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FIVE 5 DRIVERS OF INDUSTRY CHANGE DURING PANDEMIC, LET'S PREPARE TOGETHER!!!

ALFIYAN DAROJAT

Staff Tata Usaha

It's been almost two years since the pandemic has been going on in Indonesia. Since the beginning of 2020, many national industrial sectors have experienced the impact of declining performance. The growth of the national footwear industry is no exception, including the footwear IKM, which experienced a decline in sales at the beginning of the pandemic due to the disruption in the supply of raw materials.

There are at least five drivers of industry change during this pandemic. So how do we all make adjustments and even make transformations? Come on, …. Take a look at some of these changes:

1.     Dealing with Pandemic and Vaccine Preparedness

The dynamics of the national industry, especially footwear, were hit hard during the pandemic. The current change in manufacturing performance is primarily determined by how the government handles the pandemic and the ability to supply and distribute vaccines. This factor becomes vital because as long as the spread of the virus cannot be controlled. Meanwhile, the fulfillment of vaccine needs has not been able to be fulfilled immediately, which has resulted in all elements of the national economy, including several industrial sectors which have been paralyzed. However, we still have to be optimistic that there is a bright spot in handling the pandemic and producing vaccines. It is hoped that consumer, industrial, and public sentiment will recover quickly, and purchasing power will rise again.

2.     Social Anxiety

Until now, the existence of a pandemic has caused anxiety and fear in the community. Fear of losing a job, falling into poverty, and worrying about reduced self-actualization, including business bankruptcy. The pollution and anxiety start from the individual, which develops at the group level and leads to depression, isolation, and the emergence of many crimes. In this phase, humanity and wisdom are very rare in society. But don't worry, there must be wisdom during a pandemic. The spirit of all of us to help each other and help each other in the community continues to grow until the pandemic passes.

3.     Rise of Nationalism

During a pandemic like this, every country, including Indonesia, will fight hard to protect its national interests. Starting from restrictions on the mobility of citizens, the flow of goods in and out (exports - imports), and border controls to protect the interests of each country. The existence of Covid-19 has encouraged the spirit of nationalism while increasing friction between countries in the name of protecting national interests. The pandemic is the antithesis of globalization. If we look at the last 1 year, the spirit of local brands has risen to survive together and grow together. Come on… continue to be proud of local products by buying and using them.

4.     Global Supply Chain Disruption

Local and global industrial value chains are currently being disrupted. The mobility of the flow of goods is currently experiencing a bottleneck when crossing between countries. The impact will be serious on the manufacturing industry sector connected to the global market. However, there is a silver lining because, on a regional scale, several industrial sectors will build resilience in regional and even local value chain ecosystems so that that value chains will be concentrated on a national or regional scale. The implication is that dependence on the global supply of materials will be further reduced. bottle neck saat melintas antar negara. Dampaknya akan serius pada sektor industri manufaktur yang terhubung dengan pasar global. Namun ada hikmahnya karena dalam skala regional beberapa sektor industri akan membangun resiliensi pada ekosistem rantai nilai skala regional bahkan lokal, sehingga rantai nilai akan terkonsentrasi pada skala nasional atau regional. Implikasinya adalah ketergantungan bahan pasok global akan semakin dikurangi kedepan.

5.     The Acceleration of Digitalization

The pandemic has become a medium for accelerating industrial migration to digitize. The emergence of a new habit of #workformhome #stayathome makes all activities that were originally carried out at the office can be done digitally from home, even in matters of worship there is a new habit to temporarily reduce activities in places of worship. So that the digital transformation agenda is a priority for companies to survive and grow during the pandemic.

Let's all get ready to make a change, Salam Sepatu

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