Businesspeople urged to improve networking skills
JAKARTA (JP): Indonesian businesses are too focused on the development of products and technology when they should be improving their networking and organization skills.
"Our businessmen have not yet seen business as an integrated process. They very often forget the other factors of improving competitiveness, such as the development of their organizations and networking," said Prabowo, an economics researcher for the United Nations.
Speaking at a seminar yesterday on the Indonesian economy prior to the 21st century, Prabowo reminded businesspeople that making good products is not enough to get a competitive edge.
The seminar was organized by the Jakarta chapter of the Indonesian Association of Economists in cooperation with the state-owned pawn firm Perum Pegadaian,
"Very often good networking is the key factor to winning competition," he said, adding that networking, including the development of trading houses, will help businesses gain access to the world market.
He compared the business process to a soccer game. Having good players is useless if they are not well organized and do not play according to a well-designed strategy.
He underlined that competitiveness is also determined by a business organization's ability to adapt quickly to new threats and opportunities.
"A learning and adaptive organization is very important and crucial," he said, adding that market intelligence should be pursued while products are being developed.
He said that market development requires the continuous and coordinated efforts of all businesses and government officials. "This is something that has not been seriously addressed here. Look at other countries like Thailand, Malaysia and Singapore. They are very serious in market development," he said.
Thailand, he said, conducts a competitiveness audit every year to find out its strengths and weaknesses in marketing its products on local and international markets.
In Singapore, companies can rely on help from the Development Board of Singapore -- a one-stop export and import service agency -- to sell their products. "Using the board's service, business transactions can be made in five minutes without many complicated documents," he said.
Indonesia, he said, should have a comprehensive strategy in improving its competitiveness, which many now see as deteriorating.
Suharsono Sagir, an economist at the Bandung-based University of Pajajaran, said at a seminar in Bandung Wednesday that Indonesia's competitiveness this year has already deteriorated.
According to a study done by the World Economic Forum, which surveyed 48 countries, Indonesia's competitiveness dropped this year to last place, down from 33rd last year.
At the "Developing Countries in the Global Economy, Perspective for Indonesia" seminar, he said that the country was becoming less competitive due to the poor quality of its human resources and management.
"We can only win global competition if we develop a competitive society," he was quoted by Antara as saying.
Yesterday's seminar, which was officially opened by Director General of Taxes Fuad Bawazier, was also addressed by Mangara Tambunan, the managing director of the Center for Economic and Social Studies; Anwar Nasution, a noted economist of the University of Indonesia; and Felia Salim, a director of the Jakarta Stock Exchange. (13)