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International Journal of Economics, Business and Accounting Research (IJEBAR)

Peer Reviewed – International Journal


Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

THE CONTRIBUTION OF GIS IN INCREASING THE RESILIENCE


OF BUMDES-BASED CREATIVE INDUSTRIES DURING THE COVID-
19 PANDEMIC

Nindyo Cahyo Kresnanto1, Rini Raharti2, Retno Lantarsih3, Raihan Iqbal Ramadhan4
Dinda Novita5
University of Janabadra
E-mail: nindyo_ck@janabadra.ac.id

Abstract: Village Owned Enterprises (BUMDES) is legal entities formed by and for
villages to manage enterprises and engage in various types of business for the
best possible welfare of the village community. According to evaluations,
most BUMDES were assumed to has declined in profit due to COVID-19
pandemic, and more than 45% of BUMDes having difficulties to survive. The
purpose of this research is to investigate the state of BUMDES during and
before the pandemic, this includes the issue of vulnerabilities for support
recovery, as well as strategies on recovery both for the short and medium
term.The research constructed on a literature review followed by initial
investigation. The results of the questionnaire-based survey reflected the state
of BUMDES and were presented in spatial distribution. The data analysis
revealed that the COVID-19 outbreak had no major impact on BUMDES
overall performance. Furthermore, finding based on BUMDES interview data,
more than 75% respondent indicating that the pandemic had no influence on
BUMDES performance. The findings also demonstrate that BUMDES could
be labelld as small firm with great resilience (tangguh) in the presence of
external conditions.

Keywords: BUMDES, COVID, GIS, resilience

1. Introduction
Village Owned Enterprises (BUMDES) are legal entities established by villages and with
villages to manage businesses, utilize assets, develop investment and productivity, provide
services, and provide other types of businesses for the most excellent welfare of the
community village. The existence of BUMDES has had a positive impact on village
communities and is recognized by various parties as being able to provide new business
opportunities and educators. BUMDES also contribute to the village's original income
opinion/PAD. Moreover, BUMDES also increases people's productivity and reduces
consumption levels, it becomes a village economic institution that can contribute to
improving the local and regional economy within the scope of the national economy and
there are many more benefits from BUMDES businesses.
However, currently, as a result of the COVID-19 pandemic, the performance of most
BUMDES has decreased, and more than 45% of BUM Des are experiencing business
difficulties. The pandemic has impacted internal management and the supply chain
supporting BUMDES. One of them is the tourism sector which has experienced a very

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1970


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

significant decline in performance. Of course, this cannot be ignored, a solution is needed to


overcome it, determine recovery methods, both in the short, medium and long term.
However, the food crops and plantations sub-sector was not significantly affected during the
Covid-19 pandemic, as evidenced by the relatively controlled inflation rate of food product
prices. In addition to looking at individual BUMDES performance, the spatial performance
also needs to be considered to be able to see development potential based on regional and
demographic structure around BUMDES. Regional analysis requires assistance in the form of
a Geographic Information System (GIS). This research aims to map the condition of
BUMDES during and before the pandemic and map opportunities for recovery support.

2. Literature Riview
2.1 BUMDES in the Village Economic Framework
2.1.1 BUMDES in Contribution to Village Progress
Village-Owned Enterprises, referred to as BUMDES, are legal entities established by
villages and with villages to manage the business, utilize assets, develop investment and
productivity, provide services, and provide other types of businesses for the most excellent
possible welfare of the village community. The main objectives of establishing BUMDES
are: (1) Improving the village economy; (2) Optimizing village assets so that they are
helpful for village welfare; (3) Increasing community businesses in managing village
economic potential; (4) Developing business cooperation plans between villages and third
parties; (5) Creating market opportunities and networks that support the general needs and
services of citizens; (6) Creating employment opportunities; (7) Improving people's
welfare through improving public services; growth, and equal distribution of the village
economy; and (8) Increasing village community income and original village income.

Figure 1 Development of the number of BUMDES and Joint BUMDES

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1971


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

60000 50199
50000 y = 10500x - 9035 45549
39149
40000 R² = 0,9635
30000
18446
20000 11945
10000 1002
0
2014 2015 2016 2017 2018 2019

Figure 2 Growth in the number of BUMDES per year

There are 11,425 BUMDES and 163 Joint BUMDES (Figure 1) whose names have
been verified by the Ministry of Villages, PDT and Transmigration. Some are still being
established, so more than 17% of villages in Indonesia have BUMDES (a ratio of 66,088
villages in Indonesia). With a growth of 2.57% per year (as depicted in Figure 2), 43% of
their business is running well and can benefit the village. Of the 43% of BUMDES that
have been operating, they generally provide benefits and increase the welfare of the village
community. However, not significantly and have received a positive response from the
community. The existence of BUMDES within the framework of village progress will
make a positive contribution in the form of as a source of village income, meeting
community needs, and developing an independent village.

2.1.2 Development of BUMDES During the COVID-19 Pandemic


All countries, including Indonesia, felt the economic impact of the COVID-19
pandemic. Economic conditions (GDP data) in the fourth quarter of 2020 for all countries
fell (Figure 3); the worst conditions experienced by Peru fell by -30.2%, and Indonesia fell
by -5.4%. This impact affects all business sectors, including the business sector in rural
areas including BUMDES. However, the agricultural sector is still experiencing a positive
trend in the second quarter during the Covid-19 pandemic. It has the opportunity to
become a mainstay sector to lift Indonesia's economy, which has fallen into a period of
economic recession due to the Covid-19 pandemic.

Figure 3 Economic decline in the fourth quarter of 2020

2.2 Public Value as a Measuring Tool for BUMDES Health


Many factors, of course, influence the success of BUMDES in overcoming crises. Four
dimensions need to be considered by BUMDES to develop correctly and be resilient in facing
various crises: legitimacy/support factors, operational capacity, governance, and
administration.

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1972


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

Figure 4 Public value for BUMDES resilience

This concept is called public value. Based on this view of governance and
administration, several things need attention are :
1. Governance: partnerships and responsibilities of each village company, responsible
ministries, umbrella organizations, and regional and local governments.
2. Administration: The entire administrative system, including planning policies and
regulations, budget management, and legal and institutional background.

Meanwhile, from the point of legitimacy/support and operational capacity, several things
must be considered are:
1. Legitimacy/support: Relations with higher authorities, institutional support, credibility
with community business actors and umbrella organizations, and support from partners
and civil society.
2. Operational capacity: organizational output, financial integrity, administrative efficiency
issues, innovation, and learning issues.

The assessment of the resilience of BUMDES with a public value approach is then
compiled in a matrix framework as shown in Figure 5.

Figure 5 BUMDES resilience assessment conceptual framework

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1973


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

3. Research Method
3.1 Research Location Characteristic
The BUMDES, the object of research, is the BUMDES engaged in agriculture in
Indonesia. The distribution of BUMDES based on the number and type of agricultural
businesses can be seen in Figure 6 and Figure 7.

Figure 6 Thematic Map of the Distribution of the Number of Agricultural BUMDES by District

Figure 7 Thematic Map of Agricultural BUMDES Locations by Type of Business

3.2 Research Flow


Research begins with an in-depth study of the material through literature reviews (GIS,
BUMDES, and supply chain) and an initial analysis of secondary data (BUMDES data,
distribution, and characteristics). From the literature review results, a questionnaire will be
designed to further explore the performance of BUMDES both before and during the
pandemic. The questionnaire results are then processed to photograph the condition of
BUMDES along with its spatial distribution. Finally, it will examine the spatial relationship
between the pandemic and the performance of BUMDES and provide recommendations for
resilience recovery. The research flow is described in the form of a flowchart, as shown in
Figure 8.

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1974


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

Figure 8 Flow chart of Research Implementation

3.2.1 Data Collection Method


a) Literature Data
Search Data Library based on the roadmap of research members. Library keywords
are Geographic Information System (GIS), BUMDES (village enterprise), supply
chain, and the COVID-19 pandemic. Some of the relevant literature is then reviewed
by the researcher. Libraries are collected from trusted sources, journals and
proceedings with good reputations. Secondary data from regulations and the results of
government studies also become input material in the analysis.
b) Secondary Data
Data Initial data on BUMDES characteristics will be traced from various sources such
as the website/portal of the Ministry of Villages, PDT and Transmigration
(https://bumdes.kemendesa.go.id/); Bumdes. Id (https://bumdes.id/id/), One Data
Indonesia (https://data.go.id/), and other related portals. The technique of obtaining
data utilizing data crawl. Other secondary data is spatial data in the form of
Indonesian Topographical Map data (RBI) as primary data for BUMDES mapping.
This data was obtained through the Indonesia Geoportal website
(https://tanahair.indonesia.go.id/portal-web), Indonesian village potential data (source
from the Central Bureau of Statistics), and several related spatial data provider sites
such as OpenStreetMap (https: //www.openstreetmap.org), google map, etcSecondary
data on the distribution level of COVID-19 cases per region is used for correlation
analysis with the resilience of BUMDES. This data comes from various sources by
way of data crawling [10] and data digitization.
c) Primary Data
Primary data was obtained from the data collection results with the questionnaire
method. The questionnaire design refers to the public value. Questions in the
questionnaire will concern the detailed characteristics of BUMDES, governance and

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1975


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

administration, legitimacy and support, and operational capacity. Primary data


collection will be carried out electronically by utilizing the Google form; the
questionnaire link will be distributed to all BUMDES, which are recorded on
bumdes.id.method of determining the number of samples Slovin with a minimum
margin of error of 5%.

3.2.2 BUMDES toughness analysis


In the activities to measure the resilience of BUMDES during a pandemic, an in-depth
interview method was used based on public value. Public value variables are used as
material in in-depth interviews with sample BUMDES. The resilience of BUMDES to a
pandemic is also measured by the correlating approach between the growth of the Gross
Regional Domestic Product (GRDP) in the BUMDES sector and COVID cases in the
BUMDES district, assuming that COVID cases correlate to the GRDP of the BUMDES
sector.

4. Results and Discussion


Data collected from primary data are interviews with BUMDES engaged in the agricultural
sector through online forms and in-depth interviews. In-depth interviews were conducted
with a sample of BUMDES Binangun Jati Unggul Jatirejo, a village-owned enterprise in the
Jatirejo Village Hall Complex, Lendah District, Kulon Progo Regency. Currently, BUMDES
Binangun Jati Unggul Jatirejo has two business units: the Financial Services Unit and the
Agricultural Trade and Production Unit. The types of activities of the Financial Services Unit
include Savings and Loans Services. In contrast, products produced by the Agricultural Trade
and Production Unit include the Production of Superior Teak Rice, sold through stalls/shops
and Tomira, planting of productive crops (ginger and bananas), selling parcel packages, and
other MSME products. The results of in-depth interviews can be summarized in Table 1.

Table 1 Results In-depth Interview


PARTNERSHIP BUMDES
JUSTIFICATION
PARTNERSHIP CRITERIA
YES NO DOUBTFUL
Partnership with Kemendesa 
Partnership with bumdes.id 
Suport from the provincial government 
Suport from the districts government 
Suport from the village government 
Digital platform ownership 

MANAGEMENT AND SUPPORT


JUSTIFICATION
MANAGEMENT AND SUPPORT CRITERIA
SA A N DA SD
Use of technology in financial management 
The existence of a BUMDES management planning policy 
Budget management properly 
Risk management 
Regular tax payments 
Get support from the government 
Get funding support from financial institutions 

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1976


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

Pemdes acceptance of the existence of BUMDES 


Village government creates a good environment for BUMDES ? 
Local community support 
Regularity in product development 
Improvement in the last 5 years 
Good Financial capabilities 
System administration with IT 
Reputation as an innovator 
BUMDES activity 
Employee carry out bisiness operations well 
The financial capability of BUMDES is good 

PRODUCT AND PANDEMIC RESISTANCE


JUSTIFICATION
CRITERIA PRODUCT AND PANDEMIC RESISTANCE
Easier Just The Same Harder
Acquisition of raw materials during a pandemic 
Productivity during a pandemic 
Marketing during a pandemic 

The results of the in-depth review also have similar results to the results of online filled
out by several BUMDES in the agricultural sector. The questionnaire results are mainly
related to the effect of the pandemic on the acquisition of raw materials and products, which
can be seen in Figure 9. BUMDES in the agricultural sector did not experience a significant
influence during the pandemic in terms of obtaining raw materials and their productivity.
This condition indicates that the agricultural sector (food crops) has relatively good resilience
during the pandemic.

25%

25%

75%
75%

not in particular more difficult not in particular Decrease

(a) (b)
Figure 1 BUMDES Questionnaire Results on Pandemic Resilience
(a) Difficulties in Obtaining Raw Materials (b) BUMDES Productivity

International Journal of Economic Research, Business and Accounting (IJEBAR) Page1977


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

The analytical approach used to determine whether a pandemic affects BUMDES


productivity is to analyze the effect of the number of pandemic cases on GRDP growth on the
type of BUMDES business. The data obtained for analysis is several 200 BUMDES with a
distribution of locations throughout Indonesia with various types of agricultural commodities.
Data amount of exposure to COVID-19 is crawled from the official website of each district
government location of BUMDES as a variable for the influence of COVID. GRDP data is
GRDP data for 2015 to 2021 from BPS for the regency government in the BUMDES
location. The initial analysis results can be seen in Figure 10, and a scatter plot between the
number of COVID-19 and GRDP growth over the last five years for the BUMDES business
type.
2
PDRB Growth (2018-2021)

1,5

0,5

0
0 5000 10000 15000 20000 25000 30000 35000 40000

-0,5
Number of COVID Case

Figure 2 Scatter Results Between the Number of COVID Cases Location of BUMDES and GRDP
Growth Based on Type of BUMDES Business

From the plotting results, the number of COVID cases has no correlation to GRDP
growth in the BUMDES business type. This fact is indicated by the R-value of only 0.075,
meaning that the number of cases exposed to COVID is also not correlated with GRDP. It is
close to zero.

5. Conclusion
The results showed that BUMDes engaged in the agricultural sector were not affected by the
COVID-19 pandemic. They were proven by the absence of a decrease in income, BUMDES
productivity or difficulties in supplying raw materials during the Covid-19 pandemic. It is
just that there are constraints in the distribution of processed products from BUMDES due to
social restrictions on a national scale, so product distribution is limited to small regional units
and not can reach distribution between Provinces. The results of the correlation between
COVID cases in the BUMDES district also did not significantly affect GRDP in the
BUMDES sector.

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International Journal of Economic Research, Business and Accounting (IJEBAR) Page1978


International Journal of Economics, Business and Accounting Research (IJEBAR)
Peer Reviewed – International Journal
Vol-6, Issue-4, 2022 (IJEBAR)
E-ISSN: 2614-1280 P-ISSN 2622-4771
https://jurnal.stie-aas.ac.id/index.php/IJEBAR

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International Journal of Economic Research, Business and Accounting (IJEBAR) Page1979

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