Strengthening Financial Awareness of Souvenir MSMEs through Digital Accounting for SDG 8 Growth in Desa Adat Serangan, Bali

Abstract

Souvenir micro, small, and medium enterprises (MSMEs) in Desa Adat Serangan, Bali, operate within a tourism-based local economy but face persistent financial management constraints, including inaccurate cost of goods sold (COGS) calculations, the mixing of business and personal finances, reliance on manual records, and limited readiness to access formal financing. This community service program aims to strengthen financial awareness by integrating COGS restructuring with mobile-based digital accounting. A participatory problem-solving approach is organized into four operational stages: initial diagnosis, COGS restructuring using a simplified full-costing approach, implementation of digital accounting, and mentoring with evaluation. The diagnostic stage maps production flows, cost components, assets, and current recording practices. The intervention then introduces comprehensive cost identification, owner-labor recognition, depreciation, digital transaction recording, automated financial reports, digital invoicing, and simple inventory controls. The source proposal provides diagnostic findings and the designed intervention framework rather than completed post-intervention outcome data. Accordingly, this article reports the financial-management problems identified and the practical outputs designed to address them, including structured COGS worksheets, a digital accounting workflow, and an evaluation framework. The integrated model is expected to improve the reliability of financial information, support pricing decisions, strengthen business discipline and bankability, and contribute to SDG 8 through more resilient and professional local enterprises.