CHAPTER III

METHODOLOGY

3.1 Introduction
Since this research is focus on compliance principle of corporate
governance towards non-profit organization, the research will conduct by
using qualitative method with study case approach.
According to Creswell (2009), qualitative method is a research and
understanding process based on a methodology that investigates a social
phenomenon and human problems. The researcher creates a complex
picture, examines words, reports detailed views of the respondents and
conducts studies on natural situations. The qualitative method is research
procedures that produce descriptive data in the form of written and spoken
words from people and observed behavior.
This research also uses descriptive study since it can help to make
more understand how non-profit organization complies with the principles
of corporate governance and the obstacle that face during the compliance.

3.2 Time and Place of Study

The aim of this research is to see the compliance of corporate
governance principle towards non profit organization. Therefore, the
author chooses the Subak in Bebandem districts as the place of the study.
The interview will conduct on January, 2021. Hopefully.

3.3 Subject and Object of Study

The subject of this research is interviewees or respondent. While
the object of this study is the report in 2020 of Subak in Bebandem
districts.
3.4 Research Design
The research design is a plan and structure of inquiry that is structured
to obtain answers to research questions. There are four steps in qualitative
research design:
a. Planning
The first thing in a research design is to create a research plan. For this
study, the authors begin by analyzing the principles of corporate
governance. The author learns more about understanding the principles
of corporate governance, the benefits of corporate governance
principles, and steps to implement corporate governance principles. In
addition, the authors also conducted an analysis to improve the
principles of corporate governance in non-profit organizations. The
author wants to know how they comply with the principles of
corporate governance and the obstacles they face during the fulfillment
of corporate governance principles. In addition, the author also
prepares research by determining research instruments. Because the
authors wanted to obtain information about the application of
corporate governance principles in non-profit organizations, the
authors decided to conduct interviews for this study.

b. Implementation
There are two stages in the implementation of this research. First, the
author will interview resource persons to find out their opinions as
experts on the application of the principles of Corporate Governance in
non-profit organizations and the obstacles they face while
implementing these principles. Second, the author will conduct an
analysis through corporate governance reports in the Subak District of
Bebandem.

c. Data Analysis
 The author will analyze the data after obtaining information from the
results of interviews and questionnaires. In this step the writer will
analyze the data whether the data is valid or not.
d. Evaluation
After analyzing the data, the author will evaluate all the information
obtained and ensure that the data is reliable and can be used for this
research.

3.5 Data Collection Technique

Barrett (2018) mentions that in qualitative research data collection is
carried out in natural settings (natural conditions), primary data sources,
and data collection techniques are mainly participant observation, in-depth
interviews and documentation. Based on this theory, the data collection
techniques used in this study are:
a. Deep interview
The author conducted semi-structured interviews, which in practice
were freer when compared to structured interviews. The purpose of
this type of interview is to find problems more openly, in which the
interviewee is asked for their opinions and ideas.

b. Observation
According to Munhall (2003), through observation researchers can
learn about behavior and the meaning of these behaviors. The type of
observation carried out in this research is passive participatory
observation which means that the researcher comes to the place where
the subject is doing the activity being observed, but is not involved in
the activity.

c. Document
The author results from observations or interviews will be more
credible or trustworthy if they are supported by personal history of life
in childhood, at school, at work, in society, and autobiography
 (Barrett, 2018). In this study, the documents used to support the
interview data were articles in the mass media on subjects one and
two, as well as personal photos on subject three. Subjects one and two
in this study have been covered several times by the mass media such
as newspapers, magazines, and television so that researchers use these
documentations to collect research data after interviews.

3.6 Method of Analysis

The data analysis technique used in this study is based on the theory of
Creswell (1998). In his book entitled Qualitative Inquiry and Research
Design; Choosing Among Five Traditions, Creswell (1998) suggests data
analysis techniques for phenomenological research as follows:
a) Describe personal experiences of the phenomenon under study. The
researcher begins with a thorough description of his experiences
related to the phenomenon. This is an attempt to put aside the personal
experience of the researcher so that the focus on analysing this data
will go directly to the subject of this study.

b) Develop a list of key statements from the subject. Researchers then

find statements that come from interview data or other data sources
about how the subject experienced a topic, make a list of these
important statements. This process is called horizontalizing data and
then the researcher develops a list of statements by not repeating or
overlapping statements.

c) Take important statements from the horizontalizing process then

combine them into meaningful units.

d) The author then wrote a description of what the research subjects

experienced about the phenomenon. This process is called "textural
description", in which the researcher writes a text explanation of what
 experiences the subject has experienced. Its verbatim examples are
also included in this process.

e) Next, the author describes "how" this experience can occur. This stage
is called the "structural description". The researcher reflects on the
background and circumstances in which this phenomenon is
experienced by the subject. For example, Creswell cites a
phenomenological study of smoking behavior in high school children.
In the research conducted by Creswell and some of his colleagues, he
presents a "structural description" of where the smoking phenomenon
studied in his research occurs, such as in parking lots, outside schools,
in pupil lockers, in remote locations around school, and so on.

f) The final stage, the researcher writes a composite description that

combines the two descriptions in the previous stage, namely the
textural description and the structural description. This section is the
essence of experience and describes the pinnacle of phenomenological
research. This stage takes the form of a long paragraph telling the
reader "what" the subject experienced with the phenomenon and "how"
they experienced it.

3.7 Validity and Reliability

This study requires a validity and reliability test. In quantitative
research, to obtain valid and reliable data that is tested for validity and
reliability is the research instrument, while in qualitative research, what is
tested is the data. Therefore, Leung (2015) states that quantitative research
emphasizes the reliability aspect more, while qualitative research is more
on the validity aspect.
In qualitative research, findings or data can be declared valid if
there is no difference between what the researcher reports and what
actually happens to the object under study. But it needs to be known that
the truth of the data reality according to qualitative research is not
singular, but plural and depends on human construction, formed in a
person as a result of the mental processes of each individual with various
backgrounds (Leung, 2015). So, the notion of reliability in qualitative
research is different from quantitative because reality is always changing
so that nothing is consistent and repetitive as before.
Leung (2015) also suggests several ways to test the credibility of
the data, including extension of observations, increasing persistence,
triangulation, discussions with friends, negative case analysis, and member
checks.
In this study, testing the credibility of the research data was carried out
by:
a) Triangulation
Triangulation in credibility testing is defined as checking data from
various sources in various ways, and at various times. Thus, there is
triangulation of sources, triangulation of data collection techniques,
and time. In this study, only source triangulation was used as a
technique of data validity. Source triangulation to test the credibility of
the data is done by checking the data that has been obtained from
several sources. For example, in this study the researcher wanted to
test the credibility of the data on aspects of creative value related to the
subject's work, so the data collection and testing that had been obtained
was carried out on the subject's co-workers. Likewise, for other
aspects, the validity of the data was tested using source triangulation.

b) Member Check
Member check is the process of checking data obtained by researchers
to data providers with the aim that the information obtained and will be
used in writing reports is in accordance with what is meant by data
sources or informants (Leung, 2015). By conducting a member check,
researchers can find out how far the data obtained is in accordance
with what was provided by the data provider.
If the data found is then agreed upon by the data givers, then the data is
declared valid so that it is increasingly credible or trustworthy.
Conversely, if the data found by the researcher with various
interpretations is not agreed by the data provider, the researcher needs
to have a discussion with the data provider. If the difference is sharp,
then the researcher must change the findings and must adjust to what is
given by the data provider.
 References

Barrett, D., & Twycross, A. (2018). Data collection in qualitative research.

Creswell, J. W., & Poth, C. N. (2016). Qualitative inquiry and research
design: Choosing among five approaches. Sage publications.
Creswell, J. W. (2009). Research Design: Qualitative, Quantitative, and
Mixed Methods Approaches (Vol. 3rd Edition). Los Angeles:
Sage Publications, Inc
Leung, L. (2015). Validity, reliability, and generalizability in qualitative
research. Journal of family medicine and primary care, 4(3), 324..
Maxwell, J. A. (2012). Qualitative research design: An interactive
approach (Vol. 41). Sage publications.
Mulhall, A. (2003). In the field: notes on observation in qualitative
research. Journal of advanced nursing, 41(3), 306-313