INTERNATIONAL JOURNAL OF FINANCIAL ECONOMICS (IJEFE)
Vol. 3 No. 3 (2026): INTERNATIONAL JOURNAL OF FINANCIAL ECONOMICS (IJEFE)

THE INFLUENCE OF APPARATUS HUMAN RESOURCE QUALITY AND BUDGET MANAGEMENT EFFECTIVENESS ON SMART CITY IMPLEMENTATION IN LHOKSEUMAWE CITY

WIDYA ARSANI MALAU (Politeknik Negeri Lhokseumawe)
EDI ABRAL (Politeknik Negeri Lhokseumawe)
MUHAMMAD NASIR (Politeknik Negeri Lhokseumawe)



Article Info

Publish Date
02 Sep 2026

Abstract

This study aims to analyze the influence of the quality of apparatus human resources (HR) and the effectiveness of budget management on the implementation of Smart City in Lhokseumawe City, both simultaneously and partially. An associative quantitative approach was employed, using a census method covering 50 employees of the Regional Financial Management Agency (BPKD) of Lhokseumawe City. Likert-scale questionnaires were transformed using the Successive Intervals Method (MSI) prior to analysis with multiple linear regression. All instruments satisfied valid and reliable criteria. Classical assumption tests confirmed normal residual distribution, absence of multicollinearity, and homoscedasticity. The F-test revealed that HR quality and budget management effectiveness simultaneously exerts a positive and significant influence on Smart City implementation. Partially, HR quality and budget management effectiveness each exhibit a positive and significant effect. The adjusted R² indicates that both variables explain 66.6% of the variance in Smart City implementation. These findings imply that simultaneously improving HR competence alongside strengthening budget management effectiveness represents a key strategy for enhancing Smart City implementation in Lhokseumawe City.

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Journal Info

Abbrev

IJEFE

Publisher

Subject

Economics, Econometrics & Finance

Description

INTERNATIONAL JOURNAL OF FINANCIAL ECONOMICS (IJEFE) is a scientific journal that publishes articles in the field of Business and finance that contain conceptual ideas in the fields of Economics, Accounting, Management, Business and finance. The scope is Human Resource Management, Marketing ...