UNS – Prof. Dra. Y Anni Aryani, M.Prof.Acc., Ph.D., Ak., CA., has been inaugurated as a new professor at Universitas Sebelas Maret (UNS) Surakarta. She is the 21st professor in the Faculty of Economics and Business (FEB) and the 310th at UNS. Her expertise lies in behavioral accounting, and her inaugural speech was titled “Women in Corporate Governance: Ethical Behavior in Financial Reporting.”
Behavioral accounting, Prof. Y Anni’s area of expertise, explores the psychological factors influencing human decision-making and their impact on accounting information and business practices. Subjective factors such as individual biases and cognitive styles can affect the interpretation and presentation of accounting information.
Prof. Y Anni highlighted that one critical factor influencing behavioral dimensions in accounting is the understanding of ethics. In preparing profit information for financial statements, management’s actions are bound by ethical considerations, which determine whether the actions are right or wrong, honest or dishonest, and fair or unfair. Thus, the quality of earnings relies heavily on the ethical behavior of management in financial reporting.
“In the context of profit reporting, management has the discretion to engage in earnings management. From an ethical perspective, this raises the question of whether such actions are justifiable. A person’s code of ethics and behavior should ideally prevent earnings management,” Prof. Y Anni explained.
The challenge arises when the line between ethical and unethical earnings management becomes blurred. Issues emerge when earnings management escalates into profit manipulation, ultimately lowering earnings quality. Prof. Y Anni’s findings reveal that earnings management practices occur not only in non-financial companies but also within banking sectors, both in Indonesia and globally.
“Our research indicates that female directors effectively reduce earnings management, thereby improving earnings quality. However, this influence is contingent on the inherent characteristics of the female directors,” she elaborated.
Interestingly, female directors with higher education levels were found to have increased motivation for earnings management. Those with educational backgrounds in economics, finance, or accounting also tended to earnings management. However, when these female directors possessed advanced education and expertise in these fields, they displayed fewer incentives to engage in earnings management.
This suggests that female directors with advanced education and specialized knowledge are more attuned to the consequences of earnings management. Furthermore, the tenure of female directors also plays a significant role; longer tenures correlate with reduced earnings management due to increased expertise in organizational management and oversight responsibilities.
Prof. Y Anni’s research concludes that in Indonesia, the presence of women in corporate governance can positively impact companies. Women are believed to demonstrate superior oversight skills and are less tolerant of opportunistic or unethical behavior, making them effective corporate supervisors.
For the UNS Rector, Prof. Dr. Hartono, dr., M.Si., this inauguration is not only a source of pride for the newly appointed professors and their families but also for the entire UNS academic community. He encouraged the UNS community to use this milestone as inspiration and motivation to enhance the quality of education, research, and innovation at the university.
Her expertise underscores UNS’s commitment to achieving the United Nations’ Sustainable Development Goals (SDGs), particularly Goal 5: Gender Equality and Goal 16: Peace, Justice, and Strong Institutions.
“We hope that the newly inaugurated professors will make even greater contributions to UNS, society, the nation, and the country and that their achievements will bring blessings to us all,” Prof. Hartono stated.
Humas UNS
Reporter: R. P. Adji
Editor: Dwi Hastuti
