OPTIMIZING DAYAH BUSINESS UNITS IN ACEH: AN ANP STUDY

– This study investigates the key factors influencing the success of business units within Dayah (Islamic boarding schools) in Aceh Province, Indonesia. Employing the Analytical Network Process (ANP), the research gathers expert opinions and insights from academics, government officials


INTRODUCTION
Islamic boarding schools, or Pondok Pesantren, or simply Pesantren have long been integral to Indonesia's development, contributing significantly not just in the realm of human capital but also in social and economic spheres.Over the past decade, the financial autonomy of these institutions has emerged as a critical issue.As a centers of traditional Islamic learning, Pondok Pesantren is unique in that they provides a communal living and learning environment under the guidance of a central religious figure, the Kyai, with the mosque serving as the focal point for activities and instruction.The pursuit of independence within these Pesantren is multifaceted, involving efforts to secure donations, generate internal economic resources, and establish partnerships with external business entities (Saefullah, 2019).The significance of economic self-sufficiency is underscored by the benchmark set by Bank Indonesia, which posits that a Pesantren's ability to finance at least 30 percent of its operational costs through its own business ventures is indicative of financial independence (Bank Indonesia, 2023).This underscores the imperative for Pesantren to optimize their resources and foster economic development within their communities.
Despite the strategic importance of Pesantren in fostering socio-economic development within their communities (Sakdiyah, 2010), there exists a notable research gap in how these institutions can effectively cultivate and manage entrepreneurial ventures.The success of such enterprises hinges on the application of entrepreneurial values, leveraging institutional strengths for economic activity, and generating profits to further the institution's progress.
Aceh Province stands out in this context, where Pesantren, locally known as Dayah, is pivotal to the regional economy.Historically recognized as the oldest educational institution in Aceh (Hugronje, 1906), Dayah engages in various business activities to support its operations.However, the management and success rates of these ventures vary greatly, with only a handful of Dayah, such as Dayah Raudhatul Ma'arif, demonstrating effective business development (Safriadi, 2020).This variance underscores the importance of robust business management-a comprehensive approach encompassing strategic alignment, governance, methods, technology, people, and culture-to enhance organizational performance (Brocke & Rosemann, 2014).
Despite the strategic benefits of business units to the economic independence of Dayah, studies examining the critical success factors for these enterprises are limited.While some research has touched upon the potential of Dayah in improving socio-economic welfare (Sabirin, 2018;Zuliani, Zulfahmi, & Hidayatullah, 2018), the management of education characterized by agricultural extracurricular activities (Afna, 2016), and the ideality of Dayah's independence (Suyanta, 2012), there is a lack of comprehensive analysis on the entrepreneurial aspect.
This study aims to bridge the research gap by investigating the critical success factors that contribute to the effective management of business units within Pesantren in Aceh.Given the importance placed on the economic independence of Dayah by entities such as Bank Indonesia, this research is not only significant but necessary for the formulation and execution of strategies for managing business units within Dayah, particularly in Aceh.The novelty lies in the use of the Analytical Network Process (ANP) approach, which has not been previously applied in this research domain.By harnessing the insights of experts and specialists, the findings of this study could provide a strategic framework for enhancing the national economy through the empowerment of these traditional educational institutions.The implications of this research extend beyond academic interest, offering practical insights for policymakers and Pesantren administrators to foster economic resilience and sustainability within their communities.
The structure of the study is organized in the following manner: The subsequent section, Section 2, offers a contextual overview of Dayah businesses in Aceh, providing a comprehensive understanding of their current state and significance.Following this, Section 3 introduces the ANP methodology.This section elucidates how the ANP methodology is applied to identify the critical success factors for Dayah businesses, thereby providing a robust framework for analysis.In Section 4, the research findings are presented.This section delves into an analysis of the key internal and external factors influencing the success of Dayah businesses, offering insightful observations and interpretations.Finally, Section 5 provides actionable recommendations for Dayah leaders, policymakers, and stakeholders.These recommendations aim to promote successful Dayah business models, thereby contributing to the overall growth and prosperity of Dayah businesses in Aceh.

LITERATURE REVIEW
The function of business within a society is critical, as it addresses fundamental human needs ranging from sustenance to apparel (Amstrong, 2020).Moreover, businesses contribute to the alleviation of poverty and the creation of employment opportunities (Toledo-López, Díaz-Pichardo, Jiménez-Castañeda, & Sánchez-Medina, 2012).The presence of micro, small, and medium enterprises (MSMEs), along with larger corporations, is a cornerstone of a nation's economic development (Chittithaworn, Yusuf, & Islam, 2011), necessitating that these entities continually enhance their performance.

Factors Influencing Business Success
The examination of business success is deemed essential, with success being measurable through both financial and non-financial achievements (Low & Macmillan, 1988;Simpson, Padmore, & Newman, 2012).The establishment of small businesses is not always driven by the pursuit of economic power or substantial profits but may instead support a lifestyle or provide a means of survival (Toledo-López et al., 2012).Although various factors influencing business success have been discussed in the academic literature, there remains a lack of consensus regarding the most critical factors.Nevertheless, entrepreneurial success is widely recognized as being influenced by both internal and external factors (Sefiani, 2013;Akmal, Musa, & Ibrahim, 2020), with the environment playing a pivotal role in the development of entrepreneurship within religious educational institutions (Siswanto, Armanu, Setiawan, & Nimran, 2013;Kamri, Ramlan, & Ibrahim, 2014).

Internal Factors
Internal factors are vital to the success of both family and conventional businesses.Human capital, in particular, demands significant attention from entrepreneurs, as it contributes to financial, personal, social, and environmental outcomes (Jiang, Jamil, Zaman, & Fatima, 2023).Organizational performance is enhanced when entrepreneurs optimally utilize resources such as human capital and physical assets (Ramezan & Sanjaghi, 2013).The continuity of a company is also heavily reliant on human capital (Headd, 2003).From an Islamic perspective, the importance of appointing individuals based on competence is highlighted, as exemplified by the teachings of the Prophet Muhammad (Abdurrahman, 2013;Umuri & Ibrahim, 2020).
Capital is another crucial internal factor, underpinning the establishment and operation of businesses.It finances various business needs, from initial costs to working capital (Sukirno, Husin, Indrianto, Sianturi, & Saefullah, 2006).Companies that secure financing are often able to enhance their performance (Habriyanto et al., 2022), and capital is instrumental in fostering sustainable entrepreneurial ecosystems (Weerasekara & Bhanugopan, 2023).The possession of natural resources can also serve as a competitive advantage for companies.The resource-based theory posits that a company's resources and capabilities are fundamental to its competitive advantage (Hart & Dowell, 2011), while the natural resources-based value approach focuses on the contingent nature of these resources and capabilities (Nugroho, 2019).
Managerial capability is equally important, with successful companies typically having managers who are adept at understanding market fundamentals, adapting to global business strategies, and effectively communicating (Bjorksten & Hagglund, 2012).In small businesses, managerial capabilities such as leadership, strategic thinking, problem-solving, and relationship management are crucial for survival (Kearney, Harrington, & Kelliher, 2014).Leadership is a central process in managing a company and influencing groups to achieve shared goals (Northouse, 2013).Transformational leadership is particularly necessary in a rapidly changing global environment and is crucial for the success of business units in religious educational institutions (Ilyas, Zainuddin, Sibuea, & Zahrila, 2019).

External Factors
The development of a business is also subject to external factors, including government policies, natural disasters, financial crises, and socio-cultural changes, which can be difficult to control.Government policies are especially critical for the development of MSMEs (Chandra, Trianto, & Munthe, 2020).Additionally, businesses must be prepared to rapidly adopt technology to maintain a competitive edge (Ananda, 2013;Trianto, Azman, & Masrizal, 2023), with younger individuals often being more receptive to technological changes (Alagheband, 2006).
Demographic trends can significantly influence business success, as they affect population behavior and, consequently, socio-cultural values, norms, and consumption behavior (Adiotomo & Samosir, 2010).The economic condition of a population is also a critical consideration for companies, as it is strongly correlated with consumption behavior (Taylor & Houthakker, 2010).
In summary, the success of a business is multifaceted and contingent upon a complex interplay of internal and external factors.A thorough understanding and adept management of these factors are indispensable for businesses to prosper in an ever-evolving economic landscape.

METHODOLOGY Data Collection
The data utilized within the ANP methodology is derived from primary sources, and a series of methodical steps are undertaken to gather it.The initial stage involves the construction of a decomposition model, which is facilitated by an extensive literature review and interviews with subject matter experts.Subsequently, the model is quantified through the administration of meticulously designed questionnaires.The third phase encompasses the synthesis and analysis of the data collected.
The selection of respondents is a critical process, where individuals who possess a profound understanding of business development are chosen (Ibrahim, 2023).These individuals range from established business practitioners and scholars to government officials.Dilshad and Latif (2013) suggest a recommendation for the number of respondents and ANP participants to be between 10 to 12 individuals.In the context of this research, a total of 11 participants/respondents were engaged, as delineated in Table 1.

ANP Steps
The ANP approach's research process consists of three stages: model construction, model quantification, and result analysis (Ascarya, 2020).These steps are shown in Figure 1.
Step of ANP During the model construction phase, experts conducted interviews with respondents to investigate the challenges associated with developing business units within religious educational institutions (pesantren).Utilizing the insights garnered from these expert interviews, an ANP framework was established to evaluate the success factors of pesantren in managing their business units, taking into account both internal and external factors.
Internally, the framework encompasses elements such as leadership, human resources, business management, natural resources, and business capital.
Externally, the framework includes factors such as demography, socio-cultural influences, political environment, technological advancements, and economic conditions.The comprehensive ANP framework, which outlines these factors, is illustrated in Figure 2. From a theoretical perspective, the ANP methodology employs supermatrix computations to yield eigenvector results.These eigenvectors, derived from matrices and supermatrices following the reciprocal theory, are scaled from one to nine (Tanjung & Devi, 2013).The outcomes of these calculations are presented in Table 2.The final stage involves interpreting these results.

Results
The analysis conducted using Super Decisions software indicates that internal factors are pivotal for the success of business units in pesantren, with a significant value of 0.66.In comparison, external factors hold a value of 0.33.Consequently, it is imperative for pesantren managers to prioritize addressing internal challenges (Figure 3).

EXTERNAL FACTORS
The ANP synthesis results are presented in Table 3, revealing a p-value of 0.06 and an inconsistency value of 0.00, suggesting a reliable model with consistent pairwise comparisons.The internal factors that warrant attention from Dayah.s business units are primarily human resources, as evidenced by a rater agreement value of 0.267.This is followed closely by business management, leadership, natural resources, and business capital (Figure 4).The internal factors exhibit an inconsistency value of 0.035 and a p-value of 0.00, indicating a strong agreement among raters and a statistically significant model (Table 4).From an external perspective, technology emerges as a critical success factor for the development of business units at Dayah, with a rater agreement value of 0.226.Other notable external factors include demographics, politics, socioculture, and economics (Figure 5).  5 indicates that technology is the primary external factor that managers should take into account.This is followed by demographics and politics.Furthermore, managers should also focus on socio-cultural and economic aspects.

Discussion
The findings of this study underscore the influence of internal factors as key determinants in the success of Dayah business units in Aceh.Human resources emerge as the foremost priority, aligning with notion that human resources are a central driver of growth and competitiveness.Effective human resource management is crucial for the success and competitive advantage of teams and individuals within an organization.As Price (2023) highlights, human resources are the fundamental drivers of growth and competitive advantage.Jotabá et al. (2022) further substantiate that effective team and individual performance, leading to competitive edge and success, hinges upon sound human resource management practices.Therefore, Dayah managers must enhance the business skills of their employees and engage various stakeholders to achieve organizational goals.Sukirno et al. (2006) state that human resources encompass not only experts and educators, but everyone contributing to organizational goals.Usman (2013) emphasizes the importance of improving human resources within both institutional management and community-related fields.
The emphasis of this progression ought to be on cultivating internal competencies rather than an exclusive dependence on external expertise.As underscored by Wahab, the Chairman of Acehnese Dayah Scholar Association (Himpunan Ulama Dayah Aceh-HUDA), during an interview, the enhancement of internal human resources is of paramount importance, as capital will inevitably be attracted when human potential is fully harnessed.This concurs with the study conducted by Prasetyo in 2017, which ascertained that successful pesantren business units employ personnel who have been trained internally and possess strong business acumen, thereby facilitating seamless communication with the leadership.A significant impediment identified is the inclination to assign the management of business units based on personal affiliations rather than expertise, as disclosed by Faisal, the Chairman of Forum Santri Nasional (FSN) Aceh, a forum for Dayah/pesantren students in Indonesia.This practice, as corroborated by the findings from the interviews, obstructs the development of the business.The findings suggest that by prioritizing internal factors, particularly human resources, pesantren can enhance their business units' success.This insight has the potential to shape the strategies of pesantren managers, influence policy decisions, guide future academic inquiries, and inform educational practices within and beyond the context of religious educational institutions.
The second priority for Dayah in fostering successful business units is the capability to manage a business.A notable weakness in Dayah's business development is the management of human resources.Superior human resources are essential for business development; capital will naturally follow.It is also observed that the management of business units is sometimes entrusted to individuals who may not possess the requisite expertise, which can impede business progress.Observations and interviews with business unit managers reveal that business administration, particularly financial management, is a critical area requiring improvement.Strengthening capabilities in business administration is necessary, and Dayah can achieve this by collaborating with business experts and academic institutions to establish better financial management systems.This transformation requires strong leadership with a clear vision for business development, as Zakki et al. (2016) emphasize, highlighting the need for entrepreneurial leadership within Dayah business units.
Externally, the adoption of technology is vital for the success of business units at Dayah.The digital transformation is crucial for improving performance and can be leveraged to enhance the production and marketing of agricultural products, among other business ventures.Dayah managers should seek collaborations with fintech startups and agricultural sector startups to facilitate the adoption of technology.Political factors also play a significant role in the success of business units.Government policies and regulations can profoundly impact business success.Government interventions, such as capital assistance programs and supportive policies, can aid in the development of Dayah business units.The findings are in line with previous research that highlights the importance of technological adoption and digital transformation for improving business performance (Sari, Utomo, & Redjeki, 2014;Guo & Xu, 2021;Zomer, Neely, & Martinez, 2020).For Dayah, this means exploring opportunities to integrate technology into both production and marketing processes, which could significantly enhance the development of their business units.
The success of business enterprises, including Dayah business units, is intricately linked to the prevailing political environment.Governmental policies and regulations exert a substantial influence on these business units.Policies and regulations that are supportive can create conducive conditions for their growth and prosperity.The government can play a pivotal role in this regard through various means such as budget allocation, provision of operational and technical guidelines, and the implementation of business development assistance programs.Initiatives such as the capital assistance program offered by Bank Indonesia necessitate ongoing implementation and expansion to be effective.Chandra et al. (2020) underscore the positive repercussions of government intervention on the sustainability of businesses.Consequently, it is imperative to bolster government policies and programs, inclusive of those instituted by local government bodies, to facilitate the development of Dayah business units.
The implications of these findings are multifaceted.For pesantren managers, the results underscore the necessity of prioritizing internal issues, particularly those related to human resources.This involves not only enhancing the business skills of employees but also fostering a collaborative environment where various stakeholders contribute to achieving organizational objectives.The study's emphasis on human resources as a critical driver of success resonates with the broader discourse on the importance of effective human resource management in achieving competitive advantage and performance success.In terms of business management, the study suggests that Dayah needs to address potential weaknesses in this area.Therefore, improving business administration systems, especially in financial management, is imperative.Furthermore, the political environment, including government policies and regulations, has been identified as an influential external factor and the study suggests that continued and expanded support from local governments and institutions like Bank Indonesia is crucial for the development of Dayah business units.

CONCLUSION
The research undertaken provides valuable insights into the factors essential for the success of Dayah business units, highlighting the significant role they play in promoting economic independence.The study identifies critical internal factors such as human resources, business management, leadership, natural resources, and capital, with human resources being the most influential.On the external front, technology, demography, politics, socio-culture, and economy are noted as areas requiring prioritized attention.
To enhance the prosperity of Dayah business units, the research suggests several strategies.These include the improvement of human resources through educational programs, the strengthening of business management capabilities by engaging experienced mentors, the advancement of leadership skills to effectively mobilize and motivate employees, the exploration of diverse funding sources, and the adoption of technology in business practices.Furthermore, the integration of Dayah business unit development into government programs is recommended, alongside committed efforts from the Aceh government to develop this sector through targeted teams and policies.Engaging various stakeholders is crucial for the comprehensive development and success of Dayah business units.
This study contributes to the existing body of knowledge by reinforcing the significance of internal factors, particularly human resources, in the success of Dayah business units.It also highlights the importance of technological and political factors as external influences.These findings have practical implications for Dayah managers and policymakers, suggesting a focus on internal capacity building and the strategic adoption of technology, supported by conducive government policies.Nonetheless, the study has its constraints, as the respondent pool was limited to a local or regional area.To expand upon this research, it is recommended that future studies consider a national respondent pool.This would offer a broader range of insights and viewpoints, potentially leading to a more comprehensive understanding of the factors influencing the economic sustainability of Dayah business units.

Figure 2 .
Figure 2. ANP Framework Key Success Factor of Unit Business Development in Dayah

Figure 3 .
Figure 3. Critical Success Factor of Business Unit Development in Dayah

Figure 4 .
Figure 4. Key Success Factors of Internal Cluster

Figure 5 .
Figure 5. Critical Success Factor of External Cluster

Table 3 .
Synthesis of Dayah Business Unit Factors

Table 4 .
Internal Factor Synthesis of Dayah Business Units

Table 5 .
External Factors Synthesis of Dayah Business Units