Suchergebnisse

Indonesian government is facing two big challenges in this new era; those are global economic dependency and national economic system development. The former challenge is related to thechoices of economic systems orientation; and the latter, is related to the domestic society demands to develop new national economic system based on public interest or people-centered economy.

There is an evidence that only a limited number of independent audit firms are interested in performing governmental audit (O'Keefe,1992). Furthermore, non-governmental auditors are believed to be less "independent" and proner to lose sight of programmatic demand to safeguard public trust than governmental auditors.To understand the supply of governmental audit services better, the gates independent audit firm partner's opinions on governmental audits and their motivation to pursue these engagements. The survey measures partner's belief about rewards instrumentalities derived from governmental audits and effects of the two risk factors, authority changes and political climate, on partner motivation to pursue governmental audits.The results of the multiple regression study between independent (rewards instruments and environmental risk factors) and dependent (partner motivation) show that rewards instrumentalities have a positive correlation towards partner motivation, whereas environmental risk have a negative one.It can be generally concluded that partners often act cautiously before accepting an enggagement letter offer to perform governmental audit, because of its environmental risk factors; in the form of authority changes and political climate. Though in practice, it will intensify rewards instrumentalities in the form of personal enjoyment, career opportunities and audit partner status.Keywords: partner motivation, intrinsic and extrinsic rewards, personal enjoyment, career opportunities, status, environmental risk factors, political climate, authoritative changes, decoupled.

Performance measurement system is an assessment tool, which assesses strategy implementation through financial and non-financial measures. Budget is one of the financial measures used to assess strategy implementation. It is a primary instrument of many function of decision, which is used as a tool to achieve organization goals. Public sector management has to fulfill vertical and horizontal accountability. To have a deeper understanding pertains to performance measurement system andlocal government budgetary management, this study assessed the existing performance measurement system and local government budgetary management in six municipal/districts. The result showed that the existing performance measurement system is an improper management tool, and that accountability of local government budgetary management is dominated by vertical accountability rather than horizontal accountability. It issuggested that each municipal/district should have its own revenue indica-tor and saving, increase its cost awareness and health and education sectordevelopment budget, implement New Public Management, and reform itsresponsibility system from vertical accountability to horizontal account-ability.

This study examines the influences of Institution Strategy, Institution Culture, and Conflict of Interest on Budgetary Slack. The culture was devided into two types; common culture, the employee working process and budget culture, the composing budget process. The results of the case study at Local Government in Daerah Istimewa Yogyakarta showed that institution culture tend to have positif influence on common culture, commitment organization, and locus of control. On the other hand, it was found that rewards for group performance, hierarchical index, philosophy, and supervisor as team leader have high influence for budgetary slack creating. Both interview and direct questionare fill up show that the budget is not enough for executive programs and projects due to misunderstandings that often happen between executive and legislative in the process of composing. Otherwise, the program will be dropped or cut down if the reason was not accepted or conformed by legislative. However, conflict of interest tend to have negatif influence on budgetary slack and institution strategy that hold up their work. Key Words: Institution Strategy, Institution Culture, Conflict of Interest, Budgetary Slack