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Key Reforms in Revitalising

Technical and Vocational Education and Training (TVET) in Malaysia

Dr. Pang Chau Leong Director-General

Department of Skills Development Ministry of Human Resources, Malaysia

Regional Conference HRD through TVET as a Development Strategy in Asia,

2-3 Aug 2011, Colombo, Sri Lanka

Contents

1

2

3

5

New Demands on TVET

Current TVET Landscape

Re-vitalising the TVET System in Malaysia

CURRENT LANDSCAPE

OF TVET IN MALAYSIA

3

1st.Pillar: Public higher education institutions (Includes polytechnics and community colleges under the Ministry of Higher Education)

2nd.Pillar: Malaysian Skills Certification System (5-tiered skills qualification based on the National Occupational Skills Standards)

5 pillars of education & training in Malaysia

3rd.Pillar: Company-based training (Comes under the Human Resource Development Fund established in 1993 to promote the training of employees)

4th.Pillar: Private higher education institutions (Under the purview of the Private Higher Education Institutions Act 1996, and accredited by the Malaysian Accreditation Agency)

5th.Pillar: Continuing education and training (Caters to the demands of employers, community or society at large for further education, skills upgrading, retraining, career advancement and enrichment).

(World Bank, 2005)

Multiple providers, qualification & curricula create confusion for students and employers

Initiatives under 10th Plan to

harmonize accreditation

across ministries

Full recognition of SKM (Malaysian Skills

Certificate)

Board of Technologists to provide professional

pathway

Further improvements

planned within TVET system

and with the industry

Central application system to be implemented 2011

Cooperation with industry through Technical Advisory

Committees

Active participation of industrial players through

Industry Lead Bodies

(ILBs) in training and

assessments

BEng Tech

Adv Dip Tech

Polytechnic diploma

Diploma Technology

DLKM

DKM

Sijil Teknologi

SKM 1,2,3 + Sijil Teknologi

SKM 1 & 2

JMTI1

ADTEC2

Private Accredited

Center

ILP3

IKBN5

Private Accredited

Center

IKTBN4

IKM6

GiatMARA9

Universiti Kuala

Lumpur

KKTM6

GMI7

Polytechnics

Community College Technical

and Vocational

School

Certificates

offered MOHR MOYS MORRD MOE MOHE

TVET delivery system (overview)

MOA MOD Public

Works States

CAM

1

MOA Institutes

6

Perhebat Institutes

Agensi Nuklear

1

tbc CIDB

6

States institutes

31

28

7110

88 202

12

1

9

1

1

15

1

4

22

500-600

~1000 TVET institutions in total

Skills and Vocational & Technical are separate sectors with distinct accreditation

Different sectors in the Malaysian Qualification Framework ...

Separate governance of Skills and

Vocational and Technical sector

Limited coordination and duplication of responsibilities in

calibrating learning outcomes

Limited sharing of best practices

Distinct accreditation (DSD and

MQA) raises confusion

Students and employers unclear of value/ differentiation among

certificates

Exacerbates unclear pathway for further education

Vocational and

Technical Higher education Skills sector

Graduate certificate

Bachelor degree

Diploma

Doctoral degree

Masters degree

Postgraduate dip.

Diploma

Vocational and

Technical

Certificate

Advanced diploma Advanced diploma

L1

Skills Cert 3

Skills Cert 2

Skills Cert 1

Diploma

Advanced Diploma

L2

L3

L4

L5

L6

L7

L8

Certificate

MQ

F

Source: MQA; BCG analysis

Acc

red

itat

ion

DSD-accredited (MOHR)

Accreditation process

undertaken by DSD, based on

NOSS

MQA-accredited (MOHE)

Internal quality assurance process, followed by MQA

accreditation

Separate agencies accredit programs

within TVET

Issue - Governance

More than 20 government agencies reporting to own ministries

Lack of coordination between ministries result in lack of overall understanding of

TVET landscape

Each state skills training department reports to a single federal ministry

Provides clear overview of TVET landscape

Increases efficiency

No single authority over TVET landscape in Malaysia

No single body to provide oversight

of TVET landscape

No single body to provide oversight

of TVET landscape Benchmark: Australia Single

coordinating authority

Benchmark: Australia Single coordinating authority

Report to

MOHR

MOYS

MORRD MOHE

Public

Works

Report

to

Australian Qualifications Framework

Report

to

Report

to

Report

to

Report

to

270,000 students enrolled in TVET system (in 2010), 70% in government institutions

Level 1 to 3

(Certificate)

Level 4 & 5

(Diplomas)

JMTI

ADTEC

ILP

Technical Secon-

dary School

Perhebat

Institutes

MOHR MOYS MORRD MOE MOHE MOA MOD Public

Works States

IKTBN

KTBN

Giat-

MARA

IKM

GMI

KKTM

Commu

-nity Colleges

Poly-

technic

CIDB Institutes

States Institutes

3,200

10,800

2,000

Source: EPU, MOHR, MOYS, MOA, MORRD, MOE, MOHE

2,700

10,000

19,000 25,000

17,000

88,000

805

xx

20,000

Private

Total enrolment 2010: ~270,000 students 25,000 at MOE Technical Sec. School + 185,000 at Public & States Inst. + 60,000 in Private

72% 7% 21%

MOA Institutes

700

Private Institutes

~60,000 8,200

# students enrolled in

institutions

Issues faced by main stakeholders

Stakeholders Issues

Employers

There exists a mismatch between the types of training provided and market needs

Private skills training providers face regulatory constraints and long waiting process when setting up institutes

There is a shortage of funding for skills training

Public service has limited access to Malaysian Skills Certificate holders.

Providers

Employers may not be aware of the capabilities of graduates

Many employers do not recognise the certifications due to the highly fragmented landscape today, with multiple ministries and industry issuing different certifications

Students have a poor perception of skills training and view it as an option of last resort

Students (and their parents) lack funding or are unwilling to pay for skills training

Students/ Parents

Source : NKEA Education Lab

NEW DEMANDS ON TVET

IN MALAYSIA

4 Major Thrusts to Transform the Malaysian Economy

1. Refers to clerical, service and technical staff & lower management positions 2. ~71% of jobs are production supervisor, administrative staff and production line leader Source: PEMANDU; BCG analysis

Economic Transformation Programme: 8 National Key Economic Areas (NKEA)

require 1.3 million TVET jobs

1.3 Mn (~41%) of NKEA jobs to be filled by TVET;

top 5 sectors make up 82% of TVET jobs

209 203

101

449

53

132

386350

435

49

229 192 49

114

52 2520274346

21

0

200

400

600

Persons in '000

NKEA

sectors Palm Oil

42

20

CCI

43

23

Oil, Gas

and

Energy

52

Agriculture

75

23

Healthcare2

181

Business

Services

246

Financial

Services

275

Tourism

497

Education1

536

Greater

KL dev.

553

Retail

595

157

Electrical

Eng.

TEVT

Non-TEVT

Incremental

2020 GNI

in RM Bn 108 392 34 67 121 59 35 53 29 131 36 125

13,000

1,500

0

20,000

40,000

60,000

2009 2008 2007 2006 2005 2004

No. of certificates

2003 2002 2001 2000 1999 1998 1997 1996 1995 1994

42,500

35,000

Based on historical trends, it will be challenging for skills training to meet the requirements for a high income economy

Issuance of skills certificates has experienced little growth over the

past 5 years despite various

policy recommendations aimed at

increasing its attractiveness

Sharp increase in 2003 due

to the establishment of

PTPK in 2001

SKM 4 and 5 SKM 3 SKM 2 SKM 1

Note: Numbers represent SKMs conferred by both public institutions and JPK accredited private institutions Source: JKMPMI, Feb 2010 / bcq Inception Report

The number of certificates awarded for SKM1 and SKM2

has declined and leveled off over

the last 5 years

Challenge is to now increase enrolment in SKM 3, 4 & 5

10th MP target

of 50% highly

skilled

workforce by

2020 and ETP

target of 1.3Mn

new TVET

related jobs

unlikely to be

met

CAGR

('05-'09)

CAGR

('05-'09)

0%

-3%

-5%

0%

REVITALISING TVET

IN MALAYSIA

Major initiatives being undertaken

Scaling up

private TVET

training

provision

Re-branding of

the TVET sector

to mainstream

and improve

perception of

TVET

Rationalising

TVET

provisioning to

meet economic

& employment

needs

1

2 3

SkillsMalaysia rebranding announced by Prime Minister of Malaysia, 11 Jan 2011

SkillsMalaysia 2011 Campaign

SkillsMalaysia aspires to raise public awareness and perception on the significance of skills training as a means to enhance the quality of the Malaysian workforce. Efforts to standardise the quality of training curriculum through rigorous participation of industries; overcome the duplication of training and certification activities; and intensify promotion of skills training will be undertaken to uplift the current competency level of the workforce to a higher level of performance and productivity.

Launch of SkillsMalaysia promotion campaign by the Dep. Prime Minister, 5 May 2011

Rationalising TVET offerings will require harmonising courses across multiple qualifications systems

Issues identified Issues identified

Multiple qualification

systems

Institutions not taking into account offerings in the

broader system

Supply weighted towards

lower-level courses

Inappropriate for future requirements of the

Malaysian economy

Overlapping courses and

institutions

Delivery capabilities lack scale

Prevailing system confusing to navigate and regulate

Key next steps / way forward Key next steps / way forward

Clearly articulate skills and

vocational / technical qualification

system

Rationalize

qualification

systems

c

b

a

Review levels of course offering to

target industry needs

Build coherent approach for certificates and diplomas to match

job levels required by employers

Rationalise delivery of course

offering and reduce duplication

Between ministries Between institutions

Rationalize

course

offerings

Scaling-up private skills training provision (EPP5, NKEA Education)

Employers

Students

Key Initiatives

Market SkillsMalaysia internationally to attract foreign students to enrol into Malaysian TVET systems

Review and simplify regulation to allow international students to enter skills training programmes

Buying places from private skills training providers to utilise excess capacity

Assist providers in attracting students 7

Allow academically qualified and experienced industry personnel to fast-track to become TVET instructors

Increase the number of qualified instructors

6

Conduct awareness campaign 4

Roll out SkillsMalaysia branding for all initiatives to promote skills training

Increase demand side funding (PTPK) to increase access to skills training

Increase availability of HRDF funds for up-skilling of workforce

Increase availability of demand-side

funding 3

Articulate professional pathway for TVET by allowing Malaysian Skills Certificate holders to progress to selected degree programs

Review the SKM evaluation system to enable ease of pathway articulation

Articulate professional

pathway

5

Appoint Industry Lead Body (ILB) for each skills sector to guide development of TVET in Malaysia

Promoting closer links with industry

1

Harmonise accreditation across Ministries, industries, and private skills training providers by expanding JPKs role as the single accreditation body

Establish Board of Technologists to regulate, monitor and accredit all TVET programs

Harmonise skill training by

regulatory reform 2

Providers

10th Malaysia Plan: TVET is critical

(SOURCE: 10th Malaysia Plan)

40%2 skilled

workforce1 by

2020

Target

Improving the Perception of TVET and Attracting More Trainees

A national media campaign to be developed and rolled-out Transformation of vocational schools system

1,031,000 more

managers &

professionals Standardize TVET curriculum Recognizing SKM as single TVET certification A Board of Technologists Malaysia will be established Malaysia-Japan International Institute of Technology will be established

Upgrading &Harmonising TVET Curriculum Quality in Line with Industry Requirements

1,434,000 more

skilled workers

Highly experienced industry personnel to become instructors ... Part-time working arrangements will be expanded Centre for Instructor and Advanced Skills Training (CIAST) will be expanded. A new CIAST to be established to add a further training capacity of 800

instructors each year

Developing Highly Effective Instructors

482,000 more

semi-skilled

workers

The current funding approach of TVET will be reviewed to provide financial assistance to students to study at SKM Level 3

The performance rating of TVET institutions will be utilized when making decisions for buying places in private TVET institutions

RM150 million to train 20,000 school dropouts using the NDTS approach

Streamlining Delivery of TVET

Policy Guidelines from the 10th Malaysian Plan

Conclusions Malaysia aspires to move up the value chain to become a high income economy. A skilled

workforce is critical to achieving this goal. Consequently, it is important to increase the enrolment in TVET and raise the overall quality.

With the introduction of ETP, demand is expected to outgrow supply. By 2020, additional 3.3 Mn jobs will be created, of which 1.3 Mn will be TVET qualified. Issues faced by key stakeholders need to be addressed:

Students: TVET is currently not a mainstream education option and typically not a viable alternative to entering the workforce as it does not provide clear educational and professional pathways

TVET providers: Highly fragmented landscape with numerous providers from various ministries resulting in multiple qualifications systems and non-uniform curricula standards

Employers: Lack of recognition for TVET qualifications from employers / industry players

A comprehensive set of initiatives is being developed to fill these shortfalls:

Rebranding TVET to mainstream & improve perception of TVET Rationalize & streamline the TVET sector including provision, operating model

and funding structure Scale up private skills training provision

THANK YOU