AN ASSESSMENT OF SKILL GAP AMONG UNIVERSITYGRADUATES FOR EMPLOYABILITY AND PERFORMANCE            IN INDUSTRIES SITUATED I...
Roadmap• Research Issue• Contribution of the study• Research Objectives• Methodology• Preliminary Findings• Conclusions• W...
Research Issue“Pakistan is ranked 92 out of 133 countries in university-industry linkages index, much lower than the ranks...
• Major cause of high rate of youth unemployment is  the lack of relevant skills.  – Young people lack specific “21st cent...
Research Objectives• Identification and ranking of skills considered important by  employers while hiring fresh graduates....
Research Contribution• Only a few recent sector specific studies estimate the skill gap  between industry demand and the q...
Methodology  Stage 1:Employers’ Survey   – Employers were asked to rank the key employability skills at     graduation lev...
Methodology                    Skill, Employability and Perception Gaps Skill Gap: Employers’ Preference Score– Employers’...
Data Analysis techniqueFactor analysis to group individual skills into small number  of interpretable factors – Analysis o...
Preliminary Findings                                   Satisfaction levels by industry and Students                       ...
Preliminary Findings                                         Factoring of Skills                                       Ski...
Gap Analysis                                Result Summary of Different Skill Gaps                             Leadership ...
Preliminary Conclusions• Employers at large are not satisfied with the skill levels  possessed by fresh graduates•    Soft...
Preliminary Conclusions• Employability gap suggests that students are more lacking in  personal characteristics and core e...
Addressing the policy gap   Future Prospects
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An Assessment of Skill Gaps Among University Graduates for Employability and Performance in Industries Situated in the Gujrat-Sialkot-Gujranwala Industrial Cluster Dr. Atif Ali Jaffri and Dr.Faisal Mehmood Mirza, University of Gujrat, Hafiz Hayat Campus

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Presented on February 9th, 2013 at the Second Research Competitive Grants Conference in Islamabad, Pakistan.

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An Assessment of Skill Gaps Among University Graduates for Employability and Performance in Industries Situated in the Gujrat-Sialkot-Gujranwala Industrial Cluster Dr. Atif Ali Jaffri and Dr.Faisal Mehmood Mirza, University of Gujrat, Hafiz Hayat Campus

  1. 1. AN ASSESSMENT OF SKILL GAP AMONG UNIVERSITYGRADUATES FOR EMPLOYABILITY AND PERFORMANCE IN INDUSTRIES SITUATED INGUJRAT- SIALKOT - GUJRANWALA INDUSTRIAL CLUSTER Interim Report Presentation at Conference by Pakistan Strategy Support Program under the initiative of Annual Research Competitive Grants Program Marriot Hotel, Islamabad Feb 09, 2013 by Dr. Faisal Mehmood Mirza and Dr. Atif Ali Jaffri Department of Economics, University of Gujrat
  2. 2. Roadmap• Research Issue• Contribution of the study• Research Objectives• Methodology• Preliminary Findings• Conclusions• Way Forward
  3. 3. Research Issue“Pakistan is ranked 92 out of 133 countries in university-industry linkages index, much lower than the ranks of Chinaand India, which are 23 and 46, respectively. Due to the weakuniversity-industry-professional nexus in Pakistan, our youthis not able to acquire the skills sought by employers. This skillmismatch is a fundamental reason our enterprises anduniversities do not compete effectively in the global markets.” NGF, Planning Commission of Pakistan
  4. 4. • Major cause of high rate of youth unemployment is the lack of relevant skills. – Young people lack specific “21st century workplace skills” such as cooperation, communication, critical thinking, creativity, and a focus on the needs of the enterprise. – Other factors responsible for youth unemployment include lack of entry level jobs, information, network and connections, and experience credentials. ILO (2012)
  5. 5. Research Objectives• Identification and ranking of skills considered important by employers while hiring fresh graduates.• Assessment of the level of satisfaction of employers with the skills of fresh graduates.• Determining the level of skill shortage among fresh graduates.• Identification of future skill requirements from job market.• Analyzing students’ perception about the required skills to get employment and ranking of their individual skills against their perceived level of skills for employability.• Communication of study findings with all stakeholders including Planning Commission, HEC, Industry, Punjab Government, and the research community.
  6. 6. Research Contribution• Only a few recent sector specific studies estimate the skill gap between industry demand and the quality of graduates• Current study has a wider horizon by estimating the skill gap across all the major industries situated in Gujrat-Sialkot- Gujranwala industrial cluster• Along with the skill gap, we also estimate graduates’ perception gap and their employability gap• To further enrich the analysis, we broaden the skill sets that many of the studies use for analyzing skill gap
  7. 7. Methodology Stage 1:Employers’ Survey – Employers were asked to rank the key employability skills at graduation level on a Likert Scale. – Employers were asked to rate their satisfaction level with the fresh graduates on each of the ranked skills. – The employers were also asked to rank the relative importance of each of the skills in future.Stage 2: Students’ Survey – Students were asked to rank their perception about the key employability skills demanded in the job market. – Students also rated their level of possessed skills against their perception of required skills in the job market.
  8. 8. Methodology Skill, Employability and Perception Gaps Skill Gap: Employers’ Preference Score– Employers’ Assesment Score Employability Gap: Students’ Perception Score – Students’ Own Assesment Score Perception Gap: Employers’ Preference Score – Students’ Perception Score Sample SelectionStraitified random sampling for the industrial and services sectors 100 respondentsPurposive sampling for universities and colleges in the region 150 respondents
  9. 9. Data Analysis techniqueFactor analysis to group individual skills into small number of interpretable factors – Analysis of correlation matrix: Bartlett’s test of Sphericity KMO test of sampling adequacy – Factor extraction method: Principal axis factoring – Factor retention method: Eigen values, Scree plot, percent of variance extracted – Rotation method: Oblique method
  10. 10. Preliminary Findings Satisfaction levels by industry and Students Student satisfaction Industry satisfaction Degree programs Curriculum 3.27 3.74 3.15 Satisfaction Levels along the scaleExtremely satisfied 5 Industry Student Student Very satisfied 4 satisfaction satisfaction satisfactionSomewhat Satisfied 3 with with degree with Not very satisfied 2 graduates program curriculum Not at all 1 Extremely satisfied 7.00 16.56 7.95 Very satisfied 32.00 47.68 26.49 Somewhat satisfied 44.00 29.80 42.38 Not very satisfied 15.00 5.30 19.21 Not at all 2.00 0.66 3.97
  11. 11. Preliminary Findings Factoring of Skills Skill groups after factor analysisLeadership skills Mean Professional skills Mean Communication Mean Core Mean Personal Mean skills employabil characteristi ity skills csEfficiency 4.27 Cooperative 4.30 T echnical skills 4.22 Motivation 4.31 Honesty 4.70 related to subjectAbility to adopt to 4.10 Ability to deal with 4.13 Verbal 4.04 Productivity 4.28 Reliability 4.56business environment pressure CommunicationDecision making 4.02 Creative skills 4.00 Written 3.94 Self 4.22 Punctuality 4.54skills communication DisciplineAbility to interpret 3.98 Enthusiastic 3.91 Reading Skills 3.93 Modesty 3.78 Hard Working 4.47business problems anddevelop appropriateAbility to plan and 3.93 Balanced attitude to 3.83 Communication in 3.56 Resourcefuln 3.77 Accuracy 4.35organize work and home life English essInitiating 3.82 Entrepreneurship 3.50 Creativity 4.00Ambitiousness 3.75 skills of humor Sense 3.45Critical thinking 3.67Average 3.94 3.87 3.94 4.07 4.44
  12. 12. Gap Analysis Result Summary of Different Skill Gaps Leadership Professional Communication Core Personal Skills Skills Skills Employability Characteristics Skill Gaps SkillsA.Employers’ Importance 3.94 3.87 3.94 4.07 4.44B. Employers’ Satisfaction 3.27 3.42 3.47 3.37 3.61C. Students Perception 4.08 4.06 4.04 4.01 4.35D. Students ownassessment 3.89 3.95 3.89 3.94 4.09E. Students’ Future skills 4.15 4.15 4.24 4.22 4.5Skill Gaps (A-B) 0.67 0.45 0.47 0.7 0.83Perception Gap(A-C) -0.14 -0.18 -0.12 0.07 0.09Employability Gap(C-D) 0.18 0.17 0.15 0.21 0.26Future skill Gap( E-A) 0.21 0.28 0.3 0.14 0.07
  13. 13. Preliminary Conclusions• Employers at large are not satisfied with the skill levels possessed by fresh graduates• Soft skills are considered more important than professional skills• Skill gap is maximum in the case of personal characteristics while professional skills exhibits minimum of the gap• Perception gap indicates that the expectations of students regarding important skills for employability are in line with the demands of the industry
  14. 14. Preliminary Conclusions• Employability gap suggests that students are more lacking in personal characteristics and core employability skills than professional and leadership skills• Future skill gap suggests that students will need to focus more on communication and professional skills relative to core employability and leadership skills for securing employment in the job market
  15. 15. Addressing the policy gap Future Prospects
  16. 16. Thank You

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