Transformation of Village Government Management Post-Efficiency Towards a Sustainable Governance Model
DOI:
https://doi.org/10.55885/jprsp.v6i1.750Keywords:
Village Governance, Government Efficiency, Sustainable Management, Organizational Transformation, Community ParticipationAbstract
This study aims to analyze the impact of budget efficiency policies on village governance and formulate a sustainable management model amidst fiscal constraints. A qualitative approach with a single case study design was used in Rumpa Village, Mapilli District, Polewali Mandar Regency. Data were collected through in-depth interviews with ten key informants, participant observation, and focus group discussions, then analyzed using thematic analysis and source triangulation techniques. The results show that budget efficiency policies require organizational transformation through the reduction of non-structural staff, cross-functional task allocation, and reprioritization of village programs to basic services and mandatory infrastructure. However, this policy also triggers adaptive and innovative management practices such as micro-data-based planning for neighborhood units (RT/RW), digitization of basic administration for service efficiency, the establishment of village alms as a local financing innovation, and the optimization of mutual cooperation (gotong royong) that can reduce development costs by up to 50%. Based on the findings, this study formulates a Sustainable Village Governance Model (EAP Model) that includes five main components: data-driven efficiency, institutional adaptation, multi-stakeholder participation, local financing innovation, and open accountability. This model integrates New Public Management theory and Putnam's social capital to support adaptive, innovative, participatory, and sustainable village governance. This study concludes that fiscal constraints are not an obstacle to village development if mitigated through innovative organizational transformation and optimal community participation, thus supporting the vision of an inclusive and independent Golden Indonesia 2045.
References
Adnan, R. S., Firdaus, F., & Hardjosoekarto, S. (2024). Transformation a Poor Village into a Prosperous Tourist Destination in Indonesia. International Journal of Sustainable Development & Planning, 19(1). https://doi.org/10.18280/ijsdp.190134
Agustine, M., Rejeki, D. S., Wahyuni, H. S., & Abinowi, E. (2024). Transformasi ekonomi desa melalui manajemen arsip digital: Implementasi di Desa Karyawangi Kabupaten Bandung Barat. Jurnal Informatika Ekonomi Bisnis, 829-835. https://doi.org/10.37034/infeb.v6i4.966
Alwi, M. (2023). Sistem Bisnis Bagi Hasil Penggarapan Sawah dalam Perspektif Islam (Studi Kasus di Desa Rumpa Kec. Mapilli Kab. Polewali Mandar). Jurnal e-bussiness Institut Teknologi dan Bisnis Muhammadiyah Polewali Mandar, 3(1), 53-58. https://doi.org/10.59903/ebussiness.v3i1.61
Annahar, N., Widianingsih, I., Muhtar, E. A., & Paskarina, C. (2023). The road to inclusive decentralized village governance in Indonesia. Sustainability, 15(11), 8616. https://doi.org/10.3390/su15118616
Auerbach, A. J., & Kotlikoff, L. J. (1987). Evaluating fiscal policy with a dynamic simulation model. The American Economic Review, 77(2), 49-55. https://doi.org/10.18280/ijsdp.190134
Ayala-Orozco, B., Rosell, J. A., Merçon, J., Bueno, I., Alatorre-Frenk, G., Langle-Flores, A., & Lobato, A. (2018). Challenges and strategies in place-based multi-stakeholder collaboration for sustainability: Learning from experiences in the Global South. Sustainability, 10(9), 3217. https://doi.org/10.3390/su10093217
Bhatt, P., & Altinay, L. (2013). How social capital is leveraged in social innovations under resource constraints?. Management Decision, 51(9), 1772-1792. https://doi.org/10.1108/MD-01-2013-0041
Chen, X., Cheng, X., Zhang, T., & Guo, H. (2025). How do information and communication technology platforms shape rural e‐governance: The case of Zhao‐lou Village on the WeCounty platform. Information Systems Journal, 35(2), 545-576. https://doi.org/10.1111/isj.12551
Dauri, D., Soerjatisnanta, H., & Triono, A. (2021). Multi-stakeholder Partnership Model for the Development of Social Capital-Based Tourism Villages in Realizing Village Independence. International Journal of Innovative Science and Research Technology, 5(11).
Djafar, F., Akibu, R. S., & Namdech, P. (2025). Strengthening local government organisation capacity for adaptive development policy responsive to community needs. Journal of Contemporary Governance and Public Policy, 6(2), 135-156. https://doi.org/10.46507/jcgpp.v6i2.715
Fang, H., & Xueyun, H. (2025). Core-Competence Educational Policies Versus the Practical Realities of Rural Area-Based Language Teachers: Pathways to Better Policy Implementation. SAGE Open, 15(3), 21582440251360144. https://doi.org/10.1177/21582440251360144
Gannon, B., & Roberts, J. (2020). Social capital: exploring the theory and empirical divide. Empirical Economics, 58(3), 899-919. https://doi.org/10.1007/s00181-018-1556-y
Gelderblom, D. (2018). The limits to bridging social capital: Power, social context and the theory of Robert Putnam. The Sociological Review, 66(6), 1309-1324. https://doi.org/10.1177/0038026118765360
Hasyim, H., & Bakri, M. (2025). Micro entrepreneur capacity building through financial management and marketing strategy training for MSME actors. Celebes Journal of Community Services, 4(1), 1-17.
Iivari, N. (2018). Using member checking in interpretive research practice: A hermeneutic analysis of informants’ interpretation of their organizational realities. Information Technology & People, 31(1), 111-133. https://doi.org/10.1108/ITP-07-2016-0168
Irnanta, H., & Putri, N. L. I. (2021). Strategy for the Implementation of the Village Financial System Application Effectively and Efficiently. Wiga: Jurnal Penelitian Ilmu Ekonomi, 11(1), 50-56. https://doi.org/10.30741/wiga.v11i1.653
Islam, M. Z. (2024). Can China’s rural revitalisation policies be an example for other countries aligning with sustainable development goals (SDGs)-1, 2 and 12?. China Agricultural Economic Review, 16(4), 763-786. https://doi.org/10.1108/CAER-10-2023-0301
Khaerah, N., Fatmawati, F., Hawing, H., & Hardi, R. (2025). Strategic co-creation and synergistic partnerships in digital budgeting reform: strengthening public governance for sustainable cities in Makassar, Indonesia. Frontiers in Sustainable Cities, 7, 1716088. https://doi.org/10.3389/frsc.2025.1716088
Mawansyah, J. (2024). Digital Transformation of Village Finance: Web-Based SISKEUDES Design for Enhancing Transparency and Accountability in Naru Village, Bima Regency. Journal of Intelligent Decision Support System (IDSS), 7(2), 188-196. https://doi.org/10.35335/idss.v7i2.229
Ménard, C., & Shirley, M. M. (2022). Advanced introduction to new institutional economics. In Advanced Introduction to New Institutional Economics. Edward Elgar Publishing.
Minarni, M., Slamet, S., & Munir, M. (2025). A qualitative case study on productive zakat and pentahelix-based empowerment: Insights from BAZNAS Malang Regency. Journal of Islamic Economics Lariba, 11(1). https://doi.org/10.20885/jielariba.vol11.iss1.art17
Moser, A., & Korstjens, I. (2018). Series: Practical guidance to qualitative research. Part 3: Sampling, data collection and analysis. European journal of general practice, 24(1), 9-18.
Mubarok, F. K., & Kurnia, A. S. (2025). Rural Innovations in Action: Implementing Sustainable Development Goals at the Village Level. International Journal of Islamic Finance and Sustainable Development, 17(2), 28-49. https://doi.org/10.55188/ijifsd.v17i2.942
Nuraini, H., Gunarto, G., & Satyawan, D. S. (2025). Leveraging Local Potential through Multi-Stakeholder Collaboration for Sustainable Tourism Village Development. Pakistan Journal of Life & Social Sciences, 23(1).
Palisuri, P., Karim, A., & Sunarya, W. A. (2024). Effectiveness of Village Fund Policy to Improve Economic Development and Rural Infrastructure in East Luwu Regency, Indonesia. Nanotechnology Perceptions, 20(3), 183-194.
Pan, M., Huang, Y., Qin, Y., Li, X., & Lang, W. (2022). Problems and strategies of allocating public service resources in rural areas in the context of county urbanization. International Journal of Environmental Research and Public Health, 19(21), 14596. https://doi.org/10.3390/ijerph192114596
Peng, Y., Peng, X., Li, X., Lu, M., & Yin, M. (2023). Effectiveness in rural governance: influencing factors and driving pathways—based on 20 typical cases of rural governance in China. Land, 12(7), 1452. https://doi.org/10.3390/land12071452
Permatasari, P., Ilman, A. S., Tilt, C. A., Lestari, D., Islam, S., Tenrini, R. H., ... & Wardhana, I. W. (2021). The village fund program in Indonesia: Measuring the effectiveness and alignment to sustainable development goals. Sustainability, 13(21), 12294. https://doi.org/10.3390/su132112294
Pranita, D., Musthofa, B. M., Kusumastuti, H., & Haidlir, B. M. (2025). Transforming vocational higher education on the path toward Golden Indonesia 2045. Vocation, Technology & Education, 2(1). https://doi.org/10.54844/vte.2024.0806
Ranney, M. L., Meisel, Z. F., Choo, E. K., Garro, A. C., Sasson, C., & Morrow Guthrie, K. (2015). Interview‐based qualitative research in emergency care part II: Data collection, analysis and results reporting. Academic Emergency Medicine, 22(9), 1103-1112. https://doi.org/10.1111/acem.12735
Rosani, M., Lestari, N. D., & Valianti, R. M. (2025). Transformation of Education to Welcome the Golden Generation Of Indonesia 2045. JMKSP (Jurnal Manajemen, Kepemimpinan, dan Supervisi Pendidikan), 10(1), 407-427. https://doi.org/10.31851/jmksp.v10i1.18895
Sabet, N. S., & Khaksar, S. (2024). The performance of local government, social capital and participation of villagers in sustainable rural development. The Social Science Journal, 61(1), 1-29. https://doi.org/10.1080/03623319.2020.1782649
Sandström, A. C., & Rova, C. V. (2009). The network structure of adaptive governance-A single case study of a fish management area. International journal of the commons, 4(1).
Satoto, S., Nuriyatman, E., Mushawirya, R., Mujib, M. M., & Haq, M. I. (2024). Revitalization of Village-Owned Enterprises to Strengthen the Community Economy in Indonesia: Between Policy and Prosperity. Jambe Law Journal, 7(2). https://doi.org/10.22437/home.v7i2.364
Setiorini, A. (2025). New Public Management and Leadership in Indonesia: A Case Study of Bojonegoro. Organization and Human Capital Development, 4(1). https://doi.org/10.31098/orcadev.v4i1.3146
Setyasih, E. T. (2022). Transformasi digital pemerintah daerah di era society 5.0: studi kasus di Provinsi Jawa Barat. PAPATUNG: Jurnal Ilmu Administrasi Publik, Pemerintahan Dan Politik, 5(3), 59-66.
Surachman, E. N. (2020). An analysis of village fund implementation in central java province: An institutional theory approach with a modeling institutional aspect. Indonesian Treasury Review: Jurnal Perbendaharaan, Keuangan Negara Dan Kebijakan Publik, 5(3), 203-215.
Utomo, W. I., & Tambunan, M. R. (2024). Pengaruh Desentralisasi Fiskal, Investasi dan Tingkat Partisipasi Angkatan Kerja (TPAK) Terhadap Pertumbuhan Ekonomi:(Studi Kasus di Prov. Jawa Tengah Periode 2017-2020). Owner: Riset dan Jurnal Akuntansi, 8(2), 1968-1984. https://doi.org/10.33395/owner.v8i2.2340
Valle, L., Costan, E., Costan, F., General, E., Alcantara, G., Kilat, R. V., ... & Avila, D. (2022). Community extension MSME's entrepreneurial activities in relation to poverty reduction. Frontiers in Sociology, 7, 1038006. https://doi.org/10.3389/fsoc.2022.1038006
Verbeeten, F. H., & Speklé, R. F. (2015). Management control, results-oriented culture and public sector performance: Empirical evidence on new public management. Organization studies, 36(7), 953-978. https://doi.org/10.1177/0170840615580014
Wadi, I., & Amin, M. (2025). Implementasi Desentralisasi Fiskal Desa Di Indonesia. Jurnal Pengabdian Bina Masyarakat, 1(1), 1-19.
Wahyudi, A., Sartika, D., Wismono, F. H., Ramdhani, L. E., Rosliana, L., Kusumaningrum, M., & Zakiyah, S. (2020). Investigating organizational and human resource capacity of village government: A case study in Kutai Kartanegara Regency. Policy & Governance Review, 4(2), 99-115. https://doi.org/10.30589/pgr.v4i2.267
Wakhid, A. A., Malik, A., Mukri, M., & Nuruddin, I. (2025). Effectiveness of Village Fund Fiscal Policy on Village Independence in Indonesia. RADEN INTAN: Proceedings on Family and Humanity, 2(2), 403-411. https://doi.org/10.47352/3032-503x.141
Wardiyanto, B., Setijaningrum, E., Samad, S., & Kandar, A. H. (2025). Mending the mismatch of minds and mandates: reimagining competency-centric public service delivery in Bojonegoro Regency, Indonesia. Cogent Business & Management, 12(1), 2442538. https://doi.org/10.1080/23311975.2024.2442538
Wescott, C. G., & Jones, L. R. (2007). Managing for results and performance in Asia: Assessing reform initiatives in the public sector. International Public Management Review, 8(1), 56-102.
Wibowo, E. A., & Oktivalerina, A. (2022). Analisis Dampak Kebijakan Desentralisasi Fiskal terhadap Penurunan Tingkat Kemiskinan pada Kabupaten/Kota: Studi Kasus Indonesia pada 2010-2018. Bappenas Working Papers, 5(1), 97-119.
Zhao, W., Wang, A., Chen, Y., & Liu, W. (2021). Investigating inclusive entrepreneurial ecosystem through the lens of bottom of the pyramid (BOP) theory: Case study of Taobao village in China. Chinese Management Studies, 15(3), 613-640. https://doi.org/10.1108/CMS-05-2020-0210
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Journal of Public Representative and Society Provision

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.












