Transcript of "Life Light For Education Concept Paper On Education"
Light for Education R SOLALight for Education (LIFE) Concept Paper
PrologueRight to Education RTE is the primary right of every citizen of India, whether a child resides in a high profile societyor in a far away not so developed secluded village. Schools in small towns & rural areas are promoted to raise thelevel of education and literacy in rural India. According to Just Indian Schools the conditions of small towns & ruraleducation in India, is improving steadily and the government is also providing full support and providing with manyinitiatives. The fee structure in these schools is also very low so that every child can study and afford it.Children have to walk miles to reach their school. The schools pay special attention to children in these locations sothat each child gets an equal and important opportunity: A) They promote reading and writing and enhanced basic education. B) They provide study material to every student. C) These schools also provide meals during school hours, uniforms etc. D) They implement library system, which provide books, newspapers & magazine to children. E) They provide science kits and equipment for hands-on-learning. F) They also give scholarships to deserving students regularly, who wish to study ahead.BUT they do not provide light for studying in the night during frequent power cuts Every child between the ages of 6 and 14 years has the right to free and compulsory education, as per RTE Act 2009. This act seems incomplete without the presence of clean & bright light which most of the students in India do not have. To maximize their potential, students must study to excel in todays education system. Light is the single largest barrier to studying. Lack of light is an urgent and preventable education problem, yet never before has there been a viable solution. Until now! Light for Education
The Education Sector in IndiaIndian Education sector (IES) is by far the largest capitalized space in India with $30bn of government spend (3.7% ofGDP; at global average), and a large network of ~1m schools and 18,000 higher education institutes (HEI). Yet, the publiceducation system is insufficient and inefficient, leading education-hungry and affluent Indians to spend $50bn onprivate education (14% CAGR over FY08-12E).The not-for-profit diktat, a poor regulatory framework and low risk-appetite have discouraged for-profit participationin the lucrative private formal Indian Education sector (IES). With no structural change in sight (rampant corruption andlow political will), Indian Education sector (IES) has attracted limited capital. Meanwhile, non-formal Indian Educationsector (IES) while non-regulated and faster-growing fails the scalability test (barring a few pockets).Though a few smaller players have attracted some capital, we see limited value creation potential in Indian Educationsector (IES) due to regulatory and scalability issues. Armed with creativity, certain for-profit players are using innovativetwo-tier structures to unlock the surplus generated and, more importantly, plough it into scalable (as also transparent)business models. Indian Education sector (IES) Investability Quotient(IQ) Inefficiencies – The Highest – The Largest The Lowest Largest Capitalized space ‘Insufficient’ funds $40bn :‘overregulated & under-governed’ • Public spend of $30bn (3.7% of GDP) • Free product (public schools) loses • For 80% of the private spends (formal • Private spend of $50bn (14% CAGR market share – 40% of the student base enrolled in private schools (7% of IES), regulations (not-for –profit over FY08-12E) the total school network) mandate) a big deterrent • Low political will to bring about the Largest Supply ‘Inefficient’ supply much required structural change • A network of ~1m schools and 18,000 • 66% of the school network only till HEIs primary level • First Indian satellite - EDUSAT (launch • Only 0.85% of USD 30bn spent on Sep-04) to serve the education sector capital expenditure Largest Demand Lowest enrollments, highest dropouts $10bn: Scores low on scalability • Globally the largest population of • 61% of target population enrolled, 40% • For remaining 20% (non-formal IES), 572m within the 0-24 years age group dropout at school level (a mere 37% scalability remains a big issue net enrolled)
d.light has to strategically target Private sector spending of $50bn Formal IES ($ 40 billion) Non-Formal IES ($10 billion)The formal educational system in India broadly comprises The non-formal education segments flanking the formal onesschools, often classified as K12 (kindergarten to 12th) and includehigher education (HE) level. preschools (1.5-3 years),All the levels, from school to higher education, fall under the coaching classes,purview of the Ministry of Human Resource Development multimedia/ IT(Department of School Education and Literacy & Department Schools & colleges (catering to both private and publicof Higher Education). institutions),Schools cater to the 3-17 years age group. With no central vocational training andgoverning body for K12, they are ruled by state boards/ ICSE/ The books market.CBSE/ International Boards.Higher education institutes cater to the 18-22 years & above The segments are free of any regulations (i.e. no governingage group. With a single governing body (UGC), higher / regulatory bodies for this segment).education comprises graduate/ diploma/ professionalcourses. This may be followed by post graduation courses. A $40bn market, 12% CAGR till 2012E A $10bn market, 18% CAGR till 2012E Multimedia in Preschool private schools Books 3.0% 0.7% ICT in govt 17.3% K12 schools Higher Education 0.9% 50.0% 50.0% Vocational Training 14.8% Coaching Classes 63.3%Private institutes in the formal education space (K12 from Kg to 12 Grade and HE Higher Education) have proliferated rapidly over thepast many decades and as many as 75,000 schools out of the total 1m existing schools are privately-run. The importance ofprivate participation is underlined by the fact that even as only 7% of the total schools are private, they dispense education to40% of Indias total students enrolled. This is despite K12 (schools) being a focus area for the government as less than 10% of thetotal public expenditure on education is assigned to higher and university education.As a result, 77% of Indias ~18,000 HEIs are private.Private IES – big growing bigger($ m) Revenues (2008E) % share of total Revenues (2012E) CAGR (%)Formal IES 40,000 80 65,250 13K12 (From Kg to 12 Grade) 20,000 40.00 33,779 14Higher Education* 20,000 40.00 31,470 12Non-formal IES 10,110 20.00 19,608 18Preschool 300 0.60 1,026 36Multimedia in private schools 70 0.14 459 60ICT in govt schools (ICT = Computer Education) 90 0.18 752 70Coaching classes 6,400 12.77 11,194 15Vocational training 1,500 2.99 3,662 25Books 1,750 3.49 2,516 10Total IES 50,110 84,858 14Source: IDFC-SSKI Research; *Higher Education spends include $13bn spent annually to export educationApart from these there are other products / services in allied education sector.
Challenges to Indian Education India though is fast developing as super power with impressive industrial growth and economicdevelopment, it is falling behind on human development index. 1. As the children grow into adults, many are still illiterate Challenges to Indian Education by the age of 40. These uneducated adults are also Fu reluctant to send their own children to school. This nd s creates a vicious circle . Ele ctri city 2. A large number of teachers refuse to teach in rural areas and those that do are usually are under qualified. Those who refuse to teach in the rural areas cite Te ac distance and lack of interest by students as problems. he rs 3. Lack of books and learning materials seem to be a widespread problem. The use of high-tech devices such as computers are very rare. 4. Most of the rural schools operate without toilets, drinking water facility and electricity. In India, 27% of village schools have unreliable electricity as compared to 76% of schools in towns or cities (source: http://www.uis.unesco.org/ev.php?ID=7333_201&ID2=DO_TOPIC). d.light S1 is the ideal offering for the Education Space Why d.light S1 for Education? 1. No-Risk purchase 2. Right Price Offer 3. Designed for reading 4. Portable and durable 5. Simple technology for use 6. From the house of d.light 7. Comes with 6 months warranty Impact of Solar light for Education -A scientific study1 conducted in Gujarat found that the average study hours increased from 1.47 hours to 2.71 hours which is an average increase of 1.26 hours (84.3% ). -Another Study2 done in Rajasthan indicates the average study hours increased to 1.5 hours per day 1 Agoramoorthy, Govindasamy and Hsu, Minna (2009); Lighting the Lives of the Impoverished in Indias Rural & Tribal Drylands; Human Ecology 2 Madan, Dave & Singh, Kartikeya (2007). "Rural Solar Lighting Assessment". p. 1-12 Dabkan, Rajasthan in 2009
The Proposed Campaign - “Light for Education (LIFE)”d.light aspires to enhance the scope of education by collaborating with credible educational deliverypartners. We would like to create pan-India campaign to improve the quality of education in everyschool of India and, in doing so, improve the lives of tens of millions of families. Indeed light, likesecurity, water, housing, and education needs to become a basic human right.d.light would like to create a world-class, branded, national campaign to dramatically improve teacherand student productivity, by branding this campaign as “Light for Education (LIFE)” Position d.light S1 as a “Childhood Companion” A companion or a “dost” in Hindi, is a friend which provide numerous important functions during childhood. It includes - companionship, stimulation, physical support, ego-support, social comparison, intimacy, and affection. Each of these functions has a different degree of importance at different times during development. We want to position d.light S1 as a true friend from the early stages of childhood. It also gels with the Global Brand positioning of d.light S1 as empathetic, Optimistic, tenacious & Innovative.Value for Partnersd.light believes that light is not a product but a required instrument for education. We would be seeking support fromrespected institution, who have presence all across the country and have networks with the engagement and trustrequired to reach students at scale and provide this solution.To further d.light’s vision for “quality education” and take the brand to a new level, d.light and its partners envision ahigh-impact campaign that enables teachers to quickly and easily bring light to their students. The campaign will createawareness about the benefits of solar light and create excitement to participate in this extraordinary opportunity,without distracting schools from their core responsibility. The campaign and its execution will require minimalinvolvement from school authorities or field staff and will be run out of d.lights offices. The campaign is planned to berolled out in a phased manner, and pass through schools as a simple, quick, time-bound opportunity.d.light PR, marketing, and sales teams will design a branded, national campaign involving government departments,media partners, high-profile brand ambassadors as well as trainers in villages and first-class distribution.Campaign Impactd.light expects a 20-40% increase in students study time, in addition to economic, health, and safety benefits ofreplacing kerosene lanterns. By reaching out to over a millions of students in govt & privately run schools we will touchevery student’s lives and further reinforce Govt’s commitment to quality education RTE. Ultimately, providing brightlight is one of the easiest ways to make teachers and students immediately more productive!
d.light India plans to target key Private players in education sector Phase 2: Private Sector Partners MappingDuring Phase 2 (May -July 2011) d.light India shall target key players as mentioned in the grid, and willseek business opportunities within or outside the current scope of activities of the target companies.As we proceed towards achieving our goals, we shall add/delete key companies based on theopportunity and responses.Key Target organisations for d.light in formal IES Sector Vidya Bharti Bhartiya Vidya K12 Schools Preschool Schools DPS Bhavan 17,000 schools 150 + schools 80 + schools (Trust) (Private) (Trust) Higher Education Multimedia/I Colleges Manipal DAV Maharishi T in schools Rs 8141m Rs2861m 667 institutions 148 institutions (Private) (Listed) (Trust) (Trust) Key Targets for d.light in non-formal IES sector Non-relevant Preschool Preschool Multimedia/ Multimedia/I T in schools IT schools Rs2861m Rs932m (Listed) (Listed) Coaching Coaching Classes Classes Rs1200m Rs1000m Rs1000m Rs900m Rs700m (Private) (Private) (Private) (Private) (Private) Vocational Vocational Training Training Rs10068m Rs1200m Rs995m Rs800m (Listed) (Private) (Listed) (Private) S.Chand Books Market Books Market Rs4111m Rs 200m Rs 500m (Listed) (Private) (Private)Source: Internet search & IDFC-SSKI Research
d.light India plans to target key Private players in education sector Phase 3: Allied Sector Partners MappingWe are currently in the exploratory phase of scouting and finalizing the key targets for approaching theallied sector. These targets will be scanned through the Relevance Grid subsequently.We shall start the process in phase 3 (July-Dec 2012)Key Targets for d.light in allied sector NGOs Multimedia/I Foundations T in schools Coaching MFIs Classes Social Vocational Distributors Training Corporate Social Books Market Initiatives