Strengthening Micro, Small, and Medium Enterprise (MSME) Empowerment Programs through a Cross-Sector Collaboration Perspective: Evidence from Indonesia

Andi Muhammad Nur Al Bisry Nurdin Halid, Haedar Akib, Andi Kasmawati () and Andi Cudai Nur
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Andi Muhammad Nur Al Bisry Nurdin Halid: State University of Makassar, Public Administration, Postgraduate Program
Haedar Akib: State University of Makassar, Public Administration, Postgraduate Program
Andi Kasmawati: State University of Makassar, Public Administration, Postgraduate Program
Andi Cudai Nur: State University of Makassar, Public Administration, Postgraduate Program

A chapter in Proceedings of the International Conference on Cross- Disciplinary Academic Research 2025 - Track 2 Advances in Business & Economics, Social Science, Communications & Media (ICAR-T2 2025), 2026, pp 372-383 from Springer

Abstract: Abstract The empowerment of Micro, Small, and Medium Enterprises (MSMEs) requires an integrated cross-sector collaboration. However, key stakeholders such as government agencies, state-owned banks, and NGOs have largely operated in silos when implementing empowerment initiatives. This study aims to analyze the cross-sectoral collaboration within MSME empowerment programs in Indonesia. Employing a qualitative exploratory approach, data were collected through in-depth interviews, documentation, and observations. The informants consisted of senior officials from Himbara Banks, the Ministry of MSMEs, NGO leaders, and MSME owners. The data were analyzed using an interactive model consisting of data collection, condensation, display, and conclusion drawing. The findings reveal that successful MSME empowerment demands strong synergy among stakeholders, starting from planning to evaluation phases. Challenges identified include the absence of a shared vision, weak structures and governance mechanisms for collaboration, limited collaborative leadership capacity, and ineffective accountability and evaluation systems. Therefore, strengthening cross-sector collaboration is crucial to achieving optimal MSME empowerment outcomes in Indonesia.

Keywords: Cross-Sector Collaboration; Empowerment; Micro; Small and Medium Enterprises; Stakeholder Synergy (search for similar items in EconPapers)
Date: 2026
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DOI: 10.2991/978-94-6239-715-6_28

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