Startups that make layoffs or layoffs in Indonesia continue to grow. The Ministry of Communication and Informatics (Kominfo) assesses that start-up companies are more resilient or resilient than other sectors that have also reduced the number of workers, such as textiles. "The technology sector has laid off approximately 10,000, but the textile sector has almost 100,000," said Digital Startup Coordinator Kominfo Sony Hendra Sudaryana at the Milestone Day Startup Studio press conference, Tuesday (13/12). However, he said, startup founders must be good at analyzing trends outside the business sector. "You have to be predictable because you know peaks and needs are important as a founder," he said.
He gave an example, startup founders must be good at reading services that are in demand during the corona pandemic. In addition, must estimate when the trend will decrease. Startups must also be good at assessing what technologies are trending and can increase efficiency.
On a different occasion, Minister of Communication and Informatics Johnny G Plate asked startups to pay attention to three things in facing a potential economic recession, namely:
Alignment with domestic products or SMEs
Efficiency without layoffs
Put forward a business model that is able to adapt to various market conditions
He estimates that the startup trend of layoffs can continue. Therefore, digital industry players are asked to find solutions.
“Focus and carefully find a way internally for efficiency. Don't make layoffs too easy. Layoffs can solve one problem, but at the same time create new ones,” said Johnny when opening the V Kominfo Digital Economy Forum in Jakarta, last week (1/12).
He also asked startup founders to collaborate with multi-stakeholders in order to survive. “Utilize existing funding sources properly. If not, there will be capital outflow or flight capital," he said.
Meanwhile, Chairman of the Indonesian e-Commerce Association (IdEA) Bima Laga added, broadly speaking from an industry perspective, mass layoffs for startups were not due to a decline in business, but rationalization.
"The results of the Google Temasek study project that startups in Indonesia will still grow and develop next year," he added.
INDEF Executive Director Tauhid Ahmad assessed that efficiency is a common thing that is done by management to reduce the company's burden. But you don't have to make layoffs.
Another way of efficiency is to reduce marketing and research and development costs, reduce directors' salaries, or the founders do not receive compensation.
"The layoff step is considered the cheapest and easiest for businesses because they can find new alternatives that are cheaper. It should have been avoided," said Tauhid.
