Indonesia
I. CHANGING CONTEXT OF GOVERNMENT
Factors in the developmental context, which may be increasing or decreasing in importance:
a) transnationalization of management change
b) imperative to increase gender/women sensitivity
c) groups in society with needs and demands
d) private sector needs and demands
e) local government needs and demands
f) mass migration and its consequences
g) environmental concerns
h) economic decline or need for economic growth
i) development of political pluralism
j) other
Critical policy areas, which may be increasing or decreasing in importance:
a) education
b) social security
c) health
d) environment
e) immigration
f) criminal justice
g) agriculture
h) industrial
i) public works
j) urban decay/infrastructure
k) micro economic reform
l) macro economic management
m) other
National context
a) population size and age dynamics
Since 1968 the population has increased from 115 million to 147.5 million in 1980 and 179.9 million in 1990. The prospected number at the end of the First Long Term Development Phase (March 1994) is 192.1 million.
b) economics dynamics
c) social dynamics, including migration/refugee movement
d) poverty alleviation, massive unemployment
e) labour relations issues
f) increasing role of judiciary
g) increasing impact of media and media relations
h) decreasing resources available to government
i) relations of public service with politicians/ministers
j) growing differentiation and interaction of various spheres in society
k) other
As in other developing countries the social, economic and political life of this nation continuously change toward progress. The changes may sometimes bring excess or problems. In this context there are in fact two major factors affecting the changes and trends, i.e., development efforts and international relations. In many cases both are interrelated and interdependent. On one hand, to accelerate the development programs promoting the international relations is needed to obtain development assistances. The development success on the other hand will enable the society, nation and state to be more active in the international forums politically, economically and socially.
To achieve the national goals mentioned above, Indonesia has launched the national development programmes, and is now at the final state of the implementation of the Fifth Five Year Development Plan and of the First Long Term Development Plan (First 25-Year Development Plan) as well. The ultimate goal of national development is to realize an equitably just and prosperous society, materially and spiritually, based on Pancasila and the 1945 Constitution.
The philosophy of development of this nation is known as "Development Trilogy" consisting of: (1) an equitable distribution of development gains leading to the welfare of the entire population; (2) a sufficiently high economic growth; and (3) a sound and dynamic national stability. The national development is comprehensive in nature, covering all aspects of life of the individuals, society, nation and state of Indonesia. The pattern of national development, known as Guidelines of State Policy (Garis-garis Besar Haluan Negara - GBHN) is sanctioned every five years by the People's Consultative Assembly. The Government then translates it into Five-Year Development Plan (Rencana Pembangunan Lima Tahun-Repelita). Each local government, the first and second levels, also has its regional or local Five-Year Development Plan.
The First Long Term National Development began on April 1, 1969 and will be completed March 31, 1994. Its general target is to establish a strong base to enable the Indonesian to grow and develop by its own strength toward the just and prosperous society based on Pancasila and the 1945 Constitution. In a more popular phase it is expected to enable the Indonesian people to enter the take-off phase in the process of further development programs. The targets of the First Long-Term Development Plan are in:
The emphasis of the development has been on the economic field, without ignoring the others. To further assure the appropriate realization of the equitable distribution of the development gains as mentioned in the Development Trilogy, since the Third Five Year Development Plan, policies and programmes have been undertaken with the following eight distribution channels, i.e.:
International context
a) size, availability, etc. of foreign investment
b) amount and types of technology transfer-in
c) nature of markets for national products
d) structural adjustment policies and programmes
e) role of external cooperation in state redesign
f) availability of external assistance/aid/grants
g) ethnicity
h) religious fundamentalism
i) anti-corruption programmes
j) role of transnation corporations
k) role of international consulting firms
l) role of international political change
m) role of multi-laterals and bi-laterals
n) global communications networks
The international relations through the communication mass-media, directly or indirectly, have tended to influence automatically the people toward making changes and progresses by adopting and adapting foreign practices of life that are considered better, including unfortunately those which are actually negative ones.
o) global, regional dichotomies and grouping
p) international data banks
q) international expert systems
r) international evaluation studies
s) other
Indonesia has been unable to escape from globalization influx, which has more strongly whipped the world up because of the very rapid progress of transportation, communication and information technologies since the eighties. The globalization issue, which was essentially economic at the beginning, has spread to socio-cultural, political, defence and security.
II. CHANGING ROLE/SCOPE OF GOVERNMENT
Domains of activity
a) disaster management/crisis management
b) environmental/natural resource management
c) electoral administration
Five general elections have been successfully conducted once in every five years. Those are to elect members of the People's Consultative Assembly, House of Representatives, and Local Representatives Body.
d) legislative administration
e) judicial administration
f) sectoral management, which sectors?
g) management of large scale social programmes
h) management of strategic macro-policies
i) economic reform, including privatization
j) population increases and consequences
k) resource mobilization
l) international competitiveness
m) commercialization
n) privatization
o) contracting out
p) corporatization
q) other
Government functions
As stipulated in the 1945 Constitution, Indonesia is a unitary state. The system of government of the state is based on seven principles, i.e.: Indonesia is a state based on law; the system is constitutional; the highest authority of the state is in the hands of the People's Consultative Assembly; the President is the highest executive of the Government of the State below the People's Consultative Assembly; the President is not responsible to the House of Representatives; the Ministers of State are not responsible to the House of Representatives; the authority of the Head of State is not unlimited.
According the the 1945 Constitution there are six organs of the State: (1) the People's Consultative Assembly (Majelis Permusyawaratan Rakyat, MPR); (2) the Presidency; (3) the House of Representatives (Dewan Perwakilan Rakyat, DPR); (4) the Supreme Advisory Council (Dewan Pertimbangan Agung, DPA); (5) the Supreme Court (Mahkamah Agung, MA); and (6) the Supreme Audit Board (Badan Pemerikaa Deuangan, BEPEKA). The President is subordinate and responsible to the People's Consultative Assembly.
The Government apparatus can be grouped into central and regional/local levels. The Central Government Apparatuses are: (1) the Office of Minister Coordinator; (2) the Ministry (Department); (3) the Office of State Minister; (4) Agency headed by an official having ministerial level status; (5) the Non Ministerial Departmental Agency; (6) the State Organ Secratariate General, State Secretariate and Cabinet Secretariate; and (7) the public enterprise.
The local Government System is based on three principles, i.e. devolution (in Indonesia it is called decentralization), deconcentration and co-administration. Local autonomy is based on the following principles: (1) Real; the scope of autonomy of a region depends on its real capability -- financially, economically, politically, etc.; (2) Dynamic; it can be enlarged or reduced, depending on their real capability; (3) Harmonious; it must create a harmonious life to the people, covering prosperity and security, prevent the regional gap; and (4) Responsible; it must be based on the spirit of responsibility to meet the people's needs.
The country is divided into autonomous regions and just administrative ones. The autonomous regions consist of First Level Autonomous Regions (Daerah Tingkat I) and Second Level Autonomous Regions (Daerah Tingkat II). The Head of the Region (Kepala Daerah) and the Local People's Representative Body (Dewan Perwakilan Rakyat Daerah - DPRD) form the Local Government (Pemerintah Daerah). Local Apparatus is led by the Head of the Region. The emphasis of the autonomy is on the Second Level Autonomous Region. Presently there are 27 First Level and 292 Second Level Autonomous Regions.
a) regulating
b) facilitating
c) policy making:
i) definition and formulation of policy
ii) steering capacity/mechanisms
iii) central guidance/cluster or innovative mechanisms
d) implementation
i) through private sector, NGOs, QUANGOs, etc.
ii) coordination
e) evaluation
f) planning
g) reliance on contractors and sub-contractors
h) reliance on consultants
i) coordination (in what arenas, for what sectoral issues)
j) government relations with the private sector
k) staff and line functions
l) other
In 1994 the Indonesian will be entering the Second Long-Term Development Phase. The goal of this phase is to achieve a nation which is modern, self-sustained and wealthy in material and spiritual sense as the base for the next development phase toward a just and prosperous society in the Unitary State of Indonesia based on Pancasila and the 1945 Constitution. Its general objective is to create the quality of Indonesian man and society which are modern, self-sustained in a peaceful, materially and spiritually wealthy atmosphere, in a lot order of society, nation and state based on Pancasila.
As a part of the Second Long Term Development, the goals of the Sixth Five Year Development are to develop self-sustained attitude and determination of the Indonesian man and society in promoting human resource quality for realizing a harmonious, just and equitable material and spiritual welfare. Besides, it is also to establish a strong base for the next development phase.
Implementation of roles and role shifts
Methods or vehicles for implementing role shifts
a) boundary management/sovereignty management
b) inter-sovereignty capabilities
c) linkages with NGOs, cooperatives, business etc.
d) green management
e) alternative channels for service delivery
f) promotion and facilitation of private sector development
g) other
Major issues raised in the implementation of role shifts
a) governmental, public sector society-wise sector
b) administrative reform vs. state reform
c) isolated Government vs. "partnership" Government
d) management of change methods
e) other
Describe your future projections of activities in the area of changing role/scope of government. For each projection/prediction, indicate the following, indicate what you imagine or estimate would be the:
a) rate of change
b) direction of change
c) content of change
d) agent(s) of change
e) amount of change
f) level(s) of Government involved
g) amount of continuity involved
h) assumptions implied in the prediction
i) other elements of the change
III. ADMINISTRATIVE DEVELOPMENT/REFORM/CHANGE
Shifts in the overall composition of the Governance structures
Realizing the significant role played by the state apparatus in running the governmental and developmental tasks, the New Order Government since the beginning has seriously made efforts to reform or to develop it. From one Five-Year Development to the following ones, those efforts have always been accelerated, covering all aspects of administration and especially the aspects of organization, management and personnel.
The goal of the administrative development has been as follows:
The administration development target in the First Long-Term Development Plan is to establish a clean and influential public apparatus. In a slightly different formulation it has always been one of the cabinet programs. Furthermore, it is translated in the Five-Year Development Plan as a separate chapter. As other development fields from the First Five-Year Development Plan to the others the process of administrative development has always been more accelerated, its content deepened and enlarged. And this tendency would like be similar in the coming Second Long Term Development Plan, in which the target will be a public apparatus which is clean, responsible, fully dedicated and professional.
More stable organizational structure of both central and local government now exists, along with more efficient management system, which is equipped with modern information and communications technology, and backed-up by a corps of public servants with more dedication spirit, sufficient technical and managerial skills. The successes of the development efforts have all indicated that fact. Furthermore, the improvement of capability and efficiency of the apparatus service function has also been manifested in the increasing government saving from Rp 27,2 billion in 1969/70 to Rp 3.321,8 billion in 1987/88, then 13.311,8 billion in 1992/93. Similarly, the development budget that could be managed and realized had increased from Rp 118,2 billion in 1969/70, Rp 9.447,4 billion in 1987/88 then Rp 22.912,0 billion in 1992/93. Those have been realized due to the accuracy of the policies taken and its appropriate implementation by the apparatus.
a) shifts in unitary/federal/composite formats
b) balance between rural development and urban management
c) number and portfolios of ministries etc.
d) number semi-independent boards/commissions or agencies
e) decentralization
Note: within the concept of decentralization, there are various types of tendencies:
a) devolution
b) dispersion
c) deconcentration
d) de-bureaucratization
e) strengthening municipal/local autonomy
f) other
Also, there are various functions which can be decentralized:
a) co-production of service delivery; receiving system
b) resource sharing
c) responsibility sharing; co-responsibility
d) authority sharing
e) decision-making sharing or governance sharing
f) information technology
g) personnel management
h) financial management
i) planning and goal-setting
j) other
There are also various specific areas of decentralization changes:
a) mode of implementation
b) goals/reasons
c) impetus
d) context in which takes place
e) level of government involved
f) consequences/results/outcomes/evaluation
g) professional modes of access
h) cooperative schemes
j) self-governing/self-regulating mechanisms
k) strengthening nodes: NGOs, etc.
l) other
In the public finance area, transformational changes or changes with transformational impact
a) budget; expenditure control
b) receipts/taxation
c) public administration markets
d) other
Criteria used to determine the content of shifts
a) productivity improvement
b) service accountability
c) ethics
d) budget reduction
e) government-wide v. targeted to a few agencies
f) degree of comprehensiveness/depth
g) other
Processes used to determine the content of shifts
a) high level blue-ribbon committee
b) staff analysis
c) multilevel dialogue within Government
d) policy dialogue with NGOs, business sector etc.
e) society-wide dialogue with individual participation
f) strategic planning/management/corporate planning
g) think tank-mechanisms to predict futures
h) mechanisms for initiation and co-ordination of reforms
i) other
Processes and methods used to implement shifts
a) administrative learning
b) goals, objectives, scope, coverage
c) organizational analysis, strategy,
d) evaluation, assessment
e) training institutions/ training policy
f) managing decline and cutback
g) total quality management (TQM); continuous improvement
h) accountability management (anti-corruption policies, macro-measures to improve monitoring & control)
i) internal/external communications
j) increased flexibility
k) increased standardization
l) monitoring of initiatives introduced throughout the government
m) team management
n) legislative compulsion
o) other
Specific methods have been used to reduce resistance to change
a) training
b) meetings
c) relationship to on-going activities
d) redundancies
e) early retirements
f) other
Consequences for the civil service during these shifts
a) recruitment/promotion/transfer/mobility
b) accountability and discipline
c) pay/remuneration policy, pension/retirement
d) decentralization
e) boundaries with other agencies
f) personnel involved: political policy types vs. directors of operations
g) coordination issues
h) loss of sectoral skills
i) reliance on external consultants
j) policy fragmentation
k) other
Methods used to measure impact of reform and development programmes
a) demonstrable behavioural outcomes
b) more directed management assessment, development and training
c) results-oriented management
d) performance-based appraisal
e) retro-fitting skills capacity
f) other
Describe your future projections of activities in the area of administrative reform/development/change. For each projection/prediction, indicate the following, indicate what you imagine or estimate would be the:
a) rate of change
b) direction of change
c) content of change
d) agent(s) of change
e) amount of change
f) level(s) of Government involved
g) amount of continuity involved
h) assumptions implied in the prediction
i) other elements of the change
IV. MODERNIZATION OF ADMINISTRATIVE FUNCTIONS
Inputs/resources
Programmes undertaken in reform of human resources management systems/practices
a) career, incentives, performance, probation, promotion, management
b) recruitment/selection/development
c) training policy
d) training curriculum changes and needs analysis
e) retrenchment/redeployment measures
f) transfer/mobility
g) discipline/ethics/codes of conduct
h) merit/seniority/representational criteria
i) civil service pay and benefits; conditions of work
j) employee/union relations
k) retirement, pensions
l) statistics and planning; number of posts; structural policy
m) job descriptions/classification systems
n) other
Since the New Order took over management of the state there have been many steps taken to develop sound personnel administration in line with the effort to achieve the clean and influential government apparatus. The first substantial and strategic effort was made in 1967 by establishing new salary systems, which by then was well known as Civil Servant Salary Regulation of 1968. At the same time civil servant education and training system had also been reviewed resulting in the implementation of conducting the Administrative Staff College beginning in 1971. The very basic improvement was done in 1974 with the promulgation of a Law No 8 of 1974 on Civil Service, covering all aspects of personnel administration: civil servant position, their rights and responsibilities, discipline, all function of personnel administration from recruitment up to retirement.
In improving quality of the apparatus, education and training has also been accelerated. It is classified as pre-service and in-service training. The pre-service training began in 1981. Now improvement is underway, and in 1994 the new pre-service training system is planned to be implemented. Its main change is that the new system will include a basic training, emphasizing on forming mental, physical and dedication spirit of the new recruitees. The in-service training is classified as either structural or functional training. The structural training is basically a promotional training for those holding structural positions, to prepare them for higher positions. The functional training consists of the technical functional training and management technique training.
Shifts attempted in reform of financial administration
a) budgetary planning
b) accrual accounting
c) programme budgeting
d) revenue mobilization and management
e) budgetary and financial management control
A substantial change was made in 1991 in the financial administration with the implementation of some kind of autonomous financial management. Agencies that directly serve the public and other government agencies and charge for their services, are allowed not to submit their non tax revenues to the Government Treasury but directly use it for their operational purposes including for the improvement of the personnel welfare. Such agencies are, for example, public hospitals, universities, R & D centres, training centres, etc. They may decide on the tariff of their services to enable them to maintain and even improve the service quality. To do this however, they should give access to the low-income people to obtain sufficient service needed. Through this system, it is expected that better quality of services can be achieved.
f) zero-based/performance budgeting etc.
g) compensation adjustments
h) accountability
i) value for money
j) systems of accounts
k) other
Improvements attempted in information management
a) increasing access (secrecy)
b) adopting new technology
c) policies on information technology
d) coordination of development and adoption of new information technology
e) training for information technology
f) office automation
g) decision-support-systems
h) freedom of information/transparency
i) new administrative laws
j) expert systems/artificial intelligence/neural systems
k) data banks
l) other
Management improvement in the government bureaucracy has been done by means of development management. Respectively, systems approach, integrated approach and multi-functional approach have been developed. Accordingly efforts have been done to establish harmonious coordination among related ministries/agencies. Noting that coordination is vital in facilitating the smooth run of the governance, it should be properly established to ensure progress.
To support that, information systems applying modern information technology has also been developed. Several ministries and agencies have developed information system for their own needs. Efforts are being carried out to establish a system that is able to link them.
Productivity management and improvement
Overall productivity programmes/projects undertaken
a) what specific measures or methodologies
b) by what specific organizations or sectors
c) development of standards
d) other
Methods used to identify and install productivity improvement projects
a) research studies for productivity improvement
b) planning, monitoring, evaluation, supervision
c) implementation studies
d) systematic managerial assessment
e) training programmes in productivity
f) managerial autonomy of agencies/enterprises
g) inspection systems
h) performance management
i) leadership training; vision; values
j) cost-benefit methodologies
k) other
Outputs aimed at or perceived in the productivity improvement programmes/projects, along with demonstrable improvements achieved so far or projected
a) service delivery
b) relationship between government/public
c) governance effectiveness
d) rule-making
e) public management transfer
f) crisis management
g) management of technology transfer
h) rationalizing administrative procedures
i) cross subsidization
j) steering capabilities
k) other
Units in government conduct research and analysis and how they interact with administrative units, especially the services they offer administrative units
a) planning units
b) finance units
c) management consultancy units
d) personnel units
e) policy analysis units
f) cabinet level/ministerial level units
g) Prime minister's/President's office
h) Commissions or Boards
i) R&D centres
j) administrative reform unit
k) academies/institutes
l) economic units
m) accounting units
n) coordination units
o) representative bodies
p) think tanks
q) other
Describe your future projections of activities in the area of administrative reform/development/change. For each projection/prediction, indicate the following, indicate what you imagine or estimate would be the:
a) rate of change
b) direction of change
c) content of change
d) agent(s) of change
e) amount of change
f) level(s) of Government involved
g) amount of continuity involved
h) assumptions implied in the prediction
i) other elements of the change