Available online at HABITAT website: http://www.habitat.ub.ac.id
Covid-19 Pandemic Digitalization Training For Agriculture Sustainable Development of Micro and Small Enterprises In KWT Sri Rejeki
Yeni Pramita1, Keppi Sukesi2*, Reza Safitri3
1Master Program, Faculty of Agriculture, University of Brawijaya, Street. Veteran, Malang 65145, Indonesia
2Department of Socio-Economics, Faculty of Agriculture, University of Brawijaya, Street. Veteran, Malang 65145, Indonesia
3Departemen of Communication, Faculty pf Social and Political Science, University of Brawijaya, Street.
Veteran, Malang 65145, Indonesia
Received: 5 February 2023; Revised: 6 March 2023; Accepted: 1 April 2023
ABSTRACT
It is undeniable that the coronavirus (COVID-19) pandemic has affected the global economy and environment. The main victims of the COVID-19 outbreak are agricultural Micro and Small Enterprises MSEs in KWT, especially in developing countries, where the use of digital media is still limited. This paper uses literature and personal insights to provide lessons on digitalization the COVID-19 pandemic for the development of MSEs in sustainable KWTs from a technology-for-social perspective. researchers develop work concepts to support digital transformation after COVID-19 for the sustainable development of KWT MSEs. The fact is that digital payments, especially mobile money, must be an important digital transformation priority for MSEs in KWT. In addition, institutions must support the resources and capabilities of MSEs in KWT adopting digital for sustainable business, production and consumption. This study shows that the Chair of the KWT UMK and other stakeholders to re-research their business strategy, combine crisis scenarios and business plans as an effort to retain customers virtually so that they can increase sustainable agricultural businesses. We also propose further research areas to enhance the transformation of digital KWT MSEs after COVID-19.
Keywords: covid-19; digitalization; KWT; sustainable How to cite:
Pramita, Y., Sukesi, K., & Safitri, R. (2023). Covid-19 Pandemic Digitalization Training For Agriculture Sustainable Development of Micro and Small Enterprises In KWT Sri Rejeki. HABITAT, 34(1), 81–
95. https://doi.org/10.21776/ub.habitat.2023.034.1.8 1. Introduction
The coronavirus (COVID-19) pandemic has had a significant impact on the global economy (Bai et al., 2021; Durant et al., 2023;
Fernandes, 2020; Stephens et al., 2022; Ullah et al., 2022). In particular, the pandemic produced a series of constraints affecting smallholders, which are integrated with input as well as output markets (Minten et al., 2020). The pandemic also affected farmers both in the short term (through reforms) and in the long term (such as bans, travel bans, and repairs) (Workie et al., 2020). Lockdowns, ease of mobility, quarantine, as well as transportation difficulties are universal responses to the pandemic which are very challenging for farming
communities (Ullah et al., 2022). These measures disrupt agricultural productivity, participation in market inputs and outputs (market integration), and supply chains, delivering a major shock to the global economy in 2020, as indicated by the early estimate of 495 million job completions and a 5.2% contraction in global output (Thapa Magar et al., 2021). As a result, farmers who participate in market-oriented architecture suffer greatly during the Covid-19 pandemic (Yegbemey et al., 2021).
Developing countries have also banned international bans, closed borders, imposed large- scale bans, banned large-scale gatherings, and restricted some. To provide essential services to the grassroots, industrial food, banking, construction, and frontline health care are considered key industries in these countries. The Women Farmers Group (KWT) as an institution that also owns small businesses/UMK in
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*Correspondence Author.
E-mail: [email protected]
Available online at HABITAT website: http://www.habitat.ub.ac.id developing countries has become a very
vulnerable party during this crisis. These KWTs generally have fewer than 50 members and appear to be managed on a small scale by members or the families of each member of the group. Covid-19 restrictions are more severe for micro and small businesses when compared to large and global industries (Shafi et al., 2020a).
The August 2020 Central Statistics Agency (BPS) report shows Indonesia's economic development in the second quarter of 2020 minus 5.32%. In the first quarter of 2020, BPS announced that Indonesia's economic development only grew by 2.97%, much lower than 5.02% in the same period last year. The economic wheel, especially at the family level, at the level of the small and middle class, has become weak due to the pandemic (Hammond et al., 2022;
Thanh & Duong, 2022).
The farming family, in this case, which has a very large function, is women, with a number that has eliminated a portion of the total population of Indonesia, which is the key to the nation's welfare and has a significant function in development. For this reason, many parties, in this case the Department of Agriculture and Agricultural Extension, are trying to strengthen the position of women. Extension is considered a paradigm consisting of approaches to increase agricultural production through the transfer of technology from experts to farmers, and the series of criticisms of technology transfer is hampered by the neglect of socio-political aspects, a process called technical rendering (Cook et al., 2021).
Extension is built together with adoption, a set of knowledge applications that mediate interactions between extension agents and farmers, ideally creating increased farmer currency (Haug, 1999).
The socio-political aspects that shape extensions are numerous (Hawkins & Maurer, 2010; Melo Zurita et al., 2018; Pierre Bourdieu, 1986) including: social (i.e., network of gender relations) (Quisumbing et al., 2014) culture (namely, knowledge, expertise, and the status of farmers in society), and politics (namely, the power to reach out through social networks). One of them is by distributing training under digital marketing and coaching local entrepreneurs. The existence of the Covid-19 pandemic has prompted a very rapid acceleration of digital marketing (Verhoef et al., 2021).
During the COVID-19 pandemic, digitalization technology is becoming increasingly important (Nandi et al., 2021). The lack of
digitalisation, technology adoption, and limited presence of KWTs have boldly made this pandemic cost them even more; increasing the vulnerability of KWTs, especially for individual and family businesses (Bartik et al., 2020). ) It is unclear how long this pandemic will last globally.
It is also increasingly uncertain that we will return to our former normalcy. COVID-19 has challenged and is likely to introduce new digitalization technologies into supply chains, many of which are prone to supply riots. KWT Sri Rejeki which was formed 21 years ago where this group has the main activity, namely the diversification of agricultural products, especially cassava commodities. Most sales activities are carried out offline or conventionally either through bazaars or traditional markets. Of course when the pandemic broke out, product marketing activities had to stop. This has caused the number of sales turnover to decrease significantly during the pandemic.
Digital Marketing can be a solution to survive the pandemic and post-pandemic COVID- 19 (Akpan et al., 2021; Katz et al., 2020). Digital marketing can also be a catalyst for KWT Sri Rejeki's economic recovery to make it more stable or even better. Our perspective paper discussion focuses on how digital marketing lessons after the COVID-19 pandemic are for the sustainable recovery of KWT Sri Rejeki. We developed a framework to support post-Covid-19 digital transformation for the sustainable development of KWT Sri Rejeki's revenue and suggest practical implicits and research to enhance the success of KWT Sri Rejeki's digital transformation post- Covid-19.
2. Theoretical Underpinning
In this section, we present the theoretical background of KWT Sri Rejeki digital transformation process, insights for KWT Sri Rejeki digital transformation in the post- pandemic, and some organizational themes relevant to the underlying theory of our research (e.g. Institutional theory, Source-based Re-view (RBV), dynamic capability theory, Transaction cost theory, TOE framework). These theories have reference value for training more about the potential research areas provided by this paper.
Regarding these theories, we develop a framework (see Figure 2) to support the COVID-19 pandemic digitalization training for the sustainable agriculture enterprises development of KWT Sri Rejeki.
Available online at HABITAT website: http://www.habitat.ub.ac.id 2.1. Digital transformation process of of
micro and small enterprisesWomen’s Farmer Groups (KWT)
The existing literature discusses digital marketing transformation in terms of its proponents (Martín-Gómez et al., 2019) the resources and capabilities required (Li et al., 2022) the processes and modes of transformation (Bienhaus & Haddud, 2018) and benefits (Barann et al., 2019)
The digital transformation of KWT requires a concerted effort between government and companies (Räisänen & Tuovinen, 2020) First, the government plays a role in promoting the digital KWT marketing process. Government intervention involves digital transformation activities by the existing legal and regulatory system. To transform the digitization of KWT, the government can play an important role by increasing awareness of digital transformation, increasing workforce competence, providing technical and financial support, and strengthening data communication infrastructure (Ayanda &
Laraba, 2011).
Second, despite the many benefits of digital transformation on KWTs because they are agile, dynamic, interactive, more casual and less bureaucratic than large organizations, digital transformation is difficult due to poor infrastructure (Krishnamurthy, 2020).
In the process of digitizing, MSEs may be different (Räisänen & Tuovinen, 2020). Digital content must be privatized with the scale of business, industry, and KWT culture.
Digitization will bring about changes in policies, market and business structures, as well as institutional culture. When digital systems are widely applied across goods and business processes, a KWT is then transformed.
Previous studies have considered general technology adoption and identified various factors that influence the acceptance of information and communication technology for organizations (Queiroz & Fosso Wamba, 2019). These factors include business characteristics, past experience, regarding privacy and security, absence of a technology roadmap, digital ecosystem, lack of information sharing systems, regulatory needs resulting from digital transformation, and a description of a secure environment. However, limited resources and capital of KWT MSEs can hinder digital transformation. For example, although many KWT MSEs in Indonesia are aware that the Internet can be the key to success,
they still do not have a website on their smartphone. The classic business model has disappeared and replaced the versatile business model and immediately developed (Akbar &
Tracogna, 2018). This new business model responds to customer behavior in real-time and is knowledge-based. KWT can also conduct a cost analysis of digital technology that has been aligned with digital technology that has been eased in the covid-19 era.
2.2. Insights of digital transformation for enterprises KWT in post-pandemic Digitization can reduce the MSE environment in KWT regarding the economy, enabling them to fulfill their social obligations and obligations (Thrassou et al., 2020) digital payments, especially mobile-based payments, are an important digital transformation priority for post-pandemic KWT (Shaikh et al., 2019).
Compared to other digital tools, mobile phone technology is being widely adopted by small businesses, especially in developing countries (Mohanty & Mishra, 2020)
Physical distancing measures are likely to carry over to the post-Covid-19 world. In addition, online delivery and payment services during the lockdown will continue even after the pandemic.
This means that digital-based money will continue to play an important role and generate common usage. KWT must thrive post-pandemic, and digital-based money provides the right opportunity. For example, digital-based money will support KWT to collect receivables, make and make payments to suppliers of raw material products directly using their mobile phones without having to close or leave their premises for hours. This will provide convenience for KWT and reduce carrying cash.
2.3. Institutional Theory
Institutional theory can be used as a reason for the digital MSEs KWT (Jean et al., 2020). The core principle of institutional theory is that an organization is incorporated and informed by the institutions’ standards and practices to which firms ultimately adhere (Gupta & Gupta, 2020) Institutional theory can help decide whether the digitization plan is driven internally or externally and its adoption rationale. The institutional theory makes it possible to analyze how MSEs KWT respond to digitization pressures during and after COVID 19 period. Researchers use isomorphic pressures to differentiate forces and establish particular characteristics related to their use and
Available online at HABITAT website: http://www.habitat.ub.ac.id implementation (Kummer et al., 2020). This
isomorphism can be divided into three parts within the institutional theory: coercive, normative, and
mimetic pressures (Latif et al., 2020) We discuss how these influence digitization of KWT.
Table 1. Business Agriculture dimensions and effects of digital marketing applications on sustainability KWT (Adapted from (C. L. Chen et al., 2021)
Business
Dimension Digital transformation application
Impact on
sustainability/resilience of MSE
References
Process and System
Automation tools to replace labor Using Point of Sale (POS) Demand for digital learning platforms
Demand for energy-efficient technology
Information system of Business to Business (BandB)
Recycling technology
Using tools for customer data analysis
Green IT
Inventory management system Integrate e-commerce, mobile multimedia, and manufacturer app into one system
Production can continue during a lockdown, and social distancing Reduce the cost of production to increase profit
Increase employee skill to be more productive Reduce energy use and enhances environmental sustainability
Enhances customer experience that increases sales
and profit
Reduce environmental pollution caused by waste Predict customer preference and sales to increase profit
Smart use of IT that lowers the environmental impact of manufacturing,
operations, etc Avoid excess stocked inventory and potential shortage, thereby increasing profit
The use of digital
marketing tools enhances customer experience to increases sales and profit
(C. L. Chen et al., 2021; Naderi et al., 2019)
(Narayanan et al., 2019)
(Dwivedi et al., 2021)
(Singh et al., 2019)
(Clohessy & Acton, 2019)
(Shafi et al., 2020b)
(Akter et al., 2020)
(Baggia et al., 2019)
(Chebet & Kitheka, 2019)
(Day & Schoemaker, 2016)
Customers Social media account and social media advertising
Online auction Live broadcast
Chat robot
Customer virtual
engagement to drive sales even
partial lockdown
Increase sales and virtual customer experience Virtual engagement with customers to increase sales and customer experience Reduce human to human contact that drives sales during restrictions
(Akpan et al., 2021b)
(Tang, 2019) (C. L. Chen et al., 2021)
(Pillai & Sivathanu, 2020)
Available online at HABITAT website: http://www.habitat.ub.ac.id Business
Dimension Digital transformation application
Impact on
sustainability/resilience of MSE
References
Demand environmentally friendly production technologies
e-commerce for sales channel Have a website for selling
Platform to resell and donate items
Reduce environmental pollution
Increases sales and profit Increases sales and profit even in contact restrictions Reduces waste and
environmental pollution
(X. Chen et al., 2020)
(Ulas, 2019)
(Fitriasari, 2020) (Jovanović et al., 2018)
Products Free Wifi A Better customer
experience that increases profit
(C. L. Chen et al., 2021)
2.3.1. Coercive pressure and the digitization of micro and small enterprises KWT This pressure requires MSEs on KWT to apply various environmental rules and standards. Then, KWT UMK has ecological control and standards that must be complied with. Institutional theory suggests that coercive pressure will shape environmental protection and KWT's legislative mandate on MSEs. It is widely reported how coercive forces affect the ecological performance of KWT MSEs (Latif et al., 2020) Government authorities, these mandatory rules and regulations. Even during the pandemic, KWT MSEs must be subject to sanctions for violating these regulations.
Many also assess and provide favorable conditions for companies to adopt digital transformation (Chen et al., 2021). In addition, digitization helps KWT MSEs improve their environmental efficiency and gain government support while facing coercive pressures. The digitization gap can be a forcing barrier—with formalized barriers and rules limiting the involvement of KWT MSEs. Coercive power can support or restrain MSEs that need to digitize themselves (Wang & Su, 2020).
2.3.2. Normative pressure and digitization of micro and small enterprises KWT MSEs
Digital transformation can help MSEs in KWT to be able to manage public opinion, especially on environmental issues, through visibility, connectivity, and management. When
MSEs in KWT do not manage public opinion, this opinion can affect their image and harm them.
MSEs in KWT with a damaged reputation can also suffer external losses and lose profits. Therefore, digitization affects and competitive advantage of KWT MSEs in the digital era.
2.3.3. Mimetic pressure and digitization of micro and small enterprises KWT Digital transformation supports MSEs in KWT to react to mimetic pressures and provide a competitive advantage (Latif et al., 2020) MSEs in KWT must adapt to the actions and behavior of their competitors. If competitors adopt emerging digital technology, MSEs in KWT can also follow suit. Mimetic pressures in developing countries increase environmental protection through domestic and multinational companies (Chaudhry
& Amir, 2020)
In the context of digitalization, research on institutional theory should explore how MSEs in KWT work without institutional pressures in space, resources, and innovation, especially how to creatively lead to a mimetic process among competitors. Overall, this theory can be used to examine why MSEs in KWT should be able to embrace emerging innovations.
2.3.4. The Resource-Based View
RBV, known as resource-based theory, focuses on the resources and capabilities an organization has to build a competitive advantage.
The RBV provides an examination of intra- organizational resource relationships and their
Available online at HABITAT website: http://www.habitat.ub.ac.id ability to explain why and how some
organizations outperform others to gain a competitive advantage. The RBV argues that entity resources can be physical, human, or organizational and are valuable, unusual, and non- replicable (Cruz & Haugan, 2019)
RBV helps understand the relationship between enterprise resources and supply chain resilience post-COVID-19 (Nandi et al., 2021) The RBV supports the idea that digitization is an example of organizational capability. Digitization can underpin resources, structures, growth strategies, metrics and more (Verhoef et al., 2021b) The RBV provides a useful lens for viewing the digitization of MSEs as their ability to be sustainable as well as more sustainable (Eller et al., 2020) Based on the RBV, we can better understand the relationship between KWT MSEs and information technology (IT), employee skills, digital strategy, and digitization.
However, in major disruptions and extreme events, such as the COVID-19 pandemic, establishing these relationships is a challenge (Papadopoulos et al., 2020) While an important aspect of RBV is dynamic capability theory which can be used to explain how and why KWT MSEs adjust their resources to maintain their competitive advantage in a changing context; help overcome the challenges of the COVID-19 crisis.
2.3.5. Dynamic Capability Theory
Dynamic capabilities based on innovation and providing the capacity to create, expand and modify the company's resource base. Building sensing, seizing, and transforming capabilities enables companies to design future strategies that design, create, and refine organizational transformations for sustainable business models, and provide a stable source of competitive advantage (Teece, 2018) The research fact found that MSEs in KWT face a significant increase in difficulty in adopting new technology due to lack of resources, skills, commitment, and understanding of digital opportunities (Rowan &
Galanakis, 2020) Therefore, MSEs need to start ensuring business in an unpredictable environment, such as the COVID-19 pandemic, by building “sensing, seizing, and transforming”
capabilities (Papadopoulos et al., 2020).
Companies with "changeability" are companies in which an entrepreneurial mindset is actively developed within, with a broad and expansive approach to building external networks as well (Day & Schoemaker, 2016). Thus, the transformation capability supports MSEs in KWT
with sustainable strategies and sustainable organizational structures to ensure responsiveness in a rapidly changing environment, especially in the COVID-19 era, understanding how MSEs build dynamic capabilities to transfer.
2.3.6. Transaction Cost Analysis
Management structure to reduce total costs in exogenous transaction conditions (Schmidt &
Wagner, 2019) This theory is used in operations and supply chain management and purchasing and supply management. Akbar & Tracogna, (2018) using theories govern cost governance under certain exogenous conditions. As the global economy changes and is managed in collaborative partnerships, relational governance structures are also integrated within the transaction cost framework (Schmidt & Wagner, 2019) Three distinct transaction governance issues stem from transaction cost theory. In particular, organizations must be able to solve problems, measure performance, and adapt by choosing appropriate governance structures (Leiblein, 2003) The most economical transactions are transaction costs and price maximization, which are acceptable transaction modes (Roeck et al., 2020) Simultaneous adoption of digital technology can affect and reduce the costs of MSE processes and activities in KWT.
In investigating supply chain digitization, we have analyzed transaction costs from a digital technology perspective. For example, Schmidt &
Wagner, (2019) explores the capabilities of digital technology to reduce transaction costs. Studies support that digitization and market-oriented governance structures for buyer-supplier transactions can reduce transaction costs ( eg.
Hazen et al., 2016; Sanders et al., 2019) Similarly,Roeck et al., (2020) studied the ability to recognize or eliminate the costs of digital technology. They identified nine impacts of supply chain transaction conditions of trust, transparency and disintermediation.
Rowan & Galanakis, (2020) based on transaction fees to review potential challenges, opportunities, and solutions for digitizing MSEs in the post-COVID-19 period. At the same time, Akbar & Tracogna, (2018) show how digitization for both parties can also reduce opportunistic behavior in the hospitality industry. This is because some digital technologies, notably blockchain, record valuable contracts (Kouhizadeh et al., 2021) In general, measurement of transaction costs can help assess the impact of changes in transaction costs. Digital technology
Available online at HABITAT website: http://www.habitat.ub.ac.id has an impact on organizational processes and
activities afterward.
2.3.7. Technology organization environment framework and digital transformation of K W T MSEs.
Although there are other adoption models, we use the Organization-Environmental Framework (TOE) because of its focus on technological, environmental and organizational factors that influence KWT MSEs' decisions to adopt digital transformation (Wong et al., 2020) TOE offers a more comprehensive value on technology adoption as it embraces digital transformation on technological, organizational and environmental factors (Orji et al., 2020)
Kouhizadeh et al., (2021)) used TOE to implement blockchain adoption among academics and practitioners. Related, Orji et al., (2020) develops a theoretical framework based on TOE for critical success factors, which influence the use of social media for social supply in a shipping logistics company in Nigeria.
TOE has been popular in the study of technology adoption of Small and Medium
Enterprises (SMEs) in community institutions such as KWT. Abed, (2020) examines the factors that influence the social commerce adoption of KWT SMEs using TOE. Monitoring of 181 SMEs in Saudi Arabia showed that pressure from trading partners in an environmental context, followed by top management support in an organizational context, and perceived benefits in a technology context, had the most significant influence on behavioral intentions to use social commerce. This dimension is popular in TOE.
Wong et al., (2020) adopted the TOE framework to empirically adopt blockchain from 194 SMEs in Malaysia. They found that SMEs often lack technology investment facing the same requirements to streamline business processes in order to optimize. Blockchain presents a viable option for SMEs because of its immutability, transparency and security potential to revolutionize business which Orji et al., (2020) also support. TOE can help predict digital transformation in MSEs (Bollweg et al., 2016;
Rahayu & Day, 2015) This TOE ability is because different innovations have different adoption.
Figure 1. A framework to support COVID-19 Pandemic Digitization Lessons for Sustainable Agriculture Development of MSEs. KWT
Covid-19 Restrictions
Lockdown, Limited cash transactions, contactless transactions, restrictedpublik gathering, large scale quarantine etc
MSEs KWT Digitalization
Text Massaging, digital payments (mobile and wes transfer), data driven manufactory, live broadcast sale, recycle local waste, social media platforms, mobile technology etc
Institutional Theory
Coercive, normative and mimetic pressure
afect covid-19 pandemic digitalization
lesson for sustainable agriculture development of emterprises MSEs
KWT
Resource Based View MSEs KWT gain
competitive advantage tthrough digitazation by
combing and adjusting its resources
Dynamic Capability
Theory
MSEs needs, sensing, seizing and transforming
capabilities to initiate transforming for
business in uncertain enviroments like
Covid-19
Transactional Theory MSEs KWT
need to minimize cost
under given exogeneous condition like
Covid-19
FrameworkTOE
MSEs desired range of technical, organizational,
enviromentaland factors predict their digital transformation
BENEFITS
Sustainable productions and consumption, efficiency in business process, increasing customer satisfaction, business continuity
Available online at HABITAT website: http://www.habitat.ub.ac.id Although there are several other adoption
models, the researcher uses the Organization- Environmental Framework (TOE) because it focuses on technological, environmental and organizational factors that influence KWT MSEs' decisions to adopt digital transformation (Wong et al., 2020). TOE offers more than technology adoption. because it includes digital transformation on technological, organizational and environmental factors (Orji et al., 2020)
TOE can help predict digital transformation in KWT MSEs (Bollweg et al., 2016; Rahayu &
Day, 2015). This TOE capability is because different innovations have different adoption factors in different cultures and contexts, such as KWT MSEs, especially in developing countries.
The argument is that KWT MSEs have different technological, organizational, and environmental factors from SMEs in KWT and large enterprises (Sohns & Revilla Diez, 2018) For example, in Indonesia, the Ministry of Agriculture actively supports the capacity of micro and small enterprises because of their unique nature. There are also fiscal incentives, grants, bilateral and assistance from multilateral institutions, and special institutions that support the success of this UMK KWT.” The researcher believes the institutional theory discussed in this section has reference value for further study of the potential research areas provided by this paper. value for further study of the potential research area is provided by this paper.
They support digital KWT MSEs, especially during the COVID-19 period, to increase and maintain consumption, and business production. The researcher developed a conceptual framework that summarizes how these theories support lessons on digitizing the COVID-19 pandemic for the sustainable development of KWT MSEs in Figure 2 below.
3. Research Methods
This study uses the action research research method which is one of the methods used to gain knowledge while taking action to create change in society. This research was conducted for approximately three months, from October to December 2021 at the Sri Rejeki Women Farmer Group (KWT). The location of this research is in Sidorejokidul Village, Tingkir District, Salatiga City. Planning research locations selected based on purposive method (deliberately). Key informants purposively are people who know and
understand the problems faced in the long term and are able to assist in managing data in the field.
There were 7 informants who were interviewed in depth. Each consists of 5 (five) core members (Group Leader, Secretary, Treasurer, Head of the Marketing Division, Head of the Production Division) from the Sri Rejeki Women Farmers Group (KWT), 2 (two) people from the Salatiga City Agriculture Service and Officers Field Agricultural Extension (PPL). This study uses an action research method that is used to increase knowledge and take action to create change at KWT Sri Rejeki. This action research method is the most effective research method for applied sciences such as extension science because action research performs and implements theory into reality or practical action. The stages in this action consist of four stages, namely deciding, planning action, taking action, implementing, and establishing learning. All of these stages were carried out based on the context and purpose of the action research carried out as shown in Figure 2 below:
Figure 2. Action Research Process Technical analysis of the data in this study using the model (Miles, 2014) data condensation, data presentation and drawing conclusions or verification:
Considering the qualitative nature of the data collected the researcher chose to take recommendations from (Saldaña, 2013) and enter the data into two coding cycles, with the first cycle intended to help uncover (sub) categories (i.e., holistic coding) and the second cycle to help build theme classifications (i.e., focused coding). With the aim of obtaining more credible findings, a third code was recruited to assist in cross-checking the two coding cycles (Miles, 2014).
Diagnosting
Planning action
Taking Action Evaluating
Action Specifying
Learning
Available online at HABITAT website: http://www.habitat.ub.ac.id 4. Result and Discussion
However, it should be noted that this situation does not exploit workers who may be constantly called upon. More broadly, policymakers need to consider whether greater digitization is good for the environment, especially given the multiple energy requirements of this system.
The MSE transformation initiative during the COVID-19 disruption shifted slightly from technology to changes implemented by social, customer, and organizational actors. The choice of technology can be related to existing KWT MSE equipment, basic digital competencies to use this technology, and existing digital communication channels with customers. Lack of resources and expertise associated with the use of more advanced technological solutions may also play a role. This emerging role should be well considered by policy makers when determining new policies related to future MSE support measures, especially when such measures are to help set goals and a sustainable social environment.
The challenges of innovation that arise from incorporating digital technologies such as AI (artificial intelligence) in developing sustainable business models are attitudinal, social, economic, and legal. In this context, academics, professionals, and institutions in continuing research and implementing a network of public- private partnerships to anticipate and manage the profound social changes associated with the revolution are needed to support.
Innovations in creating sustainable business models for service delivery, remote operations, service substitution and delivery channels, innovative collaboration environments, and new service consumption opportunities to support and enhance the value proposition. MSEs often need external input and resources on this issue.
The impact of COVID-19 has motivated KWT MSEs to continuously redevelop their core competencies, find new opportunities, and redefine sustainable business models more intensely and in a timely manner. The strategy of ambidexterity in shorter cycles, balance between steps, and concentrating on building innovation is not limited to only KWT MSEs during this period.
new competencies, increasing expertise, and increasing professional experience of implementing new technologies in business models are significant regional development needs in the long term. KWT MSEs can survive these and other disruptions, and in this example
will emerge those that are able to adopt new technologies and become more competitive.
Given the possibilities and uncertainties associated with digitization technologies, much of what we propose is based on newer technologies and evolving settings; some of which were unprecedented. We now introduce outstanding research and additional potential that warrants further study.
The MSE trasformation initiative during the COVID-19 disruption shifted slightly from technology to changes implemented by social, customer, and organizational actors. The choice of technology can be related to existing KWT MSE equipment, basic digital competencies to use this technology, and existing digital communication channels with customers. Lack of resources and expertise associated with the use of more advanced technological solutions may also play a role. This emerging role should be well considered by policy makers when determining new policies related to future MSE support measures, especially when such measures are to help set goals and a sustainable social environment.
The innovation challenges that arise from incorporating digital technologies such as The KWT transformation initiative that has MSEs during the COVID-19 disruption has shifted slightly from technology to changes implemented by social actors, customers, and organizations.
The choice of technology can be related to existing KWT equipment, digital basic competencies to use this technology, and existing digital communication channels with customers. The lack of resources and expertise associated with the use of more advanced technological solutions may play a significant role. This emerging role should be well considered by stakeholders when determining new policies related to future MSE support measures in KWT, especially when these steps are to help set goals and a sustainable social environment.
The innovation challenges that arise from incorporating digital technologies such as AI (artificial intelligence) in developing sustainable business models are behavioral, social, economic, and legal. In this context, academics, professionals, and institutions in continuing research and implementing public-private partnership networks to anticipate and manage profound social change related to the need for support.
Innovations in creating sustainable business models for service delivery, remote operations,
Available online at HABITAT website: http://www.habitat.ub.ac.id service substitution and delivery channels,
innovative collaboration environments, and new service consumption opportunities to support and enhance the value proposition. KWTs often require external input and resources on these issues.
The impact of COVID-19 has motivated KWT MSEs to continue to redevelop their core competencies, find new opportunities, and redefine sustainable business models in a more intense and timely manner. The ambidexterity strategy in a shorter cycle, balance between steps, and concentration on building innovation is not limited to KW MSEs only during this period. New competencies, increased skills, and increased professional experience in implementing new technologies in business models are significant regional development needs in the long term.
KWT MSEs can withstand these and other disruptions, and in this example will emerge those who are able to adopt new technologies and become more competitive.
Given the possibilities and uncertainties associated with digitalization technologies, much of what we propose is based on newer technologies and evolving settings; some of which were unprecedented. We now introduce outstanding research and additional potential that warrants further study.
How does innovation spread through the supply chain to benefit MSEs in KWT? produce digital innovations from KWT UMK and contribute to supplying?
What cultural and socioeconomic challenges exist for the technology acceptance behavior of KWT MSEs? Adoption of new technology can raise suspicion. environmental preservation, for example electronic recycling in sustainable economic improvement and digitalization circularization, bring appropriate economic improvement for informal partners?
Do theoretical frameworks and traditional technology acceptance models apply in this emerging economic supply chain environment;
survived and after a similar crisis? overcome the problems and mistrust and costs of this digital technology and change it?
A more effective multi-stakeholder environmental regulation policy including KWT MSEs, especially informal MSEs, through digitization?
What is the relationship between MSE capacity and environmental regulation? Do COVID-19-style mechanisms and regulations,
such as funding and distribution of stimulus, provide additional avenues for KWT MSEs to become more sustainable actors?
What roles do various stakeholders and institutions play in the digital inclusion of MSEs?
For example the involvement of NGOs, government, and local communities. will this multi-stakeholder collaboration last during the COVID-19 crisis, will it be sustainable, and can lessons be learned?
How can digital change change the process of creating customer value for KWT MSEs? What are the most important dynamic capabilities for digital transformation in MSEs; especially related to sustainable production and consumption?
KWT MSEs are pursuing digitalization alignment during COVID-19 and similar crises? Is there a direct link between digitization and performance during COVID-19 and what can be learned more broadly?
What skills training and human resource capacity do KWT MSEs need for digitization? How can policy makers promote MSE training programs with digitalization to achieve environmentally friendly inclusive practices?
How do cloud systems, artificial intelligence (AI), e-commerce, analytics, social media, and the economy work together to create opportunities for KWT MSEs?
5. Conclusion
This paper is a digitalization lesson that can be learned for KWT Sri Rejeki who also has MSEs/MSMEs to build a strong and sustainable post-COVID-19 supply chain, especially the vulnerable population of KWT MSEs in developing countries. We believe that the digitization of KWT MSEs is very supportive; this is especially true for many agrarian-based developing countries such as Indonesia.
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