Analysis Of Factors That Influence The Absorption Of The SKPD Budget In North Sumatra Province In 2014-2015 With SILPA As A Moderating Variable

Feb 27, 2025 by ADMIN 144 views

Introduction

The Regional Work Unit (SKPD) in North Sumatra Province plays a crucial role in implementing the regional budget, which is allocated to various sectors to improve the welfare of the community. However, the absorption of the SKPD budget in North Sumatra Province has been a concern, as it has been reported to be low in recent years. This study aims to investigate the factors that influence the absorption of the SKPD budget in North Sumatra Province in 2014-2015, with SILPA as a moderating variable.

Methodology

This study uses the causality method with a population of 44 SKPDs in North Sumatra Province. Primary data were collected through questionnaires, which were analyzed using multiple linear regression for statistical analysis and residual tests to test Moderating Variables (SILPA).

Results

The results showed that the four factors, namely regional financial regulations, budget politics, the process of procurement of goods and services, and organizational commitment, jointly had a significant positive effect on the SKPD budget absorption. That is, improving the quality of the four factors will potentially increase budget absorption. However, partially, only regional financial regulations show a significant positive effect on budget absorption. Meanwhile, budget politics, the process of procurement of goods and services, and organizational commitment did not show a significant effect.

Deeper Analysis

The low influence of budget politics, the process of procurement of goods and services, as well as organizational commitment to the budget absorption in North Sumatra may be caused by several factors:

Lack of SKPD Autonomy

Policy structure centered on the regional head limits SKPD autonomy in managing the budget. This can lead to a lack of control over the remaining budget calculation (SILPA), which can further reduce budget absorption.

Lack of Transparency

Less transparent budget politics can hamper accountability and the effectiveness of budget implementation. This can lead to a lack of trust among stakeholders, including the public, which can further reduce budget absorption.

Complex Bureaucracy

The process of procuring complicated and bureaucratic goods and services can slow down the realization of the budget. This can lead to a delay in the implementation of projects, which can further reduce budget absorption.

Low Motivation and Commitment

Low organizational commitment, such as lack of effective motivation and leadership, can also affect budget absorption. This can lead to a lack of enthusiasm among employees, which can further reduce budget absorption.

The Role of Silpa as a Moderating Variable

Silpa, or the remaining budget calculation, plays an important role in moderating the relationship between the factors mentioned above with the budget absorption. However, the results showed that Silpa was unable to moderate the relationship. This shows that Silpa in North Sumatra Province has not been used effectively to increase budget absorption.

Recommendation

This study provides several recommendations to increase SKPD budget absorption in North Sumatra Province:

Increasing SKPD Autonomy

Giving greater autonomy to SKPD in managing the budget can increase the efficiency and effectiveness of the use of the budget.

Increasing Budget Political Transparency

The application of transparent and accountable budget political systems can encourage public participation and supervision.

Simple Process of Procurement of Goods and Services

Simple The process of procurement of goods and services can increase efficiency and effectiveness in the procurement of goods and services.

Increasing Organizational Motivation and Commitment

Increasing organizational motivation and commitment through training and leadership development programs can encourage better performance.

Optimizing the Use of SILPA

SILPA Utilization for Priority Projects or to Support Strategic Programs can increase budget absorption and the effectiveness of budget use.

By implementing these recommendations, it is expected that the SKPD budget absorption in North Sumatra Province can increase, so that it can contribute to improving the welfare of the community.

Conclusion

In conclusion, this study has investigated the factors that influence the absorption of the SKPD budget in North Sumatra Province in 2014-2015, with SILPA as a moderating variable. The results showed that regional financial regulations, budget politics, the process of procurement of goods and services, and organizational commitment jointly had a significant positive effect on the SKPD budget absorption. However, partially, only regional financial regulations show a significant positive effect on budget absorption. The study also provides several recommendations to increase SKPD budget absorption in North Sumatra Province, including increasing SKPD autonomy, increasing budget political transparency, simple process of procurement of goods and services, increasing organizational motivation and commitment, and optimizing the use of SILPA.

Limitation of the Study

This study has several limitations, including the use of a single data source and the limited scope of the study. Future studies can build on this study by using multiple data sources and expanding the scope of the study to include other factors that may influence SKPD budget absorption.

Future Research Directions

Future research can build on this study by investigating the following research directions:

Investigating the Effect of Other Factors on SKPD Budget Absorption: Future studies can investigate the effect of other factors, such as the role of the regional head, the role of the SKPD leader, and the role of the community, on SKPD budget absorption.
Investigating the Effect of SILPA on SKPD Budget Absorption: Future studies can investigate the effect of SILPA on SKPD budget absorption, including the role of SILPA in moderating the relationship between the factors mentioned above with the budget absorption.
Investigating the Effect of Budget Political Transparency on SKPD Budget Absorption: Future studies can investigate the effect of budget political transparency on SKPD budget absorption, including the role of transparency in encouraging public participation and supervision.

By building on this study, future research can provide a more comprehensive understanding of the factors that influence SKPD budget absorption in North Sumatra Province and provide recommendations for increasing SKPD budget absorption.

Q: What is the main objective of this study?

A: The main objective of this study is to investigate the factors that influence the absorption of the SKPD budget in North Sumatra Province in 2014-2015, with SILPA as a moderating variable.

Q: What are the factors that influence the absorption of the SKPD budget?

A: The factors that influence the absorption of the SKPD budget are regional financial regulations, budget politics, the process of procurement of goods and services, and organizational commitment.

Q: What is SILPA and its role in the study?

A: SILPA, or the remaining budget calculation, plays an important role in moderating the relationship between the factors mentioned above with the budget absorption. However, the results showed that SILPA was unable to moderate the relationship.

Q: What are the recommendations provided by this study to increase SKPD budget absorption in North Sumatra Province?

A: The study provides several recommendations to increase SKPD budget absorption in North Sumatra Province, including increasing SKPD autonomy, increasing budget political transparency, simple process of procurement of goods and services, increasing organizational motivation and commitment, and optimizing the use of SILPA.

Q: What are the limitations of this study?

A: This study has several limitations, including the use of a single data source and the limited scope of the study.

Q: What are the future research directions based on this study?

A: Future research can build on this study by investigating the following research directions:

Investigating the Effect of Other Factors on SKPD Budget Absorption: Future studies can investigate the effect of other factors, such as the role of the regional head, the role of the SKPD leader, and the role of the community, on SKPD budget absorption.
Investigating the Effect of SILPA on SKPD Budget Absorption: Future studies can investigate the effect of SILPA on SKPD budget absorption, including the role of SILPA in moderating the relationship between the factors mentioned above with the budget absorption.
Investigating the Effect of Budget Political Transparency on SKPD Budget Absorption: Future studies can investigate the effect of budget political transparency on SKPD budget absorption, including the role of transparency in encouraging public participation and supervision.

Q: What are the implications of this study for policy makers and practitioners?

A: The study provides implications for policy makers and practitioners, including the need to increase SKPD autonomy, increase budget political transparency, simple process of procurement of goods and services, increasing organizational motivation and commitment, and optimizing the use of SILPA.

Q: What are the implications of this study for future research?

A: The study provides implications for future research, including the need to investigate the effect of other factors on SKPD budget absorption, the effect of SILPA on SKPD budget absorption, and the effect of budget political transparency on SKPD budget absorption.

Q: What are the contributions of this study to the existing literature?

A: The study contributes to the existing literature by providing a comprehensive analysis of the factors that influence the absorption of the SKPD budget in North Sumatra Province in 2014-2015, with SILPA as a moderating variable.

Q: What are the limitations of this study in terms of generalizability?

A: The study has limitations in terms of generalizability, as it is based on a single case study and may not be applicable to other regions or contexts.

Q: What are the implications of this study for the development of public policy?

A: The study provides implications for the development of public policy, including the need to increase SKPD autonomy, increase budget political transparency, simple process of procurement of goods and services, increasing organizational motivation and commitment, and optimizing the use of SILPA.

Q: What are the implications of this study for the development of public administration?

A: The study provides implications for the development of public administration, including the need to increase SKPD autonomy, increase budget political transparency, simple process of procurement of goods and services, increasing organizational motivation and commitment, and optimizing the use of SILPA.

Q: What are the implications of this study for the development of public management?

A: The study provides implications for the development of public management, including the need to increase SKPD autonomy, increase budget political transparency, simple process of procurement of goods and services, increasing organizational motivation and commitment, and optimizing the use of SILPA.