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BRICS Collaboration in Skills Development: Results of Foresight & Russian Proposals
Pavel Luksha, ASI / GEF / SKOLKOVO
BRICS Skills Development: Russian Perspective
• Russia sees high potential in BRICS collaboration, and it is one of the country’s priorities on international arena
• Because education & skills development is a ‘long shot’, we must address not only needs of today’s economy – but also aim for tomorrow
• We therefore began the chairmanship of Russia by conducting a ‘foresight of BRICS collaboration’ in July 2015
• Based on results of this foresight session, we propose several initiatives that may become BRICS Skills Development focus in 2015/16 and beyond
Assumptions for July foresight session• Brazil, Russia, India and China have formally started their collaboration in BRIC
format in 2009, and since late 2010 they have been joined by South Africa. BRICS Business Council has been created in 2013 to enhance economic & business cooperation.
• Despite the shared effort of five countries to provide clarity regarding the goals of BRICS collaboration, especially in business areas, the long-term priorities remain relatively vague. This limits the potential of collective effort that Business Council Working Groups can create, especially in the areas such as manufacturing, green economy, deregulation, and skills development – all of which require long-term goal setting (i.e. to understand where BRICS countries ‘aim’ in 10-years perspective).
• A vision-building session has been organized for BC WG members during their meeting in Moscow on July 5-6, 2015. These results have been used to develop the roadmap of Skills Development Working Group activities, and served as recommendation to other groups. The results of this session are unofficial and do not, in any form, express the official position of BRICS or BRICS Business Council.
Taking peeks at BRICS
What are some key features of the BRICS economies?
BRAZIL
RUSSIA CHINA
INDIA
SOUTH AFRICA
Population 201 mln
Exportable products
Agricultural (coffee, soybeans, sugar cane), iron & steel, crude oil, aerospace & machinery, chemicals
Comparative advantage
Strong R&D in manufacturing sector
Challenges Exhausting natural resourcesHigh income disparities
Population 143 mln
Exportable products
Oil & gas, minerals, machinery, software
Comparative advantage
HDI highest among the BRICS countries
Challenges ‘Dutch disease’Sanctions
Population 51 mln
Exportable products
Gold, diamonds, chromium, chemicals, heavy machinery
Comparative advantage
Unique natural resource baseExpertise in diversity management
Challenges High youth unemploymentHigh diversity of population
Population 1 357 mln
Exportable products
Consumer & professional electronics, machinery, instruments, clothes & footware, steel
Comparative advantage
Strong manufacturing capacity in many sectors
Challenges Growing wages
Population 1 224 mln
Exportable products
Agricultural (rice, soybeans), clothes, cars, steel, jewelry, software
Comparative advantage
Low labor costs, strong service sector
Challenges ‘Two Indias’: imbalance of rural and urban population
Sources: SDF concept paper, Harvard Atlas of Economic Complexity
What are the main objectives of the BRICS?
Lack of clear definition of long-term objectives
Need for extended collaboration is highlighted
First BRICS summit (Yekaterinburg, Russia, 2009):• Coordination & cooperation in the energy field• Humanitarian assistance & reduction of natural disaster risks• Implementation of sustainable development concept
Sixth BRICS summit (Fortaleza, Brazil, 2014):• Extension of collaboration to new sectors• Confirmed commitment to New Development Bank• Combating cybercrimes
First BRICS Business Council meeting (Johannesburg, South Africa, 2013):• Promotion of private-public partnerships• Focal areas: infrastructure, mining & minerals, value-added manufacturing,
sustainable development
Sources: BRICS official statements
Viability of BRICS is often being challenged yet taken seriously by the rest of the world
Source: various publications reporting on BRICS decision to created BRICS New Development Bank
So, why do our countries want to collaborate?
We are big countries with similar challenges:
learning from each other
We are large economies with untapped
potential: have many opportunities to offer to
each other, can cross-invest into each other
We are gateways into our macro-regions
(South Africa for Africa, Brazil for Latin America,
Russia for FSU, etc.)
We want to diversify risks and create
alternative global infrastructure
(finance, ICT, …)
We want to avoid intermediaries or ‘new
colonialism’: direct contacts without ‘West’,
symbolism of multi-polar world Sources: Russia SDWG analysis
Where does each of BRICS economies want to be in 10 years from now?BRAZIL 2025?
RUSSIA 2025?CHINA 2025?
INDIA 2025?
SOUTH AFRICA 2025?• Shift from manufacturing to
full scale knowledge-based economy
• Stronger development in-land regions & new centers of economic activity
• Chinese companies are notable global players with wide international presence
• Development of infrastructure for economic transformation:
• hierarchies -> networks,• regionally centered (around
Moscow and S.P.)->regionally diverse,
• closed->open, • growth through new hi-tech sectors, • skills development + entrepreneurship
(Russia becomes a net: territories, human capital…)
2025?
Sources: working group discussion results,for China: China State Council 10-year plan
Generation of jobs (12 mln jobs annually) => high economic growth • manufacturing: 25% of GDP +
sustainable / contribute to environment (green economy);
• infrastructure development; • energy -> energy security plan,
renewable energy (esp. solar), • skills development (100 m over 8
years),• ICT sector development
• Nation building (task for next 30 years)
• Social equality is a major challenge• Infrastructure + skills as enablers of
economy & new sector growth• Development of macro-region of
Africa
• Developed infrastructure • full integration with South America continent, • decreasing costs of doing business & investing in / with Brazil,
• Education at all levels, esp.technical education • Brazil as an emerging actor in knowledge economy; • education supports growth in manufacturing sector
• Better balance between agricultural development and nature conservation
• actor in environmental services; • food security
What will each country provide to BRICS and will ask from BRICS to bring our economies
closer to their goals of 2025?BRAZIL
Can provide• Energy (oil&gas, nuclear, hydro)• Territory (living, food production,
transportation)• Job opportunities (esp. in cities)• Humanitarian technologies• ScienceWould ask for• Technologies (agriculture, renewable
energy, soft technologies)• Long-term financing• Skills in deficit areas
Can provide• Energy (oil, hydro)• Technical education: exportable models• Agriculture technologies in tropical / sub-
tropical regions (soybean, cotton, …)Would ask for• Long-term financing & cross-investment
into infrastructure• Skills & knowledge exchange (advanced
research, deregulation & cross-investment in education market)
RUSSIA
INDIA
SOUTH AFRICA
CHINA?
Can provide• Low cost healthcare + pharma• Human capital (skills corridors)• Agricultural technologies• SME development expertiseWould ask for• Long-term financing & cross-investment
into infrastructure• Energy security• Knowledge transfer & university
exchange,• Drinking water management
Can provide• Gateway to continent• Mining skills, medical skills• Social diversity standards• Cultural exchangeWould ask for• Infrastructure funding• Educational exchange• Political security• Partnership without domination
• Skills & knowledge exchange (incl. BRICS University)
• Energy security & development
• Finance + skills for infrastructure
• Agriculture: BRICS Agri Bank + food security / sustainability management
BRICS
There were no representatives of China during the session, and therefore no statements have been made regarding requirements and provisions from China (we expect further contribution by end of August)
Source: working group discussion
BRICS: what trends shape its future1. Population demography / income
• Growing (absolute) segregation in education & income across the world• Growing middle class in BRICS• Increasing role of Y-generation• Growing income of younger population (=> market for consumer innovations)• Growth of unemployment due to technology modernization (vulnerability of low-skilled)
2. Economy & finance• Slowing down of global economy (at least until 2018) => decline of capital availability =>
need to redirect capital flows => BRICS can become new source of finance (in 2020s)• Growth of South-South trade => opportunity to increase intra-BRICS trade (hence need for
settlement mechanisms)• Increased connectivity: helping collaboration despite distance• BRICS can become new centers of competences (in 2020s) + combat rapid obsolesce of
technologies (i.e. establish capacity in creation of manufacturing technologies)3. Environmental management
• Growing effect of climate change• Growing effect of environmental destruction (due to agricultural & industrial activities, e.g.
deforestation & destruction of bio-diversity)• Growing shift of energy balance towards renewables
4. Increased role of non-state agents (corporations, NGOs, etc.)• Need to enhance business ties in BRICS (vs. geopolitical agenda)• Need to improve global security (incl. security of Middle East) & prevent risks of global
terrorism Sources: foresight session results
BRICS: some projects thatcan make it stronger
1. Energy & infrastructure collaboration• Cross-BRICS provision of energy security: Russia + Brazil as providers, China + India as
consumers• African energy (e.g. cross-investment into hydropower plant in Congo)• Regional integration through infrastructure (transport + energy + ICT):
Silk Road, pan- South American highway, BRICS communication cable, etc.2. Enhancing integration & economic collaboration
• Shared legal framework (esp. in IP & technology transfer)• Unification of standards related to intra-BRICS trade• Creation of incentives that help equalize trade balances between BRICS countries• BRICS shared currency (basket of currencies for NDB as a first step)• Innovation map & coordinated development of new sectors / breakthrough technologies
3. Strengthen educational links• Improve BRICS languages teaching in schools / universities of BRICS• BRICS ‘soft skills school’, incl. understanding of cultural differences• Student exchange between BRICS universities• Mutual recognition of degrees
4. Strengthen links between people• Remove visas between all BRICS countries• Communication bridges: create BRICS awareness through social media• Cultural & sport exchange projects (involve larger population) Sources: foresight session results
BRICS – possible timeline to 2030
SKILLS DEVELOPMENT FOR COOPERATION
CREATING CONDITIONS FOR TRADE & ECONOMIC
COOPERATION
COOPERATION IN R&D /
TECHNOLOGY DEVELOPMENT
ENERGY & TRANSPORT INFRASTRUC-TURE
BRICS AS GLOBAL
PROBLEM SOLVER
Summary of foresight session results1. Focus of 2015-2020: creating conditions for stronger union
• BRICS needs to become not only geopolitical but also economic & cultural union• BRICS projects of next 3-5 years should focus on enhancing the potential of our
future collaboration, including• Harmonization / unification of regulatory base (and deregulation where
necessary), including legal frameworks, trading legislation, currency basket, visas, etc.
• Development of skills that help cooperation (languages, intercultural communication, exchange programs, etc.)
• Creating cases of actual business cooperation in the areas with highest potential – infrastructure as the enabler of other industries
2. Focus of 2020s: coordinated technological development• After the basic framework of cooperation has been set up, our countries can
focus on coordinating their long-term development, including cooperation in new & emerging hi-tech sectors through knowledge transfer (shared educational standards & collaboration in R&D)
3. Focus after mid-2020s: global problem-solver• The main long-term focus of BRICS can be to leverage the potential of its
economies and population to address global problems such as sustainable energy & materials, food & drinking water security, financial security, and global peace Sources: foresight session results
cultural clusters? Olympic committee?
Russia presidency India presidency China presidency
SKILLS DEVELOPMENT WORKING GROUP ROADMAP 2015-2018
July 2015 July 2016 July 2017 July 2018
Institutionalize SkillsDevelopment Fund
2015-2016
BRICSconference on dual model
2016
OBJECTIVE 3: INCREASE
PRODUCTIVITY IN ESTABLISHED
SECTORS USING BEST PRACTICES
OBJECTIVE 2: ACHIEVE BRICS LEADERSHIP IN
INNOVATION & HI-TECH SECTORS
OBJECTIVE 1: CREATE
POTENTIAL FOR FUTURE
COLLABORATION IN BRICS
GENERAL EDUCATION & TRAINING FOR COLLABORATION
SKILLS & KNOWLEDGE TRANSFER FOR HI-TECH & EMERGING SECTORS
SKILLS & KNOWLEDGE TRANSFER FOR ESTABLISHED SECTORS
Biliteral agreements of TVET institutions
2016
Proposal for legal frame work
re design
Programs for BRICS entreprenership
(e.g. BRICS on BRICS)
July 2015 July 2016 July 2017 July 2018
Skills Development Working Group: Priorities 2015-18
OBJECTIVE 3: INCREASE PRODUCTIVITY IN ESTABLISHED
SECTORS USING BEST PRACTICES
OBJECTIVE 2: ACHIEVE BRICS LEADERSHIP IN INNOVATION & HI-
TECH SECTORS
OBJECTIVE 1: CREATE POTENTIAL FOR FUTURE COLLABORATION IN
BRICS
• Language studies (Mandarin, Russian, Portuguese, English)
• Inter-cultural exchange (entrepreneurship, art, etc.)• Festivals (food, movies, …) and competitions (sport,
robotics, spelling, …)
• Identify priorities in skills development through skills technology & education foresight
• BRICS young researcher joint programs (e.g. summer schools)
• Creation of network for R&D collaboration (+ integration with other networks, e.g. think-tanks association)
• Exchange best practices in skills development (start with dual education)
• Share best education & training modules via online training systems & games
• Launch World Skills BRICS competition
Create Skills Development Fund (as a part of BRICS New Development Bank) to support skills development and enable BRICS collaboration!
Russian initiative #1: Foresight of Skills & Educational Formats
Leveraging the existing expertise of Russia & other BRICS countries
Obtaining consensual vision
of priorities & projects in skills
development
• Skills Technology Foresight of BRICS will identify manufacturing, hi-tech and emerging industries where collaboration in skills development will create high productivity gains or will allow for new business creation
• The project will identify ‘skills of the future’ that should become priorities in education & training development to upgrade human capacity in our economies
• The project will also identify new educational formats (e.g. in online education) that need to be implemented and scaled across our national education systems to make them more competitive
• Global Education Futures, an international collaborative platform for discussion of the future of education, will be used as a vehicle of connecting BRICS agenda with agenda of top global educational innovators
• Methodology of Skills Technology Foresight is designed between Russia and International Labor Organization, and is used in a highly successful ‘Atlas of Emerging Jobs’ project (we propose to publish a similar Atlas for BRICS as one of project outcomes). It needs to be combined with successful methodologies used in other BRICS countries, e.g. Brazil’s SENAI Future Job Profiling.
Russian initiative #2: Exchange of best practices in professional education
Dual education is a highly efficient approach in professional education that allows early acquisition of relevant skills by combining education & work.The dual education model as a project initiative for Russia is approved by the Russian President Vladimir Putin. It has been implemented since January 2014 in 13 regions and already involved 114 participating colleges, 121 enterprises, 16811 students, 3541 mentors. It is planned to replicate the project for all 85 subjects of the Russian Federation.
The dual education model is relevant for all BRICS countries, so it is essential to synchronize the national efforts in this field. Brazil and China, among others, are experimenting with dual education or similar models.We propose to conduct a BRICS conference on dual education methods in 2016 with the leading countries in professional education and training (incl. Germany). This conference may attract around 500 experts who represent the main stakeholders of the dual method : enterprises, colleges, coordinators from the government (around 100 experts from each country).
Dual education as a successful approach to
practice-based learning
Spreading dual model across
BRICS
Russian initiative #3: WorldSkills BRICS Competition
Cooperation in BRICS - a global platform where youth, educators, industry and governments can meet, learn and develop skills together.BRICS Competition - held in BRICS countries to showcase and inspire world-class excellence in skills and introduce youth to a variety of skilled careers.R’n’D - Current information, facts, figures and news about skills in BRICS countries.Education and Training – tools for educators and industry to develop new and innovative ways of teaching and training the future workforce to gain the skills in demand.Career Building – access to a network of resources and tools for young skilled professionals to build on their success and inspire future generations of skilled workers to discover the relevance and importance of skills.Promoting Skills - a skills power-hub and information resource library where educators, policy-makers, industry and other organizations redefine the value and improve the attractiveness of skills.
WSI
WS BRICS
Russian initiative #4: Educational platform for skills in manufacturing,
hi-tech & emerging industriesOpen Technological Academy (OTA) - skills development platform for engineering and technical professions launched by government of Russia in 2014.We propose to use it as cross-national BRICS platform to build human capacity in manufacturing, hi-tech, and emerging industries
• Professional & expert communities for future skills definition (core learning outcomes for new competences)
• Online courses and blended programs development, incl. LMS
• Network of partner training sites (universities, eng&tech companies, etc.)
• Projects and work places for new-skilled-people in partner corporations and start-ups
• Possibilities for communication and interaction between engineering society (‘Facebook for Engineers’)
• Network of centers of competences (content is provided by engineering and technological companies
• Laser focus on Tech and Industries (not all-in-one MOOC)
• Integration with current and new programs of universities and corporate learning centers
• Program certification by industrial partners and professional communities
KEY FEATURES OF OTA ADVANTAGES OF OTA
APPENDIX
List of organizations that participated in BRICS cooperation foresight
Education & Skills Development• Agency for Strategic
Initiatives (RU)• WorldSkills Russia• Volnoe Delo (RU)• Russian Ministry of
Education & Science• Skolkovo Foundation (RU)• Skolkovo School of
Management (RU)• Strikitsa Consulting (RU)• PMI (South Africa)• SENAI (BR)
Bank & Corporate Finance• Commercial Indo Bank
(IN)• ECGC (IN)• FICCI (IN)• ExIm Bank India• South America
Chamber of Commerce & Industry (BR)
Manufacturing / Energy / Green Economy / New Industrial Sectors• Federation of Industrial
Enterprises Rio de Janeiro (BR)
• Bridgeways (RU)• Unified Center of BRICS
Collaboration (RU)• Russian Technological
Agency (RU)• Suzlon Group (IN)• Adidyabirla Group (IN)• Galai Developers (IN)• Russian-Brazilian Chamber
of Commerce (BR)List of attendees available upon requestAlso, several participants joined in the middle of the session and their organizations may have not been reflected
Russian Chapter of Skills Development Working Group
National development institution created by President of Russia in 2011 to improve the quality of business environment in Russia (incl. regulation, standards, skill base and more). ‘Young professionals’ division aims to improve the professional & higher education – over 100 systemic innovation projects supported in last 3 years.
Leading national private business school, and a long-term partner of the Agency for Strategic Initiatives and the Ministry of Education. Coordinates Russia’s projects with ILO in TVET and Ministry’s projects in higher education. Co-leads Global Education Futures project.
Russian chapter of World Skills coordinating regional and national championships that involve over 50 regions of Russia. Actively promotes new formats of WS such as WS-HiTech and WS BRICS
Russian Chapter of Skills Development Working Group (2)
Our ongoing projects include:• Future thinking & foresights for systemic educational
innovations & higher collaboration between key players. Includes Education 2035 Foresight (now Global Education Futures) and Skills 2030 Foresight
• Mentoring & strategic curation of educational institutions, startups & social enterprises in the area of skills development
• Curation of new industries emergence: Children Goods & Services, Preventive Medicine etc.
• Improvement of legislation & regulatory base: National System of Competencies & Qualifications, Roadmap for Distant Work & Craft Work, etc.
• Promotion of selected projects (e.g. World Skills)