Proceedings of the 2nd International Conference on Administrative Science (ICAS 2024)

Assessing BUMDES Institutionalization: A Pillar of the Local Economy in Southwest Papua

Authors
Tonce Way1, *
1Department of Administrative Science, Hasanuddin University, Makassar, Indonesia
*Corresponding author. Email: tonceway28@gmail.com
Corresponding Author
Tonce Way
Available Online 5 August 2025.
DOI
10.2991/978-94-6463-791-5_95How to use a DOI?
Keywords
Bumdes; Institutions; Economy
Abstract

This study focuses on the role of Village-Owned Enterprises (BUMDes) as a pillar of the local economy in Southwest Papua. Using a qualitative approach, this study uses the institutional framework proposed by Scott (2001), which includes the regulatory, normative, and cognitive pillars, to evaluate the extent to which BUMDes have been institutionalized and function as drivers of the village economy. The results show that the regulatory pillar is implemented through Village Regulations (Perdes) and Articles of Association/Bylaws (AD/ART), providing an important structure for BUMDes governance, although challenges in enforcing sanctions and compliance need to be overcome to ensure operational effectiveness. The normative pillar plays a role in shaping community identity and commitment, but has not been fully internalized in daily practice, indicating the need for increased training and support to achieve economic independence. The cognitive pillar, which includes shared values and beliefs, is also identified as a motivating factor in developing village potential, although there are still obstacles in terms of infrastructure and managerial capacity. Therefore, this study recommends increasing the capacity of managers through village norm-based training, intensive mentoring, and strengthening collaboration with local communities and stakeholders to maximize the contribution of BUMDes in supporting sustainable economy and the welfare of village communities in Southwest Papua.

Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 2nd International Conference on Administrative Science (ICAS 2024)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
5 August 2025
ISBN
978-94-6463-791-5
ISSN
2352-5398
DOI
10.2991/978-94-6463-791-5_95How to use a DOI?
Copyright
© 2025 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

TY  - CONF
AU  - Tonce Way
PY  - 2025
DA  - 2025/08/05
TI  - Assessing BUMDES Institutionalization: A Pillar of the Local Economy in Southwest Papua
BT  - Proceedings of the 2nd International Conference on Administrative Science (ICAS 2024)
PB  - Atlantis Press
SP  - 974
EP  - 981
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-94-6463-791-5_95
DO  - 10.2991/978-94-6463-791-5_95
ID  - Way2025
ER  -