Perceived effectiveness of e-governance as an underlying mechanism between
good governance and public trust: a case of Indonesia
Dadang Hartanto, Juhriyansyah Dalle, A. Akrim and Hastin Umi Anisah
Abstract
Purpose – This study aims to investigate the association of perceived accountability, perceived responsiveness and perceived transparency, and public trust in local government. Additionally, mediation of the perceived effectiveness of e-governance was also tested between these relationships.
Design/methodology/approach– Using a quantitative cross-sectional field survey, primary data was collected at local administration levels from two cities in Indonesia. The final data set of 355 respondents was then analyzed using SmartPls3 and the measurement and structural models were tested.
Findings– Positive results were obtained for all the hypothesized links (direct and indirect relationships).
The study’s findings revealed useful insights for policymakers and researchers regarding the public’s perception of good governance and their expectations from the government, which further lead toward trust in local governments.
Practical implications– The study concluded that good governance practices develop and enhance the public’s trust in the government, thus provided key policy directions.
Originality/value – This study contributes to the body of knowledge related to good governance elements and their impact on public trust in the local government via the underlying mechanism of perceived e-governance effectiveness in developing countries in general and particularly the Indonesian context. Moreover, it is a unique study in the good governance domain while considering three good governance elements into a single theoretical framework. Previous studies have explored these elements individually with public trust, so this combined framework advances the body of knowledge. This research’s findings also contributed toward validating good governance theory with e-governance effectiveness and public trust integration in a single comprehensive framework. This research also helped answer the questions arising from past literature about declining public trust trends in local governments.
Keywords Indonesia, Good governance, Perceived effectiveness of e-government, Public trust in government, SmartPLS3
Paper typeResearch paper
Introduction
Good governance and public trust in government are directly interrelated, as the public depends on the government’s policies, procedures and actions (Beshi and Kaur, 2020).
Public trust in government is considered the key to success for the democratic system, as it is a vital imperative for the sustainability and legitimacy of any democratic system (Bouckaert, 2012). Therefore, based on the variable nature and diverse decision-making process, governments consider the majority interests while making important decisions (Chakiri et al., 2020;Wasike, 2017). For that reason, governments with the greater trust of the public can always work more effectively and smoothly than those with lower trust levels
Dadang Hartanto is based at the Department of Public Administration, Universitas Muhammadiyah Sumatera Utara, Medan, Indonesia.
Juhriyansyah Dalle is based at the Department of Information Technology, Universitas Lambung Mangkurat, Banjarmasin, Indonesia. A. Akrim is based at Universitas Muhammadiyah Sumatera Utara, Medan, Indonesia.
Hastin Umi Anisah is based at the Department of Management, Universitas Lambung Mangkurat, Banjarmasin, Indonesia.
Received 14 January 2021 Revised 13 August 2021 Accepted 7 October 2021 Funding Information: This paper is part of a research report collaboration with funding by Universitas Muhammadiyah Sumatera Utara with Grant Number: 007-UMSU-02-2020.
Conflict of interest: The author declares there is no conflict of interest.
(Sawatsuk et al., 2018). Thus, enhancing the citizens’ trust while efficiently and effectively implementing strategies is one of the key competitive edges of governments (Houston and Harding, 2013).
The good governance concept focuses mainly on three components (i.e. civil and private societies and the state). However, it pays less attention to international players (Beshi and Kaur, 2020). This shortcoming of the good governance concept further led toward an alternative and more comprehensive concept, i.e. sound governance, as being more comprehensive with elements of the constitutional values and responsive to international norms, rules and regimes (Farazmand, 2017). Extensive literature search has indicated an alarmingly decreasing trend of public trust in local governments in developed countries such as the USA, Japan and Canada (Christopher et al., 2008). Hence, there is a need to investigate these declining trends in public trust for local governments in general and particularly in developing countries (Zhao and Jing, 2019;Mansoor, 2021b). Such attempts to measure public trust in developing countries like Indonesia are scarce in academic research literature related to public administration. This study contributed by bridging this gap to provide empirical evidence from a developing country’s unique cultural context of Indonesia.
On the other hand, the relationship between the perceived effectiveness of e-governance and public trust in government is a subject of immense interest nowadays (Sumathy, 2020).
E-governance is perceived better in providing quality information to the citizens (Sepasgozar et al., 2020). It is evident from the recent literature that the use of e-governance platforms creates a perception of fairness, resulting in a positive evaluation and ultimately leading toward a higher level of trust among the public in local government (Hanafizadeh et al., 2020). Many researchers have explored the association among different elements of good governance, i.e.
accountability (Farwell et al., 2019;Yang and Northcott, 2019), responsiveness (Gil de Zun˜iga et al., 2017), transparency (Porumbescu, 2015) and the trust of citizens in local government.
However, there is a paucity of research on investigating the impact of all three elements together along with citizens’ overall trust in local government in general and specifically in the Indonesian cultural setting. Furthermore, primary data was collected from two important cities of Sumatra and South Kalimantan provinces of Indonesia: quantitative analysis results are further expected to provide key policy insights for practitioners and future scholars in governance and public administration.
Similarly, there is a scarcity of literature exploring the mediating role of the perceived e-governance effectiveness between these three elements of good governance and the public’s overall trust in local government. So, this research advanced the existing literature by exploring this unique mechanism in a single comprehensive framework. Moreover, using the good governance theory to test the comprehensive framework related to e-governance effectiveness and public trust is a major advance made by this research to the literature related to governance and public administration. The current study is grounded in good governance theory, which depicts the concerns of social science communities in changing patterns of governing styles (Stoker, 1998). Since 1980, it has been widely cited to demonstrate diverse societies’ (Toikka, 2011). Thus, established on the good governance theory current study aims to:
䊏 Examine the impact of perceived accountability, perceived responsiveness and perceived transparency on overall public trust in government.
䊏 Examine the impact of perceived responsiveness, perceived accountability and perceived transparency on perceived e-governance effectiveness.
䊏 Examine the impact of perceived e-governance effectiveness on overall public trust in government.
䊏 Investigate the mediating role of perceived e-governance effectiveness among perceived accountability, perceived responsiveness and perceived transparency with overall public trust in government.
Review of literature and hypotheses development
Perceived accountability, responsiveness and transparency with overall public trust in local government
Governance is a custom, practice, values and organization through which power in a state is executed involving the government selection procedure, replacement of government and accountability, honor and rights for citizens and the state’s ability to devise and use its policies (Vaidya, 2020). Good governance does not have a single ideal model (Saich, 2007). To understand the practices of good governance, good governance theory is commonly used. Rezaei Qadi and Shirkhani (2020, p. 27), demonstrated that “good governance practice is one of the techniques to deploy or translate the good governance theory.” According to the United Nations Development Program, there are five main principles to practice good governance: legitimacy and voices, responsiveness, accountability, transparency and fairness (Abas, 2019). According toQudrat-I Elahi (2010), good governance comprises multiple elements, including accountability, responsiveness and transparency, among the most prominent ones. Therefore, this study is considering the three principles of good governance, namely, responsiveness, accountability and transparency and their impact on the creation of public trust among citizens.
According toBirkland and Barclay (1998, P. 23), “citizens’ trust in government can be measured by the level to which the people have faith in the government system to work in the best welfares of the community.” According toMacdonald (2020), the level of citizens’
confidence in their government that the government entities will perform the right actions on an honest and effective basis in their people’s best interest is termed as citizens’ trust in government.
Numerous studies reflected that citizens with a higher level of trust in the government are more willing to obey the government’s rules and regulations (Porumbescu et al., 2021;Park and Blenkinsopp, 2011). On the other hand, it is also evident from the literature that trusted governments enjoy more democratic power and autonomy (Hickmann et al., 2017). Another recent study by (Yang and Northcott, 2019) explained that the government’s accountability is a significant predictor of establishing trust in governments. Furthermore, few other studies also reported accountability as a vital part of creating citizens’ trust in the local government (Yousaf et al., 2016;Newcomer, 2020).
The findings ofBeshi and Kaur (2020)reported that perceived responsiveness leads to the enhanced trust of citizens in the government. Likewise, Mansoor (2021a) reveals the positive impact of perceived responsiveness on citizens’ trust in government agencies and representatives. Moreover, perceived responsiveness is measured in the government’s willingness to respond to public requests and complaints (Krol and Zdonek, 2021).
Responsiveness is also critical because failure to comply with people’s demands or issues on time can lead to uncertainty and lack of trust, resulting in riots and rebellions among masse (Miller, 2015). Especially in today’s electronic and social media era, governments must be attentive and responsive to meet citizens’ demands (Qiaoan and Teets, 2020).
Additionally, few more studies can be cited to support a positive association between transparency and the level of citizens’ trust in governments (Sadeghi et al., 2018;
Porumbescu, 2015). Experimental research conducted by Porumbescu et al. (2021) depicted that transparency is critical while expecting a higher level of trust from the government’s citizens in multiple decisions made by the local administrations. All three dimensions combined in a single framework have been investigated individually in past literature. This research’s unique contribution is integrating them into a single comprehensive framework grounded in good governance theory from public administration literature. This theory presents that trust in government is established over time and is dependent upon practices of good governance in the form of transparency and fairness of
the government entities; therefore, based on the above-cited literature support and arguments following hypotheses are suggested:
H1. Perceived accountability is positively related to overall public trust in local government.
H2. Perceived responsiveness is positively related to overall public trust in local government.
H3. Perceived transparency is positively related to overall public trust in local government.
Perceived accountability, responsiveness and transparency with perceived effectiveness of e-governance
At the government level, a set of acts or concepts to interact with the citizens that involve the use of information and communication technology to enhance the effectiveness and efficiency of the public services is termed e-governance (Mudrifah, 2020). E-governance is one of the most important opportunities that information and communication technologies have provided worldwide by integrating good governance practices to achieve a higher level of trust in the government (Ngonzi and Sewchurran, 2019). E-governance reflects how governments act and share information with external and internal stakeholders via information and communication technologies (Ullah et al., 2021). Therefore, it is convenient for the government to be transparent and efficient while sharing information through e- governance channels, which also reflects the government’s responsiveness to act in the citizens’ best interests (Krishnan et al., 2013;Lupu and Lazar, 2015).
As e-governance encompasses the utilization of information and communication technologies to accelerate the collaboration among the government and citizens, it is, therefore, a great medium of accountability element for the good governance system (Mueller, 2017). Besides, transparency has been explained as the availability of information about the social and political system and interactivity as the degree of immediate feedback provided by government officials (Sridhar et al., 2020). Transparency also refers to information available online at government websites, including ownership, contact information, operational information, citizen assistance, etc (Sridhar et al., 2020). Moreover, governments need to be responsive to accommodate individual and group needs (Krol and Zdonek, 2021).
Besides, in the beginning, the use of e-governance was at the information stage only (Mudrifah, 2020). However, with time, it has become more detailed and not meant for the publication of websites only but also for the full phase of electronic delivery of service to the public efficiently and effectively (Mudrifah, 2020). In the same line, researchers supported the notion that when citizens believe in the responsiveness and transparency of their government representatives/agencies, their trust in government enhances (Saxena, 2018).
Furthermore, the literature on e-governance and three elements of transparency, responsiveness and accountability is scarce in general and especially in the Indonesian context. Thus, conceptualization is nascent and many citations are available to support the conceptualizations theorized in this study. Therefore, based on the above arguments and available literature, the following hypotheses are suggested:
H4. Perceived accountability is positively related to the perceived effectiveness of e-governance.
H5. Perceived responsiveness is positively related to the perceived effectiveness of e-governance.
H6. Perceived transparency is positively related to the perceived effectiveness of e-governance.
Perceived effectiveness of e-governance and public trust in local government
E-governance practices and the public’s trust in government have been highly significant subjects since the past decade (Chatterjee and Kar, 2018). People have access to more quality information based on the effective e-governance facilities available to them, resulting in increased trust among them toward the decisions made and communicated by the local governments (Dalle et al., 2020). Moreover, perceived e-governance effectiveness is related to using information and communication technologies (ICTs) to support, formulate and government policies intended for people’s welfare (Vaidya, 2020). Therefore, rooted in good governance theory, it can be inferred that the use of e-government websites provides effective e-governance and this perception of effective e-governance, thus building an environment of overall trust in local governments (Haque, 2020). This research argues and expects a positive association between perceived e-governance effectiveness and public trust in the local government based on this limited and recent empirical and theoretical support. Hence, the following hypothesis is suggested:H7. Perceived effectiveness of e-governance is positively related to overall public trust in local government.
The mediating role of perceived effectiveness of e-governance
Direct association of the elements of good governance and public trust in government has been explained by some researchers (Moreno-Albarracı´n et al., 2020; Park and Blenkinsopp, 2011). On the other hand, Vaidya (2020) reported e-governance as a predictor of the public’s trust in the government. In addition,Banerjee et al. (2020)depicted that government entities use various channels, i.e. Twitter, Facebook, Instagram, etc., to interact with the citizens, to post important information, as well as to address and implement various measures which are taken in usual and unusual situations resulting in enhanced public trust in government. Besides, some studies in the literature pointed to explore the mediatory role of e-governance on citizens’ trust in the government in the presence of different predictor variables (Ma and Zheng, 2017;Eggenschwiler, 2020).
Moreover, researchers suggested that perceived transparency leads to increased public trust in government (Mansoor, 2021a;Moreno-Albarracı´n et al., 2020). While overall public trust is based on fairness and expectation from the authorities that make decisions to safeguard people’s welfare (Houston and Harding, 2013) and technology can aid in making this information accessible to the public. On the other hand, responsiveness is not merely based on providing feedback but also on implementing policies that cater to citizens’ needs which can only be possible by interacting with citizens regularly (Minard, 2015). Therefore e-governance can ease bridge the gap between public and government officials and increase their response rate to people’s issues. Moreover, overall public trust is affected by how well the government responds to their complaints and issues promptly (Krol and Zdonek, 2021;Mansoor, 2021b;Song and Lee, 2016).
This study is particularly established to investigate whether perceived e-governance effectiveness is the underlying mechanism between three elements of good governance and public trust in local government. Such investigations in e-governance effectiveness literature and public administration literature are scarce and no such empirical evidence exists to date. Therefore, to fill the existing gap concerning e-governance effectiveness, good governance elements and overall public’s trust in local government, the following hypotheses are suggested:
H8. Perceived effectiveness of e-governance mediates the relationship between Perceived accountability and overall public trust in local government.
H9. Perceived effectiveness of e-governance mediates the relationship between Perceived responsiveness and overall public trust in local government.
H10. Perceived effectiveness of e-governance mediates the relationship between Perceived transparency and overall public trust in local government.
Theoretical framework
In accordance with the previous discussion in the literature review, the theoretical framework in this paper is given inFigure 1.
Research methodology
This research adopted a quantitative field survey methodology by disseminating 28 items questionnaire among the citizens of two renowned cities of Indonesia, i.e. Medan city situated in North Sumatera Province and Banjarmasin city situated in South Kalimantan Province. Although longitudinal studies are preferred in the literature to measure the construct of the public trust; due to time and resource constraints, it was quite difficult for the authors to conduct a time-lagged study. However, the recent literature also supports the cross-sectional research design while measuring the elements of good governance and trust in government by depicting valuable insights (Pe´rez-Morote et al., 2020;Arshad and Khurram, 2020; Fridman et al., 2020). Thus, providing significant support to opt for the cross-sectional study design in this research. Concerning the 2020 statistics, the total population of Medan city was 2,337,958, which is among the most populated Indonesian cities, with 55% women and 45% men. While the total population of Banjarmasin city is 732,005, out of which 57.5% are women and 42.5% are men (Yang and Northcott, 2019). A cross-sectional random sampling technique was applied to collect the data from Medan and Banjarmasin city citizens. Following Amoah and Addoah’s (2021) methodology for sampling technique, the administrative units of both cities were divided into different communities. Later with the help of Town and Country Planning’s List of Communities, the denser educated class public locations were identified and approached. The data was collected by a team of eight members, including authors, researchers about this job trained all members and non-authors were paid for their work on an hourly basis. The authors and team members then started to randomly select the respondents to have a similar chance to participate in the survey to reduce sampling bias (Garraffoni et al., 2021). The respondents were asked general questions to know that they are aware of government initiatives about good governance and assess their willingness to participate in the survey. When the selected respondents were not ready to participate in the survey, the next possible respondent was approached. This might generate the issue of non-response bias;
Figure 1 Theoretical framework of the study
Perceived Accountability
Perceived Responsiveness
Perceived Transparency
P. Effectiveness of E- Government
Overall Public trust in Local Government H2
H3 H1
H 8, 9, 10 H4 H5 H7 H6
therefore, authors and data collectors tried to reach as many people as possible to mitigate the impact of non-response bias (Woolf and Edwards, 2021). Moreover, to overcome the imbalance of respondent selection from different communities, each community was weighted based on the population’s density and the number of public locations.
While collecting data, respondents were briefed about this survey’s purpose and anonymity was ensured that the data would only be used in aggregate terms and no identity will be disclosed at any stage. The team members also ensured that respondents could understand the survey language English very well. The survey scales were adapted from literature with good, reported reliability; the same English version was used to avoid translation and back translation issues and procedures. English is a commonly used and understood language in higher education institutions in Indonesia. Most of our data respondents had a qualification of under-graduate and above, which depicts that the respondents were able to understand the survey language fully. This screening helped the authors overcome the response bias while ensuring that respondents can understand the survey and report the actual response after carefully reading and understanding the survey items Zimbalist (2021). Besides, Arshad and Khurram (2020) and Ullah et al. (2021) adopted English language surveys in various cultural settings.
Moreover, it was also evident from the scale reliability values obtained in this study and mentioned in this research’s analysis section. These criteria adopted by data collection team members helped ensure that respondents belong to a targeted sample of this study to overcome the random convenience sampling methodology (Amoah and Addoah, 2021). In 10 weeks, 500 questionnaires were distributed and collected among the citizens of two cities in Indonesia. In total, 250 questionnaires were distributed in each city. We received 380 responses out of 500, achieving a response rate of 76%. After scrutinizing the filled survey forms received back, 25 more were excluded based on missing values and unengaged responses. Thus, a total of 355 responses were finally used for further analysis, resulting in a final response rate of 71%.
Instrument of the study
Public trust in government was measured with a 5-item scale adapted from (Park and Blenkinsopp, 2011). The authors used a 4-item scale developed by Said et al. (2015)to measure perceived accountability. To measure perceived transparency, a 4-item scale developed by Park and Blenkinsopp (2011) was used. Perceived responsiveness was assessed with a 5-item scale developed by Vigoda-Gadot and Yuval (2003). Finally, to measure the perceived effectiveness of e-governance, a 12-item scale adapted from Reddick (2009)was used. All the items were assessed on a five-point Likert scale ranging from 1 = strongly disagree to 5 = strongly agree. SeeAppendix.
Respondents’ characteristics
Respondents’ characteristics revealed that the men’s ratio (60.2%) was higher than women (37.8%). Most of the participants were young, 55% and 27% in the age bracket of 20–30 years and 31–40 years of age, respectively. While 12% belonged to the age group of 41–50 years and only 6% were above 50-years of age. In terms of qualification, 29.5% were undergraduates, 51.7% were graduates and the remaining 18.8% were postgraduates. Out of the total respondents, 23% were students, 27% worked in government organizations, 30% were in private organizations, 15% were unemployed and 5% were retired citizens. As far as income distribution and economic status are concerned, approximately 31% of the respondents belonged to the low-income category, 49.4% belonged to the middle class and 19.8% belonged to the upper-middle and upper class. In response to a general question regarding their participation in political affairs, the majority (70.5%) were neutral, representing the public without any biases or favoritism toward any specific political party.
Data analysis and results Control variables
SPSS 25 was used to conduct analyses such as analysis of variance (ANOVA), descriptive statistics of the respondents and correlation analysis among the study constructs. One-way ANOVA revealed that the respondents’ age significantly impacted the dependent variable (overall public trust). Therefore, age was controlled during further analysis. In contrast, Smart PLS3 was used to analyze the hypothesized paths along with reliabilities, validities, factor loadings, etc. To assess the discriminant validity among the constructs, validity and reliability tests were performed, whereas to assess the hypothesized links, measurement and structural models were tested using SmartPLS (Henseler et al., 2015). Smart partial least square (PLS) has been used to analyze the current study based on the understanding that it is an alternate of ordinary least square regression and applies partial least square path modeling. Scholars considered it suitable for the studies examining causal associations with hypothesis testing (Arman et al., 2020;Mansoor and Noor, 2019). Thus, to test the hypothesized paths and check for the results of the direct and mediation paths, the authors of the current study applied structural equation modelling through SMART PLS 3 (Yuan et al., 2020). Serval recent studies applied this software and data analysis technique to assess the theoretical foundations of the constructs (Noor et al., 2021;Arman et al., 2020).
Assessment of the measurement model
A confirmatory factor analysis was performed using SmartPLS 3 to check the psychometric properties of the instruments. “Cronbach’s a” and “composite reliability (CR)” were extracted to check for the reliability of items of all constructs (Henseler et al., 2009). All the reflective measures are shown in Table 1 CR and Cronbach’s (a > 0.70). In addition, measures’ “convergent and discriminant validity” was assessed. Moreover, results revealed that factor loadings of all the items used to assess variables were above 0.70 while significantly loading on their respective constructs (p < 0.01). Likewise, the “average variance extracted (AVE)” of latent variables was above 0.50 for all study variables, thus, establishing the “convergent validity” (Hair et al., 2010;Noor et al., 2021).
Moreover, Pearson correlation was applied to check the collinearity among the variables and establish the discriminant validity among the variables. As reported in Table 2, the results show that all the correlation values are less than 0.70, representing no issues of multicollinearity (Hair et al., 2010).
Furthermore, researchers reported that, while using SmartPLS3, the most appropriate measure of discriminate validity is Heterotrait-Monotrait (HTMT) ratio (Henseler et al., 2015).
The HTMT ratio value should be less than 0.9, as depicted inTable 2andFigure 2that all values were less than 0.9 for the entire model.
Assessment of the structural model
The Bootstrapping technique was performed to assess the structural paths and 5,000 sub- samples were used to test the hypothesized links. ß-coefficient, t-value and p-value were recorded to confirm the hypothesized relationships. Simultaneously, the coefficient of determination (R2) was used to assess the overall model fitness. The results of the R2 depicted a 77.4% change in overall trust in the local government due to all direct and mediating constructs. R2 for perceived e-governance effectiveness was 46.3%. R2values reflect good model fitness. SeeFigure 3.
Direct hypotheses.Table 3depicts the results of the direct and indirect hypotheses. Results reveal a positive and significant association of perceived accountability (ß = 0.153, t = 2.626); perceived responsiveness (ß = 0.137, t = 2.457) and perceived transparency (ß = 0.137, t = 4.439) with overal public trust in local goverment. Similarly, results also showed
Table1Factorloadings,reliabilityandvalidity Constructs/indicatorsFactorloadingsAVECRCronbach’sa 12345 OverallpublicTrustinlocalgovernment0.5500.8590.816 OPT10.731 OPT20.758 OPT30.784 OPT40.728 OPT50.703 Perceivede-governanceeffectiveness0.6370.9330.853 PEEG10.836 PEEG20.710 PEEG30.881 PEEG40.890 PEEG50.797 PEEG60.765 PEEG70.784 PEEG80.701 PEEG90.777 PEEG100.784 PEEG110.865 PEEG120.814 P.accountability0.6870.8970.825 PA10.910 PA20.852 PA30.781 PA40.764 P.transparency0.6520.8810.820 PT10.849 PT20.852 PT30.852 PT40.661 P.responsiveness0.6510.9030.845 PR10.878 PR20.754 PR30.757 PR40.880 PR50.757 Notes:CR,compositereliability;AVE,averagevarianceextracted
that perceived accountability is positively and significantly related to the perceived effectiveness of e-governance (ß = 0.399, t = 9.450), perceived responsiveness was positively and significantly related to the perceived effectiveness of e-governance (ß = 0.210, t = 8.194) and perceived transparency was positively and significantly related to the perceived effectiveness of e-governance (ß = 0.231, t = 5.129). While the positive and significant association of perceived effectiveness of e-governance with overall public trust in local government was found (ß = 0.414, t = 9.739). Therefore, hypotheses 1, 2 and 3 of the current study, which projected a positive association of perceived accountability, perceived responsiveness and perceived transparency with overall public trust in local government, were fully supported. Similarly, hypotheses 4, 5 and 6 of the study, which proposed a positive association of perceived accountability, perceived responsiveness and perceived transparency with the perceived effectiveness of e-governance, were also fully supported. Likewise, hypothesis 7, projecting the relationship of perceived effectiveness of e-governance and overall public trust in the local government, was also held true.
Mediation hypotheses. As shown inTable 4, the mediation hypotheses 8, 9 and 10 were supported by the results. A positive and indirect effect of perceived accountability (ß = 0.200, t = 7.230, p< 0.000), perceived responsiveness (ß = 0.122, t = 2.542, p< 0.010) and perceived transparency (ß = 0.125, t = 2.580, p< 0.010) was found on “overall public trust in local government” via the underlying mechanism of the perceived effectiveness of
Figure 2 Full measurement model Table 2 Correlation matrix
Constructs OPT PEEG PA PT PR
Overall public trust in local government (OPT) –
Perceived effectiveness e-governance (PEEG) 0.627 –
Perceived accountability (PA) 0.6246 0.654 –
Perceived transparency (PT) 0.608 0.529 0.421 –
Perceived responsiveness (PR) 0.601 0.546 0.471 0.566 –
e-governance. Further, the upper and lower limits of confidence interval with non-zero values support the study’s findings. Moreover, the variance accounted for (VAF) values depict that 56%, 47% and 48% of overall public trust was explained by the perceived accountability, perceived responsiveness and perceived transparency via perceived effectiveness of e-governance as a mediator. This condition can be considered partial mediation, as the VAF was greater than 20% but less than 80% (Shmueli et al., 2019).
Discussion, implications, limitations and future research directions Findings of the study
All the study hypotheses were found to be supported, which shows that perceived accountability, perceived responsiveness and perceived transparency were significantly and positively related to overall public trust in local government and the perceived effectiveness of e-governance. While perceived effectiveness of e-governance mediated the relationship between perceived accountability, perceived responsiveness and perceived transparency with overall public trust in the local government.
Table 3 Heterotrait-Monotrait ratio
Constructs 1 2 3 4 5
Overall public trust in local government (OPT) 0.744
Perceived effectiveness e-governance (PEEG) 0.689 0.798
Perceived accountability (PA) 0.674 0.708 0.828
Perceived transparency (PT) 0.694 0.611 0.571 0.807
Perceived responsiveness (PR) 0.700 0.632 0.585 0.619 0.806
“Note: The italic diagonal values represent the square roots of AVEs”
Figure 3 Full structural model
The results of the study reflected a positive association of perceived accountability with overall public trust in local government, which are in line with the findings of the (Cheema, 2011;Farwell et al., 2019;Russell, 2019;Yousaf et al., 2016), depicting the importance of accountability element while making decisions in public matters and establishing the higher level of trust among citizens based on fair and transparent practices of the government.
Similarly, perceived responsiveness was found to be positively associated with overall public trust in local government, as demonstrated by (Beshi and Kaur, 2020; Cheema, 2011;Yousaf et al., 2016). This reflects the importance of government responsiveness to all certain and uncertain situations to respond promptly and immediately in the public’s best interest. Furthermore, the findings related to perceived transparency are consistent with the outcomes of (Bertot et al., 2010; Farwell et al., 2019; Porumbescu, 2015), stating that transparent information dispersed by the government always results in winning the public trust in the government decisions.
Moreover, results revealed a positive and significant association of transparency, accountability and responsiveness with the perceived effectiveness of e-governance were in line with the outcomes of the most recent research in this domain (Ojiagu et al., 2020;
Shvetsova et al., 2020). While the findings related to the perceived effectiveness of e-governance on overall public trust in local government were endorsing the results depicting the importance of e-governance platforms and their effective dissemination of information among the public retains public trust in a sound democratic system. This can be related to the findings ofKhanra and Joseph (2019), who asserted that ICT is strategically applied in e-governance practices to facilitate the citizens to stay updated with the governance process and decisions which are implemented for the welfare of the citizens.
Finally, adding to the body of literature the current study also depicted the underlying mechanism of perceived effectiveness of e-governance between the relationship of accountable, responsive and transparent governments with overall public trust in local governments, proving the importance of modern technologies to disseminate timely and accurate information to the public efficiently and effectively to win the public trust.
Regardless of the available literature regarding the direct impact of perceived accountability (Mansoor, 2021a; Arshad and Khurram, 2020), responsiveness (Mansoor, 2021b) and transparency (Liao et al., 2020) on public trust in government, it lacks evidence of mediatory mechanism between these associations.
In contrast, we found that transparent, responsive and accountable governments result in the e-governance system’s effectiveness based on the people’s belief in their governments.
Moreover, these strong perceptions of e-governance effectiveness make citizens trust their governments based on the understanding that their governments keep citizens’ interests on priority and make responsive decisions and transparently communicate those decisions with the public. Moreover, these findings related to confirmation of underlying mechanisms
Table 4 Hypothesis testing results
Hypotheses Std. Beta t-value p-values Findings
H1 PA -> OPT 0.153 2.626 0.010 Supported
H2 PR -> OPT 0.137 2.457 0.010 Supported
H3 PT -> OPT 0.136 4.439 0.010 Supported
H4 PA -> PEEG 0.399 9.450 0.000 Supported
H5 PR -> PEEG 0.210 8.194 0.000 Supported
H6 PT -> PEEG 0.231 5.129 0.000 Supported
H7 PEEG -> OPT 0.414 8.412 0.000 Supported
H8 PA -> PEEG -> OPT 0.0.200 7.230 0.010 Supported
H9 PR -> PEEG -> OPT 0.122 2.542 0.010 Supported
H10 PT -> PEEG -> OPT 0.125 2.580 0.010 Supported
advance existing literature and will open new avenues for future researchers to explore and for practitioners and policymakers to focus deeply on such mechanisms while devising policies.
Theoretical implications
This research’s theoretical contributions are manifold such as previous studies have explored the elements of good governance individually or two in one study with public trust. For example, Farwell et al. (2019) and Yang and Northcott (2019) reported a positive and significant association of perceived accountability with the public’s trust in government.
However,Gil de Zun˜iga et al. (2017)depicted that perceived responsiveness is important in enhancing citizens’ trust in government. Besides, perceived transparency was considered an important predictor of public trust in local government byPorumbescu (2015). In contrast, the current study is unique in this research domain that considered all three elements of good governance into a single theoretical framework. This research’s findings also contributed toward validating good governance theory with good governance elements, e-governance effectiveness and public trust integration in a single comprehensive framework.
This research also helped answer the questions arising from past literature about declining public trust trends in local governments, especially in advanced countries. Hence, scholars from advanced countries may consider the insights provided by this research, especially related to e-governance effectiveness mediated link between good governance elements and public trust in local government relations. This research has also helped advance the public administration field by integrating the technology-oriented construct of e-governance effectiveness into a traditional, incremental theoretical framework in the existing body of research. Another major advance of this research was a developing country context, which provides insights for all developing nations striving for good governance to retain public trust.
Practical implications
The current study also offers some practical implications for the practitioners, especially the government bodies and administrative units, to consider the important aspects linked with public trust and good governance practices and the effective role of e-governance channels. Governments should enhance their social cohesion with the public to gain and retain public trust. Through effective and efficient communication, public trust and dissemination of required information to the public, especially in crises, may help governments retain public trust in government. E-governance opens new horizons to economic and social capital by allowing governments to work prudently, resulting in an enhanced level of citizens’ trust in local government. It is imperative to formulate strategies at all levels of administration along with the provision of accountable, responsive and transparent e-governance platforms to ensure the timely delivery of important information to the public and to foster the process of achieving the highest level of public trust in local government in the best interest of the national government and for a sustained economy.
The higher level of trust among citizens will also foster the citizens’ investment rate, resulting in the country’s economic development and long-term prosperity. Indonesia’s government needs to be more responsive toward the fair demands of the citizen and for an effective transformation, it must be embedded in the societies concerned and cannot be imposed from the outside. As for sustainable development in Indonesia, good governance practices are imperative, without which corporate and civil society cannot thrive. To achieve this motive, it is vital to ensure that everyone has easy access to transparent information and the right to use it for their best interests. This enhanced level of public trust will further result in the following of rules and regulations devised by the government bodies resulting in a sound law and order situation in the country.
Moreover, the study’s findings can be used in the post-covid-era where government representatives and agencies can maintain the smooth functioning of the state based on good governance practices. As for transparent and responsive governments, citizens believe and trust governments; as a result, they perform their duties honestly and fairly, resulting in an ideal society. Conclusively, the current study contributes to the existing body of knowledge theoretically and empirically by combining public trust, good governance and the perceived effectiveness of e-governance in a developing country’s cultural context, especially the Indonesian Association of Southeast Asian Nations (ASEAN) region context.
Limitations and future research directions
Along with numerous strengths, the current study also has some limitations, including the following: First, the data for the current study is collected from the two cities, i.e.
Banjarmasin and Medan, situated in South Kalimantan and Sumatra provinces of Indonesia, respectively. Although the researchers tried to choose these cities from two different provinces, it still limits the generalizability of the results throughout Indonesia. Therefore, future researchers can collect data from other cities of Indonesia, as well as from various countries like ASEAN countries to have a clear consensus among the citizens of developing countries regarding good governance practices as drivers of creating an environment of trust among citizens and the importance of e-governance effectiveness in this relationship.
Second, this research applied quantitative research methodology. In contrast, future researchers can apply the mixed-method approach by using qualitative methods and quantitative techniques to find other mechanisms involved in building public trust in the local government. Third, data were collected via a traditional method (personally visiting the respondents through data collectors). Since e-governance practices are involved as underlying mechanisms, future researchers can collect data from the followers of e- governance platforms to better insight into e-governance practices’ effectiveness in fostering the public’s overall trust in local government.
The longitudinal study design is preferred to measure public trust in most past studies in the literature. However, this study adopted the cross-sectional study design and both perceptions of antecedents of trust and perceptions of public trust were measured simultaneously due to limited resources and time constraints. Future scholars may also look for some moderating or mediating variables that may influence public trust perceptions. E- governance’s perceived effectiveness may become a recommended core area of future studies for governance and public administration scholars.
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Further reading
Aritonang, D.M. (2017), “The impact of the e-government system on public service quality in Indonesia”, European Scientific Journal, ESJ, Vol. 13 No. 35, pp. 99-111.
Karunasena, A. and Deng, H. (2011), “Structural equation modeling for evaluating the public value of service delivery through e-Government: a case study from Sri Lanka”, Conference Paper.
Corresponding author
Dadang Hartanto can be contacted at:[email protected]
