Smart Economy Research Articles

ECONOMETRIC AND DIGITAL BUSINESS TRANSFORMATION IN INDUSTRY 4.0 AND 5.0 CONCEPTS

Introduction. The application of Industry 4.0 and 5.0 in the context of the formation of the smart economy and digital transformation of business and their long-term development is a very important task today. The practice of estimating the economic result of the introduction of digital business technologies by the method of net present value, which is the difference between income and expenses from the investment project in the digitalized economic system, still prevails in economic science to finance the long-term development of digital business transformation in the smart economy. to their value to date. The main reason why it is difficult to innovate the smart economy and carry out the digital transformation of the business in accordance with the elements of using the concepts of Industry 4.0 and 5.0 is the application of high discount rates. This approach to financing the digital transformation of business while focusing on the smart economy does not allow to solve many economic problems, including problems of increasing income inequality, the state of the environment, and so on. In many countries around the world, the situation is becoming so alarming that financiers and economists and experts in various fields of knowledge are already actively studying. Instead, the world community is ambivalent about these issues, which is why the study and empirical measurement of the smart economy and digital business transformation in the world, as well as prospects for digital business technologies and systems with the introduction of Industry 4.0 and Industry 5.0 is extremely relevant. Purpose. Given the relevance of the research, the purpose of this article is a theoretical and empirical study of the state of digital business transformation and the use of digital business technologies in the smart economy in the concepts of industry 4.0 and 5.0. In this context, we can highlight the main objectives of the article, which are: to analyze the possibility of digital transformation of business in the smart economy in the concept of Industry 4.0 and 5.0. types, to forecast the development of the smart economy in the concept of Industry 4.0 and 5.0 and to establish correlations between the digital transformation of business and economic growth in the transition to Industry 4.0 and opportunities for the transition to Industry 5.0. Methods Macroeconomic Analyses, Economentric Analyses, Trend Analyses Results. The options for using the digital transformation of business in the smart economy - discrete-funded efforts that support a specific program goal - that will cost the most will be divided between three strategic priorities. Investment in robotics will grow to $ 120.6 billion in 2025, followed by stand-alone operations and 360-degree customer management at $ 90.9 and $ 74.7 billion, respectively. Conclusion. The study of the state of the smart economy and digital business transformation according to the concepts of Industry 4.0 and 5.0 indicates a significant potential for the use of digital technologies in business and a significant economic effect from their use, which requires further development.

Perspectives on Smart Villages from a Bibliometric Approach

We are going through a period in which the concept of the smart village (SV) is a novelty for the management of a community, and the new smart economy of the village is based on the power of community support. Appropriately, the development of a SV is related to a family’s participation in the motivation and access to education, the increase in knowledge of information technology, information and communications technology (ICT) literacy, and also in the creation of facilities for research and development (R&D). The partnership between the public administration, the private sector, and the community heads will lead to a smart economy within the village. At the same time, the intervention of the food system to support climate change can be supported by intelligent agriculture. The SV has a strong social significance; research in the field can be multidisciplinary, including human nutrition, climate change, and community education. This paper aims to X-ray the research areas of the SV from a multidisciplinary sense, in support of the partnership with the community, and to identify the main directions of strategic development. In total, 368 pieces of research on SVs from the last ten years were analyzed through bibliometric analysis using VOSviewer software, doubled by the co-occurrence of keywords and the bibliometric combination of documents, followed by a systematic review of the literature. The research undertaken was intended to contribute to the development of research for SVs, with the analysis of identified clusters. The results obtained will have a special contribution at the SV level through strategic and research proposals and suggest that the most important strategic and research directions for SVs focus on community education, its satiety, as well as several environmental and social changes generated by SVs.

Analysis on the Development of Smart City of Big Cities in China and Its Effect to Economic Structure Based on Entropy Method

This work aims to analyze the construction of smart cities in China’s large cities and its impact on the economic structure. Some developed countries, such as the United States and Europe, have established mature smart city evaluation systems. Therefore, this work draws on the evaluation system of smart cities in developed countries to study the development status of smart cities in large cities in China. An extend linear system evaluation model is established. Besides, five first-level indicators and 24 second-level indicators are established from the five aspects: urban infrastructure, technological innovation, smart economy, human services, and intelligent environment to evaluate the development status of the city. In addition, a susceptible infected system model has been established to study the impact of smart city construction on the industrial structure. The research results demonstrate that the development level of smart cities and smart industries in eastern China is relatively high, and the comprehensive scores of smart city construction in Beijing, Shanghai, Guangzhou, Shenzhen, and Chongqing all exceed 0.082. However, the development level of smart cities and smart industries in the central and western regions is relatively low. The comprehensive evaluation scores of smart cities such as Tianjin, Hangzhou, and Wuhan are between 0.35 and 0.8, and technological innovation still needs to be further developed. In conclusion, the development gap between eastern, central, and western China has further widened with time. This work provides possible research experience for China’s smart city construction and industrial construction.

Digital Ecosystem Model for GIAHS: The Barroso Agro-Sylvo-Pastoral System

Globally Important Agricultural Heritage Systems (GIAHS) territories are highly relevant to achieving sustainable lifestyles with human subsistence in balance with the ecosystem. The Barroso agro-sylvo-pastoral system is a clear example of this alignment between existing society, nature and natural resources, the environment, landscapes, and contextual heritage. Moreover, the sustainable use of existing natural resources, excellent environmental conditions, and breath-taking untouched landscapes represent a truly relevant factor towards the development of a region economy that is still greatly influenced by an engraved cultural, patrimonial, and agricultural heritage. Given the GIAHS classification attributed to that territory, the need arises to guarantee the existing environmental conditions. This context will allow the maintenance of the GIAHS classification, ensuring the quality of life in the region and stimulating its socio-economic development and overall sustainability. The present article describes a proposal for a digital ecosystem model aimed at the Barroso GIAHS, composed of four main functional hubs that actively interact with each other: smart environment, smart government, smart economy, and smart people. Based on wireless sensor networks, IoT, artificial intelligence, data analytics, and other technological solutions, this solution will allow real-time control of the territory’s environmental conditions and develop more efficient and well-supported management and governance.

Understanding Smart City Policy: Insights from the Strategy Documents of 52 Local Governments

Today, many cities around the globe are interested in developing or adopting smart city policy frameworks; however, the complexity of the smart city concept combined with complicated urban issues makes it a highly challenging task. Moreover, there are limited studies to consolidate our understanding of smart city policymaking. The aim of this study was to bridge this knowledge gap by placing a set of official smart city policy frameworks under the policy analysis microscope. The study approached the analysis by, firstly, internationally collating the smart city policy frameworks of 52 local governments from 17 countries. The methodology then progressed to a deductive content analysis of the identified policies with a thematic data analysis software. The investigation employed the main themes to identify common urban issues in smart city policies—i.e., smart economy, smart environment, smart governance, smart living, smart mobility, and smart people. The results revealed the targeted key planning issues, goals, and priorities, and the ways that smart city policies address these key planning issues, goals, and priorities. The study findings inform policymakers, planners and practitioners on the smart city policy priorities and provide insights for smart city policymaking.

Islands of Connectivity [communications - networks and services

Stunning coastlines and verdant mountain scenery make the Cook Islands a popular tourist destination. This tourism industry has contributed to a decade of economic growth, and in 2021 the government of this nation in the South Pacific introduced the SMART Economy Initiative to create 'smart' island networks. Around the world, the Internet of Things (IoT) is used for energy metering, road traffic management, street lighting operation and environmental controls. Not all IoT nodes need the fast data transfer of a 5G network, and in the Cook Islands, the tropical and mountainous terrain means installation is not practical. LoRaWAN (long-range wide area network) technology was selected for the Cook Islands' Smart Island project. The low-power protocol uses the unlicensed industrial, scientific, and medical (ISM) frequency band for bi-directional communication.

Spatial Analysis of Socio-Economic Vulnerability in COVID-19 Handling: Strategies for the Development of Smart Society and Smart Economy

Sleman Regency has always had an increasing and highest rate of COVID-19 cases in the Special Region of Yogyakarta, Indonesia. One of the implementations of a smart city in some cities and regencies is an appropriate strategy in handling the COVID-19 pandemic. This study aims to analyze the level of socio-economic vulnerability during the COVID-19 pandemic, compile a village typology based on the level of vulnerability, and explore the strategies of smart society and smart economy in handling COVID-19. This study used a mixed method with a sequential explanatory design. The results show that the high level of socio-economic vulnerability can be found in urban areas, while the low and moderate ones dominate in rural areas or the northern region of Sleman Regency. The pattern of socio-economic vulnerability levels is clustered, resulting in eight village typologies. The COVID-19 handling through a smart society and smart economy does not spatially consider aspects of socio-economic vulnerability, but implicitly adjusts the needs and problems of the community. Strategies for managing socio-economic vulnerabilities during the COVID-19 pandemic in the implementation of smart society and smart economy are bringing services closer to the community, shifting services to digital, increasing application features, and increasing community capacity through training.

Analisis Tingkat Kematangan Smart City Kabupaten Lombok Utara Menggunakan COBIT 2019

Indonesia's national smart city program adopts 6 main dimensions of smart cities, namely Governance, Branding, Economy, Living, Society, and Environment. The North Lombok Regency Government also developed the regional smart city concept in 2021 which is stated in the 2021-2026 RPJMD. The results of capability level research on smart city dimensions and process domains show that there are 3 dimensions that are still far from the expected target, namely Smart Branding, Smart Economy and Smart Environment, and there are 3 dimensions that are close to the achievement target, namely Smart Governance, Smart Living, and Smart Society. While the analysis of the 9 COBIT 2019 process domains shows that there are 3 process domains that have not been managed, namely: APO03, APO12 dan DSS04, 4 process domains have been defined and are running well, namely: APO07, APO12, APO14, and BAI01, and 3 process domains that have been managed and have achieved the expected targets, namely: APO07, APO14, and BAI01. The average GAP value of the analysis of smart city dimensions and COBIT 2019 process domains is 1.7 and 1.3, respectively.

Sustainable development of companies as a driver of capitalisation growth in a smart economy

Digitalisation processes have a signifcant impact on changing forms of interaction between economic entities; they also contribute to the development of the fnancial market. Thus, the study of the capitalisation of companies as one of the defning indicators of the stock market is becoming increasingly relevant, including the identifcation of factors that have a direct and indirect impact on the volatility of the indicator under consideration and their management capabilities. The purpose of this study is to identify the relationship between the sustainable development of the enterprise, as well as its components and the capitalisation of the company. The methodological basis of the study is the balanced growth model, general scientifc methods – analysis and synthesis, as well as statistical – correlation and regression analysis. The empirical base of the study includes 20 companies whose shares are traded on the stock market of the Russian Federation. The authors conducted a correlation and regression analysis and as a result revealed the relationship between the sustainable development of companies and their capitalisation.

Problems of innovative development of Kazakhstan

The innovative development of Kazakhstan is associated with the construction of a “smart economy”, digitalization of the community, and a new economic course. The Government of the Republic of Kazakhstan plays a key role in defining and supporting the development process in the field of science, technology, and innovation (STI). The country has adopted a large number of strategies and programs for the development of STI, numerous institutions have been created for their implementation. The pandemic has created many problems, threats, and obstacles to the development of science, technology, and innovation in Kazakhstan, slowing down information interaction, which has traditionally been one of the main driving forces that have contributed to the acceleration of innovative development in the country. Currently, most of the efforts in the field of science, technology, and innovation are aimed at ensuring the sustainable development of the country. In the article, the main factors causing the slow introduction of innovations, advanced technological developments in Kazakhstan were considered by the authors. In the work, the authors came to a new scientific result, assessing the degree of influence of innovations on the development of the Kazakh economy, and summarized the main problematic tasks that must be solved in order to activate innovation activity in the country. Within the framework of this article, as well as the survey of respondents, the main trends in the formation of the country's digital economy, the development of information and communication technologies were identified. The results are based on the works of Kazakhstani and foreign researchers.

Mewujudkan Semarang Hebat melalui Smart City (Studi Kasus pada Dimensi Smart Economy Kota Semarang)

Smart City is a concept to shape a city for the better and can improve the welfare of its people. One of the dimensions in the implementation of Smart City is a smart economy that focuses on managing the development of economic growth that starts with innovations to increase competitiveness and open new business opportunities. Semarang city is one of the cities in Indonesia that has been implementing this concept since 2013 and its implementation was awarded Best Smart economy City in 2018. The methodology used is qualitative descriptive with primary data collection techniques with interview techniques and secondary data with literature study techniques. The implementation of the smart economy in Semarang City has three important aspects, namely Industry, Transaction, and Welfare. These three aspects are integrated into the indicators of the Semarang Hebat Priority Program which 6 indicators of 10 indicators. In this article, the author explains the implementation of the achievements of the smart economy in the city of Semarang based on the indicators of the Semarang Hebat Priority Program. In this article, the author explains the implementation of the smart economy in the city of Semarang based on the indicators of the Semarang Hebat Priority Program. The implementation of the smart economy in Semarang City has been running by showing a positive trend, with constraints from external factors in the form of the Covid-19 Pandemic. It is hoped that the Semarang City Government can maximize and improve sectors that show positive trends and anticipate unexpected conditions in the future.

Smaller is smarter: A case for small to medium-sized smart cities

Smart Cities have been around as a concept for quite some time. However, most examples of Smart Cities (SCs) originate from megacities (MCs), despite the fact that most people live in Small and Medium-sized Cities (SMCs). This paper addresses the contextual setting for smart cities from the perspective of such small and medium-sized cities. It starts with an overview of the current trends in the research and development of SCs, highlighting the current bias and the challenges it brings. We follow with a few concrete examples of projects which introduced some form of “smartness” in the small and medium cities context, explaining what influence said context had and what specific effects did it lead to. Building on those experiences, we summarise the current understanding of Smart Cities, with a focus on its multi-faceted (e.g., smart economy, smart people, smart governance, smart mobility, smart environment and smart living) nature; we describe mainstream publications and highlight the bias towards large and very large cities (sometimes even subconscious); give examples of (often implicit) assumptions deriving from this bias; finally, we define the need of contextualising SCs also for small and medium-sized cities. The aim of this paper is to establish and strengthen the discourse on the need for SMCs perspective in Smart Cities literature. We hope to provide an initial formulation of the problem, mainly focusing on the unique needs and the specific requirements. We expect that the three example cases describing the effects of applying new solutions and studying SC on small and medium-sized cities, together with the lessons learnt from these experiences, will encourage more research to consider SMCs perspective. To this end, the current paper aims to justify the need for this under-studied perspective, as well as to propose interesting challenges faced by SMCs that can serve as initial directions of such research.

A theoretical framework of smart supply chain innovation for going global companies: a multi-case study from China

PurposeThis study explores the influencing factors of smart supply chain innovation (SSCI) for going global companies and designs a theoretical framework.Design/methodology/approachThis paper is a multi-case study that includes a combination of exploratory and explanatory case studies.FindingsFirst, the authors find that SSCI is embodied in product development and supply chain empowerment, which represent exploitative innovation and explorative innovation, respectively. Meanwhile, supply chain empowerment has a positive impact on product development. Second, the going global policy affects the transformation of supply chain empowerment to SSCI practices. Third, in terms of exploitative innovation, personalized demand positively affects SSCI through product development. Finally, explorative innovation, including emerging technology application and supply chain ecologicalization, has a positive effect on supply chain empowerment and thereby affects SSCI.Originality/valueSupply chain innovation in the context of a smart economy has gained great popularity. This study sheds light on the influencing factors and mechanisms of SSCI from the exploitative and explorative aspects of innovations.

Mentality, Systems, and Networking (MSN) Model in Semarang Smart City

The fourth modern upheaval period (Industry 4.0) is an opportunity for local governments to carefully develop administrations for the general public. The presence of Semarang Smart City is intended to provide convenience and efficiency for the general public and Regional Government in obtaining a range of data about Semarang City. This review aimed to gain an overview of Semarang Smart City using the mindset, frameworks, and systems administration (MSN) model. This research examined the Semarang Regional Government’s methodology of mindset, disposition, conduct, and obligation, which has a particular focus on the Semarang Smart City and the RPJMD Kota Semarang. The RPJMD contained pointers that were upheld by the city’s execution. The results of the review from the frameworks approach indicated that there was support from the Semarang City Government (Pemkot) to break the old organization’s way of working. The findings from the attitude frameworks and systems administration approach demonstrated the unification of the idea of manageability, availability, inventiveness, and social incorporation with the 6 Smart (6s): smart administration, smart marking, smart economy, smart living, smart society, and smart climate, to become the 10 main programs in the RPJMD of Semarang City in 2016-2021.
 Keywords: model mentality, systems, networking, Semarang Smart City

Developing a Smart City Logistics Assessment Framework (SCLAF): A Conceptual Tool for Identifying the Level of Smartness of a City Logistics System

One of the main building blocks for sustainable cities is the development and efficient operation of a viable and sustainable city logistics system. City logistics exhibit several practical complications due to the conflicting interests of multiple actors involved, as well as the vague role or reluctant involvement of the public sector. Despite the plethora of innovative city logistics initiatives developed in European cities and European policy priorities towards the promotion of smart cities, little is known about the level of smartness of city logistics systems in Europe. In response to that, this paper proposes a conceptual multi-criteria and multi-assessment framework as a guidance tool for city planners, aiming to support the in-depth understanding of the main components of a smart city logistics ecosystem and facilitate the self-assessment of a city’s level of smartness. The proposed framework represents a four-level hierarchical assessment pyramid involving four main impact areas: (i) smart governance, (ii) smart economy, (iii) smart actors, and (iv) smart environment. A more in-depth analysis of each impact area is separately conducted by deconstructing the impact areas in specific criteria, sub-criteria, and KPIs. This paper presents in detail the methodology followed and the main components of this tool.

DEVELOPMENT OF SMART GOVERNANCE MEASUREMENT FRAMEWORK TO CREATE A SUSTAINABLE BANDUNG SMART CITY

This study aims to examine the development of a Smart Governance measurement framework to create a sustainable Bandung Smart City. The measurement of Smart Governance identifies the potential of Bandung city and analyzes what indicators play a major role in the dimensions of Smart Governance, as well as implying government policy as a bridge between the community and the government in making decisions. This research uses Mixed Method (Quantitative and Qualitative). The data were processed using SPSS 25 and LISREL 8.80 app, with Structural Equation Modeling (SEM), the testing based on Confirmatory Factor Analysis (CFA) theory, which is used to support quantitative data. For qualitative data, researchers conducted interviews with stakeholders who were directly involved in the development of Bandung Smart City. The Smart City variable from the Smart Governance Dimension has 4 Sub-dimensions which have standardizes factor loading which explains that all sub-dimensions are meaningful and significant to the Smart Governance Dimension namely Leadership Stakeholders: Mayor, Deputy Mayor, and OPD of (0.83) , Governance Transparency (0.97), Community participation in decision making (0.59), and Infrastructure (0.94). Where the value of CR (0.91), and AVE (0.72). For further research, it is recommended to examine a broader dimension of Smart City, which include Smart Economy, Smart People, Smart Mobility, Smart Environment, Smart Living, Smart Branding, Smart Energy, Smart Society, along with other stakeholders such as relevant government agencies, colleges, entrepreneurs, medical teams and others.

A Gap Analysis of Yogyakarta Smart City Project (within the Dimension of Smart Governance and Smart Economy)

The COVID 19 Pandemic exposed digitalization as a fundamental aspect to revive the local economy. Fortunately, Indonesia has already shifted towards a 100 Smart City for their Municipalities since 2017 . Yogyakarta as one of the best SC, has suffered the impact of pandemic. In the need to explore the phenomenon of how an SC should be implemented within the circumstances , it will be relevant to describe a gap analysis on (1) Yogyakarta SC Project through the dimensions of SG and SE and (2) Strategic Solutions. This paper employed a gap analysis through a qualitative study and it uncovered gaps of the SC project such as central government intervention, sectoral quality of digitalization, and intergovernmental sync. The strategy to eclipse the Cohen SC Wheel are the followings: reinforcing the regulatory capacity, improving the app business process and features, and intensify the formal cooperation, be it inter-governmentally or between public-private.

IMPLEMENTATION OF SMART CITY POLICY TO ADVANCE THE ECONOMY IN BANDA ACEH CITY (CASE STUDY: URT CINTA KASIH HOUSING, PANTERIEK VILLAGE) ACEH PROVINCE

A smart city is an urban development and management strategy designed to assist various activities and provide easy information to the public. Since 2017, the Banda Aceh City Government has adopted an electronic-based planning system to encourage policymakers and create a transparent and participatory bureaucracy. In addition, Banda Aceh is a trading and service city that has significant micro-economic potential with the growth of the MSME sector reaching 25% per year and is the backbone of the city's economy (Bappeda Banda Aceh City, 2019). This potential must be encouraged by the use of technology and information as well as digital means to achieve better economies of scale. Therefore, the implementation of the smart city in Banda Aceh is expected to continue to grow to improve the economy and quality of life of the community. The focus of the research is the implementation of a smart city in Banda Aceh City and the role of the smart economy in improving the community's economy, especially HBE in Panteriek Village. By using a qualitative method involving the government, 23 household business actors, and digital marketing practitioners, the results show that the development and management of smart cities have been carried out optimally from a government perspective. However, the implementation is still not optimal due to the limited human resources from the government and users. On the other hand, the growth of business groups and the support of internet facilities provide great opportunities for the development of a smart economy by optimizing financial support to develop a marketplace to improve the economy and people's welfare.

(Re)Considering Smart City Approach in Smart Economy Perspective: Evaluation of Konya Case

It is aimed with this paper to put smart city into smart economy perspective by conceptual framework and analysis. The relation of smart economy components with local economic development have been discussed. Therefore, this study has three key parts. The first part highlights the smart city and smart economy literature. Smart city approach has been discussing in terms of institutional based, environment based and economic based. Smart economy is a new economic approach reflection of smart city approach. Smart economy as one of the component of smart city enables to increase attractiveness of current economic sectors like finance, Information and Communication Technologies (ICT), service and cultural. It enables to occur new economic sectors (sharing economy and clean/green economy). Therefore, the second part investigates the effectiveness of smart economic approach in Turkey with case specific method. Konya in Turkey was selected for testing of smart city inquiry by using municipality’ website & TURKSTAT data with LQ analysis. According to these findings, Konya may not be seen as a real smart city in smart economy perspective due to two reasons. The first reason is current economic sectors under the entrepreneurship have not developed sufficiently according to LQ analysis results. The second reason why Konya may not be a smart city that sharing and cluster based economy have not become popular adequately and production of data about these issues is underestimated. Therefore, third part includes opportunities and limits determined to be smart city especially in economic perspective in the future.

STRATEGY FOR IMPLEMENTING AND DEVELOPING SMART CITY IN ORDER TO REFORM LOCAL GOVERNMENT BUREAUCRACY IN CIMAHI CITY

A Smart City is a concept for urban development that incorporates information and communication technology (ICT) and Internet of Things (IoT) technologies. A smart city aims to maximize service efficiency via the use of informatics and technology. Data gathered from people and devices is then processed and evaluated using sensors that are coupled with a real-time monitoring system. This data is gathered as critical data to help the community overcome the inefficiencies of bureaucratic services. The rapid advancement of information and communication technology, combined with the development of an increasingly reliant society on the performance of the government bureaucracy, generally requires the government's strategy for implementing and developing Smart Cities. because it has the potential to significantly influence lives, both personally and collectively, including those of government agencies.
 However, several difficulties remain in its implementation, preventing the government's strategy from being executed properly. The government's strategy for implementing and developing the E-government idea, as well as for applying and developing the Smart City concept to achieve bureaucratic reform, is highly suitable for use as a form of assistance for the development of high-quality community services. The Smart City idea is being implemented in Cimahi City using the following six indicators: (1) smart government, (2) smart economy, (3) smart environment, (4) smart living, (5) smart people, and (6) smart mobility are all examples of smart concepts.