RESAP model: Regional Human Resources Development Strategies for Innovation, Competitiveness and Social Inclusion

10 / 12 / 200510 / 12 / 2005 © Prof. Hyo-Soo Lee Yeungnam Univ. 1

Regional Human Resources Development Strategies for Innovation, Competitiveness and

Social Inclusion

Prepared for theKLI-OECD

International Conference on Training Strategies for Regional Competitiveness and Inclusion through Employment

byLee, Hyo-Soo

Professor of Yeungnam University, Korea President of the Korean Labour Economic Association

12 October 2005

Cosmo Hall-CCMM Building, Seoul, Korea


Contents

Human Resource Development (HRD) & Vocational Ability Development (VAD)

Paradigm Shift and Basic Concepts of Vocational Ability Development System (VADS)

Vision and Basic Direction of VADS

VADS per Life-cycle and Strategies for Fostering Knowledge Workforce

Importance of the Innovation Cluster and Its VADS

VADS for the Vulnerable and Social Inclusion

Conclusion


Shift in Paradigm

Economic Environment and Order:

– Industrial Society → Knowledge Information Society (KC)– Localized Market → Global Market (Speed, Flexibility)– Young Society → Aging Society (New Welfare Economy)

Economic Policy & Competition Strategies:

– Macroeconomic Policy → Labor Market Policy – Central Gov’t Initiative → Regional Governance Initiative – Comparative Advantage → Competitive Advantage– Mass Production System → Flexible Production System – Price Competition Strategies → Quality Competition

Strategies


Shift in Paradigm (Cont.)

Labor Market and Social Policy:

– Flexible Labor Market → Dynamic & Healthy Labor Market – Unemployment Policy → Unemployment Prevention Policy– Employment Security Center → Learning & Job Information Center– Low Road Strategies → High Road Strategies

Vocational Ability Development Policy:

– Goals: Technical Manpower → Fostering of Knowledge Workers– Subject: Employees & Unemployed → All in their Productive Age – Method: Skill Training → Vocational Ability Development– Governance: Central Initiatives → Regional Initiatives & Partnership– Institutes: Training Centers → Univ., Colleges and Training Centers– Expected Results: Low Skill Equilibrium → High Skill Equilibrium


New Vision for Korean Economy: RESAP

RESAP : Regional Economic & Social Advancement Partnership

– Why Regional Initiative? @ Innovation Cluster and Social Inclusion fully Effective on a

Regional-level

– Why Should Economic & Social Advancement be pursued simultaneously?

@ Competitiveness & Social Inclusion – Who and How operate RESAP? @ Regional Governance, Partnership


Vision & Directions of VADS

RESAPRegional Economic and Social Advancement Partnership

RESAPRegional Economic and Social Advancement Partnership

DHLMDynamic and Healthy Labor Market

DHLMDynamic and Healthy Labor Market

Competitive advantageJob creation

Competitive advantageJob creation

Overcome asymmetric information

Overcome asymmetric information Social inclusionSocial inclusion

VADS for innovation clusters

VADS for innovation clusters LJICLJIC VADS for

the marginalized

VADS for the marginalized

Building RHRD clusterKnowledge workforce and vocational ability development per life cycle

Building RHRD clusterKnowledge workforce and vocational ability development per life cycle

VisionVision

MissionMission

Strategies

Goals


Governance of VADS

LJICOne stop

center

MetropolitanRESAB

Project & Policy Review

RISEvaluation

& audit

LJICOne stop

center

LCCProject

Development

KCCProject

Development

ICCProject

Development

Wide-area, CityRESAB

LJICOne stop

center

LCC KCC ICC

CountyRESAB

LCC

Project Application

Financial Support

Departments of the

governmentMOL


Functions of LJIC : One-Stop Service Center

Ind

ivid

ua

lIn

div

idu

al

VAT

Counseling

VAT

Counseling

LSLS

CPCP TBTB

VADVAD Bu

siness

Bu

siness

JB


Four Stages of Vocational Ability Development per Life-cycle

Basic workforce development

Basic workforce development

Job training centers

Job training centers

Polytechnic colleges

Polytechnic colleges

Junior colleges

Junior colleges

UniversitiesUniversities

WorkersWorkers

Ag

ed (R

etired)

Ag

ed (R

etired)

Ordinary & technical high school


Vision and Strategy of RHRD Cluster

Vision and Application Vision and Application Contents

VISIONVISION* International standard of knowledge competitiveness by

fostering knowledge workforce

* Building system enabling everyone to develop vocational ability

MissionMission Build RHRD cluster

3Cs Strategies3Cs Strategies Customization, Competitiveness, Collaboration

GovernanceGovernance

Knowledge Knowledge Competitiveness Competitiveness Council (KCC)Council (KCC)

Build closely-knit system of cooperation of RHRD (vertical and horizontal) and realize 3Cs

Basic Workforce Basic Workforce CommitteeCommittee

Build and implement strategy for fostering basic competencies for knowledge workforce

Council of collegesCouncil of colleges Cooperation among colleges, industry-academia and

educational institutions per level and realization of 3Cs

Council of Council of universitiesuniversities

Realize 3Cs by building a vision university for building a system of cooperation among universities


Establishment of a Vision University andPhases of Intra-regional Integration between Universities

LOW Form of Cooperation HIGH

HIG

H P

hases o

f Integ

ration LO

W 1.Web site

2.One Common Course Catalogue

3.Educational Cooperation

4.Educational Integration

5.Joint Degrees


VADS per Life-Cycle:

Conceptual Chart for Employee Job Skills Development

FLCLabor-mag’t partnership

FLCLabor-mag’t partnership

IPMOE, MOL,

MOCIE, SMBA

IPMOE, MOL,

MOCIE, SMBA

LJIC LJIC

HRD ClusterUniv., Colleges, training center


Academia industry partnershipAcademia industry partnership

Vocational ability developmentVocational ability development

VAD grantsVAD grantsHRD HRD certificationcertification

Application for Application for VAD grantsVAD grants

Support specializedSupport specialized project project

Prospectus for Prospectus for specialized specialized

projectproject

VAD demand information VAD demand information HRD reportHRD report

VAT, Consulting,VAT, Consulting,VAD program VAD program informationinformation

VAD demand VAD demand informationinformation

VAD program VAD program informationinformation

Tuition (including VAD grants)Tuition (including VAD grants)


VADS per Life-Cycle:

Conceptual Chart of VADS for Retired, Middle-age/Elderly

RetiredMiddle-age & Elderly person

RetiredMiddle-age & Elderly person

IP MOL, MOHW

IP MOL, MOHW

LJICLJIC



VAD couponVAD coupon



Application for Application for VAD grantsVAD grants Payment for couponPayment for coupon



VAT, Counseling,VAT, Counseling,VAD program VAD program informationinformation




VADS for Innovation Cluster:

GALIC Model for Innovation Clusters

Factors ofFactors of

SuccessSuccess Contents & FunctionsContents & Functions Actors, Basic PrincipleActors, Basic Principle

GGovernanceovernanceGoverning organization which Governing organization which

establishes and executes establishes and executes vision/strategy/policyvision/strategy/policy

Networking & partnershipNetworking & partnership

AActors'ctors'

PartnershipPartnership

VPVP Provide cluster vision, foster Provide cluster vision, foster

knowledge workforce, R&D provide knowledge workforce, R&D provide (basic & source technology)(basic & source technology)

Univ., Research Institutes, Univ., Research Institutes, other HR Institutesother HR Institutes

IP IP

Create innovation milieu, provide infra Create innovation milieu, provide infra to support VP & PP, provide mngt. to support VP & PP, provide mngt. & legal services (SP), provide & legal services (SP), provide capital (CP)capital (CP)

Gov., Local gov., Financial Gov., Local gov., Financial Institute, NGO, Venture Institute, NGO, Venture Capital, Mngt Support Capital, Mngt Support CenterCenter

PPPP Producer of goods & servicesProducer of goods & servicesFirms, Core/linked firms, Firms, Core/linked firms,

forward/backward linkage forward/backward linkage effecteffect

SOSOEstablishment and integration of role Establishment and integration of role

& function of innovation actors& function of innovation actorsUniv., Local gov., Core firms, Univ., Local gov., Core firms,

RIS etc.RIS etc.


VADS for Innovation Cluster: GALIC Model for Innovation Clusters

LLocalizationocalization

A local unit of economic activity, A local unit of economic activity, grouped together in close grouped together in close proclivity to ensure easy proclivity to ensure easy geographical access to uses geographical access to uses and actorsand actors

External effect, specialization effect External effect, specialization effect based on division of labor, based on division of labor, minimization of transaction minimization of transaction costs based on division of laborcosts based on division of labor

Innovation Milieu

Culture of learning & exchange, Culture of learning & exchange, culture of competition & culture of competition & cooperation, entrepreneur cooperation, entrepreneur spirit, culture of innovationspirit, culture of innovation

Spread of innovation and Spread of innovation and synergistic effect, RIS, NGO synergistic effect, RIS, NGO

Cluster

Convergency

Convergence of industrial cluster, Convergence of industrial cluster, RHRD cluster and R&D RHRD cluster and R&D clusters, convergence of clusters, convergence of technology technology

Principles of division of labor and Principles of division of labor and specialization, network effect, specialization, network effect, forward/backward linkage effectforward/backward linkage effect


VADS for Innovation Cluster: VIPS Model Partnership between Actors of Innovation

V PV P

PPPP

S OS O

IP(CP,SP)

IP(CP,SP)


VADS for Innovation Cluster: New Company Creation Model

VP Univ. (knowledge workforce, R&D)

Company R&DPublic R&D

Individual ideas

VP Univ. (knowledge workforce, R&D)

Company R&DPublic R&D

Individual ideas

PP (New Company

Creation)

PP (New Company

Creation)

IP(SP) IP(SP) (Know-how of business & Marketing, (Know-how of business & Marketing,

Patent application)Patent application)

SO SO Connect (VP, SP, CP, IP)Connect (VP, SP, CP, IP)

IP(CP) IP(CP) (Grants, Engel, Venture Capitals, (Grants, Engel, Venture Capitals,

Public Funds, Foundations)Public Funds, Foundations)


VADS for Innovation Cluster: Cluster Convergency Model

RHRD Cluster RHRD Cluster R&D ClusterR&D Cluster

Industry Cluster Industry Cluster

Cluster Convergency

Cluster Convergency

Forward & backward network,

Related industry

A-A networkCooperation between academia & industry

A-A networkCooperation between academia & industry


VADS for the Marginalized: Conceptual Chart of Job Skills Development for Irregular Workers

VAT, Counseling,VAT, Counseling,VAD program VAD program informationinformation

CompanyIrregular worker

CompanyIrregular worker

IP MOL

IP MOL

LJICLJIC






Application for Application for VAD grantsVAD grants PaymentPayment for couponfor coupon






VADS for the Marginalized: Conceptual Chart of Job Skills Development for the Unemployed

UnemployedUnemployedHRD Cluster

Univ., Colleges, training center



Vocational ability Vocational ability developmentdevelopment

Report unemployed statusReport unemployed statusVAD demand information VAD demand information HRD reportHRD report

VAD demand informationVAD demand informationPayment for couponPayment for coupon

LJICLJICCoupon, VAT, Counseling,Coupon, VAT, Counseling,VAD program informationVAD program information

VAD program informationVAD program informationCouponCoupon


Conclusion

RESAP as New Vision for Competitiveness and Social Inclusion

RESAPF– Regional Governance Initiatives (Innovation, Bottom-up)– Economic Advancement (Competitiveness) & Social Inclusion– Partnership between the Actors of Innovation

Governance of RESAP: RESAB– KCC (Knowledge Competitiveness Council)– ICC (Innovation Cluster Council )– LCC (Learning Commuinity Council)

Dynamic & Healthy Labor Market, LJIC

VADS– VADS per Life-cycle and Strategies for Fostering Knowledge Workforce – Importance of the Innovation Cluster and Its VADS– VADS for the Vulnerable and Social Inclusion