Analyzing the Impact of Good Corporate Governance Principles on the Performance of Lembaga Perkreditan Desa (LPD) in Ubud District, Gianyar Regency A Quantitative Approach

ABSTRACT: This study investigates the impact of Good Corporate Governance (GCG) principles, transparency, accountability, responsibility, independence, and fairness on the performance of Lembaga Perkreditan Desa (LPD) in Ubud District, Gianyar Regency. A quantitative approach was utilized, collecting primary data from 45 LPD employees through structured questionnaires. Multiple linear regression analysis was conducted to evaluate how each GCG principle influences LPD performance. The findings reveal that all five GCG principles have a significant positive effect on LPD performance. Among these, responsibility has the strongest impact, followed by transparency, independence, accountability, and fairness. The analysis shows that GCG practices account for 80.6% of the variance in LPD performance, highlighting the crucial role of governance in promoting institutional efficiency and sustainability. Despite limitations related to the study’s geographic focus and cross-sectional design, the results underscore the necessity for ongoing enhancements in governance practices within LPDs. This research offers valuable insights for policymakers and LPD managers, emphasizing the importance of strengthening governance frameworks to improve overall performance. Future research is recommended to extend the scope to different regions and types of financial institutions to further explore the relationship between GCG principles and organizational success.

KEYWORDS :Accountability, Fairness, Good Corporate Governance, Independence,Responsibility, Transparency