E-Commerce empowerment for SMEs Onno W. Purbo Independent IT Writer [email protected] Indonesia.
Dec 14, 2015
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References Industry& Trade Cooperative &
SME Post & Telecomm Statistical Bureau MASTEL APJII
www.dprin.go.id www.depkop.go.i
d www.postel.go.id www.bps.go.id www.mastel.or.id www.apjii.or.id
Archive e-Discussion [email protected] [email protected] [email protected] Asosiasi-warnet-
Term of Reference Life-long learning and the training of information
and communications technology professionals Skills retention strategies for trade administration
agencies reliant on information and communications technology
Collaboration with the business/private sector on skills development
Development of skills required to assist APEC members to establish a more pro-competitive policy and regulatory environment
Development of skills standards to support e-commerce
Overview
Current Indonesia Situation Population of 220 million people 90+ million labor force Only 3-4 million univ. grads
IT penetration correlates to education level.
IT Infrastructure Condition 2.2 million PC 8 million lines (Telco’s “monopoly”). ~150 ISP (liberal / no monopoly) 150.000+ Telecommunication Kiosk 1200+ Internet Café
Access point for 60-70% Indonesian users. 25.000 lines for connecting schools.
1.5 million Internet user Double every year. Hope to reach 20 million by 2004.
Business Structure ~40 Million Enterprises >98% SMEs
Industry Structure(BPS-KOMPAS 21-08-2000)
Scale No.Firms No.Worker
Rp. Billion
Large-Med
22,997 4,214,957 264,270
Small 241,169 2,077,298 14,858
Household
2,501,735
4,075,763 11,312
Total 2,765,901
10,368,020
290,440
Focus on e-Impact
Identified Major Issues Social & Cultural Aspects
Highly related to level of education. National movement on IT literacy. Enable the SMEs for high impact
Knowledge Preferably in local language.
Human Resource Teachers.
Infrastructure Telecomm & Internet Access. PC / Computers.
Basic Belief Mass of qualified Human Resource is the
key of success. IT Retention can only be maintained if:
Demand side - Enough carrots in marketplace for such IT knowledge.
Supply side - Abundant & accessible IT knowledge available at low & no cost.
Regulatory & policy framework – Make sure it can be implemented - self-finance & sustainable.
Language & number of literature would be the major barrier.
Challenges Simple policy & tech for high
impact. Small IT Mass (0.5% of population) Low density:
Information access facilities. Computer / PC Telecommunication infrastructure.
Slow Distribution of Knowledge.
Example ofReal Life Experiences Wayan, Bali & Lombok
Share design with European Distribution. Sells their craft & art over the Internet.
Anshori, Lampung Butterfly cultivation sell it at US$7 / cocoon.
Jerry, Bandung Textile export via B2B marketplace (mailing list).
Real Life Skill Needed for SMEs Ability to Read & Write in English. Limited knowledge of Internet
e-mail & Web Knowledge of B2B Markerplace
mailing lists on the Internet Access to Internet Café / Kiosk
~US$1 / hour (affordable for most people)
~US$5 / month (e-mail only access).
Indonesian e-Environment
E-commerce Community [email protected] [email protected] [email protected]
Indonesia Internet Business Community – I2BC
[email protected] Indonesian SMEs network.
Indonesian Internet Activities National IT Movement
[email protected] [email protected]
Internet Café Association [email protected]
Education Community [email protected] (vocational schools) [email protected] (rural islamic schools) [email protected] (private universities) [email protected] (digital library network)
Create Mass & Demand
Focus Tactical Activities Focus on Mass Centers
Schools ~ 18 million students Univ ~ 5 million students
Need only ~25.000 lines for schools. Internet & Telco Kiosk ~ 20-30M people Simple policy – high impact.
Focus on simple EC mechanism Substitute Telp, FAX with E-mail / VoIP. Simple B2B community forum e.g. mailing list. Use conventional payment systems.
Focus Tactical Activities Build & Extend Regional Marketplace
Aceh & North Sumatra with Singapore or Malaysia.
North Sulawesi with Philippine. Maluku & Papua with the Pacific. Bali, Nusa Tenggara & Maluku with Australia
If possible automate the transaction of their activities, e.g. using EDI.
Brief Infrastructure Strategies
Internet Infrastructure Liberalization of ISP ~150 license. 25.000 lines for educational sector
18 million potential internet users Require low cost internet appliance.
Internet kiosk – self-finance Contribute 60-70% current users Require internet appliance / terminal.
Corporate user – self-finance
Brief Knowledge Strategies
The Actor Small Medium Business & Industry.
~80 million workforce. 30+ million business entities. 2.5+ million industries.
Capacity BuildingMultiplying Effect Education Sector – ~20 million
people. Sustainable community-based
telecenters. Development Consultants / NGOs.
Real Example ofKnowledge Tactical Aspects Knowledge Management
Digital Library One way knowledge dissemination Two ways interactions
Knowledge Management Manual Translation Public domain IT Knowledge in CD-
ROM. Digital Library
Indonesia Digital Library Network http://digital.lib.itb.ac.id
Indonesia Cyber Library Society – [email protected]
Knowledge Generation Encourage writers to put & publish
their work in public.
One Way Dissemination ~20 dedicated IT magazines nationally.
Reaches couple 100th thousands people. IT column in most newspapers.
Reaches millions people. Public Domain Knowledge on Free CD-ROM. >100 title IT books in Indonesian
Need more dedicated IT writers. MoST – Technology Kiosk.
http://www.iptek.net.id http://www.citn.or.id
Two Way Interactions Egroups.com mailing lists. Seminar / Workshop
Millenium Internet Roadshow – 15 cities 2-6 Internet Seminars / Week in various
cities. Min. 2x / week – Internet Radio Talkshow
Training for trainers / IT evangelists.
Summary Focus on SME Educational Sector as strategic entry.
Proposed Major Strategies: Knowledge generation in local language
Incentive for IT writer. Training for trainers / IT evangelists.
Create knowledge infrastructure Adopt simple e-commerce mechanisms.
Focus on maximizing economical impact.
Thank you
Example ofSMEs Empowerment http://www.citn.or.id [email protected]
SME’s B2B Marketplace http://www.dprin.go.id
Tourism http://www.indo.com
Art craft & Antiques
B2B & B2C e-Commerce http://www.radioclick.com http://www.agroindonesia.com http://www.adlingo.com
Online Media http://www.detik.com http://www.natnit.net http://www.kompas.com
Directory Service http://www.searchindonesia.com http://www.indopage.com http://www.bluebookdirectory.com
Advanced Activities Financial / Capital Market http://www.indoexchange.com
Secure & Payment Gate http://www.bii.co.id http://www.bca.co.id
E-Commerce Provider http://www.nawala.com http://www.jatis.com http://www.dagang2000.com
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