Volume 24 No. 1, April 2025
MANAGEMENT AND ACCOUNTING REVIEW, VOLUME 24 NO. 1, APRIL 2025
CRITICAL SUSTAINABILITY INSIGHTS IN INDONESIAN VILLAGE-OWNED ENTERPRISES
Satria Tri Nanda1,3, Razana Juhaida Johari2♣ and Zuraidah Mohd Sanusi1
1Accounting Research Institute, Universiti Teknologi MARA, Shah Alam Selangor, Malaysia
2Faculty of Accountancy, Universiti Teknologi MARA, Shah Alam, Selangor, Malaysia
3Fakultas Ekonomi dan Bisnis, Universitas Lancang Kuning, Pekanbaru, Indonesia
ABSTRACT
The unsustainable performance of Village-Owned Enterprises (VOEs) in Indonesia has emerged as a critical issue requiring immediate resolution. Many VOEs in Indonesia struggle to sustain their performance, necessitating an understanding of the underlying causes. This qualitative study utilized interviews with government officials at both ministry and village levels to identify root problems, along with a literature review to support deeper analysis. Based on these interviews and literature review, three main causes of unsustainable performance of VOE in Indonesia were identified: lack of leadership, lack of innovation, and lack of governance. This article addressed gaps in the sustainability literature for social organizations by adopting a comprehensive approach involving government, practitioners, and academics to examine barriers to the sustainability of VOEs in Indonesia.
Keywords: Sustainable Performance, Leadership, Innovation, Governance, Village Owned Enterprises
♣ Corresponding Author: Razana Juhaida Johari; Faculty of Accountancy, Universiti Teknologi Mara, Shah Alam, Selangor, Malaysia; Email: razana@uitm.edu.my; Tel: +60 19-980 9803
ARTICLE INFO
Article History:
Received: 11 January 2024
Accepted: 16 April 2024
Available online: 1 April 2025