Sharing the community-based business model experience with Pelalawan, Indragiri Hulu and Indragiri Hilir districts

Professor Herry Purnomo and the Participatory Action Research Community-Based Fire Prevention and Peatland Restoration (PAR CBFPR) team shared the process of formulating business models with the local community and community-based organizations from Dompas village. Professor Purnomo gave workshop attendees an introduction to the community-based business canvas, as well as delivered training on microcredit for community-based business enterprises located on peatland. The workshop and training days were held in the city of Pekanbaru on 5 March 2019 and in Pelalawan district on 7 March 2019, respectively. With a total of 93 people attending the workshop in Pekanbaru and 70 people attending training in Pelalawan, attendees included leaders and representatives from CSOs, private companies, farmer groups and governmental institutions from Indragiri Hulu, Indragiri Hilir and Pelalawan districts.

Introductory training on community-based business models was held in Teluk Meranti sub-district, Pelalawan district.

 Professor Purnomo began his presentation by explaining the business model concept, adding that in the context of fire and haze prevention, a good business model should deliver a good return of investment while also being ecologically suitable to prevent recurring fires. A CIFOR study revealed several land-based and non land-based commodities that are peat-adapted, including betel nut, pineapple, fish and honey. So that business models can be developed for these recommended commodities, Professor Purnomo explained the business model canvas, a tool to develop business models systematically, using nine components, namely customer segment, value proposition, channel, customer relation, revenue stream, key resources, key activity, key partner and cost structure. Together these components guide the process of formulating a business model. During testing of this model in Dompas village, under the PAR CBFPR project, the Dompas community found the business model canvas concept to be very useful in brainstorming, mapping business ideas and business development planning. During his presentation, Professor Purnomo gave examples of business models made by the MPA (Masyarakat Peduli Api or Fire Care Community) (Action Arena 1), women’s group (Action Arena 2) and farming families (Action Arenas 4, 5 and 6).