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Learnerships…… Addressing multiple stakeholder needs.

Frank Groenewald October 2003. Learnerships…… Addressing multiple stakeholder needs. Today's Business Strategy Structure Process Current status. The Strategic Context : Different Stakeholders = Different Needs. Learnerships: Problem statement.

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Learnerships…… Addressing multiple stakeholder needs.

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  1. Frank Groenewald October 2003 Learnerships…… Addressing multiple stakeholder needs.

  2. Today's Business • Strategy • Structure • Process • Current status

  3. The Strategic Context:Different Stakeholders=Different Needs

  4. Learnerships: Problem statement • In the context of transformation imperatives, jobless sector growth, pressure on internal training costs, the challenge is to conceptualise and implement a learnership strategy that will enable sector learner targets to be met. • The strategy must add business value, satisfy political imperatives, minimise negative business impact, comply with legislative requirements, be economically practicable, and must be implemented in short time-frames.

  5. The strategy must: • add business value, • satisfy socio-economic imperatives, • maximize positive and minimise negative business impact, • comply with legislative requirement, • be economically practicable, and • must be able to be implemented in short time frames.

  6. Levers • Focus learnerships on areas where demand for skilled staff is highest as a consequence of scale and labour turnover • Accommodate learnership recruits within existing recruitment patterns as far as possible, such that learnership candidates meet real staffing needs. • Focus national need learnerships on a small number of generic learnerships with large numbers of learners

  7. BANKSETA’s Strategic Objective • To facilitate the rapid scaling up of learnerships in the sector to meet identified demands, such that negative business impact is minimised and business benefit is maximised. • To achieve the above within the constraints of available funding. This objective can be achieved by applying strategic principles…

  8. Different categories of learnerships and of learners exist

  9. From a numbers point of view, transformation learnerships are a subset of the national need learnerships National need n=5000 Transformation n=1250 Niche n=?

  10. Strategic Principle # 1: Focus for impact Large numbers can be absorbed more easily using this approach. A key question is however whether the numbers committed to are to be considered to be over and above normal recruitment intake.

  11. Strategic Principle # 1: Focus for impact Unique leverage point for driving numbers – focus here Limited leverage point for driving unique value – focus here Limited leverage point for driving NSDS targets

  12. Strategic Principle # 2: Minimise negative business impact Centralised support will create efficiencies and economies of scale, keeping unnecessary work out of the banks themselves. The support could be provided to all learnerships, not only the large ones.

  13. Principle #2 presents two implementation options The cost factor is likely to be the overriding consideration.

  14. Employment & Skills Development Agency (ESDA) ESDA: • Centralised support function • Create efficiencies and economies of scale • keeping learnership-associated responsibilities within the banks to a minimum. • Leverage funds available from the BANKSETA WHY • To facilitate the rapid scaling up of learnerships. • To minimise negative impact and • To maximise potential benefits

  15. Strategic Principle # 3: Make the detail work, not the concept Outsourced resources should be used in order to achieve focus, appropriate competency deployment, and quick turnaround.

  16. Funding

  17. Funding • The initial projection…..R267 000 000.00 • 50% ……. • BANKSETA: • 80% of the sector strategic fund over a three year period ( Approved) • R6 000 000.00 from the 2002/3 sector strategic fund ( approved) • 50%….… • The BANKSETA will seek a grant from the NSF for the remaining cost – R138 000 000.00 ( in process R 25000.00 per learner) • Graduates subsequently employed by the banks will incur a cost.

  18. Summary

  19. Agreements thus far… • The Accelerated Learnership Initiative will: • Develop 5000 learners over a 3 year period • Develop Matriculants and Graduates at a 75% to 25% ratio • Focus on ‘whole’ qualifications and not Unit Standard based qualifications • Source qualifications in line with the sector priority skills need • Ensure the inclusion of entrepreneurial and generic business skills in the qualifications to allow for cross sector deployment of learners on completion

  20. Agreements thus far…(continued) • The BANKSETA will facilitate the process on behalf of the banking sector by: • Obtaining commitment for the project targets from all stakeholders(DONE) • Assisting the Institute of Bankers (IoB) to be registered as an Employment and Skills Development Agency (ESDA) (In process) • Agreeing with the banks to provide for the workplace component of the learnership. (DONE) • Accepting overall responsibility for project delivery. (DONE) • Allow for changes in banking operating environment

  21. General • Way forward • Time lines • Process agreements

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