is not a moderating variable

Oct 13, 2025 by windailys.com 82 views

Introduction

The absorption of the budget in the Regional Work Unit (SKPD) of the Medan City Government is a crucial aspect in achieving regional development goals. Effective budget absorption enables the government to implement programs and activities that cater to the needs of the community, thereby contributing to the overall development of the region. This study aims to analyze the factors that influence the absorption of the budget in the SKPD, with a particular focus on the role of organizational commitment as a moderating variable.

Background

The Medan City Government, as a local government, has a significant role in implementing regional development programs. The budget absorption process is a critical component of this implementation, as it determines the effectiveness of the government's programs and activities. However, the budget absorption process in the SKPD is often hindered by various factors, including inadequate planning, insufficient human resources, and inefficient procurement processes.

Research Objectives

This study aims to:

Identify the factors that influence the absorption of the budget in the SKPD.
Examine the role of organizational commitment as a moderating variable in the relationship between the identified factors and budget absorption.
Provide recommendations for improving the budget absorption process in the SKPD.

Research Methods

This study employed a causal associative approach with a census method, involving the entire population of 122 respondents consisting of Commitment Making Officials (PPK) and Expenditure Treasurers. Primary data were collected through questionnaires and analyzed using multiple linear regression and residual tests.

Data Collection

The data collection process involved distributing questionnaires to the respondents, which consisted of a series of questions related to the factors that influence budget absorption and the role of organizational commitment. The questionnaires were designed to gather both quantitative and qualitative data, which were then analyzed using statistical methods.

Data Analysis

The data were analyzed using multiple linear regression and residual tests to identify the factors that influence budget absorption and the role of organizational commitment as a moderating variable. The results of the analysis were then used to draw conclusions and provide recommendations for improving the budget absorption process.

Research Results

The results of the study showed that planning, human resources, procurement documents, changing inventory money, and budget changes simultaneously had a positive and significant influence on the absorption of the Medan City Government SKPD budget.

Deeper Analysis

1. Planning

Careful and structured planning is a key factor in budget absorption. A directed and detailed plan, as well as involving all relevant parties, will minimize obstacles and obstacles in the implementation of programs and activities.

2. Human Resources

The availability of competent and motivated human resources is an important factor. Personnel who have adequate knowledge and expertise in the fields of finance and administration, as well as commitment to the task, will accelerate the budget absorption process.

3. Procurement Documents

Completeness and clarity of procurement documents play a role in minimizing potential delays and deviations in the process of procurement of goods and services.

4. Replace Inventory Money

This factor does not show a significant effect on budget absorption. This may be caused by the low number of transactions in reimbursement of inventory money in the SKPD.

5. Budget Changes

SKPD capability in making budget changes quickly and precisely becomes important in responding to the needs that arise suddenly. The complex process and rigid bureaucracy can hamper budget absorption.

The Role of Organizational Commitment

This study shows that organizational commitment is not a moderating variable that can strengthen the relationship between the factors analyzed and budget absorption. This shows that although organizational commitment is an important factor in organizational performance, other factors have a more dominant influence on the absorption of the budget.

Recommendation

1. Increasing HR Capacity

Increasing the capacity of human resources in the fields of finance and administration through training, workshops, and professional development programs.

2. Increasing Procurement Governance

Facilitate and accelerate the process of procurement of goods and services by increasing information systems and digitizing process.

3. Application of Integrative Planning Systems

Implement an integrated planning system, involving all stakeholders, and has a clear theline.

4. Increased Flexibility in Budget Changes

Facilitate and accelerate the process of budget changes by considering the needs that arise suddenly.

Conclusion

Factors such as planning, human resources, procurement documents, and budget changes simultaneously have a positive and significant influence on the absorption of the Medan City Government SKPD budget. Although organizational commitment is important, other factors have a more dominant role. Improving the quality of human resources, procurement governance, planning systems, and flexibility in budget changes becomes a strategic step in increasing budget absorption and achieving regional development goals.

Limitation of the Study

This study has several limitations, including:

The study was conducted in a single case, the Medan City Government, which may limit the generalizability of the findings.
The study relied on self-reported data from the respondents, which may be subject to biases and errors.
The study did not control for other factors that may influence budget absorption, such as political and social factors.

Future Research Directions

Future research should aim to:

Conduct a comparative study of budget absorption in different local governments to identify best practices and areas for improvement.
Examine the role of organizational commitment in budget absorption in different contexts and industries.
Develop and test interventions to improve budget absorption, such as training programs and process improvements.

By addressing these limitations and future research directions, this study contributes to the body of knowledge on budget absorption and provides practical recommendations for improving the budget absorption process in the Medan City Government SKPD.

Q: What is the main objective of this study?

A: The main objective of this study is to analyze the factors that influence the absorption of the budget in the Regional Work Unit (SKPD) of the Medan City Government, with a particular focus on the role of organizational commitment as a moderating variable.

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

A: The factors that influence the absorption of the budget in the SKPD include planning, human resources, procurement documents, changing inventory money, and budget changes.

Q: What is the role of organizational commitment in the absorption of the budget?

A: Organizational commitment is not a moderating variable that can strengthen the relationship between the factors analyzed and budget absorption. This means that although organizational commitment is an important factor in organizational performance, other factors have a more dominant influence on the absorption of the budget.

Q: What are the recommendations for improving the budget absorption process in the SKPD?

A: The recommendations for improving the budget absorption process in the SKPD include increasing HR capacity, increasing procurement governance, applying integrative planning systems, and increasing flexibility in budget changes.

Q: What are the limitations of this study?

A: The limitations of this study include the fact that it was conducted in a single case, the Medan City Government, which may limit the generalizability of the findings. Additionally, the study relied on self-reported data from the respondents, which may be subject to biases and errors.

Q: What are the future research directions for this study?

A: Future research should aim to conduct a comparative study of budget absorption in different local governments to identify best practices and areas for improvement. Additionally, future research should examine the role of organizational commitment in budget absorption in different contexts and industries.

Q: What are the implications of this study for the Medan City Government?

A: The implications of this study for the Medan City Government are that it should focus on improving the quality of human resources, procurement governance, planning systems, and flexibility in budget changes to increase budget absorption and achieve regional development goals.

Q: What are the implications of this study for other local governments?

A: The implications of this study for other local governments are that they should also focus on improving the quality of human resources, procurement governance, planning systems, and flexibility in budget changes to increase budget absorption and achieve regional development goals.

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

A: The implications of this study for the field of public administration are that it highlights the importance of effective budget absorption in achieving regional development goals. It also emphasizes the need for local governments to focus on improving the quality of human resources, procurement governance, planning systems, and flexibility in budget changes to increase budget absorption.

Q: What are the implications of this study for the field of organizational behavior?

A: The implications of this study for the field of organizational behavior are that it highlights the importance of organizational commitment in achieving organizational goals. However, it also suggests that other factors, such as planning, human resources, and procurement documents, may have a more dominant influence on budget absorption.

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

A: The implications of this study for the field of public policy are that it highlights the importance of effective budget absorption in achieving regional development goals. It also emphasizes the need for policymakers to focus on improving the quality of human resources, procurement governance, planning systems, and flexibility in budget changes to increase budget absorption.