Micro-enterprises play a critical role in the Indonesian economy, in which they supply 99.8% of the country’s employment and account for more than 95% of all enterprises in Indonesia. However, these firms experience many impediments, including a lack of capital, skills, and technology, which creates poor competitiveness. Although the Indonesian government has implemented many policies to deal with these problems, none have been adequate in improving the capacity and productivity of micro, small, and medium enterprises (SMEs). The empowerment program “Iptekda LIPI—Penerapan dan Pemanfaatan Ilmu Pengetahuan dan Teknologi di Daerah Lembaga Ilmu Pengetahuan Indonesia (LIPI)—The Technology for Region Program of the Indonesian Institute of Sciences” proposed a new approach using a social enterprise to solve this issue. This paper analyses the social-enterprise approach of Iptekda LIPI which incorporates market and social welfare to determine the problems experienced by SMEs. The researchers conducted in-depth interviews with the owners of SMEs in West and East Java to explore how this approach may contribute to their businesses and to analyze the challenges of the social enterprise approach in empowering SMEs.

As the era of globalisation has progressed, the free-trade paradigm -in which the role of government in every aspect of economic development is minimised, replaced by the power of the free market -has inevitably spread across countries throughout the world. Despite the positive outcomes that can be obtained from the idea of free liberalisation in achieving economic growth and opportunities, this paper will propose that governments must continue to have a strong role in their countries' economies, particularly in developing countries such as Indonesia. This argument is justified on the basis of the threat that free trade poses to some informal sectors called micro and small and medium enterprises (MSMEs), which have commonly shown low levels of competitiveness in the global market. Thus their very survival heavily depends on government involvement. The Indonesian government has launched many policies to help SMEs become and remain more competitive; for example, the Technology for Regions Program (Iptekda), which combines state support and a market-based approach for MSMEs' empowerment.This paper conducts a case study of the Iptekda program for the empowerment of MSMEs in Malang Raya. The research will address two issues: why government intervention is still required for MSE capacity-building; and how the program may help MSMEs improve their capacity and competitiveness. To answer these questions, this paper will apply a qualitative approach that uses in-depth interview with the owners of five MSMEs. The results reveal that MSMEs benefit from the program in terms of improved productivity, marketing and insights into MSMEs as an economic sector. The research limitation is that it consists solely of qualitative findings; the findings need to be combined with quantitative data for more-reliable results. Replication of this study using larger samples and a broader geographic base is suggested for promoting programs to empower MSMEs in Indonesia. KeywordsRole of Government, MSE, Indonesia, Free Trade Era Cover Page FootnoteThe publication is part of dissertation research which title the Technology Diffusion Policy Implementation for Empowering Micro and Small Enterprises in West Java Sub District and Malang Raya East Java. Acknowledgement: The authors wish to thank Endang Sukara and Rochadi Abdulhadi from the Indonesian Institute of Sciences (LIPI) for their valuable input into this research. AbstractAs the era of globalisation has progressed, the free-trade paradigm -in which the role of government in every aspect of economic development is minimised, replaced by the power of the free markethas inevitably spread across countries throughout the world. Despite the positive outcomes that can be obtained from the idea of free liberalisation in achieving economic growth and opportunities, this paper will propose that governments must continue to have a strong role in their countries' economies, particularly in developing countries such as Indonesia. This argument is justified on the basis of the threat that free t...

The lack of a reliable piped water network in Jakarta causes the ongoing exploitation of groundwater. Thus, the government should provide inclusive clean water for all residents. This study aims to review the literature on the inclusive development approach on water services across urban contexts to provide recommendations for the local government. Since the inclusive development approach to water and sanitation is relatively new, the study employs a narrative review method to learn best practices from several cities across the globe. Studies showed that other cities faced a similar problem in providing piped water systems, leading to the reliance on groundwater sources. Some recommendations can be drawn from the study. First, the local government should increase water supply by piped water networks to low-income families in poor neighbourhoods. Second, subsidizing the poor should also be included in the system. Third, strict rules and regulations on groundwater use should also be applied to all to save water and the environment. Fourth, the collaboration between citizens and the government by encouraging community participation in decision making can empower citizens, especially women, to increase their knowledge on water use and their right to have clean water.

Penelitian ini bertujuan untuk menganalisis fungsi perencanaan sebagai satu siklus dalam fungsi manajemen di BUMDes di Kabupaten Cianjur. Dengan menggunakan pendekatan kuantitativ, penelitian ini menggunakan metode pengumpulan data berupa survei. Metode random sampling digunakan untuk memilih sampel. Hasil penelitian menunjukkan bahwa fungsi perencanaan sudah dilaksanakan oleh sebagian besar BUMDes yang ditandai dengan adanya dokumen rencana strategis, adanya visi dan misi organisasi, adanya formulasi strategi, dan penyusunan perencanaan anggaran. Adanya fungsi perencanaan yang telah dilaksanakan oleh sebagian BUMDes menunjukkan bahwa BUMDes telah memiliki modal awal dalam fungsi manajemen. Namun demikian, masih adanya BUMDes yang belum memiliki dokumen rencana menunjukkan hal ini menjadi salah satu faktor yang menyebabkan berbagai fungsi manajemen yang belum berjalan. Untuk itu, penelitian lanjutan tentang fungsi manajemen diperlukan serta perlu adanya langkah untuk menyelesaikan permasalahan tersebut melalui penyusunan tata cara penyusunan rencana kerja yang dapat melibatkan Pemeirntah Daerah atau BUMDes lainnya.

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