brics - skills development areas

BRICS Collaboration in Skills Development: Results of Foresight & Russian Proposals

Pavel Luksha, ASI / GEF / SKOLKOVO

BRICS Skills Development: Russian Perspective

• Russia sees high potential in BRICS collaboration, and it is one of the country’s priorities on international arena

• Because education & skills development is a ‘long shot’, we must address not only needs of today’s economy – but also aim for tomorrow

• We therefore began the chairmanship of Russia by conducting a ‘foresight of BRICS collaboration’ in July 2015

• Based on results of this foresight session, we propose several initiatives that may become BRICS Skills Development focus in 2015/16 and beyond

Assumptions for July foresight session• Brazil, Russia, India and China have formally started their collaboration in BRIC

format in 2009, and since late 2010 they have been joined by South Africa. BRICS Business Council has been created in 2013 to enhance economic & business cooperation.

• Despite the shared effort of five countries to provide clarity regarding the goals of BRICS collaboration, especially in business areas, the long-term priorities remain relatively vague. This limits the potential of collective effort that Business Council Working Groups can create, especially in the areas such as manufacturing, green economy, deregulation, and skills development – all of which require long-term goal setting (i.e. to understand where BRICS countries ‘aim’ in 10-years perspective).

• A vision-building session has been organized for BC WG members during their meeting in Moscow on July 5-6, 2015. These results have been used to develop the roadmap of Skills Development Working Group activities, and served as recommendation to other groups. The results of this session are unofficial and do not, in any form, express the official position of BRICS or BRICS Business Council.

Taking peeks at BRICS

What are some key features of the BRICS economies?

BRAZIL

RUSSIA CHINA

INDIA

SOUTH AFRICA

Population 201 mln

Exportable products

Agricultural (coffee, soybeans, sugar cane), iron & steel, crude oil, aerospace & machinery, chemicals

Comparative advantage

Strong R&D in manufacturing sector

Challenges Exhausting natural resourcesHigh income disparities

Population 143 mln

Exportable products

Oil & gas, minerals, machinery, software


HDI highest among the BRICS countries

Challenges ‘Dutch disease’Sanctions

Population 51 mln

Exportable products

Gold, diamonds, chromium, chemicals, heavy machinery


Unique natural resource baseExpertise in diversity management

Challenges High youth unemploymentHigh diversity of population

Population 1 357 mln

Exportable products

Consumer & professional electronics, machinery, instruments, clothes & footware, steel


Strong manufacturing capacity in many sectors

Challenges Growing wages

Population 1 224 mln

Exportable products

Agricultural (rice, soybeans), clothes, cars, steel, jewelry, software


Low labor costs, strong service sector

Challenges ‘Two Indias’: imbalance of rural and urban population

Sources: SDF concept paper, Harvard Atlas of Economic Complexity

What are the main objectives of the BRICS?

Lack of clear definition of long-term objectives

Need for extended collaboration is highlighted

First BRICS summit (Yekaterinburg, Russia, 2009):• Coordination & cooperation in the energy field• Humanitarian assistance & reduction of natural disaster risks• Implementation of sustainable development concept

Sixth BRICS summit (Fortaleza, Brazil, 2014):• Extension of collaboration to new sectors• Confirmed commitment to New Development Bank• Combating cybercrimes

First BRICS Business Council meeting (Johannesburg, South Africa, 2013):• Promotion of private-public partnerships• Focal areas: infrastructure, mining & minerals, value-added manufacturing,

sustainable development

Sources: BRICS official statements

Viability of BRICS is often being challenged yet taken seriously by the rest of the world

Source: various publications reporting on BRICS decision to created BRICS New Development Bank

So, why do our countries want to collaborate?

We are big countries with similar challenges:

learning from each other

We are large economies with untapped

potential: have many opportunities to offer to

each other, can cross-invest into each other

We are gateways into our macro-regions

(South Africa for Africa, Brazil for Latin America,

Russia for FSU, etc.)

We want to diversify risks and create

alternative global infrastructure

(finance, ICT, …)

We want to avoid intermediaries or ‘new

colonialism’: direct contacts without ‘West’,

symbolism of multi-polar world Sources: Russia SDWG analysis

Where does each of BRICS economies want to be in 10 years from now?BRAZIL 2025?

RUSSIA 2025?CHINA 2025?

INDIA 2025?

SOUTH AFRICA 2025?• Shift from manufacturing to

full scale knowledge-based economy

• Stronger development in-land regions & new centers of economic activity

• Chinese companies are notable global players with wide international presence

• Development of infrastructure for economic transformation:

• hierarchies -> networks,• regionally centered (around

Moscow and S.P.)->regionally diverse,

• closed->open, • growth through new hi-tech sectors, • skills development + entrepreneurship

(Russia becomes a net: territories, human capital…)

2025?

Sources: working group discussion results,for China: China State Council 10-year plan

Generation of jobs (12 mln jobs annually) => high economic growth • manufacturing: 25% of GDP +

sustainable / contribute to environment (green economy);

• infrastructure development; • energy -> energy security plan,

renewable energy (esp. solar), • skills development (100 m over 8

years),• ICT sector development

• Nation building (task for next 30 years)

• Social equality is a major challenge• Infrastructure + skills as enablers of

economy & new sector growth• Development of macro-region of

Africa

• Developed infrastructure • full integration with South America continent, • decreasing costs of doing business & investing in / with Brazil,

• Education at all levels, esp.technical education • Brazil as an emerging actor in knowledge economy; • education supports growth in manufacturing sector

• Better balance between agricultural development and nature conservation

• actor in environmental services; • food security

What will each country provide to BRICS and will ask from BRICS to bring our economies

closer to their goals of 2025?BRAZIL

Can provide• Energy (oil&gas, nuclear, hydro)• Territory (living, food production,

transportation)• Job opportunities (esp. in cities)• Humanitarian technologies• ScienceWould ask for• Technologies (agriculture, renewable

energy, soft technologies)• Long-term financing• Skills in deficit areas

Can provide• Energy (oil, hydro)• Technical education: exportable models• Agriculture technologies in tropical / sub-

tropical regions (soybean, cotton, …)Would ask for• Long-term financing & cross-investment

into infrastructure• Skills & knowledge exchange (advanced

research, deregulation & cross-investment in education market)

RUSSIA

INDIA

SOUTH AFRICA

CHINA?

Can provide• Low cost healthcare + pharma• Human capital (skills corridors)• Agricultural technologies• SME development expertiseWould ask for• Long-term financing & cross-investment

into infrastructure• Energy security• Knowledge transfer & university

exchange,• Drinking water management

Can provide• Gateway to continent• Mining skills, medical skills• Social diversity standards• Cultural exchangeWould ask for• Infrastructure funding• Educational exchange• Political security• Partnership without domination

• Skills & knowledge exchange (incl. BRICS University)

• Energy security & development

• Finance + skills for infrastructure

• Agriculture: BRICS Agri Bank + food security / sustainability management

BRICS

There were no representatives of China during the session, and therefore no statements have been made regarding requirements and provisions from China (we expect further contribution by end of August)

Source: working group discussion

BRICS: what trends shape its future1. Population demography / income

• Growing (absolute) segregation in education & income across the world• Growing middle class in BRICS• Increasing role of Y-generation• Growing income of younger population (=> market for consumer innovations)• Growth of unemployment due to technology modernization (vulnerability of low-skilled)

2. Economy & finance• Slowing down of global economy (at least until 2018) => decline of capital availability =>

need to redirect capital flows => BRICS can become new source of finance (in 2020s)• Growth of South-South trade => opportunity to increase intra-BRICS trade (hence need for

settlement mechanisms)• Increased connectivity: helping collaboration despite distance• BRICS can become new centers of competences (in 2020s) + combat rapid obsolesce of

technologies (i.e. establish capacity in creation of manufacturing technologies)3. Environmental management

• Growing effect of climate change• Growing effect of environmental destruction (due to agricultural & industrial activities, e.g.

deforestation & destruction of bio-diversity)• Growing shift of energy balance towards renewables

4. Increased role of non-state agents (corporations, NGOs, etc.)• Need to enhance business ties in BRICS (vs. geopolitical agenda)• Need to improve global security (incl. security of Middle East) & prevent risks of global

terrorism Sources: foresight session results

BRICS: some projects thatcan make it stronger

1. Energy & infrastructure collaboration• Cross-BRICS provision of energy security: Russia + Brazil as providers, China + India as

consumers• African energy (e.g. cross-investment into hydropower plant in Congo)• Regional integration through infrastructure (transport + energy + ICT):

Silk Road, pan- South American highway, BRICS communication cable, etc.2. Enhancing integration & economic collaboration

• Shared legal framework (esp. in IP & technology transfer)• Unification of standards related to intra-BRICS trade• Creation of incentives that help equalize trade balances between BRICS countries• BRICS shared currency (basket of currencies for NDB as a first step)• Innovation map & coordinated development of new sectors / breakthrough technologies

3. Strengthen educational links• Improve BRICS languages teaching in schools / universities of BRICS• BRICS ‘soft skills school’, incl. understanding of cultural differences• Student exchange between BRICS universities• Mutual recognition of degrees

4. Strengthen links between people• Remove visas between all BRICS countries• Communication bridges: create BRICS awareness through social media• Cultural & sport exchange projects (involve larger population) Sources: foresight session results

BRICS – possible timeline to 2030

SKILLS DEVELOPMENT FOR COOPERATION

CREATING CONDITIONS FOR TRADE & ECONOMIC

COOPERATION

COOPERATION IN R&D /

TECHNOLOGY DEVELOPMENT

ENERGY & TRANSPORT INFRASTRUC-TURE

BRICS AS GLOBAL

PROBLEM SOLVER

Summary of foresight session results1. Focus of 2015-2020: creating conditions for stronger union

• BRICS needs to become not only geopolitical but also economic & cultural union• BRICS projects of next 3-5 years should focus on enhancing the potential of our

future collaboration, including• Harmonization / unification of regulatory base (and deregulation where

necessary), including legal frameworks, trading legislation, currency basket, visas, etc.

• Development of skills that help cooperation (languages, intercultural communication, exchange programs, etc.)

• Creating cases of actual business cooperation in the areas with highest potential – infrastructure as the enabler of other industries

2. Focus of 2020s: coordinated technological development• After the basic framework of cooperation has been set up, our countries can

focus on coordinating their long-term development, including cooperation in new & emerging hi-tech sectors through knowledge transfer (shared educational standards & collaboration in R&D)

3. Focus after mid-2020s: global problem-solver• The main long-term focus of BRICS can be to leverage the potential of its

economies and population to address global problems such as sustainable energy & materials, food & drinking water security, financial security, and global peace Sources: foresight session results

cultural clusters? Olympic committee?

Russia presidency India presidency China presidency

SKILLS DEVELOPMENT WORKING GROUP ROADMAP 2015-2018

July 2015 July 2016 July 2017 July 2018

Institutionalize SkillsDevelopment Fund

2015-2016

BRICSconference on dual model

2016

OBJECTIVE 3: INCREASE

PRODUCTIVITY IN ESTABLISHED

SECTORS USING BEST PRACTICES

OBJECTIVE 2: ACHIEVE BRICS LEADERSHIP IN

INNOVATION & HI-TECH SECTORS

OBJECTIVE 1: CREATE

POTENTIAL FOR FUTURE

COLLABORATION IN BRICS

GENERAL EDUCATION & TRAINING FOR COLLABORATION

SKILLS & KNOWLEDGE TRANSFER FOR HI-TECH & EMERGING SECTORS

SKILLS & KNOWLEDGE TRANSFER FOR ESTABLISHED SECTORS

Biliteral agreements of TVET institutions

2016

Proposal for legal frame work

re design

Programs for BRICS entreprenership

(e.g. BRICS on BRICS)

July 2015 July 2016 July 2017 July 2018

Skills Development Working Group: Priorities 2015-18

OBJECTIVE 3: INCREASE PRODUCTIVITY IN ESTABLISHED

SECTORS USING BEST PRACTICES

OBJECTIVE 2: ACHIEVE BRICS LEADERSHIP IN INNOVATION & HI-

TECH SECTORS

OBJECTIVE 1: CREATE POTENTIAL FOR FUTURE COLLABORATION IN

BRICS

• Language studies (Mandarin, Russian, Portuguese, English)

• Inter-cultural exchange (entrepreneurship, art, etc.)• Festivals (food, movies, …) and competitions (sport,

robotics, spelling, …)

• Identify priorities in skills development through skills technology & education foresight

• BRICS young researcher joint programs (e.g. summer schools)

• Creation of network for R&D collaboration (+ integration with other networks, e.g. think-tanks association)

• Exchange best practices in skills development (start with dual education)

• Share best education & training modules via online training systems & games

• Launch World Skills BRICS competition

Create Skills Development Fund (as a part of BRICS New Development Bank) to support skills development and enable BRICS collaboration!

Russian initiative #1: Foresight of Skills & Educational Formats

Leveraging the existing expertise of Russia & other BRICS countries

Obtaining consensual vision

of priorities & projects in skills

development

• Skills Technology Foresight of BRICS will identify manufacturing, hi-tech and emerging industries where collaboration in skills development will create high productivity gains or will allow for new business creation

• The project will identify ‘skills of the future’ that should become priorities in education & training development to upgrade human capacity in our economies

• The project will also identify new educational formats (e.g. in online education) that need to be implemented and scaled across our national education systems to make them more competitive

• Global Education Futures, an international collaborative platform for discussion of the future of education, will be used as a vehicle of connecting BRICS agenda with agenda of top global educational innovators

• Methodology of Skills Technology Foresight is designed between Russia and International Labor Organization, and is used in a highly successful ‘Atlas of Emerging Jobs’ project (we propose to publish a similar Atlas for BRICS as one of project outcomes). It needs to be combined with successful methodologies used in other BRICS countries, e.g. Brazil’s SENAI Future Job Profiling.

Russian initiative #2: Exchange of best practices in professional education

Dual education is a highly efficient approach in professional education that allows early acquisition of relevant skills by combining education & work.The dual education model as a project initiative for Russia is approved by the Russian President Vladimir Putin. It has been implemented since January 2014 in 13 regions and already involved 114 participating colleges, 121 enterprises, 16811 students, 3541 mentors. It is planned to replicate the project for all 85 subjects of the Russian Federation.

The dual education model is relevant for all BRICS countries, so it is essential to synchronize the national efforts in this field. Brazil and China, among others, are experimenting with dual education or similar models.We propose to conduct a BRICS conference on dual education methods in 2016 with the leading countries in professional education and training (incl. Germany). This conference may attract around 500 experts who represent the main stakeholders of the dual method : enterprises, colleges, coordinators from the government (around 100 experts from each country).

Dual education as a successful approach to

practice-based learning

Spreading dual model across

BRICS

Russian initiative #3: WorldSkills BRICS Competition

Cooperation in BRICS - a global platform where youth, educators, industry and governments can meet, learn and develop skills together.BRICS Competition - held in BRICS countries to showcase and inspire world-class excellence in skills and introduce youth to a variety of skilled careers.R’n’D - Current information, facts, figures and news about skills in BRICS countries.Education and Training – tools for educators and industry to develop new and innovative ways of teaching and training the future workforce to gain the skills in demand.Career Building – access to a network of resources and tools for young skilled professionals to build on their success and inspire future generations of skilled workers to discover the relevance and importance of skills.Promoting Skills - a skills power-hub and information resource library where educators, policy-makers, industry and other organizations redefine the value and improve the attractiveness of skills.

WSI

WS BRICS

Russian initiative #4: Educational platform for skills in manufacturing,

hi-tech & emerging industriesOpen Technological Academy (OTA) - skills development platform for engineering and technical professions launched by government of Russia in 2014.We propose to use it as cross-national BRICS platform to build human capacity in manufacturing, hi-tech, and emerging industries

• Professional & expert communities for future skills definition (core learning outcomes for new competences)

• Online courses and blended programs development, incl. LMS

• Network of partner training sites (universities, eng&tech companies, etc.)

• Projects and work places for new-skilled-people in partner corporations and start-ups

• Possibilities for communication and interaction between engineering society (‘Facebook for Engineers’)

• Network of centers of competences (content is provided by engineering and technological companies

• Laser focus on Tech and Industries (not all-in-one MOOC)

• Integration with current and new programs of universities and corporate learning centers

• Program certification by industrial partners and professional communities

KEY FEATURES OF OTA ADVANTAGES OF OTA

APPENDIX

List of organizations that participated in BRICS cooperation foresight

Education & Skills Development• Agency for Strategic

Initiatives (RU)• WorldSkills Russia• Volnoe Delo (RU)• Russian Ministry of

Education & Science• Skolkovo Foundation (RU)• Skolkovo School of

Management (RU)• Strikitsa Consulting (RU)• PMI (South Africa)• SENAI (BR)

Bank & Corporate Finance• Commercial Indo Bank

(IN)• ECGC (IN)• FICCI (IN)• ExIm Bank India• South America

Chamber of Commerce & Industry (BR)

Manufacturing / Energy / Green Economy / New Industrial Sectors• Federation of Industrial

Enterprises Rio de Janeiro (BR)

• Bridgeways (RU)• Unified Center of BRICS

Collaboration (RU)• Russian Technological

Agency (RU)• Suzlon Group (IN)• Adidyabirla Group (IN)• Galai Developers (IN)• Russian-Brazilian Chamber

of Commerce (BR)List of attendees available upon requestAlso, several participants joined in the middle of the session and their organizations may have not been reflected

Russian Chapter of Skills Development Working Group

National development institution created by President of Russia in 2011 to improve the quality of business environment in Russia (incl. regulation, standards, skill base and more). ‘Young professionals’ division aims to improve the professional & higher education – over 100 systemic innovation projects supported in last 3 years.

Leading national private business school, and a long-term partner of the Agency for Strategic Initiatives and the Ministry of Education. Coordinates Russia’s projects with ILO in TVET and Ministry’s projects in higher education. Co-leads Global Education Futures project.

Russian chapter of World Skills coordinating regional and national championships that involve over 50 regions of Russia. Actively promotes new formats of WS such as WS-HiTech and WS BRICS

Russian Chapter of Skills Development Working Group (2)

Our ongoing projects include:• Future thinking & foresights for systemic educational

innovations & higher collaboration between key players. Includes Education 2035 Foresight (now Global Education Futures) and Skills 2030 Foresight

• Mentoring & strategic curation of educational institutions, startups & social enterprises in the area of skills development

• Curation of new industries emergence: Children Goods & Services, Preventive Medicine etc.

• Improvement of legislation & regulatory base: National System of Competencies & Qualifications, Roadmap for Distant Work & Craft Work, etc.

• Promotion of selected projects (e.g. World Skills)