Innovative Strategies for Institutional Growth of Village-Owned Enterprises (BumDes) in Karawang City

Evi  Selvi; Zidane Rahmat Handoko; Novian Ekawaty; Rina Maria; Nunung Nurhasanah

doi:10.38035/dijms.v5i6.3091

Authors

Evi Selvi Universitas Singaperbangsa Karawang, Karawang, Indonesia
Zidane Rahmat Handoko Universitas Singaperbangsa Karawang, Karawang, Indonesia
Novian Ekawaty Universitas Singaperbangsa Karawang, Karawang, Indonesia
Rina Maria Universitas Singaperbangsa Karawang, Karawang, Indonesia
Nunung Nurhasanah Universitas Singaperbangsa Karawang, Karawang, Indonesia

DOI:

https://doi.org/10.38035/dijms.v5i6.3091

Keywords:

Village Owned Enterprises (BUM Des), Institutional Development, Qualitative Approach, Karawang City

Abstract

Village-Owned Enterprises (BUMDes) are vital economic institutions in rural areas, serving both social and commercial functions. As social entities, BUMDes are expected to prioritize community interests by providing social services. Their primary function is to establish a professional and institutional platform for economic activities while leveraging the village's inherent potential. This approach enhances productivity and effectiveness in local businesses. A recent study aimed to develop a strategy for the institutional development of Village-Owned Enterprises in Karawang City using qualitative research and case study methods. The study found that the development of institutional capacity at both individual and organizational levels was not optimal due to constraints such as limited human resources, budgets, facilities, and infrastructure. Additional challenges included poor inter-sectoral coordination, ineffective implementation of standard operating procedures (SOPs), and deficiencies in understanding, skills, commitment, and leadership within BUMDes. The study recommended diversifying strategies at both individual and organizational levels and forming an Integrated Team Alliance to effectively promote the development of BUMDes in Karawang City.

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