Does the concept of value for money increase budget performance?

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The aim of this study is to assess the factors affecting budget performance through the concept of value for money. This quantitative study uses a rating scale and a survey. The samples included 426 government officials from 43 regional organizations in Makassar City, South Sulawesi Province, Indonesia. The final sample size was 153 respondents. According to the results, participatory budgeting (β = 0.190; p-value = 0.017 < 0.05), budget goal clarity (β = 0.428; p-value = 0.000 < 0.05), and commitment (β = 0.339; p-value = 0.000 < 0.05) have a direct impact on budget performance. As a moderating variable, organizational culture affected participatory budgeting (β = 0.047; p-value = 0.004 < 0.05), budget goal clarity (β = 0.091; p-value = 0.000 < 0.05), and commitment (β = 0.066; p-value = 0.000 < 0.05). Moreover, motivation, as a moderating variable, affected participatory budgeting (β = 0.041; p-value = 0.019 < 0.05), budget goal clarity (β = 0.078; p-value = 0.000 < 0.05), and commitment (β = 0.070; p-value = 0.000 < 0.05). This study offers significant implications for local government officials in selecting the most effective variables to improve budget performance. For policymakers, the findings suggest supporting skill optimization to carry out government tasks. Finally, it is necessary to reconsider the approach to training the local government staff.

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    • Figure 1. Theoretical framework
    • Table 1. Descriptive statistics
    • Table 2. Determinant coefficient before interaction
    • Table 3. Determinant coefficient after interaction with organizational culture
    • Table 4. Determinant coefficient after interaction with motivation
    • Table 5. F test results (ANOVA)
    • Table 6. Multiple regression results before interacting with moderating variables
    • Table 7. Multiple regression results after interacting with the moderating variables (organizational culture and motivation)
    • Conceptualization
      Siti Nur Reskiyawati Said, Arifuddin, Andi Kusumawati
    • Data curation
      Siti Nur Reskiyawati Said, Arifuddin, Asri Usman
    • Formal Analysis
      Siti Nur Reskiyawati Said, Andi Kusumawati, Asri Usman
    • Investigation
      Siti Nur Reskiyawati Said, Arifuddin, Andi Kusumawati, Asri Usman
    • Methodology
      Siti Nur Reskiyawati Said, Andi Kusumawati
    • Resources
      Siti Nur Reskiyawati Said, Andi Kusumawati, Asri Usman
    • Software
      Siti Nur Reskiyawati Said, Asri Usman
    • Supervision
      Siti Nur Reskiyawati Said, Arifuddin
    • Validation
      Siti Nur Reskiyawati Said, Andi Kusumawati, Asri Usman
    • Writing – original draft
      Siti Nur Reskiyawati Said, Arifuddin, Andi Kusumawati, Asri Usman
    • Writing – review & editing
      Siti Nur Reskiyawati Said, Arifuddin, Andi Kusumawati, Asri Usman
    • Funding acquisition
      Arifuddin, Andi Kusumawati
    • Project administration
      Arifuddin, Asri Usman
    • Visualization
      Arifuddin, Andi Kusumawati