A STUDY OF CRITICAL SUCCESS FACTORS (CSF) FOR VILLAGE-OWNED ENTERPRISE (Case Study: VOE Mekar Pratama of Banjar City)

• Main Author: Erdawanti
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/44249
• Institution: Institut Teknologi Bandung

In the past the Village Development policy focused more on the agricultural sector and the Village's position only as an object of development. However, since entering the 21st century the Village Development policy paradigm changed towards a multi-sectoral approach and strengthening the village economy based on local resources, one of which was through the establishment of Village-Owned Enterprise (VOE). Although it has been introduced a long time ago through Law Number 32 of 2004, enthusiasm for the establishment and development of VOE just skyrocketed after the issuance of Village Law Number 6 of 2014. VOE has a positive role and impact on the village economy, original village revenue, and job creation, as well as social impacts on the community. Therefore, the existence and sustainability of a successful VOE is needed. Unfortunately, there are still VOE that does not have a significant impact or remains only a name on paper. And besides that, there are 29,887 Villages does not yet have Village-Owned Enterprises. This study aims to identify and determine the Critical Success Factors of VOE, both from internal and external environment of the organization. This research is a qualitative case study approach to best practice of VOE and uses content analysis methods from the results of interviews, survey sheets, observations, and document studies. The results show that there are eight Critical Success Factors of VOE Mekar Pratama, consist of seven factors sourced from the internal environment, namely capital resources, competent human resources, technology support, competitive strategies, strong leadership, the relationship between VOE and Village Government, also information and communication openness. Then there is one factor that sourced from the external environment, that is government support in the form of funds and / or access to capital, and recognition. These eight factors are CSF at the organizational level, so that they can be replicated or adopted by other VOE in Indonesia, with of course adjusting to the characteristics of the Village and its local resources.