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Bureaucratic Reform in Indonesia : Innovation, Challenges and Typologies

Conference Paper · August 2014

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Bureaucratic Reform in Indonesia : Innovations, Challenges and Typologies
Pratiwi
Center for Research, Education and Training of Apparatus I
National Institute of Public Administration, Republic of Indonesia
Jl. Kiara Payung km. 4,7 Jatinangor, Sumedang, Jawa Barat, INDONESIA
Contact : pratiwisaja@gmail.com

2014 International Institute of Administrative Science – Asian Group for Public Administration
(IIAS-AGPA) Conference
Sub theme 3: Opportunities, Challenges, Learnings and Innovations in Asian Public Service
Jakarta, 27-29 August 2014

Abstract: This research aims to describe bureaucratic reform strategies in local governments in
Indonesia. Since Indonesia faces challenges in Global Competitiveness Index (GCI) due to
inefficient government bureaucratic, bribery, corruption, poor ethics in national labor force and
inadequate infrastructure [1]; central government emphasizes to reform bureaucracy in both
central government and local government. Reform policies were executed by Ministry of
Apparatus Empowerment and Bureaucratic Reform (MAEBR) regulations about Bureaucratic
Reform Grand Design and Bureaucratic Reform Road Map. 10 local governments in provincial
and municipal levels were chosen as research locus. Using interview guide and documents
analysis, this research highlights challenges, innovations, and typologies of bureaucratic reform
in local governments. Paternalistic culture, unclear human resource planning, road map
operation difficulties, inefficient public service procedures, and overlapping policies are
identified as bureaucratic reform challenges. However, the challenges encourage local
governments to overcome problems through innovations in public service, public participation,
rewards system, restructuring organization and productivity measurements. Although some
local governments do innovations, others have different acts in reforming bureaucratic. This
research also reveals 4 typologies of bureaucratic reform in local government in Indonesia; 1)
Local governments that do innovations but they do not have any bureaucratic reform road map
as guidance; 2) Local governments that do innovations and they made bureaucratic reform road
map; 3) Local governments that do not do anything to overcome their problems and they do not
have bureaucratic reform road map; and 4) Local governments that do not do innovations but
the made the bureaucracy reform roadmap. Strong leadership, willingness to change, and
participation are identified as the main factors that dominantly influence bureaucratic reform in
local government.

Key words; bureaucratic reform, innovation, strategy, local government.


Introduction

Indonesia faces challenges in economic development. World Economic Forum reported


that Indonesia increased it ranks from 52nd to 38th in Global Competitiveness Index 2013-1014.
The index was measured by following indicators; 1) Institutions, 2) Infrastructure, 3)
Macroeconomic environment, 4) Health and primary education, 5) Goods market efficiency, 6)
Labor market effieciency, 7) Financial market development, 8) Technological readiness, 9)
Market size, 10) Innovation, and 12) Business sophistication. The report noted bribery and
security as two dark spots that could be obstacles for competitiveness.1
Concern with the relationship between bribery, security and government effectiveness is
of course, not new. Compare to Brunei Darussalam, Malaysia, Philipines and Singapore,
Indonesia got the lowest score for Government Effectiveness Index in 2012 that was measured
from public service quality, bureaucratic independence from political pressures, public policy
quality and government’s commitment credibility. Inneficient bureaucratic in applying for
business llicenses and ilegal tax are two main factors that lowering Indonesia’s government
effectiveness index.
Bribery and illegal tax are two factors that lowering public trust and economic
development. Bureaucratic reform in other ASEAN countries such as Malaysia and Singapore
showed some progress in boosting public trust and economic development. Siddique noted that
before bureaucratic reform was executed, Malaysian goverment was criticized for lack of
accountability and public service inneficiency.2 New Public Management (NPM) was used by
the government to reform public service. The government applied decentralization in public
service delivery and e-government to increase public satisfaction, however corruption still
remains main problem in reforming government in Malaysia.
Bureaucratic reform in Singapore resulted different output. Public sector has important
role to enhance economy performance of Singapore. One main factor that triggered Singapore to
reform the government is weak foreign investment.3 Many investors are looking for other
cheaper countries in investing. Public sector reform was executed due to opening massive
investment and cooperation opportunities with the government and provide incentives to
investors.
Another study about the urgency of bureaucratic reform practice has showed in Chinese
government case. Bureaucratic reform in China aimed to improve governance in China by
increasing accountability, predictability, transparency, participation, and efficiency and
effectiveness. The reforms were so extensive, touching recruitment and selection, training,
appraisal, rewards and punishments, compensation, discipline, and other areas. Government
capacity has improved during past ten years reform. Leadership and change in education system
in China were claimed as dominant factors that influenced the reform.4
Considering best practice and progress results of bureaucratic reform in some countries,
Indonesian government has been applying bureaucratic reform. Although political reform has

1
Scwab, Klaus, Sala-i-Martín, Xavier and Brende, Børge. The Global Competitiveness Report 2013-2014 Full Data
Edition. Geneva : World Economic Forum, 2013. Page 35.
2
Noore Alam Siddique (2006). Public Management Reform in Malaysia : Recent Initiatives and Experiences in
International Journal of Public Sector Management Vol. 19 No. 4. Emerald Group Publishing Ltd. Page 339-358.
3
Henry Wai-Chung Yeung (2000) . State Intervention and Neoliberalsm in the Globalizing World Economy: Lessons
from Singapore’s Regionalization Programmme in Pacific Review. Page 62-133.
4
John P Burns (2007). Civil Service Reform in China in OECD Journal in Budgeting Vol .7 No. 1. Page 1-25.
begun in 1998, Indonesian government seemed to have unclear system and standard for
government reform since then. Therefore, bureaucratic reform policies was designed in 2008 to
enhance public service accountability, reduce corruption and increase competitiveness index.
Indonesian government has been applying centralized bureaucratic reform policies. Ministry of
Apparatus Empowerment and Bureaucratic Reform (MAEBR) has the authority to control and
evaluate the bureaucratic reform implementation in each local government program. Presidential
Regulation No. 81/ 2010 about 2010-2025 Bureaucratic Reform Grand Design and MAEBR
Regulation No. 20/ 2010 about 2010-2014 Bureaucratic Reform Road Map were legalized as
central regulation about mechanism of bureaucratic reform. Qualities in eight areas of
bureaucracy such as institutional approach, procedure, legislation, human resources, supervision
mechanism, accountability, public service and mind set are used as bases of bureaucratic reform
programs.
However, the centralized bureaucratic reform policies brought critics because it is unclear
whether the Indonesian Government can achieve stated goals because the reform road map is
designed without clear conceptual structures and causal linkages.5 Therefore, this paper aims at
identifying local government bureaucratic reform strategies, challenges, innovations, and
initiatives.

Innovation as Bureaucratic Reform Concept


Innovation can be defined as inventing something new, generating new ideas only,
improving something that already exists, following the market leader and attracting innovative
people.6 The concept contains the idea of reforming bureacracy. Bureaucratic reform is an effort
to change the bureaucratic from the status quo to meritocracy, better policies and public service.
In context of Indonesia, bureaucratic reform is urgently needed to improve public trust, citizen
development, public budgeting effectiveness and economic development. The initiatives and
methods of bureaucratic reform could be out of the box or something that never be done before.
Same activity that is adopted from an institution could be innovation for another different
organization improvement that never applies that. It can be concluded that innovation has two
aspects; applying something new and improvement. Bureaucratic reform comes as manifestation
of innovation in public institution context.
Bureucracy reform implementation in public organization can not be separated from the
role and authority of the institution and leadership. Leadership capacity is a critical factor
influencing bureaucratic reform.7 Fernandez and Rainey describes eight factors that contribute
for successful implementation of bureaucratic reform such as;8

5
Jin-Wook Choi. (2009, October 22-24). What Holds Indonesia Back? Structural Roots of Corruption and Reform.
Paper presented at the 2009 Korean Association for Public Administration International. University of Incheon at
Songdo Campus, Korea.
6
Eleanor D. Glor (2006) A Gardener Innovator’s Guide to Innovating in Organizations. Ottawa: The Innovation
Journal. Retrieved from http://www.innovation.cc/books.htm.
7
Armenarkis, Harris & Field (1999). Handbook of Organizational Behaviour. New York : Marcel Dekker. Page. 58;
John Kotter (1995). Leading Change: Why Transformation Efforts Fail. Harvard Business Review 73 (2). Page. 59-67;
Abramson & Lawrence (2001) The Challenge of Transforming Organizations: Lesson Learned about Revitalizing
Organizations. In Transforming Organizations, Lanham: Rowman & Littlefield. Page 1-10.
8
Sergio Fernandez & Hal. G. Rainey (2006) Managing Succesful Organizational Change in Public Sector in Public
Administration Review Ed. Maret-April 2006. Malden, MA: Wiley & Blackwell. Page. 168-176.
1. Ensure the need.
Organization need helps to convince all relevant actors. Ensuring the need is important to
define change direction as stated in vision and mision. Organizational change vision must
represent future target that is easily to be communicated and feasible to achieve. Vision need to
be stipulated to misions, spesific indicators and programs. Ensuring the need usually is identified
by questioning existing organizational problems.
Some studies in private institutions indicated that it would be easier for leaders who use
spesific vision to convince organizational members about the change project. Vision as identified
from organizational problems would rise awareness, hopes, relief organizational discomfort and
solutions of problems.9 Persuading organizational members can be materialized through oral or
written communication that open participation for all members in changing process.

2. Provide a plan
Clear vision and persuasion to all organizational members is not enough to make the
comprehensive organizational changes come true. As stated by Kotter (1995), ideas in the vision
must be transformed into strategies, actions plan, targets and targets achievment planning.
Reform strategies can be arranged in reform road map that gives directions how to achieve
targets or indicators, identify risks and obstacles. Planning bureaucraticreform road map requires
some aspects such as clear accountability standards, clear indicators, and interrelated programs.

3. Build Internal Support for Change and Overcome Resistance


Building internal support in implementing bureaucratic reform is important to reduce
internal resistance and enhance organization members participation. Participation can be
manifestated from delegation and discretion in decision making to lower management level.
However, bureaucratic reform in political process to gather supports from all of the stakeholders
for change.
Raising the internal support mechanism can be done through discussions with the leaders
of the organization to identify external challenges and disseminating what kind of internal
changes needed to get rid of the external challenges. Some instances of external challenges are
the results of a survey about the service organization and supervision result from higher
institutions.
Judson identified several tactics that can be done by a leader to reduce resistance to
change, such as coercion, criticism, persuasion, incentive systems, and guarantee against loss, for
example by offering certainty promotion, training, psychological support, and implement
informal events to build member loyalty. The role of the leader is still needed is dominant in
mobilizing internal support.10

4. Ensure Top-Management Support and Commitment


Gathering supports from top management is necessary to build a coalition. Coalition of
changes consisting of employees from top management will have the authority to oversee,
implement, arrange resources, and emotionally pushed their staff to participate in monitoring the
changes and bureaucratic reform. Kotter recommends that change coalition is needed to be

9
Vries & Balazs (1999). Transforming the Mind-Set of The Organization in Administration Society 30 (6). Page. 75.
10
Arnold Judson (1991). Changing Behavior in Organizations: Minimizing Resistance to Change. Cambridge, MA:
Blackwell.
formed prior to gather the support of all members.11 Aucoin noted reform failure in Canada
happened because of lack of support from cabinet ministers. Not all of the actors were concerned
about the reform process. Thus, the coalition leaders change is needed as prerequisite for
bureaucratic reform.12

5. Build External Support


External support can be infrastructure funding, Corporate Social Responsibility (CSR),
and training programs from donor institutions. External actors can be convinced by providing
legal documents including reform planning and bureaucratic reform agenda. External support can
be an alternative resource to change.

6. Provide Resources
Resource mapping helps to identify feasibility of all support and increase success posibility of
the programs. Resource mapping can be manifestated as strategic planning changes, training for
employees, build new systems and procedures, organizational restructuring and identify
innovations planned. Failure in resource mapping and resource provision leads to weak reform
implementation and interpersonal stress. Thus, mapping and provision of the necessary resources
based reform objectives is needed.

7. Institutionalize Change
Each organization member shall start new habits to be applied every day due to
implementing change programs. The habits can be formed from new policies and planned
innovations. Changes in personal habits of each member leads to institutional change. Employees
must learn and make the behavior into the spirit of reform that is institutionalized by leaders to
form a pattern of reform and replace the old work culture that is not effective. There are certain
evidence of creating in new habit in some cities and municipals in Indonesia. For instance,
Bandung City Mayor, Ridwan Kamil who implement new policy that mandates all civil servants
to use bycycle every friday to reduce traffic jam and weather pollution. Another new habit
dissemination can be seen at Banda Aceh City. Since 2012, the government of Banda Aceh City
has been applying electronic performance (e-performance) to measure all civil servants outputs
everyday. This application can only be entered by civil servant at the day they work, they can not
enter the application in another day. Thus, through the application, civil servants are forced to
result certain working outputs each day.
Habits can be created from trigger or problem that forces to change. The trigger creates
routine and routine leads to benefit or reward.13 In the context of organizational reform, reward
can be a better system and better public service. Thus, individual rewards is just as important as
the overall organizational benefit. New habit and behavior can be shaped by the changing
leadership structure, work procedures, human resource management, and activities. Innovations
developed by leaders can be disseminated through a pilot project, data collection for processes of
change and commitment to change members of the organization and involve the active
participation of employees in an employee.

11
Kotter, John (1995). Leading Change: Why Transformation Efforts Fail. Harvard Business Review 73 (2). Page. 95
12
Pater Aucoin (1990). The New Public Management: Canada in Comparative Perspective. Montreal: Institute for
Research on Public Policy.
13
Charles Duhigg (2012). The Power of Habit : Why We Do What We Do and How to Change. London: Random
House Books. Page. 286.
8. Pursue Comprehensive Change
Implementing change project needs cooperations from all level of organizational actors.
Comprehensive systemic change starts from the smallest organizational unit subsystem.
Subsystem changes can be done with the smallest organization involved subsystems leaders or
officials who are in middle management.

Bureucracy Reform Policies in Indonesia


Although political and economic reform has begun in 1998, bureaucratic reform in
Indonesia was still partial and not comprehensive. The changes did not cover all aspects.
Therefore, the government issued various policies regarding the importance of bureaucratic
reform.
In 1998, the Assembly of Public Deliberation/ Majelis Permusyawaratan Rakyat (MPR)
issued Decree No. XI / MPR / 1998 on State Implementation of Clean Government and Free of
Corruption, which is then followed by the issuance of Law No. 28 of 1999 on State
Implementation of Clean and Free of Corruption and Law No. 31 of 1999 which later converted
into Law No. 20 of 2001 on the Eradication of Corruption. The government subsequently issued
Law No. 20 of 2012 on the Corruption Eradication Commission/ Komisi Pemberantasan Korupsi
(KPK) as the institution that has mandate to crack down corruption in Indonesia.
Bureaucratic reform in Indonesia started to have clearer direction since 2010. To
implement bureaucratic reform, the government issued Presidential Regulation No. 81 of 2010
about Bureaucratic Reform Grand Design of 2010-2025 and MAEBR Regulation No. 10 of 2011
about Bureaucratic Reform Road Map for the implementation of change management programs.
Various policy is expected to become the basis for the development of various programs of
bureaucratic reform at both the national and regional levels.
As stated in Bureaucratic Reform Grand Design and Road Map, there are eight areas of
change that targeted to achieve bureaucratic reform abjectives. These eight areas are:

Table 1
Aspects and Expected Outputs of Bureaucratic Reform Roadmap in Indonesia
Aspect Expected Outputs
Organization Proper organization function and right size structured organization.

Procedures Clear, effective and efficient work procedures according to the principles
of good governance.

Law Legislation order, no overlapping laws.

Human resources Competence human resources apparatus.

Supervision Supervision for good governance, free of corruption, collusion and


nepotism.

Accountability Clear and transparent performance report.


Public Service Excellent public service based on the demands of society.
Aspect Expected Outputs
Apparatus mind set Integrity mindset and working culture.
and culture set
Source : MAEBR Regulation No. 10 of 2011 about Bureaucratic Reform Road Map

Methodology
The object of this research is focused on bureaucratic reform strategies and the obstacles
in local governments. This study gathered information on matters related to the efforts of the
changes made in local governments. By employing grounded theory method, this study
describes the strategy of bureaucratic reform in Indonesian local governments context. Locus of
research including local governments in Indonesia that are determined based on the following
criteria:
1. Local governments that were chose as pilot projects for bureucracy reform
implementation;
2. Local governments which has started reform initiatives.
3. Local governments which has not been informed about bureaucracy reform road map
mechanism.
There are 10 areas that the object of research based on criterias mentioned above. Those
10 local governments are Yogyakarta Province, West Java Province, Banten Province, Banda
Aceh City, Cimahi City, Surabaya City, Denpasar City, Cirebon City, Sukabumi Municipal and
Gresik Municipal. Although the research was conducted using grounded research method, it is
needed to formulate aspects of research question in this study so that there are clear boundaries
and directions that could build the same understanding of the substance of this study.
Bureaucratic reform strategy in this study is defined as a actions of change that taken in
scope of local government bureaucracy. Aspects in this study refers to the aspects of change that
are based on two categories; Conceptual basis, and the policy basis. Conceptual basis refer to the
5 (five) strategies offered by Dwiyanto such as; 1) Strengthening legal basic, 2) Restructuring
bureaucracy, 3) Reforming human resources, 4) Reforming payroll system, 5) Increasing public
organization accountability.14 Policy basis in this study covers eight aspects of change as stated
in Regulation of MAEBR No. 20 of 2010 about Bureucratic Reform Road Map.
The basis mentioned above were used as tools to analyze primary and secondary data.
Primary data gathered from interviews and Focus Group Discussion (FGD), while secondary
data derived from official documents issued by the government, literature, journals, papers and
other articles.

Results
1. Bureaucracy Reform in West Java Province
Bureaucratic reform in West Java is focused in four aspects; 1) Enhancing public servic,
2) Enhancing nine government management, 3) Developing remuneration based on performance
system and 4) Arranging task force of change management. The program to materialize those
aspects are;

14
Agus Dwiyanto (2011). Mengembalikan Kepercayaan Publik Melalui Reformasi Birokrasi. Jakarta: Gramedia.
Page. 173.
Table 2
Bureaucratic Reform Programs in West Java Province
Aspect Programs
Organization Assesing local governments sectoral organizations, arranging public
service organization profile, and work load analysis.

Procedures Evaluating Standard Operational Procedures (SOP) and Public Service


Minimum Standard and developing Jabar Cyber Province.

Law Local Government Legislation Program and renewing governor regulation


about public service and apparatus performance.

Human resources Developing merit system in recruitment, career pattern, competency


standards, grading individual performance system, and remuneration
based on performance.

Supervision Implementing Internal Public Sevice Organization Supervision and


enhancing apparatus role in supervising as quality assurance and
consulting.

Accountability Developing performance indicators into the lowest organizations and


arranging monitoring and evaluation.

Public Service Fixing performance target in public service, gathering ISO standards and
developing service standards.

Apparatus mind set Arranging Task Force of Change Management to plan, implement and
and culture set evaluate bureaucratic reform programs.

Source : Interview towards reform stakeholders of West Java Province in May 2013

Although all programs has written down in bureaucracy reform roadmap, unclear vision
is still an obstacle for the implementation. The urgent need of reform can not be identified in the
road map as well. Bureaucracy reform programs in West Java Province seemed just a list of
prerequisites of good governance but those programs did not make any significant change unless
enhaced apparatus remuneration.

2. Bureaucracy Reform in Yogyakarta Province


Before MAEBR mandated for road map of bureaucratic reform, Government of
Yogyakarta Province has begun their own change project. The government has been cooperating
with third party in reform partnership since 1999. Reform program is focused on Integrated Civil
Service Reform (ICSR). ICSR has following objectives such as;
a. Building agreements about planning, coordinating, enhancing public service,
development implementating, empowerment and building organizational values.
b. Improving internal and external organization procedures.
c. Building appaaratus competency standards.
d. Developing asset grading system and public financial system based on performance.
e. Creating effective supervision system.
f. Developing good governance culture.
Although the ICSR was manifestated in some programs, performance culture,
overlapping local government regulations, organization, apparatus incompetence, supervision
and performance accountability are still identified as challenges. Therefore, based on the
bureaucratic reform roadmap, eight aspects of bureaucratic reform were developed in following
programs;

Table 3
Bureaucratic Reform Programs in Yogyakarta Province
Aspect Programs and Innovations
Organization Restructuring organizations, function auditing, developing integrated
public license service and Rehabilitation Bureau for People with
Disabilities and Non-Structural Organization Evaluation.

Procedures Arranging SOP, developing performance assets standards, and e-


government.

Law Indentifying overlapping regulations from provincial until central


government level, legal and drafting training for apparatus, building
partnership with Ministry of Human Rights and Law and disseminating
Local Government Regulation Draft to the community through mass
media to gather participation in regulation making.

Human resources Developing apparatus competency standards, online attendance grading,


remuneration based on performance, engaging public university and
information technology in recruiting new civil servants.

Supervision Special investigation for public service complaints.

Accountability Building multi-stakeholders participation forum for planning, increasing


public financial planner capacity, and building information system for
public finance.

Public Service Regulating public service guarantee.

Apparatus mind set Arranging and disseminating governor regulation about Satriya
and culture set Government Culture.

Source : Interview towards reform stakeholders of Yogyakarta Province in May 2013


3. Bureaucracy Reform in Banten Province
Unclear standards in public service performance output and recuriting structural officers
and staff are main problems that were identified by government of Banten Province. Therefore,
they arranged following bureaucratic programs;

Table 4
Bureaucratic Reform Programs in Banten Province
Aspect Programs
Organization Restructuring organizations and arranging job and work load analysis.

Procedures Facilitating SOP arrangement, arranging Governor Regulation about


assets and developing e-government.

Law Synchronizing overlapping regulations and supervising legal products in


municipals and city level.

Human resources Arranging Governor Regulation about competency standards,


remuneration based on performance, job analysis, trainings and
recruitment based on merit system.

Supervision Developing public service complain unit, enhancing internal audit, and
creating monitoring and evaluation team for corruption erradication.

Accountability Arranging accountability reports andperformance indicators and reporting


apparatus personal assets.

Public Service Grading public service standards towards relevant organization providers,
developing citizen satisfactory survey and arranging Governor Regulation
about public service.
Apparatus mind set Arranging workshop about culture set and integrity mind set to enhance
and culture set performance motivation.
Source : Interview towards reform stakeholders of Banten Province in May 2013

4. Bureaucracy Reform in Denpasar City


Compare to other local governments capital of Bali Province has different initiatives of
bureaucratic reform including local values dissemination. Bureaucratic reform in Denpasar City
is focused on public service as the government found many problems there. Reinterpretation,
reintegration and adaptation are defined as three main concepts of bureaucracy reform in
Denpasar. Reinterpretation means that understanding central bureaucratic reform policies in the
context of local value. Reintegration means gathering resources and existing aspects in
supporting reform programs. Adaptation means to adopt the bureucratic reforms aspects to local
value and resources. Those three aspects are considerations for following bureaucratic reform
programs;
Table 5
Bureaucratic Reform Programs in Denpasar City
Aspect Programs and Innovations
Procedures Gathering ISO certificates in public service.
Law Preparing and providing mayor regulation about public service reform
programs.
Human resources Enhancing training for public apparatus.
Accountability Applying Government Resource Management System (GRMS),
electronic auditing, and gathering ISO 9001-2000 certificate in public
service.
Public Service a. Developing single window integrated public service
b. Developing electronic commerce
c. Developing online public school student admission
d. Developing Call Centre Save Community
e. Developing Public Radio of Denpasar City
f. Developing online payment for water bills
g. Developing “Drive Thru” service for motor vehicles testing
h. Developing Mobile Community Access Point for free internet
i. Developing mobile identity card service
j. Applying free bussiness licence as incentive for bussiness that
have investment more than 50 millions rupiah.
k. Developing partnership in local enterpreneurship with private
Banks
l. Traditional market revitalization
m. Empowering local micro financial organization
n. Developing bussiness incubator for small industries
Source : Interview towards reform stakeholders of Denpasar City in May 2013

5. Bureucracy Reform in Surabaya City


Surabaya City was noted in many local government awards, for instance, the best city in
Indonesia for information technology management in 2011, ASEAN Environmentally
Sustainable City in 2011, United Nations Awards for The 2013 Asian Townscape Award, Asia
Pacific Future Government Awards and many more in the context of national awards. Since
2008, government of Surabaya City has been developing some change projects depends on
existing problems. As the mayor, Tri Rismaharini has the competence to plan, manage and
evaluate because she was the head of city planning before she committed in politics in the city
general election. Based on interview, many change projects in Surabay City are initiated from
anxiety of existing city problems. However, the problems has been triggered the government to
execute following programs without any road map;

Table 6
Bureaucratic Reform Programs in Surabaya City
Aspect Programs and Innovations
Organization Restructuring organizations, from 31 education units to 5 education units.
Procedures a. Developing e-musrenbang, an electronic application to check and
Aspect Programs and Innovations
verify city planning steps by all stakeholders.
b. Developing e-budgeting as checking tool for public budgeting that
can be accessed by all sectoral and supporting public organizations
in Surabaya.
c. Developing e-procurement
d. Developing e-performance
Human resources a. Developing online civil servant recruitment
b. Developing partnership with Airlangga University in assessing
competency of employees.
Public Service a. Online retribution and non-retribution license
b. Developing e-health
c. Developing e-education
d. Developing e-public service monitoring with 249 CCTV cameras
e. Gathering ISO certificates for public services
f. Developing Free Smoking and Free Drugs Community
g. Developing enterpreneurship training based on local resource

Source : Interview towards reform stakeholders of Surabaya City in May 2013


Overall, the government of Surabaya City has not developed the bureaucratic reform road
map yet, but some changes worked. However, respondents perceived some obstacles in
reforming bureaucracy such as planning and reporting overlapping policies from central
government. There are many planning and reporting documents that shall be provided by local
government for different ministry in same substantive and issues. Therefore, they have
difficulties in materialize program indicators.

6. Bureaucracy Reform in Cimahi City


There are some reform programs in Cimahi City. However, in some aspects, the
programs can not be implemented because of interest conflict between bureaucracy and political
officers, for instance in restructuring organization and staffing policy.

Table 7
Bureaucratic Reform Programs in Cimahi City
Aspect Programs
Procedures a. Enhancing scope of license service
b. Developing single window integrated public service

Law a. Synchronizing local and central government policy about single


window public service
Human resources a. Building partnership with independent third party in civil servant
recruitment.

Public Service a. Short Message Service (SMS) for gathering complaints in public
service
b. Developing e-procurement
c. E-ID card
Aspect Programs

Source : Interview towards reform stakeholders of Cimahi City in May 2013

7. Bureaucracy Reform in Cirebon City


Bureaucracy reform in Cirebon City is focused on improving human resources and
applying merit system such as arranging job analysis, remuneration besed on performance and
transparent recruitment. However, unclear basics to grade employees performance is identified
as challenge to the government change project.

8. Bureaucracy Reform in Banda Aceh City


The government of Banda Aceh City has been applying bureaucratic reform since 2008,
two years before central government mandated for bureaucratic reform road map. Bureaucratic
reform was initiated by Organization Unit in Local Government Secretary. The initiative was
started by a young employee who had anxiety about the absence of merit system. The employee
started to propose his electronic performance idea to teh structural officers and it was accepted to
improve quality and quantity of civil servant working outputs. The e-performance software now
is adapted by other local governments. However, the initiatives followed by some change
programs such as;

Table 8
Bureaucratic Reform Programs in Banda Aceh City
Aspect Programs
Organization Developing internal evaluation for job and work load analysis based on e-
performance result.
Human resources a. Developing e-performance that mandates all employees to enter
their daily output online.
b. Developing regulation to all departments to give chance to all
employees for training each year.
Supervision a. Developing e-procurement
Accountability a. Arranging training for transparent and measurable institutional
accountability report.
Public Service a. Developing complaint service unit
b. Developing Banda Aceh Cyber City by providing free internet
acces in public spaces.
Apparatus mind set Creating following habits:
and culture set a. Giving chances to many young employees to be instructors for
organizational training, it is expected to enhance their public
speaking and leading competency.
b. Giving chance to every employee to give speech or motivational
quotes in daily morning ceremony. Civil servants in local
government in Indonesia have to attend daily morning ceremony
and usually speech is given by structural officer or middle
management people, but in Banda Aceh City, every employee has
chance to give speech.
Source : Interview towards reform stakeholders of Banda Aceh in May 2013
9. Bureaucracy Reform in Gresik Municipal
Even though bureaucratic reform road map had not been developed in Gresik Municipal,
but recent initiatives in public service in Gresik have started. The government created Sunan Giri
Awards to enhance public service performance. The award was given by the regent for villages
that are best in public service. The indicators of the awards are simple such as availability of
SOP and good public service facilities. The winner of the award gets cow to be bred, if the
winner sells the cow, the award will be cancelled.
There are two another innovations of the government. In municipal level, public service
is opened longer than usual from eight hours to 12 hours. The government applied conpetency
test for structural officers to improve the performance.

10. Bureaucracy Reform in Sukabumi Municipal


Sukabumi municipal is one of the pilot projects of bureaucratic reform. The regent had
training of bureaucratic reform held by Ministry of Interior and Harvard Kennedy School.
However, after some programs have executed, corruption in providing assets, too many rules, the
absence of merit system, and the absence of public service complaint unit are identified as dark
spots. The reform programs are described in following table;

Table 9
Bureaucratic Reform Programs in Sukabumi Municipal
Aspect Programs
Procedures Arranging and disseminating SOP to all stakeholders
Human resources a. Developing transparent recruitment
b. Developing career pattern
c. Developing competency standards
Supervision a. Developing wealth reports of state officials in partnership with
KPK.
b. Developing gratification complaint unit.
c.
Public Service a. Gathering ISO certificates
b. Enhancing public satisfactory survey.
Source : Interview towards reform stakeholders of Sukabumi Municipal in May 2013

Conclusion
This research showed four Typologies of bureaucratic reform in local government in
Indonesia; 1) Local Governments that do innovations but they do not have any bureaucratic
reform road map as guidance such as Banda Aceh City, Surabaya City and Denpasar City; 2)
Local Governments that do innovations and they made bureaucratic reform road map such as
Yogyakarta Province, Gresik Municipal and Cimahi City; 3) Local Governments that do not do
anything to Overcome Reviews their problems and they do not have bureaucratic reform road
map such as Cirebon City; and 4) the Local Governments that do not do the innovations but
made the bureaucracy reform roadmap, such as Sukabumi Municipal, Banten Province and West
Java Province. Strong leadership, willingness to change, and participation are identified as the
main factors that influence dominantly bureaucratic reform in local government.
It can be concluded that even though most of the respondents provided bureaucratic
reform road map, significant changes can not be identified. Centralized and formalistic
bureaucratic reform that require reform documents can be conterproductive to the substantive of
bureaucratic reform. The conterproductive results can be seens from following aspects;
a. High cost bureaucracy because of remuneration system that has unclear measurement for
performance.
b. Too many rules and regulations lead to innefective law order, innefficient public service
procedures, and roadmap operation difficulties.
c. Political bureaucracy
d. Lowering trust between local and central governments as roadmap is an mandatory.
However in other locus such as Surabaya City, Banda Aceh City, Denpasar City and
Banda Aceh City who have no guide or roadmap have resulted significant changes. It is needed
to underline some significance factor such as ensuring the need of reform that was identified
from anxiety of things that are not right in the bureaucracy and interpersonal stress from leaders
or initiators. This study showed urgent focuses of most local governments needs of reform such
as human resource and public service.

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