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Value Co-Creation Between Stakeholders For Tourism Evelopment In Solo, Using Conflict Analysis And Service Science Perspective

Value   Co-Creation   Between Stakeholders For Tourism Evelopment In Solo, Using Conflict Analysis And Service Science Perspective

Value Co-Creation Between Stakeholders For Tourism Evelopment In Solo, Using Conflict Analysis And Service Science Perspective

After the major crisis hits Indonesia in 1997, small and medium enterprises (SMEs) start to bloomed and play a significant actor on the Indonesia economy, aside from oil and gas export, that contribute on providing job opportunity and alleviating poverty (Mawardi, Choi, & Perera, 2011; Tambunan, 2000). The SME organization, especially manufacturing, in Indonesia adopt the clustering method (Tambunan, 2000; Marijan, 2005) to increase collective efficiency by the easiness of interactions between cluster components (Porter, 1990) i.e. cost reduction (Evans, 1985); and social capital (Mawardi, Choi, & Perera, 2011). The concept of clustering then adopted for other industries e.g food and agrobusiness (Burger, Kameo, & Sandee), furniture (Kamoyo et.al, 2014), and shoes (Fauzi & Tjokropandojo, 2014). Although the concept of clustering may bring some advantages, an industrial cluster would be very difficult to reorient industrially (Putro et.al, 2013) and to build a sustainable cluster industry (Mawardi, Choi, & Perera, 2011).

 

Figure 1. Research Methodology

 

 

An example of cluster industry based on geographically is Batik village in Surakarta (often called as Solo). Solo or formally called as Surakarta is under the Central Java Province of Indonesia. Solo is very popular with its Batik in form of hand drawn, stamped, and printed Batik. Since far years ago, two famous Batik Clusters Kauman and Laweyan signed the development of Batik in Solo. Since 2012, Solo’s government want to initiate Solo to be acknowledge as the Capital City of Batik. It is started from Solo as the festive city in 2013-2015, then theatre of community arts 2016-2019, pioneer of eco-arts in 2020-2022, and finally Solo as arte-polis in 2023-2025. Solo is pointed Batik as the primary commodity and demand generator for cultural development, and creative tourism industry. This effort is conducted under three pillars: cultural, creative industry, and tourism industry. Solo as the capital city of Batik itself is kind of branding for maintaining the interaction between Kauman and Laweyan under an umbrella of Solo’s Batik.The problem now, to actualize the proposal for Solo as the capital city of batik, needs the collaboration among all entities. However, Kauman and Laweyan are reluctant to be collaborated. Each of them is having certain different values and uniqueness that cannot be ignored. These uniqueness and values are still not well maintained and packaged, so Kauman and Laweyan conduct the single effort to attracting tourist visiting their place. The problem is occurred when the tourist feel enough only visiting one batik village only like Kauman, Laweyan, Danar Hadi, Batik Keris, and so forth. They do not want to visit all of the Batik Cluster.

 

Using stakeholder analysis position in Batik Solo Industrial Cluster based on Hermawan et. al (2014), formulate the option and preferences using Strategic Option and Development Analysis (SODA), and analyze the obstacle on coordination between each stakeholders using Confrontation Analysis (CA) and Graph Model of Conflict Resolution (GMCR), this research is try to answer several questions :
1. What are the stakeholders’ options and contesting interest between Kauman and
Laweyan Batik Village?
2. How to eliminate as many as possible dilemmas in pursuance of ideal business ecosystem?
3. How the possibility of collaboration among Kauman and Laweyan Batik Village to move from the status quo into more stable condition?

 

The methodology for this research is described through Figure 1.

 

Based on the qualitative approach, there are nine key actors involved in Batik Cluster Industry Ecosystems: Local Government, Tourism and Creative Economic Agency, Education and Cultural Agency, Development and Planning Agency, Kauman Batik Village, Laweyan Batik Village, Visitors (foreign and local tourists), University, Mori fabric supplier.

 

The important issues and contesting interest based on Laweyan Batik Villlage perspective, Kauman Batik Village perspective and Tourism Agency are captured through merged cognitive map (see Figure 2).

 

Figure 2. Merged Cognitive Mapping.

 

 

Based on the focus group discussion with all stakeholders, the possible option(s) for every key actors generated was confirmed. During the discussion session, each key actors explicitly and implicitly stated their interest or options regarding the re-branding strategy of Solo as Capital City of Batik. The summary of options and preferences for each stakeholders can be seen on Figure 3.

Figure 3. Option Board for every Stakeholder.

The possibility of successful re-branding of Solo as Capital City of Batik rely on basically two actors –Kauman Batik Village and Laweyan Batik Village– as main actors that able to provide values of the city. However, their conflict of interest (based on the Cognitive Map) inhibit the collaboration between them. The role of third party –Tourism Agency- then being add to the analysis to see the possible movement from status quo to the new state (state 1) where value co-creation is (see Table 1)

 

Table 1. Involvement of Third Party, Tourism Agency.

 

The possibility of successful re-branding of Solo as Capital City of Batik rely on basically two actors –Kauman Batik Village and Laweyan Batik Village– as main actors that able to provide values of the city. However, their conflict of interest (based on the Cognitive Map) inhibit the collaboration between them. The role of third party –Tourism Agency- then being add to the analysis to see the possible movement from status quo to the new state (state 1) where value co-creation is (see Table 1)

 

LIST OF RESEARCH OUTPUT

1. Hermawan, P., Nuraeni, S., Yoshanti, G. (2015). Maintaining Collaboration between Batik Industrial Cluster for Solo as the Capital City of Batik. The 7th Indonesia International Conference on Innovation Entrepreneurship, and Small Business (IICIES 2015)
2. Nuraeni, S., Hermawan, P.,Hasyim, I., Mayangsari, L. (2015). Stakeholder Analysis of Batik Solo Industrial Cluster. The 7th Indonesia International Conference on Innovation, Entrepreneurship, and Small Business (IICIES 2015)
3. Mayangsari, L., Novani, S., Hermawan, P. (2015). Understanding a viable value co-cration model for a sustainable entrepreneurial system: a case study of Batik Solo industrial cluster. Int. J. Entrepreneurship and Small Business, Vol. 26, No.4, 2015
4. Hermawan, P., Nuraeni, S., Mayangsari, L. Promoting Collaboration among Stakeholders in Batik Solo Industrial Cluster

 

HEAD OF RESEARCH TEAM : Dr. Eng. Pri Hermawan, ST., MT.

TEAM MEMBERS : Prof. Dr. Utomo S. Putro, Santi Novani, Ph.D, Dr. Eng. Manahan Siallagan, Shimaditya Nuraeni, MSM, Ghita Yoshanti, Irsanti Hasyim

OFFICIAL ADDRESS : School of Business and Management Jl. Ganesha No. 10, Bandung 40132
EMAIL : prihermawan@sbm-itb.ac.id

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