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Jakarta Post

Human resources factor hinders Indonesian companies from going digital

Anton Hermansyah (The Jakarta Post)
Jakarta
Fri, December 16, 2016

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Human resources factor hinders Indonesian companies from going digital Students use the internet to work on activities during an event in Jakarta in October. (Tempo/File)

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usiness entities in Indonesia face a challenge in implementing digital technology due to human resource concerns although half of the country's population has access to the internet, a telecommunication provider said.    

"About 65 percent of Indonesian CEOs have agreed to go digital, but many of their employees don't have knowledge of how to operate a smartphone," Indosat Ooredoo Wholesale, and Enterprise Director Herfini Haryono said during the launch of Indosat Ooredoo's ICT annual report 2017 in Jakarta on Thursday.

She took an example from the transportation industry. Conventional taxi companies said their revenue dropped by 63 percent after app-based taxis hit the market because most of the conventional taxi drivers could not make use of the new technology. 

According to data from the Indonesian Internet Service Providers Association (APJII), there are currently 132.7 million people in the country who have been exposed to the web, representing half the population of Southeast Asia’s largest economy.

(Read also: Indonesia, SE Asia's digital powerhouse)

Herfini added that companies were also confused on where to start digitalization. 

APJII said the Independent Indonesian Digital Cooperative (KDIM) and the Indonesian Information and Telecommunications Society (Mastel) have decided to help all internet users to develop digital sovereignty in the country. (dan)

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