The study examined Antara Konveksi, a convection SME in Indonesia that operates using a pre-order business model. By restructuring its accounting processes with a tailored Excel-based system, the company recorded an 83.17 percent increase in revenue, a 1,190.08 percent jump in gross profit, and a turnaround from net losses to a 16.40 percent net profit margin within one year. These findings matter because millions of SMEs in emerging economies struggle with financial management and often lack the resources to adopt advanced digital systems.
Why SME Financial Management Matters
SMEs form the backbone of Indonesia’s economy, contributing significantly to employment and gross domestic product. Yet many of these businesses still rely on manual bookkeeping or rigid accounting software that does not match their daily operations. This gap is especially visible among SMEs using non-standard models such as pre-order production, where costs, inventory, and cash flow behave differently from mass-production businesses.
Digital accounting solutions promise efficiency, but adoption remains uneven. Cloud-based or AI-driven platforms are often expensive, complex, or poorly aligned with niche workflows. As a result, many SMEs either abandon digital tools altogether or use them ineffectively, limiting their ability to control costs and make timely decisions.
The case of Antara Konveksi highlights an alternative path: optimizing tools that are already familiar, affordable, and flexible.
How the Research Was Conducted
The research team used a case study approach, combining financial data analysis with in-depth interviews. The study focused on Antara Konveksi’s financial statements from 2023 and 2024, alongside conversations with the business owner and the head of accounting.
Instead of introducing new software, the company redesigned its Excel system with customized templates and formulas tailored to its pre-order workflow. The researchers then compared performance before and after the optimization, examining revenue, costs, profit margins, and overall financial structure in clear year-to-year terms.
This approach allowed the authors to capture not only numerical changes but also how improved data organization affected daily decision-making inside the firm.
Key Financial Results at a Glance
The optimized Excel system delivered striking improvements:
- Revenue rose from IDR 919.7 million in 2023 to IDR 1.68 billion in 2024, an increase of 83.17 percent.
- Gross profit surged from IDR 58.4 million to IDR 754.1 million, a rise of more than 1,190 percent.
- Cost of revenue dropped sharply in proportion to sales, falling from 93.64 percent of revenue to 55.24 percent.
- Net profit margin shifted from a –18.57 percent loss to a 16.40 percent profit, exceeding typical industry benchmarks for SMEs.
These numbers reflect not just higher sales, but far better cost control and pricing decisions enabled by clearer financial data.
Why Excel Worked Better Than Advanced Software
According to the study, Antara Konveksi initially tried commercial accounting software but found it too rigid for its pre-order operations. Excel, by contrast, allowed the firm to design a system around how the business actually works.
“The strength of accessible tools lies in their adaptability,” Andiani and Prajogo note in their analysis. From STIE Malangkuçeçwara, they emphasize that flexibility and human skill often matter more than technological sophistication for SMEs with unique business models.
By structuring data in a way that matched production cycles and customer orders, the firm gained real-time insight into costs, margins, and cash flow. This visibility supported faster adjustments to pricing and resource allocation—core elements of sound managerial decision-making.
Broader Implications for SMEs and Policymakers
The findings challenge a common assumption that SME digital transformation must rely on expensive or complex technology. For many small businesses, especially in emerging markets, the barrier is not the absence of tools but the lack of strategic customization.
For SME owners, the message is clear: investing time in adapting familiar tools like Excel can deliver substantial financial benefits. Training staff to use these tools effectively may yield higher returns than purchasing off-the-shelf software that does not fit operational realities.
For policymakers and business support organizations, the study suggests a shift in focus. Training programs should emphasize practical digital skills and customizable systems rather than promoting one-size-fits-all platforms. Supporting SMEs in optimizing accessible tools could strengthen financial resilience across sectors.
Software developers can also draw lessons from this case. Modular, flexible accounting systems designed around industry-specific workflows may reduce adoption barriers and improve real-world impact.
Author Profiles
Lidia Andiani, S.E., M.Ak. is a lecturer and researcher at STIE Malangkuçeçwara, Indonesia. Her expertise includes digital accounting, SME financial management, and managerial accounting systems.
Uke Prajogo, S.E., M.M. is a faculty member at STIE Malangkuçeçwara, specializing in financial analysis, business performance, and accounting applications for small and medium enterprises.
0 Komentar