Indonesia stands at the forefront of a global workplace transformation driven by artificial intelligence, according to Microsoft's newly released Indonesia-specific findings from their 2025 Work Trend Index.
The study, released on June 23, reveals that an overwhelming 97% of Indonesian business leaders believe 2025 is the year to fundamentally rethink core aspects of their strategies and operations—a figure that exceeds global averages. This shift marks more than a technology trend; it represents a complete reimagining of work processes through human-AI collaboration.
"The Frontier Firm is more than a new business model but a leapfrog opportunity for Indonesia," said Dharma Simorangkir, President Director of Microsoft Indonesia. "In an era where AI is reshaping every aspect of work, this moment allows us to bypass traditional limitations and drive breakthrough gains in productivity and innovation."
The research identifies a critical challenge: while 87% of Indonesian leaders are familiar with AI agents, only 56% of employees share the same level of understanding. This 31-point gap represents a significant barrier to fully realizing AI's potential across organizations.
"This is our opportunity to invest in people, nurture new skills, and create a culture where everyone is equipped to become an agent boss," Simorangkir emphasized. "By closing this gap, we're not only embracing technology—we are unlocking the full potential of our workforce."
The capacity gap is particularly pronounced in Indonesia, with 88% of the workforce reporting they lack sufficient time or energy to complete their work, while 63% of leaders say productivity must increase. In response, 95% of Indonesian business leaders express confidence in using AI agents to extend work capacity within the next two years—significantly higher than global averages.
Alongside these findings, Microsoft announced its Microsoft 365 Copilot Wave 2 spring release, introducing new features designed to support human-AI collaboration, including AI-powered search capabilities, creative tools, and an Agent Store for accessing AI agents tailored to specific tasks.
The report, drawing on insights from 31,000 workers across 31 countries, reveals how organizations are evolving from traditional hierarchies into fluid, intelligence-driven ecosystems—with Indonesian companies positioned to lead this transformation.