THE ROLE OF BUREAUCRACY REFORM IN MEDIATING THE IMPACT OF FINANCIAL CONDITIONS, QUALITY OF FINANCIAL REPORTS, ACCOUNTABILITY AND INTERNAL CONTROL ON GOVERNMENT PERFORMANCE

Abstract

This study aims to examine the role of bureaucracy reform in mediating the impact of financial conditions, quality of financial reports, accountability and internal control on government performance. This research is quantitative research using SEM-PLS. The population is provincial, district and city governments in Indonesia, and sampling was carried out using purposive sampling techniques. With observation data spanning 2 years, from 2021 to 2022, 424 local governments make up the sample that satisfies the standards. The research's empirical results demonstrate that financial conditions, quality of financial reports, accountability, internal control and bureaucracy reform all significantly contribute to local government performance. In addition, bureaucracy reform bureaucratic reform has also been proven to mediate the impact of financial conditions, financial reporting quality, accountability and internal control on government performance. This study provides practical implications for local governments in considering factors that are priorities for successful bureaucratic reform which will ultimately improve the quality of government performance.