Minister of Cooperatives, SMEs, and Digitalization of the Red and White Village Cooperative to Strengthen the Local Economy
JAKARTA - The government is accelerating the digitization of the Red and White Village Cooperative (KDMP) not only for the use of technology, but also a real step to improve the way cooperatives work.
The Minister of Communication and Digital, Meutya Hafid, revealed that there were three main focuses of this digitalization, including increasing business efficiency, integrating the supply chain, and expanding market access for cooperatives and local business actors.
"Digitalization must have a direct impact, be more efficient, the market is wider, and cooperative businesses are stronger," Meutya said in an official broadcast quoted on Monday, April 27.
According to him, with a digital-based management system, cooperatives can manage production, stocks, to distribution in a more orderly and measurable manner, so that they are able to compete in a wider market.
In addition, sustainability aspects are also a concern. The use of production waste as animal feed, as well as strengthening the local supply chain, has proven to be able to reduce costs while increasing added value. This approach is considered to strengthen the economic independence of villages.
To accelerate implementation, Meutya encourages collaboration between advanced cooperatives and KDMP in various regions. This collaboration is important to accelerate knowledge transfer and strengthen the institution of cooperatives.
The role of the younger generation is also considered crucial. Students, especially from vocational high schools, are expected to be involved in the digitization of cooperatives, ranging from technology management to business model innovation.
"The strategy is to expand proven good practices. A strong cooperative will be the foundation of a strong economy," said Meutya.
Through the digitalization of the KDMP, Meutya added, the government targets the formation of an inclusive, efficient, and competitive village economic ecosystem, as well as being the main driver of the people's economy sustainably.