Abstract
This study delves into the intricate relationship between political and institutional factors and their influence on the design and implementation of public sector financial management reforms. Utilizing the PLS-SEM methodology and analyzing data through SmartPLS 4.0, the research provides a comprehensive perspective on how these determinants shape the course of financial reforms within the public sector. Key findings reveal a statistically significant positive effect of institutional factors, encompassing organizational structure, internal control systems, and staff competence, on reform design and implementation. Surprisingly, political factors, despite their perceived centrality in policy changes, showed no significant effect on these reforms. The research thus underscores the pivotal role of institutional robustness in fostering transformative financial management reforms, while also suggesting a potential recalibration in how political dynamics are factored into such initiatives. This study serves as a pivotal guide for policymakers, illuminating the pathways for sustainable, effective, and impactful public sector financial management reforms. Keywords Institutional Factors; Political Influences; PLS-SEM Methodology; Reform Implementation Citation
Keywords
Institutional Factors, Political Influences, PLS-SEM Methodology, Reform Implementation
Full Text
This study delves into the intricate relationship between political and institutional factors and their influence on the design and implementation of public sector financial management reforms. Utilizing the PLS-SEM methodology and analyzing data through SmartPLS 4.0, the research provides a comprehensive perspective on how these determinants shape the course of financial reforms within the public sector. Key findings reveal a statistically significant positive effect of institutional factors, encompassing organizational structure, internal control systems, and staff competence, on reform design and implementation. Surprisingly, political factors, despite their perceived centrality in policy changes, showed no significant effect on these reforms. The research thus underscores the pivotal role of institutional robustness in fostering transformative financial management reforms, while also suggesting a potential recalibration in how political dynamics are factored into such initiatives. This study serves as a pivotal guide for policymakers, illuminating the pathways for sustainable, effective, and impactful public sector financial management reforms. Keywords Institutional Factors; Political Influences; PLS-SEM Methodology; Reform Implementation Citation