Bridging the Gaps in Market-Driven Skills Development:

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1 Bridging the Gaps in Market-Driven Skills Development: Stakeholders Opinions and Way Forward Presenter: Prof. Md. Abul Bashar Venue: BRAC Inn Center, Dhaka Date: 12 March 2011 SkillMark

2 Contents A Glimpse of Labor Market: Supply - Demand of Skilled Labor Major System Constraints and Gaps in TVET 1 Market-driven Approach to VET 2 Review of Stakeholders Opinions (Written Feedback) Review of Stakeholders Opinions (Panel & Open discussion) Bridging the Gaps: Concluding Remarks and Way Forward 1 Technical and Vocational Education and Training 2 Vocational Education and Training 2 SkillMark

3 A Glimpse of Labor Market 54 Million Labor Force 2.7 Million unemployed (5.1%) 15 Million underemployed(28.7%) 1 Supply of Skilled Labor 78% Manufacturing industries acquired skilled workers On-the-Job 2 Six Broad Categories of VET Providers Public Affiliated Private Industry/Association-Led Recruiting Agency-Run NGO-Managed Non- Affiliated/Informal Private 3 SkillMark 1 BBS labor force monitoring survey ADB Survey 2007

4 A Glimpse of Labor Market..(contd.) Demand for Skilled Labor 29% private sector firms impeded with low labor skills or skills mismatch 3 Some promising industries faced acute shortages of skilled labor 4 Leather and Footwear Hospitality and Tourism Shipbuilding Ample opportunities around skilled migrant workers 4 SkillMark 3 Harnessing Competitiveness for Stronger Inclusive Growth- World Bank Nielsen Labor Force Survey 2009.

5 Major Constraints and Gaps in TVET Major Constraints Quality Relevance Access Recognition 5 SkillMark

6 Quality Low Capacity of Training Providers Lack of Labor Market Information Lack of Awareness about the Value of Quality Training 6 SkillMark

7 Major Constraints and Gaps in TVET Major Constraints Quality Relevance Access Recognition 7 SkillMark

8 Relevance Unresponsive to Market Needs No or Outdated Curricula Poorly Equipped Workshops and Training Facilities Traditional Teaching and Training Methodology Instructors not Trained Lack of Coordination among VET Providers Lack of Hand-Shake Between Industry and Training Providers Scarcity of Viable Delivery and Business Models 8 SkillMark

9 Major Constraints and Gaps in TVET Major Constraints Quality Relevance Access Recognition 9 SkillMark

10 Access Entry Barriers Lack of Financing Packages for VET Gender 10 SkillMark

11 Major Constraints and Gaps in TVET Major Constraints Quality Relevance Access Recognition 11 SkillMark

12 Recognition Inadequate Certification Multiple Certifications Low Appreciation for VET in the Society 12 SkillMark

13 Market-driven Approach to VET Some Key Features of Market-driven Approach to Skills Development Standards-Based Widely Recognized Outcomes-Based Viable Delivery & Business Model MDVET Industry Determined Modularized Flexible Delivery SkillMark

14 Key Features of MDVET 1. Industry Determined Industry Specific Industry Investment 2. Flexible Delivery Flexible Courses and Curriculum as per Industry Need Minimum Entry Barriers (e.g. Grade VIII, Gender etc.) Recognize Prior Learning 3. Modularized Training Smaller effective course segments 14 SkillMark

15 Key Features of MDVET (contd.) 3. Viable Delivery and Business Model Financial sustainability of the institutes 4. Standard Based Following a Benchmark of performance 5. Widely Recognized Acceptable to all key stakeholders 6. Outcome Based Level of skills acquired by the trainees 15 SkillMark

16 Review of Stakeholders Opinions: Written Feedback 16

17 Written Feedback Creation of nationwide common and accessible information center/portal (Training Directory) Image building of VET through Media & Promotional campaign Promote strong coordination between training provider and industry Formation of an Association of VET providers Creation of National Standard Classification of Occupations (NSCO) SkillMark

18 Written Feedback (contd.) Curriculum up gradation and development Certification/Standardization and Accreditation body Industry attachment: Apprenticeship/Internship program for trainees Appropriate location of training centers Collaboration between VET providers and Trade bodies/ Associations SkillMark

19 Written Feedback (contd.) Awareness programs to attract youths to VET Job priority to Trained over Un-trained person by the Industry Mainstreaming VET with formal education system Making VET attractive, affordable and easy to access SkillMark

20 Review of Stakeholders Opinions: Panel and Open Discussion 20

21 Panel and Open Discussions Location of Training Centers is Important in Case of Industry Specific Vocational Training Tapping Export Market to create job opportunities National and International Certification of VET providers National Standard Classification of Occupations (NSCO) is urgently needed Recognizing Hospitality and Tourism as a prime VET sector Financial Scheme for Financing VET Programs Enforcing TVET Policy to achieve market driven skills development SkillMark

22 Bridging the Gaps: Concluding Remarks and Way Forward 22

23 Findings of Gaps Broad Areas of Gaps among: VET Providers Lack of standard VET practices Inadequate participation in larger VET projects and dialogues Industries and VET Providers Lack of industry recognized competency standards Lack of NVQ framework Inadequate participation of industries (design courses, curriculums etc.) Lack of information and coordination Distance of VET institutions from industries Trainees, VET Providers and Labor Market Financing Institutions, VET providers and Trainees SkillMark

24 Way Forward by key stakeholders Training Institutes Maintain liaison and communication with relevant industries experiencing skills shortage Locate institution near to industry and/or the target trainees to gain from more enrollment and placement Assess strength and weaknesses of the institutions to evaluate whether they can be potential loan applicants Organize employer oriented training programs Industry Role Flexibility to change ( apprenticeship/attachment programs) Share knowledge and management know-how with skills development market actors

25 Way Forward by key stakeholders..(contd.) Financial Institutes Evaluate vocational training institutions and trainees to be potential loan customers Coordinate with Bangladesh Bank and try to formulate affordable financial packages Utilize the CSR funds and revolving funds Government Ensure enforcement of National Skills Development Policy and expedite other related policy formulations and/or reformations Make TVET accessible to general population and assist private sector and other agencies that support similar objectives

26 Way Forward by key stakeholders.(contd.) Development Agencies (e.g. Swisscontact) Facilitate formation of Association of VET providers like CAMPE Facilitate to create a directory on National Standard Classification of Occupations (NSCO) Coordinate with ongoing skills development projects to facilitate implementation of the NVQ and other policy frameworks Pilot more innovative/feasible industry driven skills development models(e.g. SkillMark s interventions) Facilitate creation of training directory in close liaison with BMET Organize public forums to create awareness Disseminate research findings among key stakeholders of VET and financial institutions and explore formation of a suitable financial scheme SkillMark

27 27 Thank You