MED to soon launch complete business data base , says Deputy Minister

Last update: 17/12/2018

KUALA LUMPUR, Dec 17 (Bernama) -- The Ministry of Entrepreneur Development (MED) will soon launch a complete business database to assist entrepreneurs who are slow in adopting information and communications technology (ICT) in order to digitalise their businesses.

Deputy Minister Datuk Wira Dr Mohd Hatta Ramli said the ministry was also keen to obtain data pertaining to enterprises which had already digitalised their businesses.

“This database is very important. We also need to get information from various ministries and agencies, and we hope they will fully cooperate with us,” he told reporters after launching the Small and Medium Enterprise (SME) Digitalisation White Paper here today.

The white paper is a collaboration between SME Corporation Malaysia (SME Corp) and Huawei Technologies (M) Sdn Bhd (Huawei Malaysia), stemming from the study on "Malaysian Digital SMEs" –conducted by both organisations.

Meanwhile, Mohd Hatta hoped local businesses would be fully digitalised by 2020, as full digitalisation of commerce would result in up to a six-fold increase in the number of businesses that export goods.

However, he pointed out that it would all depend on the Internet infrastructure, as currently only 36 per cent of the country had Internet coverage. 

“We need to reach about 80 per cent Internet coverage in Malaysia so that we can (further) develop the country,” he said.

Asked if the recommendations listed in the white paper would be fully implemented, Mohd Hatta said it would be possible to implement the suggestions given.

“I supposed we will adopt these suggestions,” he said.

Among the recommendations included changing the mindset of businesses to think like an innovative digital SME and accelerating their digital transformation.

Earlier in his speech, Mohd Hatta said the findings of the SME study revealed that SMEs using the social media and e-commerce reported a 26-27 per cent improvement in productivity.

“SMEs using data management solutions also reported 60 per cent gain in their productivity,” he said, adding that this showed that SMEs could attain higher productivity with better technology adaption.

The SME study was conducted in June with the participation of 2,033 SMEs, representing all regions and sectors including services, manufacturing, construction and agriculture, aimed at exploring the ICT adoption in the country.

The study also examined the drivers and barriers to digital transformation through the lens of local SMEs.