ABSTRAK

This study investigates the influence of budget planning, budget implementation, and human resource competency on budget absorption at the Human Resources Development Agency (BPSDM) of West Java Province. The research addresses a critical issue of fluctuating budget absorption rates, ranging from 81.97% to 96.86% in the past five years, and explores determinants to enhance financial efficiency and public service delivery. The study employs a quantitative research design with a descriptive and associative approach. Primary data were collected through structured questionnaires distributed to 45 employees involved in budgetary processes. The collected data were analyzed using multiple linear regression, supported by classical assumption tests, to evaluate the individual and collective impacts of the independent variables. The results reveal that human resource competency significantly and positively influences budget absorption (t-value = 2.806, p < 0.05). However, budget planning and budget implementation did not show significant individual effects on budget absorption (p > 0.05). Collectively, the three variables significantly influence budget absorption (F-value = 12.340, p < 0.05), with an R² value of 0.474, indicating that 47.4% of the variance in budget absorption is explained by these factors. The study highlights the critical role of human resource development in improving budget absorption. However, the findings are limited to the context of BPSDM West Java, and external factors such as political interference and organizational culture were not examined. Future studies should incorporate broader variables and cross-regional comparisons for generalizability. This research contributes to public financial management literature by emphasizing the role of human resource competency in budget absorption, an area often overshadowed by procedural factors. The findings provide actionable insights for ix policymakers to improve budget realization rates through targeted capacity-building and systemic enhancements.

Keyword Budget absorption, human resource competency,budget planning, budget implementation, financial management