The Application of Human Resource Scorecard: A Case Study of Public Hospitals in NTT Province, Indonesia Riana Sitawati Accounting Department, STIE Dharmaputra Sodikin Manaf Accounting Department, STIE Dharmaputra Endah Winarti Accounting Department, STIE Dharmaputra Abstract Together with regional autonomy development, regional performance management becomes one of the most important factors to be considered. Regional public hospital becomes a regional government asset that should manage itself therefore it can prepare transparent performance measurement report for the benefit of the hospital itself and also the society or other interest parties. However, as a service organization, human resource competency becomes key factor in a public hospital that also needs to be improved. For achieving this aim, then this paper describes human resources performance measurement steps for the hospital particularly regional public hospital which consisted of preparing Activity Value Chain, Job Description, Job Specification, Job Performance Standard, and Job Performance Scorecard. Those steps had been implemented in public hospitals in NTT province, Indonesia. In the end, hopefully it can provide alternative standard for measuring a whole organization performance.
Keywords: Public hospital, performance measurement, Activity Value Chain, Job Description, Job Specification, Job Performance Standard, Job Performance Scorecard, East Nusa Tenggara Province
The early years of the 21st century are proving to be a period of profound transition business world. This transition is being driven by a number of key trends including: global interdependence; diverse, diffuse, and asymmetrical security threats; rapidly evolving science and technology; dramatic shifts in the age and composition of population; important quality of life issues; the changing nature of our economy; and evolving government structures and concepts. These trends also contribute to a huge, longer-range fiscal and budgetary challenge around the world. Given these trends and long-range fiscal challenges, we are now seeing increased attention to strategic human capital management (U.S. General Accounting Office, 2002). While human capital is the foundation for creating value in the new economy, human assets are the least understood by business leaders and therefore the least effectively managed. Furthermore, there is exceptional about human resource function, which is that is less prepared than many other functions (such as finance or information system) to quantify its impact on business performance (Yeung & Berman, 1997).
Since the Indonesian government determined regulation about regional autonomy in 2002, there were efforts to arrange specific policies for government owned institution in each Indonesian region. Those specific policies also included performance measurement area that the government institutions in local region can manage their own performance report but still have obligation to report their performance condition to central government. That independent performance management is based on Undang-Undang Republik Indonesia (Indonesian Regulation) no. 17 / 2003 that applies the implementation refers to the activity area of the government institution activity. Refers to the regional public hospital that also becomes regional government institution, this institution also has obligation to prepare an independent performance report system. In fact, there are not many public hospitals that had implemented performance measurement report system refers to Indonesian generally accepted accounting principle. This caused by the bureaucracy culture in Indonesia that can not be removed easily particularly in government institution environment and lack of skilled human resources that has sufficient knowledge to...