Optimizing Financial Performance through Enhanced Accountability, Integrity, and Competence: A Moderation Analysis in Local Government Settings

DOI

10.2991/978-94-6463-400-6_59How to use a DOI?

Keywords

Accountability; Integrity; Financial Performance; Competence; Agency Theory; Local Financial Governance

Abstract

The significance of accountability and integrity in organizational management has become a primary focus in the context of business and finance. These two concepts not only reflect the core values of good governance principles but also have a significant impact on the financial performance of an organization. In the face of the complex dynamics of the business environment, the management of accountability and integrity has become increasingly vital as the foundation for achieving sustainable financial performance. This research aims to understand the moderating role of competence in the relationship between the management of accountability and integrity with the financial performance of an organization. Competence, encompassing the skills, knowledge, and abilities of human resources, is considered a key factor in shaping the implementation of accountability and integrity practices. The research findings indicate that accountability and integrity positively influence the financial performance of the local government. Furthermore, the competence variable moderates the relationship between accountability and integrity with financial performance, demonstrating that the level of competence strengthens the positive impact of integrity on the financial performance of the local government. This study provides new insights into the complexity of the relationship between accountability, integrity, competence, and financial performance. The implications suggest that the improvement of accountability and integrity should be accompanied by an enhancement in the competence of financial personnel to achieve optimal financial performance. These findings contribute significantly to the development of better financial governance and the attainment of regional development goals.

Copyright

© 2024 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Download article (PDF)

TY  - CONF
AU  - Dorika Naa
PY  - 2024
DA  - 2024/05/22
TI  - Optimizing Financial Performance through Enhanced Accountability, Integrity, and Competence: A Moderation Analysis in Local Government Settings
BT  - Proceedings of the 8th International Conference on Accounting, Management, and Economics (ICAME 2023)
PB  - Atlantis Press
SP  - 795
EP  - 802
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-400-6_59
DO  - 10.2991/978-94-6463-400-6_59
ID  - Naa2024
ER  -