GOOD GOVERNANCE, GOOD FINANCE: THE IMPACT OF VILLAGE GOVERNANCE ON VILLAGE FINANCIAL MANAGEMENT AND PERFORMANCE
The Indonesian Government has delegated more autonomy power to villages by Law No. 6 of 2014. There are some indications that village finances management and performance in Gerobogan Regency are not being managed optimally. The purpose of this study was to examine the issue of declining financial autonomy and efficiency in villages from the vantage point of village financial management and performance through competency, organizational commitment, IT, and good village governance. The research included 273 villages in the Gerobogan District of Central Java, with a total of 273 village chiefs, secretaries, and treasurers. According to the findings, competence has a negative effect on village financial management, but organizational commitment, IT, and good village government all have favorable effects. There was also a positive correlation between these factors and the financial performance of villages: competency, information technology, organizational commitment, good village government, and village financial management. The mediation analysis found no evidence that competent and good village governance mediated the relationship between village financial management and village financial performance. However, it significantly and positively moderated the influence of organizational commitment on the financial success of villages.
Competence, Organizational Commitment, Information Technology, Good Village Governance, Village Financial Management, Village Finance Performance