STRATEGIC PLAN (2015/16 – 2019/20) and ANNUAL PERFORMANCE PLAN (2015/16 MTEF) Presentation to the Portfolio Committee on Higher Education and Training

STRATEGIC PLAN (2015/16 – 2019/20)

and ANNUAL PERFORMANCE PLAN

(2015/16 MTEF)

Presentation to the Portfolio Committee on Higher Education and Training

18 March 2015

Presentation Outline

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1. Strategic Overview 2. Budget Programmes and Financial Information 3. Programme Plans and Targets for 2015/16

- Administration- Human Resource Development, Planning and Monitoring

Coordination- University Education- Vocational and Continuing Education and Training- Skills Development

Strategic Overview

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• The Department of Higher Education and Training is responsible for all post-school education and training in the country

• It is the coordinating Department for Outcome 5 of government’s 14 outcomes “A skilled and capable workforce to support an inclusive growth path”

• In 2014, the Department released a White Paper for Post-School Education and Training (PSET)

• The White Paper has created a framework that defines the Department’s vision for PSET, its focus and priorities

• The Strategic Plan is covers the period 2015 to 2020 and is informed by the vision espoused in the National Development Plan, 2014 - 2019 Medium Term Strategic Framework (MTSF) and imperatives of the White Paper.

VisionLeading Post-School Education and Training for growth

MissionTo provide national strategic leadership in support of an integrated Post-School Education and Training system towards improved quality of life of South African citizenry

Strategic Overview

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• Strategic Goal 1: To provide a sound Post-School Education and Training legislative framework

• Strategic Goal 2: To provide Post-School Education and Training services

• Strategic Goal 3: To provide Post-School Education and Training capacity

• Strategic Goal 4: To facilitate a strong stakeholder network

• Strategic Goal 5: To ensure continuous business excellence within the Department of Higher Education and Training

Five Year Strategic Goals

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In line with the strategic goals identified, we will:• Develop and review legislative frameworks aimed at

steering the Post-School Education and Training system in line with the imperatives of the White Paper

• Strive to expand and improve the quality of Post-School Education and Training by introducing appropriate teaching and learning support interventions for Universities and Technical and Vocational Education and Training (TVET) colleges, as well as artisan development

• Establish, develop and expand a new institutional type –Community Colleges – primarily to promote education and training opportunities for those young people who cannot access the universities or TVET colleges


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• Improve the capacity of the system through infrastructure development for technical and vocational education and training

• Maintain good stakeholder relations in support of an effectual Post-School Education and Training system

• Ensure good corporate governance including effectual resource management within the Department and its entities


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• To substantially expand access to education and training for youth and adults, regardless of whether they have completed school or not

• To improve the alignment between universities, TVET colleges, Sector Education and Training Authorities (SETAs), South African Qualifications Authority (SAQA) and quality councils in an effort to improve student and learner mobility across institutions and qualifications

• To expand the availability of opportunities for workplace training for students in colleges and universities and to expand other forms of workplace training such as learnerships and apprenticeships

Focus Areas in the Next Five Years

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• To ensure that our Post-School Education and Training system prioritises funding of the marginalised, enabling them to access post-school institutions and fulfill dreams of careers thought to be unrealisable

• To further develop post-graduate studies to ensure the expansion of the academic profession and development of high level knowledge and skills

• To diversify provision based on open learning principles to improve learning opportunities across the Post-School Education and Training sector by expanding and strengthening the post-school distance education landscape


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• To integrate disability into the broader policy arena by introducing a nation policy to guide education and training institutions in the post-school domain

• To integrate Recognition of Prior Learning (RPL) into the post-school education and training system


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The financial information of the Department is presented as follows:

An explanation of the Department’s structure, budget

and expenditure trends A summary of the allocations per programme

over the 2015 MTEF A summary per economic classification that

covers the key expenditure items Key budget pressures that are facing the

Department’s financial performance

Financial Information

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The Department’s budget structure is based on its organisational structure and consists of five programmes that represent Branches in the Department. The programmes are as follows:

1) AdministrationProvide strategic leadership, management and support services to the Department

2) Human Resource Development, Planning and Monitoring CoordinationProvide strategic direction in the development, implementation and monitoring of Departmental policies and the HRD strategy of South Africa

Structure, Budget and Expenditure Trends

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3) University EducationDevelop and coordinate policy and regulatory frameworks for an effective and efficient university education system. The branch also provide financial support to universities, NSFAS and national institutes for higher education

4) Vocational and Continuing Education and TrainingPlan, develop, monitor, maintain and evaluate national policy, programmes, assessment practices and systems for vocational and continuing education and training including for TVET colleges and post-literacy AET

5) Skills DevelopmentPromote and monitor the national skills development strategy. Develop a skills development policy and regulatory framework for an effective skills development system


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• The budget also includes “direct charges” which are amounts reflected that constitute a direct commitment from the National Revenue Fund in terms of specific legislative requirements and are not defined as Voted funds such as for the above five programmes

• The “direct charge” for the Department is the skills levy revenue collected by SARS for the SETAs and National Skills Fund (NSF)


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• For the 2015 MTEF, the Department’s budget (excluding direct charges) increases at an annual average rate of 5.9%, from R39.0 billion in 2014/15 to R46.3 billion in 2017/18

• The amount of R41.8 billion for 2015/16 is an increase of R2.9 billion (nominal increase of 7.3%) on the 2014/15 allocation, excluding direct charges

• Direct charges (the skills levies for SETAs and NSF), increases at an annual average rate of 9.6% from R13.2 billion in 2014/15 to R17.4 billion in 2017/18

• The Department’s budget is dominated by Programme 3: University Education, which represents 78.5% of the budget in 2015/16 (See slide 20). As a result, transfer payments also dominate the budget in terms of the economic classification of expenditure (See slide 21)


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• Normal Departmental services (excluding university transfers, transfers to public entities, Technical and Vocational Education and Training colleges, Adult Education and Training centres, other organisations and earmarked funds) represents 18.67% of the budget

• Compensation of employees amounts to R7 308.192 million (17.5%) for 2015/16. Remaining funds for operations amounts to R505.310 million in 2015/16 which represents 1.21% of the budget


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• The Department received an additional allocation of R15.9 billion over the MTEF. These additional funds are mainly for the following purposes: R7 billion from the Provincial Education (provincial

equitable share) for the Technical and Vocational Education and Training colleges and the Adult Education and Training function shift (R2.22 billion in 2015/16, R2.34 billion in 2016/17 and R2.4 billion in 2017/18)

R8.9 billion from the Technical and Vocational Education and Training conditional grants to provincial government for the TVET colleges function shift from provincial to national (R2.8 billion in 2015/16, R3 billion in 2016/17 and R3.1 billion in 2017/18)


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Reconciliation2015/16

R’000Additional allocation: Function shift from Provincial Education (provincial equitable share) for AET and TVET 2 215 483

TVET colleges funds shifted from Provincial Conditional Grants to National 2 818 573

TVET subsidies 3 361 001

Total 8 395 057

Distribution of funding

Compensation of Employees 6 853 306

• Administration (Finance/HR/GITO/Legal Services, etc.) 45 017

• TVET college staff (including Principals and Deputy Principals) 4 974 913

• TVET college support staff 53 409

• AET staff 1 607 904

• AET support staff 122 916

• TVET and AET (SETA Levies for Internship Programme) 9 112

• AET Examiners and Moderators 40 035

Funding of TVET and AET Functions

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Additional allocation

R’000Goods and Services 322 705


• TVET sector 95 367

• AET sector 113 967

• TVET and AET (SETA levies for Training) 22 781

• AET Examinations 40 032

Machinery and Equipment 8 891


• AET sector 3 074

Transfers and subsidies 1 210 155

• Administration (SETA levies) 134

• TVET subsidies 1 140 945

• AET transfers 55 408

• SETA levies 13 668

Funding of TVET and AET Functions

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ProgrammeAdjusted

AppropriationMedium-Term Expenditure Estimate

R’000

2014/15 2015/16 2016/17 2017/18

Administration 285 674 318 318 330 952 347 528Human Resource Development, Planning and Monitoring Coordination

54 726 54 843 57 786 60 728

University Education 30 443 748 32 844 325 34 602 909 36 342 892Vocational and Continuing Education and Training 8 098 008 8 515 770 8 985 880 9 439 257

Skills Development 106 300 110 699 116 719 126 615Subtotal 38 988 456 41 843 955 44 094 246 46 317 020Direct charge against the National Revenue Fund 13 200 000 14 690 000 16 140 000 17 400 000

Total 52 188 456 56 533 955 60 234 246 63 717 020


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Economic classificationAdjusted

AppropriationMedium-Term Expenditure Estimate

R’0002014/15 2015/16 2016/17 2017/18

Compensation of Employees 7 009 016 7 308 192 7 732 509 8 137 676Goods and Services 301 877 492 984 501 224 513 933Transfers and subsidies 31 672 509 34 030 453 35 852 829 37 658 183National Student Financial Aid Scheme 6 138 832 6 448 551 6 810 674 7 151 208Public entities (SAQA, CHE, QCTO) 120 864 117 424 120 961 139 806SETA transfers (DHET’s contribution) 173 13 981 14 767 15 500Universities 24 155 093 26 243 227 27 634 118 29 015 824TVET Colleges (Subsidies) 1 148 072 1 140 945 1 202 470 1 262 514Adult Education and Training Centres 0 55 408 58 344 61 261Higher Education South Africa for HEAIDS project 7 420 7 761 8 172 8 581Commonwealth of Learning and IBSA 2 915 3 156 3 323 3 489Other (Leave gratuity) 99 140 - - -Payments for capital assets 5 054 12 326 7 684 7 228Subtotal 38 988 456 41 843 955 44 094 246 46 317 020Direct charge against the National Revenue Fund 13 200 000 14 690 000 16 140 000 17 400 000

Total 52 188 456 56 533 955 60 234 246 63 717 020

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• The Department acknowledges the current fiscal constraints of Government

• This has numerous challenges in itself, but also has a serious impact on the service delivery requirements of the Department

• The Department is unable to attain the growth requirements within the post-school education system in terms of enrolments, infrastructure development, increased operations and student support

• Limitations are placed on Departmental operations due to the capping of compensation of employees and the inability to roll out the new staff establishment and regional presence

Key Budget Pressures Facing the Department

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• Institutional monitoring and evaluation is limited to most critical areas

• Reliance on NSF project support such as the funding of the activities of the National Artisan Moderation Body

• An immediate pressure is the management of the TVET and AET function shift as well as cost implications for examination services

Key Budget Pressures Facing the Department

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• The Department managed to remain within its budget since being in operation from 1 April 2010

• Underspending on voted funds was as follows:2010/11: R 23.848 million2011/12: R 17.817 million2012/13: R 3.751 million2013/14: R 1.931 million

• Unspent amounts were committed for specific goods or services and including outstanding claims for examiners and moderators

• The Department received unqualified audits to date

Financial Performance

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Five Year Strategic Objective (1) : To ensure effective human resource management within the Department by filling 90% of vacant funded positions and implementation of an effective performance management system

Performance Indicator 2015/16 Target Approved funded positions filled (%) 90%

Disciplinary cases resolved within 90 days (%) 100%

Average lead time from recruitment requisition received until appointment recommendation made (days)

180 days

Programme 1: Administration

Programme Purpose : Provide strategic leadership, management and support services to the Department

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Five Year Strategic Objective (2): To ensure effective financial management through the application of good financial management systems, including management accounting, financial accounting and supply chain management in line with the requirements of the PFMA

Performance Indicator 2015/16 Target Audit issues received versus attended to (%) 100%

Creditor payment age (days) 30 days

Five Year Strategic Objective: (3): To improve efficiency through the development of approved annual ICT procurement plans for the implementation of the necessary information technology infrastructure and systems

Approved ICT procurement plans per annum (n) 1

Programme 1: Administration

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Programme 2: Human Resource Development, Planning and Monitoring Coordination

Programme Purpose: Provide strategic direction in the development, implementation and monitoring of departmental policies and the HRD strategy of South Africa

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Five Year Strategic Objective (1):To develop 8 new PSET policies and 1 legislation including the revision of the National Qualifications Framework Act and GENFETQA Act, in order to ensure a sound Post-School Education and Training System by 31 March 2020

Performance Indicator 2015/16 Target New Post-School Education and Training steering mechanisms developed and approved(n)

(4)• Policy and guidelines on Recognition of Prior

Learning (RPL) developed and gazetted• Policy framework on disability developed• Policy framework on social inclusion

published• Policy and guidelines on articulation

developed and gazetted


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Five Year Strategic Objective (2): To develop a Sector Monitoring and Evaluation Framework for effective implementation of oversight of the PSET system and produce annual monitoring reports by 31 March 2020

Five Year Strategic Objective (3): To develop and implement 3 teaching and learning support plans aimed at improving access to quality teaching and learning in the PSET system by 31 March 2020

Performance Indicator 2015/16 Target Teaching and learning support plans for Post-School Education and Training approved (n)

(2)• Flexible model of learning delivery

Conceptualised and implementation Strategy developed and approved

• Prototype of a learning management system for open learning system developed and approved


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Five Year Strategic Objective (4): To develop management information systems for colleges and SETAs and private post-school institutions by 31 March 2020

Performance Indicator 2015/16 Target

Information management systems developed and approved (n)

(1)“i WIL” registration system for learnersseeking work integrated learning opportunities and firms wanting to provide work integrated learning, on internet developed and approved

Statistical reports published (n)

(2)• Annual Report on Skills Supply and Demand

published• Annual Post-School Statistical Report

published


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Programme 3: University Education

Programme Purpose: Develop and coordinate policy and regulatory frameworks for an effective and efficient university education system. The branch also provides financial support to universities, NSFAS and national institutes for higher education

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Five Year Strategic Objective (1): To develop 13 new and review 6 policies/regulations/pieces of legislation to ensure sound provision of university education by 31 March 2020


New higher education steering mechanisms developed and approved (n)

(1)Policy on the provision of student housing at SA public universities and minimum norms and standards published in the Government gazette by end of September 2015

Higher education steering mechanisms revised and published (n)

(2)• Revised regulations for regulating PHEIs

approved and published in the Government Gazette for implementation by September 2015

• Revised Higher Education Act promulgated by end of March 2016


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Five Year Strategic Objective (2): To develop 2 integrated plans that will enable collaboration between university education and other PSET sectors by March 2020

Five Year Strategic Objective (3): To monitor and evaluate the higher education sector and produce 13 annual oversight reports on the financial health of the sector; governance; teaching development; research development and productivity; HEAIDS; Foundation provisioning; Infrastructure development; New universities; Expansion and efficiency of the system; Private higher education compliance; Staffing South Africa’s Universities Framework (SSAUF); and Teaching and Learning Development Capacity Improvement Plan


Monitoring and Evaluation reports on higher education produced and approved (n)

12


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Five Year Strategic Objective (4): To develop and implement a Teaching and Learning Development Capacity Improvement Programme (TLDCIP) covering five plans to improve the capacity of universities in terms of teaching and research by March 2020, one each in the fields of:• ECD educator development• Primary teacher education• TVET college lecturer education• Community college lecturer education• Special needs teacher education


Teaching and learning support plans for higher education developed and approved (n)

(1)Teaching and Learning Development Capacity Improvement Programme approved for implementation by theDirector-General by end March 2016


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Five Year Strategic Objective (5): To provide support to current and prospective students in higher education institutions by March 2020 through the development and implementation of a concise capacity development strategy and programme as well as the Central Applications Services


Student support services plans for higher education institutions developed and approved (n)

(2)• Student Leadership capacity

development strategy and programme developed and implemented by October 2015

• Enterprise Architecture for the Central Applications Service developed and approved by March 2016


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Five Year Strategic Objective (6): To produce and publish an annual first time entering undergraduate cohort analyses report annually


Cohort study reports on higher education published per annum (n)

(1)2005 to 2008 First time entering undergraduate cohort analyses report published on the DHET website by March 2016

Five Year Strategic Objective (7): To facilitate stakeholder network through the establishment of a BRICS think tank and participative academic forum and report progress on partnerships annually

Partnership reports produced and approved per annum (n)

(1)A Report on the 2015 BRICS Academic forum and Think Tank partnerships approved by Minister by March 2016


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Expected outcomes to be monitored and reported by the programme Performance Indicator Baseline

(2012 academic year)

2015/16 Target(2013 academic

year)

Students enrolled in public higher education studies at universities (n)

950 000 1 000 100

Success rates at universities (%) 76% 76%

Graduates in Engineering Sciences from universities (n)

9 974 10 100

Graduates in initial Teacher Education from universities (n)

13 740 17 500

Proportion of universities meeting standards of good governance (%)

New indicator 100%

Research Masters graduates (n) 6 076 6 200


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Expected outcomes to be monitored and reported by the programme

Performance Indicator Baseline 2015/16 Target

Universities offering accredited TVET college qualifications (n)

New indicator

3

University academic staff with PHDs (%) 38% 42%

Additional first-time entrants (black and women) to academic workforce in addition to normal replacement and plans (n)

New indicator

100

First year students in foundation programmes (n) 16 300 23 902

Eligible university students obtaining financial aid (n) 194 504 205 000

Graduates in Human Health and Animal Health from universities (n)

8 015 9 000


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Expected outcomes to be monitored and reported by the programme Performance Indicator Baseline 2015/16 Target

Graduates in Natural and Physical Sciences from universities (n)

6 366 6 600

Higher education undergraduate success rates (contact) (%)

79% 80%

Higher education undergraduate success rates (distance) (%)

69% 71%


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Programme 4: Vocational and Continuing Education and Training

Programme Purpose: Plan, develop, monitor, maintain and evaluate national policy, programmes, assessment practices and systems for vocational and continuing education and training including for TVET colleges and post-literacy adult education and training

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Five Year Strategic Objective (1): To develop 6 and revise 5 legislative and guiding frameworks aimed at steering the Vocational and Continuing Education and Training sector by 31 March 2020Performance Indicator 2015/16 Target New Vocational and Continuing Education and Training steeringmechanisms developed and approved (n)

(6)• Governance and policies for TVET Colleges • Staffing norms and standards for CETCs • Conduct policy for NASCA • Guidelines for standardised implementation of

Occupational Programmes • Policy directives for TVET College Information

Technology systems • Governance policies for Community colleges


42


Vocational and Continuing Education and Training steering mechanisms revised (n)

(1)TVET Colleges monitoring, evaluation and support model revised and approved

Five Year Strategic Objective (2): To standardise the level of governance across VCET institutions by 31 March 2020. Monitor and take appropriate actions when deficiencies are detected

Monitoring and Evaluation reports on VCET institutions produced and approved (n)

2


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Five Year Strategic Objective (3): To develop and implement 6 teaching and learning support plans for VCET institutions by 31 March 2020

Annual teaching and learning support plans for Vocational and Continuing Education and Training developed and approved (n)

(2)• Protocol on the secondment of

sector specialists to work in TVET Colleges and lecturers exposed to the work place developed and approved

• Annual teaching and learning plan developed


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Five Year Strategic Objective (4): To improve success in programmes offered in VCET institutions by developing and implementing appropriate student support plans by 31 March 2020

Annual student support services plans for Vocational and Continuing Education and Training developed and approved per annum (n)

1


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Five Year Strategic Objective (5): To ensure geographic spread of VCET institutions through the establishment of 21 additional sites of delivery for VCET institutions (12 TVET campuses and 9 CETCs) by 31 March 2020Macro infrastructure and maintenance plan for CETCs developed (n)

1

VCET sites/facilities established (n) 6 TVET college campuses builtFive Year Strategic Objective (6): To establish a coordinating structure for support and research in the VCET sector by 31 March 2020.

Strategy on strategic partnerships with key stakeholders developed and approved (n)

1


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Performance Indicator Baseline2013/14

2015/16 Target

Headcount enrolments in TVET colleges (n) 670 455 725 000

Certification rates in TVET qualifications (%) NC (V) L4: 37%N3: 51%N6: 41%

NC (V) L4: 59%N3: 53%N6: 53%

Lead time to issue certificates to qualifying candidates (months)

12 months 9 months

Percentage of public TVET college examination centres conducting national examinations and assessments in compliance with national policy (%)

70% 100%

TVET throughput rate (%) New indicator 10%


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Performance Indicator Baseline 2015/16 Target

Students accommodated in public TVET colleges (n)

New indicator

1 000

Qualifying TVET students obtaining financial assistance (n)

273 679 200 000

Funded NC(V) L4 students obtaining qualification within stipulated time (%)

New indicator

10%

TVET institutions compliant to governance standards by 2019 and increasing every year thereafter (%)

New indicator

20%

TVET lecturers undergoing specified hours of work in their industry for specified periods every two years from 2019 (%) – as per APP

New indicator

6%


48

Programme 5: Skills Development

Programme Purpose: Promote and monitor the national skills development strategy. Develop a skills development policy and regulatory framework for an effective skills development system.

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Five Year Strategic Objective (1): To steer and support skills development institutions to implement the National Skills Development Strategy through the development of 4 new and 6 revised policies including legislation, regulations and guidelines by 31 March 2020

New skills development steering mechanisms developed and approved (n)

(4)• Workplace based learning policy

developed and approved by Director-General by December 2015

• Governance charter for SETA’s developed and approved by March 2016

• Occupational team policy recommendation tabled by December 2015

• SETAs Governance standards developed and approved by the Director-General


50


Skills development Steering mechanisms revised (n)

(2)• SETA landscape reviewed and approved by

the Minister by March 2016• A reviewed National skills development

Strategy approved by the Minister by March 2016

Five Year Strategic Objective (2): To standardise the level of governance across Sector Education and Training Authorities (SETAs) by 31 March 2020, monitor and compile annual quarterly reports and take appropriate actions where deficiencies are detected

SETA monitoring reports on skills development produced and approved (n)

4


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Five Year Strategic Objective (3): To effectively manage artisan development assessment services inclusive of RPL in order to produce 24 000 qualified artisans per annum by 31 March 2020

Average lead time from trade test application received until trade test conducted (days)

100 days

New artisan learners registered nationally per annum (n)

29 750

New artisans qualified per annum (n) 20 110

National artisan learners pass trade test rate (including INDLELA) (%)

50%


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Five Year Strategic Objective (4): To enhance the National Information System in order to improve collation of artisan information and skills development levy information for monitoring and evaluation as well as reporting by 31 March 2018

Information management systems developed (n)

A single national artisan development information management system designed and approved


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Expected outcomes to be monitored and reported by the programme Performance Indicator Baseline 2015/16 Target

Work based learning opportunities (n) 49 678 45 000

National artisan learners pass trade test rate (including INDLELA) (%)

45% 50%

National artisan learners employed or self-employed (%)

65% (HSRC

research report)

67%

Proportion of SETAs meeting standards of good governance (%)

New indicator

100%


Thank You

Documents

STRATEGIC PLAN (2015/16 – 2019/20) and ANNUAL PERFORMANCE PLAN (2015/16 MTEF) Presentation to the Portfolio Committee on Higher Education and Training