Social Media Orientation and Knowledge Creation of UKM in the Covid-19 Era: Mixed Methods Perspective

Abstract

Abstract. The purpose of this study is to analyze the antecedents of the role of social media orientation to improve organizational performance in Central Java fashion UKM and explore how the role of social media orientation for knowledge creation. The Covid-19 pandemic has brought changes to SME actors to change their business towards digital by utilizing social media Instagram, Facebook and TikTok as media to support business activities and a place for the knowledge creation process. In improving performance in the era of the COVID-19 pandemic, several variables can be used in this study, namely: social media orientation, structural social capital, and knowledge creation. The role of social media as a bridge (networking) to always be connected with stakeholders online both for personal and interpersonal members so as to open up opportunities for the creation of cooperation patterns so as to improve organizational performance. The use of social media in fashion UKM can be said to be high and agile skills. The higher the intensity of social media use, the more knowledge creation processes are received by fashion UKM through social media. Knowledge is used as the main asset in the process of creating new knowledge, in the form of a process of sharing knowledge from other parties such as knowledge about promotions, prices and the latest trends and finding new ideas so that SME members are always creative in increasing innovation. The method used is mixed methods with a concurrent embedded design type. The sample of quantitative research was 135 UKM and informants in qualitative research were 8 SME managers in the fashion sector in Central Java. Additional requirements for respondents, UKM have been using digital technology for at least 3 years, have a minimum turnover of ten million, and have at least 5 employees. Quantitative data collection used questionnaire distribution and qualitative data through interviews. Data analysis used PLS and thematic respectively. The data collection method used was through questionnaires and interviews which would then be analyzed using statistical and thematic analysis techniques. The results of the study showed that the ability of UKM to use social media is very high as a medium to support business such as a virtual promotional storefront, emotional bonding, a place for self-existence through communities and media for selling, thus opening up wide opportunities to improve the pattern of cooperation that is established in UKM both in personal and interpersonal. The role of social media is important in UKM for the creation of knowledge by processing information on social media so that a learning process is created to create innovations in improving organizational performance. The role of social media is able to be a bridge to establish cooperation and the process of creating new knowledge to improve the performance of SME organizations.

Keywords: COVID-19 Pandemic; Knowledge Creation; Organizational Performance; Social Media Orientation; Structural Social Capital.