An Integrative Conceptual Model for the Management of Regional Public Service Agencies (BLUD): A Synthesis of New Public Management, Good Governance, Agency Theory, Stewardship Theory, and Public Value Theory
2026· International journal of economics, business and management research· 0 citations· 17 references
Abstract
Regional Public Service Agencies (BLUDs) are a major public sector reform in Indonesia
designed to improve healthcare quality, efficiency, and sustainability through greater managerial
and financial flexibility. However, BLUD governance remains complex and cannot be fully
explained by a single theoretical perspective. This study develops an Integrative Governance
Framework by synthesizing New Public Management, Good Governance, Agency Theory,
Stewardship Theory, and Public Value Theory. Using a conceptual approach, the framework
explains how managerial flexibility, governance quality, leadership orientation, and
organizational capacity interact to influence BLUD performance. The model proposes that these
factors collectively generate public value through improved service quality, organizational
efficiency, fiscal sustainability, public trust, and societal well-being. The study offers a
comprehensive foundation for future empirical research on sustainable BLUD governance.
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