The Role of Digital Economy in HR Development

The growth of Indonesia stood in good stead by various industries and economies, which cumulatively pushed national development. However, it goes along that certain economies have a more significant role than others. The digital economy concurs with the backbone of the Indonesian economy. 

The Indonesian government is aware of the development of the digital economy. Therefore the government maintains the momentum of national growth by accelerating its digital-based economic transformation.

The business transformation in the economy and business is predicted to help the country’s development and expects to continue. 

The Digital Economy is Supporting Growth in Indonesia

The digital-based economic transformation utilizes various potential and resources in Indonesia, especially the number of internet users. With approximately 73.7% of the population, the Indonesian government makes multiple efforts to seize opportunities in the digital economy. 

The Indonesian government aims to prepare competitive digital talent through numerous programs. The programs are Cyber Creation Program, Digital Talent Scholarship, and Digital Leadership Academy are among the programs. 

Aside from enhancing the workforce, the Indonesian digital infrastructure is also being strengthened to reach the same goal of economic growth. 

Read more: HR Management Indonesia: A Guide to Improve Employee Retention

Technology’s Important Role in Digital Economy and Business

The impact of technology can be felt universally. Amongst others, technological innovation is fundamental in allowing effective internal and external communication. 

Technology helps relay data between sections or departments within or between organizations. Technology also plays a significant role in streamlining decision-making, which is the core of any business. 

Technology Advantages on Business

Technologies allow companies to gather crucial big data, enabling them to use it to their strength and make accurate decisions for accelerating business growth. 

Businesses that utilize various technologies to market their product have successfully reached more markets and generated significant growth. Another often overlooked advantage of technology is the competitive edge it gives companies. 

Those who can use technology to their advantage can drive traffic up and increase growth significantly. 

Positive and Negative Factors on Digital Economy

Several researchers argue that people tend to lose their human qualities as we embrace digitalization which can be problematic for any country. However, there are apparent and incredible benefits.

It includes better economic growth, job openings, better productivity, the increased importance of education, greater prosperity, and increased professional competence. 

Aside from that, there are other factors to consider, such as personal data leakage, fraud, rising unemployment due to the redundancy of particular professions, and the overall social reality. 

Human Resources in The Digital Economy

The digital transformation framework should also be accompanied by additional help and should structure a human strategy to optimize automation and software implementations. 

There are different ways to do this. The first one is to remove barriers by taking a low-friction approach. It allows businesses to create trust and expand on the offer by generating lifetime value for customers. 

Data is valuable but should be inferred and processed correctly to derive full benefit from it. Transform data into actionable insights to receive maximum benefit. In short, create the simplest method to value customers at every journey step by educating and activating the organization. 

Having a strong HR team is integral for the company. InCorp Indonesia is readily available to help establish a strong HR team through its services, such as Recruitment & HR Establishment, and Company Registration. 

HR Development Programs on Creating Competitive Human Resources

Quality talent is unlimited in certain countries. Equipping hiring managers with the skills to differentiate their employee value proposition is essential. 

A company should invest in its people development department to help employees navigate careers. Organizations also need to be flexible to accommodate quality talent that is spread geographically around the world. 

Holding dialogue sessions to discuss career progression and performance is also essential. This continuous effort allows employees to develop and progress internally. 

Identifying skill gaps and tracking career development are valuable tools in ensuring the hiring team remains competent and competitive. Hiring teams could also use hiring tools for data insights or training. 

The underlying message here is to differentiate the business from others – especially regarding employee experience by making that a key focus. The company would generally enjoy more significant growth from an increased skill set and productivity.