Skill Development & Higher Education Report - Yes Bank · 02 Skill Development and Higher Education...

Skill Development andHigher Education in India

Knowledge Partner

YEAR February, 2014

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The Associated Chambers of Commerce and Industry of India

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Tel : +91 11 4655 0555Fax : +91 11 2301 7008/9Email : [email protected] : www.assocham.org

TITLE Skill Development and Higher Education in India

AUTHORS Public & Social Policies Management Group (PSPM), YES BANK

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CONTRIBUTORS National Skill Development Corporation (NSDC)

Delivering quality education is critical for holistic development of a Nation and is a key enabler for ensuring

inclusive and sustainable development. Expanding access to higher education, skill development and vocational

training enhances a Nation's competitiveness in the global economy and propels socio-economic development.

India has the world's third largest education system with the education market valued at USD 80 bn. With more

than 50% of India's population below the age of 25 years, it is imperative to focus on the youth of the country

and provide a suitable impetus to reap the demographic dividend.

th The Government has increased allocation for the sector to USD 66 bn in the 12 Five Year Plan and the

'Education for All' program has achieved significant milestones in extending education to even the remotest

villages, thereby significantly improving the literacy ratio. Private investment has also seen an upward trend with

FDI of USD 740.35 mn during April 2000 to September 2013, according to the Department of Industrial Policy &

Promotion (DIPP).

Despite a positive tide being witnessed, the sector faces a greater challenge of providing equal opportunities for

higher education and addressing sectoral and social imbalances. To match global excellence standards, it is

imperative to provide quality infrastructure and facilities as well as a robust curriculum by increasing investment

in R&D and pursuing greater international linkages and collaborations. India's higher education system is large

and complex, with 574 universities and almost 36,000 affiliated colleges having an enrolment of over 20 mn

students. Despite such large numbers, NASSCOM's report on Education and Employability highlighted low

employability of existing talent, with only 10-15% employable graduates in business services and 26%

employable engineers in technology services. To bridge these skill gaps and also promote entrepreneurship,

academia-industry tie ups need to be strengthened, along with policy reforms to improve faculty training,

encourage research and integrate changing global perspectives into academic courses. The academia also needs

to transform from pure learning institutions to centers of growth through partnerships with community, industry

and economy.

I am pleased to present this joint Knowledge Report titled 'Skill Development and Higher Education in India' by

ASSOCHAM and YES BANK, supported by NSDC, that provides a comprehensive framework for higher

education and skill development to build a truly world-class education system for India.

I am confident that the contents of this knowledge report will provide important insights to policy makers in

achieving Economic Security for India.

FOREWORD

Thank you.

Sincerely,

Rana Kapoor

President, ASSOCHAM

Managing Director and CEO

Education is of utmost importance for our youth given the fact that India has more than 50% of its population

below the age of 25 and more than 65% below the age of 35. It is expected that, in 2020, the average age of an

Indian will be 29 years, compared to 37 for China and 48 for Japan; and, by 2030, India's dependency ratio

should be just over 0.4. As the future of the country belongs to our youth, it is imperative that the stakeholders

should come together for deliberation on the way forward. Bridging the gap between education and

employability through skill development needs strategic and institutional planning.

ASSOCHAM is proud to present the National Education Summit and Awards 2014 on the most important

subject and hopes that the Conference creates a suitable platform for further deliberation. I am happy to

welcome the partners who have joined hands with the Chamber to make this endeavour successful. The

Knowledge Report titled “Skill Development and Higher Education in India” partnered by NSDC and YES BANK

has attempted to discuss the current scenario in education and skill development in India. ASSOCHAM sincerely

hopes that the publication can provide the basis for discussion.

MESSAGE

Thank you.

Sincerely,

D.S. Rawat

Secretary General

MESSAGE

Dilip Chenoy

CEO, National Skill Development Corporation (NSDC)

Education, Skills and employability are of paramount importance in today's context. The NationalSkill

Development Corporation is addressing the issue of skills through a focused approach in terms of creating

capacity and outcome driven workforce development through Sector Skill Councils. Human capital needs in all

20 high growth sectors identified by the planning commission such as automotive, tourism, security, retail,

media and entertainment, IT&ITeS, healthcare, constructionare being targeted but the task is challenging and

innovative and disruptive solutions are needed . India's demographicsoffera huge opportunity to utilize the

potential of Indian youth and the government and the private sector are working in tandem to ensure the same.

NSDC is working with the government to address critical ecosystem needs such as the Qualification

Framework. The National Skills Qualification Framework which was approved by the Cabinet in December 2013

will allow pathways and equivalence for both academic and vocational streams. NSDC is also working with state

governments to introduce vocational education in schools.

It is important that corporate houses, private institutes, state governments and non-government organizations

join hands to comprehensively address the skill gap issueand create an enabling ecosystem for skill

development and employability. NSDC has sector specific skill gap studies as well as disaggregatedreports in

form of state skill gap reportswhich is aimed to help all interested to serve this space to understand status and

needs across industry and geographies.

NSDC is happy to partner ASSOCHAM in its endeavour to provide a discussion platform among stakeholders.

Education and skill is not only about numbers but also quality. All education and training initiatives are moving

from a knowledge based regime to an outcome based one. The need is for diverse partners to collaborate and

strategize on the way forward in education and skill development to create shared value. Several countries have

well developed TVET systems and their experience in aligning academics and VET to meet the needs of the

labor market is greatly valued. Cooperation with international organizations and effectively adapting and adopting

best practices is in India's best interest. I am sure the knowledge publication by YES BANK and ASSOCHAM will

provide reference for effective discussions during deliberations.

I look forward to the participation of industry leaders in promoting education and skill development more

proactively to transform the lives of youth across the country.

Regards

1. Education Scenario in India 01

2. Skill Development 11

3. Delivering Education 19

4. Reforms in Higher Education 27

5. Conclusion: Education Catalyzing Equitable Growth 33

1.1 Education: A Catalyst for Social and Economic Development 03

1.2 Access and Equity 05

1.3 Quality of Education and Trainers 08

2.1 Enhancing Employment Potential 12

2.2 Framework for Skill Development 15

3.1 Right to Education 21

3.2 Distant Learning 23

3.3 Paving way for E-Learning / Cloud University 24

3.4 International Engagements in Education and Skills 25

4.1 Financing Infrastructure 29

4.2 Academic Restructuring 29

4.3 Governance and Regulatory Reforms 31

CONTENTS

Education Scenario in India1

Skill Development and Higher Education in India02

Ministry of Human Resource DevelopmentMinistry of Labour and Employment,

and other ministries agencies of Government of India

Education Skill Development Vocational Training

PrimaryEducation

SecondaryEducation

HigherSecondaryEducation

HigherEducation

ITI/ITCsOther Vocational

TrainingModular/Short-term

State Government and their agencies

The importance of education in stimulating social and economic development has always

been central to Government interests. Education positively influences various facets of

growth and development such as poverty reduction, health, gender equality among others.

The Government has made significant progress with respect to primary education

attendance rates and literacy penetration has increased to nearly one third of the entire

population in India. In 2012, 96.5% of all rural children aged 6-14 and 83% of all rural

children aged 15-16 were enrolled in school. As per current estimates, nearly 80% of all 1schools in India are Government schools . In cities, more than 50% of the children were

enrolled in private schools whereas the share of rural children enrolled in private schools

was nearly 20% in 2004-05. As per the 2011 census, there is still a vast disparity between

States in terms of their literacy rates. Kerala had a literacy rate of 93.9%, while the literacy

rate of Bihar stood at 63.8% in 2011.

Education Scenario in IndiaChapter1

Figure 1: Structure of Education and Skill Development in India

Source: Human Resource and Skill Development in the Education and Skill Development Services Sector, NSDC

1 Annual Status of Education Report 2012


1.1 Education: A Catalyst for Social and Economic Development

Education is a key enabler towards driving the agenda of inclusive and sustainable

development. Stepping forward and expanding access to higher education and vocational

training can enhance India's competitiveness in the global economy, thereby reinforcing the

social and economic development of the country. Even if we look at the business aspect of

education, the Indian market stands at USD 80 billion, and is the third largest education

system in the world.

üThe Right of Children to Free and Compulsory Education Act was enforced in April

2010. This had farfetched implications on the Sarva Shiksha Abhiyan programme,

one of the largest programmes in the world launched with the aim of

universalization of elementary education in India.

Figure 2: Elementary Education (Class I – VIII) – Statistical Overview

Source: Annual Report, 2012-13, Ministry of Human Resource Development, Government of India

Year

2006-07

2007-08

2008-09

2009-10

2010-11

Enrollment (in lakh)

1881

1927

1899

1951

1974

Gross Enrollment Ratio (in %)

97.1

100.3

99.8

102.5

104.3

Drop Out Rate (in %)

45.9

42.7

42.3

42.4

40.6

üIndian higher education system is a large and complex system with 574 universities

and more than 35,539 affiliated colleges enrolling more than 2 crore students.

Figure 3: Higher Education System - Statistical Overview

Year

Universities

Colleges

AICTE approved Technical Institutions

Distance Teaching Universities /Institutions

Enrollment in the Universities and Colleges (in lakh)

Enrollment in Open Distance Learning (ODL) System (in lakh)

Enrollment in Post School Diploma/PG Diploma (in lakh)

Intake in AICTE approved Technical Programmes (in lakh)

2011-12

574

35539

1350

200

203.27

38.56

23.02

30.1

Source: Annual Report, 2012-13, Ministry of Human Resource Development, Government of India


üGross Enrollment Ratio (GER)

measuring access to higher 2

education for the year 2011-12 is

at 18.8%.

thüThe Planning Commission (12

plan) aims at raising the Gross

Enrollment Ratio (GER) in Higher

Education to 20% by 2017 and

25% by 2022. The XII Plans aims

an additional enrollment of 10

mill ion in higher education

equivalent to 3 million additional

seats for each age cohort

entering the higher system.

üThe figure below gives an inter-

country analysis of the Gross Enrollment Ratio. Strikingly, India's GER not only lags

behind developed countries such as US, Japan and Australia but also developing

countries such as China, Brazil, and Malaysia.

2 GER measures the access level by taking the ratio of persons in all age group enrolled in various programmes to

total population in age group of 18 to 23

Figure 4: Gross enrollment Ratio (GER)

in Higher Education

Source: Annual Report, 2012-13, Ministry of Human

Resource Development, Government of India

20

18

16

14

12

10

8

6

4

2

02005-06 2006-07 2007-08 2008-09 2009-10 2010-11

11.6112.39

13.113.7

15.0

18.8

Figure 5: Country-wise GER and GDP per capita comparison

Source: EandY Report Higher Education in India: Twelfth Five Year Plan (2012–2017) and beyond

USADeveloped nations

Switzerland

JapanFrance

SwedenUK

Spain

Republic of Korea

Russia

120

80

GE

R,

201

0

40

Philippines

ChinaIndonesia

India

Brazil

Saudi Arabia

Malaysia

Developing nations

Australia Denmark

0

0

20,000 40,000 60,000 80,000

GDP per capita (Current USD), 2010


The higher education system has

been witnessing healthy growth

over the last decade. Nearly

1 ,211 new co l leges were

established during 2010-2011,

thus taking the total number of

colleges to 33,023 in 2010-2011

as against 31,812 colleges in

2009-2010, reg is ter ing an

increase of approximately 4%.

Despite the increase in the

number of higher education

centers, it does not imply that

the ent i re populat ion has

equitable access to education

infrastructure or quality trainers.

To improve enrollment, entree

and job worthiness through

higher education, India needs to focus on the following:

üPolicy changes in favour of improving the education system in India

üAdopting innovative techniques for imparting education through e-learning and

distant education

üAddressing the requirement of the less privileged class through proper training and

skill development

In terms of GER, India lags behind

as compared to other countries.

Within the country there is wide

disparity in the GER of higher

education across States, gender

(17.1 for males and only 12.7 for

females), regions - urban and rural

areas, and communities (GER for

SCs and STs were 11.1 and 10.3,

respectively).

1.2 Access and Equity

35000

30000

25000

20000

15000

10000

5000

0

No

. o

f C

oll

eg

es

No

. of U

niv

ersitie

s

700

600

500

400

300

200

100

01950-51 1960-61 1970-71 1980-81 1990-91 2000-01 2010-11 Dec, 2011

Years

No. of Universities No. of Colleges

33023

3055

103133

190

256

634

564

12806

7346

47223604

1542695

Figure 6: Number of Colleges and Universities

Source: MHRD / UGC

100%

60%

80%

40%

20%

0

Russian

Federation

OECD Brazil China Indonesia India

Source: Annual Report, 2012-13, Ministry of Human

Resource Development, Government of India

Figure 7: Enrollment of students in higher

education institutes


State Distribution

As far as the number of universities and affiliated colleges are concerned, there is an

uneven distribution of universities amongst States with Tamil Nadu (2,234), Uttar Pradesh

(3,786), Rajasthan (2,289) Andhra Pradesh (3,777), Maharashtra (4,249), Karnataka (2,907),

Gujarat (1,736), have major concentration.

Source: UGC, Higher Education at a Glance

Figure 8: State wise Number of Universities / University Level Institutions in the

Country (December, 2011)

Despite a considerable rise in higher

education, a State wise disparity in the

distribution of colleges has been

observed. A majority of colleges are

situated in southern India which

accounts for nearly 33% of all colleges

in the country. On the basis of this data,

22% of the colleges are located in the

central region, 19% in the western

region, 11.5% in the eastern region and

10.5% in the northern region.

46

3

10

21

15

25

36

2218

11 12

42

19

28

44

3

9

3 4

1917

48

59 58

19

26

3 4

Andhra

Pra

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Ass

am

Bih

ar

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ashm

ir

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Kar

nat

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Kera

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Mah

aras

htr

a

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ipur

Meghal

aya

Miz

ora

m

Nag

alan

d

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sa

Punja

b

Raj

asth

an

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kim

Tam

il N

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West

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err

y

0

10

20

30

40

50

60

Num

ber

States / UT's

Region

Southern

Central

Western

Eastern

Northern

Percentage

of Colleges

33

22

19

11.5

10.5

Population in

the age group

18-23 (in crore)

2.90

4.70

4.26

3.56

–

North-East 3.5 0.60

Figure 9: Regional Distribution of

Colleges in India



Skilled workforce provides the backbone for economic development. Ensuring equitable

access to higher education is imperative to infuse balanced development across the

landscape of the country.

üDecentralization of universities is important to improve access to education.

üDevelopment of supporting infrastructure to improve the outreach of quality

education should be facilitated through appropriate mapping, policy and budgetary

support.

Figure 10: State wise Number of Colleges 2010-11*


0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

16

507 653

641

54

1836

902

344

328

231

3078

1063

2236

4631

76 64

28

55

110

0852

2412

2267

3859

360

942

6 25

3 4

243

1 86

Andhra

Pra

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hal

Pra

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Ass

am

Bih

arC

hat

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h

Goa

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achal

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ashm

ir

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dK

arnat

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la

Mad

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Pra

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ur

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aya

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agal

and

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dW

est

Bengal

A &

N I

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shdw

eep

Dam

an &

Diu

Delh

iD

& N

hav

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err

y

*Provisional States/UT's

The table above covers public, aided and private unaided colleges. Evidently a skewed

distribution of the number of institutions of higher education in India is observed across all

states. Moreover, a skewed growth has also been observed in professional disciplines in

comparison to basic sciences, social sciences and humanities. In addition to this disparity,

efforts made towards expanding higher education have majorly been concentrated towards

the private sector lending to non-affordability of higher education by greater share of the

society. This has therefore made higher education an enterprise rather than medium

serving long term social and economic good.


üInfrastructure provisions and supporting infrastructure such as facilities for hostel

accommodation, infrastructure to enable learning through ICT etc. provides a

conducive environment for promoting higher education and research and

development.

India has been moving towards ‘Education for All’ and has achieved considerable success in

extending education to even the remotest villages in the Country. Despite this success, the

quality of education still remains a major concern. Some key observations concerning the

quality of education in India are:

üOnly 20% of graduates are found employable by the industry and this is more so in

professional education like Engineering. Reports and survey indicate that students

qualifying from higher education institutes lack skills required by the industry. This is

primarily because academia curriculum is mostly not in line with the skill

requirements of industries. To bridge skill gaps, academia should tie up with

industries to help design curriculums in line with their requirements.

üIndia has one of the highest students–teacher ratio as indicated in the figure. The

ratio stood at 26 which is comparatively high compared to 16 for BRIC and 15.3 for

developed economies.

üNational Assessment and Accreditation Council (NAAC) had rated 62% of the

universities and 90% of the colleges as average (B) or below average (C)

üIt was found that only 25% of the students in grade V were able to solve basic

arithmetic calculations and most students were found to be three grades below the

level they were actually in.

üIn 2010, 46.3% of all 5th

grade children couldn’t

read a 2nd grade level text.

This proportion increased

to 51.8% in 2011 and

53.2% in 2012. A state

wise disparity has also

been witnessed in terms

of the quality of education.

The major decl ine in

reading levels was mainly

identified in the states of

Bihar, Madhya Pradesh,

Maharashtra, Kerala and

Haryana.

1.3 Quality of Education and Trainers

Figure 11: Skill required for trainers

'Hard' teaching

skills (Subject

Specific)

'Soft' Skills

Aptitude and

attitude for

training

Awareness of

'Principles of

Teaching'

Industry

Experience


üSome of the major reasons attributing to the decline in quality of education have

been the increasing use of single classrooms for teaching children in more than one

grade and decline in attendance rates of teachers and students in rural areas.

üEvidently greater emphasis is being laid on increasing literacy rates over quality of

education. It is essential to ensure the quality of expansion along with increase in th

enrollment. The 12 Five Year Plan addresses this problem and focuses on improving

the quality of education.

üFaculty Re-Charge Scheme, aims to strengthen high quality research in science

related disciplines and encourage innovative teaching through introduction of new

talent across all levels of academic hierarchy.

üScheme for Enhancing Faculty Resources of Universities is responsible for tapping

intellectual and scholarly resources available outside the university and college

mainstream in the public and private sector organizations.

Figure 12: Student Teacher Ratio (in %) Figure 13: NAAC Accreditation (in %)

26

16 15.3

India BRICaverage

Developed economiesaverage

38.4

57.9

3.810.1

68.0

21.9

Universities

A (A++, A+ and A) B (B++, B+ and B) C (C++, C+ and C)

Colleges

To ensure quality of education in India, the

following steps must be adopted -

üD i a l o g u e a n d c o o p e r a t i o n o f

professionals and experts from outside

the university-and-college mainstream.

üEnsure interface with Industry by inviting

professionals to advice on the courses

structures and provide course materials

that include with practical experience.

Figure 14: U21 Ranking of Higher Education Systems

100

77.8

76.8

48.3

47.2

34.4

Australia

United States

UK

China

Brazil

India

Source: EY Report: Higher Education in India: Twelfth Five Year Plan (2012–2017) and beyond

Source: EY Report Higher Education in India:Twelfth Five Year Plan (2012–2017) and beyond

Skill Development 2


Instilling the right skills and knowledge base can form the building blocks of our economy,

taking growth to a new high. With 672 million people out of 1.1 billion in the working age

group of 15 to 59 years, it is imperative to focus on the youth of the country and provide

suitable impetus to reap the demographic dividend. There is a pressing need to address the

problems associated with skill development in India, given the trends of the rising youth

unemployment in the country. India's demographic asset if equipped with appropriate skills,

can effectively contribute to the development of the country.

Skill Development Chapter2

Figure 15: India- State by literacy 2001-2011

2.1 Enhancing Employment Potential

The higher education system in India is in a transition stage. Various initiatives

transformations have taken place and proposed to keep pace with the growing industry

demands and global positioning of Indian economy.

r

Biha

Rajast

han

n

aP

de

Adhr

ra

sh

Utt

rar

Pad

esh

C

thga

hatis

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Oiss

a

Meg

halay

a

Har

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We

eg

st B

nal

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khnda

Nag

alan

d

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Ha

hP

e

imc

al ra

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Kerala

Tru

aip

r

0102030405060708090

100

2001 (in%)

2011 (in%)

Source : Census 2001 and Census 2011

(in P

erc

enta

ge)


thThe 11 Five Year Plan focused on developing a comprehensive National Skill Development

Mission, with the establishment of a three-tier institutional structure comprising of Prime

Minister's National Council; National Skill Development Mission Coordination Board

(NSDCB); National Skill Development Corporation (NSDC). The PM's National Council

delineates the policy advice and aims to create nearly 50 crore skilled people by 2022

through skill systems that demand a high degree of inclusivity. NSDCB is responsible for

coordinating the efforts of Central Ministries/Department of States while NSDC has

adopted comprehensive action plans that would encourage the adoption of PPP models of

financing skill development.

th Higher education reforms under the 11 Five Year Plan saw a nine-fold growth in

Government spend on higher education in India, based on recommendations of the

National Knowledge Commission (NKC) report (2009). However, improvements in terms of

quality of higher education delivery have been in significant. The issues of skills shortages,

and unemployable graduates still prevails at large.

As a result of the initiatives, there has been tremendous growth in the number of higher

education institutions and enrollment rates. However, the problem of inequitable access to

higher education across the Indian geography along with shortage of competent faculty,

deficient infrastructure and inadequate research persists.

Employability is a very important aspect of the higher education system. The need of the

hour is to take serious consideration of the career paths to inculcate the requisite skills

such as analytical thinking, communication skills, presentation skills, working in teams and

information technology. Various recommendations from the NKC Report also point in the

same direction:

üLack of command over spoken and written English which is the primary medium of

teaching in all higher education courses.

üLibraries and portals for access to information, books, multi-lingual translations of

major works in all spheres

The report has recommended to:

üSet up 50 national universities

üIncrease focus on research across streams and on Math and Science.

üDevelop distance education as a methodology and also create open content for

education

In the current scenario, employers look at academics not only as achievements, but also for

three key types of skills: cognitive, non-cognitive, and technical skills. Cognitive skills

include critical thinking and basic functions like literacy and numeracy. Non-cognitive skills


or behavioural skills include interpersonal communication skills, while technical skills are

usually geared towards a specific occupation. While technical and basic cognitive skills are

still important in workplaces, transferrable and non-cognitive skills such as communication,

problem-solving, punctuality, and flexibility are increasingly important, particularly for the

informal economy.

Crucial non-cognitive skills are not being acquired by students in the present academic

setting. Although the curriculum is getting reviewed to better promote skills such as

teamwork and communication, actual teaching and learning have not kept pace. Teachers

are often not appropriately trained to impart these new skills, and still take a “direct

transmission” view of teaching, where rote-learning is common and teaching is geared only

towards the national examinations, which are themselves mainly geared towards selection

for further admissions.

Qualitative capacity building being need of the hour, enrollment ratios also need to increase

manifold to match international standards. The pedagogy, regulations, evaluation criteria,

curricula and infrastructure needs to be revamped. The focus needs to shift to innovative

curriculum that trains the students not just to deal with a technical situation but also to

inculcate behavioral traits that enable them to become a better contributor to the industry.

Degree courses account for bulk of the enrollment over diploma courses

• Enrollment in Degree Courses -

üUndergraduate Degree- 16.2 million

üPostgraduate Degree – 2.2 million

üPhD Degree – 0.1 million

• Enrollment in Diploma Course – 3.3 million

Enrollment in professional courses has also increased in the last five years. Professional

courses account for significant enrollment, the fee for such courses is significantly higher

than general courses (upwards of 10 times), resulting in majority expend towards such

courses.

To empower the working population, it is essential to restructure academic courses to

ensure their relevance in the industry. It is also essential to form effective linkages with

employers, external advisory resource support, trainers and courses to encourage

innovation and absorption into the work-force. Research to formulate suitable skill

development framework should be undertaken to ensure employability of the learners.


Along with reforms in the course structure, it is important to provide necessary supporting

infrastructure to ensure efficient delivery of the envisioned education system.

Education is the key to human resource development and a vehicle for economic growth of

a country. But without a support skill for employment or vocational work, the appropriate

utility of education cannot be done. Employers are increasingly finding it difficult to find

employable youths, even though there are enough educated unemployed

2.2 Framework for Skill Development

Figure 16: Annual Growth Rate of Enrollment (million) 2007-12

CAG

.6R

5%

14.3

10.9

7.1

2.8

CAG

R 20.

6%

General courses Professional courses

Annual growth rate of enrollment (million) 2007-12

*Excludes enrollment 'other'courses

2007 2012

Figure 17: Level wise Student Enrollment Figure 18: Faculty wise Student Enrollment

Graduate 64%

PostGraduate

27%

Research 5%

Diploma/Certification

4%

4%1%

0%2% 1%

Arts

Science

Commerce/Management

Education

Engineering/Technology

Medicine

Agriculture

Veterinary Science

Law

Others

36%

19%

17%

3%

17%

Level-wise Student Enrollment : University Teaching

Department / University College 2010-11

Faculty -wise student Enrollment :

Universities and Colleges: 2010-11




Currently, there exists a three tier institutional mechanism framework in the country with

the Cabinet Committee on Skills at the apex with the National skills Development Agency

mandated to oversee and co-ordinate the efforts of various Government initiatives and the

National Skill Development Corporation.

Figure 19: Skill Development

Skill development

OptimizingResources Increased

Productivity

EconomicGrowth

• Increasing income• Improving employability

• Increasing investment• Entrepreneurship

Involvement of private and setting up of Public Private Partnerships in skill development

was aimed to lower the burden on the exchequer and also develop financially viable and

self-sustainable models to be taken up for standalone skill development as a focus area for

an organization. The NSDC Board till date has approved more than 100 large scale,

sustainable, outcome driven projects from various private sector players across all sectors

with high projected demand for manpower. As on date more than 2000 NSDC Training

Partner centers are available in over 350 districts of the country.

The influx of private players into higher education and vocational educational sectors has

not just shown that the education industry is financially viable, but has also brought the

focus on how high quality and standards which can be maintained without much

intervention from various state agencies.

Several special initiatives are also being implemented by NSDC such as the STAR scheme

which is a monetary reward scheme for youth who successfully complete a standards

based training course with third party industry certification. The UDAAN program which is

Special Industry initiative for graduates and postgraduate youth of JandK is targeted to train

40,000 in next five years. More than 40 large corporates have taken the lead to train these

youth and link them to jobs

The Cabinet also approved the National Skills Qualification Framework on December 19,

2013 wherein there would be a 10 level architecture catering both to academic and

vocational streams. Since the available career and academic pathways for vocational

streams is limited, the importance of this framework cannot be overstated as it will allow

every qualification to be mapped to a given level in the framework and will allow

equivalence and enable pathways for vertical and horizontal mobility.


As part of the framework, there is a requirement to understand the skill sets that are

required by various industries among their workforce and a setup to follow and create a

curriculum that can inculcate the same in the students and existing and future employees

of these industries. Also the same needs to be constantly upgraded to meet the changing

requirements of the industry with the advent of new technologies. With the involvement of

the industry, the process for skill development can take place at an accelerated pace and

towards this end Sector Skill Councils which have been set up. As industry led bodies,

SSCs are mandated to analyze the job roles in demand sector wise and develop occupation

standards and qualification packs for each job role. This creates the base for aligning all

curriculum and content to be aligned to defined job roles with uniform standards. This

enables a move from knowledge led to an outcome or demand driven skills training regime

for the country.

Vocational training which was largely Government-led till recently today has several large

private sector players who have set up training capacity across the country. The capacity

created caters both to fee based employment linked training as well as different State and

Central Government skill schemes.

Figure 20: Vocational Training Infrastructure in India

Type of Source Institute

Mainstream education System Centrally Sponsored Scheme of Vocationalisation of Secondary

Education run by the Ministry of Human Resource Development

Training institutions outside the

school and university systems

Industrial Training Institutes (ITIs) and Industrial Training

Centres(ITCs)

Diploma level Polytechnics

Source: Website of Ministry of HRD Ministry of Labour & Employment

The Vocational training initiatives cater to a wide variety of job roles across sectors and

cater to all segments ranging from school drop outs to graduates.

As per the NSDC report on Human Resource and Skill Requirements, the demand for

vocationally skilled persons (in addition to Industrial Training Institutes (ITI) /Industrial

Training Centres (ITC) qualified persons) is anywhere between 25% and 85% of the

workforce depending on the nature of the industry.

Vocational training institutes can also enhance the marginalized population's income earning

capacity, only if the awareness among the employers can be built up between certified

workers and unorganized employment. The need for a standardized certificate is the biggest

need of the hour in vocational education


It is expected that the requirement for such Vocationally Trained human resource (with skills

acquired over a short timeframe and are modular/job oriented, over and above that of

ITI/ITC) would be over 112 million persons between 2008 and 2022, i.e., over 8 million

persons annually.

The relative proportion of this requirement is spread across key industries such as textiles,

electronics and hardware, organized retail, leather, gems and jewelry, building construction,

auto and auto components, furnishing, food processing, chemical and pharmaceuticals,

transportation and logistics. This would further fuel the demand for trained

teachers/trainers.

The Ministry of Labour and Employment and Ministry of HRD play a key role in expanding

capacity of institutions (Government and private), polytechnics and community colleges

across the country. Modular Employment Scheme (MES) under the DGET provides a wide

range of short term courses in the vocational stream. Similarly, the National Council for

Vocational Training (NCVT) and State Council for Vocational Training SCVT course options are

also available.

The Ministry of HRD is also actively promoting Vocational Education in schools. Pilots have

been launched in states like Haryana and Himachal Pradesh in conjunction with select

Sector Skill Councils. These courses would be available from Class IX to XII.

The coordinated efforts of the Government and private sector to provide training to all

segments of society while addressing the underlying need for standards and Quality

Assurance and helping build the eco system through a Qualifications Framework, Labour

Market Information System etc is expected to go a long way in addressing needs of the

economy and larger social issue of empowering youth through skills

In light of market demands, the current focus of skill development has shifted to the learner

and his/her requirement and expectations from vocational education and training.

Evolving a framework for organizing qualification according to series of level of knowledge

along with competency based skill framework has been undertaken under the National

Vocational Educational Qualification Framework (NVEQF) pilot, which will help link various

levels of learning and provide comprehensive information on possible pathways for a leaner

to progress in the education system. According to the estimates of MHRD, new entrant to

workforce every year is 12.8 million of which existing skill development capacity is only for

3.1 million people.

Delivering Education3


In the recent years, emphasis has been laid on widening the reach of educational

institutions to the masses. India has made remarkable progress in increasing the

attendance and participation rates in primary education and expanding literacy to almost

three quarters of the population. Distant learning and e-learning have also considerably

contributed towards the number of students enrolled in higher education.

Delivering EducationChapter3

Figure 21: Percentage of rural elementary schools (primary and upper primary) with

inadequate number of classrooms, 2008–09 (in %)

State

Andhra Pradesh

Assam

Chhattisgarh

Gujarat*

Himachal Pradesh

Jharkhand

Kerala*

Maharashtra*

Meghalaya*

Nagaland

Arunachal Pradesh

Bihar

Goa

Haryana

Jammu and Kashmir

Karnataka

Madhya Pradesh

Manipur

Mizoram*

No classroom

4.34

0.03

4.06

0.95

0.00

21.90

0.67

3.64

4.28

0.00

2.68

21.86

0.54

0.77

1.86

0.24

1.05

1.56

0.80

Single classroom

27.21

49.03

3.20

2.72

5.82

1.29

1.07

6.75

24.85

0.18

34.98

5.28

18.00

1.50

17.93

9.08

3.68

1.56

2.34

Less than four classrooms

64.03

81.27

78.37

42.93

65.33

72.59

5.82

52.49

78.15

2.50

67.38

66.92

65.85

33.18

66.19

51.80

70.48

39.99

39.15


3.1 Right to Education

Over the last decade, the Indian education system achieved significant success. India is

now one of the few countries in the world to ensure the provision of child centered, child

friendly education to help them derive their maximum potential. The Right to Education Act

came into effect in April 2010 with the aim to provide free and compulsory education to all

children in the age group of 6-14 years as a Fundamental Right. The Act provides for the

following:

üRight of children to free and compulsory education till the completion of elementary

school.

üIt makes provisions for a non-admitted child to be admitted in an age appropriate

class

üIt mentions duties and responsibilities of appropriate Governments, local authorities

and parents in providing free and compulsory education and outlines the share of

financial and other responsibilities between the State and Central Governments.

üIt lays down the norms and standards relating inter alia to Pupil Teacher Ratios,

infrastructure, school-working days; teacher-working hours.

üIt provides for the appointment of well trained teachers with requisite entry and

academic qualifications.

üIt also provides for an all round development approach in building the child's talent,

knowledge and potential.

State

Orissa*

Rajasthan

Tamil Nadu

Uttar Pradesh

West Bengal

Punjab

Sikkim

Tripura

Uttarakhand

India#

No classroom

5.64

2.21

0.00

0.92

11.82

1.54

1.19

0.05

2.24

4.31

Single classroom

5.06

3.21

0.00

0.29

5.75

2.97

1.37

0.66

1.92

8.43

Less than four classrooms

59.60

50.96

38.60

40.02

54.39

50.61

19.52

22.48

72.24

57.07

Source: NUEPA (2010) Elementary Education in India


The Right to Education Act does have ambitious goals, but there are major flaws evident as

well. The schedule of the act lays down discriminatory and inferior infrastructural and

teacher-associated standards and norms. If we go by the current rate, two-thirds of primary

schools will be left without a separate teacher or classroom for each class. Nearly three-

fourth of the primary schools and more than half of the upper primary schools would not

have a headmaster. This would imply that a single teacher would be teaching children in

more than one grade simultaneously while managing administrative responsibilities also.

This is believed to remain a normal feature in all government schools as long as the RTE Act

continues to prevail, due to sheer manpower problem coupled with government's inability

to pay. The government therefore needs to ensure greater investment for educational

infrastructure and well qualified teachers with requisite skills. Moreover, training local

communities to educate rural children can be undertaken to encourage a more inclusive

approach towards expanding education.

In addition to these flaws, the Act's Section 27 permits the administration to involve the

teachers in a number of non-teaching tasks like census, election duties and disaster-related

duties. Also, the Act provides for the recruitment of only contract teachers which denies

them of dignified salaries and social security. This is expected to have detrimental

implications on the quality of education imparted. Moreover, the no-fail policy for students

upto class eight further reduces the competitiveness of the students leading to an overall

deterioration of quality of education. Government efforts need to be directed towards

attracting well qualified teachers and adopting suitable policies that encourage student

teacher interaction and also improve the quality and teaching environment.

Figure 22: Male Female Gap in Literacy Rates

M

halay

eg

a

izor

M

am

Tri

ura

p kSi kim

Assam

Tam

il Nad

u

Aruna

chal P

rade

sh

Mah

aras

htra

Andhr

a Pra

dehs

INDIA

Odiss

a

Ut ar

ra

desh

tP

m

i

Jam

u an

d Kas

hmr

as

h

Chtti

hgar

a asth

a

Rj

n

Source :Census 2001 and Census 2011

2011 Male Female Literacy Gap

0

5

10

15

20

25

30

While the gap between men and women in access to higher education has been eliminated th

in a few states, the 12 Five Year Plan aims to eliminate this gap atleast at the overall level. 3

The GER for males stood at 19.0 and that for females stood at 15.2 in 2007-2008 . This gap


Source: Higher Education in India: Twelfth Five Year Plan (2012-2017) and Beyond, EY

Figure 23: Growth in Distance learning

AG 10.9

CR

%

4.2

2.74

1.38

0.590.17

1980-81 1990-91 2000-01 2011-122006-07

Student enrollment in distance education (million) Distance education enrollment by institution (2011-12)

*These DEIs include more than 40 private institutions

16.6%

25.7%57.7%

Indira Gandhi National

Open University (1)

State Open Universities

(13)

Other DEIs (183*)

between male and female literacy rates has been observed to be lower in urban areas,

indicative of the need for the government to adopt geographically targeted efforts towards

reducing this disparity in states with greater inequality.

Over the last three decades, enrollment in distance education has grown at a rate of 11%

with 4.2 million students. Distance education offers vast opportunities for Indian students

to gain first-hand knowledge of global developments, trends and techniques without

physically living in countries abroad. It also opens avenues for employment and international

careers thereby fostering globalization of economies and labour forces.

Some of the key challenges faced by the Distance Learning process include:

üHigh drop-out ratio

üLow engagement between students and the university / college conducting

distance education

üFocus more on theory with practical learning getting diluted owing to lack of touch

3.2 Distant Learning

3 http://www.ugc.ac.in/ugcpdf/740315_12FYP.pdf

The Distance Education Council was established under the IGNOU Act, 1985 with the

purpose of coordinating the maintenance of standards in the Open and Distance Learning

System. In line with its objectives, DEC launched many initiatives for determining the

standards in the system while providing financial, academic and technical assistance to 13

State Open Universities and over 200 Directorates linked with conventional universities and

Private/Autonomous Institutes referred to as Distance Education Institutions. The DEC is

responsible for taking all necessary steps for promoting Open University/Distance

Education Systems, its development and standard determination.


DEC also aims to establish a network of open universities/distance education institutions to

identify priority areas in which distance education programmes should be organized and

provide the requisite support for their organization. Currently, the lack of adequate human,

technical and infrastructural resources and the surge in the number Open and Distance

Learning institutions has made DEC incapable of matching the rising demand for efficient

and effective regulation. Emphasis should be laid on suggesting measures for regulating

the standards of education imparted through distance mode.

The future trends of internet and multimedia will influence and change the traditional

methods of teaching and learning, and enlarge the sphere of dissemination of knowledge.

The implementa of computer technology in education and training has enhanced the quality

of education in various organizations and training institutes. Educators strongly feel that ICT

is the most valuable tool to overcome the problem of illiteracy. Academics are now being

challenged by the rapidly growing technologies of multimedia, internet and other virtual

computer technologies, which demand changes in the styles, attitudes and skills towards

information handling.

E-Learning has been doing its rounds for more than a couple of decades now; new

technologies have also created various enhanced opportunity in virtual learning. Khan

Academy, Coursera and many other such open source content have provided top quality

content access to every student. Various activities like FLIP Class Rooms and Cloud

Universities have started entering the market.

Key Observations in this field are:

a. Huge online and digital content are available for access across the spectrum of

learning levels (from elementary schools to high end technology)

b. Massive Open Online Courses (MOOCS) have come to stay with increasing

popularity albeit among self-motivated students

c. Adoption to technology is high among the young population in general and Indian

children in specific

d. Technology infrastructure required for accessing these content is becoming more

easily available

In light of the above, e-learning and cloud university has an opportunity to become integral

in making educational resources available through network arrangements between different

institutions across the length and breadth of the country and improving the reach of quality

education to many more beyond physical boundaries of universities.

3.3 Paving way for E-Learning / Cloud University


Key features of National Mission on Education through Information and Communication

Technology (ICT) :

üLeverage the potential of ICT in teaching and learning process for the benefit of all

the learners in Higher Education Institutions

üIntervention in enhancing the Gross Enrollment Ratio (GER) in Higher Education by th

5% during the 11 Five Year Plan period.

üModestly priced Aakash Tablets, were also introduced and initiatives such as Ten

Thousand Teachers Training Programme – a live video interaction with participants

and clicker applications for real time feedback in country-wide classroom

üTo ensure success of ICT in delivering education it is imperative to formulate

mechanism for Assessment and Certification (through e-testing, computer based

tests, supporting current theory and practical tests) and by providing placement

linkages (employer and student views on demand, centralized placement systems).

E-learning has several advantages in a country like India. Since it allows for the delivery of

education or training at an accelerated rate despite geographical distances, E-learning has

the potential to raise the level of education, literacy and economic development of a

country. This is exceptionally true in countries where opportunities are limited, technical

education is expensive and economic disparities exist. However, one major drawback of E-

learning in India is the inadequate course content, more so outside the mainstream area of

IT education, English-language content and tutorial-like courses. In the future there will be a

higher demand for individuals who are capable of developing multi-lingual courseware that

spans various topics. The government should therefore focus on adopting e-learning

methods for achieving its objective of extending quality education to the grass-root levels.

The challenge lies in ensuring that the rural regions are not left out in this age of rapid

digitization. While ICT can fill the knowledge gap, it can also widen it if equanimity is not

ensured in the dissemination of education and skills.

The growing professional and academic requirements for graduates have important

implications on the rising demand for globalization of economies and their respective labour

markets. Hence it has become imperative for higher education to equip its workforce with

the requisite skills and knowledge for such a globalized environment. Moreover, the level of

specialization required in certain areas of research demanding huge investments mandate

international cooperation and collaborative efforts. International collaborations in the

education sector are thus critical for economic growth and development.

üWith the aim of providing quality education benchmarked to international standards,

collaborating with international institutes to provide education would go a long way

in providing higher education at affordable prices.

3.4 International Engagements in Education and Skills


üAlthough 100% FDI in companies engaged in higher education is permitted under

the automatic route, regulatory issues tend to constrain the flow of FDI in this

sector. Moreover, foreign investments have been barred in AICTE regulated

technical institutes in the country which has further strained the flow of FDI.

üWith respect to the number of collaborations of Foreign Universities with Indian 4

educational institutes, 161 collaborations were recorded in 2011 .

üAbout 50 foreign institutes are operating in India through twinning arrangement 5which promise an international degree and exposure to foreign campuses .

Universities such as Virginia Tech, Georgia Tech, Schulich School of Business (part of

York University in Toronto), and Boston, Duke and Middlesex (UK) universities are

expected to enter India.

üDuring 2012-13, India signed Educational Exchange Programmes with countries

including Yemen, Quatar, Tajikistan, Burundi, Belarus, and South Korea. India has also

been active in multilateral forums including IBSA, SAARC, ASEAN, Commonwealth,

EAS etc. and is the lead country in 3 of the 13 projects adopted by the East Asian

Summit Educations Ministers' Meeting for regional cooperation.

One of the major roadblocks in the flow of FDI in higher education sector can be attributed

to the 'not for profit principle'. The higher education sector is evidently capital intensive in

nature which makes it very challenging for private investors to make huge investments

without gaining any benefit. On the other hand, allowing 'for profit' institutions can lead to

the commercialization of higher education which could lead to lack of quality etc. These

problems can be addressed by imposing adequate regulatory checks. Given the aggressive thGER target under the 12 Five Year Plan, it has become imperative for the government to

attract private/foreign investments. The government should permit profitability and mandate

a certain share of profit to be directed towards education as CSR. This would encourage

foreign/private investors to invest and solve the problem of inadequate investments in the

education sector.

4 UK- Indian Education and Research Initiative

5 http://articles.timesofindia.indiatimes.com/2013-09-26/news/42425813_1_technical-institutes-ugc-notification-

indian-institutes

Reforms in Higher Education4


thThe approach adopted in the 12 Five Year Plan on skill development is based on Enhancing

Skills to reap Demographic Dividend. The changing demographic profiles showcase a

demographic window of 20 to 25 years in the Indian Scenario which is rightly recognized as

the country's greatest asset. The current skill development landscape of the country has its

inherent deficiencies due to the delink between the skills taught and industry requirements

and lack of industry recognition to the skill training modules at the Government recognized

skill training institutes.

The other problems faced by general education in India are the lack of learning material,

inferior quality of teachers, remoteness of education facilities, high dropout rate etc. The

problem obviously intensifies itself in rural and backward areas, where education gets least

importance as far as priorities are concerned. ICT in its capability of low cost tool with

higher outreach can play a big role in teaching the rural population - a mixture of all age of

students the basics of language, mathematics and environment.

The Government has taken several initiatives in reforming the higher education systems

while identifying the major bottlenecks straining its potential. With the emerging

importance of the role of ICT in education, some of the initiatives taken by the Government

are:

üAakash Tablets

Billed as the 'cheapest tablet PC in the world', Aakash (or Ubislate, as the retail

name goes) is one of the most ambitious projects taken up by the Indian

Government to impart tech based education in schools and colleges.

üLearning through Exploration, Discovery and Adventure (LEDA)

Led by NIIT, a private IT education enterprise, LEDA was an initiative to test the

'invasive education' approach for delivering better results while trying to penetrate

the underprivileged sector in child education.

Reforms in Higher EducationChapter4


4.1 Financing Infrastructure

üThe planning commission has envisioned a budget of INR 110.7 crore on higher theducation during the 12 Five Year Plan. The allocation is 1.3 times higher than the

thplanned expenditure of the 11 Five Year Plan.

thüThough there were significant developments during the 11 Five Year Plan, with

growth in number of HEI by 9.6% per annum and increase in private sector

participation, only 45.6% (INR 39,647 crore) of the planned expenditure was

materialized.

üGiven the serious budget constraints faced by the Government, large private

participation is required to create adequate access and improve the quality of

education.

üRecently, there has been a continuous push by the Government towards engaging

the private sector in achieving the goal of universalization of elementary education in

India. For instance 2500 schools have proposed to be setup under the Model School

Scheme-PPP mode.

The evident disjunctive between education and employment calls for an examination of the

nature of discourse between what passes for higher education in the country and the

ability of the economy to absorb the products of higher education through the creation of

'quality' employment. Economies such as India, faced with growing imbalance between the

output of the school system and the absorptive capacity of their labour markets for such

types of educated personnel, need to reform the contents of education without questioning

their development strategies or development goals.

4.2 Academic Restructuring

3.90

3 80.

3 70.

3 60.

3 50.

3 40.

3 30.

3 20.

3 10.

6000

5000

4000

3000

2000

1000

0

GD

P in

th

ou

san

d C

rore

s

% e

xp

en

dit

ure

on

ed

uca

tio

n

3.81 3.78

3.51

3.64

3.743.78

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09

2,0982,261

2,538

3.36

2,878

3.45

3,2823,779

4,3214,933

Source: Ministry of Human resource and Development (MHRD). Government of India

Figure 24: Expenditure on Education as percentage of GDP


Several legislative initiatives have been made with the aim of improving the higher

education system through restructuring academic programmes. These initiatives primarily

aim at replacing the traditional repetitive experiments with open-ended design oriented

work that encourages creativity and invention; improving the overall quality of education

through highly qualified teachers and compulsory interactive seminar tutorials to strengthen

fundamental concepts; giving a common platform and establishing domestic and global

linkages with employers thereby ensuring their relevance to modern market demands.

Some of the legislative proposals that were introduced to improve the quality and

transparency in the higher education system are given below:

üHigher Education and Research Bill, 2011

üThe Educational Tribunals Bill, 2010

üThe National Accreditation Regulatory Authority for Higher Educational Institutions

Bill, 2010

üThe National Academic Depository Bill, 2011

üThe Foreign Educational Institutions (Regulation of Entry and Operations) Bill, 2010

üAmendment of Indian Institutes of Technology Act, 1961

üNational Institute of Technology (Amendment) Bill, 2010

Vocational Training Institutes should also be given greater freedom in terms of resource

generation (sale of production or service activities, consultancy) and in utilizing the

proceeds for not only cost recovery but also incentivizing those vocational training institutes

which generate revenues. However, along with autonomy there needs to be a new

accountability framework for ITIs. Indicators of internal and external efficiency should be

used to measure the performance of institutions and to match performance to financing.

Emphasis should be laid on integration of vocational education with higher education.

Initiatives should be taken to ensure that vocational education is not a dead end and

appropriate institutional framework should be created to allow performing students in the

vocational education track to proceed onto higher education. This will ensure that the

vocational stream is not seen as an option of last resort by prospective students

The most important requirement for successful systems of skills development is close links

with industry and employers. Employers know best what skills are needed in the economy.

In order to re-orient the training modules as per the changing skill requirements of the

Industries, broad based craftsmen training on modular pattern is offered in 4 model

Industrial Training Institutes at Haldwani, Kozhikode, Jodhpur and Choudwar under the

DGEandT. Apart from this, a number of private industrial players are moving towards

establishing sector specific skill development centres to train youth in states. However,

these efforts are more localized and can be strengthened through the sector skill council

which will be established by the National Skills Development Council. Given the need to


ensure standards, industry involvement and industry led initiatives, it is required to expedite

the formulation of Sector Skills Councils.

Industries have to be induced to partner with the academic institution directly for the

development of human resources dedicated to their interests. This can happen through

creating infrastructure faculty sharing and direct support with funds. Practical training is of

paramount importance in today's day and age. Internships with industry help students get a

sound understanding of the way industries run while also being exposed to real life

technical situations and problems that are not present during classroom lectures. Another

important tie up between educational institutions and industry to raise the standard in

education particularly in rural and semi urban areas is faculty training by industry experts

and the industry trained faculty then imparting knowledge to the students

üThe Government aims to reform the affiliating college systems such that large and

reputed colleges are transformed into universities or college-cluster universities;

some large affiliating universities are bifurcated to manageable units; colleges can

be merged to provide multidisciplinary education; affiliating universities can revamp

their college development councils for effective governance and can give more

autonomy to the colleges.

üThere is a pressing need for beefing up the Vocational Training infrastructure. This is

demonstrated by the demand for need based, job-oriented training, which would be

implemented under the Modular Employable Skills framework. This would drive the

need for Vocational Training Providers, trainers, accredited certifying

bodies/agencies, etc. According to NSDC report on Human Resource and Skill

Requirements in the Education and Skill Development Services Sector, the

requirement for such Vocationally Trained human resource (with skills acquired over

a short timeframe and are modular/job oriented, over and above that of ITI/ITC)

would be over 1,120 crore persons between 2008 and 2022, i.e., over 80 crore

persons annually.

üTo develop academic leadership the Government will set up an Institute for

Academic Leadership in Higher Education which would function as a hub, with the

node being a university-based academy for Leadership Development. At least five

such academies are expected to be set up in the Plan period.

üIt is imperative for setting up a Council responsible for coordinating the planned

development of higher education. Their role would include encouraging sharing of

resources between universities, lead academic and governance reforms at the

institution level, maintaining databanks on higher education and conducting research

and evaluation studies.

4.3 Governance and Regulatory Reforms


üEmphasis should be laid on giving greater autonomy to public institutions and

establishing smaller and more effective Government bodies that have

representation from all stakeholders.

üThe major bottlenecks in the flow of FDI in the higher education sector can be

attributed to the 'not for profit principle' and insufficient clarity on existing

regulations. Efforts should therefore be made in making investments in the higher

education sector more attractive.

üInstitutions should be categorized based on their focus such as research focused,

teaching focused and skill based institutions, and each category should be managed

distinctly in terms of governance, funding and regulation.

üFunding of skill development initiatives is largely restricted to publicly provided

training and little attention is paid to financing as an innovative means to encourage

good quality public / private / in-service training. Once an institution begins to

receive funding, subsequent funds are assured regardless of the institution's

performance. Student fees in ITI's/polytechnics go to the State treasuries and

hence, training providers have very little financial incentive to improve efficiency and

cater to market requirements. Hence, there is a need to develop innovative

mechanisms to stimulate funding in skill development activities.

Conclusion: Education catalyzing equitable growth

5


India is already referred to as a Knowledge Economy by the World Bank with a vision that it

has the maximum potential to achieve thought leadership in select segments like

information technology, healthcare, science and technology, social entrepreneurship, art

and culture and other service driven industries.

To achieve this India needs a flexible education system:

üBasic education to provide the foundation for learning; secondary and tertiary

education to develop core capabilities and core technical skills; and further means of

achieving lifelong learning.

üThe education system must be attuned to the new global environment by promoting

creativity and improving the quality of education and training at all levels.

üEstablishing links with industry and employers is crucial to ensure quality of

education and employability.

üGreater impetus on skill development and vocational institutes to push growth of the

economy should be facilitated through suitable policy framework. Ensure awareness

among the employers to take certified skilled workers and fixing the lower limit of

pay-scale.

üEstablishing Skill development Framework to enhance employability potential should

be undertaken to reap benefits of the demographic dividend of the country.

üEnsure Quality and Accreditation –Upgrading the course structure and inviting

experts from the industry to contribute to skill development would help improve the

quality of education in India.

üThe investment deficit in the education and skill development sector is significant.

With limited public funds and several other priorities for its spending. There is a

need to induce greater participation and investment from the private sector to

supplement public investment. Encouraging Private Sector to set up affordable

higher education institutes as well as institutes for skill development centers/training

institutes would also bridge the gap between demand and provision.

Conclusion: Education Catalyzing Equitable Growth

Chapter5


üPrivate sector participation, particularly in the case of social sector projects can

include all non-Government agencies such as the corporate sector, consortiums,

special purpose vehicles, development agencies, non-profit organizations, self-help

groups, partnership firms, individual entrepreneurs and community group based

organizations. The effort is to induce investment and enhanced capabilities of each

of these participants to strengthen the delivery and reach of the service already

being extended by the Government. PPP in social sectors such as health and

education are sometimes referred to as Public-Social Private Partnership (PSPP).

Some innovative structures for Public Partnerships are:

• Basic Infrastructure Model: The private sector invests in infrastructure and the

Government runs the operations and management of the institutions in turn

making annualized payments to the private investor

• Outsourcing Model: Private sector invests in infrastructure and runs operations

and management and the responsibility of the Government is to pay the private

investor for the specified services

• Equity Hybrid Model: Investment in infrastructure is shared between the

Government and the private sector while operation and management is vested

with the private sector

• Reverse Outsourcing Model: The Government invests in infrastructure and the

private sector takes the responsibility of operation and management

Facilitating synergetic partner ships Train representative from local communities to educate

Employment skill developmnet Empowerment

Contribute land

Structure Social Equity Advisory and PPPimplementation

Example - YES Bank Initiative -UDAAN

CSR

GovernmentGovt. Facilitation

NGO

Local Community

Knowledge Bamk

Private Sector

Figure 25: Innovative Structures for Public Partnerships


H i g h e r e d u c a t i o n a n d s k i l l

development plays a crucial role in

enhancing the human capital, of the

country, pushing the economic

g r o w t h a n d s u s t a i n a b l e

development. Skill development

enhances the earnings of individuals

and plays a significant role in

reduction of poverty. With increase in

demand for skilled workforce, higher

education requires focused attention.

Suitable policy impetus can foster

growth of the education sector,

equip people with the right skills and

stimulate economy, putting India on

the track development.

Case Study: Community Model

Vedanta's sustainability strategy, collaboratively

working with the community:

üLiteracy and education initiatives for more

than 140,000 children and adult illiterates

üA computer literacy programme in 300

schools and 315 literacy centres covering

more than 140,000 students

ü28 company-run schools and a post-

graduate colleges for girls reaching out to

16,000 students

N O T E S

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