Saturday, June 27, 2026

Is Military Education Necessary in Indonesian Co-operative Development?

The deaths of four prospective managers of the Village Red-and-White Co-operative (Koperasi Desa Merah Putih / KDMP) during Basic Military Training (Latihan Dasar Kemiliteran / Latsarmil) as part of the Indonesian Development Pioneer Graduate Programme (Sarjana Penggerak Pembangunan Indonesia / SPPI) in June 2026 provoked widespread public debate. This essay critically analyses the relevance of military education within the context of Indonesian co-operative development, examining the matter from the perspectives of co-operative philosophy, modern management theory, policy history, and international comparative practice. The central argument advanced is that military education bears no essential functional relationship to the managerial competencies required of co-operative managers, and is indeed potentially counterproductive to the democratic values that constitute the very spirit of the co-operative movement. As an alternative, this essay recommends a competency-based training model grounded in managerial and social entrepreneurship skills that are directly relevant to real-world operational needs.

I. INTRODUCTION

In June 2026, four prospective managers of the Village Red-and-White Co-operative (KDMP) died whilst participating in Basic Military Training (Latsarmil) as a component of the Indonesian Development Pioneer Graduate Programme (SPPI). The four victims — Anisa Muyassaroh, Yonanda Muhammad Taufiq, Novia Rahmadhani Sihotang, and Muhammad Rifki Renaldi Gunawan — passed away at separate training locations, each attributed to differing medical causes ranging from heat stroke and cardiac arrest to complications arising from pre-existing conditions. This tragedy is not merely a collection of individual accidents; rather, it reflects a more fundamental question of public policy: is military education either relevant or necessary for those who will manage co-operatives?

This question is not solely a matter of safety. It touches upon the very essence of the co-operative as a democratic organisation grounded in civic participation, and equally upon the logic of public policy regarding the coherence between training methods and the objectives they are meant to serve. The government, through the Ministry of Defence, argued that Latsarmil was designed to instil discipline, integrity, and a spirit of leadership. Yet a wide range of stakeholders — including members of parliament, academics, and civil society coalitions — have questioned this justification.

This essay addresses two principal questions: first, is there a functional relationship between military education and the competencies required of an effective co-operative manager? Second, what model of education ought to be provided to prospective co-operative managers so as to be genuinely aligned with the mission of Indonesian co-operativism? In pursuit of answers, the essay examines the philosophical foundations of the co-operative, the arguments for and against Latsarmil, the historical experience of Indonesian co-operatives, and international practices in co-operative capacity development.
 
II. THE PHILOSOPHICAL FOUNDATIONS AND PRINCIPLES OF CO-OPERATIVES

Before assessing the relevance of military education, it is necessary first to understand the nature of the co-operative and the values upon which it is founded. The co-operative, in its original intellectual tradition, emerged as a response to the economic injustices wrought by the industrial revolution. Robert Owen in Britain, and subsequently the Rochdale Pioneers (1844), laid the foundations of the modern co-operative movement upon principles that include: voluntary and open membership; democratic member control; member economic participation; autonomy and independence; and concern for the community.

The International Co-operative Alliance (ICA), the global apex body of the co-operative movement, affirmed in its 1995 Manchester Declaration that a co-operative is 'an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly owned and democratically controlled enterprise.' This definition underscores three cardinal values: autonomy, voluntariness, and democracy. All three are inherently at odds with military logic, which is predicated upon hierarchy, command, and unconditional obedience.

In Indonesia, this spirit was articulated by Mohammad Hatta — the Father of the Indonesian Co-operative — who regarded co-operatives as the 'main pillar of the national economy' and simultaneously as a vehicle for the economic education of ordinary citizens. Hatta wrote that the co-operative is not merely an economic institution but a school of economic democracy for the common people. In his view, co-operatives must grow from below, from the collective consciousness of the community, rather than being imposed from above through bureaucratic instruction — let alone through training that is military in character.

From a philosophical standpoint, therefore, military education is not simply irrelevant — it is actively capable of eroding the very values that every co-operative manager ought to embody: critical thinking, the courage to debate, deliberative leadership, and collective decision-making. Peter Davis, in his work on co-operative management, affirms that effective co-operative managers are those who facilitate rather than command; who listen to members rather than condition their compliance.
 
III. THE GOVERNMENT'S ARGUMENT AND ITS CRITICAL EVALUATION 
3.1 The Government's Case: Character Formation and Discipline

The government, particularly the Ministry of Defence, advanced several justifications for the Latsarmil programme. First, that basic military training effectively instils discipline, integrity, and loyalty — qualities deemed important for any organisational leader. Second, that the programme makes efficient use of the existing Auxiliary Component (Komponen Cadangan / Komcad) training infrastructure, thereby enabling 30,000 participants to be trained simultaneously. Third, the Head of the Presidential Staff Office, Dudung Abdurachman, stated that the physical training component had been calibrated to the condition of civilian participants and was not intended to produce military soldiers.

These arguments, whilst not entirely without basis, contain several fundamental weaknesses that warrant critical scrutiny.
 
3.2 Critical Evaluation: The Weaknesses of the Government's Case

First, the concept of 'discipline' is used equivocally. The discipline required of a co-operative manager is administrative in nature: precision in bookkeeping, consistency in financial reporting, and diligence in building relationships with members. This variety of discipline is in no way cultivated through drill exercises or field physical training. Research by Birchall and Simmons on co-operative leadership demonstrates that managerial competence in co-operatives is developed predominantly through learning-by-doing in organisational management, mentoring, and financial education — not physical exertion.

Second, operational efficiency is an insufficient justification. The fact that the government is utilising existing Komcad facilities does not render the method appropriate. Process efficiency cannot be divorced from outcome effectiveness. Should a method that is 'efficient' in operational terms fail to produce the competencies required — and moreover claim lives in the process — it fails on the more fundamental criteria of sound public policy. William Dunn's framework for policy analysis insists that policy evaluation must simultaneously consider effectiveness, efficiency, adequacy, equity, responsiveness, and appropriateness.

Third, the claim that the training had been 'adjusted' is contradicted by the empirical evidence. Four deaths within a single month of programme implementation constitute compelling evidence that the programme carried health risks that were not adequately managed for a civilian population with heterogeneous medical profiles. The health screening standards established for the Komcad — designed for civilians who are to form part of the national defence reserve — proved insufficient to screen the more varied health circumstances of SPPI participants.
 
IV. THE HISTORICAL DIMENSION: INDONESIAN CO-OPERATIVES AND STATE INTERVENTION

The debate surrounding Latsarmil cannot be disentangled from the long history of Indonesian co-operatives repeatedly falling victim to excessive state intervention. The failures of the co-operative movement during the Old Order and New Order eras offer lessons of direct relevance to present-day policy.

Under the Old Order, co-operatives were instrumentalised as tools of political mobilisation by those in power. They forfeited their autonomy and came to serve as vehicles for political interests rather than as independent economic organisations of the people. In the New Order era, this pattern continued in a different guise: the Village Unit Co-operative (Koperasi Unit Desa / KUD) became an extension of state bureaucracy. KUDs were not born of civic initiative but of government programme directives. Consequently, many existed only on paper, devoid of any meaningful economic activity, and ultimately collapsed under the weight of corruption and financial crisis at the close of the New Order — including the Agricultural Credit (Kredit Usaha Tani / KUT) scandal that ensnared thousands of co-operatives.

Hendri Saparini and her team of economists at INDEF noted that one of the structural causes of Indonesian co-operative failure was the 'destruction of social capital' resulting from the state's co-optation of co-operatives. When co-operatives do not grow from the trust and solidarity of their members, they lose their animating spirit and their resilience. This lesson is directly pertinent: the SPPI-KDMP programme, designed from the top down and employing military methods, risks repeating the same pattern — producing managers who are physically disciplined but lack a deep understanding of co-operative values and an organic connection with the communities they are meant to serve.

Global history offers equally instructive evidence. Co-operatives that have flourished — such as Mondragón in the Basque Country of Spain, agricultural co-operatives in Denmark, or Grameen Bank in Bangladesh — have never employed military education in the formation of their managers. Their success has instead been built upon substantial investment in technical education, managerial training, and the strengthening of collective values.
 
V. THE COMPETENCIES TRULY REQUIRED OF CO-OPERATIVE MANAGERS

If not military education, what does an effective co-operative manager genuinely need? A range of sources — from UGM public policy scholar Agustinus Subarsono, to ICA recommendations, to the co-operative management literature — point consistently to competencies that are technical and social in character, rather than physical.
 
5.1 Managerial and Financial Competencies

A co-operative manager must be capable of: drafting a realistic Annual Work Plan and Budget (Rencana Kerja dan Anggaran Pendapatan dan Belanja / RKAPB); performing basic bookkeeping and accounting; analysing financial statements; calculating and distributing the Net Surplus (Sisa Hasil Usaha / SHU) transparently; and managing cash flow to maintain the co-operative's liquidity. Without these competencies, a manager — however physically disciplined — will be incapable of performing his or her core function. Hendar Kusnadi, in his work on co-operative economics, emphasises that the success of a co-operative is determined in large measure by the quality of its financial governance.
 
5.2 Business Development Competencies

The Village Red-and-White Co-operative is designed as a multifunctional co-operative operating across savings and credit, the supply of staple foodstuffs, fertiliser, healthcare services, and more. To manage these activities, managers require: local market analysis and assessment of business potential; supply chain and inventory management; product development and marketing; and the negotiation of partnerships with state-owned enterprises, regional enterprises, and the private sector. These competencies call for education in business and social entrepreneurship, not military tactics training.

5.3 Participatory Leadership Competencies

A defining feature of the co-operative is collective ownership and democratic decision-making through the Annual General Meeting of Members (Rapat Anggota Tahunan / RAT). Co-operative managers must be capable of facilitating this deliberative process rather than leading by command. They require strong communication skills, empathy towards the diverse needs of members, and proficiency in conflict resolution. Hanel argues that effective co-operative managers are those who succeed in balancing a business orientation with a member orientation — an equilibrium that demands emotional and social intelligence, not physical endurance.
 
VI. POLICY RECOMMENDATIONS

On the basis of the foregoing analysis, this essay recommends a comprehensive reform of the KDMP manager training programme, replacing Latsarmil with a curriculum that is functionally relevant to the task at hand.

The first proposed module is Foundations of Co-operativism (2 weeks), covering the history and philosophy of co-operatives, the ICA Principles, case studies of successful co-operatives in Indonesia and internationally, and an understanding of the relevant regulatory framework (Law No. 25 of 1992 and subsequent legislation).

The second module is Co-operative Financial Management (3 weeks), encompassing basic accounting, the preparation of financial statements, cash flow management, SHU calculation, and financial audit and transparency. This training should be delivered with the support of qualified accountants and experienced co-operative practitioners.

The third module is Business Development and Social Entrepreneurship (3 weeks), covering local market analysis, the drafting of basic business plans, supply chain management, digital marketing strategies, and business partnership negotiation.

The fourth module is Participatory Leadership and Facilitation (1 week), providing training in chairing member meetings, managing internal conflict, and building effective communication with a range of stakeholders.

The fifth module is a Field Placement at a Model Co-operative (1 week), in which participants are attached to a well-functioning co-operative to learn directly from experienced practitioners.

This training model is not only more substantively relevant but considerably safer. It respects the diverse health conditions of participants and imposes no physical standards that bear no relation whatsoever to the work they will be expected to perform.
 
VII. CONCLUSION

The question of whether military education is necessary in Indonesian co-operative development was, in truth, answerable by logic and by history well before the tragedy of June 2026 unfolded. Yet the four deaths compel us to confront that answer with greater candour and greater urgency.

The answer is no. Military education is neither necessary nor relevant for prospective co-operative managers. Co-operative philosophy rests upon economic democracy, autonomy, and collective participation — values that stand in direct opposition to the hierarchical command logic of military education. The history of Indonesian co-operatives demonstrates that excessive, top-down state intervention has consistently been a poison to the co-operative movement rather than a catalyst for its growth. And in terms of competency, what co-operative managers require is managerial, financial, and participatory leadership capability — not the physical hardiness of a soldier.

The Latsarmil policy within the SPPI-KDMP programme is an instance of what Fischer terms a 'policy mismatch': a situation in which the policy instrument is misaligned with the objective it purports to serve. The cost of this misalignment is not merely budgetary inefficiency — it is measured in human lives.

The government must move swiftly to reform the SPPI-KDMP training curriculum: abolishing Latsarmil and replacing it with a comprehensive, competency-based managerial education programme that is genuinely relevant to the real challenges of Indonesian co-operative development. Only in this way can the Village Red-and-White Co-operative truly become a driver of people-centred economic development — rather than a programme born of instruction and concluded in grief.

REFERENCES

A. Books and Monographs

Birchall, J., & Simmons, R. (2004). What Motivates Members to Participate in the Governance of Consumer Co-operatives? Annals of Public and Cooperative Economics, 75(3), 465–495.

Davis, P. (2004). Human Resource Management in Co-operatives: Theory, Process and Practice. Geneva: International Labour Organization.

Dunn, W. N. (2018). Public Policy Analysis: An Integrated Approach (6th ed.). New York: Routledge.

Fischer, F. (2003). Reframing Public Policy: Discursive Politics and Deliberative Practices. Oxford: Oxford University Press.

Hanel, A. (2005). Organisasi Koperasi: Pokok-Pokok Pikiran Mengenai Organisasi Koperasi dan Kebijakan Pengembangannya di Negara-Negara Berkembang (3rd ed.). Bandung: Humaniora.

Hatta, M. (1954). Koperasi: Membangun dan Membina Koperasi. Djakarta: Balai Pustaka.

Hendar & Kusnadi. (2005). Ekonomi Koperasi: Untuk Perguruan Tinggi. Jakarta: Lembaga Penerbit Fakultas Ekonomi Universitas Indonesia.

International Co-operative Alliance (ICA). (1995). Statement on the Co-operative Identity, Values and Principles. Manchester: ICA.

Münkner, H.-H. (2012). Multi-Stakeholder Co-operatives and Their Legal Framework. In: Co-operative Firms in Global Markets. Bingley: Emerald Group Publishing.

Pachta W., Andjar, et al. (2005). Hukum Koperasi Indonesia: Pemahaman, Regulasi, Pendirian, dan Modal Legal. Jakarta: Kencana Prenada Media Group.

Ropke, J. (2003). Ekonomi Koperasi: Teori dan Manajemen (trans. Sri Djatnika S.). Jakarta: Salemba Empat.

Yunus, M. (2007). Creating a World Without Poverty: Social Business and the Future of Capitalism. New York: PublicAffairs.

B. Journal Articles and Research Reports

Ariyanto, D., & Wulandari, S. (2022). Analisis Kegagalan Koperasi Unit Desa pada Era Orde Baru: Perspektif Kelembagaan [Analysis of Village Unit Co-operative Failure in the New Order Era: An Institutional Perspective]. Jurnal Ekonomi dan Bisnis, 25(1), 45–62.

Nilsson, J. (1999). Co-operative Organisational Models as Reflections of the Business Environments. Finnish Journal of Business Economics, 4, 449–470.

Saparini, H., & Faizal, A. (2018). Reformasi Kebijakan Perkoperasian Indonesia: Menuju Koperasi yang Mandiri dan Kompetitif [Reforming Indonesian Co-operative Policy: Towards Autonomous and Competitive Co-operatives]. Research Report, INDEF, Jakarta.

Subarsono, A. G. (2005). Analisis Kebijakan Publik: Konsep, Teori dan Aplikasi [Public Policy Analysis: Concepts, Theory and Application]. Yogyakarta: Pustaka Pelajar.

Wijaya, A. (2019). Kepemimpinan Transformasional dalam Organisasi Koperasi: Studi Kasus Koperasi Pegawai Negeri di Jawa Tengah [Transformational Leadership in Co-operative Organisations: A Case Study of Civil Servant Co-operatives in Central Java]. Jurnal Manajemen dan Kewirausahaan, 21(2), 113–128.

C. Legislation and Official Documents

Ministry of Defence of the Republic of Indonesia. (2026). Official Statement Regarding the Incident Involving SPPI-KDMP Participants during the Latsarmil Programme. Jakarta: Ministry of Defence.

Republic of Indonesia. (1992). Law No. 25 of 1992 on Co-operatives. Jakarta: State Secretariat.

Republic of Indonesia. (2020). Law No. 11 of 2020 on Job Creation (Co-operatives Cluster). Jakarta: State Secretariat.

D. News Sources and Online Media

Kompas.com. (2026, 26 June). Empat Peserta SPPI Meninggal saat Latsarmil, Pemerintah Evaluasi Program [Four SPPI Participants Die during Latsarmil, Government Reviews Programme]. Retrieved from https://www.kompas.com

Tempo.co. (2026, 26 June). DPR Desak Pemerintah Evaluasi Latsarmil Calon Manajer Koperasi [Parliament Urges Government to Evaluate Latsarmil for Prospective Co-operative Managers]. Retrieved from https://www.tempo.co

CNN Indonesia. (2026, 25 June). Pakar UGM: Pendidikan Militer Tidak Relevan untuk Manajer Koperasi [UGM Expert: Military Education Irrelevant for Co-operative Managers]. Retrieved from https://www.cnnindonesia.com