29 August 2023, Jakarta – KPMG Siddharta Advisory (KPMG), a leading professional services firm, announced today a significant investment of IDR 150 billion (US$9.8 million) over the next five years to drive economic growth, scale business transformation, and enable regional collaboration in Indonesia. The investment will fuel comprehensive initiatives that empower Indonesian businesses to optimise operations, embrace digitalisation, and unlock new growth opportunities. The announcement was made at the opening of KPMG's new office at Menara Astra, which also celebrated the long-standing partnership between KPMG Siddharta Advisory and KPMG in Singapore in driving regional business potential.
The decision to invest is fuelled by Indonesia's thriving market, which presents a multitude of deal opportunities from thriving multinational corporations (MNCs), the transformation of small and medium-sized enterprises (SMEs) into larger corporates, the emergence of innovative startups, rising foreign direct investment (FDI), and strong government support.
Mr. Irwan Djaja, Chief Executive Officer of KPMG Siddharta Advisory expressed the significance of the investment, stating, "Our substantial investment of IDR 150 billion over the next five years showcases our unwavering confidence in Indonesia's economic potential and reaffirms KPMG's global standing. With this funding, we aim to create 300 new high-skilled positions in critical domains such as business transformation, security engineering, data science, sustainability, and climate change. Our goal is to expand our workforce and capabilities, equipping our clients with unparalleled expertise to confidently navigate complex business challenges. We sincerely thank our clients as well for their unwavering trust and support. Their partnership has allowed us to collaborate closely, fostering innovation and propelling all of us to new heights within the industry."
To support Indonesian businesses in their expansion, mergers, and acquisitions ventures, KPMG will provide valuable knowledge, diversification strategies, and scalable approaches driven by cost-effectiveness and innovation. Key areas of focus for KPMG's investment include cybersecurity, data solutions for business transformation and IT enablement, and regulatory technology (regtech) for compliance. Please see Annex for factsheet on KPMG Siddharta Advisory.
Mr. Ong Pang Thye, Managing Partner, KPMG in Singapore & Board Member of KPMG International, emphasised the benefits of the partnership between the two KPMG firms, stating, "The collaboration between KPMG firms in accelerating business transformation knowledge exchange, capacity building, and co-creating solutions across borders will be crucial in driving resilience in Southeast Asia. This partnership provides large foreign corporations looking to invest in sectors such as transportation, energy, or telecommunications with the opportunity to tap into KPMG's deep-rooted local market knowledge, while also benefiting from KPMG's regional and global capabilities. Both KPMG firms currently work closely together, with Singapore exporting expertise and solutions to Indonesia to help businesses gain holistic perspectives and efficiently solve complex issues."
Singapore, as the largest recipient of foreign direct investment coming into ASEAN for the past decade, has been an excellent partner for Indonesia's economic growth. In 2022, Singapore became the largest foreign direct investor in Indonesia, with investments reaching US$13.3 billion1, a notable increase of 29 percent from the previous year.
KPMG's investment in Indonesia will leverage its global network, extensive expertise, and successful business transformation case studies to empower Indonesian businesses of all sizes. By sharing best practices and providing strategic guidance, KPMG aims to enhance the competitiveness of organisations and enable them to effectively navigate the evolving business landscape.
To address the decarbonisation needs by businesses in Southeast Asia, the ASEAN Decarbonisation Hub was set up by KPMG in Singapore in March 2023. As the largest economy in Southeast Asia, Indonesia’s green transition is expected to create strong economic opportunities. Hence, Indonesia is spearheading the Asian Development Bank’s Energy Transition Mechanism (ETM), a critical enabler for phasing out coal-fired power plants and just transition to cleaner energy sources. KPMG’s ASEAN Decarbonisation Hub is extensively involved in the ETM and other similar path-finder projects in the region.
The ASEAN Decarbonisation Hub adopts a collaborative "hub-and-spoke" approach, working closely with governments and companies across ASEAN countries to enable the operationalisation of decarbonisation strategies. By prioritising energy efficiency and transitioning to renewable energy sources, businesses can significantly reduce their carbon footprint while gaining regulatory agility. The Hub also facilitates training programmes and fosters climate-focused partnerships throughout supply chains, enabling companies to collectively reduce the carbon footprint of their final products. Leveraging data and cutting-edge technology, the Hub assists companies in tracking consumption patterns, detecting emissions trends, and showcasing their progress in decarbonisation endeavours, building trust with stakeholders. The Hub facilitates project origination, structuring, financing, and implementation to support businesses on their decarbonisation journey across three primary sectors of Energy, Transport and Real Estate.
Recognising the multifaceted challenges encountered by Indonesian businesses on their digital transformation journeys, KPMG is also looking for its investment to fund comprehensive support for business strategies. This includes addressing crucial areas such as ESG strategies, regulatory compliance, risk management, and fortified cybersecurity measures. Leveraging the power of KPMG Global's proprietary data-driven solutions, KPMG will offer advanced technologies such as machine learning, natural language processing, blockchain, and AI to support businesses in navigating the complex regulatory landscape (regtech).
Through strategic alliances with major technology platforms worldwide, KPMG will also accelerate innovation responsibly and reliably, ensuring clients benefit from state-of-the-art solutions. The firm is looking to seamlessly integrate these initiatives into Indonesia to develop specialised, tailored solutions that bolster clients' competitive advantage and drive profitability, all while upholding the highest standards of ethics and security.
For media queries, please contact:
Indonesia
Acting on behalf of KPMG Siddharta Advisory
Juli Etha
Consultant
PT QIS Indonesia Sejahtera (Qcomm)
E: juli@qcomm.id
Rachel Mohereisa
Consultant
PT QIS Indonesia Sejahtera (Qcomm)
E: Rachel.zahra@qcomm.id
Singapore
Asha Raghu
Manager, Marketing & Communications
KPMG in Singapore
Adeline Tan
Manager, Marketing & Communications
KPMG in Singapore
Jeanie Lee
Associate Director, Marketing & Communications
KPMG in Singapore
About KPMG International
KPMG is a global organization of independent professional services firms providing Audit, Tax and Advisory services. KPMG is the brand under which the member firms of KPMG International Limited (“KPMG International”) operate and provide professional services. “KPMG” is used to refer to individual member firms within the KPMG organization or to one or more member firms collectively. KPMG firms operate in 143 countries and territories with more than 265,000 partners and employees working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. Each KPMG member firm is responsible for its own obligations and liabilities. Some or all of the services described herein may not be permissible for KPMG audit clients and their affiliates or related entities. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients.
KPMG Siddharta Advisory is making a substantial investment of IDR 150 billion over the next five years to accelerate economic growth, stimulate business transformation, and foster regional collaboration in Indonesia. This significant commitment will drive comprehensive initiatives designed to empower Indonesian businesses to optimise their operations, embrace digitalisation, and unlock new avenues for growth.
Building upon its state-of-the-art office, inspired by KPMG's successful Singapore office, KPMG Siddharta Advisory aims to revolutionise the business landscape by fostering a sustainable future of work through strategic investments in technology, talent, and decarbonisation efforts.
With this investment, KPMG Siddharta Advisory is poised to be at the forefront of empowering Indonesian organisations to navigate the evolving business landscape with confidence. By leveraging cutting-edge technology, innovative strategies, and global expertise, KPMG Siddharta Advisory will help businesses harness the power of digitalisation and position themselves as leaders in their respective industries.
KPMG’s office move is part of the firm’s ESG commitments to reduce the impact on the environment, contributing the firm-wide goal of reaching net-zero carbon emissions by 2030. Integrating technology into the office design has also created a conducive, collaborative, and a fit-for-future workplace for employees.
At KPMG Siddharta Advisory, we combine our deep industry knowledge with cutting-edge technologies such as artificial intelligence (AI) to deliver robust cyber defense solutions, safeguarding sensitive information and mitigating impacts on your company’s digital infrastructure. Our goal is to protect digital systems by ensuring the security and integrity of your organisation's digital infrastructure.
Our team of consultants includes C-suite level expertise across various industries. This depth of knowledge is crucial in helping businesses shape their digital programs and ensure their robustness. With our experienced professionals, you can trust that your digital transformation efforts will be guided by industry leaders who understand the unique challenges and opportunities within your sector. Through the knowledge transfer with other KPMG member firms including Singapore, this allows us to adapt our solutions to the complexities of different markets by tapping on the best minds across the firm.
At KPMG Siddharta Advisory, we believe that talent is the cornerstone of success. That's why we are committed to attracting and nurturing the best minds in Indonesia. Here's how we are investing in talent to support your transformation journey:
KPMG is committed to driving sustainability and supporting Indonesian firms on their Environmental, Social, and Governance (ESG) journey. As part of our global ESG strategy, we have established the ASEAN Decarbonisation Hub, led by KPMG in Singapore. Here's how this initiative contributes to Indonesia's sustainable future:
