Organizational strengthening as a village-owned enterprise capacity development effort in central Mamuju regency

Dzulkifli Dzulkifli (), Badu Ahmad (), Muh Tang Abdullah (), Muhammad Akmal Ibrahim () and Rizal Pauzi ()

Edelweiss Applied Science and Technology, 2025, vol. 9, issue 6, 1030-1038

Abstract: This research examines organizational strengthening strategies to develop the capacity of Village-Owned Enterprises in Central Mamuju Regency, Indonesia. The study focuses on four key organizational dimensions: incentive systems, personnel utilization, communication, and managerial structure. Using a descriptive qualitative approach with a case study design, data were collected through in-depth interviews with 16 key informants, focus group discussions with stakeholders, direct observation of Village-Owned Enterprise management practices, and document analysis. The research results reveal significant challenges in organizational management, including inadequate implementation of professional management principles, suboptimal organizational structures, and limited transparency in decision-making processes. The study also identifies challenges in organizational culture, particularly the dominant "government project" paradigm rather than an entrepreneurial orientation, as well as budget resource limitations, with restricted capital allocation and ineffective financial management systems. Based on these findings, the research proposes a comprehensive organizational strengthening model that integrates incentive system reforms through a hybrid model combining fixed salaries with performance-based profit sharing; enhanced personnel utilization through competency-based selection and continuous capacity development; strengthened effective communication with stakeholders; and restructuring of managerial systems in accordance with current regulations. This model aims to transform Village-Owned Enterprises into independent, professional, and sustainable economic institutions that effectively contribute to rural development in Central Mamuju Regency.

Keywords: Community-based enterprises; Organizational development; Public sector management; Rural economic development; Village governance. (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://learning-gate.com/index.php/2576-8484/article/view/8026/2723 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ajp:edwast:v:9:y:2025:i:6:p:1030-1038:id:8026

Access Statistics for this article

More articles in Edelweiss Applied Science and Technology from Learning Gate
Bibliographic data for series maintained by Melissa Fernandes ().