JEFMS Journal

ABSTRACT:

This study aimed to test the comparison between financial ratio index and performance score of local government administration (KPPD), as well as the effect of financial ratio index on the KPPD score. Research method, the research was conducted with secondary data in the form of budget realization report from 2015-2017 in 60 regencys and cities in 5 provinces of the Southern Sumatra region, with no data available, there were only 60 regencys and cities or 169 observations. The research variables were financial ratio index and KPPD score. The analysis used quantitative analysis of different tests and regression. The results showed that the financial ratio index of the city government was higher, as well as the score of KPPD with city status that was higher than that regency government, and the financial ratio index had an effect on the KPPD score. The research implication is that the central government can use it as an alternative to award the best financial performance (city and regency). The originality of the research resulted in a financial ratio index that combines several financial ratio and it has not been used in local governments.

KEYWORDS:

Local Government Financial Ratio Index, KPPD Score.

REFERENCES:

1) Ahyaruddin, M., & Amrillah, M. F. (2018). Faktor Penentu Kinerja Pemerintah Daerah. Jurnal Akuntansi Multiparadigma, 9(3). https://doi.org/10.18202/jamal.2018.04.9028

2) Bačlija, I. (2012). Measuring new public management at the local level: Experiences from EU cities. Transylvanian Review of Administrative Sciences, 37, 23–37.

3) Bisma, I. D. G., & Susanto, H. (2010). Evaluasi Kinerja Keuangan daerah Pemerintah Provinsi Nusa Tenggara Barat Tahun Anggaran 2003 - 2007. Ganec Swara, 4(3), 75–86.

4) Dharma, F., & Martani, D. (2016). Pengaruh Kinerja Penyelenggaraan Pemerintah Dan Kapasitas Keuangan Daerah Terhadap Keterpilihan Kepala Daerah Incumbent Pada Pemilukada. SNA 19 Lampung, 2006.

5) Farhani, F., & Rosnidah, I. (2018). Analisis Kemampuan Keuangan Dan Kinerja Keuangan Daerah Dalam Pelaksanaan Otonomi Daerah (Studi Kasus APBD Kota Cirebon Tahun Anggaran 2011- 2015). “REFORMASI: Jurnal Ilmiah Administrasi,” 3(1), 1–18. https://doi.org/10.33603/reformasi.v3i1.1788

6) Harliyani, E. M., & Haryadi, H. (2016). Pengaruh Kinerja Keuangan Pemerintah Daerah Terhadap Indekss Pembangunan Manusia di Provinsi Jambi. Jurnal Perspektif Pembiayaan Dan Pembangunan Daerah, 3(3), 129–140.

7) Hasthoro, H. A., & Sunardi, S. (2016). Tata Kelola Publik Dan Kinerja Keuangan Pemerintah Daerah Di Indonesia. Jurnal Ekonomi Dan Bisnis, 18(1), 53. https://doi.org/10.24914/jeb.v19i1.480

8) Heriningsih, S. (2015). Analisis kinerja penyelenggara pemerintah daerah dan tingkat korupsi dianalisis dari opini auditor. Univesity Research Colloquium, 86–95.

9) Hood, C. (1995). The “new public management” in the 1980s: Variations on a theme. Accounting, Organizations and Society, 20(2–3), 93–109. https://doi.org/10.1016/0361-3682(93)E0001-W

10) Hughes, O. E. (2012). Public Management and Administration. Public Management and Administration. https://doi.org/10.1007/978-1-137-00305-8

11) Indramawan, D. (2018). the Impacts of Financial Performance of Local. 23.

12). Kalimullah, N. A., Alam, K., & Nour, M. (2012). New Public Management: Emergence and Principles. BUP Journal, 1(1), 1–22.

13) KEPMENDAGRI NOMOR 120-10421 TAHUN 2016 (HD STEMPEL).pdf. (n.d.).

14) Kloot, L., & Martin, J. (2000). Strategic performance management: A balanced approach to performance management issues in local government. Management Accounting Research, 11(2), 231–251. https://doi.org/10.1006/mare.2000.0130

15) KNKG. (2006). Good Public Governance Indonesia. Good Public Governance Pedoman Umum Indonesia, 1–50. https://doi.org/10.1021/ic035198d

16) Murti, G. T., & Firmansyah, I. (2017). Jurnal Aset (Akuntansi Riset). Jurnal ASET (Akuntansi Riset), 8(2), 105–118. https://doi.org/10.17509/jaset.v10i1.12571

17) Mutalib, R. A. (2018). REVISITING NEW PUBLIC MANAGEMENT : MUNICIPALISM AND SERVICE DELIVERY EFFECTIVENESS AND DELIVERY EFFECTIVENESS. September, 1–4.

18) Nufus, K., Supratikta, H., & Muchtar, A. (2017). Analysis of financial performance of local government through South Tangerang calculation of realization regional budget. European Journal of Business and Management, 9(3), 136–146.

19) Nugraha, P. C. (2017). Analisa Index Perhitungan Ratio Anggaran Kabupaten Kulonprogo Yogyakarta Periode Tahun 2007 Sampai Dengan 2011. Jurnal Perilaku Dan Strategi Bisnis, 5(1), 94–108.

20) Nurhayati. (2015). Analisis Rasio Keuangan Untuk Mengukur Kinerja Pemerintah Daerah Kabupaten Rokan Hulu. Jurnal Ilmiah Cano Ekonomos, 4(33), 55–66.

21) Nurhayati, N., Rizani, F., & -, K. (2019). Perbandingan Kinerja Pemerintah Daerah Di Indonesia. InFestasi, 15(1), 67. https://doi.org/10.21107/infestasi.v15i1.5484

22) Osborne, S. P., Radnor, Z., & Nasi, G. (2013). A New Theory for Public Service Management? Toward a (Public) Service Dominant Approach. American Review of Public Administration, 43(2), 135–158. https://doi.org/10.1177/0275074012466935

23) Peraturan Pemerintah. (2010). Presiden republik indonesia presiden republik indonesia. 1999(September), 1–2. http://www2.pom.go.id/public/hukum_perundangan/pdf/Pengamanan rokok bagi kesehatan.pdf

24) Perwita Sari, R., Tjahjono, H., Na-sional Veteran Jawa Timur, P., Rungkut Madya, R., & Timur, J. (2018). Analysis Of Financial Performance In Public Sector (A Case Study in Lamongan, East Java-Indonesia). JASF Journal of Accounting and Strategic Finance, 1(1), 82–90. https://doi.org/10.33005/jasf.v1i01.35

25) Riphat, S., Setiawan, H., & Damayanty, S. A. (2016). Causality Analysis Between Financial Performance And Human Development Index : A Case Study Of Provinces In Eastern Indonesia. Kajian Ekonomi Dan Keuangan, 20(3), 231–240.

26) Sartika, N., & Pratama, A. I. (2019). Analisis Rasio Keuangan Dalam Menilai Kinerja Keuangan Pemerintah Kabupaten Siak Tahun Anggaran 2012 - 2016. Moneter - Jurnal Akuntansi Dan Keuangan, 6(2), 179–188. https://doi.org/10.31294/moneter.v6i2.6494

27) Sayidah, N., Mulyaningtyas, A., & Mustika Winedar. (2016). Implementasi Konsep New Public Management Di Dinas Koperasi Dan Umkm Kota Surabaya. Jurnal Akuntansi Dan Auditing, 12(1), 39–52. https://doi.org/10.14710/jaa.v12i1.13857

28) Siregar, O. khalmilah, & Siahaan, A. P. U. (2018). Effectiveness, Efficiency, and Growth Ratio on Financial Performance on Medan City Government. Internasional Jurnal Innovative Research In Multidisciplinary FFeld, 4(10).

29) Suranta, S., Perdana, H. D., & Syafiqurrahman, M. (2017). Analisis Kinerja Keuangan Pemerintah Daerah: Studi Komparasi Propinsi Jawa Tengah dan Kalimantan Selatan. Jurnal Akuntansi, 5(2), 111–124. https://doi.org/10.24964/ja.v5i2.284

30) Suryantini, S. N. . (2018). The Effect of Regional Finnacial Performance on Capital Expenditure and Economic Growth in Each regency/Cities in Bali Province. International Journal of Economics, Commerce and Management, VI(11), 673–686.

31) Susilawati, D., Kusumastuti Wardana, L., & Fajar Rahmawati, I. (2018). Menilai Kinerja Keuangan dengan Analisis Rasio Keuangan: Studi Kasus BKAD Sleman. Jati: Jurnal Akuntansi Terapan Indonesia, 1(2), 91–98. https://doi.org/10.18196/jati.010210

32) V Sebastiana, C. H. (2016). Analysis of Economic Performance as the Independence Indicators of Government in East Java Province. Review of Integrative Business & Economics Research, 5(2), 272–285.

33) Van De Walle, S., & Hammerschmid, G. (2011). The impact of the new public management: Challenges for coordination and cohesion in european public sectors. Halduskultuur, 12(2), 190–209.

34) Widagdo, A. K., & Munir, M. B. (2017). Penyelenggaraan Pemerintah Daerah. 20(2), 303–330