A Comparison of Disclosure Practice of the Activities of 3r in Japan, United Kingdom and Indonesia in the Context of Environment Regulation
Abstract
Along with the increase in business competition and globalization, stakeholders not only demand a company’s financial statements to make decisions, but they also require more information such as information on environmental performance. The information incorporated in the environmental performance of the company’s business plan and strategy with the ultimate goal, that is, improving the company’s corporate value to stakeholders. This study elaborates on the differences in disclosure practices of the application of environmental performance that are the activity of 3R (Reduce, Reuse and Recycle) conducted in Japan, United Kingdom and Indonesia in the context of environmental regulations that exists in each country through all disclosures, that is the annual report, website and other separate report. This study used 30 data samples of listed manufacturing companies in each country. This study found that the existing environmental regulations in each country is affecting the implementation of the activities of 3R that then affects the disclosure by the company. The activities of 3R were encountered in the CSR Report, Environmental Report, SHE Report, Sustainability Report, Environmental Sustainability Report, Environmental & Social Reporting. In Japan, the level of the activities of 3R and the quality of information disclosure in the activities of 3R is the highest, followed by the UK and Indonesia. Research reveals that voluntary case will cause the hidden information that were disclosed in the media.
Keywords: environmental performance, 3R activities, disclosure, regulation
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