The causes of corruption

1. The causes of corruption Phenomenon In Indonesia Prepared by : Junriana , Raja A bumanshur Matridi , Muhammad Farid , Shahril Budiman , Sri Ambarinah Public Policy Group Case Study

2. Effects of corruption ? Issues Factors of Corruption ? Why Corruption? How to Solve Corruption ? Conclusion Public Policy | Group Case Study

3. Company Logo Public Policy | Group Case Study Hot Tip Why Corruption? What is Corruption? Corruption (Latin language:  theverb   corruptio   of   corrumpere  =  Rotten,Damaged,Destabilizing,Distort and Bribing) Corruption is the abuse of entrusted power for private gain (transparency international) Corruption appears to take place when it satisfies a certain formula. According to Robert Klitgaard (1998), Monopoly of power, when combined with discretion and absence of accountability, will result to corruption. Thus, the formula: C=M+D-A , where C is corruption, M is monopoly, D is discretion and A is accountability

4. Company Logo Public Policy | Group Case Study Fast Fact Public Sector Integrity Survey 2007 (5.53) 2008 (6.84) 2009 (6.50), 2010 (5.42) and 2011 (6.31) CPI  2007 score (2.3),  2008 (2.6), 2009 (2.8), 2010 (2.8). 2011 (3.0 ) Perceptions of Corruption  In business - picture of public service Bribery Index  2011:  7.1 Score: 0-10, the higher score, more bribe Human Development Index (HDI)  by UN, in 2008 (.588), 2009(0.593), 2010 (0.600), 2011 (1.0) Doing Business (measurement ease of doing business in Indonesia) 2012 ranks   129 among 183 countries INDONESIA  Political and Economic Risk Consultancy (PERC) The most corruption country among 16 countries Invest in Asia Pacific

5. Factors of Corruption ? Company Logo Public Policy | Group Case Study 1 THE INDIVIDUAL ASPECTS OF ACTORS Human greed Moral of less powerful Insufficient income The urgent necessities of life Consumptive lifestyle Lazy or unwilling to work Religion is not applicable 2 ASPECTS OF THE ORGANIZATION Lack of exemplary leadership stance The absence of a true culture of the organization Proper system of accountability in government agencies lack adequate Weaknesses of management control systems Management tends to cover up corruption in the organization 3 PLACE INDIVIDUAL AND ORGANIZATIONAL  ASPECTS OF BEING The values ​​in the society is conducive to corruption Corruption can be caused by the culture of society. The public is less aware of the main victims of corruption The public is less aware of when he was involved in corruption The public is less aware that corruption will be prevented and eradicated if people take active Aspects of legislation According to the Financial and Development Supervisory Agency   in the bookentitled "Anti-Corruption Strategy,“ The causes of corruption include:

6. 1. Local regulations do not refer to the regulations Legislation →  Deregulating the regional rules 2. Income enforcement officers → Map of Corruption in Indonesia Company Logo Public Policy | Group Case Study Source : Indonesia’s Corruption Eradication Commission 1. Deviation from the target → Audit Planning 2. Extortion to taxpayers → Transparency and accountability of the tax system 3.  Improved data manipulation system 1. Abuse of permitting → Improved system of authority 2. There is no single data base → Integrated database 3. Abuse of the tax payment → Improved system of admission 1. Deviation procurement procedures Encouraging e- prorecruitment , → establishment of the ProcurementServices  Unit, Self-setting price estimates, whistleblower system, transparency and accountability system procurement. 1. Deviations designation 2. embezzlement 3. fictitious → Improvements system budgeting, strengthening Legislative control 1. Income on Regional Revenue and Expenditure Budget: abuse authority, embezzlement 2. reporting not standard 3. allocation not transparent → Repair the system

7. Destruction of the Bureaucracy Increasing  Poverty The lack of clear  Future of Democracy Demoralization Sluggish  economy System  disruption of Politics &  Government High Crime Massive Impact  of Corruption Effects of corruption ? Company Logo Public Policy | Group Case Study Source : Anti Corruption Study | Paramadina University The collapse of the  Rule of Law

8. How to Solve Corruption ? Company Logo Public Policy | Group Case Study

9. REDUCE CORRUPTION Build culture of less corruption Catalyze public sector reform Gain public trust Catch Big Fish Socialization, communication, education Legislation & Regulation Study, Audits, Reviews, examinations, recomendations Proactive & strong investigation Operations with other agencies Transpa-rency Create unique KPK culture Multi- disciplinary team work Right resources Infrastruc-ture & Strong Investiga-tion Internal audits Recruitment Training productivity Obtain & Utilize budget effectively FINANCIAL PERSPECTIVE STAKEHOLDERS PERSPECTIVE INTERNAL PERSPECTIVE LEARNING & GROWTH PERSPECTIVE Complaints, intelligents , & investigation Collective leadership Triggering law enforcement Supervise & coordinate law enforcement agencies Prevention Repression Public Policy | Group Case Study Source : Indonesia’s Corruption Eradication Commission

10. Corruption Eradication Strategies Total solution, systematic, comprehensive and integrated. Includes preventive and repressive efforts as well as public participation + international cooperation. Executed simultaneously and continuously in the short, medium, and long term. Short term strategy  strategies that are hoped to produce swift results/effects in corruption eradication. Medium term strategy strategies that systematically prevent corrupt acts  Improvements to administration systems and state governance management Long term strategy  targeted at changing the public’s perception toward corruption and abolish cultural permissiveness towards corruption Public Policy | Group Case Study

11. Conclusion CORRUPTION ROBS OUR RIGHTS TO LIVE IN PROSPERITY Public Policy | Group Case Study

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