Implementation of Good Corporate Governance in an Effort to Increase Revenue: a Study at KUD Sumber Makmur Ngantang, Malang, East Java

Abstract

While effective corporate governance (GCG) is critical to a company's performance and revenue growth, there are still a significant number of businesses that lack such governance. The purpose of this study is to show how corporate governance is implemented in an effort to enhance income. The research was conducted at the Cooperative of “KUD Sumber Makmur” Ngantang in Malang, East Java. The descriptive qualitative method was used in this investigation. The study was conducted from March to August 2021. Primary data was gathered through in-depth interviews with key informants such as managers, unit heads, and employees. The results indicated that the “KUD Sumber Makmur” was highly successful in its development. This is demonstrated by a high level of compliance with the GCG's five principles, namely transparency, accountability, independence, responsibility, and fairness. This strong GCG boosts sales and profit growth, ensuring that this KUD expands stably or generates revenue that doubles every five years. To improve GCG, the KUD must develop a Strategic Plan; the contract period must be increased from two years; financial reports must be held more accountable through the development of a Financial Information System (SIK) that makes financial reports faster, more precise, and accurate; and derivative products must be developed. milk, including pasteurized milk regulated by the BPOM, cheese, and Agro Edu Wisata.