Innovation

The participant target of this program is customers of Bank Mandiri micro banking segment, recipient of “Kredit Usaha Rakyat” (KUR) program of Bank Mandiri, alumni of Partnership Program of Bank Mandiri and other UMKM located around “Rumah Kreatif BUMN” Bank Mandiri.

“Rumah Kreatif BUMN” Bank Mandiri consist of 4 main activities:

1. Go Modern, by preparing and fostering MSME both in product quality, branding, and packaging.

2. Go Digital, which is to develop MSME to use digital applications to facilitate financial supervision, inventory and warehousing, as well as the process of production and digitization.

3. Go Online, to develop MSME in accessing the market, such as providing internet and online culture, product listings at blanja.com, and e-commerce logistics.

4. Go Global, which is to develop MSME to understand global product standards, product quality, and production with global online standards.

This program also in line with United Nations (UN) global goals such as build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation, ensure quality education for all, and promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all.

Inspiration

MSME/UMKM have an important role to the growth and development of the national economy. Currently, the number of MSME in Indonesia has reached 57 million. In the middle of the crisis; the business sector is still standing even though many large companies stagnated even to a halt. This is because although the income of the people decreases during the monetary crisis but does not affect the demand for goods and services generated by MSME/UMKM. MSME/UMKM can save the country's economy and able to encourage economic growth, thus, the development of this sector began to become a concern by the government and SOE so it can face tight competition of the global market. “When we see SME business we see that the business knowledge is still very low, on the other hand they have very creative products, goods to be sold however they do not know how to optimize that, so we help them to grow their business to develop their business, so once they have a better business they can contribute better to their society, at least they can have a better life for their own family, so “Rumah Kreatif BUMN” is created to develop SME in a better way so it can also contribute to the economics of our country, and of course align with our corporate value in Bank Mandiri which is to prosper the nation”, said Giovani Luciani, Vice President, Consumer Loan Group Bank Mandiri.

Overall impact

Empower the people's economy, especially for MSME/UMKM to improve the welfare and economy of Indonesia.

There are now 19 “Rumah Kreatif BUMN” presented by Bank Mandiri throughout Indonesia. Namely in Bogor, Cilegon, Semarang, Surabaya, Trenggalek, Ponorogo, Kupang, Karangasem, Lubuk Linggau, Melawi, Kampar, Lampung Utara, Penajam Paser Utara, Gorontalo, Gowa, Banggai, Ambon, Wamena, and Bintuni, with more than 1.000 MSME have been successfully built, half of it already go digital through Blanja.com website, consist from handicraft product craftsmen groups, regional food, food processing, catering groups, etc. In this 2018, Bank Mandiri plan to build 27 more “Rumah Kreatif BUMN”.

Business benefit

With the existence of "Rumah Kreatif BUMN" embedded with the business has boost Bank Mandiri development in distribution of people's business credit and micro credit as well. Bank Mandiri Net Income in 2017 Reached Rp20.6 trillion on consolidation, grows 49.5 % compare to 2016. But of course, the important thing is by doing this Good Corporate Governance program, they want to go beyond profit, which is for the prosperity for the Indonesia country.

Social and environmental benefit

- MSME/UMKM can get funding support from Bank Mandiri and subsidiaries in the form of KUR products, Micro Business Loans, and other business supporting banking products and services

- Enhance the capacity and capabilities of MSME/UMKM

- As data center and information and as center of education, development and digitalization of UMKM

- Entrepreneurship development training related to production processes, raw materials, packing, branding and financial management

- Business digitization through Blanja.com ecommerce portal

Overall Bank Mandiri is not only thinking about financial performance, but also as an agent of development in Indonesia by making the MSME/UMKM society get better education, expands the technological capabilities of industrial sectors, leads to the development of new skills, improving people’s economy and in the end prospering the community in Indonesia.

Interview

Giovani Luciani, Vice President Consumer Loan Group