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3
UDC 332; DOI 10.18551/rjoas.2023-07.26
SUSTAINABILITY STRATEGY: TRANSFORMING TOURISM FROM THE LEADING SECTOR TO THE TRANS-SECTOR IN BALI
Iswara Agus Made Yoga*
International Institute of Tourism and Business (IPB International), Bali, Indonesia
Astawa I Nengah Dasi
Universitas Pendidikan Nasional, Denpasar, Bali, Indonesia
Suyasa Darma, Diana Wira
International Institute of Tourism and Business (IPB International), Bali, Indonesia
*E-mail: agus.iswara@hotmail.com
ABSTRACT
The recovery of Bali tourism after Covid-19 has provided optimal results, even Bali's economic growth in the first quarter amounted to 6.04% and Bali is already ranked 6th best nationally. The number of international flights to Bali has reached 36 airlines with an average passenger between 13,000 - 15,000 foreign tourists per day. The learning during the Covid-19 period indicates that it is time for Bali tourism to improve, which is not just looking at the quantity approach, one of which is the achievement of tourist arrivals as an indicator of tourism success, but the impact of benefits on society, nature and Balinese culture in a sustainable manner. This article tries to provide an overview that the jargon of Bali tourism as a leading sector is no longer relevant but Bali tourism is time to transform as a trans-sector. This article also seeks to provide a quality, dignified and sustainable tourism management strategy by realizing Bali as a responsible destination to attract more responsible tourists as well. This research uses a qualitative method with secondary data from various literatures such as books, articles, internet pages, webinar materials and focus group discussions to access the latest data and information related to the development and problems of Bali tourism today, the positive and negative impacts of Bali tourism and Bali tourism strategies as a trans-sector that is more grounded and provides sustainable benefits to all stakeholders and society.
KEY WORDS
Sustainable development, tourism, public service, Bali.
The tourism sector must be able to rise to adapt to the new order of life (New Normal). Preparatory efforts are needed to face the conditions of The New Normal and also The Next Normal. Evidence of the growth of the tourism sector before the pandemic can be seen in the growth in the number of people travelling in the world from year to year. Optimism for the tourism sector is a real thing because the number of tourist visits continues to increase from time to time. In 2014 the number of tourists travelling or tourist arrivals worldwide was 1.1 billion, up 50 million compared to 2013. In 2018, that number rose to 1.4 billion. Calculations made before the Covid-19 outbreak, the number of tourists travelling around the world was predicted to reach 1.8 billion in 2030 (WEF TTCI 2019). That prediction was certainly not achieved, but if the pandemic does not last long, there is optimism that the number of travelling tourists will remain high.
For the scope of Indonesia, tourism has become a leading sector or core business that is expected to make the largest contribution to the country's foreign exchange. The tourism industry is expected to absorb a large number of workers, be able to increase income and the economy and can make a large contribution to a country. This is what encourages Indonesia to develop tourism as one of the development sectors by targeting the visit of 20 million foreign tourists in 2019, although it could not be achieved due to various obstacles
such as the Mount Agung disaster erupting in Bali and the earthquake in Sulawesi which had disrupted the smooth flow of people travelling. President Jokowi in his 3 Years of Working Together note emphasized that "I set tourism as the leading sector", tourism is made as the leading sector this is good news and all other ministries are obliged to support and that I set it". The determination of tourism is a leading sector for Indonesia because tourism is one of the easiest and cheapest contributors to GDP, foreign exchange, and employment (Kerja3ersama 2017).
However, in reality, in the order of implementing the concept of tourism as a leading sector, it is widely misinterpreted and even misused as an excuse to develop tourism to increase foreign exchange earnings and provide jobs without thinking more deeply about environmental and cultural impacts, which at the same time increases jealousy and gaps with other sectors. The number of rooms in Bali in 2018 totalled 146,000 rooms and 102,000 rooms were located in Badung Regency, while 44,000 rooms were spread across other districts/cities in Bali (PHRI Badung 2019). On the other hand, this data illustrates that Bali, especially in Badung Regency, has entered a saturation point in the supply of rooms, and also has an effect on social problems such as congestion, limited availability of clean water, increased crime, significant changes in land functions intended to support the tourism sector, and the inevitable problem is the occurrence of tariff wars among the tourism industry itself. This condition certainly needs to be considered so that Bali does not fall into the condition that tourism kills tourism, which will indirectly create the concept of mass tourism and is no longer oriented towards quality tourism. This will also have an impact on the decline in the value of Balinese local culture and the environment from a tourism point of view because mass tourism is more oriented towards the cheap value of a destination and of course, threatens the sustainability of Bali's tourism destinations.
LITERATURE REVIEW
The tourism sector has made the largest contribution to Bali's economy. In 2019, total foreign exchange from Bali tourism reached USD 9,346 million or equivalent to 53.65% of Bali's GRDP and contributed 55.26% to national travel foreign exchange (Bank Indonesia, 2020). According to IUOTO (International Union of Official Travel Organization; Spillane, 1993), indicators of the benefits of tourism as a leading sector of development can be measured not only through quantitative data, but also need to be complemented by a qualitative approach. Tourism should be developed with the following considerations: (1) Tourism can act as a trigger factor for national and international economic development; (2) Trigger prosperity through the development of communication, transportation, accommodation, other services; (3) Special attention to cultural preservation, social values for economic value; (4) Equal distribution of welfare caused by the consumption of tourists in a destination. (5) Earning foreign exchange; (6) Triggering international trade; (7) Triggering the growth and development of tourism professional education institutions and institutions that specifically form a reliable and polite hospitality spirit, and (8) Market share for local products so that various products continue to grow, along with socio-economic dynamics in a destination area.
Iswara (2022) in a study entitled "Sustainability Marketing to Support Sustainable Tourism in Bali" outlines that so far, the role of marketing is rarely taken into account in the context of discussing sustainable tourism development. This happens because marketing is still narrowly understood as an effort to get as many tourists as possible, to increase market share. Marketing professionals also assume that their main task is to sell products, while the task of preparing products for sale is the task of other parties or people. In fact, if examined more deeply, the role of marketers is not only to sell and sell products but to be responsible for making and maintaining product quality. If viewed more macro, marketers must participate in making the products they sell and Bali tourist destinations in general to remain qualified and sustainable. Marketing cannot just fulfill the expectations and desires of tourists just to make a profit and satisfy tourists, at the cost of social, cultural, and environmental costs borne by the community in the destination. Professional marketing ideally negotiates
with customers to invite customers to participate in preserving the nature and culture of the destinations where they visit.
The thoughts of experts at the 2022 International Tourism Leader Summit (ITLS) resulted in the conclusion that tourism is no longer relevant to be echoed as the leading sector, but must appear more grounded, realistic, wiser, and can provide wider benefits. Tourism is the time to transform from the leading sector to the trans-sector; synergize, collaborate, and go hand in hand with other sectors in creating sustainable benefits. ITLS also presents a new definition of tourism, which is a trans-sector that becomes a liaison, connector, or activator in integrating various sectors in creating value and benefits for all stakeholders in a sustainable manner.
Iswara, Astawa, Suyasa and Diana's research entitled "Post-Profit Strategy: Redesigning Roles of Marketing as a Pillar in Supporting Sustainable Tourism Development in Bali" (2023) wrote that the times require companies to not only pay attention to profits, but also the surrounding conditions including aspects of society and the environment. The demand for corporate social responsibility is a universal phenomenon, applicable when and in various places in the world. John Elkington in 1994 introduced the concept of Triple Bottom Line (TBL or 3BL), or also 3P - People, Planet and Profit. These three elements are the pillars that measure the sustainability value of a company with three criteria: economic, environmental, and social (Elkington 1997). The universality of sustainable development is not only a moral movement but is engineered as a political commitment of the nation launched by the United Nations through a development program known as the Sustainable Development Goal (SDGs). Indonesia is among the countries that recognize the SGDs program, the consequence is that all fields of development must live and practice the SDGs program, including of course the tourism sector. There is much that the tourism sector can do to realize the achievement of the UN 2030 SDGs agenda, especially those related to ending hunger, protecting the planet, and ensuring prosperity for all people (Hall 2019). In its implementation, tourism actors do not have to carry out alone, but can step together with tourists, for example encouraging tourists to become responsible tourists who are willing to make donations or volunteer to help improve the welfare of local communities.
METHODS OF RESEARCH
This research on transforming tourism from leading sector to trans-sector to support sustainable tourism development in Bali is a study conducted with a qualitative approach. Moleong (2007) defines qualitative research as a research procedure that produces descriptive data in the form of written or spoken words from people and behaviors observed from the phenomena that occur. As a qualitative approach, it means that the working procedures and data collected and analyzed are qualitative data such as opinions, opinions, analysis, predictions, discourse, and observation results. The data is critically examined, described descriptively supported by available quantitative data. The result of this research is an analysis of the phenomenon based on views of the phenomenon and ideas for its improvement carried out through a series of data mining. Data collection was conducted through in-depth interviews and focus group discussions (FGDs). In addition, the views of previous researchers contained in books, documents, publications also play an important role in examining the research subject so as to provide a clear picture of understanding and new or alternative forms of knowledge that are stronger.
RESULTS AND DISCUSSION
An island as small as Bali has many tourist attractions, ranging from natural attractions, cultural attractions, and man-made attractions and should be a national tourism barometer. The daily life of the Balinese people including of course the traditional activities based on custom and religion is a unique attraction that Bali has proven to attract tourists (Vickers 2011; Picard 2006). The beautiful attractions are what makes the number of visits to Bali continue to increase. Bali has always been a model for national tourism development. When
Jokowi was elected President, two of his policies showed how Bali plays an important role in the development of national tourism. First, the President set a target of 20 million visitors in 2019 (after five years in office), of which Bali was targeted to bring in 10 million. Secondly, the President is building tourism in other areas of Indonesia under the name 'Ten New Bali'. The 10 New Bali are Lake Toba, Tanjung Kelayang, Tanjung Lesung, Seribu Island, Borobudur Temple, Mandalika, Mount Bromo, Wakatobi, Labuan Bajo, and Morotai and then in 2019 it was narrowed down to 4 super priority destinations namely; Lake Toba, Borobudur, Labuan Bajo, and Mandalika. Bali is placed as a locomotive and role model for national tourism development.
Bali tourism is very influential on the overall total of foreign tourist visits to Indonesia. The number of tourists visiting Bali each year has a significant impact on the number of foreign tourist visits to Indonesia itself. For example, in 2018, the total number of foreign tourist visits to Indonesia was 15.8 million tourists, while Bali's visits in the same year reached 38.40% of the number of visits. Then in 2019, the participation that Bali contributed reached 39.00%, it can be concluded that almost 40% of the total foreign tourists who visited Indonesia that year visited Bali. Naturally, tourism in Bali gets the title of the leading sector. Bali's tourism market comes from various countries in the world. However, the most prominent are tourists from geographically close countries. For example, those on the Australian Continent and the Asian Continent. The closer the origin of tourists, the more they tend to visit Bali. This is certainly related to access and the cost of flying far (long haul) will be more expensive than flying short (short haul), This is evidenced by the market from Australia and Japan long dominated the foreign tourist market to Bali. After that, the rise of the Chinese market managed to shift the dominant number of Australian market visits. This happened because the size of the Chinese market is large in proportion to the size of its population. This is not to say, the distant market is less interested in Bali. Bali's tourism promotion and marketing programs in Europe benefit from Bali's image as a magical island or the island of Gods.
One other prominent indication of Tourism in Bali as a leading sector is Bali's contribution to the national 40% is thanks to the cooperation between various subsectors such as travel agencies, accommodation businesses, tourist attractions, transportation businesses including national and foreign airlines, and of course due to the role of the government. The most immediate and easily calculated economic contribution is the value of the development tax (PB 1) which is quoted at 10% of the hotel room rate or food price. The Badung Regency Government and Denpasar City Government, which have the most hotels and restaurants in Bali, benefit from the tourism economy in the form of high taxes. In 2018, for example, the Badung regency received IDR 4.3 trillion from hotel and restaurant taxes, while its total PAD for the same year reached IDR 5.4 trillion, meaning the economic impact of tourism is 80% of Badung's total PAD. The more aggressive the marketing of tourism accommodation services in Bali, the more potential tax revenue, meaning the higher the economic impact of tourism in Bali.
Achieving business profit will accelerate the achievement of return on investment (ROI) of a hotel business. Every business must calculate ROI accurately to obtain certainty that the business can grow. Bali is one of the most lucrative investment locations for domestic and foreign investors, especially in the hotel and property sector. No wonder the construction of resorts, hotels and villas continues every year. Even the target of investors in Bali is not necessarily to stop to achieve ROI from the hotel business, but to develop into several business units in other locations that have promising business potential. This development pattern is one of the triggers for high land conversion and uncontrolled development of tourism accommodation businesses and their supporters.
Large-scale conversion of paddy fields in Bali is a direct result of the tourism industry. High economic growth causes several economic sectors to grow rapidly, requiring more land. Paddy fields located close to economic sources will experience a shift in use to other forms such as settlements, manufacturing industries and infrastructure facilities. This happens because the land rent obtained from new activities is higher than that generated by paddy fields. The conversion of paddy fields occurs due to the replacement of factors of production
in such a way solely to obtain maximum profit. Changes in land use change from rice fields to tourism land are very significant, this can affect the balance of the environmental ecosystem and also affect the pattern of life of the community who used to be farmers to become tourism actors and spectators of tourism changes. Changes in the pattern of life and the environment of the community, for example in the Petitenget area, are caused by economic limitations as poor farmers, lack of attention from the government to the welfare of farmers, and increasing land prices caused by investors to build the tourism business industry.
Tourism can certainly provide added economic value to the lives of Balinese people, including added value to income for the community, welfare and education. Naturally, Balinese people hope that the tourism sector, which has proven to be able to provide welfare, can continue to increase their income. But when their expectations are not met, there is disappointment. Those who are unable to get the job they want will be frustrated and become unemployed, which in turn will grow the number of crimes against tourists which continues to increase every year. Coupled with the issue of migrants who make Bali a place to try their luck and hope to get a good living, but if these expectations are also not met, groups of people appear who commit crimes, especially against foreign tourists, be it acts of mugging, robbery and even rape.
The rapid development of Bali tourism has put the local population in a bind. The lands that were once inherent in the lives of Balinese people have now been usurped by the penetration of global investment called tourism. Cliffs have been transformed into villas, stretches of land on the coast have become luxury resorts. Even lands full of rocks and steep cliffs can become discos or cafes. The development of tourism in Jimbaran has changed the professions of the Jimbaran community, especially millennials, from farmers, salt makers, and fishermen to professions engaged in the tourism sector such as hotel employees, restaurant employees including Jimbaran grilled fish cafes whose bodies are lined up along Jimbaran beach. This condition is in accordance with the theory of hegemony coined by Antonio Gramsci, namely critical thinking to lead people or groups of people to do what is needed either openly or secretly, by involving existing components (Sugiono 1999).
The increase in the number of tourists to Bali has also created a new problem, namely congestion on the roads leading to tourist destinations on the Island of the Gods. Road construction in Bali is unable to cope with the rapid increase in the number of vehicles owned by residents and transporting tourists. As a result of this congestion, travel time from Ngurah Rai Airport to tourist destinations has tripled. Congestion due to the progress of tourism has backfired because it causes inconvenience not only for tourists but also for residents. With the increase in tourist visits, it certainly affects the mobility of the population. This causes more vehicle movements on roads, for example in Legian. The greater movement but not balanced with supporting facilities can cause problems in the performance of road sections, such as traffic problems and reduced road service levels. In addition to the influence of the increasing number of movements, road section performance problems are also caused by on-street parking.
From the description above, it is clear that the journey of Bali's tourism industry as a leading sector certainly provides positive growth benefits, but also leaves many problems that need to be taken seriously by all stakeholders. Tourism as the leading sector also makes the face of tourism seen increasingly violent in increasing the conversion of agricultural land, including the hegemony of local communities due to tourism development, increasing congestion points and even price wars because the number of hotel providers is not proportional to the number of requests, thus leading to a situation that can be said as tourism kills tourism.
The development of the times requires a destination or company to not only pay attention to profit, but also to the surrounding conditions including community and environmental aspects. Tourism is no longer relevant to be echoed only as a leading sector but rather implemented as a trans-sector with a face that is more grounded, realistic, wiser, and can provide wider benefits. The trans-sector is essentially intended to create equitable
development between generations in the present and future. Sustainable development aims to improve the welfare of society, to fulfil human needs and aspirations.
In this case, there are five strategies in implementing tourism as a trans-sector, namely: 1) integration, which acts as a connector in connecting one sector with other sectors, 2) equity, which acts as a distributor to create more equitable value and benefits, 3) participation, which acts as an activator to embrace other sectors to contribute together, 4) benefits, which acts as an active creator in creating sustainable value and benefits, and 5) sustainability, which acts as a stabilizer to harmonize economic aspects, environmental aspects and cultural aspects.
The demand for social responsibility of a destination is a universal phenomenon, applicable anytime and anywhere in the world. John Elkington in 1994 introduced the concept of Triple Bottom Line (TBL or 3BL), or also 3P - People, Planet and Profit. These three elements are the pillars that measure the sustainability value of a destination with three criteria: economic, environmental, and social (Elkington 1997). Tourism development as a trans-sector has a concept that can minimize negative impacts and not provide a burden for the next generation. The development of sustainable Bali tourism is not only beneficial for Bali but also contributes to the global development goals of the United Nations (UN) in the 2030 Agenda known as the Sustainable Development Goals (SDGs).
CONCLUSION
Optimism for the tourism sector is a real thing because the number of tourist visits has increased steadily over time except during the Covid-19 Pandemic. However, in reality, in the order of implementing the concept of tourism which is only emphasized as a leading sector, it is widely misinterpreted and even misused as an excuse to develop tourism to increase foreign exchange earnings and provide jobs without thinking deeper about environmental and cultural impacts which at the same time increase jealousy and gaps with other sectors. The face of tourism as a leading sector is also identical to giving everyone space to compete to gain economic benefits without thinking about the negative impacts caused such as increasing the conversion of agricultural land, including the hegemony of local communities due to tourism development, increasing congestion points and even price wars because the number of hotel providers is not proportional to the number of requests.
Tourism is no longer relevant to be echoed only as a leading sector but as a more responsible trans-sector with a face that is more grounded, realistic, wiser, and can provide wider benefits. The implementation of the trans-sector concept can be done with five strategies, namely: 1) integration, 2) equity 3) participation, 4) benefits and 5) sustainability. The trans-sector is essentially intended to create equitable development between generations in the present and future. So that the definition of tourism can develop into a trans-sector that becomes a liaison, connector, or activator in integrating various sectors in creating value and benefits for all stakeholders in a sustainable manner.
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