Upgradation of 1396 ITI’sinto

Centers of Excellencethrough

Public Private Partnership

National Conference on Skill Building through Public Private Partnership

5 – 6th October 2007

Col. Harmit Singh SethiDirector & Head - Skills Initiative

Presentation Outline

ITI/ITC scenario in India

The Scheme

Contributions & Benefits for the Industry

Participation of CII members

Way Forward

ITI/ITC – Capacity in India

ITI’s ITC’s Total

No. of Institutions

1895 3358 5253

Total Capacity

396,712 341,386 738,098

Population (in Million)

1,027

Source: DGET, January 2005

Issues• Limited or no avenues open for ITI

graduates for further education.

• High rates of Un-employment – why???– Limited demand in manufacturing sector –

majority of courses in ITI in manufacturing.– Mismatch between skills attained & those in –

demand.– Obsolete & poor quality courses.

Employers’ perception• Employer’s dissatisfied with ITI graduates.

• ITI pass outs lack even basic understanding of their trades.

• Rapid Technological developments call for course content modification.

• Many trades have lost relevance due to automation.

• Focus should be more on Service Sector skills

• Multi- skilling & Multi – operations required.Source: World Bank

Thus…

The Scheme

• Upgradation of 1396 Government Industrial

Training Institutes (ITI’s) into ‘Centres of

Excellence’ (COE) through Public Private

Partnership (PPP).

Parties

First Party Director General / Joint secretary, Ministry of Labour & Employment, Government of India

Second Party

Secretary / Principal Secretary, State/UT

Third Party Industry Partner

The MOU shall be signed between the Three Parties for each ITI.

Roles of the First Party• Provide interest free loan of up to Rs 2.5

crores to the Institute Management Committee (IMC) of the ITI based upon the Institute Development Plan (IDP).

• Establish a National Steering Committee -

an Apex body for guiding the

implementation and monitoring of ‘THE

SCHEME’ .SECTION A of The Draft MOU

Role of the Second Party• Establish a State Steering Committee.•

• Establish and maintain a State Project Implementation Unit

• Constitute/reconstitute an Institute Management Committee (IMC) in the ITI and register it as a Society under the relevant Societies Registration Act

• Encourage and provide all assistance to THE IMC to establish training-cum-production center

• As the owner of the ITI, continue to regulate admissions and fees.

• Continue to have administrative control over the staff of THE ITI and pay their salary and other emoluments.

SECTION B of The Draft MOU

Role of the Third Party• Nominate a representative as a member of

THE IMC to act as Chairperson of the same.

• Nominate four other members from the local industries in such a way that THE IMC becomes broad based.

• Contribute in terms of machinery and equipment.

• Arrange to provide training to the faculty members and on the job training to the students.

SECTION C of The Draft MOU

Monitoring Mechanism• All stakeholders responsible for monitoring &

implementation of the scheme.

• Parties to jointly agree and finalize Key Performance Indicators (KPIs) as yearly targets for next five years.

• THE IMC to develop monitoring mechanism to review the performance and submit quarterly reports to THE SSC.

• THE SSC to monitor the implementation and furnish a consolidated report to THE NSC every Quarter for all the ITIs being upgraded in the State.

SECTION D of The Draft MOU

The IMC

Members

Functions

Memorandum of Agreement

Rules & Regulations of Society

Industry’s Concerns

IMC - MembersA total of 11 members

• Chairperson - Representative of the Third Party, Nominated by the Third Party.

• Four other members from local Industries. Nominated by the Third Party.

• Five representatives nominated by Second party.

• The Principal of the ITI, as member secretary.SECTION B (3) of The Draft MOU

IMC - Functionsi. Forecast emerging skill requirements in the

region and accordingly take the following actions:a. Suggest further strengthening in respect of various

courses presently being run as required locally.b. Add new trades/units with the concurrence of

relevant State/UT and national authorities and/or abolish trades that are redundant or irrelevant to the local industry needs.

ii. Start short-term training courses;

iii.Review training needs and approve training of instructors, and of administrative/office staff;

SECTION B (4) of The Draft MOU

IMC - Functionsiv. facilitate placement of ITI graduates;

v. generate, retain and utilize the revenue; and

vi. appoint contract faculty as per need.

vii. make recommendations to THE SECOND PARTY on the funds provided by it to THE ITI out of its Annual Budget.

viii.make expenditure out of the interest free loan received from THE FIRST PARTY under THE SCHEME.

SECTION B (4) of The Draft MOUFurther details in Memorandum of Association

Memorandum of Association

• Key Features

– IMC registered as a Society.– Details the Aims & Objectives of the Society– Details Objects for achieving the above– Income & property of Society– Governing Council – Elaborate Rules & Regulations for the

functioning of the society.

Contribution of the Industry• Provide Consultancy / Advisory services.

• Innovate & Upgrade the ITI - curriculum, infrastructure, faculty,

• Placement Cell in the ITI

• Network, Interact, Establish & maintain working relations with other institutes.

• Introduce quality component in skills delivery.

• Partner with local Industry, exchanges, banks & Government organizations.

Contribution of the Industry

• Share expertise

• Provide on-the-job training

• Provide inputs to the IMC for generating funds

• Provide info on the latest equipment & machinery that can be used for training.

• Encourage Competitiveness by preparing candidates for the Regional & National Skills competitions.

• Generate funds for re-payment of the loan.

Benefits to the Industry• Customized training for potential manpower.

• Contributing towards enhancing Employability & Quality of workforce.

• Ready pool of workers for use by Industry – self or vendors.

• Great networking opportunity with State / Central Government, Industry, International organizations, etc.

• Delivery of Social Responsibility.

• Branding for the Company leading to enhanced acceptability.

CII Members’ participation in the ITI up-gradation

scheme

Region wise response

REGION NUMBER of ITI’s

NR 49

ER 20

SR 46

WR 32

TOTAL 147*

State-wise list of ITI’sSN STATE No.s

1 Punjab 8

2 Himachal Pradesh 8

3 Rajasthan 7

4 UP 18

5 Delhi 2

6 Haryana 5

7 Uttrakhand 1

TOTAL 49

State-wise list of ITI’s

SN STATE No.s

1 Maharashtra 21

2 Gujarat 6

3 Madhya Pradesh 5

TOTAL 32

State-wise list of ITI’s

SN STATE No.s

1 West Bengal 5

2 Jharkhand 6

3 Bihar 6

4 Orissa 3

TOTAL 20

State-wise list of ITI’s

SN STATE No.s

1 Karnataka 21

2 Tamil Nadu 8

3 Andhra Pradesh 17

TOTAL 46

Comments of members on the Draft MOU

Comments on the Draft MOU

•Financial Implication: The MOU

needs to mention that re-payment

shall not be the liability of any

individual member and that the

society/IMC shall be collectively

responsible for the same. Necessary

guidelines may be appended as an

annexure.

Comments on the Draft MOU• It is also observed that the clause on

independent assessments has been removed. CII is of the view that to ensure quality & competitiveness and to deliver standardized training, Independent assessment be a part of the MOU.

• The IMC should be provided complete autonomy for the laying down of curriculum & ensuring discipline of the staff.

Comments on the Memorandum of Association

• Name of the IMC: To prefix the name/ brand of the industry partner to ' ITI........‘. The addition of such name/ brand will add value to students who pass out from the institute.

• Add to the rules:– Add New Programs for which there are

employment opportunities.– Modify Programs to meet industry/service

employment needs– Delete Programs for which there are

limited employment opportunities

WAY FORWARD…

Way Forward…• Through this Scheme prepare

candidates for the WorldSkills International Competition.

• Utilize Industry’s expertise in Skills Development.

• Provide Globally Benchmarked & Quality Controlled training.

• Through the Centers of Excellence provide to the Ageing world what they need the most – A Productive Workforce.

Way Forward… Skills Development

• Enhance Curriculum Development at Benchmarked Standards.

• Focus on Teachers Training.

• Keeping the India’s Demographic Advantage in view, encourage policy to Export Skilled Manpower to meet Global requirements.

• Regulatory framework for Private providers of training.

• Creating a Training / Skills Fund.

Way Forward…

• Monitoring and Evaluation (developing labour market information system to assess trends, identify emerging sectors, and skill requirements.

• Introduce the system of “Awarding Bodies” i.e. the Testing and Certification Authority – which are independent and not involved in the conduct of training programmes. These bodies develop standards for assessment through research.

• Quality Control

Thus…This is the first step towards structuring

Public Private Partnership in Skills Development…

Aviation, Telecom, IT have proved that success can be achieved through PPP and encouraging competition for Quality.

The Next success story needs to come from developing Human Resources…

By, Building People Building India

HOW ???

THANK YOU

For details contactCII Skills Initiative

Confederation of Indian IndustryPlot No. 249-F, Sector 18,

Udyog Vihar, Phase IVGurgaon - 122015,

Haryana, India

E-Mail: skills@ciionline.org

Phone: +91-0124-4014060-67              +91-0124-4014077

Fax:      +91-0124-4014080

www.cii-skillsdevelopment.in

WorldSkills International

Promoting Skills Across the World

Membership to WorldSkills International

On 20th January 2007 India became 48th Member of WorldSkills International.

CII will set up “WorldSkills India” to represent and coordinate all its activities.

To broad base India’s participation, CII is looking for credible partners.

Some Other Members Countries

• Austria• Australia• Belgium• Brazil• Canada• Denmark• Estonia• Finland• Germany• Hungary• Hong Kong

• Iran• Ireland• Japan• Korea• Mexico• Malaysia• Netherlands• Portugal• UAE• USA• UK

What is WorldSkills?• A not for profit membership association open to

agencies or bodies which have a responsibility for promoting vocational education and training in their respective countries/regions.

• WorldSkills operates worldwide and is politically and denominationally neutral.

• WorldSkills provides a unique means of exchange and comparison of world-class competency standards in the industrial trades and service sectors of the global economy.

WorldSkills….. A Movement

WorldSkills like the Olympics is a Movement.

Every participant in every country,whether or not he reaches the top, is a winner – A winner in the race of “livelihood opportunity”

The experience and results of all the competitions provide valuable feedback to the individuals, the systems and enterprises in which they are being trained

The competitions are particularly effective in the context of providing positive career role models for school aged youngsters.

WorldSkills Competitions: 8-22 Nov 2007, Japan

• 39th Competition• 850 Competitors• 47 Skills Categories• 200,000 Visitors

expected

CII road map to WorldSkills Competition

2006 - 2007:

Mission and Observers Team went to Australia in 2006.

CII addressed the “Leaders Form” in Melbourne.

Next - participate in Japan WorldSkills Competitions 2007 and

related events.

2008-2010:

Conduct Regional and National Skills Competitions with a view

to prepare full contingent for next two WorldSkills Competitions.

2009-2011:

Participate with full contingent in all skills categories.

2012:

Conduct Regional and National Competitions and prepare to

host 2013 competitions in India.

2013: Host WorldSkills Competition.