We have responded to this evolution by encouraging the development of technology, business processes and related products and services, reaching further, getting out of the comfort zone, creating value for shareholders and stakeholders in a sustainable way. In 2022, Telkomsel presented 5G digital technology in use cases that became the pride of the country, from the first 5G Smart Underground Mining in Southeast Asia to telecommunications support for international events such as the Mandalika MotoGP in Lombok and the G20 Summit in Bali .
3G/4G/5G BTS
Execute Together Accomplish Better The #InternetBAIK Festival: Opens Possibility for Parents’ Roles as Agent of
January
Digitalizing the Jababeka Area Kuncie and Fita Become Vertical Business Entities of INDICO
Tinc Batch 7: Potential Startups that are Ready to Collaborate with Telkomsel to Present Digital Solutions
February
Majamojo: A joint venture of Telkomsel Ekosistem Digital and AMAB
March
April
INDICO Announced as Brand Name of PT Telkomsel
Telkomsel’s support at the MotoGP 2022 Mandalika
Collaboration in Expanding 5G Service
3G to 4G LTE Network Upgrade
Telkomsel’s 27 th Anniversary Celebration The NextDev Summit 2022
The tSurvey.id Platform, Platform to Open Innovative Digital Research Opportunities
Siaga RAFI 2022
IoT Smart Manufacturing
Protection-Mobile Network Verification (TAP-MNV),
June
Purpose Statement: Terus Lampaui Batas - Reach
July
Telkomsel strengthens its role as the Official Mobile Partner of the XI ASEAN Para Games 2022
Telkomsel – Mitratel Corporate Actions, Add Ownership Diversion of 6,000
August
September
Connext, Connecting Startups and Digital Ecosystem Practitioners
Southeast Asia’s First 5G Underground Smart Mining
Dunia Games Awards 2022
CSR Program “Telkomsel Jaga Bumi” Initiation
October
5G Showcase at the G20 Summit, Promoting
Paket Halo+, Telkomsel’s Newest Postpaid Package
Telkomsel PayLater and Kredivo Collaborates to Strengthen the Nation Financial Digital Ecosystem
November
IndonesiaNEXT Season 7, Open Possibilities to Increase Indonesia’s Upcoming
Digital Talents Competencies, Skills, and Capabilities
The Carbon Offset program, Telkomsel Jaga Bumi Initiatives Encourages its Customers
Telkomsel Siaga NARU 2022
December
HerStory Women Empowerment Companies Awards (WECA) 2022 - Telkomsel as Best Women Empowerment Companies with Outstanding Gender Inclusive Workplace. Indonesia Millenial Women Brand Choice Awards 2022 – Telkomsel as Top 5 Millenial Women Favorite Brand 2022 in the mobile telecommunications provider category.
Dear Shareholders,
Wishnutama Kusubandio President Commissioner
Reaching Beyond to Empower the Nation
Telkomsel’s Progress in 2022
Corporate Governance
Changes to the Board of Commissioners
Acknowledgements
He was previously Minister of Tourism and Creative Economy of the Republic of Indonesia. He was President Director at Trans 7, President Director at Trans TV, Director at Detik.com, President Director at NET TV, Commissioner at Kumparan and Commissioner at Tokopedia.
Wishnutama Kusubandio
He has received accolades for his achievements in the industry such as Indonesia Creative Industry Influencer Award at IdeaFest 2017, Best Digital Talent - Head of Digital Business at Bubu Awards Indosat Ooredoo IDByte 2017, Best Strategy Executive Across All Industries at Tempo Media Group's Annual Strategy-Into-Performance Execution Excellence (SPEX2) Awards 2016, Richtopia UK's 500 Most Influential CEOs in the World 2015, Marketer of the Year, Indonesia Marketing Champion 2015 in Broadcast, TV, Media Category, and Best CEO from SWA. He currently serves as Chairman of INDICO, Chairman and Founder of MediaWave Interactive, Founder of PoliticaWave and MediaWave Analytics, and Member of the Indonesia Transition Support Expert Group for Capital Preparation, Development and Relocation.
Yose Rizal
He has a bachelor's degree in Urban and Regional Planning from Bandung Institute of Technology in 2003. He is a prominent public speaker in various forums, national media including TV, as well as national and international seminars.
Nanang Pamuji Mugasejati
Before joining Singtel, Anna was CEO and Executive Director of Smartone Telecommunications, where she led the Hong Kong and Macau operations since 2016. Anna is a member of the Advisory Board of the Singapore Management University's Institute of Service Excellence and is an independent non-executive director. of BUPA (Asia) Limited.
Yuen Kuan Moon
He is also a member of the Digital Readiness Council of Singapore's Ministry of Communications and Information and the Payments Council of the Monetary Authority of Singapore. He holds a PhD in Philosophy and an MSc in Management from the University of Oxford and a First Class Honors in Business Administration from the Chinese University of Hong Kong.
Valued Shareholders and Stakeholders,
Hendri Mulya Syam President Director
Empowering the Nation
Transformation Programs
Corporate Social and Environmental Responsibilities
Action against Climate Change – Telkomsel Jaga Bumi is an umbrella campaign for the green initiatives Waste Management, Carbon Offset and Tahura Digitalization Support. Community Empowerment and Well-Being – Telkomsel is committed to maintaining national food security through the BaktiKu NegeriKu program which in 2022 included the use of IoT by farmer groups in managing their agricultural fields.
Changes to the Board of Directors
Philanthropy - Telkomsel conducts TERRA and religious programs to help communities meet their needs during post-disaster and religious holiday periods. Digital citizenship – Telkomsel supports a learning system for young people (10-30 years) – from InternetBAIK, NextDev to digital creative entrepreneurs – to understand human, cultural and social issues in the digital world.
Acknowledgement
He was previously appointed Director of Sales in February 2021 and Director of Networks in June 2020. Prior to his appointment as Director, Ramzy was Senior Vice President Financial Planning Analysis and Business Partner at Telkomsel (2020).
Hendri Mulya Syam
Prior to joining Indosat Ooredoo, Hendri started his professional career at Telkomsel in 1995 where he served in many strategic roles including Senior Vice President of Program Management Office and Executive Vice President of Sales Area. He has served in several strategic roles at Telkomsel, including Vice President of IT Delivery, Vice President of IT Customer Care and Charging Group and Vice President of IT Customer Care and Billing Solution and Management Group.
Adiwinahyu Basuki Sigit
Muharam Perbawamukti
Bharat Alva has been IT Director since May 2019, where he actively leads the digital transformation process for Telkomsel and is responsible for all aspects of IT. His vision as Director of IT at Telkomsel is to elevate IT as a strategic tool to enhance the company's efforts.
Bharat Alva
Subsequently, for the last 9 years, he undertook regional assignments in Telkomsel and Globe Telecom Philippines. The company is Indonesia's leading digital cellular telecommunications operator, boasting the widest network coverage in the country.
Launch of Kuncie, a learning platform for Indonesia's talents, underscoring Telkomsel's commitment to accelerate Indonesia's empowerment through technology leadership. The launch of Indonesia's first mobile voice and data services for PELNI ships on the open ocean.
Board of Commissioners President Director
Renewed from Telkomsel's long-standing brand, kartuHalo, in 2021, Telkomsel Halo now continues to offer an unparalleled range of quality mobile services and a set of exclusive privileges to its user base. A powerful integration of Telkomsel's popular prepaid brands—simPATI, Kartu As and LOOP—Telkomsel PraBayar now offers convenience and comfort to its customers.
Pushing the Boundaries, Digitalizing Indonesia
FMC Kick-Off
5G Deployment Infrastructure
G20 Support
Tower Divestment
Spectrum Acquisition
Looking Forward
We also enhanced Digital Services and explored new vertical solutions, including optimizing the game publishing program, offers and the Dunia Games platform, and launching the new game Return of Condor Heroes, enriching the MAXstream platform through the development of more focused on customers and launching more MAXstream Original content and monetized existing services with better business models and services, as well as continuous improvements to services and delivery channels. Recently, we also initiated Cloud Enablement to support digital connectivity and accelerate digital transformation, as well as increase efficiency in scalability.
Telkomsel Halo (Postpaid)
To appreciate loyal customers, the Telkomsel loyalty program offers Telkomsel points that customers can redeem for various benefits such as vouchers, lucky draws and donations. We have also organized programs such as movie gala premieres that are linked to the redemption of Telkomsel points to retain HVC customers.
Telkomsel Prabayar (Prepaid)
We developed a self-service channel for postpaid customers on the Telkomsel website and the MyTelkomsel apps. We launched Halo+ to strengthen Telkomsel Halo's brand position with enhanced internet access, voice and SMS quotas for all domestic operators, roaming quotas in more than 100 countries, premium digital lifestyle content, more Telkomsel Poin and priority services.
Telkomsel Orbit
Legacy
Broadband
Digital Service
Telkomsel aims to become a digital transformer of Indonesian enterprises and since the establishment of Telkomsel Enterprise in 2019, we have been striving to develop our business beyond connectivity. Now Telkomsel Enterprise serves more than 40,000 accounts including government, enterprise and MSME segments, both human and non-human devices.
Telkomsel Mitra Inovasi (TMI)
The Establishment of INDICO
This collaboration will open up opportunities for local creators and talents to contribute to the development of the Indonesian gaming ecosystem. A portion of the profits of "Boxing Star: KO Master" will be donated to the development of the boxing industry and scholarships for young Indonesian boxers.
Overview
Customer Journey Digitalization
Intelligence Automation
Cyber Security and Data Protection
Infrastructure and IT Operational Excellence
Telkomsel's Consent Management System is designed to obtain approval to process personal data for specific purposes in accordance with government regulations and has been modernized in 2022 by IT, with the integration of supporting platforms such as CRM, Big Data, and also Key Digital Channels. To allocate more capacity and improve quality as well as user experience, Telkomsel decided to upgrade its 3G network to 4G, expanded network infrastructure to include 4G and 5G, as well as acquiring additional 5 MHz frequency spectrum from 2.1 GHz, and contributed to Telkomsel's efforts to improve its sustainability performance.
Network Capabilities, Resilience, Qualities, and Coverage
In 2022, the Network managed to implement a number of digital technologies that improved the network in terms of coverage, capacity, capacity and quality. The implementation involved the aforementioned deployment of 5G networks, network automation, network virtualization, network quality simulation, network analytics, cloud-based solutions, Robotic Process Automation (RPA) and various digital technologies for mobile workforce management.
3G to 4G Network Upgrade Program
To mitigate these risks, Network has taken a phased approach to upgrading its 3G network, starting in select cities ready for migration to the 4G network, to ensure continuity of service to customers. Looking ahead into 2023, Network will continue to conduct in-depth market readiness analyses, confident that we will be able to implement the migration program in Indonesia's other cities.
Infrastructure Investments
We emphasize on the 'HCM Grand Strategy' that will be implemented to achieve our goals. Throughout 2022, HCM conducted five programs under the corporate theme of #Pushing the Boundaries, Digitalizing Indonesia, during #Reach Beyond, Empowering the Nation and ultimately #Creating a Better Future.
Organizational SOC Optimization
Human Capital Management Directorate (HCM) has developed a grand strategy to build talented, professional and motivated human resources to do a good job.
Critical Capability Development
Culture Transformation
Integrated Performance Management System (IPMS)
HWA Activation
Flexibility with Responsibility)
To meet the company's needs and applicable government regulations, Telkomsel continuously reiterated its working arrangement, using a hybrid WFH, WFF and WFO method that still maintains health protocols. The activities were followed by the registration of the WFF/WFO/WFH team, the monitoring and completion of the team's work, and the team leaders' compliance of the WFO/WFF/WFH implementation with existing regulations, to ensure responsibility of all employees.
Summary of Organizational Changes in 2022
The company analyzed daily the distribution of employees' COVID-19 cases, monitored their recovery process and provided immune boosting.
People
Since it started in 2016, IndonesiaNEXT has gathered more than 60,000 participants from various universities and ratified more than 5,000 international certificates in the telecommunications digital industry. Finally, participants will be facilitated to form teams and participate in the second phase.
Process
Unlike conventional internship programs, Kampus Merdeka participants gain hands-on experience in various strategic projects in 36 pitches currently underway at Telkomsel, create project portfolios, receive learning packages from Telkomsel, expand their network and receive usable certificates. as initial capital anywhere in the world. As we continue to expand our digital services, MyTelkomsel will transform into an integrated super app that will become a true partner in the digital lifestyle of Telkomsel customers.
Technology
In addition to the B2C segment, Telkomsel also offers a variety of B2B solutions such as IoT and enterprise mobility. Telkomsel is committed not only to improving its processes and security, but also to using digital technology to improve the quality of TFlyers' work and the quality of our products and services.
Our Focus in 2023
In the future, we plan to develop SIFA and other applications to better meet our customers' needs through a more hyper-personalized service. In 2022, synergy management enabled Telkomsel to step out of its comfort zone and make contributions that make the nation stronger in the digital age.
Customer Experience
Telkomsel grows by building on the company's core strengths and readiness, synergizing with its parent company and moving forward with the motto "Open the World More" in defending our position as a market leader and in the Indonesian telecommunications industry. . We do this by sharpening and strengthening core growth markets, maintaining our leadership in broadband connectivity, while expanding our portfolio of digital services and unlocking all opportunities to #MakeThingsHappen in line with market expectations.
Network Infrastructure
We are committed to developing digital connectivity, digital platforms and digital services, integrating them into our parent company's Indonesia Digital Ecosystem. In this way we are able to reach beyond and empower the digital talent needed to advance the nation.
Digital Business
We also participated in the TMT (Telecommunications, Media and Technology) SOE Cluster programme, as part of Telkom's involvement, to collaborate with the State Film Company (PFN) in the commercialization of national films through MAXstream. The Digital Group Strategy & Orchestration helps the Telkom Digital Business team execute Digital and Platform service orchestration within the Telkom Group.
Business Support
GCG is key to the Company's competitive advantage, enabling us to stay ahead of the industry and maintain our market leadership, guiding us in creating long-term value for shareholders and stakeholders. All elements in the organization are committed to showing integrity and responsibility in decision-making processes, as well as in protecting the interests and assets of the Company and its stakeholders and risk management to ensure business continuity.
Code of Conduct
Management and staff at all levels are required to develop high accountability in every action taken and maintain a fruitful relationship with shareholders and stakeholders, all done in relation to regulatory compliance. We ensure that all shareholders and stakeholders receive equal treatment, including fair opportunities for employees to gain career promotions, training and education, and access to information.
General Meeting of Shareholders
Telkomsel's commitment to good corporate governance (GCG) in all aspects of its operations is in accordance with the Indonesian Companies Act No. The five principles underlying our GCG implementation help us build a strong GCG structure within the organization.
Board of Commissioners
Committees under the Board of Commissioners
The members are appointed by the Board of Commissioners and at least one of the members will have competence in accounting and/or auditing. The Capex, Financing and Process Management Committee (CFMP) assists the Board of Commissioners in fulfilling its oversight responsibilities regarding the Company's capital, financing and management processes.
Board of Directors
For an effective review and understanding of Capex and operational processes, the CFMP Committee will need to have ongoing interaction with management, who may be members of the Board of Directors. Another member of the CFMP Committee will be a representative of the Company responsible for capital planning/monitoring and financing.
Internal Audit Unit Function and Role
Independence of the Boards
Board Members’ Remuneration
Telkomsel has an internal audit charter that is referred to in the planning and execution of internal audits.
Corporate Secretary
Investor Relations
Whistleblowing
Enterprise Risk Management
- Failure to accelerate the execution of transformation towards a digital telco
- Tighter competition and pandemic effects leading to under-achieved revenue
- Regulation adversely affecting the business Telkomsel is aware of the fact that changes in
- Vulnerability of ICT Security
Due to the abundance of these products/services, the company bears the potential risks of cyber attacks, such as data theft, fraud and illegal access to the company's ICT system. ICT security has become a crucial part of the business in protecting the company's internal data and protecting customer data under the Personal Data Protection Act (PDP), and ensuring the sustainability of the business.
Business Continuity Management (BCM)
Furthermore, to increase the awareness and involvement of business units, Risk Control Units (RCUs) have been placed in each directorate.
Internal Control Improvement Program
The Regulatory Management Sub-Directorate supports Telkomsel's operations in a dynamic regulatory environment that is constantly adapting to the rapid growth and changes of the mobile and digital telecommunications industry in Indonesia. In 2022, Telkomsel participated in the public consultation activity of the Ministry of Communications and Informatics on several proposals for new regulations.
Regulatory Alignment
Digital Broadband for the People
GHz Radio Frequency Spectrum Collaboration
In 2022, Telkomsel and PT Berca Hardayaperkasa (Berca) collaborated on the Mandalika 2022 MotoGP event and during the use of the 2.3GHz radio frequency spectrum in the province of Nusa Tenggara Barat to implement 5G technology. The cooperation was approved by the Minister of Communications and Informatics, in particular in relation to the right to use 2360-2390 MHz, which Berca had for the implementation of 5G technology from March to May 2022 by Telkomsel.
GHz Radio Frequency Band Selection Winner of 2022
- GHz Radio Frequency Band Refarming
Electronic System Operator (PSE) Certificate
5G Trials – 3.5 GHz and 26 GHaz
Technical Provisions for Achieving Coverage of 4G Cellular Network Service Areas as
3G to 4G Network Upgrade
Regulation Drafts
Draft Director General Regulation on the technical guidelines for IMEI-based Jebersel access restriction to devices and/or HKT telecommunications equipment. The above-mentioned regulatory drafts to be issued by the Ministry of Communications and Informatics in 2023 will regulate various business aspects of the telecommunications sector, which need to be anticipated and appropriately mitigated, by providing inputs and responses, so that the regulations meet can come to management. positioning and is expected to support Telkomsel's business sustainability.
Fulfillment of Obligations to the Government
Tax Cases
Bankruptcy of Aneka Putra Santosa
Foundational Principles and Aims
CSR Program
Developing Indonesia's Digital Ecosystem Generating Indonesia's Unicorn Digital Start-Ups Increasing Economic Development Developing Telkomsel's Business Model Acquisition.
Telkomsel’s CSR Objectives
Telkomsel’s Environmental Objectives
Telkomsel’s Sustainability Strategy
Telkomsel is accelerating the development of digital talent in Indonesia to overcome the soft and hard skills issues of graduate and post-graduate students and strengthen its corporate image as Indonesia's leading digital telecommunications company through the IndonesiaNEXT program. The soft skills training included the topics of Communication Skills and Public Speaking, Basics of Project Management and Visual Communication.
Education
Internet BAIK has successfully launched an application with the main campaign "Internet goods start with InternetBAIK". NextDev Summit – the final stage of the NextDev program, which takes the form of exhibitions, including conferences and keynote sessions, exhibition and demo days.
Digital Citizenship
NextDev Academy – incubation stage for startups that have passed the pitch track stage with proven business. Digital platform – precision agricultural management platform provides new land use experiences for farmers, with important data available anytime, anywhere.
Philanthropy
Siaga RAFI – Telkomsel cares and is committed to providing assistance to those in need, including in the period of Ramadhan and Eid al-Fitr of 1443H/2022. Telkomsel supports the TAHURA Ngurah Rai, Bali, digitization in the form of mangrove plant monitoring with IoT, dashboard monitoring, as well as augmented reality and virtual reality-enriched education.
Telkomsel Jaga Bumi
Carbon Offsetting with JejakIn JejakIn is a carbon offsetting platform that helps users calculate, analyze, monitor and gain knowledge about their carbon footprints and how to mitigate the negative impacts. Using the MyTelkomsel application and the Telkomsel website, the collaboration with JejakIn encourages Telkomsel's customers to donate the TelkomselPOIN to participate in the carbon footprint mission, with the World Agroforestry Center's standards.
Macroeconomic Review
Indonesia’s Economic Journey
Industry Outlook and Business Review
2022 Performance
Telkomsel has successfully improved the productivity and quality of customers as indicated by higher payload (+3.6% QoQ, +18.7% YoY) and solid ARPU growth (+7.3% QoQ, +1.3% YoY) in line with the company's strategy to pursue industrial rationalization.
Operational Results
Financial Results
Operating Expenses - Cost Optimization Initiatives to Effectively Manage Operating Expenses As of December 2022, total expenses excluding depreciation and other (net) increased by 2.8% year-on-year to Rp 38,551 billion (+19.6%. Total expenses growth was in mainly due to O&M costs related to the company's initiative to strengthen 4G LTE services and maximize the quality of broadband services, while continuously developing the network to reach 265,194 total BTS (+5.6% YoY).
Future Growth Trajectories
Credit Ratings – Excellent Credit Quality Telkomsel has maintained its excellent credit quality, making it one of the highest rated companies in Indonesia.
Digital Initiatives as the Key Foundation
Improving customer experience in using Gojek services with the Number Masking feature of Telkomsel's Enterprise solutions. Telkomsel established PT Telkomsel Ekosistem Digital and officially launched its brand name INDICO to become the leading platform that optimizes Telkomsel's assets and capabilities to create a flywheel effect from innovations that will accelerate Indonesia's digital economy.
Consistently improved network quality by upgrading 3G to 4G service
Kuncie joined forces with Google to launch Gapura Digital and Google Primer learning modules, launched Mini MBA program in partnership with the School of Business and Management Institute Teknologi Bandung (SBM-ITB) and Komplit as a comprehensive data- analytics bootcamp established. Majamojo has partnered with Agate, one of the largest game developers in Indonesia, to oversee the launch of interactive visual new game platform memories in the Southeast Asia region, the "Boxing Star: KO Master" game released and launched Boxing Star Esport tournament at Piala. Telkomsel Jakarta 2022.
Obtained additional spectrum to strengthen network leadership
5G service to support society, industry and government
This annual report including the accompanying consolidated financial statements and related financial information for the year ended 31 December 2022 was authoritatively signed by members of the board of directors and the board of directors of PT Telekomunikasi Selular.
BOARD OF COMMISSIONERS
BOARD OF DIRECTORS
