Strategic Human Capital Development: Addressing Indonesia's Digital Stagnation Towards Society 5.0

Abstract

The transition toward the Society 5.0 era necessitates a fundamental paradigm shift in human resource (HR) 
development, where the optimization of digital technology is intrinsically tied to the quality of human competency. Despite 
rapid technological evolution, a significant gap remains between innovation and workforce readiness. This research aims to 
analyze the strategic role of higher education institutions in cultivating the human capital necessary to support Indonesia’s 
national progress. Employing a Systematic Literature Review (SLR) method, this study qualitatively synthesizes 25 core 
sources from 2019 to 2025 to evaluate digital competency development. The findings indicate that holistic development—
encompassing both technical hard skills and adaptive soft skills—is the primary driver for navigating digital disruption. Higher 
education is identified as a central actor, evolving from a traditional teaching role into a proactive talent and entrepreneurship 
incubator. Notably, empirical data from the 2025 Indonesian Digital Society Index (IMDI) reveals a multilevel digital divide: 
while the national average of 44.53 indicates a gradual recovery, Banda Aceh City achieves a superior score of 52.58. However, 
a critical "Empowerment Gap" persists at 34.32, suggesting that infrastructure readiness has not yet translated into productive 
economic value. Consequently, this study concludes that producing adaptive HR through Triple Helix synergy is vital for 
achieving national digital maturity.