Digital Transformation is Happening in Indonesia

Sutedjo TjahjadiManaging Director, Datacomm Cloud Business

Dec 5 2015

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Agenda

•Digital Transformation Define• Changes & Trends in Indonesia• Fundamental of Digital Business• Introduction of What We are Doing

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Digital TransformationEvolution of Human Society

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Digital TransformationFrom Physical to Virtual

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Every Business is Digital BusinessFrom being digitally disrupted to becoming digital disrupters

Source: Accenture Technology Vision 2014

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Changes & Trends in Indonesia

Social & Technology• Changing Lifestyles• Digitalization• Expansion of Social Media• Uprising CitiesEconomy• Entrepreneurialism• Rising Consumption• New Tourism Market• Informal Sector Transformation• ASEAN Integration

Subtle Evolution in Our Daily Life

Source : Top Trend in Indonesia – Thomas Kalffke

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Changing Lifestyles

• Indonesian is one of the youngest in the world• The new young

generation with Omnipresence of Digital Devises• Optimistic, Express

Opinions Freely, Entrepreneurial, Embrace Global Interconnected World View

Social & Technology Trend in Indonesia

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Digitalization

• Internet users will grow to 103 millions in 2016 – from 29% of population to around 40%

• Smartphone will grow to 34% of phone population in 2017

• IT market is still growing with the size about US$11.5B in 2016

• Indonesia e-Commerce is the fastest growing in the world with 49m shoppers in 2016

Social & Technology Trend in Indonesia

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Social Media Expansion

• Jakarta is Twitter Capitial of The World – (2.4% of Global Traffic)• Top 5 Largest Facebook (64M

users) & Top 12 Linkedin• More Indonesia send message

via Twitter and Facebook compare to emails• Over 5 Millions Blogs site

Social & Technology Trend in Indonesia

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Uprising Cities

• Faster Rate of Urbanization - Growing at the rate 2-4M People per Year

• Jakarta could become a Megacity by 2030

• Jakarta Share of GDP is expected to remind at 22% but the other cities (large & mid-sized) will grow from 17% to 27% in 2030

Social & Technology Trend in Indonesia

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Rising Consumption

• Indonesia GDP is continue to grow• Household spending more

than Rp1.2 juta per month will increase from 74M to 141M by 2020• By 2030 Indonesia

Consumer sector to be worth US$1.1 Trillion CGAR 7.7%

Economy Trend in Indonesia

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Entrepreneurialism & Informal Sector Transformation

• Indonesia is Hotbed for Tech & Consumer Start-up• BBC survey Indonesia is

the best place for Entrepreneurs• 55 Millions Micro Business• Informal Business Sector

is transforming fast

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New Tourism Market

• Huge Latent Potential• More than 17,000 island• Rich Cultures & People• Airline & Hospitality

Industry Growth

Economy Trend in Indonesia

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ASEAN Integration

• ASEAN Economic Community (AEC) or Masyarakat Ekonomi ASEAN (MEA)• ASEAN GDP Forecast will

grow from US$2.3T in 2012 to US$10T in 2030 • Indonesia GDP is accounted

40% of the Total ASEAN GDP

Economy Trend in Indonesia

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Fundamental of Digital Business

• Becoming a Digital Business is not just digitized marketing or digitized operations – it will be essential for survival

What is Digital Business

Internal Focus

External Focus

Digitize Processes

Revenue

Profit Margin

Digitize Channels

Digitize Marketing

DigitalizeOperations

DigitalBusiness

Digital Transformation

Source: Digital Business – Accenture

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Evolution of technology and business

B T BRequirements

Enabling

In the past, Business requirements drove Technology that then enabled the Business to advance…

B

T

Today, technology creates new opportunities and fundamentally changes businesses…

Opportunities Imperatives

…with the objective of digitalizing processes and making products available through digital channels.

…and transforms the business and operating models of almost every company in every industry.

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B T= Business = TechnologySource: Digital Business – Accenture

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Key Technology Trends

Cloud

Big Data & Analytics

“Connected Everything” Mobile

Social Media &

Collaboration

Data Velocity

Source: Digital Business – Accenture

“Key technology trends combined

with enabling technologies

presents dramatic opportunities for

new players and real threats in all industries”

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Value Tree of Digital Business

Value of Digital Business

Growththrough Digitalization

(Revenue levers)

Efficiencythrough Digitization(Cost optimization)

New customers

New & optimized products & services

New & optimized channels

New pricing and earnings models

New cost models

Process efficiency

Asset utilization

Agility

Supporting technologies:

Analytics, Mobility, Cloud, Virtual

networks, Social, Sensors

Datacomm Cloud BusinessOverview

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Datacomm Cloud BusinessCompany Overview

ABOUTPT. Datacomm Diangraha business division focusing on Cloud opportunity in Indonesia. Our philosophy are Enterprise, Secure and Local.

PRODUCTSSentriciti – Security as a Service (SecaaS)Cloudciti – Cloud Services (XaaS)

WHY US?We are backed up by 25 years experiences and 350 people. We have strong financial commitment, invested in it owns local Datacenter. We also certified by international standard: ISO 9000, ISO 27001 & ISO 20000.

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Datacomm Cloud BusinessService Philosophy

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Datacomm Cloud BusinessProducts & Solutions

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Visit our Websitecloud.datacomm.co.id

Thank you!

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Reference Material

• Top Trend Indonesia – 2014 – Thomas Kalffke – website• We are Social – website• Digital Business Strategy – Accenture – website• SMEs in Asia Pacific: The Market for Cloud Computing – website• Odin SMB Cloud Insights™ - Odin - website• Indonesia Digitally Connected Youth – Indosat Ooredoo – website