GNAM Week Day 4: Learn from CrediBook, Brodo Ganesha Indonesia, PWC Advisor Media Group About Digitizing MSMEs and Shaping the Digital Media and Entertainment Industry
Windy Bellastrin ~ MM FEB UI Student
Nino Eka Putra ~ PR FEB UI
DEPOK – (21/10/2021) The Fourth Day of the Global Network Week or Global Network for Advanced Management (GNAM) was filled with two sessions of materials presented by interesting speakers, themed “Greasing the Wheels of Digital Transformation to Stimulate Post-Pandemic Growth and to Grasp Industry 4.0” online, on Thursday (21/10/2021).
Today’s discussion was about the process of digitizing and accessing finance in the Micro, Small, and Medium Enterprises (MSME) business sector during the Covid-19 pandemic and the role of the media and entertainment industry in the digitizing process. After the presentations in the two sessions, GNAM Week on the fourth day was closed with group discussions conducted by 8 groups.
Session 1: Digitalization in the MSME Sector: Its Role in Improving Business Performance and Access to Finance in the Post Covid-19 Era
The first session started with the presentation of material presented by two speakers, namely the CEO of CrediBook, Gabriel Frans and the CFO of Brodo Ganesha Indonesia, Anggraito Danangdjoyo, with the moderator Hasnul Suhaimi, MBA., Lecturer of the Management Department FEB UI.
Gabriel Frans, as the first resource person, explained that MSMEs is one of the sectors that contributes the largest portion to Indonesia’s gross domestic product (GDP), which is 60%. In Indonesia, the majority of wholesalers still conduct their bookkeeping and accept orders manually using a pen and pencil, especially since this manual process affects the loyalty level of their retailers.
The role of CrediBook is to help wholesalers create a practical and efficient financial transaction operational system through digitalization technology (providing a digital bookkeeping system). Providing free applications, Credibook acts as an intermediary of the two wholesalers and retailers (business to business or B2B). Provides the three main features needed, including CrediBook (recording financial transactions), CrediMart (online wholesale shopping), and CrediStore (providing online store features).
According to Gabriel, because the majority of the MSME sector still uses cash, in this technological era CrediBook tries to implement a digital payment transaction system (cashless). During the pandemic, CrediBook focused on increasing the level of sales from its users, namely MSME business owners. Through the CrediBook application, you can show the visibility of payment collections for wholesalers and retailers. To support users’ businesses, through collaboration, CrediBook and CrediMart get real-time data from users (wholasalre and retailers) regarding downstream or upstream transactions, money – product – good flow, and generate reports – real data.
“Lessons can be learned in digitizing the MSME business, investing in processes before technology, numbers will bring trust while data brings money, and technology must have a direct impact on business.” explained Gabriel.
Anggraito Danangdjoyo, the second speaker, explained that Brodo Ganesha Indonesia focuses on the expansion of the Brodo brand and focuses on the unique selling point of its products. In the era of digitalization, Brodo tries to implement a faster manufacturing system and coordinates the team to get up to date data about the manufacturing industry in the Indonesian market. Through digitalization, Brodo technology can maximize profits and increase the learning curve. Executing ideas through technology, counting the number of followers and likes on Brodo’s social media accounts, this is what the company does to become the leading lineup in business.
Brodo Ganesha Indonesia uses digitalization to market its products in the era of the Covid-19 pandemic. Conduct product marketing through Facebook, Instagram, and TikTok advertisements. Thanks to this, Brodo shoes was able to expand to foreign consumer markets, namely South Korea through advertisements posted on one of the features of social media platforms, namely Facebook ads. Not only that, well-known marketplace platforms are also used to increase sales levels in the technology era, including Shopee, Tokopedia, Lazada and other market places.
“Having a personal shopper for its customers as well as a fast delivery system in the digitalization era is Brodo’s goal for the future. Funding management carried out by Brodo in the digitalization era is through data and always invites management discussions. Encouraging Brodo employees/management to always provide new materials about the Indonesian consumer market. Through pro long contracts, they provide unique value that differentiates them from competitors, changes in equity, and manages profit and loss (bookkeeping) to be able to penetrate the shoe industry in Indonesia,” said Anggraito at the end of his presentation.
Session 2: Redesigning and Reshaping the Media and Entertainment Industry in a More Digitalized Society
The second session presented Government Relations Director-PWC Advisor Media Group resource person John Daniel Rembeth, MBA, with moderator Arviansyah, Ph.D., Lecturer of the Management Department FEB UI.
John Daniel Rembeth, MBA, the third resource person, conveyed the results of the analysis conducted by PWC and the condition of the entertainment media industry in emerging markets globally for several years (post Covid-19 pandemic). The entire business industry in the world globally is experiencing the impact of the shock of the century from the pandemic. It took several years for the industry to bounce back from the pandemic situation. This also creates various uncertainties and challenges for industries, one of which is the media and entertainment industry. Digitization is a keyword that has been popular in the last 10 years, but the implementation of digitalization in the business sector has only been felt in the last 3 years.
John Daniel continued, every year, PWC globally collects and analyzes data from global revenue and annual growth in various types of companies and industries. From the results of this analysis, PWC will provide predictions and warnings if there is a leverage or dropping situation in certain sectors. In 2021, PWC analyzed 14 industrial sectors from 53 countries including America, South Korea, India, China, and Indonesia. Based on the analysis conducted by PWC, it resulted in 3 Future Tipping Points, namely mobile display screens will replace wired-internet advertising in 2022, games will increase the amount of data consumption in 2024, and mobile internet access will increase revenue by 68% in 2024.
From the results of the analysis, it was also found that video games and E-Sports had a big share and had the biggest impact during the Covid-19 pandemic. The US market is being led by social/casual video games for the first time in 2020. Podcasts are also said to be a more popular segment than radio and music, and that cinema (box office) revenue shifts to streaming platforms in the future. This means that digitalization and technology are the biggest determining factors during the pandemic for the entertainment and media industry sectors.
“The right and suitable business strategy in the digital era is digital transformation, building a customer-centered organization, building agility, scalability and resilience, evaluating strategic focus and operating models, and seeking profitable growth in emerging markets,” said John Daniel in closing his session.