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Lack of talent hampers digital transformation in Indonesia

A survey found that 36 percent of business leaders in Indonesia consider talent and skills shortages to have hampered their efforts to digitalize their businesses.

News Desk (The Jakarta Post)
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Jakarta
Fri, September 13, 2019

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Lack of talent hampers digital transformation in Indonesia Telkomtelstra CEO Erik Meijer speaks about the digital transformation in Indonesia in a recent seminar. (-/-)

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any Indonesian companies have showed their strong commitment to digitalize their businesses, but a limited availability of talent and skills has hampered their digital transformation programs.

A survey called Disruptive Decision Making conducted by a managed solution service provider, PT Teltranet Aplikasi Solusi (Telkomtelstra), found that 36 percent of business leaders in Indonesia considered talent and skills shortages to have hampered their efforts to digitalize their businesses.

Telkomtelstra CEO Erik Meijer said that there were two main challenges for companies looking to digitalize, namely talent shortages and improving employees' skillsets to adjust to the new business model.

“There is a lack of digital talent because this is a relatively new field and the talents available in the market are in high demand […] the second challenge is how to improve [current] employees’ skillsets and adjust to the new reality [because] digital transformation must also include them,” Erik told The Jakarta Post in an interview at his office on Aug.13.

According to the survey, Indonesian companies rate their technological understanding over other factors when evaluating their decision-making ability and performance. The survey, however, showed that successful companies globally focused more on human resources compared to technology.

“Digital transformation is made possible by technology, but it must be led by competent human resources. Our study, however, showed that employees in Indonesia have yet to be given sufficient attention,” said Erik.

Read also: Employees expandable as start-ups scramble for market dominance

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