Evaluation of Technology Innovation Assistance Policy Implementation for MSMEs through an Evidence-Based Policy Approach

Abstract

In accelerating the digitalization of the people’s business sector, the Government of Indonesia has frequently implemented coaching and assistance policies to encourage technology-based innovation adoption among Micro, Small, and Medium Enterprises (MSMEs). This study aimed to evaluate the effectiveness of technology intervention implementation and formulate recommendations for improving policy direction through an evidence-based policy approach. A qualitative methodology was employed using data triangulation techniques by combining survey results from 237 beneficiary MSME actors across four regions, in-depth interviews with facilitators and program managers, and social media analytics from participants’ business accounts on Instagram and TikTok throughout one year of program implementation. All data were analyzed using thematic analysis and cross-validated with digital platform engagement patterns. The findings revealed significant progress in technology adoption, particularly in digital payment transactions and digital marketing. However, disparities in achievement among regions remained evident, as existing interventions were generally limited to initial training stages without sustained post-training mentoring. Social media analytics identified a gap between administrative reports based on achievement claims and actual engagement dynamics observed in the field, highlighting limitations in conventional monitoring and evaluation mechanisms. Theoretically and practically, this study contributed a hybrid evaluation framework that integrated digital platform analytics as a policy validation instrument and proposed a staged, sustainable coaching model aligned with regional readiness levels.