ICT INDUSTRY OUTLOOK AND SKILLS

REQUIREMENTS

Cynthia R. Mamon

OUTLINE Knowledge Economy/Society ICT Situationer Skills Needed in the Future

Workplace NISSP Challenges Ahead

Knowledge Economy -economy in which knowledge is created

acquired transmitted and used more effectively by individuals enterprises organizations and communities to promote economic and social development

-relies on use of ideas than physical abilities and application of technology rather than the transformation of raw materials or the exploitation of cheap labor

Knowledge Society Describes how “knowledge-on-tap

will transform societies into smart communities largely through the impact of the ICTT convergence

Knowledge Workers Technical skills include literacy, foreign

language mathematics science problem solving and analytical skills

Interpersonal skills include teamwork leadership and communication skills

Methodological skills include the ability to learn on one’s own, to pursue lifelong learbing and to cope with risk and change

ICT Situationer Countries with faster growing IT sectors

have faster growing economies IT sector growth is driven by spending on

software and IT services IT sector contributes more to an economy

where there is strong IPR protection

Opportunities for BPO Phils is an important offshore player Phils has a different starting point Cultural affinity to the West positions RP

well to work with and conduct business with US outsourcers

Technical Skills Needed For banks-Mainframe COBOL, Java or

Visual Basic. Micro progarmming aand SQL

For retail-Chowking,Novartis healthcare retail etc

Telco-Database mgt (SQL, Access,Oracle, Sybase)business recovery and systems admin

ICT in Education Increases access to improving the

relevance and quality of education Helps prepare individuals for the

workplace Helps improve the quality of education

Increases learner motivation and engagement Facilitates the acquisition of basic skills Enhances teacher training

Transforms the learning environment into one that is learner-centered

Skills Needed in the Workplace of the Future Digital Age Literacy Inventive Thinking Higher-order thinking Effective communication High productivity

Digital Age Literacy Functional Literacy Scientific Literacy Technological Literacy Information Literacy Cultural Literacy Global Awareness

Intensive Thinking Adaptability Curiosity Creativity Risk-taking

Effective Communication Teaming Collaboration Personal and Social Interactive Communication

ICCT NSSP Summary

ICT Enabled Businesses

&B2B

Enhanced capacity-Enabling

Demand for products &

services

ICT Companies

ICT UsersG2CB2C

&C2C

Demand for products

Productivity

Enhanced capacity-personal

Demand for products &

services

Industry Overview

Purpose of the PlanA planning tool and source of advice on industry trends, training needs and objectivesBlueprint that will guide the industry’s skill development and training priorities for the planning period.A decision-making framework for both government and the private sector in determining their best approach for tapping the ICT manpower resource of this country

Structure of the Plan1. Introduction2. Industry Overview3. The key issues and directions

identified by the industry4. The action agenda aimed at

achieving a stronger match between industry demand and education and training supply

5. A strategic plan for 2004-2005 with key result areas, strategies and performance measures

The plan identifies areas for improvements in the current policy

and practice managing education and training to ensure that

standards are implemented accordingly, continually updated

and benefiting the graduates and the hiring companies as well.

Process of DevelopmentThe IWG Executive Committee spearheaded the

preparation of NSSP: Developed using:1. Reports and information currently and

readily available including : ITECC Strategic plan 2003 2002 Survey of Information and

Communication Technology of the Philippine Business and Industry (SCIT), National Statistics Office, 2002

The State of Philippines IT Manpower, The

  Industry consultations: 

- Five Consultation workshops in Manila, Davao, Cebu and Legaspi

- IWG and its subcommittees- Drafts presented to various ICT stakeholders and

industry leaders / influencers- Revised continuously to reflect the various inputs

Summary of NSSPThe ICT industry identified as a key sector to lead the economic development.A competent ICT workforce — key requirement for economic prosperity.Deep concern within the industry that the overall supply side does not match industry demand.

Issues Identified1. Mismatch between Supply and Demand - Quantity

Major oversupply of ICT programs and graduates, far more than what the local industry needs and can absorb.

2. Mismatch between Supply and Demand - Quality

Internationally, the Philippines has a low level of IT skills; IT skills are not aligned with the global IT services market compared to other countries.

3. Status of TVET

Many industries and employers have recruitment policies which require the holding of a degree qualification when a TVET level qualification would be more appropriate to the skills required.

4. Lack of Information on Training Provision

No reliable and sustainable source of information regarding existing IT-related skills. No updated database of graduates with ICT and vendor-specific certification.

5. Limited Information on Industry Skill Requirements

Limited information and documentation on positions and skills required by the industry. Training institutions have limited information upon which to determine the qualifications and programs needed by industry.

Issues Identified

6. Competence of ICT Educational Managers and Teachers

5. Limited Information on Industry Skill Requirements

7. Assessment and Certification

While there is increasing support for certification of skill by vendors and government, support by the domestic ICT industry appears mixed. The number of IT specialists with vendor qualifications is very low compared to neighboring countries.

8. Industry Led Arrangements / Governance

The content of ICT training programs and the extent of provision are largely decided by the private TVET training sector. The influence of industry and government on the quality and quantity of programs is limited.

9. Curricula and Programs

The quality of curricula varies considerably between schools. Courses structures are considered too rigid and inflexible to service the needs of the indstry.

10.Program registration and quality assurance

The TVET training sector operates without adequate internal and external regulation, resulting in wide variances in the quality of training provided.

1. Define industry skill needs

4. Deliver and disseminate use of

standards

3. Develop TVET ProcessesServices

2. Develop TVET Products

The National Skill Plan Framework

KRA 1: Identification of Industry skills needs (Define needs)

Goal - To identify and document the industry’s skill needs so that appropriate

resources may be allocated for training and assessment.

KRA 2: Development of TVET Products (Develop Products)

Goal - To assure the availability of sufficient high quality products so

that industry skill development needs can be met.

KRA 3: Development of TVET Services (Develop Services)

Goal - To ensure the availability of efficient and effective training and

assessment processes which are compliant with industry standards and

priorities.

KRA 4: Promotion of Industry Recognized Training (Deliver/Disseminate Outputs)

Goal - To develop an industry training/learning culture based on a commitment to meeting industry training priorities and standards.

TESDA Priorities for 2003 - 2004

The Director General’s priorities call for the “full implementation of the competency-based TVET system over the next two years” as “both a statement of expectation and a vision of the future.”

The ICT Plan developed by the industry is a blue print for the implementation of the competency based TVET system for the ICT sector.

Scope of ICT functions includes

Systems AnalysisProject ManagementSoftware DevelopmentTechnical EngineeringInformation Systems and Security AdministrationTechnical SupportTraining and DevelopmentICT applications/use

ICT Industry Components

Higher Education

Occupational Levels

ICT Companies ICT Enabled Businesses

ICT Users

Professions, Researchers, Senior Management

Software QA Manager

ICT Project Manager

Business Systems Consultant

Senior Systems Analysts/Administrator

IT Systems Manager

Database manager

Systems engineer

Accountant

Engineer

Doctor

Framework for ICT Functions and Occupations

TVET Technicians,

Middle and Owner

Management, Supervisors

Systems Analyst

Telecommunications Technician

Web designer

Vendor sales representative

PC / Hardware / Network technician

IT Entrepreneur

Network administrator

Applications specialists

Graphics and Animation specialist

Programmer

Hardware / Network technician

Call center supervisor

Draftsperson

Bank teller supervisor

Service, Support, Production Staff

Junior programmer/coder

Telecom installer/rigger

Cabler

Computer hardware repairer

Warehouse operator

Data encoder

Clerical officer

Call center operator

Medical transcriptor

Community members

Student

Family members

Industry Makeup and Outlook

Investments

IT spending in the Philippines for 2002 and 2003 period was US$961 million and US$1,079 million respectively, estimates for 2004 is US$1,236 million.

IT spending is expected to grow however the majority of spending is expected to be in hardware and software.

The human resource requirements are expected to be largely satisfied by skill upgrading of the existing workforce.

National Industry and Government Priorities

The national government views the ICT industry as a major economic resource. The government’s thrust is in promoting the country as an e-services center for Asia.There are 5 areas identified by ITECC requiring world class competence from Filipino workers. These are: 1.      Call Center.2.      Business Process Outsourcing.3.      Animation.4.      Software Development.5.      Medical Transcription.

The ITECC/Government objective is to create an ePhilippines through the

following strategies:

         Develop an IT Enabled Workforce.         Provide Government Services to Stakeholders

Online.         Provide affordable internet access to all segments of

the population         Create an enabling legal and regulatory

environment.         Develop the country as a World Class ICT Services

Provider.

Distribution of the ICT Industry and Workforce

I. Workforce

-Total IT manpower employed in the Philippines at 2002 estimated at 567,802.

-Projected IT job openings of 34,976 in 2004.-The majority of the IT workforce is found in ICT Enabled

Businesses. -The general business sector accounts for 29.1% of the IT

workforce and the Education 19.5%.

II.Geographic

-The majority of ICT work is in Metro Manila. Cebu City is also a location of significant ICT employment, as is Davao City.

-In addition to these cities, the Department of Trade and Industry (DTI) has identified other regional IT Hubs namely Cagayan De

Oro, Demaguette, Clark and Subic.

-The ICT Companies such as software development houses, Telecom carriers, IT vendors and IT consultancies are mainly

located in Metro Manila.

Biggest Users of ICT

-Telecommunication Sector-Banks and Financial Services

-Education-Individuals

-Government

Much of the ICT Systems development and administration work for national organizations is based in Manila, while ICT operations is the focus of work in the cities, provinces and regions, as well as Manila

Growth in ICT JobsThe occupations with the highest growth potential are:      Software Developer      Encoder      Systems Analyst, and       Information Systems and Security Administrator.

Implications for ICT Education and Training

Major ICT Hub e.g. Metro Manila / NCR / Metro Manila

Certificates

Diplomas

Degrees

CRegion / Province with a major city / Province / Region with significant and IT Hub e.g. Cebu City

Certificates

Diplomas

Degrees

CityRegion / Province / Region without a significant n IT Hub or focus e.g. Bicol / Legaspi City

Certificates

Diplomas

Degrees

Summary of Skills Required by the ICT industry

-Entry Level Use Word processing, spreadsheet, presentation and reporting functions-Special ICT use Call center agents, medical transcriptors and data encoders-ICT Technical Engineering-Software Development/Programming-Analytical-Management-English Language Proficiency-Communications-Entrepreneurial

-General Business Application/Orientation

Matching Supply and Demand-Quantity

-Major oversupply of ICT programs and graduates, far more than what the local industry needs and can absorb. -There are more and more students enrolling in the IT mainly because of the notion that there are job opportunities in the labor market today.

-In many regions it is estimated that about 80% of TVET enrolments are in ICT.

Some major national IT schools design programs and content

determined by their marketing departments rather than being

based on an accurate assessment of the job and skill needs of the ICT

industry in the local area.

TESDA’s Registration Procedures do not require training providers to give evidence of local industry demand and support for programs submitted for registration.

Providers need to work with their local ICT industry to determine local

job opportunities and skill requirements and factor this

information into their program planning and provision.

Matching Supply and Demand-Quality

The low absorption level of graduates into the employment mainstream is an indication that the country’s education and training system is not producing the kind of workers needed by industry.

1. Philippines has among the lowest level of IT skills compared to neighboring countries

2. IT skills are not aligned with the global IT services market

3. Many IT schools hire their fresh graduates to teach the next batch of students. Such teachers lack understanding and application of industry standards and recycle rather than add to the skills of the faculty and the quality of the programs.

4. Some companies have blacklisted several schools due to consistently poor quality of the graduates.

Status of TVET

For IT specialist positions, employers give preference to graduates of four-year courses rather than graduates of TVET courses. There are several reasons for this situation including an abundance of IT college graduates for employers to choose from, company recruitment policies, and the low status of TVET in the eyes of parents, students and employers. Many ICT technician, middle management and service functions should be serviced by TVET level programs rather than degree programs.

Information on Industry Skills and Training Provision- Very little

Specifying Industry Skill Requirements

1. Limited information available on positions or skills that are most in demand either by the ICT industry.

2. ICT courses for students do not translate directly to job positions

3. Education and training system needs “industry agreed” information on the Industry’s competency requirements and priorities

Assessment and Certification

1. The JITSE standard has been recognized by the Philippine government as a national standard for ICT industry and is seen as having potential to be used as a certification tool for a wide range of ICT programs.

2. TESDA has discontinued its assessment and certification program due to concerns over the quality and relevance of these assessments and the fact that there was already a range of industry recognized certification programs in place

3. Wide variation in standard of industry4. Graduates seeks an appropriate assessment and

certification process to measure skills of graduates

Curricula and Programs

-TVET traditional standard two-year curricula too academic and inflexible. -More short skill upgrading courses and IT should be integrated into other courses.-Program Registration processes should ensure programs are kept up to date and outdated and inaccurate curriculum content is removed.

Program Registration and Quality Assurance

-Industry believes the TVET training sector operates without adequate regulation- All ICT programs submitted to TESDA Provincial Offices result in program registration being issued. -TESDA’s use of industry representatives in the review and registration process has been limited and inconsistent. -TESDA’s procedures should require providers to give evidence of industry research and support for the programs being submitted for registration. -The ICT IWG seeks a stronger and consistent involvement of industry in the assessment of programs for registration.

Competency-Based Training and Assessment Applied to ICT

The Director General has called for the full implementation of the competency-based TVET

Competency Standards

-The ICT industry is a global industry and as such the standards for the Philippines ICT industry need to be consistent with recognized international standards.

-The adoption or adaptation of existing appropriate standards has been embraced by the industry as the primary strategy for standards development.

Priorities for Competency Standards

Development

The National IWG has developed a set of criteria to assist in the selection of sub sectors and functions for standards developmentGovernment and Industry priorities identified by ITECCRelative employment size of the hub sector/functionCourse areas currently offered by TVET education and training providersStandards development work already in progress

The functions identified for standards development during 2004 are:

AnimationSoftware developmentLegal transcriptionEngineering/Architectural Drafting/DetailingIT Systems Administration including networking, database, applications etc.User/office/personal applicationsTelecommunicationsComputer repair and maintenance

Scope of Standards and Qualification Development

The industry wishes to address the issue of consistency in the titles of ICT qualifications and programs; employers and students need clear and consistent terminology to describe to competencies held by individuals.

Reasons for poor quality of ICT Training

1. Courses not being on the real needs of industry

2. Limited technical expertise of teachers

3. Inadequate quality assurance and regulatory arrangements

Challenges Teacher professional development

Skills with particular application Integration into existing curricula Curricular changes related to the use of

IT Changes in teacher role Underpinning educational theories

Challenges Education administrators Technical Support specialists Content developers

Implementation of the NISSP Formation of the ICT PMO Designation of Associations to take

care of Accreditation Qualification and Certification

Our role as leaders…. “Leaders are designers, stewards

and teachers. They are responsible for building organizations where people continually expand their capacities to understand complexity clarify vision and improve shared mental models-that is they are responsible for learning.”Peter Senge