Micro, Small, and Medium Enterprises (MSMEs) have proven resilient, even during the COVID-19 pandemic, and have become a pillar supporting the national economy. However, MSME actors still require guidance in undergoing digital transformation to further develop.
Deputy Minister of Communication and Digital Affairs Nezar Patria stated that four challenges to the digital adoption of MSMEs are financial capacity, internet connectivity, digital skills, and limited computer devices.
Deputy Minister Patria explained that his team is implementing programs to develop telecommunication infrastructure, train digital talents, and provide mentoring to level up and accelerate MSME businesses, all to encourage the improvement of digital literacy among MSME actors.
“All of these efforts must be done through collaboration between the government, the business community, higher education institutions, facilitators, MSME activists, and entrepreneurs,” he said during the seminar titled “Strategies and Best Practices to Improve MSME Capacity for Upgrading” held by UGM and UGM Alumni Family (Kagama) on Sunday, Nov. 3, 2024, at UGM Multimedia Room.
In the same event, he shared an example of the successful digitalization of MSMEs in Indonesia, which has broken into the global market and leveled up, namely the startup “Efishery.”
“Take Efishery as an example. When intervened with the right digital technology, a simple business can strengthen production, optimize results, and, most importantly, build an ecosystem,” he explained.
Digital Marketing Specialist Iwan J. Prasetyo shared his observations from the field, where the focus is on encouraging business actors to create content and branding to boost sales.
“Many MSME actors already think they are digitally savvy just because they have social media accounts, when in fact, they only have one post on their account,” said the UGM alumnus.
Prasetyo pointed out that MSME needs at least three skills: photography or video creation, copywriting, data analysis of posts, and proficiency with supporting applications such as social media, marketplaces, Google Ads, editing apps, and AI tools.
He emphasized the importance of digital asset awareness.
“When business actors realize that social media accounts are business assets, they will take on the responsibility of managing these accounts, and digitalization can proceed smoothly,” he explained.
Agus Mashud S. Asngari, President and Director of the Pertamina Foundation, elaborated on Pertamina’s role in supporting the capacity development of Small Micro Enterprises (SMEs) by launching the UMK Academy, which offers an intermediate to advanced development curriculum.
“The benefits of this program include production equipment assistance, incubation training, mentoring, networking, access to capital, and exhibition opportunities,” he said.
Regarding funding issues, Dr. Kaspar Situmorang, Head of the BRI Digital Innovation Division, discussed BRI’s readiness to collaborate with as many MSMEs as possible to take advantage of “LinkUMKM.”
This BRI product helps with assessments, expanding businesses’ reach to appropriate markets based on suitable financial products and evaluations, and even bridging them to export opportunities worldwide.
Author: Bolivia
Editor: Gusti Grehenson
Post-editor: Lintang Andwyna Nurseisa Azrien