ANALYSIS OF WATER AWARENESS, ACCOUNTABILITY, AND GOVERNANCE TO IMPROVE SUSTAINABILITY OF FIRM’S PERFORMANCE IN URBAN AREAS

Abstract

Managing water efficiency will cut costs and promote the environment and increase public awareness of the importance of water in governance.Water conflicts and the increasing phenomenon of water scarcity will result in business stagnation, especially for sustainable firm's performance.The purpose of this research is to find a new measurement model to improve the sustainability of a firm's performance through awareness of water and environmental management.This study was conducted on 20 manufacturing firms in Indonesia where 100 respondents were taken from the firm.The questionnaire was used as a tool to collect data on water awareness, accountability awareness, and water governance.Explanatory research is also carried out to analyze the effect of these three variables on the sustainability of firm performance.The results showed that water awareness, accountability awareness and corporate governance by the measurement of the ASEAN Corporate Governance (CG) Scorecard supported firm performance.This result can be recommended to improve the firm's sustainability performance, especially in urban areas.

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