DETERMINAN KUALITAS LAPORAN KEUANGAN PEMERINTAH DAERAH

Abstract

Transparency and accountability in local government financial management require the preparation of financial statements that are relevant, reliable, comparable, and understandable. The Bangli Regency Government received Qualified Opinions (WDP) on its financial statements in 2015–2016, followed by Unqualified Opinions (WTP) consecutively from 2017 to 2023. This improvement indicated progress in the fair presentation of financial statements but did not fully explain the organizational factors associated with financial reporting quality. Drawing on agency theory and inconsistencies in previous empirical findings, this study aimed to examine the effects of organizational commitment, human resource competence, internal control systems, and information technology utilization on the quality of local government financial statements. This study employed a quantitative approach using a survey design involving 13 regional government agencies in Bangli Regency. From a population of 1,230 employees, 52 financial management personnel were selected through purposive sampling based on their positions and a minimum of one year of work experience. All selected employees participated as respondents. Primary data were collected in 2024 using a five-point Likert-scale questionnaire. Data analysis included validity, reliability, classical assumption tests, and multiple linear regression analysis. The findings revealed positive regression coefficients for organizational commitment (0.254), human resource competence (0.324), internal control systems (0.410), and information technology utilization (0.183). The simultaneous test produced an F-statistic of 238.788 with a significance level below 0.001. The adjusted R-squared value of 0.949 indicated that the four independent variables collectively explained 94.9% of the variation in financial reporting quality scores within the research sample. Internal control systems demonstrated the largest unstandardized regression coefficient among the independent variables. These findings provided empirical evidence of the importance of organizational behavior, employee competence, internal control mechanisms, and information technology in supporting local government financial reporting quality. From a practical perspective, the study recommended strengthening internal control systems, improving employee competence through continuous training, enhancing organizational commitment, and optimizing financial information systems. These measures were expected to support more accurate, timely, reliable, and accountable financial reporting in local government institutions