Inalum Drives Micro Small Medium Enterprises to go Digital to Promote Business

In the efforts to facilitate Micro Small Medium Enterprises (UMKM) to actively be involved in the absorption of the State Budget (APBN), the Ministry of State-Owned Enterprises launches the UMKM Digital Market called PaDi. PT Inalum (Persero) supports the initiative by encouraging local businesses to use PaDi.

PaDi benefits UMKMs by providing the space and opportunity to conduct transactions with BUMNs and promote efficiency and transparency in the procurement of goods and services. During the January-September 2021 period, 44 partners have been registered at PaDi UMKM with Inalum’s total expenditure of Rp1.5 billion.

Managing Director of Inalum Operating, Sophia Wattimena, said that Inalum continually commits to support the role of UMKMs as one of the backbones of the nation. Sophia believes that with PaDi, UMKMs in Indonesia have the potential to grow positively.

“Inalum Operating continues to encourage local vendors to innovate and raise capacities to enable their businesses to grow. The PaDi platform provides ease and transparency, for UMKMs as well as the Company, in which the respective parties enjoy mutually beneficial cooperation,” said Sophia.

One of Inalum’s partners, the marketing cooperative called Koperasi Pemasaran Berkah sejahtera Gemilang, also joined PaDi. The cooperative located in Batu Bara Regency sells various produce from local communities.

“We are a marketing cooperative. We empower our members and the surrounding communities to sell the goods they produce, from fertilizers, cleaning tools to food and beverage,” said Yosep Rizal, Secretary of Berkah Sejahtera Gemilang Cooperative.

Rizal explained that the Cooperative has enjoyed a long-standing relation with Inalum. The Cooperative is able to supply Inalum’s needs in terms of ready to eat food and beverage. But not only that, Rizal said, the Cooperative also provides catering services and cookies for Inalum.

“We have enjoyed a long-standing partnership with Inalum. We supply Inalum’s needs such as staple goods for employees. We also provide catering and cookies whenever Inalum has an event or guests,” said Rizal.

Rizal encouraged the Cooperative to join PaDi. It was generally not common, said Rizal, for UMKMs to be able to cooperate with BUMNs. Yet, with the cooperation, UMKMs will be able to participate in fulfilling the needs of BUMNs.

“We initially saw PaDi’s website. We became interested in cooperating with BUMNs. The process was not difficult. We joined and made several transactions easily, orders, delivery and payments were also clear. Thank God, our involvement had shown positive results,” Rizal explained.

He also said that with PaDi, transactions were clearer. Especially with open and transparent tenders from BUMNs. This became an opportunity for UMKMs to participate.

“Tenders were also available. We can take part in the services that we offer. On one hand, BUMNs can also see what products are sold by UMKMs. This facilitated the transaction process,” said Rizal.

The key for UMKMs is that with PaDi, the transaction process is conducted online. “We sell, the good are delivered, we send the invoice, and immediately the date of payment is posted. So, there is certainty,” Rizal added.

Since joining PaDi in May, the Cooperative has booked fantastic sales growth. Rizal compared the monthly revenue to the period before joining PaDi, which only came to Rp25 million. But since joining PaDi, the Cooperative’s current revenue can reach Rp100 million.

“We are happy with PaDi. BUMNs can also see UMKM products directly. We can also provide the needs of BUMNs throughout Indonesia. Tenders are also not restricted to only one province and one business. This can become a good facilitator for UMKMs,” Rizal concluded.