2022Q1

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Editor words

More than two years the pandemic has been impacted every aspect of life from the human health up to economic. Many industries cannot continue their business, supply chain is broken, employee lost their job, and the global economy is stagnant. Indonesia as the largest country in Southeast Asia with population of 275 million people and land area of 1,811,570 km square is also impacted by this pandemic.

Based on the government reports, the impact of the covid-19 pandemic on the national and global economy was felt in the second quarter of 2020. In the Quarter I-2020, the national economy still grew by 2.97%, although it was down compared to the Quarter I-2019 which was 5.07. Entering 2021, strengthening pandemic control has succeeded in encouraging the Indonesian economic to grow by 7.07% (year of year) in Quarter II-2021. The recovery in domestic demand has boosted production activity, thus making all sectors positively growth in Quarter II-2021.

The recovery that occurred in various sectors such as the manufacturing sector, trade sector, construction sector, as well as the transportation and warehousing sector reflected that economic activity had begun to revive. Meanwhile, in terms of investment, both domestic investment (PMDN) and foreign investment (PMA) have increased. PMDN and PMA in semester I-2021 increased 3.5% and 16.8% due to the result of economic transformation through the Job Creation Act. Towards the end of Q3-2021, various leading indicators showed good prospects. The impact of the surge in cases of the delta variant was successfully mitigated so that economic activity returned to strength as reflected in the Indonesian Manufacturing PMI Index which returned to an expansive level and the Consumer Confidence Index (IKK) also increasing again in September 2021.

To accelerate the economic recovery post pandemic, the Indonesian government build Industry 4.0 Digital Center (PIDI 4.0) as a part a national priority program, namely Making Indonesia 4.0. PIDI 4.0 has a vision “as one-stop solutions in the adoption of Industry 4.0 in Indonesia and becoming an Indonesia 4.0 window for the world. PIDI 4.0 is integrated various technology such as Intelligent machining, Virtual manufacturing lab, Smart quality management, Autonomous Logistic system, 5G connection, Augmented Reality, etc.

The government also build The Capability Center, which is a training center to accelerate industry workers’ skills in technology 4.0 from frontliner up to CxO level. The Capability Center program will have a mix of theory and hands-on practical experience to enhance learning retention with learning tracks covering specific topics such as manufacturing, procurement and supply chain. The training materials are based on industry needs. Besides that, the trainings are facilitated with a Certification Institution for competency certification in industry 4.0. The Indonesia government encourages Stakeholders and industry from domestic and international to share and collaborate to develop Industry 4.0 in Indonesia.

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