A strategic framework of good governance, infrastructure development and community empowerment in Indonesian Public Sector Management

Sustainability of public sector management on provincial, regional and city council levels will bring a significant impact on the continuous movement and competitive advantage of the region. The present study hypothesised a strategic framework of good governance, infrastructure development and community empowerment in Indonesian public sector management. System management, governance and contingency theory were employed as underlying theories on the strategic framework. Advanced quantitative approach using a Structural Equation Modeling (SEM) approach through a 2nd order confirmatory factor analysis (CFA) technique was utilised to examine the interaction of governance, infrastructure development and community empowerment on the level of local government in Indonesia. Proportionate stratified random using was employed to maximise 304 public sector managers as the selected sample. the hypothesised model, generated model, and re-specified model of Structural Equation Modeling analysis of moment structure (AMOS) was successful in establishing, examining and validating the strategic framework for Indonesian local government on the short, middle and longterm sustainability agenda. The strategic framework plays a significant role as a main guidance for public sector managers in Indonesia for the further sustainability agenda. Validated measurements of good governance, infrastructure development and community empowerment contributed as strategic decision making issues for Indonesian public sector managers as well as to the empirical contribution to the body of knowledge of Public Sector Management. Keywords: Good governance, infrastructure development, community empowerment, Structural Equation Modeling, 2nd order confirmatory factor analysis.