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An ICT framework to support SME growth (financial and non financial methodologies)An ICT framework to support SME growth (financial and non financial methodologies)
International Seminar SME Policies and Practices to promote the use of ICT: Experiences in APEC Economies
October 25th - 26th, 2011Lima, Peru
Kawi Boedisetio
The Assoc ia t ion for the Advancement of Smal l Bus iness - IndonesiaPerkumpulan Untuk Peningka tan Usaha Kec i l (PUPUK ) - Indonesia
E-dev for SME
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Wieke I. [email protected]
This document was prepared using LibreOffice from The Document Foundation, as a part of
campaigning free, libre and open source software
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outline
Triggering facts
Brief analysis
initiativecases
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Misleading approach (1)
quick delivering...
cheap delivering...
simple delivering...
ICT campaign in the past, regarding information:
Most SMEs did not care about information is. Good business culture did not adopted yet...
Most SMEs are rarely doing such information-related activities, as: info exploration, correspondence etc.
They did not have any sense in how quick, cheap and simple information being delivered.
Facts
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Misleading approach (2)
SME is the weakest group in ICT literacy...
ICT campaign in the past, regarding targeted group:
In average, SME literacy in ICT was as low as government officer literacy.
Most government offices are rarely make use of ICT as a tool to provide services and data exploration as well.
Facts
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Misleading approach (3)
ICT knowledge mainly flows from knowledge pool as University or Government Info Provider...
ICT campaign in the past, regarding knowledge transfer:
ICT knowledge flows mainly from ICT businesses.
Businesses was persistently doing the awareness campaign as a marketing effort.
Facts
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Misleading approach (4)
SME can boost their businesses rapidly by making use of ICT.
ICT campaign in the past, regarding capacity building:
Businesses can only increase massively, when all parties involved (buyer, supplier, supporting parties) are in the level of high literacy and conducive environtment was taking place accordingly.
Facts
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● Increasing start-up SME● SME sales up
● Increasing arrays of SME supplier
● Increasing amount of SME establishment
SME growth
?
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Lack of innovative business culture
Increasing SME absorptive capacity
Main agenda
Primary factor
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analysis
● SME was not an isolated entity; they interacts with other parties in a business system.
● SME need to improve their capacity through enhancing the absorptive capacity.
● Financial and non financial methodologies should be applied simultaneous, in order to gain significant impact.
● We need a systemic approach to sustain the effort in promoting SME. A comprehensive approach called “Regional/ National Innovation System” should be deployed accordingly.
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ICT framework
● Adopt e-development as a comprehensive approach to promote SME growth.
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e-developmente-development
Accelerating an effective, Accelerating an effective, efficient and transparent efficient and transparent
development through development through implementation of ICTimplementation of ICT
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Telecommunication infrastructure
e-government e-society
e-industrye-business
e-development framework
Leadership Policy Innovation system
Institutional building Human Resource
Development.
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Telecommunication infrastructure
e-government e-society
e-industrye-business
e-government
ICT as a main tools to coordinating internal affair and
delivering public service as well.
● Endorse financing scheme policy regarding ICT related
business.
e-society
Facilitating community/ society with ICT in their daily social life.
Develop digital content and networking concerning “education” and “health”
Strengthening institution building in thematic issues.
e-business
Make use ICT as a main supporting tools to complete
business activities (marketing, sourcing, networking).
Endorse and accelerate implementation of e-commerce.
e-industry
Promote enterprises in ICT related business (hardware, software, service).
Develop S&T institution (R&D) in ICT-related sector.
e-development generic initiative
Telecommunication infrastructure
Build and develop telecommunication infrastructure in high priority.
Build networking among infrastructure company.
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Rationale of initiatives
Infrastructures are prerequisite for ICT related activities, and sometimes categorized as public goods instead of “commodities”.
Availability such telecommunication infrastructure is indicator of region competitiveness.
Telecommunication infrastructure
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e-government
Rationale of initiatives
Government agency have a duty in promoting SME through policy, service and affirmative action.
Can stimulate ICT-related supplier through government procurement, base on e-gov demand.
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Rationale of initiatives
Most SME are fall into category of household business.
ICT facilities mostly used as shared facilities between family and business.
Institutionalized community group was a good “seeding plant” for start-up SME.
Well educated community is a potential demanding costumer for SME.
e-society
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Rationale of initiatives
SME can take part in an arrays of ICT related product (goods and services)
SME producers in ICT related products (hardware, software and service) could provide the specific need of government, community and businesses.
Local (ICT) company are created.
e-industry
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Rationale of initiatives
ICT has already an accelerator, enabler and transformer tool to mankind.
Business activities can robustly using ICT as their availability and affordability to any kind of businesses today.
SME can use ICT by themself, as a company tool or sourcing to other ICT company to provide such services.
e-business
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All following cases demonstrated a result as “SME growth”, i.e. Increasing:
Start-up SME Sales Arrays of supplier Number of establishment
Cases:
Kampung Tasik Trading House.
Celebesseaweed Pechole Borneo SMS
Gateway Baros Creative Cluster
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Kampung Tasik Trading HouseEmbroidery clothing clusterRegion: Tasikmalaya, West Java, Indonesia
ICT related initiatives:
Develop web-based marketing company.
Develop series training on embroidery design by open source software.
Endorse web-marketing activities in individual companies.
non-ICT initiatives:
Adopting “industrial cluster” as a strategic platform.
Develop supply chain management.
Focusing to high-end demand in Europe market.
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Niche european market created More added value created
Export financing scheme released
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Pechole Borneo SMS gatewayPatchouli clusterRegion: Kutai Timur, East Kalimantan, Indonesia
ICT related initiatives:
Develop business information system connecting computer and cellular phone (SMS gateway).
non-ICT initiatives:
Adopting “industrial cluster” as a strategic platform.
Develop financing scheme which compatible with business model.
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In two years, sales among clusters was increased USD
450,000 2500 worker employed
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CelebesseaweedSeaweeds clusterRegion: South Sulawesi, Indonesia
ICT related initiatives:
Develop web-based marketing by exporter company.
non-ICT initiatives:
Adopting “industrial cluster” as a strategic platform.
Develop financing scheme which compatible with business model.
Establish research in seaweed cultivation.
Develop new business model.
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In three years, additional sales among clusters was increased USD 700,000
First cooperative to export to China
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Baros CreativeICT creative clusterRegion: Cimahi, West Java, Indonesia
ICT related initiatives:
Provide “creative community” with ICT related facilities, including: building and equipments.
Conduct “software camp” as competition to reveal new start-up entrepreneur in “mobile content”
non-ICT initiatives:
Adopting “industrial cluster” as a strategic platform.
Organize and maintain the ICT Creative Community (animation, mobile content, software development, etc).
Engage government activities with ICT community activities.
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10 new entrepreneurs operated Cooperation with Large Telecommunication Company
established.
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Just call it...
M e m b a n g u n d e n g a n T I KM e m b a n g u n d e n g a n T I K
T I K u n t u k P e m b a n g u n a nT I K u n t u k P e m b a n g u n a n
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Street vendor selling cellular cards, side by side with snacks and drinks.
Telecommunication has already people's primary needs.
(Indonesia, 2010)
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Becak rider awaiting for SMS message to appear
in his cellular screen from his
customers...
(Indonesia, 2011)
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Mulai dibuat
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