Empowering Local Communities: Promoting Financial Management in Village-Owned Enterprises (BUM Desa) for Sustainable Tourism Development

Local communities have increasingly become players that have significant roles in the tourism sector, utilizing their unique cultural and natural resources to attract visitors and stimulate local economic growth. Village-Owned Enterprises (BUM Desa) play a crucial role in driving sustainable tourism development by allowing local communities to actively participate in managing and benefiting from tourism activities. However, effective financial management within these enterprises remains a critical aspect that requires attention and improvement. This journal manuscript presents the outcomes of a community service activity conducted to address the financial management challenges faced by Village-Owned Enterprises in the tourism sector. The community service activities involved a series of workshop sessions aimed at providing practical guidance and insights to BUM Desa representatives. These sessions were supplemented by the publication of a book titled "Financial Management of Village-Owned Enterprises in the Sector of Tourism" and an article in the mass media platform Kumparan about the workshop activities. Through these efforts, local communities were equipped with the necessary tools and knowledge to make informed financial decisions, optimize revenue generation, and mitigate financial risks. By improving financial literacy, we can unlock the full potential of local tourism, leading to sustainable economic growth, social empowerment, and enhanced community well-being.


INTRODUCTION
In recent years, local communities have emerged as significant players in the tourism sector, expose their unique cultural and natural resources to attract visitors and stimulate local economic growth. Village-Owned Enterprises (BUM Desa) have become instrumental in driving sustainable tourism development, as they enable local communities to actively participate in managing and benefiting from tourism activities (Br Siahaan et al., 2022;Suamperi, 2022;Wahid et al., 2020). However, effective financial management within these enterprises remains a critical aspect that requires attention and improvement.
This journal manuscript aims to present the outcomes of a community service activity conducted to address the financial management challenges faced by Village-Owned Enterprises in the sector of tourism. The primary objective of this initiative was to empower local communities by enhancing their knowledge and skills in managing the financial aspects of their enterprises, also ensuring their long-term sustainability and contributing to the overall development of the tourism sector.
The manuscript explores the key principles and best practices of financial management that are relevant to Village-Owned Enterprises in the context of tourism. It discusses the significance of transparency, accountability, internal control systems, risk management, and the sustainable utilization of village funds. Additionally, the manuscript highlights the development of a comprehensive financial planning framework and the importance of effective financial reporting and transparency to build trust and attract potential investors. This is in accordance with the purpose of community service activities, namely to be able to empower the community so that it will be better in the future (Hakiki, 2023a;Hakiki et al., 2023;Yudianto et al., 2023).
The community service activities involved a series of workshop sessions aimed at providing practical guidance and insights to BUM Desa representatives, along with the publication of a book titled "Financial Management of Village-Owned Enterprises in the Sector of Tourism" (Hakiki, 2023b), also with the publication of news article in Kumparan about the workshop activities (Hakiki, 2023c). Through these efforts, we would like to equip local communities with the necessary tools and knowledge to make informed financial decisions, optimize their revenue generation, and mitigate financial risks.
By documenting and sharing the outcomes of this community service initiative through this journal manuscript, we hope to contribute to the existing body of knowledge on community-driven tourism development and financial management. Furthermore, we aim to inspire other researchers, practitioners, and policymakers to recognize the significance of financial management in ensuring the sustainability and success of Village-Owned Enterprises in the tourism sector (Hyshchuk, 2021;Latif et al., 2023;Rukmiyati et al., 2023;Suidarma et al., 2021).
Overall, this manuscript provides insights into the challenges faced by local communities in managing the finances of their tourism-related enterprises and offers recommendations and best practices for achieving effective financial management. It is our belief that by improving financial literacy and practices within Village-Owned Enterprises, we can unlock the full potential of local tourism, leading to sustainable economic growth, social empowerment, and enhanced community well-being.

Village-Owned Enterprises (BUM Desa)
Definition of Village-Owned Enterprises according to Permendesa Number 3 of 2021: "Village-Owned Enterprises, hereinafter referred to as BUM Desa are legal entities established by villages and/or together with villages to manage businesses, utilize assets, develop investment and productivity, provide services, and/or provide other types of businesses for the maximum welfare of the village community" (Iskandar, 2021).
Definition of BUM Desa Business Units according to Permendesa Number 3 of 2021: "BUM Desa Business is an activity in the economic and/or public service sector that is managed independently by BUM Desa. BUM Desa Business Unit is a business entity owned by BUM Desa that carries out economic activities and/or legal entity public services that carry out the functions and objectives of the BUM Desa" (Iskandar, 2021).

Financial Management
Financial management is the processes, strategies, and activities involved in managing the financial resources of an organization or enterprise. It involves planning, organizing, controlling, and monitoring financial activities to ensure efficient allocation of resources, effective decision-making, and achievement of financial objectives (Taylor, 2013).

Sustainable Tourism
Sustainable tourism is an approach to tourism development that takes into account the environmental, social, and economic aspects of a destination. It aims to minimize negative impacts on the environment, preserve cultural heritage, support local communities, and generate long-term economic benefits (León-Gómez et al., 2021).

Transparency
Transparency in financial management refers to the clear and open disclosure of financial information, processes, and decision-making. It involves providing accurate and comprehensive financial reports and ensuring that stakeholders have access to relevant financial information, fostering trust, accountability, and effective governance (Marota et al., 2021;Suryanto, 2019).

RESEARCH DESIGN
Here's the methods/ activity sequences of the community service activities: Workshop Activity: • Description the objectives, participants, and duration of the workshop. The purpose of this counseling workshop is to learn together about how to manage the finances of BUM Desa, especially in managing Sumber Bagindowati tourism destination in Karangrejo Village, Ngasem District, Kediri Regency. The participants were PKK members and several village officials totaling 40 people. The duration of the workshop is 5 hours (1 day).
• Explanations of the topics covered during the workshop sessions and the teaching methods employed. The workshop activities, the material is divided into three parts, namely understanding of financial management and the importance of financial management; Understanding and technical practice of financial management through financial planning, implementation of financial management (accounting, reporting, financial analysis, reporting with balance sheets, cash management, investment), supervision and control, and evaluation of financial management.
• Discussions of the interactive activities, discussions, and knowledge sharing that took place during the workshop. At the beginning, the speaker distributed questionnaires to the participants to find out how far the initial knowledge was from the participants. At the end of the presentation, there is a quiz session, where participants who can answer the questions correctly will be rewarded. Participants were very enthusiastic in this session. Then, there was also a Q&A session for participants to fulfill their curiosity about financial management. After the session ended, the speaker again distributed a questionnaire with the same questions, so that the speaker and participants could compare the progress / increase in knowledge between before and after the workshop session.
• Highlight any challenges encountered and how they were addressed.
• Emphasize the importance of the workshop in providing guidance and knowledge to the participants for their community service activities.
Book Writing: • Explanations about the motivation behind writing the book and the specific focus on the financial management of Village-Owned Enterprises in the tourism sector.
• Outline off the research process undertaken, including data collection, analysis, and literature review.
• Highlight of the significance of the book in addressing the need for guidance and practical information on financial management in Village-Owned Enterprises.

Publication in Mass Media:
• Descriptions about the efforts made to publish the workshop events and reach a wider audience.
• Discussions about the selection of appropriate mass media channels, such as newspapers, magazines, popular online platforms, or social media.
• Highlight about the reach and impact of thearticle publications through mass media, including any feedback or responses received.
• Discussions about the broader implications of the article publication in terms of raising awareness, influencing policy or practice, and promoting sustainable tourism development.

Objectives, Participants, and Duration
The workshop mentioned in the activity aims to provide training and knowledge on the financial management of Village-Owned Enterprises (BUM Desa) in the tourism sector. Here's a breakdown of the objectives, participants, and duration of the workshop: Objectives: The objectives of the workshop are as follows: 1. To enhance the understanding of participants about the importance of financial management in Village-Owned Enterprises operating in the tourism sector.
2. To provide participants with practical skills and knowledge on financial planning, budgeting, accounting, and financial reporting specifically tailored for the tourism industry.
3. To empower participants with strategies for effective financial decision-making and investment planning in the context of Village-Owned Enterprises in the tourism sector.
4. To create awareness among participants about the significance of transparency, accountability, and sustainability in the financial management of Village-Owned Enterprises in the tourism sector.
5. To foster networking and collaboration among participants, enabling them to share experiences, challenges, and best practices related to financial management in the tourism industry.
Participants: The workshop is designed for individuals involved in Village-Owned Enterprises in the tourism sector, including: 1. BUM Desa team responsible for financial management.

Village officials and representatives involved in the development and promotion of tourism
activities.
3. Local entrepreneurs and community members engaged in tourism-related businesses.
Duration: The duration of the workshop is 5 hours (1 day). This duration allows sufficient time for interactive sessions, presentations, case studies, group discussions, and practical exercises.
Throughout the workshop, participants engage in interactive learning activities that combine theoretical knowledge with practical applications. The duration provides opportunity for participants to grasp the concepts, apply them to real-life scenarios, and engage in discussions with peers and facilitators. Additionally, the workshop may include follow-up sessions or post-workshop support to address any further questions, provide guidance, and assess the progress of participants in implementing the financial management practices discussed during the workshop.

Workshop's Topics
During the workshop sessions, various topics related to the financial management of Village-Owned Enterprises (BUM Desa) in the tourism sector are covered. The workshop aims to provide comprehensive knowledge and practical skills to the participants. Here are some of the topics that may be included: 1. Introduction to Financial Management in BUM Desa: • Overview of BUM Desa and their role in the tourism sector.
• Importance of financial management for sustainable operations and growth.

Financial Planning and Budgeting:
• Understanding the components of a financial plan.
• Techniques for budgeting and forecasting revenues and expenses.
• Creating a realistic and achievable financial budget for tourism activities.

Accounting and Financial Reporting:
• Basics of accounting principles and practices.
• Recording financial transactions and maintaining financial records.
• Preparation and interpretation of financial statements for BUM Desa.

Financial Analysis and Decision-Making:
• Techniques for evaluating financial performance and profitability.
• Assessing investment opportunities in the tourism sector.
• Financial decision-making processes and strategies.

Internal Controls and Risk Management:
• Importance of internal controls in financial management.
• Identifying and mitigating financial risks.
• Implementing effective control measures to safeguard assets and prevent fraud.
• Meeting legal and regulatory requirements.
• Establishing accountability mechanisms for financial management.

Funding and Financing Strategies:
• Exploring different funding sources for BUM Desa in the tourism sector.
• Developing sustainable financing strategies.
• Engaging with stakeholders and attracting investment for tourism development.

Teaching Methods
Teaching methods employed during the workshop may include a combination of the following: 1. Lectures and Presentations: Facilitators deliver informative sessions on each topic, providing theoretical knowledge, concepts, and practical examples.
2. Case Studies: Participants analyze real-life case studies related to financial management in the tourism sector, applying their knowledge to solve challenges and make informed decisions.
3. Group Discussions and Workshops: Participants engage in group discussions, sharing experiences, perspectives, and best practices. They collaborate on solving problems and exploring financial management strategies.
4. Practical Exercises: Participants undertake hands-on exercises, such as budgeting simulations, financial statement analysis, and financial decision-making scenarios, to reinforce their learning and enhance practical skills.
5. Interactive Activities: Facilitators may incorporate interactive activities like quizzes, to encourage active participation, critical thinking, and engagement among participants.
6. Q&A Sessions: Participants have opportunities to ask questions, seek clarification, and engage in discussions with facilitators and fellow participants.
The combination of these teaching methods ensures a dynamic and engaging learning experience, facilitating to different learning styles and supporting knowledge retention and practical application of financial management principles in the context of Village-Owned Enterprises in the tourism sector.

Workshop's Challenges
During the workshop activity on the financial management of Village-Owned Enterprises (BUM Desa) in the tourism sector, several challenges had been aroused. Here are some challenges that participants and organizers had faced and how they had been addressed: 1. Limited Financial Literacy: Many participants have limited knowledge and understanding of financial management concepts and practices. This can hinder their ability to grasp the workshop content effectively. To address this challenge, the facilitators start with a comprehensive introduction to financial management, use simplified language, provide practical examples, and encourage active participation through group discussions and practical exercises.
2. Diverse Backgrounds and Experience Levels: Participants come from diverse backgrounds, with varying levels of experience in financial management. Addressing this challenge requires the facilitators to provide differentiated instruction, catering to the different needs and skill levels of participants. We offered supplementary materials and resources for self-study, conduct breakout sessions based on experience levels, and encourage peer learning and collaboration.
3. Limited Resources and Technology: BUM Desa in local areas may face limited access to resources, including financial tools and technology. In such cases, the workshop organizers can adapt the content and teaching methods to align with the available resources. They can focus on practical, low-cost simple financial management techniques, provide paper-based templates and tools, and emphasize manual record-keeping methods. Additionally, efforts can be made to promote access to technology and financial resources for BUM Desa through partnerships and collaborations with relevant stakeholders.

Limited Time and Follow-up Support:
The duration of the workshop were limited, and participants required ongoing support to implement the knowledge gained effectively. To address this challenge, the workshop organizers developed a comprehensive resource package or handbook that participants can refer to after the workshop. Follow-up sessions, online forums, or mentoring programs are established to provide continued support and address any questions or challenges participants may encounter in implementing financial management practices.
Overall, addressing these challenges requires proactive planning, effective communication, and adaptability from the workshop organizers. By considering the specific needs and circumstances of the participants, and implementing appropriate strategies, the workshop can overcome these challenges and ensure that participants are equipped with the necessary knowledge and skills to enhance the financial management practices of Village-Owned Enterprises in the tourism sector.
1. Gap in Knowledge: There is often a lack of comprehensive resources and guidance specifically tailored to the financial management of BUM Desa in the context of the tourism sector. This creates a need for a book that addresses the unique challenges, opportunities, and best practices related to managing finances in this specific setting.
2. Importance of Financial Management: Effective financial management is crucial for the success and sustainability of any business, including BUM Desa operating in the tourism sector. It plays a pivotal role in ensuring proper allocation of resources, maximizing revenue generation, controlling costs, and making informed investment decisions. By focusing on financial management, the book aims to provide BUM Desa with the necessary knowledge and tools to improve their financial practices and enhance their overall performance.
3. Potential for Economic Development: The tourism sector offers significant potential for economic development in many local areas, where BUM Desa operate. By strengthening the financial management capabilities of BUM Desa, they can better capitalize on the tourism opportunities in their communities. This, in turn, can lead to increased revenue, job creation, infrastructure development, and improved living standards for the local population. The book aims to support this process by providing guidance specifically tailored to the financial aspects of managing tourism-related activities.
4. Empowering Local Communities: BUM Desa are community-owned enterprises, and their success directly benefits the local communities. By enhancing their financial management skills and practices, the book aims to empower the members of these communities, enabling them to actively participate in decision-making processes, contribute to the economic growth of their villages, and improve their overall well-being.

Filling a Practical Need:
The book seeks to bridge the gap between theoretical knowledge and practical application. It focuses on providing practical insights, case studies, and step-by-step guidelines that BUM Desa can directly apply in their day-to-day financial operations. The aim is to offer a resource that is accessible, actionable, and relevant to the specific challenges and opportunities faced by BUM Desa in the tourism sector.
By specifically addressing the financial management of BUM Desa in the tourism sector, the book aims to equip readers with the necessary knowledge, skills, and tools to navigate the unique financial landscape of these enterprises. It strives to contribute to their long-term sustainability, growth, and positive impact on local communities by fostering effective financial practices within the context of the dynamic tourism industry.

Research Process
The research process undertaken for the development of the book on the financial management of Village-Owned Enterprises (BUM Desa) in the tourism sector involved several key steps, including theories collection, analysis, and literature review. Here is an outline of the research process: 1. Literature Review: The research began with an extensive literature review on topics related to financial management, Village-Owned Enterprises, and the tourism sector. This involved reviewing academic journals, books, reports, and relevant publications to gather existing knowledge and best practices in the field. The literature review helped to establish a theoretical foundation and identify gaps in the existing literature, which guided the research direction.
2. Contenct Analysis: The collected theories was carefully analyzed. Qualitative data, such as theories from textbooks, were analyzed thematically to identify recurring patterns related to financial management in the tourism sector. The literature analysis process helped to derive key findings and recommendations that formed the basis of the book's content.
3. Content Development: Based on the literature review, data analysis, and research findings, the content of the book was developed. The research process informed the structure, chapters, and topics covered in the book. The information gathered from data collection and analysis was used to provide real-life examples, case studies, and practical insights to enhance the relevance and applicability of the book's content.

Review and Iteration:
The review and iteration process helped to strengthen the research findings and ensure that the book aligned with the needs and expectations of the target audience.
Overall, the research process involved a comprehensive literature review, content collection through various methods, rigorous analysis of the contents, content development based on research findings, and a review and iteration process to enhance the quality of the book. By following this research process, the book aimed to provide well-grounded, evidence-based insights and recommendations on financial management practices for BUM Desa in the tourism sector.

Book's Significances
The book on financial management in Village-Owned Enterprises (BUM Desa) holds significant importance in addressing the need for guidance and practical information in this specific context. Here are some highlights of its significance: 1. Filling the Knowledge Gap: The book fills a crucial knowledge gap by providing comprehensive guidance and practical insights specifically tailored to the financial management of BUM Desa in the tourism sector. Prior to this book, there might have been limited resources available that specifically addressed the unique financial challenges and considerations faced by BUM Desa in the tourism industry. By addressing this gap, the book serves as a valuable resource for BUM Desa managers, financial officers, and other stakeholders seeking guidance on effective financial management practices.
2. Empowering BUM Desa: The book empowers BUM Desa by equipping them with the knowledge and tools needed to enhance their financial management capabilities. It provides practical strategies, techniques, and best practices that can be implemented to improve financial decision-making, budgeting, accounting, and overall financial performance. By enabling BUM Desa to strengthen their financial management practices, the book contributes to their long-term sustainability, growth, and success.
3. Supporting Sustainable Development: Financial management plays a crucial role in supporting the sustainable development of BUM Desa in the tourism sector. Effective financial management practices ensure proper utilization of resources, accurate financial reporting, and transparency, which in turn attract investors, support growth, and contribute to the overall development of the local community. The book emphasizes sustainable financial management approaches that align with environmental, social, and economic considerations, enabling BUM Desa to achieve sustainable and responsible development.
4. Enhancing Accountability and Transparency: The book promotes accountability and transparency in the financial management of BUM Desa. By providing guidance on proper financial recording, reporting, and governance, the book emphasizes the importance of accountability to stakeholders, including the local community, investors, and government authorities. Transparent financial management practices build trust, credibility, and confidence in BUM Desa, fostering stronger relationships with stakeholders and facilitating access to financial resources and support.
5. Catalyzing Economic Growth: BUM Desa, particularly in the tourism sector, have the potential to contribute significantly to the local economy. However, sound financial management practices are essential to unlock this potential. The book serves as a catalyst for economic growth by providing BUM Desa with the knowledge and tools to maximize their financial resources, make informed investment decisions, and effectively manage revenue and expenses. As BUM Desa thrive financially, they create employment opportunities, generate income, and stimulate economic activities within the local community.
The book's significance lies in its ability to fill the knowledge gap, empower BUM Desa, support sustainable development, enhance accountability and transparency, and catalyze economic growth. By providing guidance and practical information on financial management tailored to the specific needs of BUM Desa in the tourism sector, the book becomes an essential resource for promoting effective financial practices and driving the success and sustainability of these enterprises.

News Article Publications
Publication in mass media plays a vital role in disseminating information about the workshop activity and reaching a wider audience. Here are some explanations about this activity:

Efforts to Publish Workshop Activity and Reach a Wider Audience
To publish the workshop activity and ensure broader visibility, various efforts were undertaken. These efforts included writing a compelling press release or news article that highlighted the key aspects, objectives, and outcomes of the workshop. The content was carefully crafted to capture the attention of the readers and generate interest in the topic of financial management in Village-Owned Enterprises (BUM Desa) in the tourism sector.

Selection of Appropriate Mass Media Channels
In selecting mass media channels, the aim was to target platforms that have a wide readership and are relevant to the topic. Channels such as newspapers, magazines, online platforms, and social media were considered. The choice of publishing the article news in Kumparan, an online platform known for its extensive reach and engagement, was made based on its readership, relevance, and potential impact on the target audience.

Reach and Impact of the News through Mass Media
The publication of the workshop activity in mass media, specifically through Kumparan, provided an opportunity to reach a large and diverse audience. Kumparan's online platform allows for widespread distribution, increasing the chances of the news article reaching a significant number of readers interested in topics related to finance, entrepreneurship, and local development.
The impact of the news publication can be measured by several factors, including the number of views, shares, and engagement on social media platforms. Tracking these metrics helps assess the extent to which the news article resonated with the audience and generated interest or discussions among readers.

Feedback and Responses Received
Feedback and responses received from the publication in mass media can provide valuable insights into the article's impact. This feedback may come in the form of comments, social media interactions, direct messages, or even requests for additional information or collaborations. Positive responses, such as appreciation for addressing the topic of financial management in BUM Desa, can indicate the relevance and importance of the information shared.
It is essential to monitor and evaluate the reach and impact of the news article through mass media to gauge its effectiveness in raising awareness, generating interest, and promoting further discussion and action related to the financial management of Village-Owned Enterprises.

CONCLUSIONS AND SUGGESTIONS
Based on the information provided in the text, here are the conclusions and future suggestions:

Conclusions
• The manuscript highlights the importance of effective financial management in Village-Owned Enterprises (BUM Desa) operating in the tourism sector.
• The community service activities, including the workshop sessions, book writing, and publication in mass media, aimed to address the financial management challenges faced by BUM Desa and empower local communities.
• The workshop sessions covered various topics related to financial management, providing practical guidance and insights to BUM Desa representatives.
• The book on "Financial Management of Village-Owned Enterprises in the Sector of Tourism" serves as a valuable resource, filling the knowledge gap and offering practical guidance tailored to the unique needs of BUM Desa in the tourism industry.
• Publication in mass media, specifically through Kumparan, helped to disseminate information about the workshop activities and reach a wider audience, contributing to awareness and knowledge sharing on financial management in BUM Desa.

Future Suggestions
• Further research can be conducted to explore and document additional best practices in financial management specific to Village-Owned Enterprises in the tourism sector. This can help expand the knowledge base and provide more comprehensive guidance for BUM Desa.
• Continuous support and capacity building programs can be organized to ensure the long-term implementation and sustainability of effective financial management practices in BUM Desa. This may include follow-up workshops, mentoring programs, or online resources to provide ongoing support and address any emerging challenges.
• Collaboration with local government authorities, financial institutions, and relevant stakeholders can be encouraged to provide further resources, training, and financial support to BUM Desa in their financial management efforts.
• Monitoring and evaluation mechanisms can be established to assess the impact and effectiveness of the community service activities, book publication, and mass media coverage. This will help identify areas for improvement and guide future initiatives.
• The dissemination of knowledge and experiences can be expanded through the organization of conferences, seminars, or webinars on financial management in BUM Desa. This will provide a platform for knowledge sharing, networking, and collaboration among stakeholders involved in local tourism development.
• Further research can be conducted to explore the potential of integrating technology, such as digital financial management tools or online platforms, to enhance the financial management capabilities of BUM Desa in the tourism sector.
• Efforts can be made to engage and involve local communities in the decision-making processes related to financial management in BUM Desa.
• Collaboration with universities, research institutions, and other community service organizations can be fostered to continue research and advocacy efforts in the field of financial management for Village-Owned Enterprises in the tourism sector.
By implementing these future suggestions, there is potential to further enhance the financial management practices of Village-Owned Enterprises, contribute to sustainable tourism development, and empower local communities to achieve economic growth and improved well-being.