MANAGEMENT OF SPECIAL AUTONOMY FUNDS: AN ORGANIZATIONAL PERSPECTIVE IN REGIONAL GOVERNMENT, INDONESIA

Abstract

This study aims to analyze the organizational capacity of the Regional Financial and Asset Management Agency (BPPKAD) of Southwest Papua Province in managing the special autonomy funds. This study uses a qualitative approach with a case study design through in-depth interviews, observations, and document reviews to gain a comprehensive understanding of the resources, management, and institutional networks. The results indicate that the BPPKAD's organizational capacity is still at the institutional strengthening stage. Based on Horton's (2003) theoretical framework, organizational capacity encompasses the institution's ability to carry out functions, solve problems, and achieve goals sustainably through the management of human resources, systems, structures, and external support. From a resource perspective, the quality of the apparatus and technical capabilities in financial management are still limited, while the utilization of information technology is not optimal due to network constraints and digital literacy. From a managerial perspective, strategic leadership has demonstrated a commitment to the principles of good governance, but the financial management cycle is not yet fully outcome-based. The institutional network aspect also still faces barriers to communication and coordination between stakeholders. Overall, strengthening the BPPKAD's organizational capacity needs to be directed at improving staff competency, integrating financial information systems, and developing performance-based coordination and evaluation mechanisms to ensure the Special Autonomy Fund delivers a tangible impact on the welfare of the people of Southwest Papua.