IMPACT OF GFMIS-DRIVEN FINANCIAL TRANSPARENCY ON STRATEGIC MARKETING DECISIONS IN GOVERNMENT AGENCIES

Abstract

This study investigates the influence of Government Financial Management Information System (GFMIS) factors on strategic marketing decision-making within government agencies. Specifically, it examines how data accessibility, financial transparency, budgetary control, and system integration affect the extent to which GFMIS supports marketing functions. Grounded in public financial management and digital governance theory, the study adopts a quantitative approach, surveying 206 respondents across multiple government institutions. The research utilizes structural equation modeling and multiple regression analysis to test five hypotheses involving both direct and mediated relationships. Results indicate that strategic marketing decisions significantly predict the utilization of GFMIS (β = 0.602, p < 0.001), confirming the system’s evolving role in campaign planning, resource allocation, and performance reporting. Data accessibility also shows a strong positive impact on the effectiveness of marketing decisions (β = 0.458, p < 0.001), emphasizing the operational importance of real-time fiscal information. Financial transparency contributes significantly to GFMIS expansion (β = 0.527, p < 0.001), driving public-facing reporting tools and accountability mechanisms. Additionally, budgetary control and transparency partially mediate the relationship between strategic marketing and GFMIS use (indirect effect β = 0.275), while system integration moderates this relationship by strengthening cross-functional coordination (interaction β = 0.312, p = 0.001). These findings affirm that GFMIS is no longer a passive financial ledger but a dynamic platform that enhances strategic decision-making, campaign legitimacy, and institutional coordination. The study offers practical insights for policymakers, system developers, and public managers seeking to align financial systems with communication and service delivery goals in the digital era.