Automotive Industry Business Case 2016

Transcription

1 Industry Business Case 2016

2 The 2016 Industry Business Case validates the priorities and directions identified in the Industry Reference Committee (IRC) Work Plans and specified in the Australian Industry Skills Committee s (AISC) National Review Schedule. The Business Case was undertaken by Auto Skills Australia and has been signed off by the IRCs. The Business Case confirms industry support for the proposed first year training product development items specified in the Work Plans, identifies perceived industry and vocational education and training sector (VET) impacts of the proposed changes, and proposes a cost effective approach for progressing with the technical work in the next stage of the training package development process. The scope of the Business Case is limited to the validation of the proposed work items. The Business Case was developed using a robust methodology involving consultation with a targeted and representative sample of industry and VET stakeholders that was commensurate with the proposed work items, including their breadth, complexity and potential impact on industry and the VET sector. The Business Case outcome confirms broad support from stakeholders for the need for, and nature of, the following proposed training product changes to proceed. The details are provided in the appendix. Proposed work A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements A review of the Certificate IV in Body Repair Technology Changes recommended to the training product Modify the existing Certificate III in Underbody Technology Review the units for technical currency and alignment with job roles Re-structure the qualification core and elective units to meet the job role Review the units for technical currency and alignment with job role A new qualification to reflect the job role of automotive vehicle repair estimators New units for safely depowering electrical and hybrid vehicles New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres New units or modify existing units for multi-combination heavy commercial vehicle braking system compatibility New skill sets for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector New units for safely working with marine fuel systems New skill sets for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector A review of the Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer Create a new qualification from new and existing units Create new units Create new units Modify existing units and possible new unit Create new skill set Create new units Create new skill set Re-structure the qualification core and elective units to meet the job role Review the units for technical currency and alignment with the job role New units for the service and repair of personal mobility devices (for example, golf carts and electric wheel chairs) Revised unit - AURETU005 Retrofit and modify air conditioning and HVAC systems Create new units Revise unit 1

3 The automotive manufacturing sector is contracting with the exit of light vehicle manufacturers while the much larger automotive retail, service and repair sector is growing due to the increasing number of vehicles on Australian roads. The Australian motor vehicle market is one of the most competitive in the world. While Australians have a greater level of automotive product choice than most, the challenge for industry is keeping abreast of product and repair technologies and ensuring the adequate supply of suitably trained technicians to repair and service automotive products. The proposed training product changes ensure that training products designed for the automotive industry best meet the industry s needs. Risks of not progressing with this training product development work include: Unnecessary training product lag behind the needs identified by industry and associated risk of stakeholder disengagement Decreased industry relevance and subsequent damage of the training product s perceived value in industry, locally and overseas Reduced VET capability to meet the demand for suitably trained technicians Increased cost of future training product development work due to missed opportunity to stay abreast of cumulative technological change Increased impacts of training product development due to increased magnitude and complexity of future changes required VET stakeholders identified that the proposed product changes represent an opportunity for business growth and increased responsiveness to learner and industry needs. Other potential impacts on training providers include additional investment in the professional development of trainers and assessors, training and assessment practices, training and assessment resources and equipment, and scope of registration. To minimise the implementation cost impact on training providers, the proposed approach involves releasing the changes in a single batch. There are no outstanding issues with stakeholders, including state and territory governments, confirming safe passage for the work to proceed to the technical development phase. This phase will purposefully engage stakeholders in the development and review of detailed specifications of the proposed content to shape the development of the proposed training products. Strong industry interest in engaging in the technical phase has been confirmed with Technical Advisory Groups scoped, and industry representatives keen to be engaged in the practical development work, as is typical for this industry. The IRC s proposed approach and estimated timelines ensure maximum return on investment, leveraging established industry and VET relationships and networks. The IRC looks forward to working with the AISC and Auto Skills Australia to support industry growth through effective training package development. 2

4 ATTACHMENT A Schedule of Review of Training Products 2016/2017 Auto Skills Australia Training Package Code Training Package Name Qualification Code Qualification Name IRC Name Review status (Set options) Change Required (Set options) AUM Manufacturing AUM30213 Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer Vehicle Manufacturing (Bus, Truck and Trailer) Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair AUR40716 Certificate IV in Body Repair Technology Vehicle Body Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet statebased licensing requirements Mechanical and Specialisation Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New qualification to reflect the job role of automotive vehicle repair estimators Vehicle Body Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New units for safely depowering electrical and hybrid vehicles Electrical Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres Mechanical Heavy Vehicle Sector IRC Completed Change, costs of change are less than the benefits of change 3

5 Training Package Code Training Package Name Qualification Code Qualification Name IRC Name Review status (Set options) Change Required (Set options) AUR Industry Retail Service and Repair N/A New units, or modify existing units, for multi-combination heavy commercial vehicle braking system compatibility Mechanical Heavy Vehicle Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector Bicycle Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New units for safely working with marine fuel systems Marine Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector Marine Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A New units for the service and repair of personal mobility devices (e.g. golf carts, electric wheel chairs) Electrical Sector IRC Completed Change, costs of change are less than the benefits of change AUR Industry Retail Service and Repair N/A Revise unit - AURETU005 Retrofit and modify air conditioning and HVAC systems Electrical Sector IRC Completed Change, costs of change are less than the benefits of change Notes: 1. Fields with X will be drawn from the National Schedule and be provided by the Department. 2. The Review status field will be completed for each training product scheduled in that year. This will be a drop down list from which one of the following options can be chosen: 2.1. Completed 2.2. Included in another business case 2.3. No, postponed review 3. The Change Required field will be completed for each training product scheduled in that year that are considered as part of the business case. This will be a drop down list from which one of the following options can be chosen: 3.1. No change, to be scheduled for review in four years 3.2. No change, to be scheduled for review in less than four years 3.3. No change, costs of change are greater than the benefits of change 3.4. Change, likely to be recommended for removal from the national training system 3.5. Change, costs of change are less than the benefits of change 4. Proposed new training products should added to this table. SSOs should provide a brief description under the Qualification Name column, and the name of the relevant IRC under the IRC Name column. 4

6 APPENDICES Administrative information...6 Name of IRCs...6 Name of SSO...6 Qualifications, skill sets and/or units of competency examined...6 Additional direction given by the AISC...6 Methodology of the Review...7 Overview...7 Information about the industry stakeholders consulted and how the consultation took place...8 Industry stakeholder consultation responses...9 Confirmation of consultation with the states and territories...11 Findings...12 Description of how industry use the relevant training products...12 Overview of the issues and proposed changes...14 Estimated impacts of proposed changes...17 Industry...17 VET sector...17 Interdependencies...19 Risk management Outstanding issues...21 Proposed approach and estimated timeframes for undertaking development work Proposed approach...22 Proposed timeframes for development work...23 Proposed timeframes for product release

7 ADMINISTRATIVE INFORMATION Name of IRCs There are eleven Industry Reference Committees (IRCs). The seven IRCs relevant to the proposed work items presented in this Business Case are: Bicycle Sector IRC Marine Sector IRC Electrical Sector IRC Mechanical and Specialisation Sector IRC Mechanical Heavy Vehicle Sector IRC Vehicle Body Sector IRC Vehicle Manufacturing (Bus, Truck and Trailer) Sector IRC The other four IRCs are: National Training Advisory IRC Vehicle Manufacturing (Passenger Vehicle) Sector IRC Sales, Parts, Administration and Management Sector IRC Outdoor Power and Equipment Sector IRC Name of SSO The interim SSO for the Australian Industry is Auto Skills Australia. Qualifications, skill sets and/or units of competency examined The following twelve items of Training Package development work from the IRC Work Plans were considered. Two existing qualifications to determine stakeholder support for their current structures AUR40716 Certificate IV in Body Repair Technology Ten individual items of work to determine the requirements for new training package components A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements A new qualification to reflect the job role of automotive vehicle repair estimators New units of competency for safely depowering electrical and hybrid vehicles for first responders New units of competency for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres New units of competency for multi-combination heavy commercial vehicle braking system compatibility New skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector New units of competency for safely working with marine fuel systems New skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector New units of competency for the service and repair of personal mobility devices (for example, golf carts, electric wheel chairs) Additional direction given by the AISC Revision of AURETU005 Retrofit and modify air conditioning and HVAC systems, at the request of the Australian Department of Education and Training, to ensure consistency with industry regulation. AUM30213 Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer 6

8 METHODOLOGY OF THE REVIEW Overview This Business Case is based on data collected through a robust methodology targeting key stakeholder groups in the Australian automotive industry and the VET sector. The data was analysed and summarised, and then validated by the IRCs. Key stakeholder groups were identified on the basis of whether they could be affected by the outcomes of the Business Case. The stakeholder groups were categorised as either industry stakeholders who could provide feedback on industry needs and impacts or VET stakeholders who could provide feedback on VET impacts. A consultation plan identifying the consultation purpose and activities for each key stakeholder group is summarised in the table below. Stakeholder category Consultation purpose Stakeholder groups Consultation activities Industry stakeholders Confirm industry needs and impact IRC members IRC Forum Online employer survey Targeted interviews Employers Online employer survey and targeted interviews Other industry stakeholders including: Targeted interviews - Associations and peak bodies - Unions - Regulators VET stakeholders Identify VET impact Training providers Online RTO survey Other VET stakeholders including: Face to face meetings - State Training Authorities - ITABs - Regulators 7

9 Information about the industry stakeholders consulted and how the consultation took place The purpose of the industry consultations was to build on the information collected through the Work Plan development process and confirm industry product development needs, explore product development options and identify industry impacts. Consultation activities included an online employer survey, targeted interviews with employers and other industry stakeholders, and an IRC forum. The online employer survey was distributed widely via Auto Skills Australia s database of 733 industry representatives. The survey collected information from employers about the product development options and industry impacts. 77 industry responses were collected and analysed. Although the online survey was designed to gather feedback from as many relevant employers as possible, the response rate was low when compared with similar surveys administered by Auto Skills Australia in the past. This may be due to the conceptual nature of the research which did not include concrete samples of the draft product for comment. Targeted face to face and telephone interviews were conducted with employers and other industry stakeholders in each state and territory for each proposed item of training product development work. The interviews added depth to the data collected through the surveys while addressing broader industry issues and concerns. In the event of disagreements among stakeholders, Auto Skills Australia was prepared to gather the views and arguments and present these to the relevant IRC for members to make decisions based on the operating procedures outlined in the IRCs Memorandum of Understanding. However, for this Business Case, there were no disagreements among stakeholders. Historically, employers in the automotive industry are vocal only when opposing something, otherwise, no response is typically an indication of support. This conclusion is reasonable given that none of the survey and interview responses yielded opposition to the changes and many employers indicated that they wanted to be involved in the development of training product once the technical work commences. This signifies that the Work Plan and the Business Case can move smoothly on to the next phase of training product development. 8

10 Industry stakeholder consultation responses The tables below provide a breakdown of the number of individuals who were targeted and who responded to the consultation activities by state and territory, and by proposed training product development item. There is also a list of the industry stakeholders consulted. The table below summarises the total number of individual industry stakeholders who were engaged and gave input to the Business Case. They include those from the online survey, an IRC forum held in August 2016 and face-to-face interviews conducted by Auto Skills Australia representatives throughout the country. The table shows that roughly 10% of targeted individuals responded to the online survey. Total industry consultation responses by consultation activity. Consultation method Online employer survey Responses 77 out of 733 targeted IRC face to face forum 44 Targeted interviews 60 Total 181 The table below provides a breakdown of the number of individuals who were engaged through targeted interviews, the online survey and the IRC Forum by state and territory. Total industry consultation responses by state/territory. Note: numbers in brackets denote total numbers surveyed. State/territory Interviews Online survey IRC forum Total New South Wales/ Australian Capital Territory 6 11 (142) Northern Territory 16 2 (17) 1 19 Queensland 8 5 (78) 6 19 South Australia 4 9 (54) 1 14 Tasmania 4 1 (22) 0 5 Victoria (279) Western Australia (106) 4 40 National 0 5 (35) 1 6 Total (733)

11 The table below provides a breakdown of total responses by proposed product development item. Total industry consultation responses by proposed product development item. Note: interviewees/respondents may have contributed to more than one item. Proposed product development item Interviews Online Survey IRC Forum Total by item A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements A review of the Certificate IV in Body Repair Technology A new qualification to reflect the job role of automotive vehicle repair estimators New units for safely depowering electrical and hybrid vehicles New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres New units, or modify existing units, for multi-combination heavy commercial vehicle braking system compatibility New skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector New units for safely working with marine fuel systems New skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector A review of the Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer New units for the service and repair of personal mobility devices (for example, golf carts and electric wheel chairs) Revision of AURETU005 Retrofit and modify air conditioning and HVAC systems, to ensure consistency with industry regulation Respondents who had no opinion about the items of work

12 The following is a list of automotive industry businesses from which owners and employees gave input to the Business Case. List of industry representatives consulted Albany City Motors Alcoa of Australia Artini Crash Repairs Aussie Boat Covers Australian Refrigeration Council Autocrash Express Repairs Holdings Group (AHG) B&J Catalano Pty Ltd Barrie Auto Electrics Bikes to Fit Bob Jane Corporation Pty Ltd Bridgestone Earthmover Tyres Pty Ltd Bridgestone Select Hobart Broady Motors Bryant Engineering Bunbury Callaghans Marine Services Capital Harley- Davidson Caterpillar Challenger Channel Auto Electrics CMI Toyota CMV Truck Sales Cranbourne Body Works Cycle Zone Defense Maritime ServicesDMS Maritime Engine Action International Pty Ltd ETS Fleet Services Ford Motor Company Glynde Auto Spares Haulmark Trailers (Australia) Hino Motor Sales Australia HM Gem Engines Hoffy Cycles Ian Diffen City Discount Tyres I-CAR Australia Impact Automatics In & Outboard Marine Insurance Australia Group (IAG) John Edwards Kawasaki Motors Pty Limited. Ken Stone Motor Trimmers Kerry s Group Komatsu Australia Liebherr-Australia Lonsdale St. Auto Electrics Marathon Tyres Maynes Marine Mid Coast Council Midland Truck and Bus New Age Mobility Noordeman Diesel Northern Territory Fire and& Rescue Service NT Mobility Equipment NT Tyre Service O Brien Glass PACCAR Australia Pedders Shock Absorber ServiceSuspension Plaza Automatics Rods & Relics S.A. Auto Electrics Seafood and & Marine Industries Training NT Staetite Fasteners The Valspar RefinishCorporation Tristar Industries Pty Ltd Truck Centre WA Tyrepower Ltd WesTracc WA Westruck Commercial Refinishing William Adams List of other industry stakeholders consulted Australian Manufacturing Workers Union Australian Refrigeration Council Construction Mining & Equipment Industry Group Farm Machinery & Industry Association of WA Heavy Vehicle Industry Australia Institute of Mechanical Engineers Motor Trade Association of South Australia Motor Trade Association of Western Australia Motor Traders Association of NSW Motor Trades Association of Australia Motor Trades Association of Queensland Motor Trades Association of the ACT Motor Trades Association of the Northern Territory Tasmanian Automobile Chamber of Commerce Victorian Chamber of Commerce Confirmation of consultation with the states and territories The Business Case was provided to the states and territories and their feedback was incorporated before final IRC sign-off. State Training Authorities were also consulted on the IRC Four Year Work Plans and briefed on the items of work arising from the Work Plans in face to face meetings with Auto Skills Australia representatives through the period August to October

13 FINDINGS Description of how industry use the relevant training products Information about how the training products link to occupations is provided in the following table. There are no direct links with higher education. Projects A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements A review of the Certificate IV in Body Repair Technology A new qualification to reflect the job role of automotive vehicle repair estimators Occupations Motor Mechanic General (ANZSCO ) Tyre Fitter (ANZSCO ) Panelbeater (ANZSCO ) Body Repair Technician Insurance Loss Adjuster (ANZSCO ) Panelbeater (ANZSCO ) Body Repair Technician New units for safely depowering electrical and hybrid vehicles Electrician (ANZSCO ) Motor Mechanic General (ANZSCO ) Electrical Technician Light Vehicle Mechanical Technician Service Advisor New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres Motor Mechanic General (ANZSCO ) Heavy Vehicle Mechanical Technician Service Advisor New units or modify existing units for multi-combination heavy commercial vehicle braking system compatibility Motor Mechanic General (ANZSCO ) Heavy Vehicle Mechanical Technician Service Advisor New skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector Bicycle Mechanic General (ANZSCO ) Bicycle Mechanical Technician New units for safely working with marine fuel systems Motor Mechanic General (ANZSCO ) Mechanic s Assistant (ANZSCO ) Marine Mechanical Technician Service Advisor 12

14 Projects New skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector A review of the Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer New units for the service and repair of personal mobility devices (for example, golf carts and electric wheel chairs) Revise unit AURETU005 Retrofit and modify air conditioning and HVAC systems Occupations Mechanic s Assistant (ANZSCO ) Motor Mechanic General (ANZSCO ) Marine Mechanical Technician Service Advisor Vehicle Body Builder (ANZSCO ) Mechanic s Assistant (ANZSCO ) Electrician (ANZSCO ) Electrical Technician Electrician (ANZSCO ) Electrical Technician Motor Mechanic General (ANZSCO ) Light Vehicle Mechanical Technician Service Advisor Consultation with industry indicates that the industry preferred mode of training and assessment varies widely and cannot be generalised for all sectors of the industry. Depending on a number of factors (including geographical considerations, types of learners, and types of businesses), the training may be: a combination of on the job, off the job (at a training provider) and online only on the job fully online and on the job other combinations to suit particular circumstances. Learners for the Certificates II and III level qualifications are typically young school leavers who may be entering the workforce for the first time, although the incidence of mature age apprentices is rising. The rate of technological change in the industry has resulted in a need for learners to have a higher level of literacy and numeracy skill than was the case in past decades. Often, however, learners who are attracted or recommended to the industry may have had difficulties at school and may struggle with literacy and numeracy skill demands. Typically, the Certificate III is expected to take three years to complete to thoroughly learn and apply the underpinning knowledge and skills essential to the trade. Learners for the Certificate IV qualifications are typically experienced existing workers with an automotive trade qualification. Workplace learning is strongly supported by industry. It is recognised as the most efficient and effective method of acquiring skills, allowing learners to learn and practice on the job to achieve experience tailored to the specific job context. Strategies employed by industry to support workplace learning include formal buddy systems, informal mentoring by experienced technicians, coaching in correct workplace processes using current technologies, clearly identified task lists and routines and scheduled regular time for workplace learning activities. The automotive industry is an industry with a mobile workforce that recognises and values pre-trade, trade and post-trade national qualifications. There is a long history of strong industry support for national recognition of qualifications. 13

15 Advice about whether the two reviewed qualifications are suitable to be delivered as a traineeship or an apprenticeship is provided in the following table. The automotive industry traditionally sees Certificate I & II qualifications as suitable for traineeships, and Certificate III qualifications as suitable for apprenticeships, but recognises that post-trade qualifications may also be suitable as traineeships. Qualifications AUM30213 Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer AUR40716 Certificate IV in Body Repair Technology Delivery Apprenticeship Traineeship Overview of the issues and proposed changes The Business Case process, based on the industry and VET stakeholder consultation, confirmed the opportunities identified in the Work Plans. A summary of the training product issues, the drivers, the occupational mapping issues and the recommended changes to the training product are summarised in the following table. While there are no critical timeframes associated with the proposed new product, there is a requirement for the work to be done within the twelve month period due to the pace of technological change associated with the industry, the safety considerations of the items of work and state regulatory requirements. Consultations with training providers active in the industry confirmed that the training products are typically delivered using a combination of on the job, off the job (in the workplace), off the job (not in a workplace) and online modes. Proposed work Drivers for change Training product issues Occupational mapping issues identified Changes recommended to the training product A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements Technological changes Regulatory and/or licensing changes Workplace health and safety changes due to OEM requirements due to business moving into new and/or different markets Current qualifications do not reflect the job role of people working in this industry The existing qualification does not match the job role of wheel aligner. The qualification chosen in NSW to fulfil the licensing requirements of wheel aligners does not reflect the job role as the selection of core units restrict its use Modify the existing Certificate III in Underbody Technology A review of the Certificate IV in Body Repair Technology Technological changes due to OEM requirements Changes in customer expectations due to business moving into new and/or different markets Industry stakeholders have identified a problem with the structure of the current qualification Industry stakeholders have identified that two units in the core of the qualification should be in the elective bank as the job role has changed from a management role to a higher level technical role Re-structure the qualification core and elective units to meet the job role 14

16 Proposed work Drivers for change Training product issues Occupational mapping issues identified Changes recommended to the training product A new qualification to reflect the job role of automotive vehicle repair estimators Technological changes due to OEM requirements due to business moving into new and/or different markets Changing roles within the industry have created the need for this qualification No occupational mapping due to there being no existing qualification Create new qualification Changes in customer expectations New units for safely depowering electrical and hybrid vehicles Workplace health and safety changes Technological changes due to OEM requirements Industry stakeholders have identified that there are no existing units for depowering electric and hybrid vehicles No occupational mapping due to there being no existing units Create new units New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres Workplace health and safety changes due to business moving into new and/or different markets Current units of competency do not adequately cover safety, technology and industry requirements Inappropriate units of competency have been used to train people who perform this role due to a lack of appropriate units Create new units New units or modify existing units for multi-combination heavy commercial vehicle braking system compatibility Workplace health and safety changes Technological changes due to OEM requirements Current units of competency do not adequately cover safety, technology and industry requirements Recent incidents have highlighted shortfalls of current units as a result of technological changes Modify existing units and possible new unit New skill sets for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector Skills shortages within the industry sector No skill sets currently exist Lack of suitably qualified technicians No occupational mapping due to there being no existing skill set Create new skill set New units for safely working with marine fuel systems Technological changes Workplace health and safety changes Regulatory and/or licensing changes due to OEM requirements Current units of competency do not cover the safety and technology that is required for marine fuels systems Marine technicians are using generic units that go across the automotive industry that do not meet specific marine requirements Create new units New skill sets for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector Skills shortages within the industry sector No skill sets currently exist Lack of suitably qualified technicians No occupational mapping due to there being no existing skill set Create new skill set 15

17 Proposed work Drivers for change Training product issues Occupational mapping issues identified Changes recommended to the training product A review of the Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer Technological changes Workplace health and safety changes Changes in customer expectations The industry is not confident of consistent outcomes as the qualification is not sufficiently robust The number of compulsory core units may be too small Re-structure the qualification core and elective units to meet the job role Regulatory and/or licensing changes due to OEM requirements New units for the service and repair of personal mobility devices (for example, golf carts, electric wheel chairs) due to business moving into new/different markets due to ageing population Technological changes No units of competency currently exist for this work No standards currently exist for work No occupational mapping due to there being no existing units Create new units Increasing demand for repair and servicing Revision of AURETU005 Retrofit and modify air conditioning and HVAC systems, to ensure consistency with industry regulation Regulatory and/or licensing changes due to OEM requirements Current unit of competency may not reflect regulatory and licensing requirements of some jurisdictions Industry stakeholders have identified that explicit reference to changing to hydrocarbon based refrigerants poses a safety issue and is not consistent with state regulations Review and modify unit 16

18 ESTIMATED IMPACTS OF PROPOSED CHANGES Industry Industry identified that the proposed training product changes would: Address safety concerns in the changing workplace environment Address skills shortages Identify skills and knowledge gaps Provide training to meet changing customer expectations Meet regulatory and licensing requirements Better align training to contemporary job roles It also identified that the changes may result in: Increased cost of training to employers and employees Increased time employees are away from the workplace being trained Increased competition between businesses for the same work Industry consultation process The consultation process and list of industry stakeholders consulted in relation to the industry impacts was as per the process included in the methodology previously. VET sector Training providers identified that the changes represented opportunities that required investment. The opportunities include: Increased responsiveness to industry Increased responsiveness to learner needs Increased business opportunities To realise the opportunities, training providers identified that they would need to increase their investment in: Professional development of trainers and assessors Training and assessment Training resources, equipment and/or infrastructure Administration and compliance Scope of registration To minimise the implementation cost impact on the VET sector it is recommended that all proposed training product changes be released in a single batch, unless regulatory or safety risk priorities arise. VET sector consultation process The purpose of the VET consultations was to identify the impact of the proposed product changes on the VET sector. The consultation activities for VET stakeholders included an online training provider survey and targeted interviews with other VET stakeholders. The online training provider survey was distributed widely via Auto Skills Australia s database of 565 training provider representatives. The survey collected information about the perceived impact that the proposed product development items would have on individual training providers. 74 training provider responses were collected and analysed. The response rate was comparable to the performance of similar surveys administered by Auto Skills Australia in the past. Targeted face to face and telephone interviews were conducted with other VET stakeholders in each state and territory, including State Training Authorities. The interviews added depth to the data collected through the survey while addressing broader issues and concerns associated with the perceived impact of the changes. 17

19 The following table summarises the total number of individuals targeted and the total number of individuals who responded and engaged in the consultations by consultation activity. Consultation method Number targeted Number engaged Online RTO survey Targeted face to face interviews with state training authorities, VET regulators and ITABs Total The following table provides a breakdown of the number of individuals who were targeted and responded to the consultation activities by state and territory and a list of the VET stakeholders consulted. Total VET responses by consultation activity by state/territory State/territory Online survey Targeted interviews Total New South Wales/Australian Capital Territory Northern Territory Queensland South Australia Tasmania Victoria Western Australia Total

20 List of training provider respondents Bendigo Kangan Institute Central Regional TAFE WA Chisholm Institute CQ University Australia CQU TAFE Elevating Work Platform Association of Australia Federation University Australia Fusion Business Solutions Pty Ltd The Gordon Institute of TAFE Goulburn Ovens Institute of TAFE GO TAFE Holmesglen Institute Hyundai Motor Company Lake Tuggeranong College MTA Group Training Scheme MTA Institute Queensland New England College (NSW) North Regional TAFE WA Open Colleges Otraco International Polytechnic West Regional Training Services Queenslandld Skill Invest Limited South Metropolitan TAFE WA St. Stanislaus College Bathurst Sunraysia Institute of TAFE TAFE Kurri Kurri TAFE TAFE NSW TAFE NSW - Western Sydney Institute TAFE NSW Hunter Institute TAFE (NSW) TAFE Queensland East Coast TAFE Queensland Gold Coast TAFE TAFE SA TAFE SA (regional campuses) TAFE TasmaniaTasTAFE Vantage Western Australian College of Agriculture - Narrogin WACOA-NArrogin Works Skills Incorporated List of other VET stakeholders consulted Australian Skills Quality Authority Training Board of NSW Department of Business, NT - NT Department of Education and Training, QLD - QLD Department of Education and Training, - VIC ACT Department of Education, ACT NSW Department of Industry, NSW Department of State Development, SA - SA WA Department of Training and Workforce Development, WA Industry Skills Advisory Council NT Skills Tasmania Training Accreditation Council Western Australia Utilities, Engineering, Electrical and Training Council WA Victorian Registration and Qualifications Authority Interdependencies The effects of any changes to training package components, including new components, were considered at this stage of the process. At this point no issues have been identified that would require consultation with other IRCs. This will be further analysed during the technical writing stage of the process. 19

21 Risk management The IRCs apply a systematic approach to the management of risk to assure the quality of the training product development. The following table represents an initial assessment of the risks identified and advice about how these will be addressed. Category Risk Likelihood Impact Management strategies Organisational Methodology Methodology Product quality Adherence to timelines Product quality VET sector impact Appointment of new Skills Service Organisation Incorrect identification of key stakeholders Lack of industry engagement Not meeting industry needs Not meeting proposed timeframes Non-compliant training product Too high cost of implementation Medium High Robust and detailed Work Plans and Business Case Transparent communications with industry stakeholders Managed handover Low High Utilise IRC networks Utilise extensive Auto Skills Australia stakeholder database Low High Staff and consultants are established and connected in the industry Adopt flexible approach to engaging stakeholders Piggyback consultation activities to avoid stakeholder consultation fatigue Low High Experienced technical writers Robust consultation and validation processes Low Medium Assigned project manager with demonstrated project management experience Robust project methodology and project plans Regular project meetings to track project progress against milestone targets Clear statements of staff and consultant responsibilities Low Medium Experienced technical writers Interim quality assurance check and ongoing support for technical writers Low Medium One release of all proposed training product changes Robust consultation with the VET sector, including training providers and State Training Authorities 20

22 OUTSTANDING ISSUES There are no outstanding issues. 21

23 PROPOSED APPROACH AND ESTIMATED TIMEFRAMES FOR UNDERTAKING DEVELOPMENT WORK The following proposed approach and estimated timeframes are based on Auto Skills Australia s strong relationship with industry, understanding of the evolution of automotive training products and deep automotive technical knowledge. The process is cost effective and efficient as it leverages established relationships Auto Skills Australia has developed with automotive industry and VET sector stakeholders. If a new Skills Service Organisation is appointed, then the proposed approach may need to be reviewed and timeframes extended. Proposed approach The approach for undertaking the development work is proposed as follows: 1. Brief IRCs on the development work to be undertaken. The role of the IRCs will be to provide strategic direction for the project, oversee its conduct and identify suitable industry expertise to assist in the development of the draft training package components. 2. Prepare scoping statement that identifies and establishes Technical Advisory Groups to assist with the development, review and evaluation of the proposed training product changes. 3. Draft training products based on advice received from the IRCs and technical input from the Technical Advisory Groups. 4. Distribute draft product to relevant industry and VET stakeholders for comment and feedback. Provide links to the draft products on Auto Skills Australia website to enable broad feedback and comment. 5. Use the feedback gathered to inform the development of the final draft products. 6. Review final draft products with relevant industry and VET stakeholders. 7. Prepare case for endorsement and complete external quality review. 8. Submit to AISC for endorsement. A list of proposed work to be done is provided below. Develop a new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements Review the AUR40716 Certificate IV in Body Repair Technology Develop a new qualification to reflect the job role of automotive vehicle repair estimators Develop up to two new units for safely depowering electrical and hybrid vehicles Develop up to two new units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres Develop up to two new units or modify up to four existing units for multi-combination heavy vehicle braking system compatibility Develop a new skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector Develop up to two new units for safely working with marine fuel systems Develop a new skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector Review the AUM30213 Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer Develop up to four new units for the service and repair of personal mobility devices (for example, golf carts and electric wheel chairs) Revise AURETU005 Retrofit and modify air conditioning and HVAC systems unit of competency 22

24 Proposed timeframes for development work The proposed timeframes are presented in the following table. Project work item A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements Complexity of work High Estimated timeframe for undertaking the development work 12 months A review of the Certificate IV in Body Repair Technology High 12 months A new qualification to reflect the job role of automotive vehicle repair estimators High 12 months New units for safely depowering electrical and hybrid vehicles Low 6 months New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres New units or modify existing units for multi-combination heavy commercial vehicle braking system compatibility New skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector High High Low 12 months 12 months 6 months New units for safely working with marine fuel systems High 12 months New skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector A review of the Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer New units for the service and repair of personal mobility devices (for example, golf carts and electric wheel chairs) Revised unit - AURETU005 Retrofit and modify air conditioning and HVAC systems Low Low High Low 6 months 6 months 12 months 6 months The proposed timeframes are based on an analysis of magnitude and complexity of the changes. Magnitude of change relates to the training product and is divided into four categories: Minor 1 - Changes that are unlikely to require AISC approval and include new and/or revised skill sets using existing training products Minor 2 - Changes that are unlikely to require AISC approval and include revised qualifications with no change to the core structure and no new or revised units Major 1 - Changes that are likely to require AISC approval and include the development and/or revision of units of competency Major 2 - Changes that are likely to require AISC approval and include the development of new qualifications or a change to an existing qualification s core structure 23

25 Complexity of change relates to the training product development work and is divided into two categories: High complexity Work that is likely to require significant and/or complex consultation and/or is related to job tasks that are highly technical, dangerous or regulated. For example, consulting in sector not previously engaged with the VET sector (e.g. personal mobility devices) or in an area of cutting edge technology (e.g. vehicle body repair) Low complexity Work that is likely to require routine and/or simple consultation and/or technical work. For example, consulting in a sector with a small number of homogeneous employers (e.g. bus, truck and trailer manufacturing) or in an area with existing technology (e.g. preparing mechanics to work in the marine or bicycle sector) The analysis identified that none of the proposed projects were minor in magnitude. The findings are summarised in the following table. High complexity Low complexity New units for safely depowering electrical and hybrid vehicles New units for the service and repair of personal mobility devices (for example, golf carts and electric wheel chairs) New skill set for preparing automotive mechanical technicians to work in the bicycle retail, service and repair sector New skill set for preparing automotive mechanical technicians to work in in the marine retail, service and repair sector Revise unit - AURETU005 Retrofit and modify air conditioning and HVAC systems Major 1 magnitude A new or revised qualification to reflect the job role of automotive tyre fitting and wheel alignment technicians and meet state-based licensing requirements A review of the Certificate IV in Body Repair Technology A new qualification to reflect the job role of automotive vehicle repair estimators New units for inspecting, monitoring and reporting on the condition of OTR (Off-The-Road) tyres New units or modify existing units for multi-combination heavy commercial vehicle braking system compatibility New units for safely working with marine fuel systems A review of the Certificate III in Manufacturing Technical Operations - Bus, Truck and Trailer Major 2 magnitude Proposed timeframes for product release To minimise the implementation cost impact on the VET sector, it is recommended that all changes be submitted for endorsement in a single batch even though those projects that are estimated to take only 6 months may be completed sooner. However, it is possible some projects may need to be submitted for endorsement sooner, for example, in response to safety and regulatory priorities. 24