Education institutes in
India and globally are moving to a higher level of collaboration between them and
industries. This is critical for skills development through education&
training, as well as the generation and adoption of knowledge, which can lead
to innovation in industry and the promotion of entrepreneurship.
There are many benefits
of a inter-sectorial connectivity they can help coordinate R&D agendas and
avoid duplications, it can also foster the commercialization of public R&D
outcomes, and increase the mobility of labor between public and private sectors.
In India there is a
growing shortage of appropriately skilled labor across many industries and is a
challenge for India’s growth and future. According to NASSCOM, each year over 3
million graduates and post-graduates are added to the Indian workforce. However,
of these only 25% of technical graduates and 10 % to 15% of other graduates are
considered employable by the rapidly growing IT segments.
A great example of this kind of education & industry
connectivity is seen here by Tata Trusts, headed by Ratan Tata, where they have
partnered with the Massachusetts Institute of Technology (MIT) and the Tata
Institute of Social Sciences to launch Clix (Connected Learning Initiative-X),
an online learning initiative in government school classrooms across rural
2. What are the trends in education sector in terms of
India has moved up from a dismal rank of 81 reported in 2015 to
57 in the 2018 Global Innovation Index. Part of the reason for the improvement
can be linked back to the increase of courses now available at the technical
and vocational training institutes, which are more geared towards a start-up
economy along with strong inter-sectorial connectivity.
In a recent trend, vocational training companies have entered
into agreements with corporate houses to train their existing employees with
the required skill sets. Also through corporate partnerships, vocational
training companies are training college passouts with both soft and hard skills
required by their corporate partners.
Private investments in the Indian education sector have also increased
manifold over the past two decades. Indian education sector witnessed 18 merger
and acquisition deals worth US$ 49 million in 2017. As of June 2018, the
Ministry of Human Resource Development, Government of India is also planning to
raise around US$ 15.52 billion from private companies and high net worth
individuals to finance improvement of education infrastructure in the country.
The funds will be mobilised by the Higher Education Funding Agency (HEFA).
4. What are the new sectors and the stakeholders that had
made tremendous contribution to education sector?
1) Technology Industry
The technology industry
has probably made the biggest impact to the education sector over the last 2
decades. It started from the growth of the technology-outsourcing boom in
India, which resulted into an unparalleled growth of computer engineers in the
country to technology that is helping teachers to expand beyond linear,
text-based learning and to engage students who learn best in other ways as well
as the growth of e-learning solutions.
Recently Google announced
to help build out AI capabilities it would be bringing its Machine Learning
Crash Course to India. Such contributions made by the private sector industries
will help boost the education sector.
2) Personal Transformation Industry
The rise of the higher
disposable income of the Indian middle class has lead to tremendous growth in
the personal transformation industry in India. The personal transformation
industry includes everything from companies dealing in cosmetics &beauticians
to Image Management / Consulting or Life Coaching.
With the support &
backing of the private industry, education institutes such as Indian School of
Image Management, Butic Institute of Beauty Therapy and Hair Dressing, Enrich
Salon and Academy, etc. are now focusing on providing quality education in these
5. In next 10 years how this inter-sectoral contribution can
boost the education as a business
It is estimated that India’s higher education will be among the
top 5 countries in the world in terms of research output with an annual R&D
spent of US$ 140 billion by 2030 (Source: ibef.org). We firmly believe if this
is to be achieved it has to be done with a clear & open focus towards
building further inter-sectorial connectivity with not only local but also