Advances in information technology mean banks require more personnel with such backgrounds to reform their financial services, an undertaking they have found challenging to achieve with traditional bank employees.

“We want to meet people different from typical Mizuho [employees],” reads the cover of a brochure distributed by Mizuho Financial Group Inc. to job-hunting students. The message targets students in STEM fields — an acronym for science, technology, engineering and mathematics. STEM has attracted attention in the United States and other nations, as the development of IT and artificial intelligence has increased the importance of teaching these subjects and developing professionals with such backgrounds.

For spring 2019, Mizuho will hire 300 new graduates for so-called general career tracks, drastically lower than the roughly 800 hired this spring. At the same time, the company will hire 400 new graduates for major career tracks, a 20 percent reduction from the 500 hired this spring. However, the ratio of new recruits with a science or engineering background will increase to 20 percent, a record high and substantially greater than the typical 10 percent.

Mizuho recruitment officials have visited more than 50 university labs for the 2019 recruiting season, three times more than the number they visited the previous year.

“We’re really trying to attract students who aren’t interested in working in the financial sector,” said Shinya Uda, a Mizuho executive officer.

When the financial institution surveyed students to whom it had given effective job offers over the past several years using the results of their screening processes, it found that students majoring in subjects other than science and engineering worked well in teams — a traditionally valued quality — but scored relatively low in creative thinking.

On the other hand, the survey showed that science and engineering majors generally had superior creative thinking and problem-solving abilities.

Amid a protracted period of low interest rates, the financial industry has had greater difficulty generating profits through financing and asset management. The sector must also roll out new fintech-based financial services using rapidly developing IT.

Sumitomo Mitsui Banking Corp. is moving in a similar direction and has established two new specialized career tracks — a quants track for those who will analyze and manage quantitative data, and a digitization track for those who will work on programming and AI technology.

Meiji Yasuda Life Insurance Co. and other companies in the insurance industry have also established digitization career tracks.

The strategic partnership between the government of Thailand and Alibaba brings with it impacts not only on the e-commerce industry but also on the logistics industry as well. Most importantly, Alibaba’s smart digital logistics business, Cainiao Network, will establish a Smart Digital Hub in the Eastern Economic Corridor (EEC).

The Smart Digital Hub will utilise Alibaba and Cainiao’s data and logistics technologies and processes to optimise the cross-border flow of goods between Thailand and China and also with other markets.

Several local logistics industry players give the developments a welcome nod and believe it will bring both opportunities and simultaneous threats.

It is an opportunity for businesses who prepare and adjust themselves to compete with the China-based giant, while being a threat to those who do not improve their business capacities.

Samorn Terdthampiboon, president of Thailand Post, said that the arrival of Alibaba and Cainiao Network presents an opportunity for the delivery service since it will increase the volume of e-commerce and logistics transactions.

“We’re always investing in and inventing new services to facilitate and capture the increasing logistic demands, such as introducing Prompt Post, expanding our drop stations, and setting up Thailand Post Distribution,” said Samorn.

He predicted that Thailand Post will maintain its leading position in local logistics even with the arrival of Alibaba and Network. Thailand Post has logistics network coverage nationwide with over 5,000 branches, while the post office employs over 35,000 people with in-depth local knowledge.

“Our total transactions are 8 million items per day, including letters, boxes and parcel post. Also we have long offered a total logistics service from pick-up, to warehousing and delivery. We have 19 distribution centres excluding the distribution centres of Thailand Post Distribution,” said Samorn.

Moreover, Thailand Post has partnered with DHL Express to enable international trade for e-commerce merchants through the launch of “Courier Post” featuring premium logistics service standards. The partnership will enhance the cross-border delivery experience and aims to help e-commerce sellers to grow their global trade.

Powered by DHL Express, Thailand Post customers using Courier Post will enjoy a premium delivery experience within 2-4 days, with access to a global network in over 220 countries and territories, customs clearance expertise at the destination country and an exclusive “on-demand delivery” (ODD) solution, said Samorn.

“Cross-border e-commerce is transforming the way in which SMEs and online merchants operate their businesses,” he said. “We constantly reinvent our service to meet the needs of our customers.”

Phensiri Sathianvongnusar, the Thailand CEO of aCommerce Co Ltd, said that any investments by Alibaba in setting up a digital hub will spur the country’s economic growth, especially with China. The investment would help small and medium enterprises (SMEs) to leverage e-commerce and digital business, as well as improve needed infrastructure and human capital. The growth resulting from Alibaba’s investments would eventually attract further investments in the logistics sector as they see the segment growing, he predicted.

Still, there are concerns about the impact of Cainiao Smart Logistics Network on Thailand’s logistics industry. Phensiri said that it’s uncertain whether Alibaba will be able to build up a market-leading consortium similar to its achievement in China. Most likely, the industry would continue to be fragmented and controlled by several larger companies and networks in the future, without a single dominant one, she said.

The market dynamics in Thailand are very different to what China was like when Cainiao started. Thailand’s logistics industry is highly fragmented, and the infrastructure is already well established with many large local players such as Thailand Post, along with regional players such as Kerry Express and global players including DHL that are continuously investing and gaining more market share.

“In our view, having competition would force the existing players in the industry to constantly improve, drive change with innovation and expand the industry’s calibre,” said Phensiri. “Any company that helps grow the e-commerce industry, whether by offering better or cheaper logistics, will also enable us to grow even faster.”

On the logistics side, said Phensiri, her company “leverages the aggregation model by integrating and working with all kinds of transportation companies and service options and models. So we will directly benefit from tapping into this new network.”

Kiattichai Pitpreecha, managing director, Southeast Asia, for DHL eCommerce, also argued that the move by Alibaba would add extreme value in promoting e-commerce trade. The arrival of Alibaba proves that it’s an exciting time for Thailand’s e-commerce industry, he said. And he pointed to recent news reports that the EEC will use technologies to streamline trade between Thailand, China and other markets, including digitising its customs process.

“Our goal is to become the leader in e-commerce related logistics worldwide. We do so by continuously investing in quality services, innovations and infrastructure. And we have a close business partnership with Alibaba,” said Kiattichai.

Since 2015, DHL eCommerce has been working with Tmall Global on creating an official online flagship store for its customer, FC Bayern Munich to reach its over 90 million fans in China.

“Based on the confidence we have in the strength of our global network and our high quality service offering, our aim is to support our customers with their logistics requirements and make them successful, and we will achieve this by continuously investing in quality services, innovations and infrastructure,” said Kiattichai.

“We are very confident that Deutsche Post DHL Group will remain the first-choice logistics provider for its customers and for the e-commerce market.”

The most likely scenario for the logistics sector in Thailand and in CLMV, he argued, is that it will be positively transformed once Alibaba’s Cainiao is established. The arrival of Alibaba will further promote and support trade among developing countries in the region and therefore bring about more opportunities for the logistics industry in Thailand and CLMV, Kiattichai concluded.

Under the InnoFest 2018 theme, “An Invitation to the AI Home That Thinks of You”, LG is this year showcasing a variety of AI-enabled appliances that are compatible with global platforms including Amazon Alexa and Google Assistant.

VIP guests at the roadshow can experience the products for themselves in a natural home environment.

Han Chang-hee, vice president of LG’s global marketing centre, said that Innofest Asia was a great opportunity to introduce LG’s unique ThinQ AI-enabled products.

“It’s the first official event to be held at the new LG Science Park with the attendance of overseas partners,” said Chang-hee. “LG Electronics will enhance its partnerships with its affiliates and partners abroad and showcase its AI-enabled ThinQ products through this event.”

Seung Chu Lee, managing director of LG Electronics (Thailand), said the company’s goal was to be a part of each customer’s family through innovative technology. In developing their own platform – ThinQ AI – LG aims to make it easy for customers to

easily access all of their electronic

appliances.

ThinQ AI products will be the priority among the company’s innovative products in the Thai market, said Nipon Wongsaengarunsri, marketing director for LG Electronics (Thailand). The company has set aside 20 per cent of its budget to promote its AI and IoT communications focus.

In one sense, ThinQ is simply a smartphone app. But it opens up a range of possibilities for the appliance owners through its connectivity, allowing them to control their multiple appliances through a single device.

“We make AI more approachable and less intimidating,” said Nipon.

“ThinQ AI products will learn how consumers use their LG products and provide them intelligent services. The purpose of ThinQ is to highlight that LG’s intelligent products are always thinking about their consumers in order to make their lives better,” said Nipon.

“An example can be our smart kitchen, as we do know that consumers need to reduce preparation time for cooking. Our ThinQ AI will then offer a hands-free experience that takes much of the stress out of preparing daily meals,” said Nipon.

Take, for example, the LG InstaView ThinQ refrigerator, which has been designed for maximum convenience and efficiency, said Nipon. The fridge features a 29-inch touch LCD display that transforms from a computer display to a transparent window with just two taps. It also offers a streamlined food management system through LG’s webOS platform. When grocery shopping, users can check the contents of the refrigerator via their smartphones connected to the wide-angle PanoramaView camera inside the InstaView ThinQ fridge.

The company will continue to roll out ThinQ AI home appliances in future years.

LG will promote the AI-enabled products in the Thai market through a two-part campaign. Both above-the-line and online activities will be used to promote awareness of ThinQ AI. As well, promotions will educate and encourage and customers to experience how LG’s ThinQ appliances could make their lives better.

“We will be showcasing our intelligent products at LG experience zones at major department stores nationwide,” said Nipon.

First up in the Thai market will be the launch of LG OLED TV, scheduled for next month. Purchases of TVs increase by 30-35 per cent during the summertime World Cup season.

“To reinforce our leadership in the premium-TV market, which is 60 per cent of the overall TV market in Thailand, we will introduce an array of new and innovative OLED and SUPER UHD models this year,” Nipon added.

Most governments promise education reform, take a year to define the policy, a couple more years to start rolling it out, and then it’s time for a new government. Education is the largest ministry in terms of budget and employs 100,000 teachers. Despite its best efforts and good intentions, it’s become a very bureaucratic system. If we don’t change that system, nothing will change.

In 2012, I helped create a Thai start-up ecosystem from scratch with dtac Accelerate and Disrupt Technology Venture. And today, Thailand can effectively incubate and accelerate innovative digital ideas. In the next two to three years, I want to do the same thing for education.

Last March, Bangkok’s Education Disruption Conference attracted 1,500 people to hear from globally recognised EdTech investors, innovators, entrepreneurs – and leading local innovators. The idea for this conference began because, to be honest, I’m very frustrated with the Thai

education system. Fifty per cent of Thai

students fail in reading, 53 per cent in math, and 47 per cent in science. It’s very alarming.

One of the speakers at Education Disruption, Michael Staton, was named in the Chronicle of Higher Education’s Top 100 Innovators list and is a partner in Learn Capital, which is the world’s number one EdTech venture capital fund. He pointed out that waiting on the system to evolve takes much too long. Instead, it’s better to disrupt. The solution for 21st-century education is to build an innovation ecosystem that includes capital for creative solutions but also events that involve the teachers, parents and

government.

EdTech start-ups such as BridgeU (Kenya) and Andela (US and Nigeria) are great examples of what’s possible. China also has spawned

unicorns like iTutor and VIPKids. EdTech is undergoing a boom driven by emerging markets. In contrast, major US universities are actually struggling to reinvent themselves. They are being disrupted by cheaper, faster, EdTech

start-ups including General Assembly, Product University, and Coursera which developed a course with Google enabling students to become a data scientist in three months and has achieved a placement rate of over 90 per cent.

The first Education Disruption conference attracted 1,500 people interested in reinventing Thailand’s education system. The companion hackathon held at DTAC House saw 114 teams develop innovative solutions in the realm of education. We hope to create an Education Innovation Ecosystem within two to three years.

In the end, this isn’t about replacing schools, teachers and parents. It’s about allowing them to focus on what matters most, which is to make kids feel confident, to discover their passions and strengths, to make them want to learn and to be the best version of themselves. Tech is just a tool. I come from a remote province, Kamphaengphet, where I studied in a temple school. I made it this far because my first teacher gave me love, made me confident, inspired me to never give up and helped me to discover my love for science and technology.

If teachers are bogged down grading tests from 53 kids per class, it’s hard for them to focus on the students themselves. And that’s where technology can help. AI-powered visual recognition, for example, can automate grading papers, saving 12 workdays a year for teachers.

Now, we are pushing towards an education sandbox in Thailand so we can test new ideas. Today, for example, if you have a kid who is smart, she needs to stay in class with kids her age. But what if classes could be more project-based, rather than age-based? And play-based, instead of just based on grading. We might even try to avoid exams entirely.

On the teachers’ side, we need to try different pay structures. Currently, Thai teachers are evaluated on these papers they need to turn in. What if we evaluated teachers based on teaching alone? And what if we separated research, administrative and teaching jobs with different career paths, pay structures and performance measurements? Also, we need to help teachers to re-skill and get ready to be the teachers of the future.

This is a deep social challenge and an uphill battle. But I’m amazed by the amount of energy and interest Education Disruption has

generated. I’m now more optimistic than ever about our education future.

Ruangroj “Krating” Poonpol graduated from Stanford University before working at McKinsey and Google. He is now managing 

partner of 500 Tuk Tuks.