Economics and Management

Quality Enhancement: Vocational Skill Development And Entrepreneurship

Rishika Singh, Dr. Mahalaxmi Singh,
Article Date Published : 21 April 2018 | Page No.: EM-2018-312-318 | Google Scholar

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Abstract

India is fastest growing country in the world. We have largest technical manpower. In India the emphasis has been on general education , with vocational skill education and entrepreneurship at the receiving end. Coz of which large number of people are still unemployed. The article shows the recent growth in the area of vocational skills and entrepreneurship. India has only 4% skilled workforce. In the year 2022 109.73 million skilled manpower are required. The way in which innovation higher and vocational skill develop competencies for entrepreneurship is analyzed. Various ministers are trying to impart vocational courses through innovative institutions, specially launched for the purpose. In doing so the government is trying to maintain the quality of these courses. Under the 11th plan, vocationalization of education has received a boost with more funds being allotted for the purpose. The article ends with the recommendations on promoting vocational skill and entrepreneurship in society and the reforms that should be done in this field

Introduction

India is 2nd largest population in the world. It is renowned for its size, diversity and complexity, whether it is geographical, socioeconomic, cultural, political or developmental. All these factors impact on every aspect of life including employment, education and training. Education empowers the nation. It is very important for a nations growth and development. Properly planned education can increase national gross products, cultural richness, build positive attitude towards technology, increase efficiency and effectiveness of the governance. Education opens new dimensions for an individual, provides new hopes and develops new values and strengthen competencies. So, government is now committed to provide the facilities that are required for educating a child right from the beginning. The Indian economy is widely expected to grow at sustained high rates over the next few decades and emerge as the second largest economy by 2050. There is a clear dominance of pure science, arts and commerce subjects. While 56 percent of the higher education institutes are devoted to arts, science and commerce, medical colleges, engineering and technology colleges and polytechnics comprise ten percent, seven percent and six percent of total institutes respectively. The dominance of arts, science and commerce in higher education has prevented the bulk of the pass-outs from the system from acquiring skills required by the manufacturing and service industries.

The size of the current technical training infrastructure is much smaller than what is required. India currently has the capacity for training 3.1 million people per year. This is insufficient, given that every year, 12.8 million new people enter the workforce. The distribution of training capacities is unbalanced, with the industrially-advanced states of Maharashtra, Andhra Pradesh, Tamil Nadu and Karnataka, accounting for 48 percent of recognized technical training institutions.

Industrial training institutes (ITIs) and polytechnics supply the largest volumes of technical training. The former have certificate courses while the latter offer diploma programmes in both engineering and non-engineering disciplines. More than 60 percent of the ITIs are privately owned while the rest belong to different state governments. The polytechnics are administered by the Ministry of Human Resource Development. The institutes offer diploma programmes in 1,800 different disciplines with the majority of programmes being in engineering subjects. The technical training infrastructure also includes apprentice training in 254 industries and vocational education at the higher secondary level in schools.

The 11th Five-Year Plan reported that only two percent of the workforce aged between 15 and 29 years receives formal technical training while another eight percent receives non-formal training. The situation is particularly dismal in rural areas. Hardly a quarter of the 12.8 million new entrants to the workforce receive formal training. This poses serious implications for the skills level of the workforce. The problem has a generic dimension since attendance rates in schools drop significantly after children/the youth hit 15 years of age, which is also the time from when the workforce participation rates increase sharply. Thus, several new entrants to the labour force do not have higher education and lack requisite skills. The technical training system also suffers from an excessive emphasis on longer-duration courses, a lack of alignment with industry requirements, the under-utilization of existing capacities and poor physical infrastructure.

Objectives

To study the current scenario of higher education in vocational skill and entrepreneurship development.

To explain the future prospects in respect of vocational skill and entrepreneurship development.

To check the opportunities in the field of entrepreneurship and vocational skill.

Methodology

This study is based upon the relevant data collected from the secondary sources like research articles and prominent sites. The study focuses on the educational scenario of India with respect to quality enhancement in higher education and changing paradigm over vocational skill development and entrepreneurship.

Government Projects Indian Institute Of Entrepreneurship

The Indian Institute of Entrepreneurship (IIE) was established in the year 1993 in Guwahati by the erstwhile Ministry of Industry (now the Ministry of Micro, Small and Medium Enterprises), Government of India as an autonomous national institute with an aim to undertake training, research and consultancy activities in small and micro enterprises focusing on entrepreneurship development.

The institute began operating from April 1994 with the North East Council (NEC), Governments of Assam, Arunachal Pradesh and Nagaland and SIDBI as its other stakeholders. It is also An ISO 9001:2008 Certified Organization.

Functions

Designing and organising training activities for different target group and undertaking research in the relevant to entrepreneurship.

Improving the efficiency, effectiveness and delivery of the change agents and development practitioners i.e. trainers, support organizations engaged in enterprise building. etc.

Provide consultancy service to the prospective and existing entrepreneurs.

Increasing the outreach of activities of the institute through collaborative activities and increasing their effectiveness through use of different tools of information technology.

Major Activities

Trainings: Are primarily divided into two categories:

(i) (Assistance to Training Institutions) ATI Trainings: The institute conducts three ATI Programmes, namely, Announces a Programme on Training of Trainers (ToT); Entrepreneurship and Skill Development Programme (ESDP); and Entrepreneurship and Skill Development Programme (ESDP).

(ii) Non-ATI Trainings: The institute conducts 36 trainings related to entrepreneurship ranging from 600hrs to 15 days. These trainings are conducted free of cost or at nominal charges.

Research: The Institute undertakes research and studies either on its own or on sponsored basis and provides consultancy in the field of growth and development of MSME across North East India and beyond. The Institute alpso acts as a catalyst and a resource centre for providing various inputs on policy formulation for promoting entrepreneurship and development of MSME to Central and State governments. Another major focus area is evaluation of various Central and State government organizations and schemes. Action Research is also undertaken on development of MSMEs.

Consultancy: It offers advice and consultancy in the various areas of entrepreneurship, including, Enterprise planning; Enterprise Management; Enterprise Expansion, Diversification & Growth; Management Consultancy; Marketing consultancy with specialization on export and border trade; Technology sourcing; Technology propagation; Project and Reports.

Seminars and Workshops: The Institute organizes Seminars and Workshops to share experiences on implementation of programmes of self-employment and entrepreneurship, 0n current topics and awareness generation. Besides, the institute organizes Entrepreneurs Meet to understand and appreciate their problems in launching projects and managing them successfully.

Projects: The institute has also undertaken various projects such as, Centre for Sustainable Livelihood promotion (CSPL); Regional Resource Centre (RRC) for Cluster Development; Science and Technology Entrepreneurship Development (STED) Project; and Rural Industries Programme (RIP)

Publications: The institute publishes Newsletters, Books, Annual Reports, and Results Framework Document.

Collaborations

Indian Institute of Entrepreneurship (IIE) signed a Memorandum of Understanding, signed initially for three years, with Arunachal University of Studies, Namsai, Arunachal Pradesh on 5th March, 2014 at IIE campus, Guwahati, Assam to promote and develop entrepreneurial environment. The Arunachal University of Studies is authorised to establish and approve new Skill Knowledge Providers (SKP) for facilitating joint certification with IIE.

National Skill Development Agency (NSDA)

The National Skill Development Agency (NSDA), an autonomous body, (registered as a Society under the Society's Registration Act 1860) was created with the mandate to co-ordinate and harmonise the skill development activities in the country, is part of the Ministry of Skill Development & Entrepreneurship (MSDE).

Functions : Gazette Notification of NSDA

Take all possible steps to meet skilling targets as envisaged in the 12th Five Year Plan and beyond.

Coordinate and harmonize the approach to skill development among various Central Ministries/Department. State Governments, the NSDC and the Private sector.

Anchor and operationalize the NSQF to ensure that quality and standards meet sector specific requirements

Be the nodal agency for State Skill Development Missions

Raise extra-budgetary resources for skill development from various sources such as international agencies, including multi-lateral agencies, and the private sector.

Evaluate existing skill development schemes with a view to assessing their efficacy and suggest corrective action to make them more effective.

Create and maintain a national data base related to skill development including development of a dynamic Labour Market Information System (LMIS).

Take affirmative action for advocacy.

Ensure that the skilling needs of the disadvantaged and the marginalized groups like SCs, STs, OBCs, minorities, women and differently abled persons are taken care of and.

Discharge any other function as may be assigned to it by the Government of India.

Activities undertaken by the NSDA

Besides anchoring and implementation, the National Skills Qualifications Framework (NSQF), some of the other actions taken by the NSDA are as under:

National Skill Development Corporation

The National Skill Development Corporation India (NSDC) was setup as a one of its kind, Public Private Partnership Company with the primary mandate of catalysing the skills landscape in India. NSDC is a unique model created with a well thought through underlying philosophy based on the following pillars:

1. Create: Proactively catalyse creation of large, quality vocational training institutions.

2. Fund: Reduce risk by providing patient capital. Including grants and equity.

3. Enable: the creation and sustainability of support systems required for skill development. This includes the Industry led Sector Skill Councils.

Achievements

Over 5.2 million students trained

235 private sector partnerships for training and capacity building, each to train at least 50,000 persons over a 10-year period.

38 Sector Skill Councils (SSC) approved in services, manufacturing, agriculture & allied services, and informal sectors. Sectors include 19 of 20 high priority sectors identified by the Government and 25 of the sectors under Make in India initiative.

1386 Qualification Packs with 6,744 unique National Occupational Standards (NOS). These have been validated by over 1000 companies.

Vocational training introduced in 10 States, covering 2400+ schools, 2 Boards, benefitting over 2.5 lakh students. Curriculum based on National Occupational Standards (NOS) and SSC certification. NSDC is working with 21 universities, Community Colleges under UGC/AICTE for alignment of education and training to NSQF.

Designated implementation agency for the largest voucher-based skill development program, Pradhan Mantri Kaushal Vikas Yojana.

Skill Development Management System (SDMS) with 1400 training partners, 28179 training centres, 16479 trainers, 20 Job portals, 77 assessment agencies and 4983 empanelled assessors. Hosting infrastructure certified by ISO 20000/27000 supported by dedicated personnel.

National Skill Development Fund

The National Skill Development Fund was set up in 2009 by the Government of India for raising funds both from Government and Non Government sectors for skill development in the country. The Fund is contributed by various Government sources, and other donors/ contributors to enhance, stimulate and develop the skills of Indian youth by various sector specific programs. A public Trust set up by the Government of India is the custodian of the Fund. The Trust accepts donation, contribution in cash or kind from the Contributors for furtherance of objectives of the Fund. The Fund is operated and managed by the Board of Trustees. The Chief Executive Officer of the Trust is responsible for day-to-day administration and management of the Trust.

The Fund meets its objectives through National Skill Development Corporation (NSDC) which is an industry led ‘Not For Profit Company’ set up for building skill development capacity and forging strong linkages with the market. NSDC acts as a catalyst in skill development by providing funding to enterprises, companies and organizations that provide skill training. It also develops appropriate models to enhance, support and coordinate private sector initiatives. Till 31st March 2015, NSDF has released Rs. 2333 crore to NSDC towards skill development programmes including National Skill Certification and Monetary Reward Scheme (STAR) and UDAAN Scheme (J&K oriented). NSDC with 160 training partners and 1722 training centres has so far trained around 35 lakh persons across India.

Accounts of the Trust are subject to CAG Audit and are also audited by a Chartered Accountant for every financial year and in such manner as may be directed by GOI.  The Trust has engaged IL&FS Trust Company Ltd (ITCL), one of the largest Corporate Trustees in India, for providing micro prudential oversight on the implementing partner and monitoring the interests of Trust.

Schemes:

Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

Approved for another four years (2016-2020) to benefit 10 million youth

Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is the flagship scheme of the Ministry of Skill Development & Entrepreneurship (MSDE). The objective of this Skill Certification Scheme is to enable a large number of Indian youth to take up industry-relevant skill training that will help them in securing a better livelihood. Individuals with prior learning experience or skills will also be assessed and certified under Recognition of Prior Learning (RPL). Under this Scheme, Training and Assessment fees are completely paid by the Government.

Higher Education

In order to bridge the industry academia gap – NSDC has developed a unique model to integrate skill based trainings into the academic cycle of the Universities. These are based on National Occupational Standards set by industry through sector skill councils. The job roles offered are designed to be progressive in nature – from Level 5 – level 7 on National Skills Qualification framework. The key highlight of the model are as given below:

Based on state skill gap report – identification of Sectors and job roles

Development of implementation model and Integration into time table as per university norms

Training of Trainers by Sector Skill Council

Curriculum Alignment and Capacity Building workshops

Student orientation sessions to take an informed choice of sector/job role based on career aspiration

Standardised Training Delivery by NSDC Training Partners

Internships and On- the – job Training

Assessment and certification by Sector Skill Council

Last Mile Employability and Entrepreneurship Opportunities for the students

NSDC is working with 21 Universities, UGC and AICTE catering to more than 1200 colleges and 400 community colleges across the country. Some of the organization include:

SavitribaiPhule University of Pune : 663 colleges and 57 autonomous institutions

University of Delhi: 67 colleges including NCWEB and SOL

University Grants Commission: 150 community colleges and 127 colleges for B.Voc and Degree programmes

Tamil Nadu Open University (TNOU): 155 learning resource centres and 204 community colleges

Centurion University: 4 colleges

Haryana and Punjab Universities

AICTE : 100 Community Colleges

NSDC is about to sign MoUs with 7 more universities to adopt this model.

NSDC funded training partners affiliated to respective SSCs are involved in imparting trainings to the students under these partnerships. The infrastructure is allocated by the respective colleges of the University. A project management team ensures monitoring and evaluation of ongoing trainings.

Academia recognise the benefits of this model for integration of industry recognized skills with regular studies and post assessment the students receive industry endorsed and recognized certificate.

Entrepreneurship Development

Skilling and Entrepreneurship complete each other but not sufficient for, gaining decent jobs. Improved productivity through skill development must be complemented by economic growth and employment opportunities. They are, collectively, a prerequisite to the Government's pursuit of holistic development of the nation.

The Ministry under its mandate, therefore, not only focuses on skilling but also guides the entrepreneurship movement in the country for speedy reorganization of the entrepreneurship ecosystem. This will ensure sufficient employment opportunities for the skilled workforce. Unleashed entrepreneurship, besides employment generation, will also utilize the youth power for productivity improvement and wealth creation; thus, stimulating equitable development and a sustainable path for decent livelihood creation for the country. Technology and resources have to be judiciously harnessed to achieve the same. Furthermore, endeavors need to be aligned to ensure the outreach of opportunities and services to the bottom of the economic pyramid, facilitated by enterprises.

In this context, the Ministry of Skill Development and Entrepreneurship aims to create an enabling entrepreneurship ecosystem by catalysing and coordinating entrepreneurship efforts across the country to ensure sizeable and measureable outcomes. To achieve the same, a flagship scheme on Entrepreneurship Development would be launched by the Ministry.

The scheme will be designed with an inclusive approach to not only extend support to existing entrepreneurs but simultaneously expand the purview to social entrepreneurship, incubator and mentor network, first generation entrepreneurs, and grass-root innovation. MSDE is consulting with the stakeholder departments to co-ordinate entrepreneurship efforts with an integrated effort.

Two institutes have been transferred to the Ministry:

  1. .  Indian Institute of Entrepreneurship (IIE)1. 

  2. .  National Institute of Entrepreneurship and Small Business Development (NIESBUD)2. 

  1. )  Pratham Busines Innovation: Between now and 2025 over 250 million young people are estimated to enter the Indian workforce, while only 5% of youth aged 20-24 have obtained vocational skills through a formal training system. Many students drop out of the formal educational system unaware of the alternative educational and employment opportunities available. These students often settle in rural areas and engage in daily wage work, and are not privy to the industry growth evident in urban areas.(1) Pratham Busines Innovation: Between now and 2025 over 250 million young people are estimated to enter the Indian workforce, while only 5% of youth aged 20-24 have obtained vocational skills through a formal training system. Many students drop out of the formal educational system unaware of the alternative educational and employment opportunities available. These students often settle in rural areas and engage in daily wage work, and are not privy to the industry growth evident in urban areas.

  2. )  Indian Institute of Gems & Jewellery: The Indian Institute of Gems and Jewellery in Jaipur has been doing something very interesting. They have been running a special job-oriented program customized to the needs of Deaf and Dumb students.(2) Indian Institute of Gems & Jewellery: The Indian Institute of Gems and Jewellery in Jaipur has been doing something very interesting. They have been running a special job-oriented program customized to the needs of Deaf and Dumb students.

  3. ) Kaushal Vikas Yatra, an AISECT Initiative: AISECT, which is a 28 year old organization, working in the unorganized sector and rural and semi-urban parts of the country for skill development, has a rich experience of doing mobilization of trainees for vocational training and skill development. Our experience shows that ground level activation campaigns which can reach the students directly are one of the most effective ways of awareness generation and publicity. In the rural areas, interaction with students and reaching out to them ensures effective awareness generation and recall for courses.(3) Kaushal Vikas Yatra, an AISECT Initiative: AISECT, which is a 28 year old organization, working in the unorganized sector and rural and semi-urban parts of the country for skill development, has a rich experience of doing mobilization of trainees for vocational training and skill development. Our experience shows that ground level activation campaigns which can reach the students directly are one of the most effective ways of awareness generation and publicity. In the rural areas, interaction with students and reaching out to them ensures effective awareness generation and recall for courses.

  4. ) Gram Tarang skilling Motor Mechanics: A one of a kind partnership that GRAM TARANG has forged in this area is that with Ashok Leyland, a leading manufacturer of heavy vehicles. GRAM TARANG has setup a captive 200 seater fully residential training facility at Bhubaneswar to cater to its manpower requirements across its dealerships and help employ the large number of ITI graduates of the state(4) Gram Tarang skilling Motor Mechanics: A one of a kind partnership that GRAM TARANG has forged in this area is that with Ashok Leyland, a leading manufacturer of heavy vehicles. GRAM TARANG has setup a captive 200 seater fully residential training facility at Bhubaneswar to cater to its manpower requirements across its dealerships and help employ the large number of ITI graduates of the state

  5. ASTM Student Testimonials: This contains testimonials from 2 trainees, both from Palghar district in Maharashtra which is a tribal region. They underwent training for Security sector with ASTM Institute and are gainfully employed after training with salary of over Rs. 10,000 per month.(5) ASTM Student Testimonials: This contains testimonials from 2 trainees, both from Palghar district in Maharashtra which is a tribal region. They underwent training for Security sector with ASTM Institute and are gainfully employed after training with salary of over Rs. 10,000 per month.

  6. Future Sharp: This section has 7 Case Studies of beneficiaries who received training in Retail sector from Future Sharp Institute who are gainfully employed after completion of training. (6) Future Sharp: This section has 7 Case Studies of beneficiaries who received training in Retail sector from Future Sharp Institute who are gainfully employed after completion of training. 

  7. Gras Academy: This section has 8 Case Studies of varying backgrounds from Jaipur district who pursued training in BPO and Retail sectors from GRAS Academy and are gainfully employed after successful completion of training.(7) Gras Academy: This section has 8 Case Studies of varying backgrounds from Jaipur district who pursued training in BPO and Retail sectors from GRAS Academy and are gainfully employed after successful completion of training.

  8. Keertika Training Academy: This section has testimonials from 4 retired army personnel who have worked as trainers for Security sector with Keertika Training Academy.(8) Keertika Training Academy: This section has testimonials from 4 retired army personnel who have worked as trainers for Security sector with Keertika Training Academy.

  9. NIIT Yuva Jyoti: This section gives Success Stories of 4 trainees who made a significant transition in their lives with training from NIIT Yuva Jyoti. This includes a jobless graduate becoming Customer Support Associate, a Courier Boy becoming Accounting Professional, a Rickshaw Puller becoming Retail professional and a jobless 12th Pass becoming a Retail professional.(9) NIIT Yuva Jyoti: This section gives Success Stories of 4 trainees who made a significant transition in their lives with training from NIIT Yuva Jyoti. This includes a jobless graduate becoming Customer Support Associate, a Courier Boy becoming Accounting Professional, a Rickshaw Puller becoming Retail professional and a jobless 12th Pass becoming a Retail professional.

  10. Smart Edusol Service: This section contains testimonials from Trainers as well as Trainees of Edusol service in Hospitality, Housekeeping and Food & Beverages sector. The trainees are employed with KFC and Nagarjuna Suites.(10) Smart Edusol Service: This section contains testimonials from Trainers as well as Trainees of Edusol service in Hospitality, Housekeeping and Food & Beverages sector. The trainees are employed with KFC and Nagarjuna Suites.

  11. Yuva Parivartan: This section contains 9 success stories from Yuva Parivartan's Youth Career Initiative pertaining to trainings in various sectors.(11) Yuva Parivartan: This section contains 9 success stories from Yuva Parivartan's Youth Career Initiative pertaining to trainings in various sectors.

Suggesstions:

  • Government should recruit career counselor to higher secondary schools so that students would get proper guidance at right time according to their interest and potential.

  • The higher education academy and government should create awareness amongst people and students about vocational skill courses and entrepreneurial schemes.

  • The government should encourage people for joining vocational skill courses and motivate them by giving decent salary and a prominent designation.

  • To development of entrepreneurship the fund raised by government should be easily available in lesser duration of time.

  • People are still more over attracted towards few known fields of higher education viz Arts, Commerce, Medical and Engineering & Technology so, the awareness about other courses should be generated amongst people.

  • Government should encourage vocational skill education and entrepreneurship by providing scholarships and employment to skilled people.

  • People are more attracted towards government jobs instead of doing private jobs because government jobs provide more facilities rather than private, so this difference should be minimized to get attention towards private jobs.

  • Government should declare at least one mandatory vocational skill course to all graduate level students. so that people can use their skills for their livelihood and can help the society.

References

  1. Government sets target to skill 500 million people by 2022 The Times of India The Times of India Group.2012-jan. CrossRef Google Scholar
  2. Government of India. (2014). Annual Report 2013-14. Ministry of Labour and Employment International Journal of Emerging Research in Management and Technology.1963-aug. CrossRef Google Scholar
  3. Ministry of skill development and entrepreneurship .2017-mar. CrossRef Google Scholar

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Article Details


Issue: Vol. 6 No. 04 (2018)
Page No.: EM-2018-312-318
Section: Economics and Management
DOI: https://doi.org/10.18535/ijsrm/v6i4.em10

How to Cite

Singh, R., & Singh, D. M. (2018). Quality Enhancement: Vocational Skill Development And Entrepreneurship. International Journal of Scientific Research and Management, 6(04), EM-2018. https://doi.org/10.18535/ijsrm/v6i4.em10

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