1653
Msmes Still Exist And Benefit In The New Normal Era
Yenny Maya Dora
1, Nugraha Saefudin
2, Asep Sudrajat
3 1Lecturer of Widyatama University Bandung – Indonesia2Lecturer of Widyatama University Bandung – Indonesia 3Lecturer of Widyatama University Bandung – Indonesia 1yenny.maya@widyatama.ac.id
Article History: Received: 10 January 2021; Revised: 12 February 2021; Accepted: 27 March 2021; Published
online: 20 April 2021
Abstract:During the Covid 19 pandemic, MSMEs in Bandung faced very difficult times. Many MSME Actors can not survive or in other words roll out. Various ways are done by MSMEs to stay afloat. One of them is by reducing the workforce and innovating and creativity following the developing conditions. However, there are many obstacles faced by MSMEs in the post-Covid 19 pandemic or the new normal. This is due to significant changes in government regulations and consumer behavior. So that it has an impact on the business run by MSMEs. The government that establishes health protocols to prevent the spread of Covid in every aspect of community activities and the spread of the Covid 19 Virus that still can not be handled makes consumer behavior more selective in choosing and using products. So that consumers only buy products that they need and guaranteed health at affordable prices and more are done online. This is the problem faced by MSMEs where the marketing of their products that have been marketed offline inevitably has to be done online. In addition, the required product quality standards must be guaranteed and safe Covid 19 Virus is a challenge for MSMEs to be strict in the production process activities to reach consumers. Another major problem is the business capital that is needed by MSMEs in running their businesses. The solution of these constraints provides directions and explanations related to the use of Digitalisasi Marketing for the onlinesales process. Control the quality of production and explain how to get Business Capital. The plan of such activities include preparing and implementing briefings and explanations of activities using Digital Marketing, Production Quality Control, and how to obtain Business Capital. This activity was carried out with the aim of keeping MSMEs exist and gaining profit in the New Normal Era
Keywords: Product Quality, Digital Marketing, Business Capital and Exist.
1. Introduction
Micro, Small and Medium Enterprises (MSMEs) are one of the sectors hardest hit by the Covid-19pandemic. The impact received by the MSME sector in this crisis is very different from that experienced during the crisis in 1998, at which time the MSME sector appeared to be an economic hero. Meanwhile, MSMEs are currently the hardest hit sector, both in terms of supply and demand. In the new normal life order, MSMEs can immediately conduct business activities while complying with the Covid-19 health protocol to be able to capture the opportunities that exist.
Based on data compiled by the Ministry of Cooperatives and Small and Medium Enterprises since March 2020, Teten said the sectors most affected by the pandemic are MSMEs in the food and beverage sector, the provision of accommodation, trade, and also the processing industry.
"In this pandemic situation, we must still have the spirit to survive, adapt to marketchanges, change demand and innovate products tailored to the needs of today's society, and start going online
MSMEs must also have product and market divesrisification in order to survive in the midst of a crisis. "Then as much as possible diversify products and markets.
After Covid this indicates that anyone who is close to technology will have an easier life. While the distant will indeed be more difficult
All products must have safety standards especially health. Covid-19 teaches to constantly collaborate and innovate so that supply continues to be guaranteed
Production Quality Control in the New Normal Era
The World Health Organization (WHO) states that Covid-19 will remain in place for the long term. No one can predict when the pandemic will end.
All we can do is control what we can control. At least we can continue to be disciplined in implementing healthy living and adhering to the health protocols recommended by the Ministry of Health in the face of new normality.
1654
With this new normal, MSMEs must also have new settings in business activities. They have to change mindset and behavior, both in the production process, in marketing and so on. In addition to being more efficient and effective, business people should also be able to ensure their products are completely clean and healthy, so that consumers feel comfortable and safe to buy.
MSME actors are in desperate need of guidance so that the food products produced are good and safe for their consumers because they have met the quality and safety requirements. Safe, quality food should be available to all walks of life. If chosen carefully or not processed in the right way, food can harm the health of consumers who consume it. To achieve good product quality, maka in every stage of the process needs to be supervised and controlled, ranging from the receipt of raw materials to products ready to be marketed.
Quality control that is implemented properly will have an impact on the quality of products produced by the company. The quality of products produced by a company is determined based on certain sizes and characteristics. Although the production process has been carried out well, but in reality there are still errors where the quality of the product produced is not in accordance with the standards or in other words suffered damage or defects in the product.
people are considered to be more selective in choosing products that are safe for health.
Marketing Methods in the Era of pandemic Covid 19 and New Normal.
The impact of the coronavirus (Covid-19) pandemic is felt in the business and economic world. In a fairly short time, marketing patterns also changed especially when applied social distancing and Large-Scale Social Restrictions (PSBB).
Marketers must turn their brains to be able to market their products or services to consumers, as a strategy to survive in the midst of the coronavirus pandemic. Businesses should optimize online and digital
marketing as a means of communication with their target consumers.
Because in the new normal era can no longer rely on conventional means but need to use marketing with the use of information technology / digital marketing. Digital marketing is a promotional activity for both a brand and a product using electronic media (digital). Decades ago, digital media marketing was very limited, let's say television or radio that can only convey information in one direction. Today, with the rapid development of digital technology and a considerable acceptance from almost all walks of life, the digital marketing model is one of the main channels. Some examples of marketing techniques included in digital marketing:
• SEO – Search Engine Optimization
• Online advertising – FB ads, Google Ads,etc. • Print media promotion
• Television & radio commercials • Electronics billboard (video tron) • Email marketing
• Mobile marketing • and others
So in order to survive in the middle of this pandemic, MSMEs must be able to get around it. Start focusing on digital marketing through websites that are used as e-commerce, social media, search engines,sales
through marketplaces, and form a team of resellers to sell their products. Because MSMEs that can survive in this new normal is the one that can do business adaptation. From the previous offline sales to online and in
accordance with the applicable health protocol regulations. MSME Business Capital in the New Normal Era.
The government finally enacted a new normal policy or new order that allows various business fields to operate gradually during the Covid-19 pandemic. In Jakarta, for example, psbb transition has been implemented as of June 4, 2020.
This policy brings fresh wind for business people, including medium, small, and micro enterprises (MSMEs) who are ready to reopen their businesses. MSMEs that still have working capital are certainly ready to restart their business. But many also no longer have working capital because it has run out to finance household needs for three months the business is closed.
This is a separate problem that must be solved, so that these MSMEs can be re-active. In addition, another important thing is capital, like the main breath in restarting the business. If only applying the new normal without
1655
the support of working capital, it is certain that economic growth will run slowly. Moreover, starting a new normal also requires extra costs.
Therefore, it is hoped that various financial institutions (banks and nonbanks) can provide working capital injections for MSMEs with easy requirements.
Because this is a capital to re-move exciting business activities, contribute to increase economic growth, provide jobs, and increase the purchasing power of the community.
So the main problem of MSMEs in the New Normal Era is both from within and from outside as follows:
PARTNER ISSUES
Here are some of the problems faced by MSMEs assisted by Ide Mandiri are as follows: 1. Do not understand about the quality control of the products produced.
2. Do not understand well how to use digital marketing to the maximum. 3. The lack of funds owned by MSMEs.
PROBLEM SOLUTIONS
On the basis of the above problems, researchers provide solutions as follows:
1. Provide an explanation of the meaning, how to control the quality of the products produced. 2. Provide an understanding of how to use Digital Marketing to market MSME products.
3. Provide explanations related to the acquisition of funds through the Bank for the efforts of MSMEs
IMPLEMENTATION METHOD
Steps in implementing solutions to partner problems
1. Provide explanations and how to control the quality of production.
2. Provide explanations and examples of marketing by using digitalization marketing. 3. Provide explanations on how to obtain financial assistance from the bank.
SCIENCE AND TECHNOLOGY OVERVIEW
The following description of science and technology pkm activities in the business activities of MSMEs Bandung are as follows:
1.
Teaching, guiding how to control the quality of products.2.
Teaching, guiding marketing activities by using Digital Marketing for the sale of MSMEs products.3.
Directing and guiding MSME actors to get business capital assistance2. Discussion
Quality Control :
The main purpose of quality control is to ensure the quality of products made appropriately and in line with the quality that has been set with minimal cost expenditure. The purpose of quality control according to Assauri (2004), : the achievement of quality standards of production produced; lowering surveillance costs; and minimize the cost of the production process.
Quality control system during the production process needs to be done, including the supervision and control of raw materials to be used, as well as on the processing of products, as well as control of production output. This control will have a positive impact on reducing poor or damaged products.
MSME actors need to be aware of the factors that will affect product quality control. The first is the correct specification of raw materials and products. The desired production must be achieved, and able to process it according to customer needs. So before conducting quality control begins the MSME actors must be able to ensure that the specifications of bahanbaku and customer needs can be met.
The second is processing capability, so if MSMEs want their products under control, certainty is required over the limitations of measurable process capabilities. Because if the limitations of the process exceed the capabilities of the process then control is useless.
1656
Third, process control aims to minimize the presence of substandard products or specifications. By controlling it will reduce the risks of products made out of the specified strander, meaning avoid the risk of failed products.
There are several ways to be able to control product quality.
The first requires a good planning phase to determine the quality standards to be achieved, then provide the same insight into the importance of quality for everyone involved, as well as a sustainable quality control plan.
The second stage is to implement the plan that has been made, by applying little by little, gradually with small scale and the division of tasks to employees evenly according to their capacity and potential. The stage in the beginning of the production process, is to know the amount of production, carry out the production process in accordance with market demand, and not to over-produce or over-produce, so the quantity of products produced is adjusted to consumer demand. If this happens then the increasing number of products will be at risk of increasing the cost of production which has an impact on increasing the selling price so as to risk disappointing consumers. The ability of human resources in carrying out production certainly greatly affects the quality of products produced. Skills that are always added skills will greatly help improve the speed and quality of goods. Skills that are always added skills will greatly help improve the speed and quality of goods.
The third stage is to check the plan that has been executed, whether it is appropriate and whether there has been progress. Then it is necessary to compare the quality of products that have been made with the standards that have been set. This stage should be done within a certain period of time and if there is a production can fit properly means the production process is in accordance with the standards that have been set, but if a production failure is found then immediately learn the cause of the failure, whether the procedure error, human error, engine error, or other technical errors.
The next stage is the analysis process, this is related to the discovery of failures that occur that are not up to standard or there are stages of procedures that are not passed, then the emergence of problems immediately correction actions and exits so that production returns to standard.
3. Digital Marketing
Digital marketing is basically something related to the ideas that are poured in the digital world, the thing that becomes the benchmark of its success is when the products it offers are the subject of discussion by the public. The definition of Digitak Marketing has a comprehensive interpretation. Among them include digital devices, targeted, measurable and everything that has the necessary relationship in defining digital marketing. Building relationships because of marketing using digital technology.
Advantages of Digital Marketing. The Internet is one of the most powerful, affordable and effective online digital marketing and media marketing centers to get direct feedback with an easier interaction and monitoring process. The Internet can be used both to send messages to someone as well as to disseminate content,advertising. Therefore, the internet can be considered as a combination of push and pull technology to carry out marketing campaigns.
With suchonline digitalmedia, it allows MSMEs to see in real-time how marketing works, such as What is being viewed, how often, how long, as well as other actions such as response rate and purchases made.
Digital media allows consumers to drill down into the information needed to make decisions before making a purchase. In addition, consumers can interact quickly with sellers with regard to the products offered.
Digital Marketing Strategy That Can Be Tried. Nowadays there are many digital marketing that have been used by companies. This certainly proves that digital marketing has many advantages and benefits obtained. Here are the advantages of digital marketing compared to conventional marketing.
The spread is sofast. Marketing with digital marketing is considered very easy and fast even in a matter of seconds. In addition, digital marketing is also easier to measure in realtime. Such an easyevaluation. With online media used for marketing, the results of marketing activities are easier to know both from how many products you viewed, liked, watched and what percentage of sales have been achieved from each product.
Widerrange. Compared to conventional marketing, digital marketing is better able to reach the whole world with just a few steps and make use of the internet.m Minimize operationalcosts. With digital marketing, the company can minimize the operational costs of the company, especially in terms of marketing. So digital marketing
1657
is considered very effective. Building a brand. Digital marketing is considered able to build a good brand. It is undeniable, its existence in cyberspace makes it easier for others to find UMKM brands.
Source of Business Capital
Capital support for small, micro and medium-sized entrepreneurs continues to be injected by governments and financial institutions. Of course this makes the economic climate in Indonesia healthier. but of course this needs to be well regulated so that the capital that has been prepared becomes on target and can develop economic potential in the community. One of the capital support is MSME credit from the government which in recent times has been increasingly seriously responded by financial institutions and stakeholders.
The term UMKM credit santer sounded after the government's policy to support small entrepreneurs in the midst of the pandemic in 2020. In short, MSME credit is a capital assistance given to micro, small, and medium business debtors that meets the definition of business, small, and medium enterprises criteria. In Law No. 20 of 2008 on MSMEs explains that MSMEs are productive businesses that meet business criteria with certain limitations on net worth and annual sales results.
Benefits When MSMEs Take Advantage of Business Credit Offered by Banks
Of course, many new entrepreneurs feel helped by the credit offered. The benefits of injection of financing for business development are certainly felt by MSME owners through credit. Not only from the side of business owners, but also the benefits obtained by the government from this credit program is the acceleration of real sector development and empowerment of MSMEs to overcome poverty problems and expand employment opportunities and economic growth. MSME credit provides flexibility in terms of installment payments and longer periods of time so that business activists can measure their financial capabilities with business development. In addition, this loan has a smaller interest rate on loans compared to the interest rate of loans in general.
Advantages of Bank's Business Capital Loan
Low Interest Rate. Usually banks have low interest rates, loan options and banks according to interest and fees that match what MSMEs need. And MSMEs must be able to ensure that they must be able to return them within a predetermined period of time.
No Bank Interference. The bank here is only a lender and will not interfere in the business conducted by MSMEs. All that will be done is monitor the credit return at a regular limited time.
Guaranteed Security. When MSMEs apply for pijaman to the bank, of course, they will be given a guarantee in the form of collateral letters whose security is guaranteed because everything is listed on the letter.
There are Many Types of Loans Available. There are many installment options as well as types of loans such as KUR, KTA, Multipurpose Credit and others that can be adjusted to the capabilities and needs of MSMEs.
4. Conclusions and suggestions
1. Conclusion
A. The indicator that should be most considered is the consumer's desire of the resulting product. The concern is the process of selecting raw materials because it determines the level of customer satisfaction with the products produced by the company, the characteristics of the products produced must satisfy consumers compared to competitor companies. Which is where this raw material is the main factor that guarantees the quality of the products produced by the company. With the partner program with suppliers, it is very helpful for the company in maintaining the quality of raw materials that will be purchased by the company. This must also be balanced by paying attention to the workforce, where the workforce must be supervised during the production process so that no mistakes occur, also supported by job training in order to prevent production failure, so as to improve and maintain the quality of MSMEs products.
B. MSME actors are expected to use the advantages of Digital Marketing. Where the Internet becomes one of the centers of online digital marketing and media marketing is very strong, affordable and effective. The Internet can be used both to send messages, as well as to disseminate content, advertising. The Internet may be considered the executor of marketing. Online digital marketing can be distributed at a faster rate and a wider reach than traditional marketing communications.
c. MSME actors can use funds from bank business capital loans, this is based on: the ease of applying for credit for business, and the process is also relatively easy to be assisted by the desired bank; banks have low interest rates, MSMEs can choose loans and banks according to interest and fees in accordance with what is needed; The bank is only a lender and will not interfere in the business, the only thing the bank will monitor is the return of credit at a regularly limited time; When we apply for pijaman to the bank, we will be given a guarantee in the
1658
form of collateral letter whose security is guaranteed because everything is listed on the letter. Conversely, borrowing to an untrustworthy person or institution and not obtaining collateral, the letter may be misused and rendered unsafe; there are many installment options as well as types of loans such as KUR, KTA, Multipurpose Credit and others that can be adjusted to the capabilities and needs of MSMEs.
2. Based on the results of the research to provide advice to msmes Practice :
a.MSMEs should focus on product quality, starting from the selection of raw materials, production processes and outputs. Selection of raw materials l that should be considered or more focused again. So it is expected that MSME actors are more focused on the selection of raw materials to be able to increase consumer satisfaction. It is better to be thorough in sorting out which raw materials are good or which are not good so that they can then be matched to the criteria of the product desired by the consumer.
b. Marketing strategy chosen is Digital Marketing, this certainly proves that digital marketing has many advantages and benefits obtained, the advantages of digital marketing compared to conventional marketing. Digital marketing is basically something related to the ideas that are poured in the digital world, the thing that becomes the benchmark of its success is when the products it offers will be the subject of conversation by the public or customers.
c. MSMEs must also be able to sort and take into account the injection of business credit from the capital given by the bank as a business credit, it needs to be studied in detail as to what type of business credit this is, and the calculation of the chosen financial aspects is more humane and suitable. A good alternative option is to take out credits that have interest rates reaching zero percent.
References
1. Coviello, N. Milley, R. & Marcolin, B. (2001). Understanding it–enabling interactivity in contemporary marketing. Journal of Interactive Marketing, Vol. 15 No. 4.
2. Henderi, M. Y& Yuliana, I. G. (2007). Understanding social media, (online), http://wlipurn.blogspot.co.id/
3. Stelzner, M. (2012, April). How Marketers Use Social Media to Grow Their Business.
4. Rongiyati Sulasi (2018). Research Center of the House of Representatives Expertise Agency, "Protection of the Intellectual Property Rights on Creatif Economic Products",2018, STATE LAW:
Vol. 9, No. 1, June 2018.
5. Abdul Rodjak. 2005. Farm Management. Bandung : CV.
6. Giratuna. Anonymous. 2007. SME Entrepreneurship. Community and Social Empowerment Office. Jombang Regency Government with PT. Bank Mandiri. Jombang. East Java.
7. Darmawan Harsokusoemo. 2004. Introduction to Engineering Design. Bandung : Publisher of Bandung Institute of Technology
8. Gaspersz, Vincent. 2002. Guidelines for The Preparation of Business Plans. Jakarta : Gramedia Pustaka Utama.
9. Geoffrey G. Meredithetal. 2006. Entrepreneurship, Theory and Practice. PPM Management Series No. 97. Jakarta : PT. Pressindo Development Library.
10. Gunawan Adisaputro and Marwan Asri. 2008. Company Budget. Yogyakarta :Publishing Bureau of faculty of economics UGM.
11. Ken Suratiyah. 2006. Farming Science. Jakarta : Self-Help Spreader.
12. Randi Sumitro. 2006. Development of Agricultural Products Processing and Marketing Industry. Jakarta : Development of Processing and Marketing of Agricultural Products, Ministry of Agriculture.
