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Digitalisation to Empower F&B Industry Productivity in Indonesia


One of the goals of industrial transformation with Industry 4.0 is to handle changes in consumer behaviour. The use of digital technology enables producers to forecast consumer behaviour. It can be accomplished by gathering and analysing vast amounts of data from various sources, including internet purchases, social media, and search engines.

“Advanced analytical tools and algorithmic engines that study behaviour can be used to identify patterns and trends in this data, thereby providing valuable insights into consumer preferences and shopping habits,” explained Putu Juli Ardika, Director General of Agro-Industry, Ministry of Industry (Kemenperin), in South Jakarta.

One pertinent example is how data from online food and beverage purchases and delivery services via online transportation applications, online marketplaces, and social media may be collected and analysed to forecast customer behaviour and discover consumer trends.

Another trend to keep an eye out for is product personalisation. Consumers now desire personalisation, unique things that reflect their distinct personalities. However, corporations in the food and beverage industries still need help generating personal products. Product personalisation is a challenge for manufacturers, according to the Head of Manufacturing of a dairy company in Indonesia. If the company offers items for different age groups, and a person’s nutritional demands change at various stages of life, the corporation’s stock-keeping unit (SKU) count can arise.

“Managing a surge in SKUs connected to inventory materials, formulas, planning and control as well as efficiency owing to material losses and changes from time to time is quite hard. The impact is the requirement for tighter control over raw material validation, process control in manufacturing, and increased transparency, including traceability,” the representative elaborated.

Nonetheless, moves toward product personalisation are being taken to digitise the food and beverage business. The dairy industry has begun to digitise its manufacturing process, such as employing a Quality Management System to determine the fat content of raw milk. This assists businesses in deciding which products to produce in terms of process optimisation.

“By collaborating on quality control planning and the manufacturing process, this digitally collected information also aids in decreasing the time it takes to release items to the market,” he stated.

Furthermore, digital technologies aid in increasing manufacturing efficiency. To control the expiration of materials and paperwork such as halal standards and certificates, for example. Digitalisation also aids in the administration and automation of testing schedules and in-process monitoring. This is accomplished by sampling and documenting all tests for each batch of raw materials, materials in process/semi-finished materials, and finished products.

Furthermore, in the food and beverage business (F&B), consumers are concerned with a product’s sustainability and transparency. With digital transformation, industrial organisations can predict consumer behaviour, enhancing the competitiveness of the products they manufacture.

Putu believes that the food and beverage business can achieve sustainability standards by employing ecologically friendly packaging and sustainable raw material sources. Transparency needs to be continuously increased by industry players, for example, about raw ingredients, dose, and production techniques.

In 2023, Indonesia will become the Official Partner Country of the Hannover Messe in Germany. Hannover Messe is the largest international show in the technology sector and industrial solutions, which this year will be hosted in April 2023. Indonesia will use the event as a forum to promote the country’s strategic efforts related to Industry 4.0.

Indonesia has prepared for Industry 4.0 with different critical projects outlined in the Making Indonesia 4.0 roadmap. This effort, which has since become a national priority, began in 2018. The Ministry of Industry also presented the 2022 Indonesia Industry 4.0 Readiness Index (INDI 4.0) Award—one of the industry’s plans for implementing Industry 4.0 and embarking on a digital transformation journey.

Industry 4.0 will improve the manufacturing industry by lowering costs and downtime, improving machine and equipment performance, and enhancing the speed and quality of production activities. As a result, this will impact firm productivity, allowing businesses to become advanced and competitive industries while supporting inclusive and sustainable initiatives for national economic recovery.


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