The most recent initiative of the Indonesian Ministry of Communication and Information Technology is the Digital Technology Adoption Program 4.0 for MSMEs, which is a long-term assistance program for MSME producers in the transformation sector in 13 priority areas – part of their promotion of digital transformation for Micro, Small and Medium Enterprises (MSMEs).

North Sumatra, Bangka Belitung, Banten, Greater Jakarta and Thousand Islands, Central Java and Yogyakarta Special Region, East Java, West Kalimantan, West Nusa Tenggara, East Nusa Tenggara, South East Sulawesi, North Maluku, West Papua and Papua are among the thirteen provinces.

This program will be conducted for 6 months offline and online, involving 165 animators or local heroes, and implemented in 15 training centers distributed in 13 priority areas.

– Johnny G. Plate, Minister of Communication and Information

To support the MSME support facility, a starter kit in the form of a data set will be provided to 30,000 MSMEs for 6 months, equipped with a learning management system and a software application. point-of-sale (PoS) system aggregation. It is hoped that the MSME 4.0 digital technology adoption program will result in an increase in the level or scaling up of MSMEs in terms of digital technology adoption, which is divided into four levels: beginner, observer, adopter and leader.

The beginner level is designed for MSMEs with limited business, financial and technological dimensions. The first level is for those new to social media. Second, observe or use a market for businesses that have been run in a relatively modern but low-tech way. The third category is adopters, which are companies that have a good level of technology adoption and knowledge, but still use traditional business management, such as fintech platforms and aggregators and a point of view system. sale.

Meanwhile, Tier Leaders are companies that have been run relatively modernly and have a relatively high level of technology adoption and knowledge, such as the use of Big Data 3D modeling, QR code, augmented reality or virtual reality.

The Minister of Communication and Information explained that this program is a more intensive version of the digital or digital integration program for MSMEs. Through this sustainable assistance facility, it is hoped that MSMEs in the manufacturing sector will be able to increase their access to marketing, revenue, innovation competitiveness, and the efficiency and effectiveness of their operations. businesses, enabling them to access the classroom and contribute more to the economy, especially during the post-pandemic economic recovery.

Accordingly, the Minister of Communication and Information Technology believes that a commitment in support of strategic policy from various parties is necessary. This includes regional leaders, ministries and institutions, as well as industry support, including national and global technology companies, as well as the national digital ecosystem.

The role of small and medium enterprises in post-Covid-19 recovery

According to Minister Johnny, the public is currently taking sides and prioritizing job creation, and MSMEs are an important node for job creation. The number and qualifications of the jobs available, as well as the quality of the jobs themselves.

“To be carried out in a sustainable way, because our national MSMEs are very important and the foundation of our national GDP is based on MSMEs, which contribute to more than 97% of jobs,” he said. This has been demonstrated by the steadily increasing contribution of the digital economy to Indonesia’s GDP.

In 2019, the contributions of the new digital economy were around 2.9%, rising to around 4% in 2020, and they are collaborating to bring the contribution of the digital economy to GDP in 2030 to around 18.8%. Joint efforts to gradually increase the contribution of the digital economy to gross domestic product year by year continue to increase and will significantly contribute to Indonesia’s GDP.