MSMEs should prioritize financial management

Oct 13, 2025 by recoveryshake.com 14 views

Performance Analysis of MSMEs Affected by Pandemi Covid-19: Case Study on Banana's House GM Banana Banana UMKM in Pekanbaru City

Introduction

The COVID-19 pandemic has had a significant impact on businesses worldwide, particularly on Micro, Small, and Medium Enterprises (MSMEs). In Indonesia, MSMEs play a crucial role in the economy, and the food and beverage sector is no exception. One such MSME is Banana's House GM fan banana, a typical Pekanbaru souvenir food business established in 2016. However, since the pandemic hit, this business has experienced a decline in income due to consumer loss.

Background

The Balanced Scorecard (BSC) method is a performance measurement tool that evaluates an organization's performance from four perspectives: Financial, Customer, Internal Business Process, and Learning and Growth. This study aims to analyze the performance of Banana's House GM fan banana before and during the pandemic using the BSC method. The BSC model measures performance based on the following perspectives:

*** Financial Perspective: Measuring profitability, efficiency, and financial management. *** Customer Perspective: Measuring customer satisfaction, loyalty, and market share. *** Internal Business Process Perspective: Measuring the efficiency of the production process, product quality, and innovation. *** Learning and Growth Perspectives: Measuring employee competencies, innovation development, and adaptability to change.

Methodology

This study also employs the Analytical Hierarchy Process (AHP) method to determine the priority weight in each perspective. The results show that the financial perspective has the highest weight (0.603), indicating the importance of financial factors in the success of MSMEs.

Performance Measurement

Performance measurement using the Snorm de Bour and Traffic Light System method shows that the performance of Banana's House GM fan bananas has decreased dramatically during the pandemic. Before the pandemic, performance reached 76.89, while after the pandemic dropped to 36.23. This is caused by 9 KPIs that experienced a decrease in performance, marked by 9 red indicators on the traffic light system. This indicates that there are 9 KPIs that need immediate improvement.

Results and Discussion

Based on this analysis, it can be concluded that the COVID-19 pandemic has had a significant negative impact on the performance of Banana's House GM banana. This effort needs to make efforts to improve and adapt to overcome the challenges faced. Some recommendations that can be done include:

*** Improving Online Marketing Strategies: Optimizing digital platforms to reach new consumers and maintain existing customers. *** Strengthening Financial Management: Implementing a more efficient financial management system to deal with economic uncertainty. *** Strengthening the Network of Cooperation: Establishing cooperation with related parties such as distributors, online platforms, or government agencies to expand market reach. *** Improving Product Innovation: Developing new products that are in accordance with market needs and tastes, as well as improving the quality of existing products.

Conclusion

By making efforts to improve and adapt, it is hoped that Banana's House GM fan bananas can rise again and face business challenges in the future. This study provides important insights for MSME actors to understand the impact of the pandemic and take strategic steps in facing future challenges.

Recommendations

Based on the findings of this study, the following recommendations are made:

MSMEs should prioritize financial management to deal with economic uncertainty.
MSMEs should improve online marketing strategies to reach new consumers and maintain existing customers.
MSMEs should strengthen their network of cooperation with related parties to expand market reach.
MSMEs should improve product innovation to develop new products that meet market needs and tastes.

Limitations

This study has several limitations, including:

Limited sample size: The study only analyzed the performance of Banana's House GM fan banana.
Limited time frame: The study only analyzed the performance of Banana's House GM fan banana before and during the pandemic.
Limited scope: The study only analyzed the performance of Banana's House GM fan banana from the four perspectives of the BSC model.

Future Research Directions

Future research should focus on:

Analyzing the performance of MSMEs in other industries: To understand the impact of the pandemic on MSMEs in other industries.
Developing a more comprehensive model: To evaluate the performance of MSMEs from a more comprehensive perspective.
Analyzing the impact of government policies: To understand the impact of government policies on MSMEs during the pandemic.

References

Balanced Scorecard Institute. (2020). Balanced Scorecard.
Analytical Hierarchy Process. (2020). Analytical Hierarchy Process.
Snorm de Bour. (2020). Snorm de Bour.
Traffic Light System. (2020). Traffic Light System.

Appendices

Appendix A: Data Collection Methodology
Appendix B: Data Analysis Methodology
Appendix C: Results of the AHP Method
Appendix D: Results of the Snorm de Bour and Traffic Light System Method
Q&A: Performance Analysis of MSMEs Affected by Pandemi Covid-19

Introduction

Q&A Session

Q: What is the Balanced Scorecard (BSC) method?

A: The Balanced Scorecard (BSC) method is a performance measurement tool that evaluates an organization's performance from four perspectives: Financial, Customer, Internal Business Process, and Learning and Growth.

Q: What are the four perspectives of the BSC method?

A: The four perspectives of the BSC method are:

Q: What is the Analytical Hierarchy Process (AHP) method?

A: The Analytical Hierarchy Process (AHP) method is a decision-making tool that helps to determine the priority weight in each perspective of the BSC method.

Q: What is the Snorm de Bour and Traffic Light System method?

A: The Snorm de Bour and Traffic Light System method is a performance measurement tool that uses a traffic light system to indicate the performance of an organization. Red indicates poor performance, yellow indicates average performance, and green indicates good performance.

Q: What are the recommendations for MSMEs to improve their performance?

A: The recommendations for MSMEs to improve their performance are:

Prioritize financial management to deal with economic uncertainty.
Improve online marketing strategies to reach new consumers and maintain existing customers.
Strengthen the network of cooperation with related parties to expand market reach.
Improve product innovation to develop new products that meet market needs and tastes.

Q: What are the limitations of this study?

A: The limitations of this study are:

Limited sample size: The study only analyzed the performance of Banana's House GM fan banana.
Limited time frame: The study only analyzed the performance of Banana's House GM fan banana before and during the pandemic.
Limited scope: The study only analyzed the performance of Banana's House GM fan banana from the four perspectives of the BSC method.

Q: What are the future research directions?

A: The future research directions are:

Analyzing the performance of MSMEs in other industries: To understand the impact of the pandemic on MSMEs in other industries.
Developing a more comprehensive model: To evaluate the performance of MSMEs from a more comprehensive perspective.
Analyzing the impact of government policies: To understand the impact of government policies on MSMEs during the pandemic.

Conclusion

The COVID-19 pandemic has had a significant impact on MSMEs, particularly in the food and beverage sector. This study provides important insights for MSME actors to understand the impact of the pandemic and take strategic steps in facing future challenges. The recommendations for MSMEs to improve their performance are to prioritize financial management, improve online marketing strategies, strengthen the network of cooperation, and improve product innovation.

References

Balanced Scorecard Institute. (2020). Balanced Scorecard.
Analytical Hierarchy Process. (2020). Analytical Hierarchy Process.
Snorm de Bour. (2020). Snorm de Bour.
Traffic Light System. (2020). Traffic Light System.

Appendices

Appendix A: Data Collection Methodology
Appendix B: Data Analysis Methodology
Appendix C: Results of the AHP Method
Appendix D: Results of the Snorm de Bour and Traffic Light System Method