The causes of corruption


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The causes of corruption

  1. 1. CompanyLOGO The causes of corruption Phenomenon In Indonesia Prepared by : Junriana, Raja Abumanshur Matridi, Muhammad Farid, Shahril Budiman, Sri Ambarinah
  2. 2. IssuesPublic Policy | Group Case Study Why Corruption? Factors of Corruption ? Effects of corruption ? How to Solve Corruption ? Conclusion
  3. 3. Hot Tip Why Corruption?Public Policy | Group Case Study  What is Corruption?  Corruption (Latin language: theverb corruptio of corrumpere = Rotten,Damaged,Destabilizing,Di stort 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 Company Logo
  4. 4. Fast FactPublic Policy | Group Case Study •CPI 2007 score (2.3), • 2008 (2.6), 2009 INDONESIA (2.8), 2010 (2.8). 2011 (3.0) • Perceptions of Bribery Index 2011: Corruption In business - picture of public service 7.1 Score: 0-10, Public Sector the higher score, Integrity Survey more bribe 2007 (5.53) 2008 (6.84) 2009 (6.50), 2010 (5.42) and 2011 (6.31) 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) Political and 2012 ranks 129 among 183 countries Economic Risk Consultancy (PERC) The most corruption country among 16 countries Invest in Asia Pacific Company Logo
  5. 5. Factors of Corruption ?Public Policy | Group Case Study 1 2 3 THE INDIVIDUAL ASPECTS ASPECTS OF THE PLACE INDIVIDUAL OF ACTORS ORGANIZATION AND ORGANIZATIONAL ASPECTS OF BEING •Human greed •Lack of exemplary •Moral of less powerful leadership stance •The values ​in the society is •Insufficient income •The absence of a true culture conducive to corruption •The urgent necessities of of the organization •Corruption can be caused by life •Proper system of the culture of society. •Consumptive lifestyle accountability in government •The public is less aware •Lazy or unwilling to work agencies lack adequate of the main victims of •Religion is not applicable •Weaknesses of management corruption control systems •The public is less aware •Management tends to cover of when he was involved in up corruption in the corruption organization •The public is less aware that corruption will be prevented and eradicated if peAccording to the Financial and Development Supervisory Agency ople take active Company Logoin the bookentitled "Anti-Corruption Strategy,“ •Aspects of legislationThe causes of corruption include:
  6. 6. Map of Corruption in IndonesiaPublic Policy | Group Case Study Source : Indonesia’s Corruption Eradication Commission 1. Deviation 1. Abuse of permitting procurement procedures 1. Deviation from the → Improved system of authority Encouraging e- target → Audit Planni 2. There is no single data base prorecruitment, → ng → Integrated database establishment of the 2. Extortion to 3. Abuse of the tax payment ProcurementServices Unit, taxpayers → Transpar → Improved system Self- ency and accountabili of admission setting price estimates, whistleblower ty of the tax system system, 3. Improved data transparency and manipulation system Tax Non Tax receipts accountability system receipts procurement. Special and Public Expenditures 1. Income on Goods and Allocation Services Regional Revenue Fund 1. Deviations desig and Social nation The Expenditure Budget: Regional Assistant 2. embezzlement abuse authority, charges / Aid 3. fictitious embezzlement → Improvements 2. reporting not standard system budgeting, 1. Local regulations do not refer to 3. allocation the regulations Legislation → strengthening not transparent Deregulating the regional rules Legislative control → Repair the system 2. Income enforcement officers → Company Logo
  7. 7. Effects of corruption ?Public Policy | Group Case Study Source : Anti Corruption Study | Paramadina University Demoralization Massive Impact of Corruption Company Logo
  8. 8. How to Solve Corruption ?Public Policy | Group Case Study Company Logo
  9. 9. Public Policy | Group Case Study Source : Indonesia’s Corruption Eradication Commission STAKEHOLDERS PERSPECTIVE REDUCE Prevention CORRUPTION Repression Build culture Catalyze Triggering Gain public Catch of less public sector law trustPERSPECTIVE Big Fish enforcement corruption reform INTERNAL Socialization, c Legislation Study, Audits, R Supervise & Proactive & Operations eviews, examin coordinate law ommunication, & ations, recomen strong with other enforcement education Regulation dations investigation agencies agencies Complaints, intellige nts, & investigationLEARNING & GROWTH Infrastruc- FINANCIAL Multi- ture & PERSPECTIVE Transpa- Right Internal PERSPECTIVE rency disciplinary Strong resources audits team work Investiga- tion Obtain & Utilize budget Create unique productivit Collective effectively KPK culture Recruitment Training leadershi y p
  10. 10. Corruption Eradication StrategiesPublic Policy | Group Case Study  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
  11. 11. ConclusionPublic Policy | Group Case Study CORRUPTION ROBS OUR RIGHTS TO LIVE IN PROSPERITY
  12. 12. CompanyLOGO THANK YOU