Systemic Reform: A Transformative Framework for the Institutes of Sectoral or Occupational Excellence

1. Systemic Reform: A Transformative Framework for the Institutes of Sectoral or Occupational Excellence Daryl McLean eQuality Solutions

2. Outline of presentation • DoL Guidelines on Institutes of Excellence • Defining an ISOE • Minimum requirements • Establishing an ISOE • Fasset perspective • The thinking behind ISOEs • The transformation agenda • The concept of systemic reform • What is systemic reform? • Elements of systemic reform and the relationship to ISOEs • The human and socioeconomic purposes that skills development serves • The national development strategy • Particular socioeconomic development strategies • Current issues in provider capacity across sectors • The “mixed skills” model • Supply-side vs demand-led • Measurement • Other issues…? • What does this mean for initiating, planning and proposing an Institute of Excellence?

3. Defining an ISOE “An ISOE is a provider institution, or body (cluster) of provider institutions, that offers training and learning opportunities within an occupational area and, over a period of time, becomes known as a centre of excellence. The provider institution or cluster respond to specific labour market needs and demands within a particular economic sector”. Draft Framework for Institutes of Sectoral or Occupational Excellence Department of Labour 2006

4. ISOE Purposes/Functions “These institutions are recognised because they are capable of any one the following: • designing, developing, delivering and reporting on training in specific sectoral or occupational areas where scarce and/or critical skills have been identified, and are accompanied by cutting edge or best practice and transformational objectives; • simulating workplace application scenarios and work practices to ensure that successful learners have as seamless as possible a transition into jobs; • providing access to technologically advanced equipment; • providing access to emerging best practice in training, and related to the specific occupations, as well as with regional and international training institutes, practitioner and/or research bodies; • delivering training that meets industry demands in terms of relevance and quality; and • co-operating with and acknowledged by employers or employer bodies (at implementation level) in a way which ensures a high intake and placement rate of learners”.

5. Possible Institutional Forms for ISOEs “An ISOE could • arise from a collaboration of providers across a sector or an occupation. • be an occupationally based teaching and learning institution, faculty, or department within the FET or HET bands, as a single entity, or consortium of providers. • be a work-based, or college or university-based provider. • be a centre of innovation and research that supports growth and development of skills within a sector”.

6. ISOEs must have demonstrated that • they are or can become an industry-centred institute of training excellence. • have a commitment to excellence and innovation and that their practices support this (eg. have a research institute) • capacity and engagement with the sector, to date. • provide training…preferably in those areas where scarce and/or critical skills have been identified. – linked to “relevant economic drivers” • they are able to deliver learning programmes against various levels in the specified occupation and not only a single level qualification - a one- stop-shop for a career path for a specific occupation or occupational group • they will co-operate with a SETA or SETAs; employers or employer bodies; function as a hub in co operation with, and drawing on, established partnerships and to network with other centres of excellence in support of transformation in the country (i.e. equity, partnerships with emerging providers, CBOs, NGOs co operatives, rural participation, etc).

7. ISOEs must also… • “Have a placement strategy and mechanisms to track learners and report on learner placements, promotions, etc. • Be accredited (as a provider of education and training programmes, as well as have approval for specific programmes or qualifications). • Practice good corporate governance; and comply with all relevant legislation (i.e. BBBEE, EE, etc.). • Demonstrate proof of implementation of a quality management system (QMS). • Have an efficient reporting, administrative, technological, communication and financial systems in place, including separate accounts for SETA funding. • Reach (geographical) and sustainability (sufficient financial and human resources)”. Can encompass established and emerging providers

8. FASSET Perspective FASSET will be issuing more detailed guidance on the sectoral ISOEs by 31 March. However, the overall approach that will be taken is: • “Only universities that have been accredited by Professional Bodies will be recognised. • Fasset will support and uplift these ISOEs indirectly, through the Development Projects and through our partnership model with our Quality Assurance Partners (Professional Bodies). • As we are only working with universities, who have been accredited by the Council of Higher Education (CHE), we can safely assume that all the corporate governance and legislative requirements are in place as this is already a CHE requirement for universities. • The tracking and placement of learners will be closely monitored with Professional Bodies. Fasset Submission to DoL

9. What is Systemic Reform? “Simply stated, systemic reform is a process that extends over a long period of time and that has to engage a number of people in system improvement through changing multiple system components and their interconnections concurrently”. • This means • Create a vision of the sectoral transformation you will achieve, with specific (measurable) goals • Plan all the elements, and work out how this will contribute to transforming the sector

10. Elements of System Reform for NSDS? ISOEs? Employers Desired Social and Economic Development Goals Providers Research agencies Professional bodies Technology innovation Labour recruitment (…etc…)

11. The National Development Strategy The 2005 Development Report details three pillars of the state’s strategy • Continue to support growth in the “first” economy • Significantly increase and improve activities to support growth in the “second” economy • Improve the welfare net to support those people who are not managing to survive or get into the economy at all

12. Various Socioeconomic Development “Projects” that Skills Development Serves • The Accelerated and Shared Growth Initiative for South Africa (Asgisa) • Expanded Public Works Programs (EPWP) • Spatial Development Initiatives and Industrial Development Zones • Urban Renewal Strategy • Rural Development Strategy

13. Current Issues in Provision: 1 - The “Mixed Skills” Model • The HRD Review 2003 distinguishes between • High skills • Intermediate skills • Low skills • It makes the argument for a “mixed skills” model • Where will these skills be learned and applied? • Who will make up the bulk of the learners? • What needs to be learned and how will differ in each case… What implications will a mixed skills model have for training providers?

14. 2 - Shifting from Supply-Side to Demand-Led Provision • Current strategies often identify sectoral priorities, then train against these • Consequence across many sectors is that people trained on learnerships are still sitting without jobs What needs to change to ensure provision becomes “demand-led”?

15. 3 - Measuring the Impact of Training

16. Discussion • What socioeconomic development projects are taking place in our sector/province/region/city? • What challenges do providers face in adequately servicing such projects? • What does this mean for planning an Institute of Excellence?

17. What Does This Mean For Initiating/ Planning an Institute of Excellence? • Analyse the sector skills plan (SSP) and current problems of provider capacity within the sector with respect to delivering the SSP • Formulate proposals and initiate partnerships that creatively build on strengths/address weaknesses • Embed proposals within the socioeconomic and human “projects” they will serve (eg. look at regional as well as sectoral strategies) • Specify the vision/goals and plan for ongoing measurement against these (this may be done by FASSET itself) • Take into consideration all the system components that will influence success – including “assumptions” • Look to system-level, sectoral interests (not simply your own!) • Get real…but be enthusiastic!