NPO Web-Based Accountability: How Can We Know If NPOs Are Doing Good Things?

This study develops a comprehensive but practical framework for not-for-profit organization (NPO) web-based accountability involving (a) disclosure of operations, financial performance, and social performance, and (b) dialogue; and investigates it in the practices of five Australian NPO award finalists and 160 NPOs more broadly. The findings highlight NPOs’ web-based accountability focused on operational disclosure, promoting NPOs’ activities and mission. However, financial and social performance disclosure was lacking, despite financial performance information being publicly available on the government regulator’s website. Furthermore, the use of online platforms to promote dialogue and exchange was limited. The study suggests that regulatory requirements play an important role in strengthening NPOs’ accountability, and the lack of social performance reporting means it is still unclear what “good things” NPOs are doing.

Environmental Smog Control Costs and proceeds of Oil and Gas Conglomerates

The study was carried out to analyse cost implications of environmental smog control costs on the proceeds of oil and gas conglomerates. Panel data were collected and organized from financial statements of selected conglomerates. Data were analysed using ordinary least square of multivariate analysis. Empirical findings revealed that environmental smog control costs have significant effect on the proceeds of the conglomerates investigated. Thus the study suggested and acclaimed that conglomerates should ensure that smog management and controls policies are formulated and implemented to avoid projecting a bad image of the establishment which could lead to loss of goodwill and reduce proceeds in the long run, there should also be effective regulations that will lead to adequate cost disclosure and appropriate financial performance reporting.

Examination of Statements of Service Performance of New Zealand Local Authorities: the Case of Wastewater Services

<p>The provision of statements of service performance (SSPs) by local government in New Zealand is a product of the economic reforms carried out in the late 1980s. A statement of service performance is regarded as an important document of New Zealand local government reporting. It is statutorily required by the Local Government Act 2002 and complemented by accounting guidance provided by the New Zealand Institute of Chartered Accountants (NZICA), with the objective of strengthening accountability obligations (Local Government Act 2002, s. 98; NZICA, 2002). In spite of twenty years‟ experience in preparing statements of service performance, the Office of the Auditor-General (OAG) (2008) criticised that the quality of SSPs prepared by local authorities (and other public-sector entities) was poor. A fundamental problem of statements of service performance reporting is the lack of comprehensive authoritative requirements on their preparation and presentation (Office of the Auditor-General, 2008). Arguably, the present authoritative requirements have been written to cater for the needs of large, profit-oriented entities in the private-sector rather than for the public-sector‟s specific needs for performance reporting and pitched at a higher or more conceptual level than is typically required for financial reporting standards (Office of the Auditor-General, 2008, Webster, 2007). This may be due to the fact that the current authoritative requirements, developed in early 1990s, have been influenced by the economic framework highlighting the decision-usefulness purpose of private-sector reporting, which is not suitable for public-sector reporting (Mack, 2003; Parker & Gould, 1999). Responding to the need for more adequate guidance for non-financial performance reporting of public-sector entities, the OAG and the International Public Sector Accounting Standards Board (IPSASB) are working on improving accounting guidance applicable for the preparation for SSP reporting by public-sector entities (Office of the Auditor-General, 2010; International Public Sector Accounting Standard Board, 2010). Pallot (1992) points out that accountability is the preferred purpose for public-sector reporting since the nature of the relationship between providers and users of government is non-voluntary. Past theoretical literature has attempted to define the possible components of accountability that would be suitable for public-sector entities to adequately discharge their accountability. Among them, Stewart (1984) has developed accountability bases, which provide a platform for understanding accountability expectations and, hence desirable characteristics of any accountability documents provided by public-sector entities for the public. It is possible that accountability documents pertaining to these accountability expectations will enable the public-sector entities to adequately discharge their accountability. New Zealand local government is the important second tier of New Zealand government sector. Among the wide range of community services provided by New Zealand local authorities, wastewater services represent one of the most crucial services. New Zealand constituents could be expected to be concerned not only about the performance of wastewater services provided by their local authorities, but also with the disclosures about that performance. However, the research on SSP wastewater disclosures by New Zealand local authorities is limited (Smith & Coy, 2000). Given the criticism on the usefulness of authoritative requirements for SSP reporting and the recognition of accountability expectations by the literature, the first two objectives of this study are to examine the consistency of SSP disclosures, regarding wastewater services provided by New Zealand local authorities, with the existing authoritative requirements, and the accountability expectations, using the disclosure index as a measurement tool. To understand possible explanations for the cross-sectional differences on the extent of disclosures, according to the authoritative requirements and accountability expectations, the third objective of this study is to examine the influential factors of the disclosures, using multiple regression analysis. The study finds that the performance disclosures made by the local authorities have low levels of correspondence with the index that is based on the authoritative requirements. The result also provides evidence that the current authoritative requirements are focused on financial information reporting and pitched at a high conceptual level. This supports the view that the existing authoritative pronouncements are not providing sufficient guidance for local authorities. The index based on accountability expectations has relatively greater correspondence with the disclosures made. This identifies that local authorities are providing information consistent with accountability expectations. The study suggests that accountability expectations provide a model suitable for SSP reporting guidance. According to the multiple regression analysis, the result shows that only size is significantly related to the extent of the disclosures. Larger local authorities report more corresponding information. The findings of this study provide three immediate implications which should be useful to: (i) accounting standard-setters for their current work on improving accounting guidance for SSP reporting; (ii) the Office of the Auditor-General for providing more insightful comments in the audit statement for SSP reporting; and (iii) regulators for increased attention on some special local authorities. By doing so, it is expected that New Zealand local authorities may lead the world in providing comprehensive SSPs, which enable them to adequately discharge their accountability and, hence in reaching a reform principle for greater accountability.</p>

Performance Reporting by New Zealand Central Government Agencies

<p>This study attempts to assess longitudinally the increase in the quality of performance information resulting from the Managing for Outcome (MfO) initiative, embarked on by the New Zealand Government in December 2001, and to identify the internal and external factors influencing the increase in quality. To measure the quality of performance information, a disclosure index was developed. The index assesses the comprehensiveness of information in compliance with available guidance, and reflects the approaches used by Marston and Shrives (1991), and Guthrie et. al. (2004). The disclosure analysis was applied to publicly available planning documents - the Statement of Intent and Annual Report of 27 New Zealand Government departments over the period 2003-2007. Agency theory, focusing on the role of information in the accountability relationship between principals and their agents, and public choice theory, focusing on the mechanisms to mitigate public choice problems, are used to explain the improvement in the quality of performance information and the external and internal factors influencing the improvement in quality. The roles performed and the activities initiated and implemented by ministers and other government agencies in the MfO initiative are identified and analysed. The data for the study was obtained from the reports of selected New Zealand central government departments and from semi-structured interviews. The findings support the Auditor General's assertion of disappointing quality in performance information. Weak incentives for reporting outcomes, the lack of authoritative reporting standards, and constraints on measuring performance have been the key factors in explaining the lack of meaningful progress in New Zealand performance reporting practice implemented under the MfO initiative. The initiatives do not include proper accountability arrangements, where the ministers responsible for outcomes also report; instead the current arrangement is that chief executives report but are not themselves accountable.</p>

Performance Reporting by New Zealand Central Government Agencies

<p>This study attempts to assess longitudinally the increase in the quality of performance information resulting from the Managing for Outcome (MfO) initiative, embarked on by the New Zealand Government in December 2001, and to identify the internal and external factors influencing the increase in quality. To measure the quality of performance information, a disclosure index was developed. The index assesses the comprehensiveness of information in compliance with available guidance, and reflects the approaches used by Marston and Shrives (1991), and Guthrie et. al. (2004). The disclosure analysis was applied to publicly available planning documents - the Statement of Intent and Annual Report of 27 New Zealand Government departments over the period 2003-2007. Agency theory, focusing on the role of information in the accountability relationship between principals and their agents, and public choice theory, focusing on the mechanisms to mitigate public choice problems, are used to explain the improvement in the quality of performance information and the external and internal factors influencing the improvement in quality. The roles performed and the activities initiated and implemented by ministers and other government agencies in the MfO initiative are identified and analysed. The data for the study was obtained from the reports of selected New Zealand central government departments and from semi-structured interviews. The findings support the Auditor General's assertion of disappointing quality in performance information. Weak incentives for reporting outcomes, the lack of authoritative reporting standards, and constraints on measuring performance have been the key factors in explaining the lack of meaningful progress in New Zealand performance reporting practice implemented under the MfO initiative. The initiatives do not include proper accountability arrangements, where the ministers responsible for outcomes also report; instead the current arrangement is that chief executives report but are not themselves accountable.</p>

Examination of Statements of Service Performance of New Zealand Local Authorities: the Case of Wastewater Services

<p>The provision of statements of service performance (SSPs) by local government in New Zealand is a product of the economic reforms carried out in the late 1980s. A statement of service performance is regarded as an important document of New Zealand local government reporting. It is statutorily required by the Local Government Act 2002 and complemented by accounting guidance provided by the New Zealand Institute of Chartered Accountants (NZICA), with the objective of strengthening accountability obligations (Local Government Act 2002, s. 98; NZICA, 2002). In spite of twenty years‟ experience in preparing statements of service performance, the Office of the Auditor-General (OAG) (2008) criticised that the quality of SSPs prepared by local authorities (and other public-sector entities) was poor. A fundamental problem of statements of service performance reporting is the lack of comprehensive authoritative requirements on their preparation and presentation (Office of the Auditor-General, 2008). Arguably, the present authoritative requirements have been written to cater for the needs of large, profit-oriented entities in the private-sector rather than for the public-sector‟s specific needs for performance reporting and pitched at a higher or more conceptual level than is typically required for financial reporting standards (Office of the Auditor-General, 2008, Webster, 2007). This may be due to the fact that the current authoritative requirements, developed in early 1990s, have been influenced by the economic framework highlighting the decision-usefulness purpose of private-sector reporting, which is not suitable for public-sector reporting (Mack, 2003; Parker & Gould, 1999). Responding to the need for more adequate guidance for non-financial performance reporting of public-sector entities, the OAG and the International Public Sector Accounting Standards Board (IPSASB) are working on improving accounting guidance applicable for the preparation for SSP reporting by public-sector entities (Office of the Auditor-General, 2010; International Public Sector Accounting Standard Board, 2010). Pallot (1992) points out that accountability is the preferred purpose for public-sector reporting since the nature of the relationship between providers and users of government is non-voluntary. Past theoretical literature has attempted to define the possible components of accountability that would be suitable for public-sector entities to adequately discharge their accountability. Among them, Stewart (1984) has developed accountability bases, which provide a platform for understanding accountability expectations and, hence desirable characteristics of any accountability documents provided by public-sector entities for the public. It is possible that accountability documents pertaining to these accountability expectations will enable the public-sector entities to adequately discharge their accountability. New Zealand local government is the important second tier of New Zealand government sector. Among the wide range of community services provided by New Zealand local authorities, wastewater services represent one of the most crucial services. New Zealand constituents could be expected to be concerned not only about the performance of wastewater services provided by their local authorities, but also with the disclosures about that performance. However, the research on SSP wastewater disclosures by New Zealand local authorities is limited (Smith & Coy, 2000). Given the criticism on the usefulness of authoritative requirements for SSP reporting and the recognition of accountability expectations by the literature, the first two objectives of this study are to examine the consistency of SSP disclosures, regarding wastewater services provided by New Zealand local authorities, with the existing authoritative requirements, and the accountability expectations, using the disclosure index as a measurement tool. To understand possible explanations for the cross-sectional differences on the extent of disclosures, according to the authoritative requirements and accountability expectations, the third objective of this study is to examine the influential factors of the disclosures, using multiple regression analysis. The study finds that the performance disclosures made by the local authorities have low levels of correspondence with the index that is based on the authoritative requirements. The result also provides evidence that the current authoritative requirements are focused on financial information reporting and pitched at a high conceptual level. This supports the view that the existing authoritative pronouncements are not providing sufficient guidance for local authorities. The index based on accountability expectations has relatively greater correspondence with the disclosures made. This identifies that local authorities are providing information consistent with accountability expectations. The study suggests that accountability expectations provide a model suitable for SSP reporting guidance. According to the multiple regression analysis, the result shows that only size is significantly related to the extent of the disclosures. Larger local authorities report more corresponding information. The findings of this study provide three immediate implications which should be useful to: (i) accounting standard-setters for their current work on improving accounting guidance for SSP reporting; (ii) the Office of the Auditor-General for providing more insightful comments in the audit statement for SSP reporting; and (iii) regulators for increased attention on some special local authorities. By doing so, it is expected that New Zealand local authorities may lead the world in providing comprehensive SSPs, which enable them to adequately discharge their accountability and, hence in reaching a reform principle for greater accountability.</p>

ANALISIS LAPORAN AKUNTANBILITAS KINERJA INSTANSI PEMERINTAH PADA BADAN PENGELOLAAN PENDAPATAN DAERAH KABUPATEN CIANJUR

ABSTRAKPenelitian ini dilakukan dengan latar belakang banyaknya kejadian korupsi, kolusi dan nepotisme yang semakin merajalela di lingkungan instansi pemerintahan, sehingga banyak realisasi pekerjaan yang tidak mencapai target yang telah ditentukan pada periode tertentu. Hal ini juga mengakibatkan banyaknya pihak yang menyoroti terhadap akuntabilitas pemerintahan. Tujuan dilakukannya penelitian ini adalah untuk mengetahui dan menganalisis Laporan Akuntabilitas Kinerja Instansi Pemerintah (LAKIP) yang disajikan apakah telah memenuhi fungsinya sebagai alat penatausahaan, pelaporan dan pertanggungjawaban serta sesuai dengan PERMENPAN & RB Nomor 53 Tahun 2014 Tentang Petunjuk Teknis Perjanjian Kinerja, Pelaporan Kinerja dan Tata Cara Reviu Atas Laporan Kinerja Instansi Pemerintah. Metoda yang digunakan dalam penelitian ini adalah metode deskriptif dalam pemaparan dari setiap indikator yang didapat dari laporan Akuntabilitas Keuangan Instansi Pemerintah Kabupaten Cianjur. Adapun data yang digunakan oleh penulis adalah data kualitatif yang diperoleh dari website Badan Pengelolaan Pendapatan Daerah Kabupaten Cianjur. Hasil dari penelitian ini menunjukkan bahwa Laporan Akuntabilitas Kinerja Instansi Pemerintah yang disajikan oleh Badan Pengelolaan Pendapatan Daerah Kabupaten Cianjur bersifat informatif dan telah sesuai dengan yang diamanatkan oleh PERMENPAN & RB Nomor 53 Tahun 2014. ABSTRACTThis research was conducted against the background of the many incidents of corruption, collusion and nepotism that are increasingly rampant in government agencies, so that many work realizations do not reach the predetermined targets in a certain period. This has also resulted in many parties highlighting government accountability. The purpose of this research is to find out and analyze the Government Agency Performance Accountability Report (LAKIP) presented whether it has fulfilled its function as an administrative, reporting and accountability tool and is in accordance with PERMENPAN & RB Number 53 of 2014 concerning Technical Guidelines for Performance Agreements, Performance Reporting and Governance How to Review Government Agency Performance Reports. The method used in this study is a descriptive method in the exposure of each indicator obtained from the Financial Accountability Report of the Cianjur Regency Government Agencies. The data used by the author is qualitative data obtained from the website of the Regional Revenue Management Agency of Cianjur Regency. The results of this study indicate that the Performance Accountability Reportof Government Agencies presented by the Regional Revenue Management Agency of Cianjur Regency is informative and has been in accordance with the mandate of PERMENPAN & RB Number 53 of 2014.

Not-for-Profit Performance Reporting: A Reflection on Methods, Results and Implications for Practice and Regulation

This paper presents a critical analysis of present approaches to studying not-for-profit performance reporting, and implications of research in this area. Focusing on three approaches: content analysis of publicly available performance reporting; quantitative analysis of financial data; and (rarer) mixed/other methods, we consider the impact of these on our knowledge of not-for-profit performance reporting, highlighting gaps and suggesting further research questions and methods. Our analysis demonstrates the important role of regulation in determining the research data available, and the impact of this on research methods. We inter-connect the methods, results and prevailing view of performance reporting in different jurisdictions and argue that this reporting has the potential to influence both charity practices and regulators’ actions. We call for further research in this interesting area. Contribution is made to the methodological literature on not-for-profits, and ongoing international conversations on regulating not-for-profit reporting.

PENGUKURAN PERSEPSI DOSEN FAKULTAS TEKNIK TENTANG IMPLEMENTASI REMUNERASI DI UNIVERSITAS PATTIMURA

This study aims to determine the perception of lecturers of the Faculty of Engineering on the policy of implementing remuneration at the Pattimura University. Perceptions related to remuneration implementation can be measured from several indicators, including grading determination, tariff setting, performance reporting system, reward system, performance appraisal system as well as experience and years of service. The analysis was carried out by clustering using K-mean cluster. The results showed that of the three clusters formed, there were significant differences, with high, medium and low perceptions. The limitations of the study and suggestions for further research are discussed at the end of this paper.

An institutional theory perspective on public sector reform and service performance reporting by New Zealand universities

Purpose This paper aims to examine new public management (NPM) reform in New Zealand Universities (NZUs) and the process by which government policy changes generated service performance reporting (SPR), and how the SPR practices were institutionalised. It seeks to explain the underlying institutional forces of the reform process, how universities were subjected to accountability pressures through government-imposed managerial techniques and how universities responded to them. Design/methodology/approach The authors draw on the theoretical lens of neo-institutional theory and the concept of NPM to interpret the setting of SPR. Data comprise annual reports and other documents produced by the NZUs. Findings The findings show that the development of the SPR was driven by NPM ideals and rationales of greater transparency and accountability. The institutional pressures bestowed extra power to the government by demanding greater accounting reporting of university performance. It also shows the ensemble of institutions, organisations and management practices that were deployed to reorganise performance reporting practices. Research limitations/implications The study adds to the neo-institutional theory work that universities are experiencing extraordinary institutional pressure to become a market-type commodity in New Zealand and internationally. The findings have implications for government, universities, policymakers and public sector professionals who work in public sector reform. Originality/value Through the institutional theoretical lens, the study offers new insights into our understanding of NPM-driven regulation and institutionalisation of managerial techniques. The insights inform policy and practice surrounding design, implementation and the potential effect of future policy changes with reference to the performance of NZUs and internationally.