Citation:

Yuni Siswanti, Sucahyo Heriningsih, Dewi Novianti, Laila Nafisah, Dzulfikri Shiddiq, Aulia Rachmawati Putri, Judith Kayana Dewi, Ruhillah Balqies. "Qualitative Research: Institutional Innovation Towards Resilient Village-Owned Enterprises (Bum Desa) In the Competitive Era in Indonesia" International Research Journal of Economics and Management Studies, Vol. 3, No. 10, pp. 20-26, 2024.

Abstract:

This research is from the challenges faced by Village-Owned Enterprises (BUM Desa) in Indonesia, particularly in the Special Region of Yogyakarta. A major issue, as highlighted in a previous study (Siswanti et al., 2023), is the limited capacity and competence of institutional entrepreneurs in BUM Desa, resulting in many of these enterprises going bankrupt, suffering long-term losses and having little hope for sustainability in the future. This study focuses on a single BUM Desa as a pilot project, specifically BUM Desa Katon Margo Sembada, Sleman, Yogyakarta, Indonesia. The objective is to implement the institutional innovation model developed from previous research (Siswanti et al., 2023) and assess the impact of training on fostering institutional innovation in managing BUM Desa to become more agile and successful in today’s competitive era. The research employs a qualitative case study method, adhering to established guidelines and principles. The findings from the initial stages of the training show that the institutional entrepreneurs regained motivation to continue learning and enhancing their competencies in managing BUM Desa. During the training implementation phase, it was discovered that institutional innovations, such as strengthening the vision and mission of BUM Desa, public policy systems, organizational structure, managerial and leadership capabilities, internal and external accountability systems, organizational culture, human resources, and environmental development, are crucial for all institutional entrepreneurs to consider. In the training outcomes phase, it was found that institutional entrepreneurs had fully recognized the importance of institutional innovation and were able to design such innovations more systematically to achieve the effectiveness and efficiency of BUM Desa. The recommendation for future training is the need for continuous programs that enhance the ability to design institutional innovations in line with the external environmental demands faced by BUM Desa.

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Keywords:

Qualitative Research, Institutional Innovation, Village-Owned Enterprises (BUM Desa).