The Impact of Corporate Governance and Corporate Social Responsibility of Company Financial Performance of Sri Lankan Listed Companies

Abstract

The influence of corporate governance and corporate social responsibility monitoring mechanisms on the decision of CSR participation. After controlling for numerous business characteristics, the study reveals that CSR choice is positively associated with corporate governance and monitoring mechanisms, such as board leadership, board independence, institutional ownership, analyst following, and antitakeover provisions. After then, a CSR disclosure index was created by aggregating CSR disclosure elements from annual reports and company websites. The researcher followed a secondary data collection strategy in this experiment. As a result, data was collected using public annual reports. This strategy is called secondary data collection, and the researcher did not collect or collect data personally from the responding parties. Data are collected from issued annual reports. To analysis with the IBM Statistics Sociology Package (SPSS 22), the data in the annual reports of publicly traded. The relationship between corporate governance and corporate social responsibility based on top 40 manufacturing firms in listed companies are highly regulated and study outcome would be changed due to that nature. As a result, the problem statement would be what influence does The Impact of Corporate Governance and Corporate Social Responsibility. Increasing nonexecutive directors benefits and expanses reduce company overall performance level. As well as, other three independent variables have positive relationship with financial performance of banking, finance and insurance institutions of Sri Lanka.