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omestic business leaders said Indonesia is on the right track toward a more innovative environment, although foreign businesspeople beg to differ.

According to the Global Innovation Barometer 2018 survey conducted by General Electric (GE), 44 percent of Indonesian business leaders believe that the country is conducive to innovation. The proportion is far higher than the 18 percent recorded in GE’s 2014 survey.

However, business leaders from other countries view that Indonesia has yet to develop a conducive environment for innovation, as Indonesia ranks 26 out of the 32 countries listed. The ranking puts Indonesia behind Malaysia at 22 but in front of Vietnam at 29.

GE surveyed 2,090 business leaders from 20 countries, including 80 executives from Indonesia. The survey aims at exploring business leaders’ perceptions on barriers and opportunities for innovation.

According to GE, an innovative environment includes cooperation between companies and universities, access to advanced technology, supply of scientists and engineers, ease of access to loans and intellectual property protection.

At GE’s recent panel discussion on innovation, the Industry Ministry’s head for industrial research and development Ngakan Timur Antara said the government had released a roadmap titled “Making Indonesia 4.0”, which stipulates for automation and data exchange in manufacturing technologies.

The roadmap is a national program led by the ministry to prepare the country for the fourth industrial revolution, known as Industry 4.0.

Ngakan said some factories in Indonesia were close to Industry 4.0, but had not really implemented it yet.

He said Indonesia would achieve an industrial revolution through integrated automation, where all machines in a factory are connected. Therefore, technologies like the internet of things, advanced robots and 3D printing were required.

“Our manufacturing industry needs to apply preventive and predictive maintenance. For example, breakdowns in machines can be identified before they happen,” Ngakan told The Jakarta Post after the event.

As a private partner to the government, GE Indonesia will support the government by proposing the latest technologies and providing informal education to the public.

Besides the perceptions on innovation, the survey included questions related to the workforce. In Indonesia, 80 percent of respondents believe there are skill gaps in their companies.

Speaking at the same event, chairman of the Indonesian Chamber of Commerce and Industry Rosan Roeslani said the skills gap is the main obstacle faced by Indonesia in achieving Industry 4.0.

He said 49 percent of the 133 million Indonesian workers were, at most, high school graduates. Only 12 to 13 percent have tertiary education.

“Low-level education causes low productivity,” he added.

Ngakan said the government would provide vocational training and education to improve skills in line with the industrial revolution.

The chairwoman of the Bandung Institute of Technology’s board of trustees, Betty Alisjahbana, said preparing a skilled workforce is a big challenge. (sau)