Implementation Quality Management System Model and Participatory Rural Appraisal to Increase Performance Small Medium Industries

Abstract

Small and Medium Industries (SMEs) have a strategic role in economic growth in Dili, Timor-Leste. However, challenges in management quality and community participation often hamper the performance of this industry. This study aims to analyze and implement the Quality Management System (QMS) Model and Participatory Rural Appraisal (PRA) to improve the competitiveness and productivity of SMEs in Dili. With 50 Kaseira/SMEs respondents using 4 interfaces, namely the Supplier interface consisting of 8 indicators, the Top Down interface 28 indicators, the Community interface 6 indicators and the Customer interface 8 indicators. The research method used is a qualitative and quantitative approach with surveys, interviews, and direct observation of industry players and stakeholders. The implementation of QMS aims to improve operational efficiency through quality management standards, while PRA focuses on increasing community participation in the decision-making process and business development. The results of the study indicate that the combination of QMS and PRA can improve productivity, customer satisfaction, and community involvement in SME management. The conclusion of this study confirms that the implementation of a structured quality management system and inclusive participatory methods can be an effective strategy in encouraging the growth of SMEs in Timor-Leste.