02 kab final report in indonesia 2007

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02 kab final report in indonesia 2007

  1. 1. Ministry of National Education Final Report of Know About Business Pilot Program in Vocational and Technical Secondary Schools in Indonesia 2005-2006 school years May 2007 1
  2. 2. TABLE OF CONTENTS 1. BACKGROUND 4 2. WHAT IS KNOW ABOUT BUSINESS 5 3. THE KAB IMPACT ASSESSMENT 7 4. STUDENTS’ ATTITUDE TOWARDS ENTREPRENEURSHIP AND ENTERPRISE 9 5. FEEDBACKS FROM THE PARTICIPATING SCHOOLS 21 6. CONCLUSIONS & RECOMMENDATIONS 25 2
  3. 3. Summary The Indonesia Youth Employment Network has outlined a set of recommendations aimed to enhance the role of education to further build an enabling environment for an entrepreneurial culture to grow in the Indonesian society. Starting from an early age, school education can stimulate young people’s awareness of entrepreneurship, provide employment options for their future, and help students to be more creative and self-confident in whatever they pursue as a career. At a later stage, universities and technical schools can also integrate entrepreneurship courses as an important part of the curriculum. In 2005/2006, the Ministry of National Education (MONE) and the International Labour Organization (ILO) introduced the Know About Business (KAB) entrepreneurship training programme in the vocational and technical secondary education system in Indonesia on a pilot basis. The objective was to determine whether the KAB learning materials are relevant to the entrepreneurship subject that MONE has introduced in some of its vocational secondary schools. The overall goal of MONE along with other related ministries, in particular the Ministry of Manpower and Transmigration (MOMT), was to encourage entrepreneurship among the nation’s young people as well as increase their employability in order to reduce unemployment rates and poverty in the longer term. MONE and ILO prepared a mid-term report on the KAB Pilot Programme in March 2006. The report highlighted the challenges faced by teachers and schools in implementing new KAB methodologies in teaching entrepreneurship education such as the availability of teaching aids and the time allocated for pilot test. Forty-nine schools participated and reported to MONE. At the end of the KAB Final Pilot Programme, only 34 Schools submitted a set of complete Monitoring and Evaluation tools due to i) natural disasters that hit area where schools were located, and ii) students receiving KAB instructions had gone for 6 months internships. The findings indicated that the KAB methodology was appreciated by the students. They had fun learning about the world of business while thinking about becoming entrepreneurs themselves. The findings also showed that students have very positive perceptions about the world of business and that they are by no means closed to the idea of starting their own business. On the contrary, at the end of the KAB course, the majority of students stated that they would like to start their own business if they had more knowledge about how to start a business and the world of business. This shows that the youth of Indonesia, in fact, are potential entrepreneurs and that many of them might starting their own business sometimes in the future if they have proper educational background to make more informed decisions. Based on these findings, it maybe concluded that the KAB learning material may be very useful in promoting entrepreneurial culture and entrepreneurship at the secondary education. 3
  4. 4. Final Report : Know about Business (KAB) Pilot Project in Indonesia 4
  5. 5. 1. BACKGROUND From 1990 to 2003, there has been an increasing trend of youth unemployment in both males and females. A slight decrease in unemployment was, however, seen among male youth in 2005 (Annex 1). In 2005, the unemployment rates of young females and males aged 15-24 were 33.9% and 25.2% respectively. These figures in 2003 were 31.5% and to 25.5% respectively. The unemployment rates are highest among those youth with senior high school education. Female unemployment has always been higher than that of male. Over the years, this pattern has been consistent. Unemployment rates are still considered as the most visible and obvious indicator of a youth employment challenge. This explains why youth unemployment rate is selected as an indicator for monitoring the UN Millennium Development Goal to “develop and implement strategies for decent and productive work for youth (ILO, 2004). As part of government’s commitment to achieve Millennium Development Goals by 2015, the Ministry of National Education believes that encouraging an enterprise spirit in young people is a pre-condition for achieving progress (at least in the longer term) in employment, growth, competitiveness and innovation. Education can be a major force in creating a more entrepreneurial culture. Promoting entrepreneurial skills and attitudes provides benefits to society beyond their application to creating new business ventures. MONE considers entrepreneurship as general attitudes that can be usefully applied in all work activities and in everyday life. Everyone needs to display entrepreneurial behavior and some may become entrepreneurs. The objective of education will include nurturing those personal qualities in young people that form the basis of entrepreneurship, such as creativity, spirit of initiative, responsibility, capacity of confronting risks, and independence. These entrepreneurial attitudes should be promoted as early as possible in an education system, and will involve active involvement in the student learning process instead of simply absorbing knowledge from lecturer. As part of the many strategies in responding to the challenges of youth unemployment, the International Labour Organization (ILO) has developed a programme called Know About Business (KAB). The development of this programme is also linked to the ILO Recommendation No. 189, adopted in 1998, which refers to entrepreneurship education as a way of promoting a positive enterprise culture. The KAB package is designed for use in vocational education and training institutions to give young people an awareness and exposure to the opportunities, challenges, procedures, characteristics, attitudes and skills needed to become entrepreneurial in whatever career they pursue. The KAB Pilot Programme aimed at providing the Ministry of National Education, particularly teachers in Secondary Vocational Schools, with student-oriented teaching methodologies to replace teacher-oriented traditional methodologies for teaching entrepreneurship. 1
  6. 6. Final Report : Know about Business (KAB) Pilot Project in Indonesia 2. WHAT IS “KNOW ABOUT BUSINESS”? The KAB package is designed for use in secondary vocational education and training institutions to give young people an awareness of, and exposure to the opportunities, challenges, procedures, characteristics, attitudes and skills needed for successful entrepreneurship. The general objectives of the KAB programme are to: o Create awareness of entrepreneurial competencies; enterprise creation and self-employment as a career option for trainees in vocational and technical training institutions o Develop positive attitudes towards the role of enterprises in the society and self-employment o Provide knowledge and practice of the required attributes and challenges for starting and operating a successful enterprise, particularly a small business o Prepare trainees to work productively in small and medium-sized enterprises and more generally for an environment in which formal, full-time wage employment may be scarce or unavailable. The KAB entrepreneurship education programme is a modular approach with a total approximately of 120 hours of teaching delivered in 9 modules. The learning materials are based on exercises, group work, games, and hand-outs. A participatory teaching style engages students throughout the learning process. KAB introduces, to 15 to 19 year old students, the basics of entrepreneurship through the study of topics such as “What is enterprise?, Why entrepreneurship? and Who are entrepreneurs in society?” Each KAB module represents a key area of entrepreneurship and is divided into various topics. The titles of the modules are in the form of questions. The learning objective of each module is for the students to know and be able to explain these questions at the end of each module. The nine modules consist of: Module 1 What is Enterprise? Module 2 Why Entrepreneurship? Module 3 Who are entrepreneurs? Module 4 How do I become an entrepreneur? Module 5 How do I find a good business idea? Module 6 How do I organize an enterprise? Module 7 How do I operate the enterprise? Module 8 What are the next steps to become an entrepreneur? Module 9 How to prepare my own business plan? In addition to the nine modules a Business Game is also part of the learning process and provides students with a basic understanding of the business cycle, how supply and demand affects a business and how to manage a business in a diverse market with competitors, customers and suppliers. Furthermore, the KAB learning materials also include a Trainer’s Guide with detailed session plans as well as a 2
  7. 7. Final Report : Know about Business (KAB) Pilot Project in Indonesia workbook for the students with worksheets and a glossary for the first eight modules. As the final step of the KAB curriculum, students develop their own business plans. 3
  8. 8. Final Report : Know about Business (KAB) Pilot Project in Indonesia 3. THE KAB IMPACT ASSESSMENT The KAB mid term report was conducted in March 2006 to get the preliminary result from the progress of pilot test.1 OBJECTIVES OF THE IMPACT ASSESSMENT Since the introduction of the KAB pilot test in July 2005, MONE and ILO agreed that the objectives should be as follows: 1. Determine if the learning material content is relevant and appropriate for the already identified entrepreneurship education syllabus2 in Indonesia 2. Determine if the specific participatory teaching and learning styles are appropriate for the secondary vocational education system in Indonesia 3. Make recommendations to the Ministry of National Education with regard to entrepreneurship education, based on findings and observations from participating schools The objectives of the impact assessment were therefore based on assessing the above objectives through interviews and discussions with the stakeholders. METHODOLOGY AND DATA COLLECTION The study was conducted using a number of techniques and approaches to come up with the required information. Qualitative and Quantitative methods were used in collecting the information. In order to be able to assess whether the changes were seen at students’ level could be directly attributed to the KAB learning methodology, the impact assessment was longitudinal. The Questionnaire for students The students were given a form which collects detailed information (e.g. name, sex, etc.) from students as well as about their attitudes towards entrepreneurship. The form was completed by each student at the beginning and at the end of KAB pilot project. This allowed to measure students’ perceptions and attitudes toward entrepreneurship after the entrepreneurship education course, and assisted in providing information on the impact the KAB has had on the students by comparing their responses before and after the intervention. The end of school year 2005/2006 coincided with the completion of the KAB pilot programme; an evaluation form was completed by all students on the final day of the KAB course. The students were asked to comment whether the KAB learning materials were useful for them and whether they felt they knew more about 1 Result of the KAB Mid Term Report is available for public and can be requested from ILO Jakarta Office 2 In Indonesia a syllabus if often referred to as “curriculum”. In other words when the word curriculum is mentioned it is to be understood in the English context of a syllabus, i.e. a course or programme outline without the actual content and learning materials. This is the case for the “entrepreneurship curriculum” in Indonesia in which teachers need to find the appropriate content themselves. 4
  9. 9. Final Report : Know about Business (KAB) Pilot Project in Indonesia entrepreneurship. The teachers used a scoring card to compute an overall student appreciation level of the KAB subject on a scale from 1 to 5. The Questionnaires for Schools A total of 32 final reports were submitted by participating schools to the Ministry of National Education. This report gave participating teachers and schools an opportunity to provide feedback on all aspects of the KAB pilot test with regard to the training of teachers, the content of the learning materials and teaching methodologies, as well as the constraints and challenges faced when delivering KAB in the schools. This data will provide the basis for the revision of the KAB curriculum and future implementation in Indonesia. Focus Group Discussion for Teachers Focus Group Discussions (FGD) were conducted at the MONE office on 23rd May 2006 with participation of selected KAB teachers from KAB participating schools and teacher’s educators from Vocational and Education Development Center. The objective was to further qualify the findings from the questionnaires, and get the face to face feedback and to better understand how KAB training could have influenced the change of attitudes and perceptions to both teachers and students. The FGD outlined and discussed how findings and recommendations could be used to further expand the entrepreneurship and enterprise education programme. The overall objective would be to improve student retention and employability and entrepreneurship skills of young people. 5
  10. 10. Final Report : Know about Business (KAB) Pilot Project in Indonesia 4. Students’ attitude towards entrepreneurship and enterprise start up after receiving Entrepreneurship Education As one of the important aspects of the pilot testing of the KAB program, students were asked to complete a baseline questionnaire on the first day they started KAB as a subject in their school. The questionnaire was used to determine student perceptions towards an entrepreneurial culture as well as perceptions about their own ability and capacity to start an enterprise in future. In March 2006, an assessment was conducted to determine student attitude towards entrepreneurship and enterprise. A total of 3,385 students from more than 42 schools across Indonesia were chosen as the baseline for this assessment. After a year into implementation, an assessment was conducted to see student changes in their attitude towards entrepreneurship. A total of 1,570 students from 34 schools across Indonesia participated in this assessment. However, due to difference in the number of school that participated in the pre and post assessment survey, only questionnaires from those schools and provinces were reviewed that participated in both pre and post assessment. The number of participating students from schools in each of the 14 provinces is shown in the Table 1: TABLE 1 : Students by Province # % North Sulawesi 221 14.1 South Sulawesi 442 28.2 East Java 105 6.7 Bali 232 14.8 Central Kalimantan 18 1.1 West Kalimanatan 75 4.8 South Kalimantan 67 4.3 South Maluku 43 2.7 West Nusa Tenggara 46 2.9 South Sumatera 69 4.4 Bengkulu 37 2.4 DKI Jakarta 18 1.1 Bangka Belitung 67 4.3 Bangka 130 8.3 Total 1,570 100.00 6
  11. 11. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 2 indicates the percentage of female students (66.4%) and male students (33.6%). Table 2 : Participating Students It is hoped that the focus placed by the study on more female students will assist in creating more awareness among females on the benefits and advantages of entrepreneurship, therefore solving the problems of more female youth being unemployed more than their male counterparts. 34% Male Female 66% The age of high school students ranged from 15-17. In some schools KAB was offered as an extra curricular course, therefore, students of various ages participated. However, students between 15-17 years old accounted for more than 85%, students aged 15 years and below represented 0.2% while students over 17 years and represented 20.27% of the total students participating in the study. In the 15-17 year group age, more female students participated, which was also the case for the 18 years old age group. In the 18 years old group more male students participated. The breakdown of the groups by age is shown in the table below Table 3: Age of Students Female Male Total 15 years 9.09 5.3 8.46 16 years 37.33 5.91 31.91 17 years 39.73 43.75 41.02 18 years 13.82 23.29 17.01 19 years 1.34 5.30 2.67 20 years 0.28 0.57 0.38 21 years 0.00 0.19 0.12 22 years 0.00 0.19 0.006 Total % 100 100 100 7
  12. 12. Final Report : Know about Business (KAB) Pilot Project in Indonesia The students were also asked if they had ever participated in some sort of business management training course. As shown in the table below, the total percentage of participants in the business training was 60.3%. Table 4: Have you participated in business training before? No Yes Female 39.73 60.26 100.00 Male 39.39 60.60 100.00 Total Group 39.61 60.38 100.00 39.61% of the students had not participated in any business management training course, and these students thought that KAB had been an eye-opener in terms of introducing them to all aspects of planning for and starting own businesses. Even part of the 60.3% of the students that had attended management training before indicated that KAB had provided them with more information and practical discussions on the advantages and challenges of starting businesses. On the question whether students knew someone who had a business, 94.01% of both men and women indicated yes. Only a small percentage of students (5.98%) for both sexes did not personally know anyone who had a business. These figures are shown in Table 5. Table 5: Do you know anyone who owns a business? No Yes Female 6.23 93.76 100.00 Male 5.49 94.50 100.00 Total 5.98 94.01 100.00 One of the objectives of the KAB training programme is to create awareness among the youth about entrepreneurship. This does not always mean that all the youth that go through the training will start businesses, but it assists to create the understanding and appreciation about why some people run their own businesses. It also ensures that those that do not start their own businesses will be supportive to their relatives and friends who do. So it was very intersesting to see that 94% of the students knew someone who owned businesses, but their understanding of the concepts and reasons why businesses are important to the communities were still not very clear before the training. On a follow-up question about who they knew had a business, the majority of female students (69.54%) knew a family member that had a business as opposed to 30.46% for male students. 8
  13. 13. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 6: Who do you know who owns a business? Sex Family Friends Others Female 69.54 12.47 15.64 Male 30.46 22.22 20.79 Total Group 100.00 34.76 36.43 Asked whether they had helped out in a business before or after school, the majority of both sexes said no. The female students helped out in a business at a higher rate of 58.74% as compared to 41.25% of their male counterparts. The students were subsequently asked about who they helped and out of all students (including those that did not help out) more than 82% of females students and 63.42% of male students helped out in a family business. In general, females tended to help in a business more than the males. Most of the micro to small businesses are started as family businesses. This is clear from the responses of the students where 82.24% of females and 63.42% of males indicated that they helped family businesses after school. It is hoped that the training they received from KAB will further sharpen their interest in helping, and encourage them to put in practise what they have learnt. Table 7: Who do you help in a business after school Sex Family Friends Others Female 82.24 7.37 10.38 Male 63.42 22.18 14.40 On the question of whether they have thought about starting their own business, a large percentage said yes (90.3 %) Table 8: Have you ever thought starting your own business No Yes Total # Female 9.69 90.37 1042 Male 9.46 90.53 528 Total 9.62 90.38 1570 Even though the main focus of the KAB programme is to create awareness about entrepreneurship, most of the information in the materials actually discusses issues to be thought of when starting own business. This is so that those students who get interested in starting can already get the basics and are able to make reasonable plans for starting their own businesses. It was encouraging to see more than 90% of the students indicating that they have thought of starting their own businesses. As table 9 below shows, if the students were to start a business they would like to know how to actually do it. 97.32% completely agree or agree with this statement. 9
  14. 14. Final Report : Know about Business (KAB) Pilot Project in Indonesia This means that many students realise that prior knowledge is needed before starting a new venture. Table 9: If I am about to start a business, I want to know how to do it I I agree I am not I disagree I Total completely sure completely agree disagree Female 48.27 49.90 1.15 0.57 0.09 1042 Male 49.81 45.83 3.03 1.14 0.18 528 Total 48.79 48.53 1.78 0.76 0.12 1570 Table 10 shown the students disagreed that small business owner is underpaid while 29.55 % are not sure with this statement. Table 10 - Considering all the hard work most small business owners are under-paid. I I completely I am not I I agree completely Total agree sure disagree disagree Female students 4.60 9.12 28.21 48.75 9.31 100 Male students 6.82 16.09 32.19 35.03 9.85 100 Total 5.35 11.46 29.55 44.14 9.49 100 The mentality that business owners do not have much work to do is very common with the youth, who just see business owners as people who are having a good time and making a lot of money. KAB trains students to realize that having a business requires a lot of commitment in terms of time and money, so it is not just enough to have a businesses, one has to work hard to make it a success. Students are also aware of the importance of business persons in the community as role model. Table 11 indicates that over 87% of all students admire people who are successful in business. Table 11: I admire people who are successful in business I I completely I am not I I agree completely Total agree sure disagree disagree Female students 32.92 55.47 6.81 3.84 0.96 100 Male students 31.44 53.60 8.71 4.73 1.52 100 Total 32.42 54.84 7.45 4.14 1.14 100 When students were asked about their perceptions on the importance of small businesses compared to large businesses, most students (43.37%) did not think that larger business are more important in society than small businesses. A significant percentage remains unsure (37.45%) whereas approximately 20% do think that larger businesses are more important. 10
  15. 15. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 12: Large companies are more important to society than small business I completely I am not I completely I agree I disagree Total agree sure disagree Female students 6.23 10.46 38.38 36.56 8.34 100 Male students 11.74 12.31 35.61 31.63 8.71 100 Total 8.09 11.08 37.45 34.90 8.47 100 When students were asked whether they were confident to start a business and make an effort to do so, 66.49% believed that they can do so whereas 31.40% were unsure. It is interesting to note that a larger number of females were unsure (35.03%) compared to 24.24% of the males. A higher percentage of the male students asserted that they could put in the effort needed. Table 13: I am very confident that I can put the effort for starting a business I completely I am not I completely I agree I disagree Total agree sure disagree Female students 20.92 42.32 35.03 1.34 0.38 100 Male students 23.11 49.81 24.24 1.89 0.95 100 Total 21.65 44.84 31.40 1.52 0.57 100 As indicated earlier, it is clear that more efforts still have to be made to encourage female students to be confident about their ability to start their own businesses or to hold a reasonable employment. This is further proven by the fact that females come out in big numbers among people who have assisted in family businesses, they also come out more when asked if they have thought of starting their own businesses, but they lack the confidence of actually going ahead and doing that. More training and encouragement is needed to help them in making these decisions. In Table 14, more than 90% of students would be very happy to start their own business and there is no significant difference between male and female students. Very few students seemed certain that they would not want to start a business. This is promising and suggests that entrepreneurship education in senior high school will enable more students to actually start their own business later on in their life. Table 14: I would be very happy to start my own business I completely I am not I completely I agree I disagree Total agree sure disagree Female students 45.20 45.00 7.29 2.39 0.09 100 Male students 48.48 42.23 8.14 0.95 0.19 100 Total 46.30 44.07 7.58 1.91 0.13 100 Table 15 shows that the majority of students (61.65%) think that with a great idea and some capital they can start a business. Whereas this is partly true for 25.35% who were not sure about these being the only ingredients for starting a business 11
  16. 16. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 15: To create a new business nothing more is needed than money and a great idea I completely I am not I completely I agree I disagree Total agree sure disagree Female students 22.65 38.09 25.81 11.51 1.92 100 Male students 25.95 37.5 24.43 10.79 1.32 100 Total 23.75 37.90 25.35 11.27 1.72 100 It is also interesting to see that students are aware that a good business idea is important in starting a business. The majority agree that you need a great idea and money to start, while an average of 25% is not very sure. This could be because the question was asked referring to the two items; money and idea at the same time. It is possible that the percentage could have changed if the question had separated money and idea. Asked whether starting a business is a more desirable career option than other career choices, Table 16 indicates that more than 48% agreed. The males numbered slightly more than the female students. However, Table 16 also indicates that a high percentage (36.24%) remained unsure. Table 16: Starting a business is more desirable than other career options I completely I am not I completely I agree I disagree Total agree sure disagree Female students 11.71 33.87 38.38 14.68 1.34 100 Male students 15.53 39.20 32.00 12.12 1.14 100 Total 12.99 35.67 36.24 41.10 3.79 100 This is interesting because it shows that students do not take starting a business for granted. They do not think that it is an easy way out when you have nothing else to do. It is important for students to see this as a career option that they choose among others based on their commitment and abilities to start businesses. It is hoped that when they make decisions to start their own businesses, they will have looked at other available options, and made sure that the one they choose is the one that they are committed to make a success out of it. Table 17 indicates that 55.41 percent of all students felt that people are not necessarily self-employed because they cannot find a job. It is interesting to note that females students appreciated more than males on the “self-employed” doesn’t mean not being able to find a job. Table 17: Being "self-employed" means "not being able to find a job I completely I am not I completely I agree I disagree Total agree sure disagree Female students 3.26 8.83 28.59 42.71 16.60 100 Male students 7.19 13.64 31.44 34.09 13.64 100 Total 4.58 10.44 29.55 39.81 15.60 100 As indicated earlier, a decision to start a business should not be based on the fact that one cannot find a job. It should be based on the interest and commitment to 12
  17. 17. Final Report : Know about Business (KAB) Pilot Project in Indonesia doing it, and it is encouraging to see such a strong support of the idea from the students as shown above. According to Table 18 most of the students believe that their past experience will help them to start a business in the future. This seems to suggest that vocational training may benefit them while working for other people before as well as starting their own business. Table 18: My past experience will help me to start a business I completely I am not I completely I agree I disagree Total agree sure disagree Female students 34.55 52.69 11.32 1.34 0.09 100 Male students 40.34 49.81 8.14 1.70 0 100 Total 36.49 51.72 10.25 1.46 0.06 100 Majority of the students have already indicated that they have assisted family members and friends in running their own businesses. Most of them further said that they knew someone in their lives/communities who were running businesses. This experience will be very valuable when the students decide to start their own businesses. Table 19 shows that students were in some disagreement on the statement that business owners only want to make money for themselves. A significant percentage (31.98%) believe this to be the case while 29.04% were not sure. Almost half 40% students disagreed with this statement The truth is that there are many reasons why people start their own businesses. In most cases the reasons are to make money for the improvement of life and family situation, so it is not surprising that students were a bit divided on the response to this question. Majority of students believe business people are only interested in money, which in a way is true, but it is believed that a further clarification as to what money is used for would have followed had the students been asked to do so. Table 19: Most business owners are only interested in making as much money as possible for themselves I completely I am not I completely I agree I disagree Total agree sure disagree Female students 7.77 20.24 30.23 30.61 11.13 100 Male students 11.74 28.03 26.70 0.18 8.14 100 Total 9.12 22.86 29.04 28.85 10.13 100 Table 20 shows that 58.59% of all students thought that those that were able to make money when doing business should be appreciated by society, 15.59% were not sure and 25.73% thought that this did not entitle business owners to any special appreciation. 13
  18. 18. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 20: Those that make a lot of money from starting a new business should be appreciated by the society I completely I am not I completely I agree I disagree Total agree sure disagree Female students 23.51 33.01 15.83 20.44 7.20 100 Male students 21.21 41.48 15.34 18.18 3.78 100 Total 22.73 35.86 15.69 19.68 6.05 100 One of the chapters in the KAB materials talks about the contribution by the business people to their communities. It is good to see a lot of students agreeing that these efforts should be appreciated. It is hoped that this will encourage them to be part of that group of people in the near future. Table 21 shows that 39.93% of students would rather have their own business compared to pursuing another promising career, but 34.20% were not sure about this and 25.85% did not agree. Male students were slightly more inclined than the female students to have their own business. This shows that where many students would like to pursue having their own business they did not see this as the only career option i.e. if there are other promising career choices to be made. A comment on this has been made in previous discussions, and it is encouraging to see that students take starting businesses as part of the career choices, not just something to do when there is nothing else to do. Table 21: I would rather have my own business than pursue another promising career I completely I am not I completely I agree I disagree Total agree sure disagree Female students 12.86 24.37 34.55 23.61 4.61 100 Male students 16.09 29.17 33.52 17.23 3.98 100 Total 13.94 25.99 34.20 21.46 4.39 100 Table 22 indicates that the students did feel some sort of admiration for small scale business owners with 68.66% agreeing that owners of small businesses play an important role in society. Only a small percentage of students disagreed. Table 22: People that own and manage small businesses play very important roles in society I completely I am not I completely I agree I disagree Total agree sure disagree Female students 18.33 49.23 26.10 5.37 0.09 100 Male students 24.43 46.40 24.62 3.41 1.14 100 Total 20.38 48.28 25.60 4.71 1.01 100 Table 23 shows that 40.89% of the students disagreed with the statement that business owners do not care about others, i.e. their employees, whereas 29.92% agreed with this statement. 14
  19. 19. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 23: Most business owners are not much caring about others I I completely I am not I I agree completely Total agree sure disagree disagree Female students 8.64 19.09 29.56 32.34 10.36 100 Male students 9.09 25.18 28.41 27.08 10.23 100 Total 8.78 21.14 29.17 30.57 10.32 100 Over 40% of the students disagree with this statement, which means that most of them think that business people do not care about others. This could be due to the KAB training, which has opened their eyes as to how businesses are supposed to be run, and how owners should plan for everything in theoir businesses, including staff. In comparison to table 23, table 24 shows that the large majority of students (68.08%) agreed that successful business owners do care about their employees, 27.52% were unsure, and only a small percentage of 4.4% disagreed with the statement Table 24: Successful businesspeople care about their employees I Total I completely I am not I I agree completely agree sure disagree disagree Female students 29.75 35.02 31.19 3.55 0.57 100 Male students 37.5 37.12 20.45 3.60 1.33 100 Total 32.35 35.73 27.52 3.57 0.83 100 Table 25 shows that 64.32% of the students agreed that managing a business requires difficult planning and may not be easy. A large percent of 27.58% are unsure about this, but almost 10% do not think this is the case. Table 25: Starting and managing a company require a lot of difficult planning I completely I am not I completely I agree I disagree Total agree sure disagree Female students 12.96 49.33 30.61 6.14 0.96 100 Male students 18.37 50.00 21.59 8.90 1.14 100 Total 14.77 49.55 27.58 7.97 1.02 100 As indicated in Table 26, a large majority of students (79.6%) did think that small business owners are important for the economy and for employment creation. 15
  20. 20. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 26 Small business owners create employment and are therefore very important for the nation’s economy I completely I am not I completely I agree I disagree Total agree sure disagree Female students 29.27 49.95 16.89 3.17 0.67 100 Male students 34.28 46.02 15.72 3.22 0.76 100 Total 30.97 48.63 16.51 3.19 0.70 100 This realization that small business owners create employment is encouraging as it will encourage the students to feel that they are doing something important for their communities when they start businesses. It is also good that they realize that all businesses start small. The majority of students (81.27%) also believe that their skills will help them in starting a business, as shown in table 27. Table 27 Overall my skills and abilities will help me to start a business I completely I am not I completely I agree I disagree Total agree sure disagree Female students 31.19 48.46 18.90 1.34 0.09 100 Male students 34.85 49.62 13.45 1.33 0.76 100 Total 32.42 48.85 17.07 1.34 0.32 100 Students in vocational schools acquire a lot of technical skills important for starting businesses, and the information they received in KAB training continued to strengthen this confidence by giving them awareness about the importance of business management skills. Majority of students realise that it is hard work starting a business, with 87.58% of all students believing this to be true and only 12.31% either disagreeing or being unsure. Table 28 In order to make it as a business-owner manager you have to work harder than others do I completely I am not I completely I agree I disagree Total agree sure disagree Female students 38.58 49.52 9.50 2.01 0.38 100 Male students 42.61 43.94 8.52 3.98 0.95 100 Total 39.94 47.64 9.17 2.67 0.57 100 This is an encouraging response as it shows that students who decide to start their own businesses will be committed to work harder than their employees, ensuring the success of the business. As shown in Table 29, the majority of students (77.24%) either disagreed or were unsure about whether having a permanent job was better than starting their own business. However, 22.73 percent stated that they would prefer permanents jobs. 16
  21. 21. Final Report : Know about Business (KAB) Pilot Project in Indonesia Table 29 I prefer a permanent job, starting a business is not for me I completely I am not I completely I agree I disagree Total agree sure disagree Female students 8.44 12.86 37.04 34.16 6.43 100 Male students 9.66 15.91 36.17 28.78 0.19 100 Total 8.85 13.88 36.87 32.92 7.45 100 Most of the materials on starting businesses have exercises that require for people who want to start businesses to assess themselves as entrepreneurs. This is because of the realization that not everyone is an entrepreneur. It is good to see that some students, even after going through KAB’s awareness raising about entrepreneuship, still do not think starting businesses would be their option. This should not be taken as a negative response because it means that they are aware of what is involved in starting own businesses, and have decided that they would rather focus on other things. 17
  22. 22. Final Report : Know about Business (KAB) Pilot Project in Indonesia 5. Feedback from the participating schools 5.1 Students’ appreciation level toward KAB curriculum The students were asked to comment on whether the KAB learning materials were useful for them and whether they felt that they know more about entrepreneurship by the end of the course. The teachers had a scoring card along with guidelines on how to fill this card. They computed an overall appreciation level of the KAB subject on a scale from 1 to 5 (5 being the highest score). See annexes XX Out of 34 schools only 31 schools were able to fill the forms which ranked the appreciation level from the students. Students from 13 schools ranked between 3 to 4 and 4 to 4.5 and 4 schools ranked above 4.5. This means that overall appreciation towards 5 statements above were between very good and good. Table 30: Appreciation level by students 14 12 10 8 6 4 2 0 Rank below 3 Rank between 3-4 Rank between 4 - Rank above 4.5 4.5 This is a satisfactory score, seeing that students felt they had learnt more about entrepreneuship from KAB training. There are some other factors which could have contributed to the scores not being the whole 5, and these can be found from the questions asked to teachers as shown below: Along with the appreciation level by students, teachers were also asked few questions which referred to a. What were the challenges faced during the KAB Pilot Program in your school? 1. Time Constraint: Most of participating schools felt that the time allocated for KAB Pilot Program was not sufficient. While KAB requires 120 hours, the allocation time during Pilot Program was only 60 hours. In some provinces, teachers stated that Provincial Authority had different policy on the number of holidays which affected the delivery and learning process. Schools implemented Pilot Test KAB in grade 11 faced similar challenges; they could not finish Module 1-8, as students had to go on the job training for (6 months to 1 year). 18
  23. 23. Final Report : Know about Business (KAB) Pilot Project in Indonesia 2. Limited teaching visuals and KAB Learning Material Teachers felt that teaching aids and visuals were not sufficiently provided. The allocation of KAB learning material also did not match the number of students who participated in the pilot programme. 3. Issue of translation The first version of KAB was translated directly from English to Bahasa Indonesia with less time on the adaptation thereby caused some confusion. The English version was not made available at the school level which made difficult for teachers to check Indonesia and English version. 4. Monitoring and evaluation forms required additional budget The schools had to print the Monitoring and Evaluation Forms using their own budget. There was no option for them to use the funds from internal school management funds. Clear direction and letter from the Ministry of National Education was needed to re-allocate funds. 5. Limited linkage with entrepreneurs The Know About Business involves an interactive methodology such as interviewing entrepreneurs. Some schools expressed that they do not know how to get assistance from entrepreneurs. 6. Indicator competency of Know About Business Schools mentioned their challenges when it came to measuring the students’ competency at the end of the KAB course. How to measure and what indicators of student success should be used were some of these challenges. b. What were the levels of appreciation by students? Students’ appreciation on the teaching methodology was very high. This was a result of teachers using different teaching methodology as suggested in the KAB Modules such as group discussions, role play, business games, etc. In Palembang, South Sumatra, several students were being asked at the end of the KAB what they want to do after they graduated from schools. Teachers reported that before KAB, they said “ I want to work in Company A, etc” and after receiving KAB, the students said “I want to open my own business in the future” Teachers indicated by using KAB Methodology and Learning Material, students were very motivated to participate through group discussion, question and answer, observation, group home work, business simulation, etc. c. What would you recommend to make the KAB subject more appropriate for schools in Indonesia? Additional materials appropriate for students are necessary to teach KAB effectively. The KAB Learner Workbook is not sufficient for students since it only captures the student activities through homework. Therefore students need additional reading material as reference. 19
  24. 24. Final Report : Know about Business (KAB) Pilot Project in Indonesia KAB should be taught during regular teaching hours and not as an extracurricular activity since it requires 120 hours of teaching. Teachers also thought that the learning process will be much effective if 2 persons deliver KAB in classroom, one teacher can the main trainer while and the second can co-facilitate. d. Why do you think the KAB should become Learning Material for Entrepreneurship Curricula for secondary high school students in Indonesia? Teachers stated that KAB is a minimum requirement for students to be independent in facing future life, workplace and competition. According to them, KAB is basic knowledge to open the mindset of student toward entrepreneurship. The teaching methodology of KAB plays important role in making entrepreneurship fun and students interested to be active and participative. 5.1 OBSERVATION FROM FOCUS GROUP DISCUSSIONS In general teachers felt that few corrections on the translation of KAB learning material including make it into reader friendly is important. Teachers also felt that the facilitator handbook should be strengthened and make it practical especially in the mainstreaming gender in the classroom. Teachers also suggested if the MONE and ILO can develop more alternative learning sessions on entrepreneurship using student centred learning activity.3 If possible this can be supplemented by a “reader’s companion” of additional materials which should take into account the situation of most disadvantaged schools, teachers and students. With regards to teaching skills improvement, teachers felt they had a much better knowledge and skills on teaching methodology. At the beginning of the pilot teachers were not sure whether they could implement student centred learning, however with the assistance from 6 VEDCs and ILO, teachers improved their confidence and enjoy using the new teaching methodology. Most teachers felt that initial 2 weeks Training of Teachers is a good introduction but more “coaching” and “after training support” is needed to ensure that all aspects of introduction, including monitoring, evaluation and reporting are effectively contributed by teachers. The existing delivery mechanisms can be built on and new ones might need to be considered, e.g. interactive CD for self-learning, Radio and education TV, face to face refresher training, mentoring of teachers by entrepreneurs. An interactive teaching methodology that is more facilitative and motivational, for both teachers and students. Existing materials can provide supplementary information. Teachers delivering KAB can also become more entrepreneurial in both their thinking and teaching practices. In term of building the entrepreneurial culture teachers felt that KAB Modules 1 to 4 cover both the importance of entrepreneurship and the introduction of core work skills and “employability” is introduced as well. It serves as a good introduction. However, teachers suggested that when the revision of KAB will be conducted, more sessions should be added to strengthen the entrepreneurial activity and combine Module 9 (Business Plan) into Module 8 since SYB will also be introduced in the 3 It is based on Experiental Learning Cycle methods where students practice and do exercise, shares their experience in doing the exercises and summarize the findings. 20
  25. 25. Final Report : Know about Business (KAB) Pilot Project in Indonesia schools. The issue of Knowledge test to measure the improvement of knowledge – at present the pre- and post-test focuses on perceptions and attitudes whilst the knowledge test focuses on measuring understanding of the content. The missing component is on “personal traits” for self-assessment of entrepreneurial and non-entrepreneurial attitudes and aptitudes. While the impact assessment all done by MONE and ILO and left no room for teachers to do their own impact assessment and understand what it means. It is necessary to build the capacity of teachers to understand the result and use it to help students understand their own potential. With regards to the Monitoring and Evaluation system teachers felt that it needs clear articulation and step-by-step instructions for various stakeholders, e.g. MoNE M&E Unit, Provincial and District administrations, Principals, Teachers, etc. Finally the focus group discussions also suggest that it is necessary to have other key stakeholder including students themselves and parents aware of the importance of entrepreneurship education for young people in preparing them for future career. 21
  26. 26. Final Report : Know about Business (KAB) Pilot Project in Indonesia 6. CONCLUSION AND RECOMMENDATIONS: • KAB Training of Teachers, which is being initially conducted for two weeks, is a good introduction but more “coaching” and after training support is needed to ensure that all aspects of teaching methodology and knowledge on entrepreneurship can be maximized. The approach and methodology for this type of coaching and mentoring should be developed in a cost effective manner with the assumption that in-house training can not be conducted on regular basis. • Know About Business should be considered as life learning material where the objective of each topic should be followed while the suggested activities can be allowed to be flexible to be modified by teachers to be appropriate/relevant for his/her classroom. • The teachers appreciated the ILO Business Games (during the pilot programme, Start And Improve Your Business Games became part of KAB Learning Component) and it has created a lot of enthusiasm among students. However, there is need to simplify and create additional KAB Business Games by taking into consideration the cost of the games and the capacity of the schools to buy the games. In countries where KAB is being introduced without sufficient financial support from the donors, guidelines on how to administer the “Hat Making Game” has been initiated. This approach can be used by the Ministry of National Education and ILO to introduce inexpensive games without reducing the learning objectives of the games. • The importance of entrepreneurship teaching should be acknowledged in the national curriculum. Specific programmes have a legal framework. This will greatly contribute to increasing the motivation of schools and teachers to take up this type of initiatives. In this regard, the Ministry of National education should respond on the importance of legal basis for wider introduction of Know About Business in Vocational Secondary Schools in Indonesia. • The revision of KAB for Indonesian context is necessary to make KAB more appropriate with Indonesia Entrepreneurship syllabus. It is also important to customize and localize KAB using local wisdom exist at the provincial level. This local wisdom normally describes cultural and natural resources strengths which have not been optimized for the welfare of the community. The other issue is to strengthen the facilitators handbook to cover more practical approach to mainstream gender in the entrepreneurship education and develop supplementary materials for teachers consist with the collection of different modern teaching methodology and simulations. • The provision of specific training for teachers need to be greatly enhanced, as its current insufficiency creates a major obstacle to the implementation of the entrepreneurship education programmes and activities. If teachers are 22
  27. 27. Final Report : Know about Business (KAB) Pilot Project in Indonesia not adequately trained, motivated, and provided with on-going support, little progress can be achieved in this area. 23
  28. 28. This report was compiled in partnership with Ministry of National Education under the Directorate of Vocational and Secondary Education. 24

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