of policies in the banking sector and other implementing regulations in Indonesia has resulted in not a few violations occurring and resulting in damage to the existing environment. Clear regulations as legality in regulating the implementation of green banking and supervision and evaluation are needed to have a broad positive impact on the sustainability and preservation of nature.

The financial sector system is unlawfully used for money laundering, which causes massive losses for the state and country. An essential component of successfully combating money laundering is regulatory technology (RegTech). This study aims to investigate the impact of implementing Electronic Know Your Customer (e-KYC), transaction monitoring (TM), cost and time efficiencies (CTE), regulatory compliance (RC), and technology information infrastructure (ITI), in money laundering preventing (MLP) in the banking sector in Indonesia. A quantitative method is used to explore the interplay of variables. The research sample consists of 50 owners of BRI Link agents. Data analysis is conducted using a linear regression model. The study's findings underscore the significant influence of TM, CTE, RC, and ITI on the effectiveness of PML, with CTE emerging as the most influential driver. Despite a moderately positive correlation among these factors, the e-KYC provided by regulatory technology (RegTech) does not exert a substantial impact on MLP. The implications of this research suggest that the adoption of RegTech, positively contributes to MLP efforts in banking institutions, highlighting the importance of utilizing technology and regulations to enhance Anti Money Laundry (AML) measures.

The purpose of this paper is to conduct an empirical study about the structure and performance of the banking sector in Indonesia with several specific factors which influenced the firms and the other control variables. This study used panel data which are the secondary data, total asset, ROA, CAR, LDR, and ROE ranging from 2010 to 2019. The sources are taken for the last ten years which is from the form of bank financial statements published by Bank Indonesia and Indonesian banking statistics published by the Indonesia financial services authority as well as from annual financial statements of each bank. In order to measure structure, this paper used concentration ratio as well as HHI for four large banks, to know the performance of the firm, this study used Return on Asset data, and to analyze the relationship between structure and performance, it used simple linear regression. This paper found that Indonesian banking has a high concentration, it proved from the value of HHI is more than 2500, and the value of CR4 shows between 40% and no more than 60%. It shows that the Indonesian banking sector is an Oligopoly market. Following further, there is a negative relative between the structure and performance of the firm proving the result of regression between total assets and CR4 for ten years.

The objective of this study is to examine the effect of corporate governance, financial distress, tax incentives, and firm size on accounting conservatism in the banking sector in Indonesia. Corporate governance mechanisms in this study are represented by managerial ownership and institutional ownership, reflecting the role of governance structures in influencing accounting practices. The study analyzes a total of 75 data units derived from 25 banking companies listed on the Indonesia Stock Exchange (BEI) during the 2021-2023 period, selected through purposive sampling. This research employs a quantitative research method and relies on secondary data sources, such as annual reports and company financial statements. The analysis technique used is multiple linear regression technique using Stata version 13. The results of the study prove that there is a negative significant effect of financial distress and tax incentives, but there is no significant effect of managerial ownership, institutional ownership, bank size on accounting conservatism.

Fraud is a morally repugnant, illegal, costly societal issue. Because fraud has such a negative impact on economic development, profitability, and the welfare of business, it has emerged as a major threat on a global scale. Moreover, each year, there are a growing number of instances of fraud that are recorded. In Recent years, instances of fraud have captured the attention of the general public. This study aims to determine whether internal audit, corporate culture, audit committees, inspectors, policies, and procedures as well as the adoption of information technology affect the effectiveness of management fraud risk in the banking sector in Indonesia or not. The study uses quantitative research method. The results of study show that anternal audit, inspection, and IT adoption were discovered to have a positive and significant relationship with the efficiency of bank fraud risk management by the researchers. While other variables, such as corporate culture, audit committee, and policies and procedures, have a negative relationship with the effectiveness of fraud risk management, the policies and procedures have no significant impact on the effectiveness of fraud risk management.

Purpose: This study analyzes the effect of return on assets (ROA), net profit margin (NPM), debt-to-equity ratio (DER), and earnings per share (EPS) on the share price of banking companies on the Indonesia Stock Exchange (IDX). Research Design and Methodology: This study uses secondary data from 6 banking companies selected by purposive sampling based on financial reports for 2018–2022. The analysis was conducted using IBM SPSS version 25 to test the relationship between these variables. Findings and Discussion: The analysis shows that EPS has a positive and significant effect on stock prices, while DER shows a negative but insignificant effect. ROA and NPM show a positive but insignificant effect. Implications: This research guides investors to pay more attention to EPS when making investment decisions and encourages companies to improve operational performance to attract investors. Novelty: This research is unique in its particular focus on the banking sector in Indonesia and its integration of fundamental analysis from short-term and long-term perspectives.