MAKSI-PPAk Public Lecture: Management Leadership in the Strategy to Increase Digital Company Value
Rifdah Khalisha – Public Relations FEB UI
DEPOK – (8/10/2021) On Friday (8/9), the Master of Accounting – Professional Accountant Education (MAKSI-PPAk) FEB UI together with Bukalapak held a public online lecture themed “The Role of Management Leadership in the Implementation of Value Improvement Strategy for Digital Companies”. Speaker for the event was Rachmat Kaimuddin (Chief Executive Officer of Bukalapak) and Dr. Ancella Anitawati Hermawan (Head of Accounting Department FEB UI) as the moderator.
Rachmat said, “Indonesia is a country with great potential, especially in the field of technology. Of the more than 270 million people, around 63.2 percent of the population is connected to the internet. According to projections, this number will continue to grow. However, the quality of the internet connection is quite different in each region.”
From a business perspective, the internet’s economic potential in Indonesia is growing very rapidly. In 2020, a Google report predicts the that value of Indonesia’s digital economy will reach US$ 44 billion. The driving sectors are e-commerce, transportation and food ordering services, online travel, and online publishing.
He also explained, “Indonesia relies heavily on Micro, Small and Medium Enterprises (MSMEs). Currently there are 64 million MSMEs. Together, they contribute 61 percent of the total GDP 2020. Moreover, 97 percent of the total workforce also works in MSMEs. In short, Indonesia has been connected to the internet with rapid digital economic growth due to these MSMEs.”
“However, MSMEs face many obstacles. In particular, many MSMEs have difficulty getting access to finance, finding markets or economic centers, and using technology in their businesses. Being aware of this, Bukalapak wants to solve trade problems using technology. That way, a more equitable inclusive buying and selling economic system will be created.” he added.
Bukalapak empowers merchants and partners by opening access to credit or other financial services, assisting with new product offerings, resulting in more revenue streams, attracting new customer segments, and supporting better business processes.
Rachmat also recounted the journey of Bukalapak, which was founded 11 years ago, with an initial capital of only 80 thousand Rupiah to become the largest Initial Public Offering (IPO) in Indonesia with a market capitalization of more than 80 trillion rupiah.
Aside from online services, Bukalapak also builds offline services and connects online services to offline services. Bukalapak has optimized millions of sellers through the marketplace and developed high-level sales stalls through technological innovation.
Bukalapak is growing with improved financial performance, effective business strategies, and the support of large market potential. Rachmat said that, “In 2020, the company’s total processing value (TPV) will reach Rp85 trillion. As for the TPV, around 70 percent of transactions come from cities outside the tier 1 area. In addition, around 104.9 million users and more than 6 million merchants are registered with Bukalapak.”
“Frost and Sullivan’s research shows that Bukalapak is an e-commerce platform with the largest partner network in Indonesia. As of the end of December 2020, 6.9 million partners had registered with Bukalapak. Based on the company’s internal estimates, sales growth per partner after joining has increased by 3 times.” Rachmat added in concluding the session. (hjtp)
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