Transformational Philanthropy Model: A Strategy for Sustainable Community Development in Indonesia

Hardiansyah Padli; Abdullah  Sahroni

doi:10.63919/ajmpce.v2i1.60

Authors

Hardiansyah Padli Universitas Islam Negeri Sjech M. Djamil Djambek Bukittinggi, Indonesia https://orcid.org/0009-0000-5327-9808
Abdullah Sahroni Universitas Islam Negeri Raden Fattah Palembang, Indonesia https://orcid.org/0009-0007-2165-079X

DOI:

https://doi.org/10.63919/ajmpce.v2i1.60

Keywords:

Transformational Philanthropy Model, Sustainable Community Development, Indonesia, Gotong Royong, Socio-Economic Inequality, Local Institutional Infrastructure.

Abstract

This study identifies three core pillars for advancing sustainable community development in Indonesia: reinforcing local socio-institutional foundations, critically understanding patterns of socio-economic inequality, and systematically integrating collective cultural values such as gotong royong (mutual cooperation). The research is motivated by the recognized limitations of traditional, charity-based philanthropy, which often perpetuates dependency and fails to address the structural roots of poverty. Through a systematic qualitative review and thematic analysis of scholarly literature, the study aims to develop a contextualized transformational philanthropy model. This model is designed to shift the paradigm from passive aid distribution to active community empowerment, positioning local actors as central agents in their own development trajectory. The concluding argument emphasizes that the success of this transformational approach depends on a synergistic balance, merging modern managerial efficiency with deep-rooted local wisdom, aligning religious ethical principles with professional institutional governance, and leveraging digital innovation to foster broad, inclusive participation. Ultimately, the model presents a strategic pathway for philanthropy to contribute meaningfully to long-term, equitable, and resilient community development in the Indonesian context.

Downloads

Download data is not yet available.

References

Abebe, M., & Cha, W. (2018). The effect of firm strategic orientation on corporate philanthropic engagement. Management Decision, 56(3), 515–533. https://doi.org/10.1108/MD-09-2016-0625

Aisyah, S. N. (2024). Synergizing the sustainable Islamic finance ecosystem in Indonesia the management collaboration line. Jurnal Bisnisman: Riset Bisnis dan Manajemen, 6(1), 28–44. https://doi.org/10.52005/bisnisman.v6i1.208

Andreoni, J., & Payne, A. A. (2003). Do government grants to private charities crowd out giving or fund-raising? American Economic Review, 93(3), 792–812. https://doi.org/10.1257/000282803322157098

Armiadi Musa. (2024). Islamic philanthropy movement in Indonesia: A contribution to nation building and world society. JURISTA: Jurnal Hukum dan Keadilan, 8(2), 478–492. https://doi.org/10.22373/jurista.v8i2.168

Bird, M. D., & Aninat, M. (2023). Inequality in Chile’s philanthropic ecosystem: Evidence and implications. VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations, 34(5), 974–989. https://doi.org/10.1007/s11266-022-00541-z

Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101. https://doi.org/10.1191/1478088706qp063oa

Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, (2), 77–101.

Brooks, A. C. (2004). The effects of public policy on private charity. Administration & Society, 36(2), 166–185. https://doi.org/10.1177/0095399704263474

Fahmi, R. A., & Panorama, M. (2025). Strengthening the role of Village-Owned Enterprises (BUMDes) in South Sumatra through Islamic social entrepreneurship. Journal of Islamic Economics Lariba, 11(1), 1–24. https://doi.org/10.20885/jielariba.vol11.iss1.art1

Feingold, A., & Rounsaville, B. (1995). Construct validity of the dependence syndrome as measured by DSM-IV for different psychoactive substances. Addiction, 90(12), 1661–1669. https://doi.org/10.1111/j.1360-0443.1995.tb02836.x

Fikri, M. K., & Andrean, R. (2023). Development of sustainable Tamanu industry in Indonesia based on the green waqf model through sharia crowdfunding platforms. Review of Islamic Social Finance and Entrepreneurship, 77–89. https://doi.org/10.20885/RISFE.vol2.iss1.art6

Fink, A. (2019). Conducting research literature reviews: From the internet to paper (5th ed.). SAGE Publications.

Glucksberg, L., & Russell-Prywata, L. (2022). Why philanthropy is no substitute for taxation: A case study of plutocratic philanthropy in the UK. LSE Public Policy Review, 2(4), 7. https://doi.org/10.31389/lseppr.68

Hayati, R. F., Arnes, O. V., & Kirin, A. B. (2023). An exploration of the innovation developed and adopted by Indonesian online zakat institutions in the era of smart society 5.0. MILRev: Metro Islamic Law Review, 2(2), 175–186. https://doi.org/10.32332/milrev.v2i2.8091

Herro, A., & Obeng-Odoom, F. (2019). Foundations of radical philanthropy. VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations, 30(4), 881–890. https://doi.org/10.1007/s11266-019-00136-1

Iskandar, A., Possumah, B. T., Aqbar, K., & Yunta, A. H. D. (2021). Islamic philanthropy and poverty reduction in Indonesia: The role of integrated Islamic social and commercial finance institutions. AL-IHKAM: Jurnal Hukum & Pranata Sosial, 16(2), 274–301. https://doi.org/10.19105/al-lhkam.v16i2.5026

Kohl?Arenas, E. (2015). The self?help myth: Towards a theory of philanthropy as consensus broker. The American Journal of Economics and Sociology, 74(4), 796–825. https://doi.org/10.1111/ajes.12114

Kurniati, P., Sapriya, Darmawan, C., Pratomo, W., & Putra, H. M. (2023). Strengthening Pancasila philanthropy in the millennial generation to develop citizenship character. In D. Iswandi et al. (Eds.), Proceedings of the 4th Annual Civic Education Conference (ACEC 2022) (Vol. 768, pp. 863–871). Atlantis Press SARL. https://doi.org/10.2991/978-2-38476-096-1_90

Laksmi, P. A. S., Putra, Y. D., Jamaludin, M. R. (2023). Self-reliance with nature: Development of subak ecotourism as an effort to empower the local community in Siangan Village, Gianyar District, Gianyar Regency. BHAKTI PERSADA, 9(2), 118–123. https://doi.org/10.31940/bp.v9i2.118-123

Lessy, Z., Adamek, M., & Khaja, K. (2020). Philanthropic zakat for the disadvantaged: Recipient perspectives from Indonesia. Asian Social Work and Policy Review, 14(3), 138–147. https://doi.org/10.1111/aswp.12204

Liu, W., Li, W., & Yang, J. (2020). Are venture firms more charitable after receiving government subsidy? A social exchange perspective. Academy of Management Proceedings, 2020(1), 14212. https://doi.org/10.5465/AMBPP.2020.14212abstract

Lontoh, N. L., & Oktariani, A. (2021). Setting up sustainable development of social enterprises model in Indonesia. Business Innovation and Engineering Conference 2020 (BIEC 2020). https://doi.org/10.2991/aebmr.k.210727.019

Maclean, M., Harvey, C., Yang, R., & Mueller, F. (2021). Elite philanthropy in the United States and United Kingdom in the new age of inequalities. International Journal of Management Reviews, 23(3), 330–352. https://doi.org/10.1111/ijmr.12247

Mardliyah, S., Dewi, P. A. R., Dharmawan, A., Prasetyawan, A., & Lestari, Y. (2021). Building family resilience through phylantrophy and populist policies to cope the Covid-19 pandemic in Indonesia. International Joint Conference on Arts and Humanities 2021 (IJCAH 2021). https://doi.org/10.2991/assehr.k.211223.178

Massi, M., Rojas?Méndez, J. I., & Pappacena, A. (2025). Reimagining value through artification: A conceptual and theoretical framework for philanthropy and marketing. Journal of Philanthropy, 30(2), e70016. https://doi.org/10.1002/nvsm.70016

Meidina, A. R., & Mokan, Z. A.-M. (2023). Shifting meaning: Islamic philanthropy according to the view of Muhammadiyah. Journal of Islamic Economics and Philanthropy, 6(1), 29. https://doi.org/10.21111/jiep.v6i1.9283

Meidina, A. R., Puspita, M., & Tajuddin, M. H. B. (2023). Revitalisasi makna filantropi Islam: Studi terhadap pandangan Nahdlatul Ulama dan Muhammadiyah. El-Uqud: Jurnal Kajian Hukum Ekonomi Syariah, 1(1), 1–13. https://doi.org/10.24090/eluqud.v1i1.7634

Mirza, S. S., Shafique, K., Vart, P., & Arain, M. I. (2011). Areca nut chewing and dependency syndrome: Is the dependence comparable to smoking? A cross sectional study. Substance Abuse Treatment, Prevention, and Policy, 6(1), 23. https://doi.org/10.1186/1747-597X-6-23

Moizer, J., & Tracey, P. (2010). Strategy making in social enterprise: The role of resource allocation and its effects on organizational sustainability. Systems Research and Behavioral Science, 27(3), 252–266. https://doi.org/10.1002/sres.1006

Mukhlishin, M., Dimyati, K., Absori, A., Ramadhan, J., & Sulthani, D. A. (2022). The effect of Indonesia philanthropy’s regulation towards the welfare state. BESTUUR, 10(2), 123. https://doi.org/10.20961/bestuur.v10i2.63527

Mushtaq, M., & Siddiqui, D. A. (2020). Exploring the nexus between culture, values, institutions, happiness and philanthropy: A global evidence. International Journal of Social Work, 7(1), 16. https://doi.org/10.5296/ijsw.v7i1.16366

Naisabur, N., Putra, H. M., Naisabur, C. A. P., Farid, D., & Ahyani, H. (2023). Islamic philanthropy fiqh in modern context. Al-Muamalat: Jurnal Ekonomi Syariah, 10(1), 24–35. https://doi.org/10.15575/am.v10i1.21068

Nguyen, H. V., Lee, D., & Warren, C. (2023). A comparison of stakeholder perspectives of tourism development in Sapa, Vietnam. Tourism and Hospitality Research, 23(1), 17–29. https://doi.org/10.1177/14673584221075179

Pamungkas, P. P. G. (2023). Digital transformation in increasing the effectiveness and efficiency of zakat management Muhammadiyah experience. Asyahid Journal of Islamic and Quranic Studies (AJIQS), 5(2), 109–128. https://doi.org/10.62213/d40tje39

Peck, L. R., D’Attoma, I., Camillo, F., & Guo, C. (2012). A new strategy for reducing selection bias in nonexperimental evaluations, and the case of how public assistance receipt affects charitable giving. Policy Studies Journal, 40(4), 601–625. https://doi.org/10.1111/j.1541-0072.2012.00466.x

Putra, M. D., Afandi, M. Y., Fadilla, S., Mansur, M., & Argantara, Z. R. (2024). Budaya berbagi dalam filantropi Islam: Kajian atas praktik kedermawanan di komunitas muslim. Istinarah: Riset Keagamaan, Sosial dan Budaya, 6(2), 149. https://doi.org/10.31958/istinarah.v6i2.13513

Putra, M. D., Fadilla, S., Shahmi, M. A., Mansur, M., Sahroni, A., & Hamzah, M. M. (2024). Collaboration for social justice: Islamic philanthropy, government, and communities in advancing welfare in marginalized areas. TAMWIL, 10(2), 71. https://doi.org/10.31958/jtm.v10i2.13797

Ricks, J. M. (2005). An assessment of strategic corporate philanthropy on perceptions of brand equity variables. Journal of Consumer Marketing, 22(3), 121–134. https://doi.org/10.1108/07363760510595940

Ridley, D. (2012). The literature review: A step-by-step guide for students (2nd ed.). SAGE Publications.

Sanusi, I. (2023). Pesan semiotis kesalehan: Studi analisis ayat-ayat filantropi lembaga amil zakat Muhammadiyah dan Nahdlatul Ulama di Instagram. Journal of Qur’an and Hadith Studies, 11(2), 125–146. https://doi.org/10.15408/quhas.v11i2.29021

Sastrawan, P., Hermawan, D., & Meliyana, M. (2023). Social philanthropy institutions in Indonesia: Review of strategic management studies of public organizations in social philanthropy institutions. IAPA Proceedings Conference, 295. https://doi.org/10.30589/proceedings.2023.897

Shapiro, R. A., Mirchandani, M., & Jang, H. (2018). Pragmatic philanthropy. Springer Singapore. https://doi.org/10.1007/978-981-10-7119-5

Sklair, J., & Glucksberg, L. (2021). Philanthrocapitalism as wealth management strategy: Philanthropy, inheritance and succession planning among the global elite. The Sociological Review, 69(2), 314–329. https://doi.org/10.1177/0038026120963479

Snyder, H. (2019). Literature review as a research methodology: An overview and guidelines. Journal of Business Research, 104, 333–339. https://doi.org/10.1016/j.jbusres.2019.07.039

Striebing, C. (2017). Professionalization and voluntary transparency practices in nonprofit organizations. Nonprofit Management and Leadership, 28(1), 65–83. https://doi.org/10.1002/nml.21263

Suharso, P., Sarbini, S., & Sumarsono, D. (2018). The philanthropy culture in the local area: The role study of philanthropy institution after the termination of PNPM in Boyolali Regency. E3S Web of Conferences, 68, 01012. https://doi.org/10.1051/e3sconf/20186801012

Suryanto, Rahmat, B. Z., & Marlina, L. (2020). Islamic philanthropy: Waqf empowerment of Madina Minimarket in Tasikmalaya - Indonesia. IKONOMIKA, 5(1), 1–16. https://doi.org/10.24042/febi.v5i2.5315

Syahrir, D. K., Wahyudi, I., Yunan, Z. Y., & Rahmawati, R. (2023). Leveraging Islamic economic to alleviate poverty in Indonesia: A promising pathway. International Journal of Entrepreneurship and Business Management, 2(2), 98–112. https://doi.org/10.54099/ijebm.v2i2.797

Syaifuddin, M., & Khalil, J. (2024). Accountability and transparency of zakat, infaq, shodaqah fund management (Case study on LAZISMU Pasuruan Regency). Jurnal Ilmiah Ekonomi Islam, 10(1), 1071. https://doi.org/10.29040/jiei.v10i1.12795

Terzieva, B., Burkart, C., Maier, F., & Meyer, M. (2025). Democracy and management: Organizational practices and nonprofits’ contributions to society. Nonprofit and Voluntary Sector Quarterly, 54(3), 493–517. https://doi.org/10.1177/08997640241267861

Triantoro, D. A., Wahyuni, T., & Purna, F. P. (2021). Digital philanthropy: The practice of giving among middle to upper-class Muslim in Indonesia and soft capitalism. QIJIS (Qudus International Journal of Islamic Studies), 9(2), 315. https://doi.org/10.21113/qijis.v9i2.7814

Ulfahadi, R. (2023). Islamic philanthropy on social media in youth volunteering movements. Dialog, 46(2), 135–144. https://doi.org/10.47655/dialog.v46i2.737

Wang, H., Choi, J., & Li, J. (2008). Too little or too much? Untangling the relationship between corporate philanthropy and firm financial performance. Organization Science, 19(1), 143–159. https://doi.org/10.1287/orsc.1070.0271

Wang, X., Zhang, Z., & Jia, M. (2022). Community norms and corporate philanthropy: The moderating role of women on board of directors. International Journal of Manpower, 43(5), 1239–1264. https://doi.org/10.1108/IJM-03-2020-0118

Widianto, A. A. (2018). Aktivisme, filantropi sosial dan pemberdayaan perempuan di Yogyakarta: Studi terhadap dinamika aktivisme Yayasan Sahabat Ibu dalam pemberdayaan perempuan di Yogyakarta. Jurnal Sosiologi Reflektif, 12(2), 193. https://doi.org/10.14421/jsr.v12i2.1316

Widianto, A. A., Hadi, N., & Irawan, I. (2018). Promoting social justice through philantropy: Women’s activism as civil society (A reflection on the emergence of Yayasan Sahabat Ibu in Yogyakarta). Proceedings of the Annual Civic Education Conference (ACEC 2018). https://doi.org/10.2991/acec-18.2018.9

Yuhertiana, I., Zakaria, M., Suhartini, D., & Sukiswo, H. W. (2022). Cooperative resilience during the pandemic: Indonesia and Malaysia evidence. Sustainability, 14(10), 5839. https://doi.org/10.3390/su14105839