OPEN GOVERNMENT FRAMEWORK AND PERFORMANCE: AN INTERACTION APPROACH WITHIN THE CONCEPT OF ENTERPRISE RISK MANAGEMENT FOR LOCAL GOVERNMENTS IN INDONESIA

Abstract

This study investigates the impact of the Open Government Framework on local government performance, with Enterprise Risk Management (ERM) as a mediating factor. Using an interaction approach, data were collected from 217 local financial and administrative officials through purposive sampling. Key variables include Transparency, Accountability, Empowerment, ERM, and Performance. Findings show that while Transparency, Accountability, and Empowerment significantly affect ERM, only Accountability directly influences performance. Transparency and Empowerment impact performance indirectly through ERM. The study offers theoretical and practical contributions by highlighting ERM’s mediating role and reinforcing the importance of accountability in enhancing local government performance under Open Government principles.