Erick Thohir: Indonesian SOEs Must Adapt to the Digital Era, and Not Become Dinosaurs that Die Due to Old Age

- 04 August 2022 14:45 WIB
Minister of State-Owned Enterprises (BUMN) Erick Thohir speaking to the press.(Photo/AMSI)
Minister of State-Owned Enterprises (BUMN) Erick Thohir speaking to the press.(Photo/AMSI)

 

JAKARTADAILY.ID – Indonesian Minister of State-Owned Enterprises (BUMN) Erick Thohir highlighted the ability of Indonesian SOEs to adapt to the digital era. The ability of SOEs to adapt is absolutely necessary so that Indonesia is not just a market for other countries.

"My question is always the same, when will this change occur if we don't adapt so that in the end we only become a market? When we only become a market, then there is no investment for job creation, and economic growth will grow bigger in other countries," said Erick at Jakarta Indonesian Cyber ​​Media Association (AMSI) seminar entitled "Towards a Cashless Society" at the National Library Auditorium, Jakarta, Wednesday, August 3, 2022.

Erick said that the changing times also encouraged people, especially the younger generation, to easily switch to using cashless or non-cash payment systems.

Also read: SOE Minister Erick Thohir Pushes State-Lender BNI to Assist MSMEs to Compete Globally

From the start, said Erick, the Ministry of SOEs was committed to providing convenience for the public in accessing cashless payment systems through a transformation program for business model innovation and technology leadership.

"From the start, we have built an ecosystem where digital is the key for us to be able to compete. SOEs shouldn't become dinosaurs that die due to age because they are big, but don't want to metamorphose," he said.

Erick praised the digitalization breakthroughs made by a number of SOEs such as ASDP Indonesia with Ferizy and Bank Mandiri with Livin services. With the online system, said Erick, Ferizy was able to solve the queue problem that had occurred for years at the ferry service.

Also read: Erick Thohir: Belawan Port in Sumatra Must be Made Able to Serve Direct Calls to Reduce Losses

"For example, Ferizy ASDP, used to take 10 hours to queue for trucks, we tried two years ago, and the e-ticketing system is able to save our logistics costs, which are currently 23 percent or higher than other countries, which are 13 percent," said Erick.

Erick assessed that the success of this system boosted crossing movements from Java to Sumatra by up to 40 percent. In fact, during the last homecoming period, the growth rate of the trikw fleet crossing grew to 144 percent.

Then, said Erick, Bank Mandiri in accordance with the trend of digital banking through Livin was able to become a strategic liaison in the non-cash payment sector for the Indonesian tourism sector.

Also read: Megawati Chats with Erick Thohir in Sarinah, Relieved Her Father's Legacy Remains

"I assigned Mandiri to build a payment ecosystem for the tourism sector. We are often trapped in the mindset that when we talk about the tourism industry it is always foreign tourists, even though before the pandemic, 76 percent were winsun, only 24 percent were foreigners. In Bali, foreign tourists only returned 30 percent, while Domestic tourists returned at 70 percent. We also synergize with tourism holdings and supporters or InJourney, "said Erick.

Erick added that he projects that Indonesia will become the largest digital industry player in Southeast Asia by 2030. This is supported by the potential of Indonesia's digital economy which is predicted to reach Rp 4,500 trillion in 2030 or grow eight times the APBN.

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Editor: Suksmajati Kumara

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