Transformation of SOE Ministry Annual Report 2020
CHAPTER 1 234 5 6 7
SOE MINISTRY FINANCIAL & OPERATIONS PERFORMANCE
MINISTRY OF STATE-OWNED ENTERPRISES
ANNUAL REPORT 2020
APIP Capabilities and IACM Assessment
IACM (Internal Audit Capacity Model) assessment
is a tool to assess the level of Inspectorate General/
Inspectorate in their capacity as Ministries/Institutions'
APIP (government internal auditor). According to PP
No. 60 of 2008 on Government Internal Control System
(SPIP), IACM is mandatory. BPKP, as the governing body
of SPIP, carries out the assessment. IACM is conducted
to provide confidence that APIP has reached a certain
level in order to drive improvement of Ministries/
Institutions' accountability and governance.
LHKPN & LHKASN Reporting
It is mandatory for State Civil
Apparatus to disclose their assets
annually or when their job positions
change. LHKPN (State Officials'
Asset Disclosure) obligation refers to
Corruption Eradication Commission
(KPK) Regulation No. 2 of 2020 on
Amendment to KPK Regulation No.7
of 2016 concerning Procedures for
the Registration, Announcement,
and Examination of State Officials'
Assets. Meanwhile, LHKASN (State
Civil Apparatus Asset Disclosure)
refers to PAN-RB Minister Circular
Letter No.1 of 2015 concerning
Obligation to Submit LHKASN.
Based on BPKP's assessment, the Inspectorate of the
Ministry of SOE has reached level 3. And currently, the
Inspectorate is following up on areas of improvement
suggested by BPKP to move towards the next level,
including HR, budget, and raising the structural level to
echelon 1. For information, the Inspectorate General
of the Ministry of Finance is the only APIP with a level 4
IACM, and no APIP has reached level 5.
LHKPN is mandatory for high-ranking
officials in government ministries/
institutions, including Ministers,
Deputy Ministers, Echelon 1, Special
Staff, Echelon 2, and certain officers
such as auditors, treasurers, and
commitment-making officials (PPK).
Those not obligated to prepare LHKPN
must prepare LHKASN. The LHKPN
obligation is constantly monitored by
KPK every year, while the Ministry of
PAN-RB monitors LHKASN.
BUREAUCRACY REFORM
Scores of Bureaucracy Reform of SOE Ministry
90
80
70
60
50
40
30
20
10
0
65 65.6
2015
The Inspectorate acts as a supervisory
unit responsible for monitoring Ministry
of SOE employees' compliance
to submit LHKPN and LHKASN and
reporting the result to the SOE Minister,
KPK, and the Ministry of PAN-RB.
The Ministry of SOE fulfilled the
100% submission target for the 2020
reporting period, both for LHKPN and
LHKASN.
85
82
75.1
76 76.8
80 77.7
76.8
77.0
Description
2015
2016 2017
2018 2019
2020
70
Target
Realization
65
65.6
70
75.1
76
76.8
82
85
80
76.8 77.0
77.7
2016
2017
2018
2019
2020
Target
Realization
Bureaucracy Reform is necessary to ensure governance
improvements are realized. Good governance is a
prerequisite to national development. The quality of
governance will greatly affect the implementation
of national development programs. As a country's
governance improves, so will its national development.
Within the Ministry of SOE, this reform is aimed to create
a good and clean bureaucracy, and is expected
to lead to a clean, accountable, and capable
Ministry that serves the public swiftly, effectively, and
professionally with zero corruption, collusion, and
nepotism practices. It is in line with the three main
objectives of the reform program and the President's
statement about the speed of service and that an
accountable, effective, and efficient bureaucracy are
keys to realizing this reform.
The implementation of bureaucracy reforms in the
SOE Ministry is evaluated by the Ministry of PAN-RB.
The evaluation employs a method that combines the
enabler component score (Work Unit Reform score)
and Institutional-level Bureaucracy Reform score. The
previous enabler component's maximum total score
of 60% is now broken down into three components:
Compliance (20%), Intermediate Outcome of the Areas
of Change (10%), and Reform (40%).
For the Ministry of SOE, the assessment score of its
bureaucracy reform was 77.7, an increase of 0.7 points
from the previous year of 77.0. The total score consisted
of enabler component score of 44.8 or 74.7% out of 60.
The Enabler Component score is a sum of Compliance
Score of 15.9, Intermediate Outcome of the Areas
of Change Score of 6.9, and Reform Score of 22.0.
Meanwhile, Result Component total score was 32.9 or
82.2% out of 40.
MINISTERIAL REGULATIONS
IN 2020
In 2020, 10 Ministerial Regulations were promulgated,
such as regulations concerning the governance of the
Ministry and guidelines on the Ministry's Apparatus and
the Board of Commissioners/Supervisory Board of SOES.
1.
2.
3.
4.
5.
6.
7.
The Ministry of PAN-RB formally announced the Ministry
of SOEs' reform implementation score through the
PAN-RB Minister Letter No. B/39/M.RB.06/2021 dated 31
March 2021.
8.
9.
No. PER-01/MBU/03/2020 on Organization and
Working Procedures of the Ministry of State-
Owned Enterprises
No. PER-02/MBU/04/2020 on Third
Amendment to the Regulation of the Minister
of State-Owned Enterprises Number PER-09/
MBU/07/2015 concerning Partnership Program
and Community Development Program of
State-Owned Enterprises
No. PER-03/MBU/06/2020 on Ministry of State-
Owned Enterprises Logo
No. PER-04/MBU/06/2020 on Amendment
to the Regulation of the Minister of State-
Owned Enterprises Number PER-03/MBU/2012
concerning Guidelines on Appointment
of Members of the Board of Directors and
Members of the Board of Commissioners of
Subsidiaries of State-Owned Enterprises
No. PER-05/MBU/07/2020 on Revocation
of the Regulation of the Minister of State-
Owned Enterprises Number PER-04/MBU/2012
concerning the Code of Ethics of the Ministry
of State-Owned Enterprises Apparatus
No. PER-06/MBU/07/2020 on Code of
Ethics and Code of Conduct of State Civil
Apparatus of the Ministry of State-Owned
Enterprises
No. PER-07/MBU/07/2020 on Procedures for
Settlement of State Loss within the Ministry of
State-Owned Enterprises
No. PER-10/MBU/10/2020 on Amendment to
the Regulation of the Minister of State-Owned
Enterprises Number PER-02/MBU/02/2015
concerning the Requirements and Procedures
on the Appointment and Dismissal of
Members of the Board of Commissioners
and the Supervisory Board of State-Owned
Enterprises
No. PER-11/MBU/11/2020 on Management
Contract and Annual Management Contract
of the Board of Directors of State-Owned
Enterprises
10. No. PER-12/MBU/11/2020 on Fifth Amendment
to Regulation of the Minister of State-Owned
Enterprises Number PER-04/MBU/2014
concerning Guidelines for Determining the
Income of the Board of Directors, the Board of
Commissioners, and the Supervisory Board of
State-Owned Enterprises
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RESILIENCE AMIDST UNCERTAINTY
RESILIENCE AMIDST UNCERTAINTY
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