skills to employment
TRANSCRIPT
Skill to EmploymentSep 27, 2014
Wadhwani Foundation Vision and Mission
Accelerating economic development in emerging economies
Creating Jobs for Millions
India
Pakistan, Indonesia, MalaysiaUSA
We achieve high quality, large scale impact by creating opportunity networks and leveraging technology
as lynchpins of all our Initiatives
ABOUT ROMESH WADHWANI
Romesh Wadhwani • Successful Silicon Valley Entrepreneur• Forbes list of US richest 400 • Pledged to give away majority of his wealth• Driven to catalyze strategic, large scale,
high-impact social change
WF Initiatives and 5 Year Goals:
Accelerate employability through skill developmentWe revolutionize skill development through use of technology to create millions of highly-skilled knowledge workers, globallySkill and place 5MM in sustainable high-quality jobs
Enable large scale job creation through entrepreneurshipWe inspire, educate, and support first generation entrepreneurs to create millions of jobsCreate half a million high-value jobs
Impact policies to accelerate India’s & India/US economic activityWe impact India’s economic growth and strengthen the India-US relationship through a shared vision and a policy framework for economic accelerationFacilitate policy frameworks and actionable high impact policies in India and across India/US to further economic cooperation.
Empower the educated disabledWe mainstream the educated disabled into corporate jobsPlace 100,000 into mainstream corporate jobsPromote world class research and innovationWe propel India towards leadership in innovation by enabling world-class research and industry creationFacilitate and enable world class research at several prestigious Institutes in high-impact areas
Looming Skills Challenge
60% of India’s population within working age of 15-59 years
Nearly 95% of youth (15-25 years) formally learn a trade in most developed economies vs. only 5% in India
~5M drop outs from higher secondary to higher education
~12M youths join the workforce annually
10-25% graduates employable Govt. has identified the need to skill
500M people in 10 years 48% of employers claim they have
difficulty filling open positions• 53% of these employers see lack of
skills at entry levelSource: NSDC, Census 2011, McKinsey Education to employment report
What is the real picture?
The Skills Paradox….
• Large parts of industry unwilling to differentiate salaries for skills
• Temptation to keep costs low, given supply…. and not investing in training
• Productivity from skills training not proven or too patchy• Lack of respect and understanding of skills as a career
builder• Lack of trust in Pvt. Sector jobs… Remain unfulfilled, with
limited people to train while crowds line-up for Bank/Railways/Police jobs
• Mis-match of youth aspirations and employer needsValue of skills not recognized… not realised
Potential Vs. Aspirations
High
TN, Haryana, Maharashtra,
WB, UP
Gujarat, Karnataka
Low
Low High
IT / ITES
Youth Aspiration
Potential
High
TN, Haryana
WB
Low
UPGujarat,
MaharashtraLow High
Automobile
Youth Aspiration
Potential
High
UP, Haryana, Maharashtra TN, Gujarat
WB
Low
Low High
BFSI
Youth Aspiration
Potential
High
TN, Haryana, Gujarat, WB,
Maharashtra, UP
Karnataka
Low
Low High
Construction
Youth Aspiration
Potential
Source: Skill Gap Studies of NSDC 2013-14
Potential Vs. Aspirations
High
Haryana, Gujarat, WB UP
Low
Maharashtra, Karnataka
Low High
Potential
Youth Aspiration
Food ProcessingHigh
Haryana, UP WB
TN, Maharashtra,
KarnatakaLow
Gujarat
Low High
Potential
Youth Aspiration
Healthcare
High
WBHaryana, Gujarat
TN, Maharashtra
UP, Karnataka
Low
Low HighYouth Aspiration
Potential
RetailHigh
Haryana, Gujarat, WB, Karnataka
Maharashtra, UP
Low
TN
Low High
AgriculturePotential
Youth Aspiration
Mismatch in Youth aspirations… and industry requirements
(C) Wadhwani Foundation 2014
Constraints in Delivery
…. And on-ground challenges• Many fragmented trainers of uneven quality• Risks of migration – cultural barriers, food/accommodation,
health support, social basket• Model highly dependent on trainers ….. absence of high
quality trainers• Very informal job market, driven by local knowledge –
Insufficient connect with jobs/placements in colleges and rural/semi-urban areas
• Formal education system largely disconnected from industry and skills…
Demographic trends will exacerbate the issues…
(C) Wadhwani Foundation 2014
Educators, employers, youth in parallel universe
Educators believe 80% students are adequately prepared… while employers and students claim <50% are prepared
• Outdated curriculum and contentCarbureotrs Vs. Mechatronix in Auto
• Too much training for simple jobsUS GAAP for Payables procesing
• Lack of knowledge and awareness on jobs and careersYouth looking for “Office Jobs”
• Educators success based on marks vs. placementsNo tracking of data on alumni, jobs
• College education (Tier 2-3) woefully inadequate (6% - 10% employable)
Lack of mentors, work experience
Need for Intensive, frequent collaborations between stakeholders
(C) Wadhwani Foundation 2014
Skilling a continuum… not a one-time activity
Integrate, adapt best practices and successful models from with formal and industry programs• Youth awareness built early during education
Credits in schools for vocation streams, NSQF model
• Skill development integrated in higher education systemCommunity college, B.Voc., KUSHAL, Integrated in BA/BSc/Bcom
• Industry internships/apprenticeships mandatoryGerman Dual education system and learning model
• Industry endorsed assessments and certifications mapped to career paths and growth
• Establishment of dynamic Labour Market Information System
Vocational integrated with formal education critical
(C) Wadhwani Foundation 2014
Innovative, scalable models for impact
Khan academy reaches 10mn students per month and 300mn lessons delivered
• Incentivize Industry to invest in Skills DevelopmentSkilling subsidies for Small, Medium and Large Enterprises
• Move beyond Trainer dependent pedagogiesFacilitator-led, Khan-Academy / Wadhwani Foundation “Flipped-classroom”
• Technology driven learning deliverySynchronous learning, hybrid online/offline content, simulations
• Strong and vibrant local connects between Institutions and Employers
Critical to incentivise new models… doing more of the same will not yield different results!
