APPETD FET TURN AROUND STRATEGY

PRESENTER : Dr Tholsia Naidoo Chairperson: APPETD DATE: 23 August 2013

equip people with knowledge, know-how, skills

and/or competences required on the labour

market’

vocational education prepares participants for direct entry, without

further training, into specific occupations. (OECD)

means of preparing for occupational fields and

for effective participation in the

world of work (UNESCO/ILO)

WHAT IS FET

FORMS/ CLASSIFICATIONS OF FET: IVET AND CVET

• Two forms can be distinguished:

IVET, which is defined as being formal, taking place in education and training

systems and is engaged in before entering working life;(SA: post school group)

and

CVET, which comprises all training activities after entry into working life and

can be formal, non-formal or informal. (SA: Workplace)

In SA : consider also the post grade 9.

WHEN WE WORK SMART

Does the national strategy encompass all dimensions of FET?

Are all dimensions considered in the DHET turnaround strategy? No

Are the needs of each dimension clearly understood and articulated so that the

strategy can focus on them more effectively

Which group focus on occupational qualifications and which on NCV and which group

are the apprenticeships?

TVET is designed to prepare individuals for a vocation or a specialised occupation and so is directly linked with a nation’s productivity and

competitiveness.

SOME PLACES WE ARE TALKING!!!WE ALL DISCUSS?.... WE ALL GIVE INPUT?.....

Conferences and

workshops

ETDPSETA FET

Chamber

HRDC Special Task Team on

FET

DHET Forums with the Public FET colleges

APPETD FET Comm

Some dots are connected!!!!

CLASSIFYNG FET BENEFITS

FET benefits can be grouped using a classical typology based on the

nature of results. Two main categories can be identified: economic

benefits and social benefits. Both can be analysed on three different

levels: the micro level (the benefits for individuals); the meso level

(benefits for enterprises/groups); and the macro level (benefits for

society as a whole).

The benefits of vocational education and training

7

Economic benefits Social benefits

Economic growth

Labour-market outcomes

Firms’ performance

Employees’ productivity

Employment opportunities

Earnings

Professional status/ career development

Crime reduction

Social cohesion

Health

Intergenerational benefits

Inclusion disadvantaged groups

Life satisfaction

Individual motivation

Macro

Meso

Micro

VET, as an organised form of education, differs from one country to another. This

review examines the role of VET through its benefits.

1.2. Classifying VET benefits

VET benefits can be grouped using a classical typology based on the nature of

results. Two main categories can be identified: economic benefits and social

benefits. Both can be analysed on three different levels: the micro level (the

benefits for individuals); the meso level (benefits for enterprises/groups); and the

macro level (benefits for society as a whole). Figure 1 gives examples of VET

benefits according to the dimension (economic and social) and the level of

analysis (micro, meso and macro).

Figure 1 Types of VET benefits

Source: Cedefop

Some benefits may occur at the intersection of different levels of analysis,

for instance when a training course in an enterprise leads to more satisfied

workers that become more productive. VET benefits are interdependent at

different levels. Countries did not report on all VET benefits reported in Figure 1.

Instead, they focused on some aspects of economic and social benefits that are

most prominent in research. Box 3 reviews the types of benefits countries

reported.

LABOUR MARKET BENEFITS

The main outcomes stressed by countries are higher participation on the

labour market, lower unemployment, the opportunity to acquire a

qualification for all categories which did not previously have one, and the

chance to advance in a professional hierarchy.

Through lifelong learning, individuals can improve their work opportunities

and qualification levels. Higher remuneration offers new opportunities

which lead to further economic and social outputs, such as economic

autonomy, and can also enhance psychological well- being. All these

factors ultimately impact individual productivity.

.

Enterprise performance Studies in European countries with the TVET focus showed: •Most countries stressed the positive impact of training on company performance. •Improved company productivity •Improved organisation culture and technological innovation. •Professional identity enables individuals to take control of their work life and also to influence conditions in the workplace due to the autonomy and problem-solving competences gained from TVET. •Spin off improvement by having TVET professional enhances the skills of the colleagues around him.

SOCIAL BENEFITS

• **** Low economic benefits can create insignificant social outcomes or even negative ones. For example, a low participation rate in TVET can result in high unemployment which creates an unstable society.

• A well- implemented TVET system, which connects labour-market needs to TVET and considers new challenges in terms of changing job requirements, leads to life satisfaction which is directly linked to a stable society.

(incredibly urgent and important that the SA TVET training should be targeted to increase employment and economic participation? Can we measure this?)

… leads to social integration, which can be defined as the movement of

disadvantaged groups of a society into its mainstream. Social integration is seen as the main return on labour market participation.

SOCIAL BENEFITS

• social returns: positive effects on intergenerational connections, better general health, and a safer environment.

• TVET can create a stimulating environment for children if their mothers participate in TVET.

• engaging youth in TVET programmes supports the prevention of unhealthy behaviour, such as smoking, alcohol or drug addiction, and reduces the incidence of delinquency

AGREEMENT THAT FET IS A MUST HAVE SOUTH AFRICAN STRATEGY

Individual Employer Society

Short Term Benefits

Employment chances Earning levels Work satisfaction Drop out less likely from vocational than general courses (US data)

Higher productivity from well trained workforce Saved costs from recruiting external skilled workers (incl. time for integration and risk of hiring a person not known to the company)

Saved expenses for social benefits (unemployment as consequence of failed transition from education to work)

Long Term Benefits

Flexibility and mobility Lifelong learning (more likely to receive training and upgrade skills later in life)

Supply benefits (e.g. image improvement) Less turnover (no need for re- training of new workers)

Externalities from productivity gain due to better education Increase in tax income from higher earnings

COST BENEFIT ANALYSIS

• Are the millions being spent into TVET yielding the benefits it highlighted? (SA measures: pass rates, drop out rate, ratio of enrollment to completing

exams, throughput from first year to final year, absorption into jobs……) Great research in comparison studies in European countries on cost benefit

analysis. The critical point of departure is to maxise the intent of TVET TVET is designed to prepare individuals for a vocation or a specialised

occupation and so is directly linked with a nation’s productivity and

competitiveness.

SO WHAT THEN IS THIS TURN AROUND STRATEGY

• Across all research the effective strategy was to have an inclusive TVET – embracing the strengths of public and private.

• Whilst the intent is to build an effective public TVET should the strategy exclude the private strengths that can reach the TVET objectives as a country more efficiently and expediently.

• If we want to achieve in all the dimensions of TVET the following key concepts MUST be embraced:

– Relevance of content - Participation of industry – Relation to industry - Absoption from industry – Quality focus - Mastery of teaching

WHAT DO YOU UNDERSTAND AS PRIVATE PROVIDERS? WHO ARE THE PRIVATE PROVIDERS

Private Providers

Full time higher

education

Full time FET Colleges

Corporate training

providers Small

Consulting providers

Specialist niche industry

focus providers

THE STRATEGY

Why the Need? •Recent regulatory changes and amendments •The displacement of private providers in the above. •The reduction of employer mandatory funding and the changes on pivotal grants •The urgent need to strengthen and grow the sector given the enormous need for TVET in South Africa. •Support our members and enhance their business growth through APPETD •Support members in quality framework which has proven to be ineffective in performing its function… the need to redefine quality of providers for business

success.

TURN AROUND AS FOLLOWS

• The quality system as defined by the QC’s has failed us to date. How? • How frequently has the Minister berated our industry and condemned the

sector for misuse of funding. Should not all fingers be pointed at the QC’s who should have monitored the effective delivery and quality monitoring. Which country in the world would have invested millions of rands in a “college” that was just established or accredited to train 100’s of learners in seta funded programmes. This is the work of the SETA’s – we know of the serious compromises – we report many of them….but they still go on. BUT the biggest tragedy our industry gets blamed.

• Blaming the Seta’s means pointing fingers inwards…a difficult pill to swallow.

• Would it improve in the QCTO framework?

WHAT ARE WE DOING ABOUT IT?

• We going elitest!!! APPETD is creating its own quality standard that is based on six sigma – internationally renowned for quality excellence. Task team currently in training. This will be a quality label that sets the providers streaks ahead in the industry.

• This quality label will be worth having as it is based on driving business growth. Having improvement in six sigma will mean lean strategies, almost non existent defect.

• It will become an industry market driven requirement to boost the market share of member companies.

THE TURN AROUND STRATEGY

Turn Around Strategy

Quality Standard

Professionalizing of the sector

Driving competencies to

lead skills development

Creation of private industry bursary funds

Promote FET training based on recent provincial

and national labour market

statistics

Promote PPP at FET level?

Promote business links

Research and Development-

Building capacity