OODA Loop Strategy for MSME Sustainability During COVID-19 Pandemic

Ramita Kholifaturrohmah, Cut Misni Mulasiwi


The coronavirus disease 2019 (COVID-19) pandemic has an impact on economic instability and has an impact on micro, small, and medium enterprises (MSMEs). A survival strategy is needed for the survival of MSME businesses during the COVID-19 pandemic. This study aims to analyse the Observe, Orient, Decide, and Act (OODA) Loop on MSMEs in Banyumas Regency. This research used qualitative research with a case study approach. The population in this study were 31 respondents in the handicraft sector MSMEs in Banyumas Regency. The data collection techniques usedd the method of observation, interviews, and research questionnaires. The results of this study indicate that the survival strategies carried out by MSMEs using the OODA Loop include: In the Observe stage, 31 MSMEs experienced a decrease in income for 4 months from early March to June 2020 with a decline rate of between 25% to 100%; The Orient stage shows that 80% of MSMEs explained that the decline in income was due to a decline in consumer purchasing power; The Decide stage shows several decisions made by MSMEs including continuing to produce by reducing quantity but quality, reducing employees, and creating additional business. Finally, the Act stage was conducting online promotion strategies, adding links, product innovation, following trends, and doing additional business. The results of the study recommend the use of the OODA Loop as a survival strategy for MSMEs so that it can be understood and adopted on an ongoing basis.


Keywords: OODA Loop; Strategy; MSME; COVID-19.

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