Assessing the Impact of Medan Mayor Decree No. 860 of 2023 on the Performance of Civil Servants within the Medan City Government

Abstract

The effectiveness of local governance significantly hinges on the performance of civil servants, which is often influenced by policy innovations at the municipal level. In 2023, the Mayor of Medan issued Decree No. 860 of 2023 as a strategic initiative aimed at improving civil servant performance by restructuring bureaucratic standards, performance indicators, and reward mechanisms within the local government. This study investigates the extent to which this policy has impacted civil servant performance across departments in the Medan City Government. Utilizing a mixed-methods approach, the research combines quantitative analysis of performance metrics with qualitative interviews from key informants. The findings reveal that the decree has had a moderate to significant impact in enhancing accountability, motivation, and clarity of performance expectations, especially among mid-level administrators. However, implementation challenges remain, particularly regarding capacity-building and cross-departmental coordination. The study contributes to the growing body of literature on performance-based governance in Southeast Asia and offers insights for replicability in other Indonesian municipalities. By grounding the analysis within the New Public Management (NPM) framework and organizational performance theory, the study affirms that structural reforms anchored in clear performance guidelines can positively shape bureaucratic outcomes (Pollitt & Bouckaert, 2017; Christensen & Laegreid, 2018). These findings offer practical implications for public administration reforms, emphasizing the importance of leadership commitment, measurable targets, and policy coherence.