BISMA

Volume xx, Issue xx, xxxx xxxx, xx-xx

ISSN 2549-7790 (Online)
ISSN 1979-7192 (Print)
(Bisnis dan Manajemen) DOI: xxxxxxxxxxxxxxxxxxx
https://journal.unesa.ac.id/index.php/bisma/index

Entrepreneurship leadership: fostering an entrepreneurial spirit

in students during pandemic covid-19
(case study in tebuireng boarding school east java)

Hikmah Muhaimin1*, Fendy Suhariadi2, Nuri Herachwati 3,

Dhiyan Septa Wihara4

11
Doctoral Student, Human Resource Development Program, Postgraduate School,
Universitas Airlangga

Abstract

Leadership becomes very urgent in monitoring the progress of an organization in

conditions that often face uncertain changes. The world of Islamic boarding schools is no
exception, which is currently required to be able to finance the operations of daily
activities. This is where new breakthroughs are needed to make products and market them
so that there is additional income that can strengthen the sustainability of the pesantren.
the problem is to find someone who is able to move the board of the pesantren to want to
open a business and of course this is not easy. This entrepreneurial leadership is what is
needed today in the pesantren world, not starting at the Tebuireng pesantren, which is
currently starting to pursue entrepreneurship in the manufacture of pure honey, shampoo,
soap and so on. The purpose of this study was to identify entrepreneurial leadership in the
management of the Tebuireng pesantren. conceptual framework based on the object of
research for the development of further research. The approach in this research is
qualitative with case study technique. Data collection was carried out by interviewing 2
informants who were administrators at the pesantren. The results of the study explain that
entrepreneurial leadership must be able to innovate, namely exploratory and exploitative
innovation. Entrepreneurial leaders need to learn how to develop, implement and measure
the impact of responsible and sustainable solutions so that a critical understanding of
entrepreneurial leadership ideas can create new business opportunities.

Keywords: Enterpreneurial Leadership, Business Performance, Pandemic Covid-

19, Tebuireng Islamic Boarding School

To cite this document:

Rita, M.R. & Thren, A.T. (2019). A three-dimensional model of MSME
performance: an agenda for further research). BISMA (Bisnis dan
Manajemen), 12(Oktober), 1-14. https://doi.org/10.26740/bisma.v12n1.p1-
14
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Received: xx xxx xxx; Accepted: xx xxx xxx; Published: xx xxx xxx

*Coresponding Autor
Email: hikmah.muhaimin28@gmail.com

INTRODUCTION
The COVID-19 pandemic period in 2018 was a tough challenge that
Indonesia had to face when facing the era of global competition in the era of the
industrial revolution 5.0. The era of borderless global competition marked by a
rapidly changing business environment, advances in communication and
information technology, and other technologies has become a reality that must be
addressed wisely and carefully so that organizations can still exist in global
competition (Rahim, et al., 2015). To achieve Indonesia's economic growth under
global uncertainty, it is necessary to empower small businesses that are considered
capable of developing production. In accordance with the government program, it
is targeted that 5 million new entrepreneurs are targeted in 2025 by developing
human resources for the advancement of national entrepreneurship. There are four
main problems in the development of national entrepreneurship, especially the
small and medium sector, including access to finance, access to marketing,
staffing, and the capacity of small and medium enterprises.
Efforts to increase entrepreneurial capacity to improve the quality of
human resources in entrepreneurship are carried out in three stages, namely
breeding, forging, and development (Freeman, 2014). Small business is the
foundation that is expected to be able to take a strategy by making businesses
independent, healthy, strong, competitive, and developing themselves to increase
economic growth, as well as support the expansion of job opportunities in
realizing democracy. Institutional quality improvement according to Bagheri and
Pihie (2011) needs to be done gradually through efforts to build, empower,
develop, strengthen. Problems from various directions hit small business actors,
including weak organization, small business capital, low entrepreneurial spirit,
lack of attention to the environment and poor service (Kuratko and Hornsby,
1999).
Leadership refers to managerial behavior that influences and directs group
members towards goals by taking advantage of entrepreneurial opportunities.
These challenges are internal that must be reorganized and leaders have a strategic
role in this. (Strobl et al., 2022). The inability to compete and the low
management of entrepreneurial behavior is a challenge for small business actors to
be able to grow and develop. develop towards business independence. On the
other hand, there is a need for small business growth that is based on the values of
entrepreneurial leadership and an entrepreneurial spirit in the hope of shaping
small business behavior in increasing social economic growth nationally (Leitch,
McMullan and Harrison, 2012).

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Under these conditions, we need leaders who have a far-sighted vision,

leadership who have a high sense of change, leaders who are aware of their
position in the midst of a constantly changing environment, leaders who have an
entrepreneurial spirit and spirit. Leaders who can communicate, have passion and
dare to take risks. Leaders who are not only agents of change but also lead the
change itself. Leadership that has a high sense of business and sense of change,
able to act proactively, creatively and innovatively (Leitch and Volery, 2017). As
an agent of change, according to Shan, Song and Ju (2016), an entrepreneurial
orientation must basically have three main characters, namely: (1) creative and
innovative; (2) able to become intrapreneurship and entrepreneurship for the
organization, and (3) have adequate capacity and networking. Together these three
characters will be the basis for a leader to take a proactive attitude towards
change.
The Tebuireng Jombang Islamic Boarding School is one of the largest
Islamic boarding schools in East Java Province with more than 3000 students
spread across several branches in East Java. This is an opportunity to explore
entrepreneurial potential in Islamic boarding schools because currently the
operational financing of pesantren is not only from santri, the pesantren must
think about finding new opportunities, one of which is entrepreneurship. The
positive side is that they no longer need to be confused about finding market share
for sales distribution. The large number of students becomes an opportunity as
product users so that operational circulation is maintained. The problem is,
currently, the Teuireng Islamic Boarding School does not have its own business
which is produced by itself with a brand. The business unit formed in this Islamic
boarding school is still relatively new in collaboration with a company that
produces pure honey, shampoo and soap. The business unit that is planned to be
developed again is AMDK (bottled drinking water).

Figure 1. Business product in tebuireng boarding school

Seeing the great potential but not yet fully utilized, perhaps because there
is no leadership figure from the management who initiates product development
or optimism about this opportunity is still low. Therefore, it is necessary to look at

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the entrepreneurship of some management at the level of courage in making

decisions. Entrepreneurial leadership is one of the leadership abilities to see new
opportunities and direct members to take advantage of these opportunities,
especially after the COVID-19 pandemic which requires economic recovery to
rise. (Hoang, Luu, Nguyen, et al., 2022).
In facing this reality, it takes a leader who is able to answer these
challenges and opportunities. Not a leader who feels comfortable with the current
situation or comfort zone and does not want to move from this situation. Not
leaders who just wait and see or carry out conventional transformations, but
leaders who can see gaps and opportunities and can adapt to change radically,
breaking comfort zones both inside and outside. Leaders must also change the
paradigm to face a very fast-changing business environment, a very fast-paced
corporate culture, fix transparent organizational governance, and utilize and align
the organization's strategic organs so that it is a corporate culture and implements
a learning culture (Urban and Government, 2017).
According (Hoang, Luu, Du, et al., 2022) EL It is considered a value creation
process, which requires the ability and ambition to recognize and capitalize on
opportunities. However, research is still rare that discusses social entrepreneurial
behavior related to entrepreneurial. leadership. This is due to the scarcity of
measuring tools for these two components (Sipahi Dongul & Artantaş, 2022). One
of the instruments that is often used to measure entrepreneurial leadership abilities
is referring to research (Renko et al., 2015) using 7 (seven) indicators, including
Innovativeness, Creativity, Enthusiasm and Motivation, Tenacity and
Perseverance, Bootstraping, Vision of the future, Taking risks. These indicators
are integrated into the theme of this research. The aim is to find out the extent of
the entrepreneurial leadership skills possessed by the management of the
Tebuireng Islamic Boarding School. The results of this study are also expected to
be the basis for developing concepts related to entrepreneurial leadership for
business development, especially in Islamic boarding schools. Considering that
currently each Islamic boarding school is able to produce its own product which is
the hallmark of Islamic boarding school. At the same time, to support the
provincial government in realizing the one-product pesantren program. The key
question in this research is how to build entrepreneurial leadership skills in
boarding school administrators to create new business opportunities in Islamic
boarding schools.

METHODS
The research design used is descriptive qualitative with a case study
research strategy or called CSR (Case Study Research). This study wanted to
identify the entrepreneurial leadership abilities of several administrators of the
Pesantren Tebuireng. The instrument used refers to the research (Renko et al.,

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2015). By using seven indicators which essentially measure an individual's ability

to make strategic and risky decisions. Primary data was obtained from semi-
structured interviews with informants and observations, while secondary data was
obtained from the literature contained in the library of the Pesantren Tebuireng.
The selection of informants was carried out by purposive sampling with
criteria for the management who were directly responsible for business
development at the Pesantren Tebuireng. Informants in this study were LK and
FK. collecting and compiling data, validating data using triangulation techniques,
while the conceptual framework of business is based on the priority of interests
related to the object of research.

RESULT AND DISCUSSION

Data validation using triangulation
Entrepreneurial Leadership (EL) in this study is described as the ability
possessed by individuals in directing their members to be able to seize new
business opportunities. This is measured by identifying the informants'
perceptions of the key components of EL described in this study (Renko et al.,
2015). From the opinion of the informant, it is hoped that it can be the main
reference for researchers to build a conceptual framework that will be developed
in further research. Some of these themes include

Innovativeness
Namely the individual's ability to always have ideas for product and
service improvement. This is important to drive innovation in products and
services.
It is indeed difficult to make improvements because we are still
exploring what is lacking in products and services (FK, 20-5-2022)
The statement states that a self-disclosure process is needed through self-
disclosure about the product and its marketing methods. This is important because
if you are careless in making decisions, you will make mistakes in product repairs
and result in wasted operational costs.
“Oh yes, it is important because we are still new in developing this
business unit, so what we do must be done with careful calculations”
(LK, 20-5-2022).
in terms of innovation, the emphasis is on product improvement first,
including what products can be chosen to collaborate with. This is important
because the product must reflect the characteristics of the Tebuireng Islamic
Boarding School. This is in accordance with research from(Strobl et al., 2022)
which says that EL must be able to respond to product competition with high
technology by taking risks in strategic decisions taken.

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Creativity
The individual's ability in this case is leadership to create a culture where
people will be rewarded because new things won't work for the company. This is
important because trying something new is not easy, it takes trial and error,
everyone has a different level of courage.
"Yes, we really appreciate anyone from management who has a new
way to introduce this product to the public" (LK, 20-5-2022)
Anyone who makes this new method is appreciated because this will
certainly have an impact on getting to know the products of the Pesantren
Teuireng and can earn income from these activities.
"There are many opportunities or ways that can be used to market
this product, technological advances must also be utilized online
through e-commerce in addition to building cooperation with other
Islamic boarding schools" (FK, 20-5-2022)
From the explanation above, it can be concluded that the creativity of the
leadership needs to be imitated by other administrators. Because in it there is the
formation of intrinsic motivation that can move members to always be creative in
finding new ways that can advance the organization (Khan, 2022).

Passion dan motivation

Leaders must be able to show that he has high morale. By doing something
the best and then patiently waiting for the results and this method is done
repeatedly until a habit is formed. In the end, a positive culture will be created that
can be transmitted to all members in the organization. This culture can later be a
motivation for members to apply positive values in the work that has been
instilled by the leadership.
“Yes, I think the leadership, in this case the chairman of the board
must make other members or management feel curious and curious
about what they are doing in order to produce a positive aura that
can be imitated” (LK, 20-5-2022)

Basically, there are similarities between transformational leadership (TL) and EL

in terms of how to communicate positive values to members in the organization.
Both TL and EL actually have a goal to meet the basic psychological needs of
individuals, namely autonomy and competence which can later arouse employee
curiosity about work (Khan, 2022). The same thing was also conveyed by a FK
informant as follows.
"Management related to the development of business units must be
given the freedom to act in advancing the business, later positive
competencies will be formed that can be done" (FK, 20-5-2022)

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Based on the description above, it can be ascertained that management

competence is related to business units that develop autonomy or management
freedom to act from the side of formation, distribution to marketing methods that
are considered effective for introducing products to the public.
Tenacity dan persistence
It is an individual commitment to always be diligent in the assigned task.
No matter how heavy the task is, it must be carried out and the individual must
always be able to complete the task with full responsibility. In Islamic boarding
schools this is strongly instilled from top to bottom, both related to religious
teachings, behavior and ethics to instilling an entrepreneurial spirit in students.
"Actually, in terms of market share, we are not too worried because
the large number of students has the potential to distribute and
consume the products we sell" (LK, 20-5-2022).

They are optimistic that with the potential number of students, marketing
can be taken into account. try to think about how the internal regulations that
support the development of business units into the operational system of Islamic
boarding school policies. Especially in the midst of conditions full of uncertainty,
it is necessary to integrate EL which is expected to be able to capture new
opportunities with organizational policies that are responsive to changes that must
be aligned and in line. This means maintaining the sustainability of the
implementation of EL in an organization(Lin & Yi, 2022).
"Perhaps the leadership can make this business structure more
formal, so that every manager can feel responsible and always ready
with the tasks given so that what is expected is achieved" (FK, 20-5-
22)
The explanation above can be said that a formal organizational structure is
needed to reorganize the duties, authorities and responsibilities within a business
unit. This is also one of the functions of EL to answer today's business challenges
which are full of uncertainty. This challenge becomes very visible, for example in
SMEs with family ownership status which is very aligned with the internal way of
managing the organizational structure, centralized chain of command in strategic
decision making.(Strobl et al., 2022). The explanation above can be said that a
formal organizational structure is needed to reorganize the duties, authorities and
responsibilities within a business unit. This is also one of the functions of EL to
answer today's business challenges which are full of uncertainty. This challenge
becomes very visible, for example in SMEs with family ownership status which is
very aligned with the internal way of managing the organizational structure,
centralized chain of command in strategic decision making.

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Bootstrapping
Here are the thoughts of individuals who are always looking for ways to
provide high value or benefits from the products or services provided. However,
consumers buy at a higher price but the benefits are much higher. According to
(Renko et al., 2015) his method is not easy because the resources required are not
as usual. But this is where the challenge must be done so that it can be seen
clearly from the organization. And the role of EL is certainly very necessary to
encourage out of the box business ideas which are indispensable for the
sustainability of an organization (Alsharif et al., 2021). Including in terms of sales
so that the products offered are in demand and survive in the market.
“I'm looking for a way to sell sugarcane products effectively, maybe one
of the values we can sell is the products from this pesantren, at least it will
give a positive impression because God willing, it will be contained in it.”
(FK, 20-5-2022)
The importance of a product can be tangible or intangible and can be felt
by consumers. Perhaps this is what the business unit at the Tebuireng Islamic
Boarding School wants to do. So that every product must be able to give such an
impression to make it easier to instill branding to consumers and also to society in
general.
"Yes, although it is not easy, we will continue to do it, in any way,
God willing, we can because the management is equipped with self-
development training in providing competence through education
and training" (LK, 20-5-2022)
Based on the explanation above, it can be said that individuals who have
the spirit of EL must always be optimistic in facing any changes that occur both
internally and externally. Even though it feels hard, for example, having to
balance two interests, namely increasing income and the interests of consumers
related to soul price sensitivity, EL will always encourage individuals to be able to
provide new breakthroughs in these 2 interests without having to harm the
organization.

Vision of future
According Kusuma (2009) say that Vision is what the company wants in
the future. The whole meaning in a series that is systematically arranged and
easily understood by members in the organization. The task of individuals who
are instilled in EL values is to communicate an attractive vision, open
entrepreneurial opportunities in an uncertain environment and shape
organizational attitudes towards environmental change by setting challenges and
taking risks(Lin & Yi, 2022). The key word lies in how the leadership ability in
communicating the vision to its members. Able to ensure that whatever is done
must be in accordance with the vision that has been set because the vision is also

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based on an in-depth organizational analysis of internal capabilities and external

opportunities. So, this must be adhered to together as a guide in the organization's
operations.
"The vision we hold still refers to the vision from the center but we
translate it by building a business and realizing government
programs, namely one pesantren, one product" (LK, 20-5-2022).
Each organizational guideline has one vision that is used as operational.
There is no leader at the Sugarcane Islamic Boarding School who has the vision of
“Leading Islamic Boarding School Produces People” to support the achievement
of this vision, one of the missions related to the development of this business unit
is that administration, staffing and learning must be based on quality science and
technology. This means that there is a need for EL capabilities for individual
administrators to always use technology in everything, including to offer their
superior products.
"Yes, we use social media such as WhatsApp, Instagram and others
to maximize so that our products are quickly known by the wider
community” (FK, 20-5-2022)
Based on the explanation above, it can be said that the vision has an
important role to bring all members in the organization to be more advanced and
qualified. Definitely by talking about the mission which is the embodiment of the
visit.

Taking risks
Every business has its own risks, this is due to very high competition and
uncertain changes in the business environment. Especially during the COVID-19
pandemic where the direction of business is unpredictable because there are so
many changes in product distribution that also affect people's patterns and
lifestyles. Research from (Hoang, Luu, Nguyen, et al., 2022) found that in the
midst of the COVID-19 pandemic, entrepreneurial leaders are urgently needed to
create business development opportunities in order to survive. create a takeaway
service for a restaurant or turn their hotel into a place for foreign tourists or
international students. This is certainly beyond the expectations of hotel owners,
but as a leader with an EL spirit, you must always be able to find new business
opportunities that can increase your income.
“One of the risks we take is to establish cooperation in the manufacture of
products such as honey, shampoo and soap with other companies but still
in the form of marketing cooperation only” (LK, 20-5-2022)
This is seen as a risk because the Teibuireng Islamic boarding school
should be able to produce it themselves so that consumers can recognize that the
product is homemade. Because if the preference is already directed at one product,
it will be more difficult to build a brand with different products.
"Yes, we still have to do it even though it's with a high risk, it's better to
take that risk because now we can do it. (FK, 20-5-2022).

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There are two important components in EL according to (Koryak et al.,

2015) the first is the perceived desire as measured by individual attitudes towards
income, risk, decision-making autonomy, work effort and enjoyment at work.
While the second is the perception of feasibility as measured by entrepreneurial
self-efficacy, namely the strength of a person's belief that he is able to
successfully carry out various entrepreneurial roles and tasks. Both of these
components require a fairly high level of risk taking. Therefore, it takes courage
to take risks which is the hallmark of entrepreneurial leadership (EL) and can
bring organizational members to be able to seize every opportunity that exists.

Conseptual framework enterpreneurial leadership

The challenge ahead is to strive for competitiveness and competitive
advantage that is based on the skills and creativity of human resources,
technological capabilities, and management capabilities while still taking
advantage of existing comparative advantages. In this regard, the development of
entrepreneurship (entrepreneurship) is very important for the community. The
entrepreneurial spirit is very important for national development. Entrepreneurial
leadership that is useful for the company in the future, as well as answering the
company's challenges to compete globally. In developing entrepreneurial human
resources, it can be seen from 3 entrepreneurial leadership according to Renko, et.
Al. (2013) include:
1.) Cognitive Ambidexterity. Leadership that involves playing logic and
creative logic in their decision-making approach. The principle behind
cognitive ambidexterity is that entrepreneurial leaders must rely on
multiple analytical approaches to complement their thinking and actions in
order to create and implement solutions that are socially, environmentally
and economically sustainable. The next thing that must be developed is an
entrepreneurial way of thinking about how and when it is needed using an
analytical approach.
2.) SEER (Social, Environmental, and Economic Responsibility and
Sustainability). Responsibility and adventure, entrepreneurs should know
how to initiate the creation and development of the inherent social,
environmental and economic value and potential synergies in it. in
addition they must learn to engage in simultaneous social, environmental
and economic value creation in a sequential manner. Beyond SEER,
entrepreneurial leadership also draws on their understanding of themselves
in a social context to guide effective action.
3.) SSA (Self and Social Awareness). Through an authentic and deep
understanding of their own sense of purpose and identity and how they are
influenced by the context around them, entrepreneurial leaders make more
effective decisions in uncertain and unknown circumstances.
Predictive logic, the use of traditional analytical approaches, is in addition
to the scientific method of thinking, thinking, and then acting to transform
organizations toward stated goals. Then the logical reasoning is that one can

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protect or control the future through detailed analysis. How to practice traditional
data mining, market research and statistical tools to identify and develop
opportunities. This approach is best suited for situations where the goal has been
defined, the problem is clear, the cause and extent are clear, and the data are
reliable and readily available. The prediction approach assumes that certain
futures can be predicted and decisions can be made based on those predictions.
Predictive logic, the use of traditional analytical approaches, is an adjunct
to the scientific method of thinking, thinking, and then acting to transform an
organization toward its stated goals. Then the logical reason is that one can protect
or control the future through detailed analysis. How to practice traditional data
mining, market research and statistical tools to identify and develop opportunities.
This approach is best suited for situations where the goal has been defined, the
problem is clear, the cause and extent are clear, and the data are reliable and
available. The prediction approach assumes that certain futures can be predicted
and decisions can be made based on those predictions.
Emerging global, social, environmental, and economic realities require
that we teach leaders to consider issues beyond maximizing profit creation and
shareholder value. Entrepreneurial leaders need to develop a more complex
understanding of the relationship between social, environmental, and economic
value creation (Huang, Ding and Chen, 2014). The traditional business paradigm
that focuses exclusively on creating economic value, or creating social and
environmental value as a secondary part of creating economic value, is no longer
true (Urban and Govender, 2017).
Individuals and organizations are more often held accountable for the
social, environmental, and economic outcomes of their actions. Entrepreneurial
leaders must operate from a different view of the business world where they
understand the inherent and potential synergies that exist between social,
environmental and economic value creation. Entrepreneurial leaders who develop
an understanding of this rich perspective can involve a more sophisticated
understanding of the one world that allows them to look at social, environmental,
and economic action.

Expertise and
competence effective leadership

Competitive advantage
high entrepreneurial
Islamic Boarding School
spirit
Professionalization
managerial ability

Figure 2. Conceptual framework of competitif advantage in boarding school

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From the results of these developments, it is expected to be able to develop

these entrepreneurs and face the challenges that develop in this era of
globalization, so as to create quality entrepreneurial leaders, including:
1. Dynamic and effective leadership (leadership). This leadership can be
interpreted as an effort to encourage influence, not coercion to motivate
and move (other parties such as): employees, subordinates, and the
community so that they work in accordance with the will of the leader,
namely the goals (strategy) of the organization. In carrying out this
leadership function (moving members of the organization) communication
skills or knowledge are needed and the factors that encourage someone to
work (motivation).
2. Professionalization of leadership, namely willing and able to bring
teamwork to always be creative, innovative, and look for various
opportunities by daring to take risks.
3. Expertise and competence in one or several areas and being an intuitive
thinker (opportunity seeker) not a systems thinker (job manager).
4. Have a high entrepreneurial spirit and spirit to be able to see, identify,
exploit, and create opportunities that have more value.
5. Having managerial ability to be able to change and move the organization,
(not fixated on the status quo with the existing system and conditions), in
accordance with the choice of organizational planning strategy.

CONCLUSION
The results of this study indicate that the identification of entrepreneurial
leadership on business performance achievement, not only by examining how
entrepreneurial leadership affects new venture performance through two types of
innovative activities namely, exploratory and exploitative innovation, but also by
revealing how this relationship depends on environmental dynamics. Making
changes continuously in an effort to create absolute advantage even though the
conditions have preceded.
Entrepreneurial leaders need to learn how to develop, implement and
measure the impact of responsible and sustainable solutions. The third principle of
entrepreneurial leadership involves developing a critical understanding of
themselves and the social context of the business opportunity. This understanding
provides the basis for a new way of looking at a broader view of business. By
starting with a critical understanding of their own perspective and the world
around them, entrepreneurial leaders are better equipped to apply diversity as they
respond to uncertain and unknown situations. They are also better equipped to
effectively create sustainable actions and to negotiate the uncertain and unclear
outcomes that can arise from their decision making.

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REFERENCES

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Thornberry, N. (2006). Lead Like An Entrepreneur: Keeping the Entrepreneurial
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(Journal Article)
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