By: Gavin Asadit )*
The development of digital technology presents a great opportunity for Micro, Small, and Medium Enterprises (MSMEs) to increase their competitiveness and business efficiency to grow. One of the strategic efforts to build a strong MSME market is for actors to more intensively utilize opportunities through digital training, such as that held in Surabaya in November 2024. This event involved 70 MSME actors and was designed to equip them with business management skills using the latest technology, including debit and credit-based financial applications and digital marketing strategies through social media.
Coordinator of the Center for Information System Studies FEB UGM, Fitri Amalia said that the training activity was an effort to increase the capacity of MSME actors in implementing digital technology for business management. Furthermore, the MSME sector has utilized many digital platforms such as Shopee, Tiktok, and Facebook for sales, but there are still many business managements that are carried out manually.
On the other hand, Assistant Deputy for Micro Business Capacity Development at the Deputy for Micro Business at the Ministry of Cooperatives and SMEs, Ari Anindya Hartika, said that digital training for MSME actors is an important factor in increasing the competitiveness of the micro business sector so that their business scale can move up a class.
Digital capabilities are very important for MSMEs to survive and thrive in the digital era. By mastering digital technology, MSMEs can expand their market reach, increase efficiency, and provide better service to their customers.
Based on data from the Ministry of Cooperatives and SMEs, only around 20% of the 65 million MSMEs in Indonesia have fully adopted digital technology. In fact, digitalization has the potential to increase turnover by up to 30%. Challenges such as low digital literacy and limited internet access are often obstacles for MSMEs to take advantage of this opportunity. Therefore, training conducted by institutions such as the Faculty of Economics and Business, Universitas Gadjah Mada (FEB UGM) in collaboration with SMK Dr. Soetomo plays an important role in bridging this gap.
This program not only helps MSMEs manage their businesses better, but also involves vocational high school students to assist them directly. Students gain real-world experience in accounting, branding, and digital content creation, which are important provisions for their careers in the technology era.
In addition to encouraging the MSME sector to be more digitally literate, the training is also to encourage and provide training that discusses environmental sustainability issues related to the business world. The Head of SMK Dr. Soetomo Surabaya, Julianto Hadi stated that the program provides valuable opportunities and experiences for students to do field practice
Digitalization of MSMEs is not just a technological transformation, but also a change in mindset and work culture. By adopting digital technology, business actors can not only expand their market to a national or even international scale, but also increase transparency and operational efficiency. In addition, the use of financial applications helps MSMEs make data-based decisions, which previously might have been difficult to do with manual methods.
Through broader and more sustainable training programs, the government and related institutions can encourage more MSMEs to enjoy the benefits of digitalization. FEB UGM, for example, has planned to expand its training coverage to the manufacturing sector, targeting a wider range of business actors.
With more and more MSME players integrated with digital technology, Indonesia has a great opportunity to increase the contribution of this sector to the national economy. Joint efforts from various parties are key to ensuring that this potential can be fully realized.
Meanwhile, amidst the rapid onslaught of technology, MSMEs that do not adapt will be left behind. Digital mentoring and training helps MSMEs build a strong digital foundation, from building a website to managing social media. With guidance from experts, MSMEs can optimize their online presence and reach new customers.
Digital training, such as that held in Surabaya, proves that technological innovation can be a powerful tool to advance MSMEs. This initiative needs to be pushed further so that more small and medium business actors in Indonesia are able to develop and compete in an increasingly competitive market.
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In addition to digital training, synergy between the government, educational institutions, and the private sector is also continuously encouraged to provide an ecosystem that supports the digital transformation of MSMEs. This support can be in the form of incentive policies, access to affordable technology, and the provision of digital infrastructure in remote areas. In this way, MSMEs from various regions can have the same opportunity to adopt technology, thereby narrowing the digital gap between urban and rural areas.
Ultimately, the success of MSME digitalization will have a positive impact not only on business actors, but also on the national economy as a whole. With increased competitiveness, MSMEs are able to contribute more to creating jobs, increasing state revenues, and reducing poverty rates. Digitalization is not just a trend, but a primary need to ensure that MSMEs remain relevant and become a major pillar in the Indonesian economy that is increasingly integrated with global technology.
)* The author is an observer of social and community issues