1. Mahindra Warroom Mahindra Partners | Namaste Team Name : NM
Trailblazers SBM Narsee Monjee Institute of Management Studies,
Mumbai 1
2. Agenda Overview Strategy Vocational Training Global
Employment Program Training of Trainers Mobilization &
Assistance Financial Analysis
3. Overview Strategy Vocational Training Global Program
Training of Trainers Mobilization & Assistance Financial
Analysis Annual Vocational Skill Demand Supply Gap in India
Vocational Training Demand (A) Total Students 40 million 1/3 Demand
Vocational Training 13.3 million Vocational Training Supply (B)
ITI/ITC 1 Million BE & Polytechnics 2.4 million Total 3.4
Million GAP (A-B) 9.9 Million KeyGovernmentSchemes Industry
Overview Indian Demographic Dividend - Statistics Key Policy
Initiatives of the Government Prime Ministers National Council of
Skill Development - Set up as an apex institute for policy
direction & review National Skill Development Corporation: A
not for profit company formed as PPP to facilitate skill
development National Skill Development Co- ordinationBoard :
Formulating strategies to implement the decisions of the PMs
National Council of Skill Development 68.6 66 62.58 62.69 61.92
61.62 59.88 56.71 55.88 52.76 49.3 0 10 20 30 40 50 60 70 80
2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08
2008-09 2009-10 2010-11 %Dropout Secondary SchoolDropoutRate 50% of
population below 25 years 5% of workforce employable as compared to
50% in developed nations India will be worlds most populous country
by 2030 Will have largest number of people in working age
population (15- 59) Expected to have a large English- speaking
population by 2050 1
4. Competition Landscape Providerelevantskill-set to the less
fortunateyouth Education / Skill Development Services, Hospitality,
Construction, Organised Retail, Electronics / Hardware,
Automotivework, Agriculture School dropouts Basic skills at
Trainability Centres and Vocational skills at District Institutes
Wider reach, trust & affordable education NGOs Unassured
placements & only for socially deprived To engage with Indians
by through education &employment. To deliver high quality skill
development IT-BPO, Microfinance, Banking & Insurance,
Organised Retail, Sales and Marketing in Rural Areas Schooldrop
outs, 10th&12th pass Tie up with content provider, local
training providers and companies for placement Cater tosame TG as
Mahindra Namaste ForProfit Institutes People are unwilling topay
Starting with 8th Pass Govt. institutes To provideworkers to
industry by systematic training to schoolleavers and enhance
employment Electronics, Welding, Vocational Training, Beauty
Courses, Computers etc Governmentand Industrialsupport Nominal fees
Quality gap To become an effectivebridge between the employer and
the employee Providing jobs for various sectorsfor which there is
an industrial demand Case Based Chargethe employer for providing a
competent employee Provides jobs without charging fees Consultancy
Notraining opportunity To enhance skill training relevant to their
sector or area of operation Hospitality, Construction, Organised
Retail, Electronics / Hardware, Automotive work, Agriculture School
dropouts Parentcompany support Domain expertise CSR Initiatives
Limitedtothe companys domain Overview Strategy Vocational Training
Global Program Training of Trainers Mobilization & Assistance
Financial Analysis EligibilityCourses OfferedValue Proposition
Operating Model Threat Gap 2
5. Gaps in Skill Training Dimension Key Issue & Challenges
Infrastructure constraints The available data on seating capacity
clearly underscores the capacity of ITIs/ITCs Course Relevance Lack
of focus on development pertaining to the specific requirement of
employers Soft-Skills Lack of adequate focus on soft skills by
existing institutes Inconsistent Quality Heterogeneous nature of
training institutions with varying capabilities and facilities
Faculty Development No mandatory training & development
programs or industrial orientation is being offered. Industry
Participation No adequate industry participation in the field of
curriculum development, training of instructors & other aspects
of vocational training Need for Reforms to address the gaps Quality
in terms of process & manpower Standards need to be well
defined & monitored Making it more relevant to satisfy industry
demands and students needs Forging Partnerships with quality &
willing players, outcome drivenmonitoring Pre-conditiontheauthentic
& relevantneeds Focusedinitiatives in key areas to initiate,
implement and operate vocational educationand training centres
Overview Strategy Vocational Training Global Program Training of
Trainers Mobilization & Assistance Financial Analysis 3
6. Overview About Namaste& ResearchMethodology Research
Methodology Goals PrimaryResearch SecondaryResearch About Namaste
Currently, IT/ITES, Retail , Hospitality and Automotive courses
being run Mahindra Namaste Private Limited was set up in 2012 as a
professional skill training venture as a social for
profitenterprise Targeted at youth of 18-26 groups with minimum
educational qualification as 10th Standard Currently, operating 2
centers; 1 each in Hyderabad and Chennai Starting with 1000
students Mahindra Namaste aims to train 1 million youth over 10
years into well established, high earning professionals through
employment ready training and placement services Establish industry
partnerships for relevant and responsive course content development
and placements. NSDC State-wise skill-gap analysis reports NSDC
Industry-wise skill-gap analysis reports Research papers from EBSCO
EY: Strategic and Implementation framework for skill development in
India McKinsey, Deloitte and KPMG reports Have more than 100
centres Interviews with NGOs and For-profit Skill-development
centres in Mumbai area: Pratham, Khedwadi Yuva Parivartan, Kotak
Foundation, and Tech Mahindra Foundation Interaction with Corporate
recruiters in Retail and hospitalitysectors Interviews with 76
students and parents from the community in Andheri and Powai areas
Interviews with prospective students and those enrolled at Mahindra
Namaste(information from the Facebook page) Overview Strategy
Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis 4
7. Target Group Segmentation | PrimaryResearch McKinseysBottom
of the Pyramid TypicalProfile of the Target Segment Has passed 10th
Working for unorganised sector, Earns 4000- 6000 per month Peer
group engaged in similar jobs or self employed or in anti social
activities Lives with a family of 5. Parents wanthim to work for a
regular flow of income Minimal English speaking skills and low on
vocational skills Aspires for abetter quality of life
PrimaryResearch|AndheriPowaiSlums Qualification Current Income Peer
Group Family Per CapitaIncome Vocational Skills Aspiration 50%28%
14% 8% Less than 12th 12th Pass Pursuing Graduation Graduates 20%
32% 38% 10% No Income Less than Rs 5000 Rs 5000-7000 More than Rs
7000 30% 35% 20% 15% Unemployed Similar Jobs Studying Better Jobs
35% 30% 23% 12% Less than Rs 1000 Between Rs 1000-2000 Between Rs
2000-3000 More than Rs 3000 23% 40% 17% 20% Not aware Doesn't feel
the need Received/ing Training Industry Ready 10% 35% 30% 25%
Satisfied Wants a two wheeler Wants a car Wants to own a house
Overview Strategy Vocational Training Global Program Training of
Trainers Mobilization & Assistance Financial Analysis 5
8. PrimaryResearchInsights Interviews of Students,
Parents/Guardians, Trainersand Corporate Recruiters OJT emerged as
a popular teaching method amongst the studentsfor skill training
50%28% 14% OJT Classroom Correspondance TeachingMethods Gender
Break-up 68% 32% Male Female 27% 25%18% 16% 14% Parents Friends
Teachers A respected Idol Celebrity Key Influencers 31% 21% 40% 8%
Blue collar service Manufacturing White collar service
Self-Employed Parents and Friends are one of the biggest
influencers on students while deciding on skill training Parents
Student Village Elders Company Pilot Project 0% 10% 20% 30% 40%
Parents Student Testimonials Village Elders Company Testimonials
Blue and white collar services emerged as the favorites amongst the
youth WaystoCounselPreferenceofJob Overview Strategy Vocational
Training Global Program Training of Trainers Mobilization &
Assistance Financial Analysis Source: Primary Research 8 6
9. Business Model Canvas for Mahindra Namaste Overview Strategy
Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis 7 Vocational
Training Mahindra Namaste Global Employability Program Training of
Trainers For training youth in vocational skillsfor domestic demand
Skill developmentof the aspiring emigrants To train existing &
aspiring trainers Value Proposition Program Methodology
SelectionProcess Batches of 30 students 3 month course Focus on
Soft Skills& Practicals On the Job Training Fee Assistance
Assured Placement CompetitivePricing Trusted Brand Quality
Counselling Screening with Test Interview
10. Existing Roadblocks|PrimaryResearch Location: As the income
earned is less, people arent willing to travelfar distances
Parentsdont believe that spending money on training& losing
opportunitycost is a wise choice Peer Pressure:Friends encourage to
be a part of antisocialactivities Mismatch of Expectations of the
aspirants.They dont think training can lead to betterment Dropouts
& Lesser Admissions Training Dropouts On the Job Training
Dropouts Placement Dropouts Less Admissions Handholding&
Counseling Mentoring Parent/Guardians Involvement Alumni
Interaction Industry Exposure Mobilization/Social Marketing Change
in Market Forces: Skillsnot relevant,No takers for the skills
provided Upgradationof Skills Casteism & other Social Stigmas
DontTrain Because of 20% DontTrain Because of 12% DontTrain Because
of 15% DontTrain Because of 8% DontTrain Because of 18% DontTrain
Because of 27% Overview Strategy Vocational Training Global Program
Training of Trainers Mobilization & Assistance Financial
Analysis 10 9
11. AddressingRoadblocks Handholding& Mentoring &
Counseling Parent/Guardians Involvement Alumni Interaction Industry
Exposure Aim : To give the trainee constant guidance & support
to make them feel comfortable Methodology: 1 Assign a mentor to
each trainee. The mentor does weekly checkups on the trainee and
monitors their progress. 2 Each center will have a qualified
counselor who will be responsible for helping the trainees with
their personal issues 3 Various handholding exercises will be
conducted to help the trainees like extra guidance on weak
subjects, visits to the students homes if absent for more than 3
days, birthday & festival celebrations Aim : To enhance the
involvement of the Parents or Guardians as they are important
influencers in the trainees life Methodology: 1 Share regular
progress reports with parents/guardians 2 Hold parent/guardians
meetings with the trainers twice during the duration of the course
3 Conduct celebrations for the students like annual day for each
batch & graduation ceremonies. Aim : To create a sense of
belonging for the pass outs, leverage on the alumni base & also
provide a source of inspiration for the budding employees
Methodology: 1 Conduct annual alumni gatherings and have a rewards
& recognition ceremony for felicitation 2 After each bath
passes out conduct rallies and get-togethers where aspirants will
be encouraged to come and interact with the alums Aim : To help
students gain exposure into life after training & assist
industries to look into the batch profile. Also align the course
based on industrys current demands Methodology: 1 Conduct at least
2 industry visits and help the trainees understand the workings of
various departments 2 Update the courseware like syllabus and
equipment every year based on the changing demands of the market. 3
Conduct regular seminars and guest sessions by industry experts and
alumni for students to gain further confidence into the course
structure & the training Overview Strategy Vocational Training
Global Program Training of Trainers Mobilization & Assistance
Financial Analysis 11 10
12. Backward & ForwardLinkage Backward Linkages Forward
Linkages Partnership with the NGOs Partnerships with the industry
Form partnerships and associations with NGO working at the local
level Helps to understand to the local needs and aspirations Also
helps in mobilizing and promoting Mahindra Namaste among the
potential students Can also use their infrastructure for training
in case of Satellite Centre NGO would benefit from the association
with brand Mahindra Reduces time to start for Mahindra Namaste
center in a city Also reduces cost Acceptability would increase by
partnering with a local body due to trust Mahindra Namaste would
need to leverage the huge diversity of the Mahindra Group with
strong presence in every sector It can also leverage its strong
partnerships with suppliers and vendors for the program. Forming
Partnerships with NGOs Forming Partnerships with Industries Design
curriculum in partnership with market leaders of selected sectors.
Leverage expertise of sector skill councils Extensive OTJ training
to be carried out at the partner premises. Helps students to
experience real life scenarios Job opportunities with the partners
on successful completion of the course. Continuous feedback to
improve course Curriculum Design On the Job Training(OJT)
PLACEMENTS Mahindras Suppliers Mahindras Customers Overview
Strategy Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis 12 11
13. Course *Demand in 2009 *Demand in 2022 Incremental Demand
CAGR Attractiveness to Youth Attractiveness Score Composite Score
Rank 1 Building & Construction 25 58 33 7.26 MEDIUM 2 12.35 3 2
Auto& Auto Components 13 48 35 11.50 HIGH 3 14.30 1 3 Real
Estate Services 11 22 11 5.95 LOW 1 4.99 7 4 OrganizedRetail 0.3
17.6 17.3 40.40 MEDIUM 2 14.27 2 5 BFSI 3.3 10.5 7.2 10.13 HIGH 3
5.69 5 6 Gems & Jewellery 3.3 8 4.7 7.66 MEDIUM 2 3.94 9 7 IT
& ITES 2.2 7.5 5.3 10.76 HIGH 3 5.24 6 8 Electronics &IT
Hardware 0.9 4.2 3.3 13.70 MEDIUM 2 4.73 8 9 Leather &leather
goods 2.5 7 4.5 8.96 LOW 1 3.64 11 10 Furniture &Furnishings
1.4 4.8 3.4 10.81 LOW 1 3.68 10 11 Hospitality 1.289 6.177 4.888
13.95 HIGH 3 5.76 4 Parameter **WeightAssigned A Incremental Demand
.2 B CAGR .3 C Attractivenesstoyouth .5 Composite score .2A +
.3B+.5C Course Selection Overview Strategy Vocational Training
Global Program Training of Trainers Mobilization & Assistance
Financial Analysis 12 *Units are in millions **Weightage is
assigned based on JudgementAnalysis Source: NSDC Sector wise
reports In ordered to havea focused approach and buildsector
specific industry linkages we choose to focus only on the top 6
courses as identified Parameters Top 6 Courses
14. 2012-17 2018-22 City State Retail IT Hospitality
Construction Automotive BFSI Retail IT Hospitality Construction
Automotive BFSI Mumbai Maha 341373 182795 78347 202288 4835 -
849446 279891 114080 280740 7752 - Kolkatta WB 47650 72000 10371
94467 6393 - 34308 60000 10066 79705 5234 - Ahmedabad (Guj) Guj
19367 42000 32290 31974 14280 28227 34000 25832 28598 - 9996 Surat
Guj 21778 31500 24790 26966 9066 23806 19832 24119 - 6346 Pune Maha
229130 174487 23394 147083 64191 58303 570150 267169 34064 204721
99004 93721 Nagpur Maha 22102 4871 10380 81590 4819 27601 54996
7458 15114 113232 7610 44367 Thane Maha 22576 129826 4153 121016
5150 48042 56177 198786 6046 167949 8228 77227 Aurangabad Maha
16508 19925 40572 21220 14476 41077 29012 56307 32671 23270 Vadodra
Gujrat 14894 42000 16080 18442 - 13710 16281 34000 12864 16495 -
9597 Ludhiana Punjab 18655 - 753 117853 - 7651 20215 - 952 134562 -
5631 Nasik Maha 23875 - 8698 54345 14727 21635 59409 12665 75421
22770 34778 Faridabad Haryana 26330 30457 634 49530 - 10985 23586
47454 572 44947 - 12584 Lucknow, Kanpur, Ghaziabad, Agra, Varanasi,
Meerut UP - Cumulative 104904 257448 278698 1441424 - 295054 334451
490498 421816 1679592 - 476431 Incremental Demand of manpower in
various cities for different courses Overview Strategy Vocational
Training Global Program Training of Trainers Mobilization &
Assistance Financial Analysis 13 Pune Maha 229130 174487 23394
147083 64191 58303 570150 267169 34064 204721 99004 93721 2012-17
2018-22 City State Retail IT Hospitality Construction Automotive
BFSI Retail IT Hospitality Construction Automotive BFSI
15. Course Name Employment Opportunity Competition Course
Content Pre-Hospital & Hospital Care Training High High
requirement for medical help with a technical training to be of
assistanceto the doctors AveragePay-Scale:30000-40000per month
Medium toLow Not offered by NGOs and other skill development
organization Courses offered by LIHS,Mumbai Protocolbased training
in Emergency medical Services and trauma care to healthcare
providers Empower health careproviders & community to save
lives Networking for disaster awareness &preparedness Domestic-
Help/ Care- giving to Senior citizens Medium Residents of High-end
condominiums are willing to pay a premium for reliable services and
ensure retention AveragePay-Scale:8,000-12,000per month Low; Not
offered by NGOs and skill development organizations Offered by an
NGO in Pune Course offered by DOMESTEQ, Delhi Expertise in Cooking,
article cleaning and washing Expertise in grocery purchase Manual
handling of electrical Kitchen equipment Behavioralskills as
required Gym-Trainers High Fitness is becoming a trend in the Urban
areas Growing number of Health centres in Metros and Urban areas
AveragePay-scale :10000-15000 per month. Low; Offered by Fitness
centers Not offered by many NGOs/ Skill development organizations
Course offered by YMCA, Mumbai Anatomy and Exercise Physiology
Weight-Training Techniques Kinesiology and supplementation
Professional Dancing Medium Ensures employment with professional
dance troops and high opportunity for Self-Employment
AveragePay-Scale:8,000-10,000per month Medium; Not offered by NGOs
and other skill development organization Course offered by YMCA,
Mumbai Focusing on specialization in various danceforms Hip-hop,
Bollywood and Salsa Niche Courses Insight There is a rise in demand
for non traditional courses in metro & tier I cities Strategy
To start non-traditional coursesin the 4-5 years in the old
established centres based on the demand Overview Strategy
Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis 15 14
16. 10 Year Plan | Implementation Timeline Year I Year II Year
III Year IV Year V Year VI Year VII Year VIII Year IX Year X
Insights In 2012, 54 Indian cities with a population of 1 million
or more alone accounted for 40% of Indias GDP. By 2025, 69 Indian
cities with a population of 1 million or more are expected to
account for 77% of Indias GDP. Overview Strategy Vocational
Training Global Program Training of Trainers Mobilization &
Assistance Financial Analysis 15 Foundation (0-3 yrs) One centre in
each state. Establish contacts with NGOs and Corporates.
Understanding the market & adopting Growth (4-7 yrs) Aggressive
expansion 2nd centres where required. Increased Penetration through
Hub & Spoke Momentum (8th year onwards) Already Established
Maximizing Operational Efficiency Innovating Simulation , Virtual
classrooms
17. 10 Year Plan | Implementation Timeline Present Year Year 1
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 3
10 18 30 45 61 78 93 105 114 122 7 8 12 15 16 17 15 12 9 8 Chennai
Mumbai Srinagar Chennai Mumbai Lucknow Bhopal Srinagar Vasai
Dhanbad Allahabad Hyderabad Delhi Pune Hydeabad Delhi Indore
Vishakhapat nam Faridabad Varanasi Amritsar Pimpri & Chinciwad
Banglore Kolkatta Kanpur Bangalore Kolkatta Surat Ranchi Meerut
Nasik Navi Mumbai Bhubanesh war Ahmedabad Raipur Patna Ahmedabad
Pune Patna Rajkot Aurangabad Jalandhar Salem Jaipur Srinagar
Vadodra Jaipur Kanpur Vadodra Kalyan Moradabad Tiruchirappa lli
ChittoorLucknow Bhopal Ghaziabad Raipur Ghaziabad Jodhpur Mysore
BelgaumIndore Vishakapatnam Ludhiana Thane Ludhiana Madurai Gurgaon
Muzaffarna garRanchi Agra Vasai Navi Mumbai Agra Nagpur Aligarh
AzamgarhSurat Varanasi Allahabad Jabalpur Kota MuzaffarpurFaridabad
Nasik Pimpri & Chinchwad Chandigarh Guwahati Meerut Aurangabad
Howrah Jalandar Bareilly GuntarRajkot Dhanbad Coimbatore Gwalior
Purba MedinipurREPEAT CENTRES Kalyan Amritsar Barddhaman Vijayawada
HUB & SPOKE North Twenty Four Parganas Rangareddy Purba
Champaran Murshidabad South Twenty Four Parganas East Godavari
Overview Strategy Vocational Training Global Program Training of
Trainers Mobilization & Assistance Financial Analysis 16
TotalCentres New Centres
18. Year Present Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
Year 7 Year 8 Year 9 Year 10 Total Number of centre 3 10 18 30 45
61 78 93 105 115 123 Newcentres opened 7 8 12 15 16 17 15 12 10 8
Utilizationof the capacity 60% 70% 80% 90% 90% 90% 90% 95% 95% 95%
Averagenumber of courses / centre 4 4 4 5 5 5 5 6 6 6 Students
Trained 5,760 12,096 23,040 48,600 65,880 84,240 100,440 143,640
157,320 168,264 Total Number of centre - 3 6 10 15 20 25 30 35 41
47 Newcentres opened 3 3 4 5 5 5 5 5 6 6 Utilizationof the capacity
60% 70% 80% 90% 90% 90% 90% 95% 95% 95% Averagenumber of courses /
centre 2 2 3 3 3 4 4 4 4 4 Students Trained 864 2,016 5,760 9,720
12,960 21,600 25,920 31,920 37,392 42,864 TOTAL 6,624 14,112 28,800
58,320 78,840 1,05,840 1,26,360 1,75,560 1,94,712 2,11,128 10 Year
Plan | Implementation Timeline Objective To set up more than 100
centers across the country to train 1 million youth and place them
in regular jobs with reputed companies Overview Strategy Vocational
Training Global Program Training of Trainers Mobilization &
Assistance Financial Analysis 17 49,536 4,18,896
10,00,296TotalNumber of StudentsTrained
19. Objective To increase the reach of the courses beyond Tier
2 cities Consists of a City Centre and a few Satellite Centres
Methodology Theory classes to be conducted at Satellite Centre
Practical sessions to be conducted at the City Centre Paid/Unpaid
OTJ Training for 15 days Centralised placement Advantages Reduces
cost of operation Increase the penetration to include villages and
smaller towns Competitive advantage as no organized player has
targeted this segment Can leverage strong Mahindra Brand name to
mobilize Ideally to have 6 Satellite Centres with 10 students each
for differentcourses. NGO in these towns and villages to mobilise.
Also infrastructureof the NGO to be used for the theory classes.
Practical's followed by OJT to be held at the City Centre. Lower
costof Operation Lower Fees for students Courses to be decided on
the basis of the industry scenario and the demand in the nearby
area District: High Unskilled labour, No Mahindra Namastecentre in
vicinity and high potential demand. City Centre: Good
transportation system, centreof all the small towns and villages
SatelliteCentre: Should haveunskilled labour, motivated &
aspiration of youth to work. City Centre Model Structure Satellite
Centre Selection & Implementation Integrationof VariousChannels
Example of the Hub & Spoke Structure Overview Strategy
Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis Hub & Spoke
19
20. Of the current trainees Upgradation of Skills |
CareerGrowth Reason for Upgradation Changing dynamicsof the
industry Need for growth for the trainees Make the offering of the
institute more wholesome Who feels it is needed? 40% Of the
employers55%Of the trainers48% Upgraded courses Advance Retail
Positions Available-Customer Interaction Manager, Purchase &
Merchandising Manager, Department Manager Skills to be developed-
Understanding of cross functional activities, Ability to adapt to
market changes, Knowledge of SKUs, Advance soft skills &
leadership skills Eligibility Anyonewith a basic certificationfor
the above streams & a relevantwork experience of at least 2
years Advance Construction Positions Available-Senior Supervisors,
Engineers, Project Managers Skills to be developed- Planning &
scheduling, project management, Resource estimation, Communication
& team building skills, Conflict management, Safety skills,
Writing skills in English, Risk management Advance IT Positions
Available-Module Leads, Analysts Skills to be developed- Developing
specializations, Domain exposure, Project estimation abilities,
Communication & soft skills, Customer relationship management,
Process knowledge Advance Hospitality Positions Available-Senior
Customer Relationship Manager, Department Head Skills to be
developed- Communication & soft skills, Customer relationship
management, Negotiation Skills, Leadership & team building
skills, Estimation & organization skills Relevantexperience of
at lease 2.5 years or more (depending upon the course) OR Who needs
it? Someone who wantspromotions and a constant career growth Way
Forward Tie up with industry players who want their employees to
grow Overview Strategy Vocational Training Global Program Training
of Trainers Mobilization & Assistance Financial Analysis
20
21. US UK Brazil Germany India France China Japan Australia
Population (mn) 310 62 195 82 1225 63 1341 127 22 Young
population(15-25) as a % of total population 14 13.1 17.2 11.2 19.2
12.4 16.8 10 14.1 Literacy Rate (%) 99 99 89 99 74 99 92 99 99
Unemployment Rate (%) 9.6 7.8 6.7 7.1 10.8 9.3 4.3 5 5.2 Fulfilling
Global Shortfall - India Global Supply of Skilled Manpower A
comparison Low Median Age: India has the youngest population inthe
world with a median age of 25 Largest Population of workingage
group: India is expected to have largest working population ( age
15-64 years), with a billion people in working age group by 2050
Large English-speaking population: Can be leveraged to become major
exporter of human resources, a large English speaking people by
2020 High demand for mobile Indian labour force:
Multiplenationssigning agreements for facilitated migrationof
Indianworkers , eg Germany, Australia etc India is
strategicallysuited to fulfil the globalshortfall because Overview
Strategy Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis 21
22. Country No Of Indian Workers Global Migration Barometer
Need for Migrants Composite Score Top 3 skills in Demand Italy
70,652 68.6 67.6 68 English teachers Tourism Automotive UK
15,00,000 78.2 60.5 67.58 Hospitality Retail Mining & Quarrying
USA 9,27,283 80.3 54.8 65 Retail Nurse Computer Analysts Australia
2,13,710 67.1 62.2 64.16 Nurse Chef IT Professionals Canada
2,00,000 82.7 51.4 63.92 Technicians & Mechanics Engineers
Medical Technicians Singapore 2,70,000 77.8 47.4 59.56 Automative
Industry Health care Retail Qatar 5,00,000 59.3 54.9 56.66 IT
Programmer Hospitality Sales Worker UAE 17,00,000 54.7 56.6 55.84
Housekeeping Hospitality Sales Worker Thailand 90,000 57.1 50.4
53.08 Retail Hospitality Healthcare Kuwait 5,79,058 54.4 48.4 50.8
Restaurant Manger Sales Assistant Hospitality Measured by Economist
intelligence Group , measures a nations attractiveness to migrants
+ Accessibility formigrants & its need for migrant workers A
composite score with weightage of .6 to need for migrants & .4
to migration barometer Targeted Nations & Skills Statewise
Migrant Data - 2009 UP 125783 Kerala 119384 Tamil Nadu 78841 AP
69233 Bihar 50227 Rajashtan 44744 Punjab 27291 West Bengal 21187
Maharashtra 19128 Karnataka 18565 Selecting Centre Locations Steps
of Global Employability Program Skills to be targeted in Phase 1(
Existing Programs as per Domestic Requirements) Skills to be
targeted in Phase 2( New Courses which can be started ) Selecting
Courses& Centres For Global Employability Program Nations with
> 50,000 Indian migrants selected Ranked on basis of Global
Migration Barometer & Need for migrants (factors by Economist
Intelligence Group) Nations with a composite scores of > 50 to
be targeted as they providean attractive destination Testing &
Selection Identificat ion of Country & Skill Job Specific &
Orientatio n Training Placement Assistance through recognized
Recruiting Agents Visa Assistance Through Tie-up with travel agents
Location to be selected depending upon number of emigrants at
state-level. Top 10 states according to number of emigrants to be
targeted phase wise Overview Strategy Vocational Training Global
Program Training of Trainers Mobilization & Assistance
Financial Analysis 22
23. Train the Trainers CurrentScenario While majority of
trainers possess technical skills, many lack teaching skills, soft
skills and entrepreneurship development skills. Some NGOs alsowant
trainers to mobilize Lack of standardizationof eligibility
criteria&evaluation for trainers bothfor entry and advanced
levels resulting in varying criterionadoptedby training institutes
toselect trainers The more organizedthe sector, the greater the
preference for certification. However some areas training
institutes place greater importanceonthe practical aspects of
training Severe Shortage: The 5 Advancedtraining institutes that
exist cantrainonly2000 trainers ayear under their flagshipcourses
TeachingMode 54% 63% 26% 0% 20% 40% 60% 80% Advanced Training
Skills Computers Enhancement of Soft Skills Need Assessment
National Council for Vocational Training approved a proposalto
upgradeModel IndustrialTraining Institutes for conducting
instructors training. Would increaseannual training capacity by a
mere 1,200 trainers, considering thereare 4 MITIs & each MITI
can train 300 instructors annually.37000 583000 0 100000 200000
300000 400000 500000 600000 700000 2008 2022 Demand For Vocational
Trainers Average Annual Requirement Trainers for ITI/ITC 12000
Trainers in other vocational Streams 27000 Total Annual Requirement
39000 Current Annual Capacity for Trainers 16000 GAP/Year 23000
Issues ImportanceofCertification 49% 53% 51% 53% 46% 48% 50% 52%
54% Continuous Engagement Enhanced Motivation Higher Roles &
Responsibility Recognition Trainers with NGOs TrainersKnowledge 50%
52% 26% 0% 20% 40% 60% Regular Training Exposure & Seminars
Industry Interface Degree of Importance Overview Strategy
Vocational Training Global Program Training of Trainers
Mobilization & Assistance Financial Analysis 23
24. Induction Program/Train the Trainers To fulfil the gap of
training the trainersfor the vocational courses& to
provideeffective trainingto deliver efficient trainers Objective
Way Forward To certify all new entrants as being competent to
deliver classroom training sessions To build familiarity and
conceptual understanding of the training products To provide a
common basis and understanding of quality To empower trainers to
carry out some of the training product development procedures. To
provide a framework to keep track of all the trainers in order to
provide the most appropriate expertise for different customer
engagements / levels Indicative CourseContent PsychologicalTests
Understandingthe trainers| Introductionto Management
Understandingthe culture | Need for training Communicatingthe tools
for training& Model classes Introductionto curriculum
Introductionto batches and demo classes | Importance of coaching
Industry visits, Talkingto industry experts, Seminars,
UnderstandingTrends Feedback Broad Skill Requirements 'Hard'
teaching skills (subject specific) Aptitude and attitudefor
training Awareness of 'Principlesof Teaching' Industry Experience
'Soft' skills Overview Strategy Vocational Training Global Program
Training of Trainers Mobilization & Assistance Financial
Analysis 24 24
25. As per ourinteractions with the NGOs and respondents
ofourprimarysurvey,students & parents are unwillingto part with
a huge amount at one-go. They generallydo not trust the
validityofthe promise of assured placement. Financing Options
Research Insights Eligibility Check Background Verification of
Applicant & ability to payback Disbursal of loan (50% of fees)
at a minimal rate of interest of 4% Information Sharing with
Corporate Share applicants assessment data and background data with
corporate. Banking Partner Tie-up with banks to provide interest at
a lower than market rate Banks also provide preference to Mahindra
applicant Sensitization Sensitize the applicant on the
responsibility of repayment Involve family members of the applicant
as co-borrowers Corporate Sponsorship Corporate pays for the
applicants fees as part of its CSR activity Repayment Repayment to
be done after start of job Allow company where the applicant is
placed to directly debit the amount & pay the institute
Earn&Pay Corporate Sponsorship Collaborations withBanks
Overview Strategy Vocational Training Global Program Training of
Trainers Mobilization & Assistance Financial Analysis 25
25
26. Mobilization Key Findings Lack of awarenessis partly
responsible for poor mobilization Public meetings,
televisions,pamphlets& vernacular newspaper, mobile SMS-seen as
effective tools Word of mouth, parental advice, respected idol
testimonials from successful students biggest influencers Fees
assistance programs such as subsidies, scholarships &
placements act as catalysts Objective To bring about awarenessfor
Mahindra Namastesskill development and to increase the enrolment
rate Strategy Direct Approach:To capitalizeon internalstrengths to
gain participation Indirect Approach:Toleverage on our
partnershipsto spread awareness Direct Approach Door to Door
Counselling ParentsCounselling 1 Have a designated counselling team
of a trained counsellor & trainers for each centre 2 Prepare a
customized script addressing the aspirations city wise/area wise 3
Conduct door-to-door counselling trying to tap in as many aspirants
as possible for addressing problems as well as explaining our
offerings 1 Organise a chai-samosa meet and invite parents &
students at different city halls 2 The event would have different
games & activities to engage the audience 3 Games would have
names such as Namastes-Guess the song contest etc 4 The counselling
team would interact with parents and explain the value proposition
1 Visit different localities and organise meetings at prominent
locations 2 Get speakers who are a known local personality,
successful Namaste students & trainers as speakers Have a
designated MobilizationTeam : 1 Senior Trainer & 3-4 Trainers
Overview Strategy Vocational Training Global Program Training of
Trainers Mobilization & Assistance Financial Analysis 26 26
CommunityMeetings Local Pilot Training Classes Conduct 1 day demo
classes to generate cold leads & give the locals a flavour of
classes
27. Overview Strategy Vocational Training Global Program
Training of Trainers Mobilization & Assistance Financial
Analysis Direct Approach Street Plays 1 The trainers & the
students should prepare exciting scripts to highlight the
importance of skill development 2 The mobilizing team comprising of
the efficient trainers should gain expertise through guidance by
Namastes experienced workforce or external help 3 Conduct engaging
street plays in popular & busy locations to grab the audiences
attention with careful execution of the script and the intended
message 4 Distribute flyers and brochures during the event Indirect
Approach Mobilization Partneringwith the NGOs 1 Rope in the maximum
number of NGOs Idea : To gain from the popularity and reach of the
local NGOs. This helps even the NGOs to achieve their vision of the
communitys betterment 2 Try to understand the communitys
aspirations and requirements 3 Educate the NGOs about how Namaste
would help the community achieve effective skill development 4
Enable them with flyers & brochures in vernacular language to
enhance the communication Local Authority Support Idea : To seek
help from the influential bodies as they have power & control.
Also helps them achieve popularity & community goodwill. 1 The
senior trainers or mobilization team prepares a pitch to rope in
the local government bodies 2 Get their help to use facilities such
as their community programs & events Local Brand Ambassador
Idea : To rope in a local brand ambassador who can help glamorize
the idea of vocational training. Also helps as they have high fan
following They can include local actor, actresses, politicians,
social figures, businessmen etc 27 27
28. Overview Strategy Vocational Training Global Program
Training of Trainers Mobilization & Assistance Financial
Analysis Marketing & Branding Initiatives Television Ads Idea :
To use television as a media and an influential personality to
generate trust in the brand and its proposition Bharat aage badhega
aur Hum bhi aage badhenge Roping in a trusted figure like Amitabh
Bachchan would garner interest as well as credibility to the brand
name. This would help in achieving awareness and widespread
popularity Radio Campaigns Idea : Leveraging on radios reach to
communicate the brand message Medium: Popular local FMs RJs and
successful students talk of how Namaste can bring about a change in
line with the television campaign Newspaper Idea: To use the power
of print Have articles, ads and interviews on vernacular dailies so
that the audience is comfortable in understanding the message
Digital Platform Idea: To use the online platform for creating a
two way communication Online Chat Rooms Have trainers or a
designated person to answer questions regarding the program on the
company website Telemarketing Idea: A direct marketing tool would
help reach a large database of prospective students and would also
have the advantages of personal selling Merchandise Have a
designated team to gather leads and call up to understand student
aspirations and also to interest them Callers should be familiar
with vernacular languages Mahindra Namaste Idea: To build a
stronger brand to gather support To have training books and cds
under the Mahindra name Also students can wear t-shirts saying the
same for active promotions & sense of belonging 28
29. Financial Analysis Summary Op-Cost Summary Per student @
100% utilization 29 MetroCity/Tier1 Tier2 4 courses 5 courses 6
courses 4 courses 5 courses 6 courses 10,625 9,312 8,940 7,600
6,826 6,769 MetroCity/Tier1 Tier2 4 courses 5 courses 6 courses 4
courses 5 courses 6 courses 10,200,000 11,174,000 12,874,000
7,296,000 8,191,100 9,747,600 Op-Cost Summary Per Centre Per Year
Revenue Student Fees 15,000 for VT 25,000 for GEP Placement Fees
1,000 / student Expenses Metro City/Tier 1 20,300,000 Tier2
18,270,000 Fixed Setup Cost Profits 1 2 3 4 5 6 7 8 9 10 PAT
(65,937,220) (94,023,020) (15,554,313) 109,594,789 179,607,825
351,469,530 498,028,298 994,920,475 1,270,916,239 1,583,997,266 NPV
499,699,578 IRR 20.21% Overview Strategy Vocational Training Global
Program Training of Trainers Mobilization & Assistance
Financial Analysis 1 2