Determinants of Performance of Village-Owned Enterprises in Improving Village Development Performance

Abstract

Purpose: The main objective of this paper is to analyze the factors that influence the performance of Village-owned Enterprises and village development performance in Lombok Utara Regency and Analyze the role of social capital polong renten in moderating the influence of manager competence on the performance of Village-owned Enterprisesin Lombok Utara Regency. Theoretical Framework: Explains the context of sustainable development as development that is oriented towards meeting human needs through the wise. Competency is the ability to carry or carry out a job or task that is based on skills and knowledge and is supported by the work attitude required by the job. Village-owned Enterprises is an institution established by the village government to improve the village economy. social capital is a resource inherent in social relationships. Individuals involved in social relationships can use these social resources for personal and group interests. Design/Methodology/Approach: The study is quantitative associative and this research was conducted in 43 villages in Lombok Utara Regency. With the number of samples used as many as 215 people in 43 Village-owned Enterprises. Data analysis used the SEM-PLS method. Findings: The results of the study found the role of the government, management competence, utilization of information and communication technology, and social capital of Polong Renten have a significant positive effect both in installment and indirectly on the performance of Village-owned Enterprisesand the performance of village development. Research, Practical & Social Implications: Polong renten's social capital significantly moderated the influence of the manager competency variable on the performance of Village-owned Enterprisesin Lombok Utara Regency. novelty in research obtained results and illustrated there is a factor of polong renten social capital, which has an influence and moderation of influence between variables that impact the performance of Village-owned Enterprisesand village development performance. Originality/Value: In addition, it further emphasizes the moderation effect of social capital in other forms, whether it can strengthen or weaken the influence relationship between variables estimated to affect the performance of Village-owned Enterprisesand village development performance.