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Institutional Analysis on National Program for Community Empowerment of Independent Urban (PNPM-MP) for Poverty Reduction

Noor Munawar*

University of Diponegoro, Tembalang, Kota Semarang, Jawa Tengah, 50275, Indonesia

*Corresponding Author:
Munawar N
University of Diponegoro
Tembalang, Kota Semarang
Jawa Tengah, 50275, Indonesia
Tel: 08122938508
E-mail: [email protected]

Received Date: October 26, 2016; Accepted Date: February 16, 2017; Published Date: February 21, 2017

Citation: Munawar N (2017) Institutional Analysis on National Program for Community Empowerment of Independent Urban (PNPM-MP) for Poverty Reduction. Arts Social Sci J 8: 248. doi:10.4172/2151-6200.1000248

Copyright: © 2017 Munawar N. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.

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Abstract

Institutional is a process and community interaction that involves organizations as the executor to achieve common goals. The objective of PNPM-MP institutional in Semarang is to streamline the implementation of poverty reduction programs. One of the problems in this dissertation research is how institutional PNPM-MP in Semarang in reducing poverty. The purpose of this study is to describe and analyze PNPM-MP institutional in Semarang. The research approach used in this study is phenomenological qualitative. Methods of data collection are interviews, observation, FGD (focus group discussion) and documentation. Data analysis technique used an interactive model, which is an analytical technique that is an integral cycle between data collection, data reduction, data performance, and making conclusions. The main variable to assess PNPM-MP institutional is leadership, doctrine, programs, resources, and internal structure. The conclusion of the study, that is, PNPM-MP institutional at the village level and base (BKM/KSM) has not been effective in the horizontal and vertical ties and is still regarded as the program product and has not been institutionalized as poverty reduction as well.

Keywords

Institutional objectives; Agency for Community Self- Reliance (BKM); Poverty reduction; Institutional variables; Program product

Introduction

The objective of the National Program for Community Empowerment of Independent Urban (PNPM-MP) is to make the poor become self-sufficient economically, socially as well as other aspects of life, so that the program requires a comprehensive institution.

Institutions are generally directed to the organization, place or institution. Organization serves as a locus or place, while the definition of institutions include rules, ethics, code of ethics, attitudes and behavior of a person or an organization or a system.

Seeing the importance of the role of institutions, it would require an institutional approach to overcome poverty with emphasizing on how social resources can be further developed through changes in the distribution of property rights, jurisdictional boundaries and rules of representation to overcome poverty.

Referring to the document of National Strategy for Poverty Reduction (SNPK), policy for poverty reduction requires strong institutions both at the central and regional levels. Therefore it is needed institutions that have political authority and responsibility for the realization of strategy and policy for poverty reduction, that is, Coordinating Team for Regional Poverty Reduction (TKP-D).

The authority includes authority to coordinate policy formulation and implementation, budgeting, monitoring and evaluation, so that PNPM-MP institutional becomes very fundamental issues in effort to poverty reduction.

Strengthening the Coordinating Team for Regional Poverty Reduction (TKPK-D) in the PNPM-MP institutional directly related to activities for poverty reduction in the area. PNPM-MP institutional is essentially aimed at strengthening the rights of ownership and provides equal opportunity for all individuals to carry out activities, particularly in improving the capacity and participating in social, economic, and environmental activities.

The identification results show that PNPM-MP institutional in the social, economic and environmental aspects still faces some problems in its implementation, among others:

• Socio-economic dynamics and environmental communities generate variations and characteristics of different societies. On one side it produces fatalist (resigned to fate) people, on the other hand, it results warrior society in a society (high fighting spirit). These conditions seem ignored and not accommodated in planning of PNPM-MP institutional.

• Variations and characteristics of the different communities give implications to participation and work ethic of community in the field, in a particular society PNPM-MP institutional was considered successful because of the high public enthusiasm. In contrast to certain other public character PNPM-MP are deemed to provide dependency.

• Generalization in aid programs through PNPM-MP institutional for infrastructure, economic, and social development in any location that its issue need not be the same proportion becomes one reason for the problem in PNPM-MP institutional.

Based on the field identification and observation in the practices of PNPM-MP institutional there are some things that are still perceived as the distance between concept and operationalization, including:

• Practice activities of PNPM-MP institutional in developing BKM are limited only to strengthen horizontal ties, but weak in vertical ties.

• The formed BKM is limited to the purpose of the distribution of aid and simplify the control task for program managers, not for an increase in social capital society fundamentally, so that after the program it is potentially stagnant.

• Organizational structure of BKM that was built relatively uniform, whereas in each region have different values of local wisdom and community characteristics.

• Although BKM is already formed, but the development tends to be individualized and limited to the management and the figures with the principle of trickle-down effect, not social learning approaches.

• Development of BKM always uses structural lines and weak in cultural aspects development.

• Introduction of BKM is through more nonmaterial culture than material, or a change of materialistic.

• The formation of BKM strengthens less the existing local institution, thus affecting horizontal relationships that already exist.

• The development of PNPM-MP institutional is felt still more jargon than a real fact in the field.

• Institutional support (local) to empower less well developed, due to the structure of sectoral development.

This situation needs to be improved, because of the urgency of PNPM-MP institutional is expected to be a locus and a driving agent to facilitate, mediate, communicate as well as the main actor in encouraging participation to empower self-reliance and mutual cooperation in order to create prosperity and autonomy of the poor.

Problem formulation

Based on the description above, one of the problems in research for the dissertation by the author is "How does PNPM-MP institutional for poverty reduction in Semarang".

Purpose of the study

The purpose of this study is to describe and to analyze the implementation of PNPM-MP on reducing poverty in Semarang.

Review of Literature

Institutions are the rules in a group of community or organization that facilitates coordination among its members to assist them with the hope of every person or organization to achieve their desired common goals Ruttan, and Hayami [1] and Ostrom [2] defines institutions as the rules and guidelines as a guide used by the members to arrange a mutually binding relationship and dependent on each other. North [3] emphasizes the institutional as rules within a group that is heavily influenced by economic, social and political factors.

Principally, institutions differ from organizations, in which institutions are more viscous with rules and organizations are more focused on the structure. Based on the definitions above it can be said that institutions are rules that facilitate the institution or organization to coordinate and cooperate in achieving their desired common goals.

The regarded rules include formal and non-formal ones that are necessary and mutually agreed, therefore the rules should be clear, measurable and consistent. Organizations or institutions involved are expected to have credible human resources and have sufficient knowledge and understanding to the existing problems.

Organization essentially a wheel, a united unit of development activities and their environment-related that is often referred to as an institution, it means that if the construction system of the administrative framework can be viewed as a macro approach, so that the approach system in the development of the institution can be seen as a micro approach in order to study the activities development.

The definition of institution here refers to a combination of organizational goals and its relationship with the environment that is the result of interaction and adaptation, so that institution can mean an organization in which there are individual values and social environment. Therefore in development activities, the institution must also be linked with development goals.

Institution is defined as an organization that form, support and protect normative relationships and specific activity patterns and simultaneously forming the valued functions and services in an environment. Hence institutional development is defined as a whole planning, structure and new institution designer, or realignment the guideline of organizations, include: (a). Creating, supporting and strengthening the normative relationships and active patterns, (b). Formation of the functions and services that are valued by the society, (c). Facility creation that connects the new technologies with their social environment.

Institution or organization needs to be established as an integrated community learning centers and should have a clear and necessary organizational structure because organizational structure is a formal structure of the relationship between duties and powers that control how individuals collaborate and manage all available resources to achieve the goals of the organization.

According to Eastman [4] Development Institution can be formulated as a planning, structuring and guiding for new or rearranged organizations to realize changes in values, functions, physical technologies, and/or social, define, develop and protect normative relationships and new action patterns, and gain support and completeness in the environment.

Eston JW details the institutional variables as follows:

• Leadership refers to a group of people who are actively involved in the formulation of doctrine and program of the institution and directs operations and its relationship with the environment.

• Doctrine is formulated as a specification of value, goals, and operational methods underlying social action.

• Program refers to specific actions related to the execution of the functions and services that are the output of the institution.

• Resources are inputs in the form of financial, physical, human, technology, and information from the institution. The resources can be grouped into economic resources, information, status, powers, authority, legitimacy, and support.

• Internal structure is formulated as structures and processes are held to the running of the institution and for its maintenance.

While the linkage variables include:

• Links could be enabled, that is, with organizations and social groups that control the allocation of authority and resources.

• Functional links, that is, with the organizations that carry out the functions and services that are complementary in terms of production, which provides inputs and using the outputs of the institutions.

• Normative links, that is, with institutions including norms and values (positive or negative) that are relevant to the doctrines and programs of the institution.

• Spred links, that is, with the elements in society that cannot be clearly identified by their membership in formal organizations.

In developing institutional, strategic issues in planning are as follows:

• Which innovations are appropriate to meet the needs and circumstances in the environment?

• What type of organization should be a vehicle for reorganized existing organizations, or a new organization?

• What kind of leadership patterns is matched, centralized or pluralistic?

• What qualifications desired by the leadership and who are willing as the first position holder.

• Sources of which primary resources relying on inputs such as funds, personnel, information, authority, and at what price; anyone who might be taking the outputs of the organizations with acceptable terms.

There are various definitions of institutions with different principal emphasis on each definition. Some of the institutional definitions are as follows: (1) Understanding of institutional as regulator and controller instrument, (2) Understanding of institutional as a place within the administrative activities, (3) Understanding of institutional starting in understanding the principles of organization and implementation, (4) Understanding of institutional stressed as a process.

From the various institutional definitions it can be concluded that the institution is a process in the interaction of society that involves organization as its executor to achieve common goal. In research on institutional, there are at least five basic questions namely: (1) Who does what? (2) Who is accountable to whom? (3) Who is related to whom and in what way? (4) What communication channels are in the organization, how to use it, and for what purpose? (5) What information network in the organization?

In an institution there are two main components, namely the functional and operational components associated with the implementation of the policy Uphoff, Norman (1986), the basic concept can be seen in the following Table 1 [6].

Policy Determination Functional Component (Local Government)
Policy Executor Operational Component
(Implementing Agency)

Table 1: Basic concepts of institutional structure.

To make institution running and obeyed by its members, it is needed an intensive structure containing sanctions (punishments) and rewards so that people will stick to it. Pejovich in Uphoff [7] states that institution has three components, namely:

• Formal rules, including constitution, statute, law and all other government regulations. Formal rules establish a political system (the structure of government, individual rights), economic systems (ownership rights in conditions of scarcity of resources, contract), and security systems (justice, police)

• Rules of information, including experiences, traditional values , religion and all the factors that affect the form of the individual's subjective perception of the world in which they live; and

• Enforcement mechanisms, all of these institutions will not be effective if it is not accompanied by enforcement mechanisms.

Research Methods

Research approach

The approach used in this dissertation research is a phenomenological qualitative, because it has characteristics such as: having an actual setting, the researcher becomes a key instrument, the data are usually descriptive, emphasizing the processes, data analysis is inductive, and the meaning (interpretation) of each event is an essential concern.

Phenomenological, because according to the purpose of the study is to describe community social events to reveal the real events in the field and also can reveal the hidden values, and it is more sensitive to descriptive information and trying to maintain the integrity of the object under study [8-12].

Focus and locus research

The focus of the research on PNPM-MP Institutional in Semarang for poverty reduction is the Community Self-reliance Agency/Non- Governmental Organization (BKM/KSM). The locus is in 3 districts and 6 urban villages in Semarang that are selected purposively (intentionally).

Concepts and phenomena research

• Institutional of PNPM-MP is an organization (place) or institutions. Organization serves as a locus or place, while institutions include rules, ethics, code of ethics, attitudes and behavior.

• Research phenomena is all related with the research problem and can be asked, described and analyzed to answer the research problem, which can be broken down as follows:

Leadership refers to a group of people who directs the operation of institutional in relationship with the environment.

Doctrine refers as a specification of the values, goals, and operational methods underlying social action.

Program refers to actions related to the implementation of the function which is the output of the institution.

Resource is the input of economic resources, information, status, powers, authority, legitimacy, and support.

Internal structure is as the structure and process to operate the institution and its maintenance.

Data collection process

Asserts that in the context of qualitative research data collection, there are three activities, namely:

• The process of entering the study location (getting in), at this stage of entering into the location of the village where the BKM and KSM activate to do adaptation and activities process with informants based on ethical and sympathetic relationships so as to reduce the social distance between researcher and informant

• While in the study location (getting-along), at this stage the researcher tries to establish more personal relationships with the research subjects, search for needed information completely and attempt to capture the meaning of information and observations obtained.

• Phase of data collection (logging the data), at this stage the researcher uses four types of data collection techniques, namely:

Non-participatory observation is done to observe the activities of the BKM/KSM as agents of poverty reduction in the region. Besides, it was also observed the involvement of government agencies (PJOK, TKPP, TKPK-D) and consultant associated with PNPM-MP institutional in Semarang.

Interview to obtain information (empirical data) associated with the views and attitudes of the BKM/KSM on PNPM-MP institutional.

Focus Group Discussion (FGD) is conducted with informants to establish openness, trust, and understanding the perceptions, attitudes, and experience of the informant. It allows the researcher and informants discussed intensively very specific and constructive issues.

Documentation, used to collect a variety of information and data from the document, in the form of decrees, results of meetings and other documents relating to PNPM-MP institutional in Semarang.

Period of the study, the research was conducted for 4 months

Data analysis

Analysis was conducted to find patterns by tracing field notes, interviews and materials collected to increase the understanding of all things in presenting comprehensive analysis.

Analysis on PNPM-MP institutional in Semarang includes (leadership, doctrine, programs, resources, internal structure).

The analysis process is conducted continuously, concurrently with data collection. In the analysis of data referring to the phases as described by Miles and Huberman which consists of three phases: data reduction, data presentation or drawing conclusion or verification, as follows:

• Data reduction, at this stage the data obtained from the study location (field data) is written in the description or a complete and detailed report. Field reports will be reduced, summarized, selected basic things, focused on the important things and then looked for themes or patterns (through a process of editing, coding, and tables). Data reduction is performed continuously during the process of the research.

• Presentation of data aims to simplify to see the overall picture or certain parts of the study. In other words, it organized the data into such a form that the Table 1 seems more intact.

• Withdrawal of Conclusion/Verification, in a qualitative research the data withdrawal is conducted continuously throughout the research process. Since its inception into the field and during the data collection process the researcher seeks to analyze and find the meaning from the data collected by looking for the patterns, themes, equation relationship. Things that often arise as outlined in the tentative conclusion, but with the increase of data through continuous verification process, the final conclusion will be obtained which involve interpretation.

• Data analysis technique used an interactive model, which is an analytical technique that is an integral cycle between data collection, data reduction, data presentation and conclusions withdrawal

Results and Discussions

PNPM-MP institutional in reducing poverty in Semarang at the village level is the Community Self-reliance Agency (BKM) and the base level is the Community Self-reliance Groups (KSM). To carry out the activity, BKM and KSM are bound to the same institutional structure although located in a potential region, different characteristics and environments, so the pattern and strategy of BKM/KSM is widely various.

North [3] emphasizes that institutional as the rules of the game in a group that is heavily influenced by economic, social, and political factors, it means that BKM/KSM institutional are greatly affected by the condition, the region characteristics, so that a uniformed institutional structure will affect the effectiveness of the power. As a result, BKM/KSM institutional is still regarded as a necessity program and not yet institutionalized as the need for poverty reduction.

In the decision-making process of the BKM domain is dominated by the results of the BKM members. Determination of the direction of PNPM-MP institutional at the basis and villages level have considered the balance aspect of representation, the interests and needs of the community that has been identified in a participatory planning activities. Such as policy patterns are connected in stages from the lowest level up to the village level and communicated in formal or nonformal meeting.

Although the PNPM-MP institutional has always emphasized on collective collegial decision making, there are some BKM taking the BKM Coordinator in the position of the elders who make decisions independently and is responsible for the decision, although meetings of BKM members have formally done, but will not produce anything as long as not attended by the Coordinator of BKM.

Ruttan and Hayami [1] emphasized that the institutions are the rules of the community or organization that facilitates coordination among its members to help them achieve desired common goals. Institutional of BKM dominated by one person does not reflect elements of cooperation in achieving goals.

It is recognized that the mechanism that is built to manage PNPMMP institutional is a long process of poverty reduction activities ranging from P2KP to PNPM-MP is an institutional doctrine.

Therefore, a series of methods and actions taken is corrective measures are expected more and more repairing ideology and strengthening doctrine against activities of the use of BLM (Direct Aid Society) for the poor.

States that doctrine is formulated as specification values, objectives and operational methods of the underlying social action; it means that the activities of using BLM must be based on universal values of humanity.

Thus PNPM-MP institutional with the activities of the BKM/KSM at village and the base level has a direct impact on reducing poverty significantly and BLM fund is not only used for cosmetic and aesthetic like activities that have mentally equity.

Through a series of guidance and approach done by facilitator team to the BKM/KSM regarding the activities that can be used to utilize BLM refers to the efforts in reducing poverty, especially IPM (Human Development Index) target fulfillment including income (economics), a long life (health) and basic education for all (education).

Concrete policies to achieve the target of IPM-BKM identifies formulas associated with IPM targets in each area (RT/RW/Village) synergized with short-term target of each region dealing with “Tridaya” activities (Environmental, Social, Economic).

Every year BKM gets a budget in the form of BLM PNPM-MP to realize that the work program having been arranged with the community in the Medium Term Development for Poverty Reduction (PJM Pronangkis).

Basically intervention towards work program that has been prepared is to maximize Tridaya Program (Environmental/Social/ Economic), but the indications of derivatives can be very detailed example: Environment: improving the quality of roads with paving, building communal toilets (MCK), etc.; Social: mobile phone and computer technician training, provision of facilities for Posyandu (Integrated Service Post) and PAUD (early childhood education); Economy: revolving fund loans, revolving capital for KUBE (Co- Business Group).

Activities that lead to the achievement of the IPM target based on Tri-Daya need consolidation program led by BKM as a controller for determining activity priorities based on the urgency and emergency of activities for breaking down in the Annual Plan (1 year and 3 years) including in the “PJM Pronangkis” documents.

Human resources to oversee PNPM-MP institutional in the village area are from the caring local community. The basic criteria is "good people, honest, fair" willing and able to develop universal values of humanity. BKM generally meet the needs of human resources in terms of quantity.

Financial resource of BKM is got from the revolving loan and BOPBLM PNPM-MP, so it is vulnerable to a financial shortage because of a very limitation in number. In the control of daily activities, BKM Secretariat is incidentally available located in the village office complex as the BKM’s need in the move. Personnel in the secretariat of BKM take turns to communicate with the government and partners team or other interested parties. Equipment and fixtures has been minimally provided by the village government in the form of office space and limited furniture (tables and chairs).

Indeed, there is an impression in some BKM that PNPM-MP is a government program that is difficult and wordy, Other BKM realize that this program does not just move government aids to the poor mediated by BKM, but PNPM-MP is actually a shared learning process among community members to formulate poverty reduction activities based on empowerment.

The last target is that people feel to have the results of the activities carried out in their territory, due mainly built is human. Therefore PNPM-MP institutional put people as the main actors of the poverty reduction program that requires public participation at all levels.

In the internal structure of the institutional organization some BKM are very flexible depending on needs, but in strategic, long-term and far-reaching impact for the benefit of society matters are decided in a complete meeting between BKM/KSM members and the Village Government.

As a national program, PNPM-MP institutional requires institutions that serve to coordinate and integrate poverty reduction programs in the region (TKPK-D), but its existence is not understood by all the BKM/KSM at the village and base level.

BKM/KSM understands better with the existence of Work Unit (Satker) since this institution approved the disbursement of BLM in each village as verified by the Responsible Operating Activities (PJOK) at the district level.

Explains that in institutions there are two main components, namely the functional and operational components associated with the implementation of the policy. In this case, poverty reduction policy through PNPM-MP institutional demands functional component role (TKPK-D) in charge of the program in the area. But this role is not optimal yet.

Conclusion

Based on the overall results and discussions above, general conclusions can be drawn that PNPM-MP institutional at the village and base level (BKM/KSM) has not been effective in both horizontal and vertical ties. In the horizontal tie the existence of BKM/KSM institutional at the village and base level is still regarded as a program necessity and not yet institutionalized in poverty reduction.

In the vertical tie is still weak due to the presence of TKPK-D which is a functional component of the program is not understood by BKM/KSM dealing with the role and function in poverty reduction programs. This condition is reflected in:

• Leadership aspects, BKM/KSM is less effective because some BKM/KSM is dominated by certain people;

• Doctrine aspects, less understood completely, so the use of BLM is less on the target;

• Program aspects, there is an impression that the PNPM-MP program is hard and long, making it less effective;

• Human resources aspects, it is impressed that just meeting the quantity for a program, not yet touched on quality, meanwhile the financial resources were very limited because it only comes from a revolving loan services and BOP;

• Internal structure aspects, a uniformed institutional structure severely limits the motion of BKM/KSM.

Recommendations

• It needs to develop participative leadership patterns with the principle of consensus agreement.

• Need to develop the understanding of PNPM-MP doctrine through a variety related agencies activities (government and concerned groups);

• Need intensively socialization program, because the PNPM-MP program is not just the distribution of BLM, but the human is constructed through a process of learning in the program;

• Need instruments program that regulate education as a criteria of a program administrator;

• Need to develop a flexible institutional structure as needed; regarding the BKM/KSM is social institution not a government institution.

References

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