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All Journal STI Policy and Management Journal
Erman Aminullah
Scopus ID : 55331157100 National Research and Innovation Agency

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Dynamics of Capability Upgrading in Indonesian Herbal Medicine Firms Erman Aminullah
STI Policy and Management Journal Vol 7, No 2 (2022): STI Policy and Management
Publisher : National Research and Innovation Agency, Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.14203/STIPM.2022.348

Abstract

This article examined the dnamics of capability upgrading in Indonesian herbal medicine firms for empirical and future trends analysis. The dynamics of capability upgrading was analysed by using system dynamics modelling.  New knowledge was revealed from system  dynamics analysis of capability upgrading in Indonesian herbal medicine firms, the core ideas are: capability upgrading in Indonesian herbal medicine firms   can be realized by two routes: i. the linier moving up of  technological capability ladders from traditional herbal  to standardized herbal and phytopharmaceutical medicine, and, ii.  the non-linier dynamic of technological capability upgrading by directly producing standardized herbal by using R&D and then move-up to create phytopharmaceutical medicine.  The enabler factors of company’s success in capability upgrading were innovation collaboration and management coordination led by top management. The process of  capability upgrading can be accelareted by  incporporating: advanced knowledge base (such as biotechnology), the entrepreneurial activities of leading firms, and institutional/regulatory support from the government.. Keywords: capability upgrading, herbal medicine, system dynamics, future trends, enabler factors.
Future of Indonesia’s Industrial R&D using system dynamics Erman Aminullah
STI Policy and Management Journal Vol 11, No 1 (2026): STI Policy and Management
Publisher : National Research and Innovation Agency, Indonesia

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.14203/STIPM.2026.436

Abstract

This study attempts to explore the future of Indonesia's industrial R&D intensity based on historical data trends. A systemic approach and system dynamics modelling were used to explain Indonesia's high reliance on public funding for R&D activities. The simulation results show that: i. the policy of increasing industrial R&D investment can be implemented by transferring research outputs from research institutions to the industrial sector, as well as increasing R&D investment in the mission-oriented industrial sector. This is a challenging scenario for the most ambitious future R&D trends by 2045. ii. Limited R&D spending can have a tangible economic impact if public R&D organisations implement researcher performance evaluations based on R&D results' application in industry. Transferring government R&D outputs to the industrial sector will boost future industrial R&D in a moderate scenario by 2045. iii. Prolonged reliance on government R&D funding has the unintended consequence of lock-in dependence on public R&D funding, and further delays in increasing industrial R&D trends are most likely in a BAU scenario by 2045. The long-term policies should be executed integrally in realizing Indonesia’s transition to industrial R&D. This study's scientific contribution is a model of lock-in dependence on public R&D funding based on historical data.
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