In today’s fast-evolving digital landscape, the gap between Malaysia’s digital adoption and its workforce readiness is becoming increasingly evident. As the country accelerates its digital transformation, many businesses struggle to keep pace due to a lack of specialized digital skills. In this exclusive interview, [Interviewee’s Name], [Job Title/Position], sheds light on this pressing challenge and shares actionable insights on how to bridge this gap effectively. From the role of government initiatives to the importance of industry collaboration, Jan Wong offers a comprehensive view of what it takes to create a digitally savvy workforce in Malaysia.
Can you elaborate on the growing gap between Malaysia’s digital adoption and its workforce readiness?
The growing gap between Malaysia’s digital adoption and its workforce readiness has become a critical issue as the country aims to strengthen its position as a digital economy leader in the region. While Malaysia has made strides in adopting digital technologies boosted by government initiatives such as MDEC and the Malaysia Digital Economy blueprint, infrastructure improvements, and increased interest from businesses; the readiness of the workforce to fully leverage these advancements has not kept pace. This disparity creates a situation where digital tools and platforms are available, but the talent needed to maximise their potential is lacking, hindering the country’s broader digital transformation efforts.
A key issue is the mismatch between the skills being developed through education and training programs and the actual skills needed in the workplace. Malaysia’s workforce, particularly in traditional industries like manufacturing, retail, and logistics, often lacks the digital skills required to work with new technologies like data analytics, AI, and digital marketing. Studies and surveys have highlighted that while younger workers may be digitally savvy in their personal lives, they often lack the technical and strategic skills needed 1to apply digital tools effectively in a professional setting. For example, while data analytics tools are being adopted by businesses to better understand customer behaviour and optimise operations, many workers lack the analytical skills to interpret this data or use it to drive decision-making.
There is also a digital skills gap that is more pronounced among small and medium enterprises (SMEs), which form the backbone of Malaysia’s economy. Many SMEs operate with smaller teams and limited budgets, making it difficult for them to invest in comprehensive digital training for their employees. Despite various government grants and incentives aimed at supporting digital upskilling, many SMEs either remain unaware of these opportunities or lack the time and resources to take advantage of them. As a result, they struggle to adopt advanced digital tools that require a certain level of technical proficiency. This resistance can slow down digital transformation efforts, even as other parts of the economy move rapidly forward. Younger workers may feel frustrated by the lack of support for digital initiatives, and those who are less digitally literate may find it challenging to adapt, creating polarisation within the workforce.
Many of these training programs also often focus on entry-level digital literacy rather than on specialised skills like data analysis, AI implementation, or digital marketing strategy, which are crucial for leveraging advanced digital tools. Digital skills need to be continuously updated as new technologies emerge, but many training programs fail to account for this, leaving even those who have attended previous courses needing further upskilling. This gap creates a situation where businesses might adopt the latest digital platforms, but without a culture of continuous learning, the workforce falls behind, unable to keep pace with technological advancements.
Bridging the gap between digital adoption and workforce readiness will require a coordinated effort from both the government and the private sector. There needs to be a stronger emphasis on industry-specific training, collaboration between educational institutions and businesses, and a focus on creating a culture of lifelong digital learning.
How do you think the skills gap could harm long-term economic and SME growth, particularly in terms of innovation, productivity, and competitiveness?
The skills gap can significantly hinder long-term economic growth and the development of SMEs, particularly in terms of innovation, productivity, and competitiveness. When businesses lack a workforce equipped with the necessary digital and technical skills, it creates a ripple effect that impacts not only their immediate operations but also their ability to grow, adapt, and compete in an increasingly digital global marketplace.
In a globalised economy, businesses are not only competing locally but also with companies across the region and around the world. SMEs in countries with a highly skilled digital workforce can adopt the latest tools more quickly, optimise their supply chains, and provide better customer experiences. The skills gap in Malaysia puts its SMEs at risk of falling behind competitors from countries like Singapore, where digital skills training is more integrated into the education and business ecosystems. This also includes scaling challenges such as expanding into e-commerce, managing cross-border supply chains, and leveraging digital marketing to reach new audiences. A lack of digital skills makes it harder for SMEs to take advantage of these opportunities, limiting their growth potential. This directly affects their ability to expand, attract foreign investment, or enter new markets.
On a broader economic level, the skills gap can slow down the pace of digital transformation across entire industries. If key sectors like manufacturing, finance, or retail cannot effectively adopt digital tools, it limits productivity gains and innovation potential across the economy. This results in slower GDP growth as industries fail to reach their full potential in terms of efficiency and technological advancement. Industries that are more reliant on digital tools may thrive, while traditional sectors might lag, leading to imbalances in economic development across different sectors. Even more concerning is that when local talent lacks essential digital skills, businesses might have to depend on foreign talent to bridge the gap. This can be more costly and may result in missed opportunities for developing local expertise. Additionally, this reliance can limit the long-term sustainability of the economy’s digital transformation, as the focus shifts away from building a skilled domestic workforce.
Ultimately, consumers are also on the losing end. As consumers become more digitally savvy, their expectations for seamless online experiences, personalised marketing, and quick service increase. SMEs that cannot meet these expectations due to a lack of digital capabilities risk losing customers to competitors who can offer a better digital experience. This decline in customer satisfaction can lead to a loss of market share, making it harder for SMEs to maintain their position in the market.
What are the potential consequences for industries that are adopting automation and AI but face a digital skills shortage?
The most obvious consequence is that it can significantly undermine their ability to leverage these technologies effectively. While AI and automation promise to enhance efficiency, productivity, and innovation, a lack of skilled personnel to manage, implement, and optimise these tools can result in wasted investments, operational inefficiencies, and strategic setbacks. In other words, companies will find it challenging to realise the full return on their investments in automation and AI. Without a workforce that understands how to operate, customise, and refine AI systems, these tools may only be used for basic functions rather than their full capabilities. For example, AI systems capable of predictive analytics might only be used for basic reporting, thus missing out on deeper insights that could drive strategic decisions.
A digital skills shortage can also put companies at a disadvantage compared to competitors who are better equipped to harness AI and automation. Competitors with skilled teams can innovate faster, offer more personalised products and services, and optimise their operations more effectively. This could result in a loss of market share for companies struggling with a skills gap, as they are unable to keep up with the pace of technological advancements. Plus, as demand for AI and automation expertise rises, the talent pool remains limited, making it more difficult and costly to recruit skilled professionals. Companies may find themselves in a bidding war for a small pool of talent, driving up salaries and recruitment costs. This financial strain can be especially challenging for SMEs, which may lack the resources to compete with larger companies for top digital talent.
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Also in a worst-case scenario, this gap may also open up to cybersecurity threats as automation and AI systems often process large amounts of sensitive data. A workforce lacking in digital skills may not be well-versed in best practices for cybersecurity, such as data encryption, access control, or secure coding practices leading to the increased risk of data breaches, hacking, or other cyberattacks that could compromise AI systems and resulting in significant financial and reputational damage.
What opportunities do you see for businesses to upskill and reskill their workforce to close this gap effectively?
Businesses should leverage a mix of internal programs, industry partnerships, and innovative learning methods so that companies can empower their teams with the capabilities needed. For example, companies can create tailored learning paths that align with their strategic needs, by conducting a periodic skills assessment to identify gaps and fulfil them via the numerous online learning platforms. Platforms like OpenAcademy, Coursera, LinkedIn Learning, Udemy, and others provide access to a vast range of courses on topics such as data analytics, AI, digital marketing, and software development. These platforms offer both beginner and advanced courses, allowing employees to learn at their own pace and level. The consideration of microlearning to deliver training in short, focused sessions can be more effective than longer, traditional courses too. This can include quick video tutorials, interactive quizzes, or practical exercises delivered through digital platforms. For example, a series of 10-minute modules on using a new CRM tool or analysing data sets can be integrated into the daily routine, minimising disruption to work. This approach makes learning less intimidating and ensures that new skills are continuously reinforced.
Aside from learning, allowing employees to work on real-world projects that require them to use new digital skills will also help build practical competencies. Doing so can foster a culture of learning, integrating learning with practical applications such as involving employees in the implementation of new software systems, data analytics projects, or digital marketing campaigns. Companies can also consider incentivizing employees to engage in upskilling to boost participation in training programs by offering rewards such as internal recognition, career advancement opportunities, or financial bonuses for completing certifications or learning programs.Exposure to industry events and webinars will also help keep employees informed about emerging technologies and new methods in their fields. It also provides a platform for networking and exchanging ideas with peers from other organisations. This continuous exposure helps build a mindset of innovation and ensures that employees remain competitive in a rapidly evolving market. There are also various grants and subsidies available out there that can be tapped into for these purposes.
In summary, businesses must adopt a multi-faceted approach that includes online platforms, personalised learning, hands-on projects, and collaboration with educational institutions to close the digital skills gap effectively. Integrating these opportunities into a broader culture of lifelong learning will not only help businesses keep pace with technological changes but also empower employees to take ownership of their professional growth, leading to greater engagement, job satisfaction, and a competitive edge in the marketplace.
How can MarTech solutions play a pivotal role in helping companies achieve digital maturity and bridge the skills gap?
Martech offers a combination of advanced tools and data-driven insights that enable businesses to optimise their marketing efforts, streamline operations, and upskill their workforce to build a foundation that supports both technical and strategic growth. Here are 3 common methods:
Firstly, MarTech solutions can simplify complex digital processes by providing businesses with intuitive, user-friendly platforms that simplify complex digital marketing processes, such as customer segmentation, content personalization, and campaign automation. For companies that are still developing their digital capabilities, these tools serve as a bridge, making advanced digital strategies more accessible. By automating routine tasks like email marketing, social media management, and lead nurturing, MarTech allows teams to focus on strategic planning and creative problem-solving, thereby reducing the burden on employees who might lack in-depth digital expertise. This includes areas such as customer service, customer relationship management, routine reporting tasks and more.
Secondly, companies can be more data-driven in decision-making processes. One of the critical aspects of achieving digital maturity is the ability to make decisions based on data rather than intuition. MarTech solutions enable companies to gather, analyse, and visualise large volumes of customer and market data, offering actionable insights that drive better decision-making. Tools like AI-powered analytics platforms and predictive modelling software help businesses understand customer behaviour, optimise marketing campaigns, and predict future trends, all of which are essential for achieving digital maturity. This data-driven approach not only helps businesses optimise their marketing efforts but also plays a role in upskilling employees. As employees interact with these MarTech platforms, they develop a deeper understanding of how data can influence business outcomes, leading to a more digitally literate workforce. Through hands-on use of analytics tools, employees learn to interpret data and apply insights to their daily tasks, helping bridge the digital skills gap over time
Lastly, MarTech solutions are scalable. Most solutions allow companies to expand their digital marketing capabilities not only by data volume, processes or user access but also across different markets and regions without a proportional increase in resources – which is often good news to companies. This is especially valuable for businesses which operate across multiple countries and require consistency in their marketing efforts. MarTech platforms can standardise processes, unify customer data, and automate workflows, enabling the company to scale its digital initiatives while maintaining control over quality and performance. This scalability also means that employees across various regions can access the same tools and best practices, creating a consistent level of digital proficiency across the organisation. By providing a common technological foundation, MarTech helps create a unified approach to digital marketing, which is essential for global businesses aiming to mature digitally and close skill gaps at a regional level.
All in all, they enable businesses to simplify digital processes, leverage data-driven insights, enhance customer experiences, and create scalable solutions that drive growth. At the same time, they offer hands-on learning opportunities that help employees develop the digital skills needed to succeed in today’s market. By integrating MarTech solutions into their operations, companies can move closer to digital maturity while empowering their workforce to be more data-savvy, adaptable, and ready to tackle future challenges.
In your opinion, is there a disconnect between the numerous government initiatives to boost digital skills and the current state of workforce readiness in Malaysia?
There is indeed a disconnect between the numerous government initiatives aimed at boosting digital skills and the current state of workforce readiness in Malaysia. While the government has made significant efforts to promote digital transformation through various programs, grants, and training opportunities, there are challenges in translating these initiatives into widespread digital proficiency within the workforce.
One of the primary issues is the awareness and accessibility gap. While there are several well-intentioned government programs available, many businesses, particularly SMEs, may not be fully aware of these opportunities or know how to access them effectively. This is especially true for businesses located outside major urban centres, where information flow about such initiatives may be slower. As a result, the programs often reach only a segment of those who could benefit from them, leaving many companies and workers without the necessary support to enhance their digital skills.
Another factor contributing to this disconnect is the mismatch between training content and industry needs. Many government-led digital training programs tend to focus on general skills or basic digital literacy, which, while useful, may not fully address the specialised skills required by industries such as AI, data analytics, digital marketing, and cybersecurity. As a result, even after attending these programs, participants may still find themselves lacking the depth of skills needed to apply digital tools in a meaningful way within their specific roles or sectors. There needs to be a greater emphasis on designing programs that are tailored to the diverse needs of different industries and roles, ensuring that the skills imparted are practical and directly applicable in the workplace.
Engagement with the private sector is another crucial aspect where the disconnect becomes apparent. While the government has been proactive in initiating digital transformation policies, the involvement of private companies in shaping the curriculum and the practical aspects of these programs is sometimes limited. Greater collaboration between government bodies, industry leaders, and educational institutions could help bridge this gap, ensuring that training programs align closely with the evolving needs of the job market. This would not only ensure that participants are learning relevant skills but also create a smoother transition from training to actual employment.
Moreover, there is often a cultural resistance to change that hinders the effective adoption of digital skills. Many companies, especially those led by more traditional management, may still have a mindset that is risk-averse when it comes to adopting new technologies. This attitude can trickle down to the workforce, where digital skills are not actively encouraged or seen as a priority. Even when training opportunities are available, if there isn’t an internal push within the company to apply these skills or integrate digital tools, the training does not translate into tangible improvements. This resistance highlights the need for a more holistic approach that involves not just training but also mindset shifts and change management within organisations.
Finally, geographic and infrastructure disparities also contribute to the disconnect. While urban centres like Kuala Lumpur might have better access to digital training facilities and high-speed internet, rural areas often lack the necessary infrastructure. This disparity makes it difficult for workers in less developed areas to access online learning platforms or benefit from virtual training programs, further widening the digital skills gap within the country.
In conclusion, while the Malaysian government has made commendable strides in promoting digital skills, the impact of these initiatives is not fully realised due to gaps in awareness, relevance, collaboration, and infrastructure. To bridge this disconnect, there needs to be a more coordinated effort that involves better outreach to SMEs, customised training programs, increased private-sector collaboration, and addressing the infrastructure challenges faced by rural communities. Only by addressing these factors can Malaysia ensure that its workforce is truly ready for the digital age.
Given your impressive entrepreneurial journey and passion for digital transformation, how has your experience shaped your vision for tackling the digital skills crisis through OpenMinds?
Over the years, I’ve seen firsthand how digital skills have become critical for businesses of all sizes to thrive in today’s competitive landscape, even in their own ventures. Yet, despite the rapid advancement of technology, a gap persists in the skills required to effectively leverage digital tools and platforms. This gap is not just a matter of technical know-how; it’s about mindset, adaptability, and the ability to integrate digital thinking into everyday business operations.
Through entrepreneurship, I’ve learnt the importance of agility and continuous learning. Building businesses from the ground up has shown me that success comes from a willingness to adapt, experiment, and embrace change. This perspective shapes how we tackle the digital skills gap at OpenMinds—we focus on empowering businesses and individuals to not just use digital tools but to understand and embrace the digital mindset. Our approach is to demystify complex technologies like AI and data analytics, making them accessible and relatable to people across various levels of an organisation. By doing this, we ensure that digital transformation is not confined to the IT department but becomes a company-wide initiative that everyone can contribute to.
At OpenMinds, we’ve developed a range of training programs and workshops designed to bridge the skills gap by focusing on practical, hands-on learning. We believe that education should be immersive and directly tied to real-world applications. This is why we focus on building capabilities that can be immediately applied in the workplace, such as leveraging data for decision-making, automating workflows, or enhancing customer engagement through digital channels. Our training sessions are not just about teaching how to use a particular tool—they are about fostering critical thinking, problem-solving, and the ability to innovate using digital technology. This approach is directly inspired by my belief that digital transformation should empower people, not overwhelm them.
Moreover, my experience with building and scaling businesses has given me a deep appreciation for the importance of collaboration between businesses, academia, and government in solving the digital skills crisis. At OpenMinds, we actively collaborate with educational institutions, industry bodies, and government agencies to create programs that are aligned with industry needs. This ensures that our training is relevant and up-to-date, preparing participants for the challenges they will face in the real world. By working together, we can create a sustainable ecosystem where digital skills are nurtured from the ground up, rather than being an afterthought.
Ultimately, my vision is to create an environment where digital skills become second nature—where businesses are not just playing catch-up but are confidently leveraging digital strategies to stay ahead. I see the digital skills crisis as a massive opportunity—an opportunity to uplift individuals, transform businesses, and contribute to a thriving digital economy. OpenMinds is positioned at the intersection of this transformation, helping businesses not only close the skills gap but also unlock their full potential through digitalization. It’s about more than just training; it’s about shaping a mindset that is curious, adaptable, and ready to take on the future with confidence.
As Malaysia navigates the complexities of digital transformation, addressing the skills gap will be crucial for sustaining long-term growth and competitiveness. [Interviewee’s Name]’s vision for empowering businesses and individuals through practical, hands-on training offers a path forward. By fostering a culture of continuous learning and adaptability, Malaysia can unlock the full potential of its workforce and pave the way for a more inclusive digital future. Through initiatives like those at OpenMinds, the journey to bridging the digital divide becomes a shared effort, positioning the country for success in the global digital economy.
