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  1. 1. Vision 2020: Boosting Skillsets-Increasing the employability of youth Alok Anand: alok.anand12@iimranchi.ac.in Nitesh Sant: nitesh.sant12@iimranchi.ac.in Pulkit Mathur: pulkit.mathur12@iimranchi.ac.in Gaurav Kumar: gaurav.kumar12@iimranchi.ac.in Shubham Rawat: shubham.rawat12@iimranchi.ac.in
  3. 3. Skill Development:  Developing trained and skilled workforce to address national and global manpower requirement  Increasing mobility of skilled manpower by providing required certification Rural Empowerment  Establishing an efficient and cost effective system to turn “Balance of Trade” in favor of villages by increasing contribution of rural economy to the National GDP  Creating awareness about Government rural development programs like Swarna Jayanti Gram Swarozgar Yojna, Sampoorna Grameen Rozgar Yojna, etc. Facilitating Jobs  Collaborating with companies and associations for internships and placements  Associating with HR agencies to address National and International manpower requirement Encouraging Entrepreneurship  Fostering entrepreneurship by empowering rural population with the knowledge of emerging market trends and cost-effective technologies  Transferring people centric technologies from research labs to rural entrepreneurs Objective:
  4. 4. Challenges for Skill Development Lack of awareness and inadequate training infrastructure has led to a shortage of skilled workforce, resulting in low per capita income and reduced contribution to the GDP Challenges High Student Dropout Rate Unavailability of Training Facilities Education & Socio- Economic Barriers Demand & Supply Gap in Skills Ignorance & Poor Knowledge Dissemination
  5. 5. Skill Demographics – Opportunity and Threat 1. About 60% of the labour force is below 40 years of age and hardly 2% of it is trained 2. Less than 10% population has completed higher secondary or above; Only 32% students enroll for middle level education 3. Lack of vocational training has led to degraded quality of employment. A large population is either unemployed or works as casual labour 4. Existing system of skill development training requires a minimum education qualification, thus restricting less educated/out of school youth and existing workers 5. Availability of skill-oriented training programs is limited to a few trades only, and does not meet the Industry skill requirement Key Issues Recommendations  India, as compared to other nations has the youngest population, thus a unique opportunity to leverage its youth by launching a Nation-wide training program to increase productivity  Affordability of education and socio-economic factors lead to high drop- out rate. An education cum vocational training program at schools will help in increasing employability  To address changing skill requirements, refresher training programs are required for skill upgradation of existing manpower  Use of state-of-the-art multimedia and ICT technologies such as video conferencing will reduce cost and increase accessibility to quality education and training  Vocational education through PPP model presents a viable and sustainable opportunity for the Government to harness the untapped  Considering skill requirements of Industries is important while revising existing courses and introducing new ones
  6. 6. Requirement of Skill Development Program State of Affairs – India (1/2) Until 2022, there is an annual demand of about 80 lakh skilled people across industries. The existing skill development infrastructure suffers from poor capacity utilization and can meet only 40% of this demand Demand & Supply Gap in Vocational Education in India, 2011 11 4 3 12 80 0 10 20 30 40 50 60 70 80 90 Supply Incremental Demand in 14 Industries Others Polytechnics Vocational Schools ITI/ITCs Inlakhs 50 lakh people 30 lakhs Key Highlights 96% of children enroll in primary school, but by the age of 10 ~40% drop out High Student Dropout About 80% of the new entrants to workforce have no opportunity for skill training Unavailability of Training 80% of the workforce in rural and urban areas do not possess any identifiable marketable skills Skill Demand & Supply Gap In 2004-051, 22% workers were estimated to be below poverty line Poor quality of Employment In India, about 2% of existing workforce has skill training against 96% in Korea, 75% in Germany, and 80% in Japan Shortage of Skilled Labour Note: 1Worker population was 459.1 MM Source: Eleventh five year plan, Planning Commission; ‘Report on Employment & Unemployment Survey (2009-10)’; NSDC; ‘India: A Nation Of Dropouts’, Businessweek Magazine
  7. 7. Requirement of Skill Development Program State of Affairs – India (2/2) Rural areas have a very low percentage of students being trained in vocational streams. In rural areas, only 2% of population in the age group 25-29 years has received vocational education Vocational Education and Training by Area of Residence, 2004-05 %whoreceivedFormalVET 1% 2% 2%2% 7% 6% 1% 3% 3% 0% 1% 2% 3% 4% 5% 6% 7% 8% 15-19 Years 20-24 Years 25-29 Years Rural Urban Total By 2022, India’s share in world trade will grow to 10% from 1.5% in 2007 Increase in Trade Till 2020, India will sustain an year on year GDP growth of 8% GDP Growth More than 1.1 crore units, producing 8,000 products, contributes 38% in export Growth of MSMEs MSMEs generate 40% of total employment and is expected to grow at a rate of 36% Growth in Opportunities Demand Drivers
  8. 8. Skill Development Program Our Value Proposition The program aims to create a positive environment through innovation, entrepreneurship, and job creation, and thus stimulating a wave of optimism in the people of Uttar Pradesh Addressing the entire ‘need cycle’ of students Training students at their door-steps Intellectually driven training model Trades that matter for Uttar Pradesh State-of-the-art support services  Theoretical Understanding  Hands-on Training  Personality Development  Internship  Placements  Training will be provided to students within a distance of 20-30km of their residence, through workshops at Tehsil level  First initiative by any University  Academically competent trainers, multimedia curriculum, and industry tie-ups  10-12 Trades, addressing UP’s immediate manpower requirement  Industry driven curriculum  First initiative to connect the supply and demand in the markets through technology platforms such as call centres and dedicated portals 1 2 3 4 5
  9. 9. Skill Development Program Operating Model Five Year Plan No. of targeted Districts: 70 No. of targeted Tehsils: 305  Initially we plan to start operations at two locations – Delhi-NCR and Kanpur  Courses will be selected in accordance with the industry demand and immediate skill requirement of the surrounding regions  We plan to establish 50-60 centers across various tehsils in major cities of Uttar Pradesh like Lucknow, Kanpur, Agra, Ghaziabad, Aligarh, etc.  Courses offered will be relevant to regional industries’ manpower requirement  We will establish training centers in all tehsils by the end of Year 5  Size of the training centers will vary depending on the number and level of courses offered Year 1 Year 2-3 Year 4-5 Training locations would be centrally administered to ensure improved governance and adhere to quality standards
  10. 10. Skill Development Program Costing Model EDI – Capital Expenditure 80.43 11.33 42.82 37.89 7.5 0 40 80 120 160 Type Portal Equipment Classroom Setup Content Development Construction InLakhRs. Revenue Source per Student 7500 7500 0 3000 6000 9000 12000 15000 Source Job consulting (Employeer) Course Fee • Fee from one student = Rs. 15,000 • Number courses at one EDI = 5-10 • Number of students in one batch = 30 • Number of batches per course in a year = 6 • Total students in a year = 900-1,800 • Course duration in hours = 250 For unparalleled success of this noble initiative to train the youth of the Nation, we are seeking a matching contribution from the Government Program Statistics 63.36 8.4 55.17 13 0 40 80 120 Exp heads General Consumables Staff Salary Marketing Trade Based Consumables EDI – Operational Expenditure InLakhRs. Total: Rs.1.8 Cr Total: Rs.1.4 Cr Total: Rs.15,000
  11. 11. We would require support from various authorities for smooth and successful functioning of the program Skill Development Program Support from Government Authority  Approval of the program  Fund allocation  Monitoring the program  Integration with other Government Programs Central Government  Approval of the program  Support in alignment with other agencies for vocational training  Support in establishing links with local industries for internship and placement of students State Government  Facilitating establishment of training centers  Spreading awareness about the training program at teshil and village level  Involving Anganwadi, Shiksha Mitras, and other Self-Help- groups to promote the program Tehsils
  12. 12. Thank You