Monika Pradnya Aurelia Wijayanti (2021) Organizational Slack, Innovation Performance, Executive Compensation: Evidence From Indonesia. Skripsi thesis, UNIVERSITAS AIRLANGGA.

	Text (HALAMAN JUDUL) 1. HALAMAN JUDUL.pdf Download (461kB)
	Text (ABSTRACT) 2. ABSTRACT.pdf Download (108kB)
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	Text (CHAPTER I) 4. CHAPTER I INTRODUCTION.pdf Download (105kB)
	Text (CHAPTER II) 5. CHAPTER II LITERATURE REVIEW.pdf Restricted to Registered users only until 8 July 2024. Download (145kB) | Request a copy
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Abstract

The purpose of this study was to examine the relationship between 3 types of organizational slack, namely available, recoverable, and potential slack on the company's innovation performance using executive compensation as a moderator between variables. This study used 1342 samples from 233 companies listed on the Indonesia Stock Exchange in 2010-2019 using the Ordinary Least Square Regression analysis model with STATA 14.0 software. This study found that Available slack shows a positive relationship with the innovation performance of companies in Indonesia, while Recoverable and Potential slack show a negative relationship. Furthermore, when the slacks was examined using the Executive Compensation as a moderating variables; Available and Recoverable slack show a positive relationship with innovation performance. This shows that the higher the level of compensation received by executives, the higher the willingness of the board of directors to use internal slack to take bigger risks which will lead to better corporate innovation performance. This research contributes to the literature related to slack and innovation in Indonesian companies, and is also expected to contribute to the implementation of company policies, management, and other external parties.

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