Tulisan 1

Abstract ,Intrduction dan Theoritical Framework  and Hypothesis

REVIEW       :

ENVIRONMENTAL ANALYSIS AS A BASIS FOR DETERMINING STRATEGY

OF COOPERATIVE UNITS IN AMBON CITY

OLEH :

Rumra Suryanti Ismail

Universitas Kristen Indonesia (UKI) Maluku

E-mail: yantiismail22@yahoo.com

Ot Pattimaipauw SK Street 15 RT/RW 005/02, Ambon 97115, Indonesia

Berisi :

Abstract

Cooperation is either a grass-root economic movement or an entity having role in achievingprosperity society. Cooperation need to build itself and should be built to be self-reliantbased on its principles so that it will become national economic foundation. Therefore, cooperationis hoped to be a stable, democratic, autonomous, participative and social economicorganization. This research aimed at analyzing ability of internal factors (organization and institution, effort and business, service, member participation) or external factor (network) of KUD in measuring performance level as well as determining strategy alternatives which were appropriate with performance level of KUD. This research used Cooperative Capacity Analysis (CCA) with scoring technique and Basic Main Strategy Selection Matrix in choosing appropriate strategy for the KUD. Research showed that internal and external factor were able to determine the level of performance of KUD and grouped in two groups namely Good and Moderate. KUD classified as good was suggested to choose intensive strategy alternative by focusing on Concentrated Growth, Product Development and Market Development. While KUD classified as moderate was suggested to choose defensive strategy alternative by focusing on Goal Changing strategy.

Key words: Environmental Analysis, Performance Measurement.

Koperasi sebagai gerakan ekonomi akar rumput masyarakat dan juga sebuah entitas

berperan dalam meningkatkan kesejahteraan rakyat. Di samping itu, koperasi dibentuk agar

percaya pada dirinya sendiri berdasar pada prinsip-prinsipnya sehingga bisa menjadi pondasi ekonomi nasional. Oleh sebab itu, lembaga ini diharapkan bisa stabil, demokratis, mandiri, serta bisa berpartisipasi sebagai organisasi sosial ekonomi. Penelitian ini bertujuan

untuk menganalisis faktor kemampuan internal (organisasi atau lembaga, usaha atau bisnis,

jasa, serta partisipasi anggota) dan faktor eksternal yaitu kerjasama dari koperasi (KUD).

Metode yang dipakai adalah Cooperative Capacity Analysis (CCA) dengan teknik penilaian

dan strategi dasar matrix selection untuk memilih strategi yang sesuai bagi KUD. Temuannya menunjukkan bahwa faktor internal dapat menentukan tingkat kemampuan atau kinerja KUD dan dikelompokkan ke dalam dua grup yaitu Baik dan Sedang. KUD yang diklasifikasi Baik disarankan memilih strategi intensif dengan memfokuskan pada pertumbuhan, pengembangan produk, dan pengembangan pasar. Adapun KUD dalam kategori sedang diharapkan memilih strategi defensif dengan menfokuskan diri pada strategi mengubah tujuan.

Kata Kunci: Analisis Lingkungan, Pengukuran Kinerja.

INTRODUCTION

As it is publicly known that cooperative entities consist of persons or groups of people

with legal entity bases its activities on the principle of cooperation, that is a popular

economic movement based on the principle of kinship. Cooperative existence as a phenomenon has become the economic pillar.

For that reason, the role of cooperatives is

very important in developing the economic potential of the people and in realizing the

economic democracy that has the characteristics of community, kinship and openness.

In that case, the cooperative economic organizations are expected to be stable, democratic,

autonomous, participative, and having social character.

In order to increase national economic growth, a cooperative is expected to provide

positive contribution through its efforts to reduce unemployment and alleviate poverty.

Data from the Office of the State Ministry of Cooperatives and SMEs in 2007 showed that, nationally, the number of units of cooperatives as members is 27.04 million people

that can create jobs for 307 648 people. The number recorded in 33 provinces

(440 regencies) is 138 411 cooperatives (Sinaga et al, 2008). However, the data presented

above cannot be used as indicators of the success of cooperative efforts.

Quantitatively, the inactive cooperative institutions even reach the figure by 30%.

This suggests that the cooperative as an economic institution has a higher degree of

complexity. The complexity of this has affected the quality of cooperative growth, in

which, it is very limited and tend to be less reliable for overcoming the socio-economic

problems in the society. Cooperative activities as a business enterprise are not free from

various influences, both internal and external environment. As Braverman, et al, (1991)

concluded that the poor performance of cooperatives in many developing countries are

generally caused by a number of both external factors and internal factors of the cooperatives.

In 2007, statistics also showed that the cooperative increase in the number of

cooperatives in several provinces in Indonesia, however it was not always followed by

the development of quality. One of them is in the province of Maluku, as presented in

Table 1. Yet, with the Village-Unit Cooperatives (KUD), they are not fully able to fulfill what had been expected that a rural economic institution to encourage the low level economic

society welfare. This fact can be viewed through KUDs in the city of Ambon

as shown in Table 2. It is clear that Table 2 provides informa-

Table 1

Development of Cooperatives and Members in Maluku Province 2005 – 2006

No       Types of development                                    Year                            Changes

                                                            2005                2006                Number               %

 1         Cooperatives                           1.516               1.790               274                  18,07

 2         Active Cooperatives               1.212               1.326               114                  9,41

 3         Inactive Cooperatives             304                  464                  160                  52,63

4          Membership                            160.440           82.975             (77.465)           (48,28)

Source:Cooperative Statistics 2007.

Table 2

Development of KUD in Ambon City 2006 – 2008

No       Types of development                                    Year                            Changes in %

                                                            2006    2007    2008                2006/2007       2007/2008

1          Cooperatives                           13        15        16                    15,38               6,66    

2          Active Cooperatives               12        13        12                    8,33                 (7,69)  

3          Inactive Cooperative               1          2          4                      100                  100

Source:SME agency and Cooperative in ambon city

tion that the change is much smaller for the active cooperatives when compared with the

inactive cooperatives. On the other hand, there is positive change in the number of

cooperatives, but this does not mean there are positive changes in the overall quality of

cooperative business. General picture of the development of cooperatives and cooperatives

as it has been presented in Table 2 makes the researcher interested in analyzing

the growth performance of cooperatives (KUD).

However, for analyzing the growth performance

of cooperatives, the determination of the strategy also has an important role in

the development of business cooperatives. From observations of the development of

cooperatives, McKenna (2001) describes the most salient characteristics of a successful

cooperative. They are the application of a rational strategy and the appropriateness

with the cooperative business environment in order to keep operating. Therefore, in facing

the competition, all cooperatives are required to perform common strategies undertaken

by modern enterprises (Tambunan, 2008).

Based on the above description, the problem this study is formulated as follows:

(1) How does the ability of internal environmental factors (organizations and institutions,

enterprises and businesses, services, participation of members) and external environmental

factors (networks) assess the performance of the cooperatives in the city of Ambon, (2) How is the grouping of cooperatives in the city of Ambon in their performance, nand (3) What suitable strategies are implemented in the cooperatives in the city of Ambon to increase their performance. Tthese problems are aimed to analyze both the internal and external environmental factors referred as in assessing the performance of cooperatives in the city of Ambon. The KUDs are then categorized according to the level of performance and a suitable alternative strategy which is determined for implementation.

THEORETICAL FRAMEWORK AND

HYPOTHESIS

It is a fact that the ever-changing environment leads to changes in business environment as well. Changes in the business, for example, must be anticipated by selecting

the appropriate strategies and actions so that the companies can survive and even win the

competition (Yoshida, 2006). A process of environmental must be done for monitoring

the organization so that they can identify opportunities and challenges that affect the

company's ability to achieve its objectives (Dirgantoro Crown, 2004). There are two

main environmental factors that should be taken into consideration in the strategy.

They are changes in the external environment and internal environment in a company

(Hariadi, 2003).

 In addition, Glueck and Jauch (1999)stated that the Internal Environmental Analysis is the process by which the planner examines strategies of marketing and distribution companies, research and development, production and operation, resources and employees of the company. It is also used to determine the factors of financial and accounting to determine which company has the ability to make use of opportunities in the most effective so that they can deal with threats in the environment.

The company's external environment includes the factors outside the business that affect the company's activities (Fuad et al, 2001). In other words, the factors beyond the control of a company can influence the choice of direction and action, organizational structure and internal processes (Pearce and Robinson, 2007). In that case, an analysis of internal and external environment can be used to reveal the potential of the main strengths (core competence) which are derived from the capabilities and resources of the company (Haryadi, 2003). Potential strength of the company shows its performance levels. Tambunan (2008) stated that a cooperative as a business entity, in carrying out activities to achieve its goal, is influenced by both internal and external en

Figure 1

vironment at the regional, national, and international scales.

 Another factor is the success of cooperative. It is often measured by the level of performance. In this case, performance measurement system aims to help managers assess the achievement of a strategy by means of financial and non financial measures. Hurima and Hilgert said that the performance is a critical tool in a process to achieve organizational goals. Through performance, indicators can be measured based on the specific size and in the unity of time (Swasto, 1996). In addition, the performance of cooperatives is also a measurement used to assess the condition of cooperatives which is influenced by internal factors and external factors. These factors must be managed properly to achieve the optimal performance

of cooperatives.

The performance level can be used for determining suitable and appropriate strategies

for the company. Hariadi (2003) argued that the management strategy is a systematic

process designed by management to formulate a strategy, execute strategy, and evaluate

strategies so that they can provide the best value for all customers for realizing the vision

of the organization. So, the stronger the overall company performance, it is the smaller likely to need a radical change of strategy. When declining a performance, usually it is identified by being lack of proper selection strategy or weak implementation of the strategy or both (Hariadi, 2003). Thus, it can be seen that performance and strategy can not only be done through a single connection to the relationship between strategy and performance. Yet, it can be connected with the measures of performance against the strategy (Govindarajan and

Gupta, 1985; Abernethy and Guthrie, 1994; Ittner et al., (2003).

As argued and based on the previous studies, the researcher chose the cooperatives

in the city of Ambon. The study analyzed the ability both dealing with internal and external factors in assessing the performance of cooperatives. Thus, the framework is shown as in Figure 1.

As presented in Figure 1, the research with the factors is established suited to the

conditions faced by business and the environment and with the objective of the study.

Therefore, based on the theoretical framework above, the conceptual model framework

which is used in this study appears as shown in Figure 2.

It is clearly seen in Figure 2, that the researcher proposed the hypothesis that internal

environmental factors (organizations and institutions, businesses and business, service,

and participation of members) and the external environment (networks) are capable

of measuring the performance of cooperatives in the city of Ambon. This hypothesis

Figure 2

Research Framework

is only for the first formulation of research problems. The formulation of the second and

third issues, are not raised in the hypothesis. This is due to the condition that formulation

of the problem of the second and third studies is descriptive. This means that the formulation

of the problem of the second and third shows the problems that have automatically

been proven in the first issue.

Nama / NPM   : Sarina Nurcahaya/ 28211249

Kelas / Tahun  : 2EB09 / 2010-2011