Exploring the Role of Micro Enterprises Mentoring In Enhancing Business Legality and Digital Transformation

Abstract

In efforts to support the development of micro enterprises in Yogyakarta, Dinas Koperasi and UKM DIY has implemented various mentoring programs including data collection, collaboration, training, facilitation, and consultancy. This internship report aims to analyze the impact of this mentoring on business legality and digital transformation of Micro Enterprises. Using a qualitative descriptive approach, the study involved observation, interviews, and documentation from 10 micro enterprises across different regions of Yogyakarta. The findings indicate that the mentoring programs have successfully enhanced business legality, with 90% of micro enterprises obtaining Business Identification Numbers (NIB) and Home Industry Food Production Certificate (SPP-IRT). However, challenges persist in digital transformation, particularly among Generation X and baby boomers who have low digital literacy. Most micro enterprises only adopt one or two digital platforms, although some have effectively utilized social media and e-commerce. Recommendations include continuous training and intensive mentoring to enhance digital adoption. In conclusion, the Department's mentoring programs have significantly contributed to improving business legality and hold substantial potential to drive digital transformation among micro enterprises in Yogyakarta.