tvet malaysia - the way forward malaysia - the way forward.pdftvet malaysia – the way forward tvet...

Dato’ Amir Bin Omar

TVET Malaysia

- The Way Forward

Secretary General Ministry of Human Resources, Malaysia

Mi n i s t r y o f H u m a n R e s o u r c e s

Secretary-General Ministry of Human Resources

D a t o ’ A m i r b i n O m a r

T o w a r d s E v i d e n c e - B a s e d P o l i c y F o r m u l a t i o n

T VET MALAYSIA – THE WAY FORWARD

TVET Symposium 2019

2 0 t h F e b 2 0 1 9 ( W e d n e s d a y ) P u l l m a n K u c h i n g , S a r a w a k

Organised by: Pusat Pembangunan Kemahiran Sarawak (PPKS)

Experience and Specialisation

Organisation

30 years of experience in the public sector focusing on human capital issues include: • Economic modelling - Economic-wide model on HRD and labour market • Forecasting – demography; labour market; and agriculture sector projection • Demand side HCD planning – labour market analysis

• Involvement in formulation of economic plan documents • Undertake Malaysia Human Capital Development • Formulate TVET Transformation Plan and Game Changer under the Eleventh Malaysia Plan

Economic Planning Unit: - Human Capital

Development - Agriculture Section

Ministry of Human Resources: - Director of Institute of Labour

Market Analysis and Information (ILMIA)

Tel: 03-88865021 Email: [email protected]

Education

Bachelor in Economics & Administration (Rural Economics) University of Malaya, 1986

Post Graduate Diploma in Economics, University of Manchester, United Kingdom,1995

Master of Arts in Economics, University of Manchester, United Kingdom, 1996

Technical assistance on HCD planning : • Sudan - The Long-Term Perspective Plan 2003-2027; • Saudi Arabia - The Long-Term Strategy 2005-2025; • Philippines - Region of Mindanao

Secretary-General Ministry of Human Resources

D a t o ’ A m i r b i n O m a r

- Deputy Secretary-General (Policy & International)

- Secretary-General

3

ELEVENTH MALAYSIA PLAN 2016-2020

4

MID- TERM REVIEW OF

Essential elements of Malaysia’s development planning : The 4Ps

Development

philosophy Planning

process and mechanism

Monitoring

performance of economic and socio-

economic dimensions

1 2

3 4 Inclusive

policies that evolve

5

Malaysia’s development is guided by several parameters …

Small but very open economy • Malaysia’s GDP is

0.7% of world GDP • Trade is 130% of GDP

Mixed economic system of free enterprise with active government support -

Multi-ethnic society of 3 main ethnic and 2 main indigenous groups in Sabah and Sarawak

A Federation of 13 States and

3 Federal Territories

1

3

4 2

Development targets are not only set in economic terms, but also in socio-economic terms

!

Development Philosophy

Bumiputera : Malays & other

indigenous groups (62%)

Chinese (21%)

Indians (6%)

Other M’sians (1%)

31.7 mn (2016)

Non-citizens

(10%)

the private sector is a full development partner

6

7

A unique affirmative action is adopted to ensure inclusive development : The principle of “Growth with Equity” is applied since 1971

New Economic Policy (1971-1990) target : Redistribute an expanding economic cake by a

ratio of 30 : 40 : 30

1970

Foreigners (RM3.3 bn)

Indians (RM0.06 bn)

Bumiputera (RM0.1 bn)

Chinese (RM1.4 bn)

Others (RM0.3 bn)

2010

Chinese (RM232 bn)

Bumiputera (RM168bn)

Indians (RM14 bn)

Others (RM25 bn)

Foreigners (RM288 bn)

23% 32%

40%

13 % p.a. (x 140)

Value of corporate equity by ethnic group

Despite the reduced share for foreigners, there was a

significant increase in the value of equity due to the expanding

economy, ensuring Malaysia as a still attractive destination for FDI

Only the expanded portion of the economic

cake is re-distributed, no private assets

were nationalised

(Bumiputera) (Foreigners) (Other M’sians)

Many sectors are now liberalised with possible maximum foreign ownership in selected sectors

!

RM726 billion

23% 32%

40%

4% 2%

RM5.2 billion

2%

27%

63%

6.0% 1%


The private sector as a full development partner

GOVERNMENT provides the broad thrusts and

directions for the whole economy to ensure the

achievement of socio-economic goals

PRIVATE SECTOR is given the appropriate policy, institutional & infrastructural support e.g. Malaysia Industrial Development Authority (MIDA) - incentives, tax exemptions, advisory services, guidance

MALAYSIA INCORPORATED CONCEPT (1983) A system of cooperation between the government and the private sector

towards achieving mutual progress and shared benefits

Mainly operationalised through

• Deregulation of cumbersome bureaucratic rules and regulations : e.g.

o PEMUDAH - Special Task Force to Facilitate Business

o Malaysia Productivity Corporation - reducing business regulatory burden

o Improvements in delivery system of the public sector

– e-services : Personal income tax payment, renewal of passports and licences, HRMIS, e-

banking

– National Blue Ocean Strategy (NBOS) : Urban/Rural Transformation Centres (one-stop

centre for public services)

• Institutionalised mechanism of engagement with the private sector : Regular dialogues

• Privatization / Public-Private Partnership (PPP) programmes

Malaysia

24/190

World Bank’s ranking on Doing Business, 2018


8

• Outline Perspective

Plans (10-year horizon)

• Vision 2020, 1991-2020

• New Economic Model,

2011-2020

• National Transformation,

2021-2050

1 2 3

3 -Tier Planning

Long-term Planning

(> 5 years)

Medium-term Planning

(3-5 years)

Short-term Planning

(1-2 years)

Prepare a long-term framework

Translate long-term framework into policy, strategy, programme, projects and development allocation

Implement policy, strategy, programme, projects and annual budget allocation

• Five-year development

Plans, e.g. Eleventh

Malaysia Plan, 2016-

2020

• Mid-term review of the

five-year Plans

• Annual Budget by the

Ministry of Finance (every

October)

• Annual Report by the

Central Bank of Malaysia

(every March)

Adopt a logical three-tier planning horizon … that allows for continuous monitoring and adjustment

EPU coordinates the preparation of the medium-term development plans

9

Planning Mechanics

11MP: EXTENSIVE ENGAGEMENT WITH STAKEHOLDERS

TWG : Education TWG : Higher Education TWG : Technical &

Vocational Education & Training (TVET) & Lifelong

Learning

TWG : Labour Market

IAPG on Human Capital Development

Focus Groups 1. Pre-College &

Employment, Student Learning, System Structure

2. Quality of Teaching, Teachers and School Leadership

3. Quality of Education and Ministry Transformation

4. Governance and Coordination

Focus Groups 1. IPT capacity analysis 2. Collaboration between HEIs &

Industries 3. R&D and Innovation Capability 4. World Class Higher Education 5. Entrepreneurship Education 6. Effectiveness of Soft Programmes 7. Malaysian Technical University

Network (MTUN) 8. New Curriculum 9. Financing of Higher Education 10. Affirmative Action In Gender In

Higher Education Enrolment 11. Moratorium 12. Teaching Hospitals 13. Knowledge Transfer Programme 14. Internationalisation 15. Quality of Academic Fraternity 16. Good Governance 17. Graduate Employability

Focus Groups 1. Articulation & Content 2. TVET Institutional Capacity 3. Instructor Quality 4. Industry Collaboration 5. Funding & Business Model 6. Promotion and R&D&C 7. Labour Market & Industry 8. Community Development

Focus Groups 1. Population &

Demographics 2. Women Participation In

the Labour Market 3. Wage Structure 4. Labour Productivity 5. Labour Market Regulation 6. Employment Protection 7. Job Creation 8. High-skilled Labour 9. Foreign Workers 10. Public Sector Employment 11. Informal Sector

Chairman : Dep. DG (Human Capital), EPU Secretariat : Director (Human Capital), EPU

Chairman : SG Education Secretariat : Education

Chairman : SG Higher Education Secretariat : Higher Education

Chairman : SG MOHR Secretariat : DSD, MOHR

Chairman : SG MOHR Secretariat : MOHR

IAPG on Human Capital Development • 4 Technical Working Groups • 40 Focus Groups

Note : IAPG = Inter-Agency Planning Group; TWG = Technical Working Group

10

11

CURRENT ECONOMIC

CONDITION

Major economic reforms evolved in line with external development

1960s & 1970s Commodity Diversification

1980s Industrialisation

1990s Increased Connectivity

2000s Services-based Economy

Economic Reform Diversification of agriculture & mining commodities

Major global shift More global demand for commodities

Major Outcome • Rapid rise of industrial

commodities • Crude palm oil : 39% (1960) to

83% (1979) of total agriculture

Economic Reform Industrialisation • Investment Act : Promotion of

private investment • Attracted FDI

Major global shift Plaza Accord : Japanese firms investing abroad

Major Outcome

• Substantial increase in FDI : RM2

bn (1980) to RM14.8 bn (1999)

• Enhanced physical infrastructure:

Road coverage 26,000 km (1980)

to 65,091 km (1999)

• More internet users (per 100

people) : 0.001 (1992) to 12.3

(1999)

Economic Reform Improve infrastructure and Increase connectivity • North-South Highway • Digital infrastructure (MSC)

Major global shift Rise of global value chain by multinational companies (MNCs)

Economic Reform Services sector enabler • Financial sector reforms • High speed broadband

Major global shifts • China’s integration with the

world • High commodity prices

Major Outcome • Rising share of services

sector to GDP : 49% (2000) to 54% (2015)

Policy Evolution

12

Phases of Industrial Development in Malaysia

8.8 (1970)

12.9 (1980)

18.9 (1990)

19.8 (1991)

25.3 (2000)

26.0 (2006) 23.4

(2010) 23.0

(2016)

'70 '73 '76 '79 '82 '85 '88 '91 '94 '97 '00 '03 '06 '09 '12 '15

Manufacturing Sector (% to GDP)

Average Growth of Manufacturing Sector (% p.a.)

• 1971-1980 : 11.7

• 1981-1990 : 10.1

• 1991-2000 : 10.3

• 2001-2010 : 3.9

• 2011-2016 : 4.8

Before 1957 :

Pre-Independence

• Laissez faire

• Focus on exports

of primary

commodities (tin

and rubber)

1957-1967 :

First Phase of

Import

Substitution

Strategy

• Diversify

economy,

reduce imports

and generate

employment

1968-1980 :

First Phase of Export-

Oriented Strategy

• Diversify

manufacturing base,

create linkages and

increase

employment

• Emphasize labour-

intensive industries

of E&E and textiles

for exports

1981 to 1995 :

• Second Phase of Import

Substitution Strategy

– Create linkages within the

manufacturing sector

– Reduce imports of intermediate

and capital goods

– Import substitution based on

heavy industry

Structural break in 1987,

manufacturing surpasses agriculture

sector

• Second Phase of Export-Oriented

Strategy

– Boost competitiveness

– Resource-based industries

1996 onwards

• Focus on knowledge-based

economy : Capital-intensive

industries, higher-paying jobs,

higher-skill talent

• Multi-media Super Corridor,

1996 : Global hub for ICT and

multimedia innovation,

operation and services

• Liberalisation of the trade and

investment

Manufacturing peaked in 2006,

major export contributor

• Services Sector Blueprint, 2015

‘57 ‘67

Before 1957 1957 - 1967 1968 - 1980 1981 - 1995 1996 onwards

Year

Policy Evolution

13

Resource-based industries made up

51% of manufacturing sector in 2016

Malaysian Economic Performance

Real GDP, CPI (% p.a.), Unemployment (%)

402

9,552

1,085

26,438

0

10

20

30

40

1970 1980 1990 2000 2010 2017

US$ (current prices)

GNI per capita (US$)

Sustainable real GDP growth with low inflation and full employment

1 2 Income per capita has expanded over 20 times since 1970 – Malaysia is now a middle-upper income country; top 25 percentile

Development Record

Note: World Bank per capita income threshold for a high-income country = USD12,235 (2016)

-1.1 (1985)

-7.4 (1998)

-1.5 (2009)

5.9

3.7

3.4

-8-6-4-202468

1012141618

'71 '75 '80 '85 '90 '95 '00 '05 '10 '15

GDP

GDP, 1972-2016 (% p.a.) • World: 3.1 • Advanced countries: 2.6 • Developing countries : 2.8 • Emerging markets: 4.7

Malaysia, 1971-2017 • GDP : 6.2 • Inflation : 3.7 • Full employment since 1992

14

‘17

% of Total Household Income

2 Average monthly household income has increased

1

RM in current prices

A more prosperous society … Increasing income shares of the bottom and middle 40% groups

National • T20 • M40 • B40

9.6 8.3

10.2 12.0

2010-2016 (% p.a.)

Development Record

15

2,848

6,502

16,088

0

3,000

6,000

9,000

12,000

15,000

18,000

'70 '79 '89 '99 '09 '16

B40 M40 T20

T20/B40 Ratio

9.7 9.3 6.9 7.2 6.9 5.6

1970 1979 1989 1999 2009 2016

11.5 11.9 14.5 14.0 14.3 16.4

32.8 32.7 35.5 35.5

36.1 37.4

55.7 55.5

50.0 50.5

49.6 46.2

B40 M40 T20

Component 2000 2016 Point Change, 2000-2016

Economic Well-being 100 127 27

• Transport 100 135 35

• Income & Distribution 100 134 34

• Communications 100 130 30

• Education 100 128 28

• Working Life 100 124 24

Social Well-being 100 120 20

• Housing 100 137 37

• Leisure 100 132 32

• Public Safety 100 131 31

• Social Participation 100 125 25

• Governance 100 124 24

• Culture 100 109 9

• Health 100 108 8

• Environment 100 102 2

• Family 100 97 -3

Softer aspect of Development : Malaysia Well-Being Index 2000-2016

Index

Economic well-being improved faster than social well-being …

• MWI measures the impact of socio-economic

development on Malaysians’ well-being

• 14 components and 68 indicators

− Economic (5 components)

− Social (9 components)

… but there areas of concerns which are being addressed by remedial programmes

Development Record

16

100

105

110

115

120

125

130

135

'00'01'02'03'04'05'06'07'08'09'10'11'12'13'14'15'16

MWBI

Exports 2017

(RM935 bn) 29.2

24.2

3.8

10.2 2.2

9.9

20.5

International Relations : Adopt the Philosophy of “prosper thy neighbour”

Very active in trade arrangements … Mega Free

Trade Areas

(FTAs)

Association of

South-East Asia

Nations (ASEAN)

Bilateral

FTAs

• General

Agreement on

Tariff and

Trade (GATT):

1957

• Member of

World Trade

Organization

(WTO): 1995

• (Trans-Pacific

Partnership

Agreement

PPA): 2016

• CPTPP

• ASEAN FTA

(1992)

• ASEAN - China

(2004)

• ASEAN - S.Korea

(2006)

• ASEAN - Japan

(2008)

• ASEAN - India

(2009)

• ASEAN -

Australia- New

Zealand (2009)

• Japan (2005)

• Pakistan (2007)

• New Zealand

(2009)

• Chile (2010)

• India (2011)

• Australia (2012)

• Turkey (2015)

... With diversified trade partners

East Asia 53.4%

ASEAN

West Asia

EU-28

Africa

North America

North East Asia

Others

Note : The size of Malaysia’s external trade is 131% of its GDP in 2017

Development Record

17

A competitive nation … Malaysia is considered one of the most competitive nations …

Global Competitiveness Report, 2017-2018

… and still an attractive destination for foreign direct investment

0

5

10

15

20

25

30

35

40

'90'92'94'96'98'00'02'04'06'08'10'12'14'16

Foreign Direct Investment (RM billion)

Source: UNCTAD Note : 2016-2017 ranking in brackets Source: World Economic Forum

Score

Development Record

4.8 5.3 5.8

26 (26) South Korea23 (25) Malaysia

10 (10) Finland9 (8) Japan

8 (7) United…7 (6) Sweden

6 (9) Hong Kong5 (5) Germany

4 (4) Netherlands3 (2) Singapore

2 (3) United States1 (1) Switzerland

2017-2018 (137 nations)

Malaysia 23/137

18

01

05

02

03 07

08

04 06

Malaysia’s Development

Lessons

Formulate own core development philosophy, policies and plans, which are

pragmatic and flexible

Peaceful coexistence among ethnic or social groups and

close cooperation among ethnically-based political parties

Any political solution to inter-group conflicts, through some formula of power- and

wealth-sharing, has to be viable and enduring

Effective macroeconomic management by the public sector, supported by a dynamic private sector, and facilitated by an open and resilient economy

Necessary government intervention in the market place to ensure a fairer distribution of opportunities and incomes among all racial and social groups

Continuous investment in human capital development: Hardworking and trainable labour force

Strong governments and leaders committed to

national interests over a sustained period of time

Two-pronged poverty eradication strategy : expansion of the economy

and government-run affirmative action programs targeted to the poor

Socio-political dimension

Socio-economic dimension

Development Record

19

Multidimensional Goals, 2018-2020 Targets are pursued together with qualitative aspects through the respective pillars

Growth growth at

4.5-5.5% p.a.

for 2018-2020

Labour productivity increases

to RM88,450 in 2020

GNI per capita increase to

RM47,720 in 2020

Compensation of employees (CE) )

to GDP increase to 38% in 2020

Mean monthly household income increase to

RM8,960 in 2020

Malaysian Wellbeing Index to increase by

1.7% p.a. for 2018-2020

… with reduced development gap between states

… with shrinking productivity gap between industries

… with narrowing income gap between states and higher purchasing power of the rakyat

… with increased CE for agriculture and services sectors

… with faster and sustainable increase for B40 household income

… with greater balance between social and economic aspects

Pillar III: Pursuing

Balanced Regional Development

Pillar VI: Strengthening

Economic Growth

Pillar II: Enhancing Inclusive Development and Wellbeing

Pillar IV: Empowering

Human Capital

Pillar II: Enhancing Inclusive

Development and Wellbeing

Pillar II: Enhancing

Inclusive Development and Wellbeing

Pillar III: Pursuing Balanced Regional Development

20

Pillar IV Empowering Human

Capital

21

Labour Market

• Low creation in skilled jobs category

• Reliance on low-skilled foreign workers

• Youth unemployment

• Graduate underemploy-ment

• Low female labour force participation rate

TVET

• Different accreditation bodies

• Overlapping programmes

• Lack of recognition of TVET graduates/ practitioners as professional

• Issues on quality instructors

Lifelong Learning

• Fragmented programmes

• PSMB Act 2001 is not comprehensive and covers limited sectors

• Limited accessibility due to lack of information, promotion & industry involvement

Education

Basic Education

• Enrolment rate below national target

• Lower student performance in TIMSS & PISA

• Dilapidated schools in rural areas

Higher Education

• Issues on quality of graduates

• R&D&I - uncoordinated & fragmented

• Governance - financial sustainability of public universities

Pillar IV : Human Capital - Issues and Challenges

22

Pillar IV: Empowering Human Capital

Strategy A1 Strategy A2

Strategy A3 Strategy A4

Generating skilled jobs

Raising salaries & wages

Enhancing management of foreign workers

Improving labour market conditions

Raising quality of education

Prioritising quality over quantity of TVET

Strategy C1

Strategy C2 Strategy C3

Developing industry relevant skills

Strategy D1

Promoting contributions of society & industry

Strategy D2

Increasing female participation in the labour force

Strategy B2

Strengthening workers’ rights

Strategy B1 PRIORITY

AREA A

PRIORITY AREA B

PRIORITY AREA C

PRIORITY AREA D

Reforming the labour market

Improving labour efficiency & productivity

Enhancing access to quality education & training

Fostering stronger industry-academia linkages

Improving education for all

23

Pillar IV : Selected Targets, 2020

National labour productivity

growth 2018-2020

Malaysia aims to be at least on par with the

international average in PISA & TIMSS assessment

Compensation of Employees to GDP

Monthly median wage Reviewing labour laws: Employment Act 1955, Trade Union Act 1959 and

Industrial Relations Act 1967

Student enrolment for preschool and secondary level

Intake of SPM leavers into TVET programmes

2 universities in the top 100 of the QS World University

Rankings

TVET graduates employed within 6 months of

graduation

Enhancing access to quality education & training

Fostering greater industry- academia linkages

Reforming the labour market Improving labour efficiency

& productivity

2.9% 38.0% RM

2,400 At par with

international standards

At par with internationa

l average

Universal enrolment

(≥95%)

225,000 2 in Top 100

85.0%

Revised Target Original Target New Target

24

26

CURRENT ECONOMIC &

LABOUR MARKET CONDITION

IN MALAYSIA

Impact of Industrial Revolution 4.0

Source:

The Global Risks Report 2017 (World Economic Forum, 2017)

The Future of Jobs Report (World Economic Forum, 2018)

Routine, repetitive, predictive

work being displaced by

automation and algorithm

01 WORK

New technologies are enabling

workplace innovations

02 WORKPLACE

The nature of the contract

between employer and employee

is changing

03 WORKFORCE

Effects of IR 4.0 in production and employment Changes in geography of production, distribution and value chains, employment types

• 50% automation will lead to some reduction in their full-time

workforce by 2022

• 38% expect to extend their workforce to new productivity- enhancing

roles.

• 25% expect automation to lead to creation of new roles in

organisations

• 75 million jobs estimated to increase by 2022

• 59% employers expected to modify on their composition of value chain

• 50% expect to modify geographic base of operations

• 74% will prioritise the availability of skilled local talent

• 1.74 million jobs may be displaced by a shift in the division

of labour between man and machine

38

The Critical Occupations List (COL) is an evidence-based list of occupations in Malaysia that reflects the most sought-after and

hard-to-fill occupations by industry in order to identify skills imbalances across the Malaysian economy.

Identifying Talent Demand Challenge through the Critical Occupations List

Source: Critical Skills Monitoring Committee

Higher Costs Lower Output

Reduced

Competitiveness

Below capacity long-term performance

Constrained Investment

Lower wages

Lower Job

satisfaction

Lower job security

Limited career prospects

Lower returns to

human capital

Investment

Lower

productivity

Slower economic

performance

EMPLOYERS EMPLOYEES THE ECONOMY

The list can be used to coordinate policy interventions related to higher education and TVET, upskilling, scholarship, and immigration.

43

NOTE: Occupation classification is based on Malaysian Standard Classification of Occupations (MASCO) 2013.

Examples of Critical Occupations List (COL) 2017/2018

Source: Critical Occupations List (COL) 2017/2018, Critical Skills Monitoring Committee

Managers Professionals Technicians and Associate Professionals

Managing Director and Chief Executives Director, Chief Executive Officer, General Manager

Finance Manager Account Manager, Risk Modelling Manager, Audit and Risk Management Manager

Policy and Planning Manager Strategic Planning Manager, Corporate Planning Manager, Project Planning Manager

Research and Development Manager Research and Development Manager, Product Development Manager

Manufacturing Manager Manufacturing Factory Manager, Production and Operation Manager, Production Manager-Food Processing

Chemist Chemist (Research and Development), Chemist (Quality Control)

Accountant Auditing Accountant, Accountant, Tax Accountant, Tax Consultant, Auditor, Payroll Analyst

Research and Development Professional Research and Development Executive

Financial Analyst Financial Analyst, Credit Risk Management

Software Developer Software Design Engineer, Software Engineer (.Net), Software Developer, SAP Application Developer, Data Visualisation Developer

Computer Network and Systems Technician Network Support Technician, System Security & Application ICT Technician

Mechanical Engineering Technician Mechanical Engineering Technician, Industrial Machinery and Tools Technician

Electrical Engineering Technicians Electrical Engineering Technician; Electrical Supervisor; Electrical Technician

Aircraft Technicians Aircraft Technician; Aviation Maintenance Technician; Aircraft Maintenance Technician (Airframes); Aircraft Maintenance Technician (Engines)

Manufacturing Supervisors Manufacturing Supervisor; Production Supervisor; Compounding Supervisor; Plywood Inspection Supervisor; Manufacturing Area Co-ordinator; Quality Control Inspector

44

53

DIPLOMA

&

ABOVE

CERTIFICATES

Current Supply Pipeline

54

CURRENT SUPPLY PIPELINE OF GRADUATE FROM IPTA Number of IHEs Graduates (Output) By Field of Study for Year 2008 to 2020

55

CURRENT SUPPLY PIPELINE OF GRADUATE FROM IPTA Number of IHEs Graduates (Output) By Field of Study for Year 2008 to 2020

Continued…..

Employment estimates by Major Occupational Level (‘000 Persons) (2010 – 2030)

MASCO Description 2011 2015 2020 2025 2030

Engineering 140,516 161,244 179,944 191,725 202,417

2141 - Industrial and Production Engineers 14,109 11,313 12,625 13,803 15,017

2142 - Civil Engineers 34,977 36,765 41,029 41,435 42,745

2143 - Environmental Engineers 244 141 157 172 187

2144 - Mechanical Engineers 27,678 26,037 29,057 32,081 35,074

2145 - Chemical Engineers 4,928 6,046 6,747 7,250 7,435

2146 - Mining Engineers, Metallurgists and Related Professionals 1,607 6,398 7,140 8,523 9,389

2149 - Engineering Professionals Not Elsewhere Classified 10,550 14,274 15,929 16,936 17,670

2151 - Electrical Engineers 12,062 21,584 24,087 26,364 27,731

2152 - Electronic Engineers 30,482 35,159 39,237 40,817 42,418

2153 - Telecommunications Engineers 3,879 3,527 3,936 4,346 4,751

216 Architecs, Planners, Surveyors And Designers 52,346 54,264 46,007 46,651 47,355

2165 Surveyor 12,848 20,061 18,415 18,881 19,290

Architect 10,980 12,880 11,549 12,533 14,067

2161 - Building Architects 9,408 10,150 9,101 10,297 11,537

2162 - Landscape Architects 1,572 2,730 1,929 2,236 2,530

221 Medical Doctor 30,011 35,460 42,897 44,106 45,907

225 Veterinarian 777 825 621 646 676

23 Teacher 599,915 686,721 759,430 776,520 801,595

241 Financial Professional 118,217 164,260 208,450 214,093 225,428

2411 Accountant 88,557 109,537 103,888 100,527 101,797

2261 Dentist 2,930 3,692 3,793 3,895 3,995

25 ICT Expert 38,408 65,973 124,223 119,866 129,809

251 - Software And Applications Developers And Analysts 28,502 41,716 50,902 52,542 55,115

252 - Database And Network Professionals 9,906 24,257 73,321 67,324 74,694

Employment estimates by Major Occupational Level (‘000 Persons) (2010 – 2030) (cont’d)…

MASCO Description 2011 2015 2020 2025 2030

261 Legal Professionals 24,722 25,949 24,137 24,669 24,821

2611 Lawyer 18,462 21,453 19,939 20,941 21,194

311 Technician 363,725 289,635 205,505 230,214 255,941

3111 - Chemical And Physical Science Technicians 18,461 17,995 14,358 15,853 17,417

3112 - Civil Engineering Technicians 112,888 33,785 19,068 22,647 26,510

3113 - Electrical Engineering Technicians 64,049 62,573 46,269 52,349 58,653

3114 - Electronics Engineering Technicians 24,680 26,534 19,788 22,170 24,478

3115 - Mechanical Engineering Technicians 97,793 96,606 71,390 79,207 87,451

3116 - Chemical Engineering Technicians 4,849 6,599 3,863 4,478 5,067

3117 - Mining And Metallurgical Technicians 1,463 3,420 2,410 2,726 3,055

3118 - Draughtspersons 23,166 31,549 20,260 22,478 24,818

3119 - Physical And Engineering Science Technicians Not Elsewhere Classified 16,376 10,574 8,099 8,304 8,492

Issues on equality, salary gap Wages

Lagging productivity level Productivity

Unregistered employers & employees, unprotected by law

Dependency on low skilled foreign labour

Skill gap, insufficient high income job

Impact of Foreign workers

Skilled workers

Informal Sector

Unemployment issue, graduate unemployment, drop-out Youth

Time based / overqualified Occupational Mismatch

Lack of legal provision - ie woman participation in workforce Protection Act

Promote market efficiency and harmonious industrial relations, focusing on ease of doing business

Labour Market Regulations

Pillar IV TVET DEVELOPMENT

IN MALAYSIA

59

TVET refers to the programme designed mainly to prepare students with skills for entry into a particular occupation or trade (or class of occupations or trades) (UNESCO, 2014).

The World Bank in its article ‘Investing in People’s Knowledge and Skills to Promote Development’, 2011, highlighted ‘…..growth, development, and poverty reduction depend on the knowledge and skills that people acquire, not the number of years that they sit in a classroom’.

TVET graduates are in better position to meet the jobs demand

TVET graduates are in better position to command high income jobs

More future jobs in TVET related occupations

Global changing trends for TVET

INTRODUCTION

60

1986 GIATMARA

Pekan, and 2 other institutions under MARA, to

cater skills training for the

less academically inclined students.

1969 Ungku Omar

Polytechnic under MoE, to provide TVET training.

1999 MTUN consists of

4 public universities to provide higher education for

TVET

1968 IKM Jasin

under MARA, to provide skills

training

1983 CIAST

commissioned under the

ASEAN HRD Project in

collaboration with MoHR, for

training of TVET

instructors.

1998 JMTI under

MoHR, cooperation

between Malaysia- Japan to provide TVET

training for industry

2004 Kolej

Pertanian Bukit Tangga

under MoA, to provide skills

training in agriculture.

1964 IKBN Dusun Tua

under MoYS, to provide skills training.

ILP Kuala Lumpur under MoHR, to provide skills training.

2000 UniKL MiAT under MARA,

to provide TVET training for higher education

ADTEC Batu Pahat under MoHR, to provide high-skilled TVET training.

Kolej Kemahiran Tinggi MARA Pasir Mas under MARA, to provide high-skilled TVET training.

2012 Vocational

College, under MoE to

provide TVET training for post-lower secondary students.

2001 Community

College under MoE, to provide TVET training and lifelong learning

Akademi Binaan Malaysia under CIDB, MoW for skills training in construction

1992 GMi under MARA, to

provide high-skilled TVET

training. 1

96

0’s

19

90

’s

20

00

’s

2017 TVET Malaysia to be leads by

MoHR and rebrand as

TVET Malaysia

TVET IN MALAYSIA

61

2018 TVET

Empowerment Committee

announced by MOE

Degree in Engineering Technology (Level 6)

Advanced Diploma and Diploma in Technology

(Level 4 & 5)

Malaysian Skills Diploma

and Diploma in Technology

(Level 4)

Malaysian Skills Certificate (Level1-3)

and Certificate of Technology

(Level 3)

Japan-Malaysia Technical Institute (JMTI)

Advance Training Institute Centre

(ADTEC)

Institut Latihan Perindustrian

(ILP)

Institut Kemahiran

Belia Negara (IKBN)

Federation of Private

Accredited Centre (FEMAC)

Institut Kemahiran Belia Tinggi

Negara (IKTBN)

Institut Kemahiran

MARA (IKM)

Giat MARA

University Kuala

Lumpur (UniKL)

Kolej Kemahiran

Tinggi MARA (KKTM)

German- Malaysia Institute

(GMI)

Polytechnics

Community Colleges

Vocational Colleges

MoHR MoYS MoRD MoE MoA MoD MoW States

National Agriculture

Training Council (NATC)

Institutes

15

Perhebat Institutes

1 CIDB (Akademi

Binaan Malaysia)

6

Federation of Malaysian

Skill Development

Center (FMSDC)

12

36

102

81

231

14

1

11

13

8

13

1 8

24

684

Malaysian Technical University Network (MTUN)

4

Malaysian Advanced Skills Diploma

and Advanced Diploma in

Technology (Level 5)

CIAST

1

TVET PROVIDERS IN MALAYSIA

More than 1,000 institutions offering TVET, 55% are public institutes offering similar programmes with varying qualities.

62

CURRENT STRUCTURE OF TVET PROVIDERS

MOHR

Level 1 – 3 / Certificate

Level 6 & above / Degree

Level 4 & 5 / Diploma &

Higher Diploma

IKBN

JMTI

ADTEC

ILP

COMM. COLL

GMI

UNIKL

ABM

IKTBN

IKM

KKTM POLYTECH

MTUN

VC

MORD Other

Ministries

CIAST

GIATMARA

NATC

QUALIFICATION

MINISTRY

TVET INSTITUTIONS

MOYS MOE

63

Access to TVET are divided into two, Institution-based training

and Industry-based training

Institution-based training Industry-based training Skills

Training

Continuation of studies for

secondary school leavers and

workers enrolled in public or private

training institutions for formal

training based on training curriculum

Expansion of access to TVET and

certification for workers through

various programmes such as National

Dual Training System (NDTS) and

Accreditation of Prior Achievement

(APA);

Malaysian Skills Certificates Level 1, 2 or 3; Malaysian Skills Diploma (Level 4); or Malaysian Skills Advanced Diploma (Level 5).

Certificates Diploma and Advanced Diploma; Degree and higher

64

MQF sectors reflect historical governance

"Skills" and "Vocational & Technical" separate sectors with distinct accreditation

"Skills" and "Vocational & Technical"

separate sectors with distinct accreditation

...

... resulting in

inefficiencies

and confusion

Separate governance

of Skills and

Vocational and

Technical sector does

not encourage

collaboration

• Limited

coordination and

duplication of

responsibilities in

calibrating learning

outcomes

• Limited sharing of

best practice

Distinct accreditation

(DSD and MQA)

raises confusion

• Students and

employers unclear

of value/

differentiation

among certificates

• Exacerbates

pathway for further

education

Vocational and

Technical

MOHE

Higher

education

MOHE

Skills sector

MOHR

Graduate certificate

Bachelor degree

Diploma

Doctoral degree

Masters degree

Postgraduate dip.

Diploma

Vocational and

Technical Certificate

Advanced diploma Advanced diploma

L

1

Skills Cert 3

Skills Cert 2

Skills Cert 1

Diploma

Advanced Diploma

L

2

L

3

L

4

L

5

L

6

L

7

L

8

Certificate

Fra

mew

ork

1. Certificates in higher education sector currently in the process of being phased out. Certificates can either be skills-based or knowledge-based Source: MQA; BCG analysis

Accre

dit

ati

on

DSD-accredited

• Accreditation

process

undertaken

by DSD,

based on

NOSS

MQA-

accredited

• Internal

quality

assurance

process,

followed by

MQA

accreditation

Separate

agencies

accredit

programs within

TEVT

TVET

65

66

Funding Governance

Scholarship

• PSD / MARA

• Private Companies

Study Loan

• National Higher Educational Fund (PTPTN)

• Skills Development Fund Corporation (PTPK)

ST

UD

EN

T

Buying Places

• Government buy space in private

training institution (highly

demanded and not being offer by

Public Institutions) IN

ST

ITU

TIO

N

FUNDING

67

Funding model for TVET can be divided into two methods

namely, tertiary education and pre-employment / in-service.

Tertiary education Pre-employment and In-service

The Skills Development

Fund

Human Resources

Development Fund Tax Exemption

The SDF is managed by the Skills Development Fund Corporation which was established through the Skills Development Fund Act 2004 (Act 640)

Established in 2000 to provide financial assistance in the form of loans to trainees, particularly to school-leavers undergoing training programmes under the Malaysian Skills Certification System

Establish through enactment of the Human Resources Development Act in 1992, and establishment of Human Resource Development Fund (HRDF)

Imposition of a levy on employers in services and manufacturing industry sectors to be collected into the HRDF as a central pool of training fund.

All employers who have contributed to the levy are eligible to apply for training grants or financial assistance for the purpose of undertaking employees training.

The fund aims to enhance private industry role in the provision of training to increase the supply of trained workforce in the country.

Human resource development (HRD) paid under PSMB is classified as allowable expenses for tax purpose and considered as an expense incurred in the production of gross income

68

FUNDING STRUCTURE OF TVET

No. Ministry Agency No. of Inst.

Funding Accrd. Agency

Level of Comp.

Fees Total Capacity

1. MOHR ILP 24 OE JPK 1-3 FREE 15,000

2. JMTI 1 PTPK JPK 4-5 >RM6,000 1,000

3. ADTEC 8 PTPK JPK 4-5 >RM6,000 5,000

4. CIAST 1 OE JPK 5-6 FREE 1,000

5. KPLB IKM 14 OE JPK 1-3 FREE 10,000

6. KKTM 11 OE JPK 4-5 FREE 5,000

7. GIATMARA 231 OE JPK 1-3 FREE 25,000

8. GMI 1 MARA / PTPTN MQA 4-5 >RM30,000 2,000

9. UNIKL 13 MARA / PTPTN MQA 5-6 >RM30,000 25,000

10. KBS IKBN 13 OE JPK 1-3 FREE 10,000

11. IKTBN 8 PTPK JPK 4-5 >RM5,000 6,000

12. MOE KK 102 OE MQA 1-3 FREE 20,000

13. Politeknik 36 PTPTN MQA 4-6 >RM2,000 90,000

14. MTUN 4 PTPTN MQA 5-7 >RM10,000 15,000

15. KV 81 OE JPK 1-4 FREE 50,000

16. MOA Kolej Pertanian

15 OE JPK 1-4 FREE 2,000

17. KKR ABM 6 CIDB JPK / CIDB 1-3 FREE 3,000

Total 569 285,000 ILP – Industri Latihan Perindustrian JMTI – Japan-Malaysia Institute ADTEC – Pusat Latihan Teknologi Tinggi CIAST – Pusat Latihan Pengajar dan Kemahiran Lanjutan

IKM – Institut Kemahiran MARA KKTM – Kolej Kemahiran Tinggi MARA GMI – German-Malaysian Insitute UNIKL – Universiti Kuala Lumpur MTUN – Malaysian Technical University Network

IKBN – Institut Kemahiran Belia Negara IKTBN – Institut Kemahiran Tinggi Belia Negara KV – Kolej Vokasional KK – Kolej Komuniti ABM – Akademi Binaan Malaysia, CIDB

69

ELEVENTH MALAYSIA PLAN

2016-2020

TRANSFORMING TVET TO MEET INDUSTRY DEMAND

70

EMPOWERING HUMAN CAPITAL

THROUGH TECHNICAL AND VOCATIONAL

EDUCATION AND TRAINING (TVET)

71

STRATEGIC THRUST 3 Main strategies and selected outcomes

Improving labour

market efficiency

to accelerate

economic growth

Transforming

TVET to meet

industry demand

Strengthening

lifelong learning

for skills

enhancement

Improving the quality

of education for better

student outcomes and

institutional excellence

Game Changer

3.7% Labour productivity growth rate per annum

40% Compensation of employees to GDP in 2020

RM2,500 Monthly median wage in 2020

60% of the 1.5 million jobs that will be created during the Eleventh Plan will require TVET-related skills

225,000 Intake of SPM leavers to TVET programmes

58% Increase in number of employees that will benefit from expansion of the HRDF act

To be at least at par

with the international

average in TIMSS and

PISA assessments

100% Student enrolment from preschool to upper secondary

Top 100 2 universities in Top 100 of the QS World University Rankings

Accelerating human capital development for

an advanced nation.

1 4 3 2

*TVET as catalyst in producing high skilled workers

Source: Ministry of Economic Affairs

WHERE WE ARE & WHERE WE WANT TO GO

TVET IN ELEVENTH MALAYSIA PLAN: WAY FORWARD

Pathways of SPM leavers (2010)


(54%)

(36%)

(10%)

SPM

leav

ers

20

13

45

7k

247K

164K

46K

Diploma/Matriculation

/Pre University

Technical and

Vocational Education

and Training

Labour Market

TVET

(52%)

(25%)

(23%)

SPM

leav

ers

20

10

4

52

k

237K

113K

102K


/Pre University

Technical and


and Training

Labour Market

TVET

72


(50%)

(45%)

(5%)

SPM

leav

ers

20

13

45

7k

250K

225K

25K


/Pre University

Technical and


and Training

Labour Market

TVET


Game Changers 4: Transformation of Technical Education and Vocational Training (TVET)

New Dimension

Improve perception and enrolment SPM leavers to the TVET stream

TO-BE AS-IS

Strengthening TVET Governance

Strengthening the effectiveness of TVET delivery

Strengthening the effectiveness of TVET delivery

SPM leavers 2013 (456,000 students) • Tertiary education (academics):

54% • Tertiary education (TVET): 36% • Working: 10%

SPM leavers SPM Pathway 2020 (~500,000 students) • Tertiary education (academics): : 50% • Tertiary education (TVET) : 45% • Working : 5%

• Governance and accreditation under two different agencies

• Industrial co-operation by TVET institutions

• Establishment of Human Capital Council • Establishment of TVET's single governance

system • Establishment of Industry Skills Committee

• No specialization of public TVET institutions.

• There is no performance rating method for public TVET institutions. There is only a star rating program for private TVET institutions registered with DSD, MOHR.

• Specializing in institutional areas and the establishment of the Center for Excellence

• Integrated Rating System for public and private TVET institutions

• Limited industry acceptance, no special body recognizes Technologist career from among TVET graduates.

• Technologists recognition through the establishment of the Malaysia Board of Technologists

73 Source: Ministry of Economic Affairs

KEY STRATEGIES

Game Changers 4: Transformation of Technical Education and Vocational Training

Pe

rce

pti

on

Go

vern

ance

De

live

ry

Qu

alif

icat

ion

74

• Highlights the TVET flow as an optional career

• TVET accreditation standardization

• Strengthen funding for TVET

• Establishing Human Capital Council (MMI)

• Establish TVET 's single governance system

• Establishing Industry Skills Committee (JKI)

• Introducing TVET institution specialization

• Introducing the Integrated Rating System for public and private TVET institutions

• Build quality TVET instructors

• Established Malaysian Board of Technologist to recognize Technologist's career as a professional and administering behavior and ethics as well as providing guidance for career development


75




11TH MP : MID TERM REVIEW

Part I: Past Performance on Human Capital, 2016-2017

225,0

00

Improving labour market efficiency to accelerate economic growth

3.7%

Transforming TVET to meet

industry

demand

National labour productivity growth

3.7% 40.0%

36.7%

RM 1,890

Compensation of Employees to GDP in 2017

169,242

Intake of SPM leavers into TVET programmes in 2017

RM 2,500

Strengthening lifelong

learning for skills

enhancement

Improving the quality of education for better student outcomes and

institutional excellence

Increase in number of employees benefitted from expansion of the

PSMB Act, 2001 in 2017

Malaysia aims to be at least on par with the international average in

TIMSS and PISA assessment

Student enrolment from preschool to secondary level in 2017

Top

100 1

university

in Top 200

2 universities in the top 100 of the QS World University Rankings

58.0% 20.7%

National score increased

but below international

average

100%

90.9%

(preschool)

91.3% (secondary)

Original target Performance

2016-2020 2020 2020 2020

2020 2020 2020 2020

Monthly median wage in 2017

Focus Area B

Focus Area D Focus Area C

Focus Area A

Selected Outcomes and Performance:

76



Part I: Past Performance on TVET, 2016-2017 Selected Outcomes and Performance:

Focus Area

Key Results, 2016-2017

TVET Student intake • Intake increased: 163,269 (2016) to 169,242 (2017) TVET Governance • Harmonised accreditation system developed & incorporated into the revised Malaysian

Qualifications Framework Quality and delivery of TVET programmes • Flexible training approach implemented modular courses & short-term training • National Dual Training System benefitted 20,975 trainees including 8,054 youth under

Special NDTS (2017) • TVET institutions offered specialised programmes in niche areas • TVET Graduate Tracer Study System developed & expanded to all TVET institutions • Contestable funding & matching grant to promote industry-based training programmes Quality Instructors • Instructors with Vocational Instructor Certification increased from 3,063 (2015) to 5,868

(2017) • eProfiling system registered more than 20,000 instructors (2017) • Industrial Attachment Training programme benefitted 217 instructors (2017) Rebranding TVET • TVET Malaysia launched in 2017 to streamline TVET initiatives • Establishment of Malaysia Board of Technologists to recognise technologists and TVET

practitioners

Transforming TVET to Meet Industry Demand

B

Key Results, 2016-2017

77



78 78 SULIT

• Reviewing TVET programme offerings

o Eliminate low impact programme, focus on high employability programme

o Rationalise TVET institutions towards optimising existing TVET facilities

• Implementing harmonise accreditation system

o Implement Code of Practice for TVET Programme Accreditation under MQF

• Strengthening TVET as a preferred education pathway

o Provide better pathway to pursue higher education

Prioritising Quality Over Quantity of TVET

C2

Priority Area C - Enhancing Access to Quality Education and Training

Initiatives Strategy

PART II: NEW PRIORITIES AND EMPHASES, 2018-2020

78



Developing Industry-Relevant Skills

79 79 SULIT

• Enhancing industry-based programmes o Modular courses & flexible training programmes o Contestable fund & matching grant o National Dual Training System o Apprenticeship

• Increasing employability of TVET graduates o TVET Graduate Tracer Study o Entrepreneurial module will be strengthened as compulsory

component o Industrial Attachment Training (LSI) programme for instructors

• Recognising technologists as professionals o MBOT

D1

Priority Area D - Fostering Stronger Industry Academia Linkages

Initiatives Strategy

PART II: NEW PRIORITIES AND EMPHASES, 2018-2020


GOVERNANCE MTR , 11th MP

IAPG : THRUST 3 Chairman: Deputy Director General (Human Capital), EPU

Secretariat : EPU

TWG Labour Market

Chairman: MOHR Secretariat:MOHR

Focus Group 1 Governance

Head: MQA and DSD

Focus Group 2 TVET

Programmes

Head: DSD (MOHR)

Focus Group 3 Rebranding

Head: JPPKK (MOE)

TWG LLL Chairman: MOHR

and MOE Secretariat:

MOHR and MOE

TWG TVET Chairman: MOHR Secretariat:MOHR

TWG EDUCATION

Chairman: MOE Secretariat:

MOE

TWG EDUCATION Chairman: MOE Secretariat:MOE

Note : The appointment of the Head of each TWG is in line with the appointment of BFU chairman as decided on 23 February 2016 and subsequent meeting 4 March 2016


CURRENT STATUS OF TVET

81




Revised MQF framework for accreditation of TVET, towards one single track and create national accreditation for TVET

"Skills" and "Vocational & Technical" separate sectors with distinct

accreditation

Existing MQF

82

1

The current fragmented TVET sector will be consolidated through the establishment of a single system adopted by both MQA and DSD to facilitate better coordination and monitoring of the TVET sector. The new system will accredit TVET programmes offered by both public and private TVET institutions based on the revised Malaysian Qualifications Framework (MQF). This in turn will allow mobility of students between and among all TVET institutions.

83

ESTABLISHING A SINGLE SYSTEM FOR

ACCREDITATION

Umur 21thn + APEL (tiada pendidikan

formal)

TVET T1

SIJIL T3

DIPLOMA T4

DIP LANJUTAN T5

SARJANA MUDA T6

KEDOKTORAN T8

KERJAYA@18thn

Umur 18.5thn + TVET T3

KER

JAY

A

Umur 30thn + (STPM/DIPLOMA/ setara) + APEL

Umur 30thn + (STPM/DIPLOMA/setara) + APEL

Umur 18.5thn + SIJIL T3/ setara

Umur 21.5thn + DIP LANJUTAN T5/ setara

SARJANA MUDA

SARJANA

Umur 20thn + TVET T4

Umur 17thn + TVET T2

PENAMBAHBAIKAN LALUAN PENDIDIKAN TVET

TVET T1

Umur 20.5thn + DIP T4/setara

(SPM + 1 KR /setara)

Umur tamat 21.5thn

Umur tamat 20thn

Umur tamat 22.5thn (dengan

Pindah Kredit) 24thn (APEL)

SARJANA T7

84

+ 3 KR + 1 KR

STPM/ setara

SPM/ setara

(SPM/setara)

Umur 18.5thn



Umur tamat 21.5thn

Umur tamat 20.5thn


formal)


formal)

Umur tamat 23thn

TVET T5

TVET T4

TVET T3

Umur 17thn

TVET T2

A B Tiada ketetapan

umur

Program Single Tier TVET T3 (Kandungan program = TVET T1 + TVET T2 + TVET T3) Program Single Tier TVET T4 (Kandungan program = TVET T1 + TVET T2 + TVET T3 + TVET T4)

A

B Laluan Akademik

Laluan kemasukan menggunakan SPM/setara dan STPM/setara

Laluan kemasukan Single Tier ke TVET T3 dan TVET T4

Laluan TVET

Laluan APEL

PETUNJUK:

85

Cabinet Meeting on 06 June 2018, YAB Prime Minister has proposed that the Ministry of Economic Affairs with the Manpower Ministry provide a Memorandum of the Cabinet to coordinate the functions of skill training institutions under various ministries to avoid overlapping of scope and functions.

The Education Minister has announced the establishment of the TVET Empowerment Committee under the KPM chaired by MP Permatang Pauh, YB Puan Nurul Izzah Anwar on 21 June 2018.

Cabinet Meeting on 26 October 2018, has approved that the TVET Empowerment Committee under KPM, chaired by YB Puan Nurul Izzah Anwar, is mandated to conduct a study on the strengthening and upgrading of TVET; and KPM and KTM are jointly managed to the TVET Empowerment Committee.

CABINET MEETING DECISION 2

TVET RATING SYSTEM

86

3

INPUT

• Leadership and Governance

• Resources and Physics • PB capacity

PROCCESS

•Curriculum •Curriculum Design

and Training Presentation • Implementation of

Training and Assessment •Exercise facilities

and equipment •Safety Workshop /

Lab •Quality

Improvement Training •Program

Management

OUTPUT

• Feedback of trainers

• Recognition of Certified Centers / Coaches

• Strategic Relations / Collaboration

• Job Matching • Graduate Tracer

Study

Input 30%

Proccess

30%

Output 40%

11MP focuses on strengthening TVET governance for better management through - a) Establishing a single accreditation system; and b) To harmonize the institutional rating system to improve compatibility.

DSD’s STAR

RATING SYSTEM

Kajian Pembangunan Pelan Induk

Kebangsaan Latihan Teknikal Dan

Vokasional (TVET) Ke Arah Negara Maju

Study aims to cover the following aspects:

i. Develop a holistic Masterplan for TVET in Malaysia.

ii. Evaluation of TVET programmes offered for 2017 based on the eight (8) indicators (e.g. salary, employability, etc.).

iii. Develop a framework for optimal programme mix for public TVET Institution and Industry that takes into consideration demand and supply skills match and programme performance, including recommendations on rationalising or bringing in new programmes. This includes designing new modular programmes to meet Industry demands.

iv. Propose a funding model for TVET Institutions.

v. Develop TVET programme assessment framework based on a set of identified outcome based indicators.

vi. Propose a practical model for increasing efficiency of managing TVET programme offerings to encourage more effective operations and reduce costs at the TVET Institution level.

87

4

Draft for discussion

TVET Masterplan: Technical and Vocational Education and Training Towards Developed Nation

Snapshot of TVET landscape in Malaysia National presence

7 Ministries overseeing TVET

Public TVET Institutions 556

142,000 TVET

graduates in 2015 and expected to

increase to 188,000 by 2030

5776 TVET

programmes offered

Managed by 17 agencies

Accreditation bodies; MQA and JPK

Source: Based on 2017 JPK Self-audit Data

Private TVET Institutions

692

Majority of graduates are from Manufacturing, ICT and Professional sub-sectors

RM 5.7 Bn. spent on OE while RM 314 Mill. was spent on DE in 2017

The increasing impact of Industry 4.0 is hinting towards the demand for new initiatives in curriculum development for TVET in the near future

The following are 8 emerging technologies that matter the most, which will drive Industry 4.0

Source: Tech breakthroughs megatrend: How to prepare for its impact (PwC, 2016)

Blockchain

Distributed electronic ledger that uses software algorithms to record and confirm transactions with reliability and anonymity

3D Printing

Additive manufacturing techniques use to create 3D objects based on digital models by layering or ‘printing’ successive layers of material. Relies on innovative ‘inks’

including plastic, metal, glass and wood

Internet of Things

Network of objects embedded with sensors, network connectivity and compute

capability, that can collect and exchange data over the internet

Virtual Reality

Computer generated simulation of a 3-dimensional image or a complete

environment, within a defined and contained space

Artificial Intelligence

Software algorithms that are capable of performing tasks that normally require

human intelligence

Augmented Reality

Addition of information or visuals to the physical world to improve user experience

for a task or product

Drones

Air- or water-based devices and vehicles that fly or move without an on-board human pilot

Robots

Electro-mechanical or virtual agents that automate or assist human activities,

autonomously

Some of the skills required to meet these technological changes are…

Big Data skills

Automation Skills

Coding Skills

Supply Chain

Digitisation abilities

Business acumen

TVET institutions need to prepare their graduates with the right

skillsets to not only meet industry requirements but also focus on

emerging skills required as a result of Industry 4.0

The vision for TVET should focus on greater collaboration with industries, TVET institutions and TVET students, to drive better outcomes for all

Increased relevance of TVET in Malaysia

• Individuals know that taking a particular TVET course will set them up to get a job. • Individuals know that taking a particular qualification will be valued by employers. • Pupils and parents value the vocational route because employers have championed it and told them how much

they value it.

• Employers come together to create the talent pool of the future: large and small enterprise, regional and national.

• Their needs are captured and ongoing dialogues are maintained.

• Learning and training happens like it does at work – collaboratively, using technology, and cross-subject projects and assessment.

Ongoing dialogue with employers

Greater input and involvement from industry

• Industry is more directly involved in influencing the skills needs and training requirements of the future.

• There will be ongoing constructive dialogues with clear outcomes.

• A long term view is projected to ensure the approach adopted is future fit.

Key issues

92

The Current

State

• Fragemented TVET ecosystem leading to multiple issues which

require systemic change

Skills

Operations

Financials

Mismatch in skills required by Industry and what Institutions are producing

• 65% of public TVET instructors have less than 3

months of industry attachment

• 27% having little to no experience prior to teaching

• Majority of industry players highlighted the TVET

curriculum is not in line with latest industry trends

Limited coordination & fragmented TVET system

• 7 Ministries, 17 Agencies overseeing more than 556

public TVET Institutions. Different Institutions offering

overlapping programmes in close proximity

• Disjointed learning pathways between JPK and MQA

• Lack of standardised performance measurement

criteria & local comparative benchmark data across

TVET Institutions

• Inconsistent graduate tracer study and operational data

captured across TVET institutions. No independent

body to verify accuracy of data captured

A funding model that does not drive the right outcomes

• 95% of public TVET Institutions revenue is derived

from uncontested Government funding

• Public institutions’ budgets are based on historical

costs and does not incentivize intended outcomes

• Complex and multi-levelled; 8 Ministries and 17

agencies responsible for overseeing funding for

public TVET institutions

Quality

TVET graduates are perceived to be average at best & earning low wages

• 92% of TVET graduates are able to obtain employment after graduating.

• However, approximately 70% of TVET graduates earn less than RM 1,500

• Majority of industry players highlighted TVET graduates lack technical skills, soft skills and work attitude

93

• Several recommendations are currently being developed to address the issues identified. The

following are 4 key recommendations to which we believe will drive systemic change in the TVET

ecosystem

Note: Other recommendations are detailed out in the TVET Masterplan which is currently being developed

94

Sustainable funding mechanisms and operating

model

Recommendation 1

Streamline governance at Ministerial level

Recommendation 2

Development of a funding matrix as a guideline for fund

allocation decisions:

(performance-based funding, contestable funding)

Shared infrastructure/asset model with industry and

across Institutions

Enabled collaboration between Institutions, industry and

government agencies (Spokes) at a localised level –

spearheaded by capable and high-quality TVET

Institutions (Hubs)

Interim state: Centralised governing body (ie. TVET Council)

Ideal state: TVET to be governed by the minimum number of Ministries required (based on target groups

and mandates)

Clear roles & responsibilities for all stakeholders involved (Ministry, Associations, Academia, Industry

Bodies etc.)

Independent Enforcement Entity to oversee enforcement, monitoring and quality assurance of TVET

programmes and Institutions

95

Harmonise learning pathways

Recommendation 3

Enhance curriculum design, review and delivery

Recommendation 4

Unified quality assurance standards for TVET, adhered to

by JPK and MQA

Seamless articulation between TVET and higher

education

Comprehensive credit transfer between TVET and general

academic stream

Industry-led and demand-driven curriculum

Expanding work-based learning and apprenticeship models

Upskilling and professionalizing TVET instructors

Modern delivery methods via digital means

Open feedback mechanism from the public including industry, students and parents

96

6. Work esteem and Branding of TVET

• Implement guidelines to prohibit negative descriptions of TVET in marketing and general public communication materials

• Launch Nation wide campaign to promote TVET occupations (rather than institutions and skill sets)

• Equip career counsellors, teachers and school management with informative materials pertaining to TVET

• Official recognition of selected high-value TVET occupations

2. Harmonised and Seamless Learning Pathways

• Unified quality assurance standards for TVET, jointly developed by JPK and MQA

• Improved articulation between TVET and higher education

• Comprehensive credit transfers between TVET and higher education / academic stream

• Expand TVET qualifications to MQF levels 6 - 8

Prime Minister’s Department

Independent Enforcement Entity

Ministries responsible for TVET

Communities

1. Robust and Effective Governance

• Interim state: Centralised governing body e.g. TVET Council

• Ideal state: TVET to be governed by the minimum number of Ministries based on target groups and mandates

• Clear roles & responsibilities for all stakeholders involved (Ministry, Academia, Industry Bodies)

• Independent Enforcement Entity to oversee monitoring and quality assurance of TVET programmes and training institutions

3. Sustainable Outcome Based Funding

• Develop a funding matrix as guideline for fund allocation decisions: (performance-based funding, contestable funding)

• Expand use of trainee loans/income contingent loans

• Review training fee policies and cost allocation methodologies

• Review current incentive packages to incentivise desired behaviour (e.g. tax deductions)

5. Efficient and Productive Operating Model

• Enable collaboration between training institutions, industry and government agencies at localised level via a hub and spoke model – spearheaded by capable and high-quality TVET institutions

• Shared infrastructure/asset model with industry and across training institutions

TVET Council

MQA, JPK

TVET Agencies

Public TVET Institutions Private TVET Institutions

4. World Class Quality of Learning

• Enhance curriculum design mechanism

• Enhance curriculum delivery mechanism

• Enhance curriculum review mechanism

• Develop an Integrated Education Management Information System

Initiatives to propel Malaysia to achieve its aspirations for TVET

Industry

97

Conclusion

TVET is a Game Changer... only if we do it Right Strategy, Execution & Enforcement

Government Institutions Industry

Game changer to

transform Malaysia into

a high-income nation

whilst strengthening the

civil society

Provide workforce with

the competencies and

skills needed for a

diverse & expanding

market economy

Provide highly-skilled

human capital & a

progressive life-long

learning workforce

Address present &

future demand-supply

gap & skills gap focusing

on high-priority sectors

tvet malaysia - the way forward malaysia - the way forward.pdftvet malaysia – the way forward tvet...

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