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Journal : Quantitative Economics and Management Studies

Risk Management in Reducing Audit Findings: Evidence from Indonesia Local Government Weyha, Tifani Keren Hapuk; Furqan, Andi Chairil; Betty; Anshori, Ma'amun
Quantitative Economics and Management Studies Vol. 6 No. 4 (2025)
Publisher : PT Mattawang Mediatama Solution

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35877/454RI.qems4076

Abstract

Risk management has become an integral element of entity governance, particularly in the public sector, which continues to face intense scrutiny in an effort to minimize audit findings. This study aims to analyze the impact of risk management implementation on audit findings in Indonesian local governments. Through a quantitative approach and linear regression analysis in STATA-17 programming, data was obtained from local governments in 2021, with a total of 542 observations processed. The results revealed that the implementation of risk management contributed to reducing audit findings, especially those related to non-compliance with satutory regulations, including findings that resulted in local financial losses, potential financial losses, revenue shortfalls, and administrative irregularities. This study provides new insights into the important role of risk management in strengthening governance, improving accountability, and optimizing financial management in local governments. Therefore, this study underscores the importance of integrating risk management into every financial management process within local governments to minimize regulatory non-compliance and to achieve effective, efficient, and accountable financial management.
Co-Authors -, Famiono Abda Abda Abdul Hakim Abdul Kahar Abdul Pattawe Abdullah, M. Ikbal Abdullah, Muhammad Ikbal Afrilia, Viki Ahmad, Imran Amir, Andi Mattulada Ananta, Hazel Nabil Anshori, Ma'amun Awalia, Dzur Bakry, Moh. Iqbal Bakry, Mohammad Iqbal Betty betty betty Ernawaty Usman Fadhilah, Anisah Fahmi Faizal, Saskia Islamay Fajar Gilang Yudistira Febryana, Annisa Nabila Femilia Zahra Fikry Karim Fisy Amalia Haryono Pasang Kamase Hasanah, Nurhany Hasyim, Wahyudin I Putu Edi Darmawan Indahyanti, Rarah Indriyani, Dita Jamaluddin Kaluku, Aditya D Kartika, Aura Dwi Kusuma, Guan Lamato, Valisa Ananta Latifah Sukmawati Yuniar Lucyani, Meldawati Marlon, Marlon Masruddin Maya Sari Megawati - Megawati, Nani Meldawati, Lucyani Moh. Rafli Muhammad Din Muhammad Ilham Pakawaru Muhammad Iqbal Munawarah Munawarah, Munawarah Mustamin Mustamin Nasrun Naida Nur Faliza Nur Hikmah Nur Islami, Annisa Nurdin, Jurana Parwati, Ni Made Suwitri Paundanan, Grayesta Puspita, Desi Ayu Putra, Mohamad Raffi Cendika Putri, Arla Amalia Putri Putri, Helmalia Qamariyyah, Nurul Rahma Masdar Rais, Nur Triany Ramadani, Nadila Wulan Ramadhani, Shela Ridwan - Rudy Usman Saleh, Fadli Moh. Santi Rahmawaty Sella Sella, Sella Selmita Paranoan Shafira, Andi Nur Ram Sri Wahyuni Sucakni, Rahmadani Inem Suryadi Hadi Tanra, Andi Ainil Mufidah Tenripada, Tenripada Tonny Yuwanda Usman, Ernawati Weyha, Tifani Keren Hapuk Yudistira, Fajar Gilang Yuldi Mile Yunia, Latifah Sukmawati Yusriyani, Yusriyani Herawaty Kurnia Yusuf, Gracia Carolina Zahara, Nurul