October 07, 2013

NSDC, Accenture Research Shows Success of Public-Private Partnerships to Address Vocational Training Challenges

NEW DELHI, India; Oct. 7, 2013 – A new study from the National Skill Development Corporation (NSDC) and Accenture (NYSE:ACN) released today found that private funding and public-private partnerships are helping India overcome two of the largest challenges to vocational education training: an inadequate infrastructure and a shortage of job offers. The study identifies five steps business and government can take to better support vocational trainees and helps meet India’s goal of engaging 500 million trained youth by 2022.

Vocational education training (VET) must provide prospective employees with the skills required to support the next generation of economic growth in manufacturing, retail, construction and tourism, according to the study. Addressing the rise in the number of VET trainees who do not accept job offers or leave jobs within one month of employment is critical, the research shows.

“This action plan dovetails with India’s Five Year Plan targets. By tapping younger candidates for training from rural, low-income locations, empowering them with employable skills and building their careers in important growth sectors such as manufacturing can help India meets its goals of inclusive, accelerated and sustainable growth,” said Nilaya Varma, managing director, Accenture’s Health & Public Service practice in India.

Key Findings
According to the research:

The Indian government created the NSDC in 2009 to work with private-sector companies and organizations and 17 union ministries to ensure that an additional 500 million people would have the skills necessary to be productively employed by 2022. Under the NSDC network more than 2,500 physical and mobile training stations have been created to date to support VET trainees in 352 districts across the country.

“About to be home to one-fifth of the world’s working-age population, India’s path to becoming a high performing nation will be shaped by its ability to impart scalable, market-relevant business and vocational skills to its youth. It is encouraging to witness how these schemes are influencing skills development, helping to provide the necessary skills to the next generation of workers,” said Dilip Chenoy, managing director and CEO, NSDC.

Action Plan
The research identifies five steps VET stakeholders need to take to reduce dropout rates and help VET trainees develop careers.

Jointly conducted by NSDC and Accenture in the last quarter of 2012, the research is comprised of three parts. Interviews were conducted with 2,000 trainees enrolled in 17 NSDC and six Accenture Skills to Succeed training programs. In-depth interviews were conducted with 23 training partners. Twenty executives with managerial responsibilities from large- and medium-sized organizations who hired employees from the 23 training partners also were interviewed.

About Accenture
Accenture is a global management consulting, technology services and outsourcing company, with approximately 275,000 people serving clients in more than 120 countries. Combining unparalleled experience, comprehensive capabilities across all industries and business functions, and extensive research on the world’s most successful companies, Accenture collaborates with clients to help them become high-performance businesses and governments. The company generated net revenues of US$28.6 billion for the fiscal year ended Aug. 31, 2013. Its home page is www.accenture.com.

About NSDC
The National Skill Development Corporation India (NSDC) is a one of its kind, Public Private Partnership in India. It aims to promote skill development by catalyzing creation of large, quality, for-profit vocational institutions. It provides funding to build scalable, for-profit vocational training initiatives. Its mandate is also to enable support systems such as quality assurance, information systems and train the trainer academies either directly or through partnerships.

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Kalyan Subramani
National Skill Development Corporation
+ 011 47451600 10
+ 097400 22775

Puja Gupta
+ 91 11 429 80247
+ 91 981 888 3851 (mobile)