REGULATORY IMPACT ASSESSMENT: ROLE MODEL FOR INTEGRATED REPORTING INITIATIVE (CASE IN REGIONAL GOVERNMENT)

Abstract

This research was carried out referring to the Regulatory Impact Assessment (RIA) to asses and analysis impact of regulation to effectiveness and efficiency for reporting system of regional government organization. The aim of research based on RIA perspective is to measure influence independent variable, namely implementation of organizational information systems, individual ethical intelligence, organizational ethical intelligence, and characteristics of change as assessment base towards initiative for Role model for Integrated Reporting (IR). This study was conducted referring to 386 (three hundred and eighty-six) Regional Government Work Units (RGWU) in 14 (fourteen) Regional Government in South Kalimantan province, Indonesia. Amount of sample is 99 (Ninety nine) of RGWU. Using the Regression Analysis to test relationship of variables. The results showed, simultaneous relationship of all variables towards role model for integrated reporting initiative with a very high correlation as a very dependable relationship (coefficient about 0.930; sig. F Change 0.000). For measurement partially, the result showed, the significant relationship between Implementation of organizational information systems ( 0.713; sig. 0.000), individual ethical intelligence (0.356; sig. 0.000), characteristics of change (0.329; sig.0.006), except for organizational ethical inteligence is not significant (0.134 (sig. 0.283) towards role model for integrated reporting initiative. Due to the result, except for, organizational ethical intelligence, that has not been supporting in the initiative to build an role model in integrated reporting. Referring to all of aspects in research can sthrengthen initiative for regional government with accepts the fundamental concepts, key requirements, guiding principles, and contents element as role model for integrated reporting initiative forward. This is in line with logic underlying the adoption of RIA Model, such as, to fulfill principal-agent models in reporting system, reporting features for economic outcomes, changing the opportunity structure of regulatory choice in order to achieve open governance, and as rational policy-making. Hence, Regional Government needs self-regulation for institutionalization role model of IR. Keywords: Implementation of Organizational Information Systems, Individual Ethical Intelligence, Organizational Ethical Intelligence, Characteristics of Change, Role model for Integrated Reporting Initiative, Regulatory Impact Assessment (RIA)