Accountability will always be integrated with management and accounting activities. Whether it’s in the world of personal business, companies, organizations, to government. Well, public accountability is one of the accountabilities made in the public sphere, be it for companies or the government.
So the real meaning of public accountability? What are the benefits? Find the answer by reading the article on public accountability below to the end.
Contents
1 Definition of Public Accountability
2 Public Accountability Function
2.1 1. As a Control Tool for the Operation of Democracy
2.2 2. Minimizing the Risk of Abuse of Authority or Corruption
2.3 3. Improving Efficiency and Effectiveness
3 Cover
Definition of Public Accountability
Basically, public accountability is an individual or organizational obligation to present, disclose, report, and account for various activities and activities that have been entrusted to the entity. Well, one of the important components to be reported in this accountability is finance.
For the scope of the company, accountability is made by the leadership or those who have a certain authority. As for the scale of government, accountability is made by the executive, be it at the regional or state level.
This public accountability is made in a special period. The information contained in it can then be disseminated to those who provide trust or to parties affected by the implementation of company policies.
For example, in a smaller scope, the head of the RT or youth organization wants to organize an activity on 17 August by giving gifts, the source of which comes from community contributions. For this reason, at the end of the activity, the committee must make a committee accountability report.
It must include income, expenditure, details of the source of the allocation of funds, preparation, remaining funds, to how the process of the activity goes.
The accountability report will then be displayed on the information board, so that all residents in the RT can get information and monitor the transparency of the use of their dues funds.
Just like the scope of the organization or the state, those who are entrusted with, at the end of their term of office, must make an accountability report so that they can account for what has been done to various related parties.
Public Accountability Function
An accountant named Bowen explained that public accountability has at least 3 main functions, namely:
1. As a Control Tool for Democracy
As we all know, Indonesia is a country that embraces a democratic system. In the implementation process, all citizens are allowed to nominate themselves to become executive or legislative offices.
Furthermore, they will be elected by the people and will work by setting policies in accordance with the interests of the people. However, they must be able to account for all their policies to the people.
Well, this democratic principle can also be found in many companies or organizations. The leader or chairperson will be responsible for various work programs to members.
In this case, the role of public accountability is very important and very principled. The presence of accountability will be a medium of control for trust holders. Each member or community can then exercise control over their leaders through the accountability that has been made.
In addition, the presence of accountability can also be used as an indicator to determine the success of leadership that has been carried out within a certain period of time. The supervisory board or various interested parties can evaluate the performance that has been carried out.
2. Minimizing the Risk of Abuse of Authority or Corruption
Robert Klitgaard explains that authority and power will tend to lead to acts of corruption. This action is not only because there is an impulse in itself to be able to get wealth instantly. But it is also supported by the existence of system defects that can be exploited by it.
This act of corruption can not only occur in the scope of government, but also in the scope of business or organization.
Because it is difficult to control oneself from committing corruption, realistic prevention is also carried out by establishing a clear system and also making accountability for those in authority.
If we look closely, most of the disclosures of corrupt activities are after the successful financial audit. With the existence of financial reports that can be accounted for, the BPK can carry out analysis and control regarding the presence or absence of acts of corruption.
Without public accountability, detecting corrupt activities will be very difficult. Those who have authority can feel free because they feel they are not being monitored and do not have to take responsibility.
The presence of public accountability is not only repressive but also preventive. Every authority owner will think hundreds of times if he wants to commit corruption because he has to make public accountability transparent.
3. Increase Efficiency And Effectiveness
A process that is carried out efficiently will provide many benefits for the agency, organization, or company. For example, the faster the process carried out by a company to make 1000 units of product, the more profit they can get.
An efficient system cannot be created instantly, it requires a gradual process and continuous evaluation. This is the important role of public accountability.
The presence of accountability can be used by stakeholders to find out which parts have not moved efficiently, the problem, and how to focus on solving the problem that must be sought.
Without knowing the parts that are not yet efficient, the development and improvement of the system will be very difficult or even impossible to do.
Over time, the government continues to strive to streamline services to the community. Various breakthroughs and innovations were made by the company in order to serve the community in a fast time.
In addition to efficiency, accountability can also create effectiveness.
A good company is a company that is able to provide good performance to its stakeholders. So, in order to improve this performance, the company must carry out various processes effectively, so that they can achieve their goals together.
In addition, the company must also know the needs of each stakeholder, so that it will be able to take policies that are able to cover various interests.
The public accountability process is very important in order to understand the position and needs of stakeholders related to the company.