Published date:Feb 19 2025

Journal Title: KnE Social Sciences

Issue title: The International Conference on Economic and Sustainable Development (ICESIDE)

Pages:137 - 146

DOI: 10.18502/kss.v10i5.18107

Herry Yulistiyonoherry.yulistiyono@trunojoyo.ac.idDepartment of Economics, Faculty of Economics and Business, Trunojoyo Madura University

Nirma KurriwatiManagement Department, Faculty of Economics and Business, Trunojoyo Madura University

Cooperatives play a strategic role as the backbone of Indonesia’s economy, particularly in Sumenep Regency, but still face various challenges in developing and optimizing their role. This study aims to analyze the key factors influencing cooperative development programs and formulate policy priorities to strengthen the role of cooperatives in the community’s economy, especially for their members. The analytical hierarchy process (AHP) method is used to identify and determine priority weights for various factors and policy alternatives. The analysis results show that there are four main factors influencing cooperative development programs, namely cooperative institutions (weight 32.75%), cooperative business (24.81%), KSP/USP cooperatives (22.28%), and cooperative human resource skills (20.16%). policy priorities for each factor are also identified, with increasing institutional capacity and quality of cooperative services as the highest priority for the cooperative institutions factor, increasing the business capacity of cooperatives and their members for the cooperative business factor, improving the capacity of KSP/USP managers for the KSP/USP cooperatives factor, and enhancing the human resources of cooperative managers and members for the cooperative human resource skills factor. The implementation of targeted policies based on identified priorities is expected to encourage cooperatives to be more adaptive in facing global economic challenges and increase the competitiveness of cooperatives as the pillar of the national economy. This research provides an important contribution to the formulation of comprehensive cooperative empowerment, considering the complexity of challenges and specific needs of the cooperative sector in Sumenep Regency.

Keywords: cooperative, AHP, pillar of the economy

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