The Innovative Process Of Social Entrepreneurship In Credit Union TM. An Alternative Of Psychological Empowerment For Communities

Abstract

International Labour Organization [ILO] stated there is an employment crisis in the world; 75 million adult are jobless. The number of jobless person in Indonesia is 7,61 million. A lot of jobless people try to move to big city hope they can get a better life. This is another problem for big cities. One of the solution is social entrepreneurship; a business which developed for improving the community (Yunus, 2007). Credit union TM is an innovative social entrepreneurship community in Central Java which focus on microfinance. It successfully improve psychology empowerment among the community of farmer and breeder. The aim of the research is to identify the innovative process of social entrepreneurship development in credit union TM and to understand how credit union TM improve psychological empowerment among the community. This is a qualitative research using in depth interview method and document record. The participant are the member and the leader in credit union and the community of breeder and farmer (N = 3). The result showed that : (1) Credit union is an social entrepreneurship organization. Because of the entrepreneurial culture within the organization, they can scale up and sustainable to help more people/community, (2) The combination of microfinance and community development help the high risk farmer/breeder community to solve the problem. In community development, creative collaboration is needed to maximize the outcome, (3) By doing community development and facilitate microfinance access, it is improved the psychological empowerment (meaning, self determination, competence, and impact). The output will be constructive for development of NGO programs, government and people who concern developing entrepreneurship and employment in rural area