Anti-corruption law and role of the supervisory board: An emerging market study

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Abstract

This study aims to identify factors impacting the Supervisory Board’s effectiveness, propose solutions to enhance the Corruption Eradication Commission’s (Komisi Pemberantasan Korupsi, KPK) performance accountability, and determine strategic steps for the Supervisory Board. The research employs qualitative methods, including content analysis, interviews, and the analytic network process (ANP). This study evaluates KPK’s accountability since the board’s establishment, focusing on four key factors: 1) internal policy and governance, 2) internal supervision and control, 3) leadership and management, and 4) performance evaluation. The theoretical framework employed is agency theory, as elaborated by Lane (2000) and Halim Pranata and Zarkasi (2021), applied to public organizations. The findings suggest that improving KPK’s accountability requires strategies such as formulating integrated standard operating procedures, involving the Supervisory Board in revising internal policies, and implementing continuous supervision programs. Additionally, the consistent application of collegial collective principles and integration of a real-time performance management system is crucial. These steps aim to enhance KPK’s transparency, efficiency, and integrity in combating corruption, such as implementing regular public disclosure of financial transactions, streamlining internal processes to reduce delays, and conducting regular integrity training for all staff. The study is novel, as it is the first to explore these factors and the Supervisory Board’s role in improving KPK’s accountability.

Keywords: Corruption Law, Supervisory Board, Accountability, Anti-Corruption Commission, Analytic Network Process

Authors’ individual contribution: Conceptualization — R.M.Y. and L.N.W.; Methodology — R.M.Y. and R.Y.M.; Investigation — R.M.Y., L.N.W., and R.Y.M.; Resources — R.M.Y., L.N.W., and R.Y.M.; Data Curation — R.M.Y.; Writing — Original Draft — R.M.Y. and L.N.W.; Writing — R.M.Y. and L.N.W.; Review & Editing — R.M.Y., L.N.W., and R.Y.M.; Supervision — L.N.W. and R.Y.M.; Project Administration — R.M.Y.; Funding — R.Y.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: E44, M13, O34

Received: 26.08.2024
Revised: 05.12.2024; 28.06.2025
Accepted: 09.07.2025
Published online: 11.07.2025

How to cite this paper: Yusuf, R. M., Wati, L. N., & Mulyanti, R. Y. (2025). Anti-corruption law and role of the supervisory board: An emerging market study. Corporate Law & Governance Review, 7(3), 8–18. https://doi.org/10.22495/clgrv7i3p1