Sustainability of the cassava processed agro industry business after covid-19 pandemic

Cassava is a food plant that has many advantages and can be processed into various kinds of processed foods. Salatiga City is one of the areas that has the potential to develop the sustainability of cassava processing businesses. At the start of the Covid-19 pandemic, sales of processed cassava experienced a decline. Business sustainability starts from the increase in income and sales volume after Covid-19. This research aims to find out (1) a portrait of the success of cassava processing businesses after the Covid-19 pandemic; (2) analyse the stage of managerial ability and entrepreneurial behaviour of processed cassava agro-industry entrepreneurs;(3) the impact of managerial ability and entrepreneurial behaviour on the achievement of cassava processing businesses in Salatiga City. Purposive sampling is the sample strategy employed in this study. This research uses analysis of partial least squares (PLS) with the help of the app SmartPLS4.0. The results show (1) Currently, the average cassava agro-industry business has experienced an increase in income and sales volume of 41% since the Covid-19 pandemic period; (2) Forming managerial skills are implementation, organization, and supervision. Entrepreneurial behaviour is risk-taking, and creative and innovative; (3) Managerial ability and entrepreneurial behaviour have a significant influence on business success.


Introduction
Processing cassava into various forms of processed cassava aims to increase the selling value of cassava and the durability of cassava so that it is suitable for consumption.Most of the Micro, Small Medium Enterprise (MSME) in Salatiga City have been producing processed cassava for an average of 4 years.During the progress of this business there were several obstacles.One of them is marketing which is still difficult and only relies on sellers.When the Covid-19 pandemic hit Salatiga City, processed cassava owners experienced a decline in income due to Large-Scale Social Restrictions.Social distancing Large-Scale (PSBB) makes sales distribution experience problems because buyers cannot come directly to the production shop.
Business continuity is a condition where a business can maintain, develop, and fulfil the needs required by business owners.Some factors that can affect business sustainability are information 1302 (2024) 012129 IOP Publishing doi:10.1088/1755-1315/1302/1/012129 2 technology.The rapid development of information technology can be an opportunity for MSME to continue its business.
Managerial ability is the technical skill of carrying out tasks as a business owner to utilize available resources to achieve objectives to attain success.The achievement of a business is influenced by the managerial ability of a manager in running a business who must assume duties, roles, and responsibilities.Therefore, managers must have the ability/skills to manage existing resources [1].
Business success is not only influenced by managerial ability, but there are entrepreneurial behaviour factors that also play an important role.Entrepreneurial behaviour must be possessed by company managers because having an entrepreneurial spirit is always committed to carrying out goals and tasks until they succeed.If a manager has high entrepreneurial behaviour, business success will also increase [2].Business success is a situation where the business has increased from the previous results.Business success can be influenced by managerial skills and entrepreneurial behaviour.

Location and time of research
This research has been carried out for 1 month, starting from 17 July to 20 August 2023.The research location for the processed cassava agroindustry is in Salatiga City.The location was chosen deliberately because in that area there is a cluster of processed cassava businesses which have experienced business success after the Covid-19 pandemic.This study uses quantitative methodologies in a descriptive design.A quantitative approach is one that starts with data collection, interprets that data, and shows the results using numbers.

Data collection technique
The data collected is primary data.Primary data are those that are obtained straight from the site of the study.Primary data was generated from direct interviews with respondents using a questionnaire that had been prepared in advance.Meanwhile, secondary data is generated from connected institutions/agencies such as village offices and books related to research [3].

Sample collection techniques
Respondents from this research are owners of processed cassava MSMEs and have experience in business.Purposive sampling is one method of sampling.Using a non-random sampling technique called "purposeful sampling," researchers make sure that samples are selected in accordance with specific identities that correspond to the study's goals and are anticipated in order to react to research cases [4].
According to Hastuti [5], PLS-SEM requires a minimum sample size of 30-100 samples.Hence, 41 people made up the sample.Purposive sampling was selected as the sampling method.As for the considerations in the research, owners of processed cassava agro-industry businesses have experienced a decline in income during the covid-19 pandemic and are presently seeing a recovery in their revenue.During the assessment of MSMEs, 41 respondents were obtained who represented a picture of the cassava processing agro industry in Salatiga City in compliance with the study's requirements.
Bootstrapping is the process of finding out the value of the significance level or probability of direct effects, indirect effects and total effects.Bootstrapping is very important in producing tstatistical values for each relationship path used for hypothesis testing.Bootstrapping method on SmartPLS, a standard error can be obtained (standard errors), path coefficients, and t-statistics.

Data analysis technique
Data analysis techniques are needed for researchers to obtain the data that has been obtained so that it can be analysed correctly and through certain conditions.The SEM method can simultaneously test a series of relationships or influences that are rather challenging to quantify.PLS is one of the alternative methods that can answer the researcher's problem because PLS is a soft method or soft model that does not need strict assumptions in its calculations.SEM-PLS aims to test and develop the model, then this analysis can provide an opportunity for researchers to draw a path model between variables.SmartPLS is an application that can be used to manage statistical data quickly and accurately.Application programs SmartPLS can also process numbers and produce numerical output.SEM-PLS analysis is divided into 2 models, specifically the structural models (Inner Model) and measurement models (Outer Model).

Measurement model (Outer Model
).The Measurement model (Outer Model) is to explain each indicator in relation to its latent variable.The SEM-PLS measurement model is a reflective measurement tool that is assessed using validity and reliability.This measurement model is divided into 3 parts which are used to determine the value, specifically reliability, discriminant validity, and convergent validity [6].Convergent validity is a set of indicators that represent one latent variable.To make sure that each concept of a latent variable is distinct from those of other latent variables, discriminant validity is employed.The Cronbach's alpha and composite reliability values of each construct show the results of the construct reliability test.

Structural model (Inner Model
).This is used to test the significance of direct and indirect effects.Apart from that, this hypothesis test also finds out how much influence exogenous variables have on endogenous variables.Direct influence testing can be done by testing the t-statistic in the model least squares analysis (PLS) with the help of the app SmartPLS4.0.

Data validity test
The data validity test is original data from the field that can be accounted for.The test used to determine validity is to use validity and reliability tests with the SmartPLS tool to test the data.The validity test measures how well a measuring device's accuracy and precision enable it to perform its intended measurement function.According to Sugiono [7], validity is an index that can show that a measuring instrument really measures what it wants to measure.Apart from validity tests, there are also reliability tests.Reliability test is an index that can show the extent to which a measurement tool is reliable [7].

Result
3.1.1.Overview of the processed cassava agroindustry in salatiga city.Salatiga is a city that has the potential to develop a cassava processing business.Cassava village is one of the areas in Salatiga City which consists of several cassava processing MSMEs, since 2009.This cassava village was inaugurated by the Minister of Agriculture Syahrul Yasin Limbo in October 2021.This cassava village is in Ledok Village, Argomulyo District, Salatiga.There are several types of preparations made by MSME owners of the processed cassava agroindustry, namely gethuk, cassava cheese, chips, opak, cassava sticks, gemblong, mocaf, and brownies.1, it can be concluded that there are still many agro-industrial MSMEs owners who do not dare to market outside the city.It can be seen that 54% sell in Salatiga City, while for sales to Semarang the percentage is 24%.Some owners say they don't dare to sell outside the city because the products they make are not very long-lasting, so MSME owners only sell them around their homes.
Table 2 According to the above table, out of 30 respondents, or 73% of the total, the average respondent stated that their monthly income was more than IDR 2,000,000, while income is below IDR 1,000,000 there was only 1 respondent with a percentage of 2%.So, the cassava processing business can generate enough income to support the family and employees.Managerial ability is formed by several indicators, namely planning, implementing, organizing and monitoring [8].As a result of the analysis that has been made in this research, there is 1 indicator that is not included in the formation of the managerial ability variable, namely the planning indicator.Planning indicators were not included because the loading value was below 0.6 [9].So that only indicators of implementation, organization and supervision are included in the formation of managerial abilities.The absence of planning into the formation of managerial ability variables is because the owner of processed cassava has not been able to determine sales targets.Currently, sales are still fluctuating (up and down) so that raw material planning and schedules still cannot be targeted or planned.

Entrepreneurial behaviour.
Entrepreneurial behaviour has several indicators, namely creativity and innovation, courage to take risks, and motivation [10].It can be seen in Figure 1 that there are several indicator eliminations experienced by the entrepreneurial behaviour variable.The indicators that were eliminated were motivation indicators because the loading value is below 0.6 [9].So motivation is not included in the formation of entrepreneurial behaviour.The indicators included in the formation of entrepreneurial behaviour variables are the courage to take risks, creativity and innovation.Motivation is not included in the formation of entrepreneurial behaviour indicators because most cassava processing businesses in Salatiga city emerged by seeing the success of previous businesses.So, it does not come from original motivation.

Business success.
Business success can be formed due to several indicators, namely income, sales volume, and workforce [11].According to the research findings displayed in Figure 1, business success is formed with a loading value of 0.6 and includes the indicators of income, sales volume, and workforce.

Discussion
Managerial ability (X1) on business success (Y1) has an original sample value (O) of 0.507, indicating a positive direction for the relationship between managerial skill and corporate success.Meanwhile, the p-value of 0.000 indicates that the t-statistic value of 4.383 is higher than the t-table value of 2.024.Thus, it can be said that the managerial ability variable (X1) significantly affects the success of businesses (Y1).This is the same as conditions in the field where managerial ability greatly influences business success, one of which is supervision where this indicator has an important role such as monitoring the results of the products that have been made.If this indicator is not implemented correctly, it will have an impact on increasing business success.This theory is the same as research presented by Fani [12], managerial ability has a positive influence on business success.
Entrepreneurial behaviour (X2) on business success (Y1) has an original sample value (O) of 0.369, indicating that there is a positive correlation between entrepreneurial behaviour and the success of businesses.Meanwhile, the p-value of 0.0n00 indicates that the t-statistic value of 3.779 is higher than the t-table value of 2.024.We can conclude that the entrepreneurial behaviour variable (X2) has a substantial impact on the success of businesses (Y1).
Based on the research results obtained, entrepreneurial behaviour variables are very important in increasing business success.From the research that has been carried out, there is one of the most important indicators of entrepreneurial behaviour, namely creativity and innovation.Agro-industry owners can process several types of food made from processed cassava to increase sales variants.This is aimed at expanding the latest ideas and innovations in order to increase the success of the business being developed.This analysis is in line with Fani's research [12], where the researcher stated that entrepreneurial behaviour has a positive influence on business success.
The sustainability of the cassava processed agro-industry business is influenced by several factors, namely income, sales volume, and labour.During the Covid-19 pandemic, business owners experienced a decline in income and sales.Most cassava processed agro-industry owners have reduced employees and reduced production to maintain their businesses due to a decrease in product purchases caused by limited direct buying and selling of products due to large-scale social restrictions.After the covid-19 pandemic, large-scale social restrictions were relaxed so that business sustainability could be continued and experienced an increase in revenue and sales volume of 41%.

Conclusion
The sustainability of agro-industrial businesses is influenced by income, sales volume, and workforce.During the Covid-19 pandemic, business owners experienced a decline in income and sales volume.Most agro-industry owners are reducing employees and production to maintain their businesses.During the Covid-19 pandemic, business owners can only buy and sell their products at home so that consumers from outside cannot buy due to restrictions on physical contact.After the Covid-19 pandemic, the agro-industry experienced an increase in revenue and sales volume of 41%.
The significant variable formers of managerial ability consist of implementation, organization, and supervision.Meanwhile, entrepreneurial behaviour significant indicators are risk-taking, and creativity and innovation.Managerial ability and entrepreneurial behaviour have an influence on business success.With the existence of managerial skills and entrepreneurial behaviour that an entrepreneur has, it will have an impact on the success of the business he is running.So that it can develop a business to be bigger and wider in marketing and new product updates.