The program requirements
The purpose of analyzing the program’s requirements elements is to determine the systemically related factors in developing the RFI program. The need for program management is a condition of the behavioral, institutional and prerequisite support required for the optimal operation of program activities. Based on the findings of interviews and focus group discussions, twelve sub-elements of RFI development requirements were determined to exist. Tabulated in Table 1 are the sub-elements of development requirements.
On the basis of the results of the matrix of impact cross multiplication applied to classification (MICMAC) analysis of the program’s requirements elements, there are five sub-elements in the independent sector with strong driving forces and weak dependencies. Sub-elements in this sector are essential to formulating a model, which means that all sub-elements in this sector are prerequisites for developing farmer interest and participation programs for RFI in Kabat District, Banyuwangi Regency. Included in the independent sector’s program requirements are the continuation of systemic RFI counseling, the simplicity of RFI financing techniques and procedures, the guarantee of RFI security, the competence of business management and farmer finances and the direct participation of farmers in the implementation of the RFI program.
According to the results of MICMAC’s analysis of the program’s requirements elements, there are two sub-elements in the linkage sector with a strong driving force and a strong dependence. Due to the unstable nature of the relationships between elements, this sector’s sub-elements require careful examination. The fulfillment of program requirements in this sector is possible after the completion of program requirements in the independent sector because if the program’s basic requirements have been met, it will have an effect on the fulfillment of program needs in the linkage sector. Farmers’ participation in implementing the RFI program necessitates the linkage sector’s program due to the local government’s policy of facilitating the adoption of RFI and institutional support at the farmer level.
The results of MICMAC’s analysis of the program’s needs elements indicate five sub-elements in the dependent sector,
i.e., those with weak driving forces and strong dependence. Sub-elements in this sector are dependent sub-elements that are easily influenced by other sub-elements; this indicates that meeting the requirements of this sector is not a priority, but is possible if different conditions are met first or if they are in the independent sector and the needs of the linkage sector have been met. Included in the dependent sector’s needs are the ability of rice farmers’ human resources to engage in modern agriculture, the suitability and harmonization of rural indigenous knowledge (local values) with the implementation of RFI, the commitment of related institutions to facilitate the development of rice farming businesses, information systems for farm business management/agribusiness information systems for farm business management/agribusiness and marketing and partnerships with industries leading to employment.
The results of the MICMAC analysis indicate that there are no sub-elements in the autonomous sector,
i.e., sectors with sub-elements that have weak driving power and weak dependence, sub-elements in this sector that are not related to the system and can be removed from the model, so it is known that all factors of needs used in research have a relationship with the system and must be met to develop an interest in the model, so it is known that all factors of needs used in research have Based on this, it can be seen that all aspects of requirements used in the study that have a relationship with the system must be met in order to increase farmer interest in the model and participation in RFI Kabat District, Banyuwangi Regency.
The results of a structural analysis using a Directional Graph (Digraph) of program requirements elements indicate that there are nine levels of program development. This result suggests that all of the program’s conditions can be met gradually by focusing on fulfilling the requirements at the lowest level, or level 9, as depicted in Fig 1.
Adjusting to the conditions of the resources provided for the development of the program, such as human resources, budget, revenue and other resources, can meet the program’s requirements in nine stages. Consequently, the implementation of satisfying requirements must be carried out sequentially, beginning with the priority requirements factor and has a significant impact on the program of increasing farmers’ interest in and participation in RFI Kabat District, Banyuwangi Regency.
The program’s requirements can be implemented in nine stages, beginning with implementing level 9 elements, which assures the systemic continuity of RFI counseling. This necessitates that agricultural extension agents in Kabat District, Banyuwangi Regency, provide RFI-related counseling continuously and on a predetermined basis. Counseling materials should be able to explain the overall goals of the RFI program and their delivery should be as straightforward as feasible to encourage farmers to participate in the RFI program.
If RFI counseling is or has been operating systemically and continuously, the following requirement to be met is to provide straightforward RFI financing techniques and processes. Farmers are typically more interested in participating in government- and private-sector programs whose technical implementation is straightforward
(Susilowati et al., 2021) and whose financing calculations are simple for farmers to comprehend.
The following requirement that can be met simultaneously is ensuring the security of the RFI and enhancing farmers’ business management and financial skills. These two requirements are on the same level and interconnected or influenced by each other; they can be satisfied simultaneously. So that RFI security guarantees do not encounter obstacles in the middle of their implementation, business management and farmers’ finances are required so that no condition of unpaid premiums or insufficient insurance results in losses due to a lack of business and financial management.
Farmers are both objects and subjects of the RFI program, so the following requirement is to assure their direct participation in the program’s implementation. Participating farmers in the RFI are required to adhere to a series of directives from the insurer regarding cultivation techniques, agricultural management and agricultural product management. In order to reduce the risk of crop failure, producers must be directly involved in the RFI program’s implementation.
The local government’s policy to facilitate the adoption of RFI and institutional support at the farmer level is a need that can be met simultaneously with other conditions at the level above it (
i.e., levels 9, 8, 7 and 6). In this instance, the local government policy is issued by the Banyuwangi Regency Government through the Banyuwangi Regency Agriculture and Food Service regarding the ease of adoption of the RFI program. Additionally, the institutional support at the farmer level is the support provided by farmer groups (Poktan) and the Association of Farmer Groups (Gapoktan) in relation to organizing the implementation of the RFI program.
The following requirement that can be met is the ability of rice farmers’ human resources to carry out modern agriculture, which can be met through continuous counseling provided by agricultural extension workers from the government and extension workers appointed by insurance agencies. It should be noted, however, that in order to facilitate the fulfillment of these requirements, the continuity of systemic counseling must first be established.
Suppose farmers are able to practice modern agriculture. In that case, the following requirement step is to adjust and actualize the harmonization of rural indigenous knowledge (local values) with the implementation of the RFI. So that there are no disputes between farmers and RFI organizing institutions, achieving RFI’s harmonization of actual local values is necessary. If this requirement has been satisfied, the following requirement is to secure the commitment of relevant institutions to facilitate the growth of rice farming enterprises. Implementing RFI in conformity with the local values adopted by farmers in Kabat District, Banyuwangi Regency, such as the value of mutual aid, mutual respect and other values, will allow both relevant institutions and farmers to fulfill their commitments to facilitate the development of rice farming businesses and follow to existing contracts, respectively.
At the completion of the program, the requirements that can be met include optimizing the information system for managing farming/agribusiness and marketing and partnerships with agriculturally engaged industries. These two requirements can be satisfied simultaneously because they are on the same level and related. Optimization of the information system for farm business management or agribusiness and marketing can be easily achieved if farmers already have a solid foundation in farm business management and a solid comprehension of level 7 management concepts. Optimal local government policy in facilitating the adoption of RFI and institutional support at the farmer level will also make establishing partnerships with industries involved in the agricultural sector more straightforward. On this basis, it is clear that satisfying basic needs can affect and facilitate fulfilling higher-level requirements.
In order for farmers to be interested in purchasing insurance, it is essential that extension employees receive consistent counseling on the benefits and guarantees of insurance. At least once per month, RFI program counseling activities can be conducted at least once per month to promote a strong perception in farmers’ minds. According to this study’s findings, counseling activities are essential and must be performed consistently. In the empowerment process, institutional counseling will provide the necessary insights and attitudes for making the right decisions.