Skill Factor as a Key Indicator of Digital Dexterity in Emerging Countries: Cluster Analysis Approach

Cluster analysis is a data mining method that organizes similar objects based on their attributes. It is an unsupervised and quantitative form of classification that works on unlabeled data. One functional way to earn resilience and sustainability is through digital transformation which depends on digital skills. Therefore, in this article, the cluster analysis is used to segment 39 emerging countries based on their skills factor, which is a key indicator of digital skill in fourth industrial revaluation (4IR) era. We have chosen cluster analysis because it has several advantages, such as identifying homogeneous groups of countries in terms of skills factor, facilitating the study of digital dexterity in complex system that include several dimensions, showing readiness of countries to the adoption of 4IR and enhancing cooperation opportunities among countries. We do not aim to explore the connection between skills factor and digital variable. We only focus on using skill factor as a key indicator of digital skills in emerging countries by clustering the countries into four groups according to their skills. This can assist the decision-makers to evaluate, improve and compare the digital skills, training policies and strategies with other countries.