Jakarta, INTI - The Indonesian government launched the Making Indonesia 4.0 roadmap in 2018, demonstrating its commitment to entering the Industry 4.0 era. This initiative aims to drive the digital transformation of the manufacturing sector, enhancing its global competitiveness.
"Making Indonesia 4.0 serves as a milestone for industries to optimize Industry 4.0 technologies in their supply chains and production processes. The goal is to achieve greater efficiency and productivity," said Deputy Minister of Industry, Faisol Riza, at the "AI for Indonesia" event in Jakarta on Wednesday (4/12).
Faisol highlighted that the roadmap’s primary objective is to position Indonesia among the world's 10 largest economies by 2030. To achieve this, three aspirations are set: a 10% net export contribution to GDP, a twofold increase in productivity relative to costs, and a 2% R&D expenditure-to-GDP ratio.
Priority Manufacturing Sectors
The Ministry of Industry has identified seven manufacturing sectors for priority development under the roadmap: food and beverages, textiles and apparel, automotive, chemicals, electronics, pharmaceuticals, and medical devices.
"Five of these sectors were chosen because they hold significant potential to contribute up to 70% of total manufacturing GDP, 65% of manufacturing exports, and 60% of industrial employment," Faisol explained.
The Role of Industry 4.0 Technologies
Implementing Industry 4.0 is pivotal for streamlining production processes in manufacturing, creating systems that are more efficient, flexible, and interconnected. Key technologies include the Internet of Things (IoT), Artificial Intelligence (AI), cloud computing, augmented reality (AR), big data, and advanced robotics.
"AI, in particular, revolutionizes industries by enhancing efficiency, accelerating innovation, and adapting to market changes in real-time. It acts as the 'brain' enabling IoT, robotics, and big data to work cohesively, fostering smarter, autonomous, and productive ecosystems," Faisol elaborated.
AI in Action
Faisol cited examples of AI adoption in Indonesian industries:
- Operational Excellence in Energy Management
Cement companies have integrated AI and IoT technologies to enhance productivity, stability, and energy efficiency (both fuel and electricity) in production processes.
- Reducing Time-to-Market
Pharmaceutical companies utilize digital twin technology in dry labs to expedite R&D method development. Adaptive processes with micro-NIR sensors are used for raw material, intermediate, and finished product analysis, while digital imaging speeds up microbial contamination testing.
- AI in Ergonomics
AI-based ergonomic analysis has improved work environments, making tasks more accessible and enjoyable by eliminating inefficient movements.
Challenges in AI Adoption
Despite its potential, the adoption of AI in industries faces hurdles, including limited technological infrastructure, a shortage of digital talent, high implementation costs (particularly for small and medium enterprises), and data security concerns.
"These challenges should not deter us. AI technology holds transformative potential for our industries and economy. We must recognize the immense opportunities it offers," Faisol asserted.
Benefits of AI Utilization
The integration of AI in manufacturing can boost productivity and efficiency, foster product and service innovation, strengthen supply chain networks, enhance global competitiveness, and promote sustainability.
"The Ministry of Industry will continue encouraging industrial players to leverage AI for increased productivity and innovation," Faisol added. The government is also supporting this initiative with fiscal and non-fiscal incentives, empowering educational institutions as agents of change, and building robust data security and AI development infrastructures.
Towards Smart Manufacturing
The ultimate goal of digitalizing manufacturing operations is the implementation of smart manufacturing. To align this vision with the Making Indonesia 4.0 program, the government is pushing for comprehensive adoption of smart manufacturing components by industrial players.
"Let us collectively support sustainable economic transformation and deepen our industrial structure through synergy in maximizing AI utilization in national manufacturing businesses, alongside strategic steps to realize smart manufacturing in Indonesia," Faisol emphasized.
He concluded by stressing the importance of collaboration among all stakeholders in achieving smart manufacturing. "These efforts will strengthen domestic economic resilience and enhance Indonesia’s global competitiveness. With the right strategies, I am confident we will achieve the vision of Golden Indonesia 2045."