Necessity of Revolution of Intermediate System and Reform of Financial Information

Abstract

The problem of a financial reform and administrative reformation is “Unbridgeable gulf of the idea and the technology” by “Two differentiations of the discussion” and “Deterioration from the reform to the arrangement,” “Unbridgeable gulf of the idea and the technology” revolutionizes an intermediate system by which the idea ties to the technology difficultly. And, this problem makes the approach of administrative reformation difficult evolution from the cost reduction to the process reform and the organization culture reform.

Especially, it is necessary to note universality in the use of the NPM theory which it is a methodology, and is the upward theory. The formation of a clear governance based on the formation of new financial accounting information like the cost etc. and the contract relation becomes inevitable in the practice of the NPM theory after the fact. The intermediate system design which supports the formation of information and the governance is not advanced. It is a factor that that leaves the vested rights constitution and the bureaucrat action mechanism by the old model. It is necessary to advance the revolution of an intermediate system by which a big influence is produced on the quality of the decision making so that the grade of the reform may be evolved to the process reform by a new system’s such as independence and the administration corporations effectively functioning. As a result, the distribution of the past when the incrementalism constitution was required can be reviewed by introducing a new evaluation axis into budgetary process by which the resource allocation is borne.

It is necessary to convert the introduced market mechanism from the authoritarianism type to the democracy type based on a new information sharing at the same time.