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VET and Civil Construction
Issues, strategies, experiences, future directions
                and lessons learnt

                   Simon Elsy
Themes
Sector Context

Skilling demands

L&D Stakeholders

Case studies

View towards the horizon
Civil Construction forecasts
                    1,000,000                                                                                                           160000

                     900,000
                                                                                                                                        140000
                     800,000
                                                                                                                                        120000
                     700,000
                                                                                                                                        100000
                     600,000
Employees Numbers




                     500,000                                                                                                            80000

                     400,000                                                                                                                     $M
                                                                                                                                        60000
                     300,000
                                                                                                                                        40000
                     200,000
                                                                                                                                        20000
                     100,000

                           0                                                                                                            0
                                  2010-11    2011-12      2012-13   2013-14   2014-15    2015-16     2016-17     2017-18    2018-19

                                Total Labour (National)      Company X        X Required (incl turnover)       Total Work Projection ($M)

                                                                          (based on Construction Forecasting Council 2011 figures)
Occupations in Civil Construction




* SkillsDMC – CCF, Civil Construction Occupation Review Report, March 2010)
Background Issues 1
• Reasonably buoyant projected work load (CFC)

     – Regional, Remote, Cyclical

• Skills required cover minimum of 3 Training Packages.

     – SkillsDMC, Manufacturing, Construction, Business, Electical

     – Funding in civil construction bound by full qualifications for workers**

     – Complexity of VET system recognised a challenge for industry***

• Qualification based skill shortages (e.g. 49% plant operators are qualified)*

     – Mixed history of L&D for many blue collar workers

     – Completion rates for training low (25-30% nationally*)
 * SkillsDMC – CCF, Civil Construction Occupation Review Report, March 2010)
 ** South Australia DFEEST submission, Skills for prosperity – a roadmap for VET, Skills Australia, 2011
 ***Skills for prosperity – a roadmap for VET, Skills Australia, 2011
Background Issues 2
• Industry values “work experience” as measure for employability over

    “competence”

• Training concerns relate to quality of providers, availability and capacity to

    deliver to current industry standards

     – Experience of external supplier and flexibility in delivery***

     – Industry led outcomes requirements especially in contextualisation



 * Mark,K & Karmel, T (2000) The likelihood of completing a VET qualification; a model – based approach, NCVER
 ** South Australia DFEEST submission, Skills for prosperity – a roadmap for VET, Skills Australia, 2011
 ***Skills for prosperity – a roadmap for VET, Skills Australia, 2011
Fact vs. fiction
•  Civil Construction Contracting realities
  – Remote & dispersed contracts, project life cycles (av. 2 to 3 yrs)
  – Workforce demographics (Age, Gender, Ethnicity, Subcontractors)
•  Demands for next 5/10 years
   – Recruiting suitable local labour, and obligations for govt projects
   – Subcontractor quality: “experience overrides competence”
   – Projected works (rail, roads, utilities etc..) & recruitment gaps
•  L&D & Skills shortage
   – Retaining talent especially at later stages of projects
   – Mobility of talent to relocate to new projects
   – Updating skills currency to new construction techniques
   – Training landscape (Funding, ISC, RTO’s, VET & suitability)
Ideal Workforce Planning model
                             Impacts from
                           strategic business
                                 plans




   Monitor, measure &                             Scenario planning and
        Review                                     demand forecasting




                                                Workforce analysis and
  Project Workforce Plan
                                                 supply forecasting




     Corporate Workforce                Gap analysis, strategy
            Plan                       development & planning
Typical Civil Contractor L&D Planning
 Training Management Plans / Workforce Planning

     –Tiered approach from Group, through Divisions, Businesses and
     projects

 Training Matrices

     –Identify Competency and skills required for roles

     –Classified as mandatory, optional etc

 Adapted to State/Territory variances

     –Licences

     –Compliance

     –Legislation
Project Based Challenges
• Context
   – Average life 2 to 3 years
   – Most are subcontractors/temporary
• Training constraints
   – Time limitations to complete focuses on RPL
   – Workforce available for training
• Candidates
   – Recruited locally with variable experience of civil disciplines
   – Qualifications levels low or non- existent
   – Apprehensive to sign up for training
Key Players
                        ERTO
ITABS
           Employers




 Skills
                       Staff
Councils




           Suppliers
ASQA                     AAC
SkillsDMC
• 11 national Industry Skills Councils funded by Federal Government since
  2003.
• Develop and manage training packages RII09 covering
  drilling, mining, civils and quarrying.
• Recommend approach or process to meet industry’s needs through annual
  environmental scan.
• Managing Funding recent role.
• Managing LMS systems (Skills Maximiser) linked to acceptance of funding
• Seek employer data regarding staffing, training, etc..for government
  reports.
Employers and ISC
•   Industry engagement in training package expert group

•   Modifying package for flexibility RII10

    –   Skills sets for employee progression & retention

    –   New format with stricter guidance for RTO’s

•   SME in supporting development of Training & Assessment tools

•   Funding (rationale for ISC?)

    –   Suitability for ISC or TAFE/RTO’s

•   Tier 2 engagement

•   Developing International scope
Training Suppliers
• Projects traditionally local sourced influenced by
  local staff (HR)
• Over 3000 training suppliers of one type or
  another in NSW
• Supplier key abilities are:
   –   consistent quality
   –   ability to meet project needs and contexts,
   –   Understand client quality needs (e.g.. RMS)
   –   Funding support
• Use Procurement approaches
• Maybe partnering if part of employer process
Employees
• Engineer
    – full time, graduates in-house scheme
    – Possibly liked to EA
• Specialist contracted (surveyors, drillers)
    – Qualified and have current tickets
• Supervisory
    – full time payroll
    – Formal qualifications possible
    – Will have tickets if needed for work area specialism
• Manual
    – Likely to be unqualified
    – Temporary
    – Options to train mixed and may need coercion
• Apprentices/traineeships
    – may occur pending contract type
    – NSW Training guidelines for govt contracts
Collaborative Partnering
• Procurement Policy
• Internal SME(e.g. Concrete)                            • HR liaison with TAFE/AAC/ISC
• Workforce Planning Policies and                        • Workplace Assessor support
  Support                                                • SME
                                                         • Standardised assessment Tools




                                    Employer   Project




                                      ISC       TAFE          • Lead RTO
                                                              • Verification of competence
• Manage Funding                                              • Training and assessment
  agreements                                                    delivery and engagement
• Enabling Skills Maximiser                                   • Certification
• Reference point support                                     • Traineeships liaison with
                                                                AAC/ISC
Key attributes
• 70 registrations for various Cert III’s
• 64 completions (80% vs. National c.30%)
• 20% trainees female
• Indigenous comprised 6% trainees
• Embedded assessors comprising supervisory staff
• TAFE Trainers attended in-house training e.g.
  concrete, GPS systems for CPD
• Finalist in NSW Training Awards
Collaborative Partnering Plus
Partnering Plus?
• Where collaboration enables working
  in collaboration exploring synergies
  and seeking common aim in areas
  where there has been little existing
  information
  – Attain excellence in skilling
  – Break new ground in developing
    resources
  – Sharing expertises
  – Mutual skilling
Case Study 2 Partnering Plus
• Preferred supplier basis
• Training via Partnering
  – Integrating in-house assessing
  – 26 Cert III Civil Construction related certifications
  – 100% completion
• Piloting new units
  – 15 Concrete paving SOA
• Developing new resources
  – ASCP technical training subcommittee
Enabler for Client Quality Strategy


                              ASCP   SkillsDMC
                    N.Coast
                    TAFE
          Project

    Leighton
What's next?


• Australian Workforce & Productivity Agency (Skills
  Australia)
    – 4 scenario planning models
•   Future of Work will change irreversibly
•   Global competition will increase
•   Funding to be simplified
•   Recognise and develop approaches for Gen Y
Participation issues
• To 2025 industry need of higher skill levels
  will continue
• Productivity needs essential to survive global
  competitiveness, through enhanced skills
• Labour mobility is an issue
• Skills and workforce development tailored to
  meet specific industry and regional needs
• Education and training system to be forward
  looking to meet industry skills need
• Increase participation in learning and
  work, maybe new learning paradigm
Future Focus Scenarios to 2025
Scenario based occupational
employment growth (AWPA)
Challenges for projects
• Mentoring and skill transference better
   developed

• Sourcing reputable and consistent training
   suppliers state-wide/nationally/internationally

• Skills need is immediate which is not enough
   time to train to full competence
• Locations not where unemployed and skilled are
• Competition from mining
• Workforce mobility needed between projects
  and areas if work was more regular and
  predictable
The future in high tech world
• Challenges and opportunities
  – Re-skilling, continual CPD
• Traditional roles will disappear
  – Become more highly skilled
  – up-skilling of existing workforce
• Technology will
  – open up new labour markets
  – attract non-traditional skills into the
    industry
Stateless training




                                       Global                                 Branding
                                      Suppliers   • Cafeteria                  Agency
•   Trainee
•   RPL                                             selection
                          •   TAFE                • Timetable free   •   Qualification
•   Mature
                          •   RTO                 • iTunes U         •   Licence
•   VOC
                          •   ERTO                                   •   Skill Set
               Global     •   ISC’s                       Global
                                                                     •   SOA
              Learners                                   Platform
Summary
• Share best L&D practices
• Encourage learning organisations
• Tier 2’s need support
• Open collaboration IP is history its already out there
• Think global
• Assessment and certification brand is USP
• Less time dependant and attendance based
  approaches
• Funding less complicated
• Regional workforce development planning in need
  hotspots
• Role of Skills Councils in to meet future needs
North coast tafe staff workshop
Connectivity, Architecture and
           Devices
North coast tafe staff workshop
Q&A

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North coast tafe staff workshop

  • 1. VET and Civil Construction Issues, strategies, experiences, future directions and lessons learnt Simon Elsy
  • 2. Themes Sector Context Skilling demands L&D Stakeholders Case studies View towards the horizon
  • 3. Civil Construction forecasts 1,000,000 160000 900,000 140000 800,000 120000 700,000 100000 600,000 Employees Numbers 500,000 80000 400,000 $M 60000 300,000 40000 200,000 20000 100,000 0 0 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Total Labour (National) Company X X Required (incl turnover) Total Work Projection ($M) (based on Construction Forecasting Council 2011 figures)
  • 4. Occupations in Civil Construction * SkillsDMC – CCF, Civil Construction Occupation Review Report, March 2010)
  • 5. Background Issues 1 • Reasonably buoyant projected work load (CFC) – Regional, Remote, Cyclical • Skills required cover minimum of 3 Training Packages. – SkillsDMC, Manufacturing, Construction, Business, Electical – Funding in civil construction bound by full qualifications for workers** – Complexity of VET system recognised a challenge for industry*** • Qualification based skill shortages (e.g. 49% plant operators are qualified)* – Mixed history of L&D for many blue collar workers – Completion rates for training low (25-30% nationally*) * SkillsDMC – CCF, Civil Construction Occupation Review Report, March 2010) ** South Australia DFEEST submission, Skills for prosperity – a roadmap for VET, Skills Australia, 2011 ***Skills for prosperity – a roadmap for VET, Skills Australia, 2011
  • 6. Background Issues 2 • Industry values “work experience” as measure for employability over “competence” • Training concerns relate to quality of providers, availability and capacity to deliver to current industry standards – Experience of external supplier and flexibility in delivery*** – Industry led outcomes requirements especially in contextualisation * Mark,K & Karmel, T (2000) The likelihood of completing a VET qualification; a model – based approach, NCVER ** South Australia DFEEST submission, Skills for prosperity – a roadmap for VET, Skills Australia, 2011 ***Skills for prosperity – a roadmap for VET, Skills Australia, 2011
  • 7. Fact vs. fiction • Civil Construction Contracting realities – Remote & dispersed contracts, project life cycles (av. 2 to 3 yrs) – Workforce demographics (Age, Gender, Ethnicity, Subcontractors) • Demands for next 5/10 years – Recruiting suitable local labour, and obligations for govt projects – Subcontractor quality: “experience overrides competence” – Projected works (rail, roads, utilities etc..) & recruitment gaps • L&D & Skills shortage – Retaining talent especially at later stages of projects – Mobility of talent to relocate to new projects – Updating skills currency to new construction techniques – Training landscape (Funding, ISC, RTO’s, VET & suitability)
  • 8. Ideal Workforce Planning model Impacts from strategic business plans Monitor, measure & Scenario planning and Review demand forecasting Workforce analysis and Project Workforce Plan supply forecasting Corporate Workforce Gap analysis, strategy Plan development & planning
  • 9. Typical Civil Contractor L&D Planning Training Management Plans / Workforce Planning –Tiered approach from Group, through Divisions, Businesses and projects Training Matrices –Identify Competency and skills required for roles –Classified as mandatory, optional etc Adapted to State/Territory variances –Licences –Compliance –Legislation
  • 10. Project Based Challenges • Context – Average life 2 to 3 years – Most are subcontractors/temporary • Training constraints – Time limitations to complete focuses on RPL – Workforce available for training • Candidates – Recruited locally with variable experience of civil disciplines – Qualifications levels low or non- existent – Apprehensive to sign up for training
  • 11. Key Players ERTO ITABS Employers Skills Staff Councils Suppliers ASQA AAC
  • 12. SkillsDMC • 11 national Industry Skills Councils funded by Federal Government since 2003. • Develop and manage training packages RII09 covering drilling, mining, civils and quarrying. • Recommend approach or process to meet industry’s needs through annual environmental scan. • Managing Funding recent role. • Managing LMS systems (Skills Maximiser) linked to acceptance of funding • Seek employer data regarding staffing, training, etc..for government reports.
  • 13. Employers and ISC • Industry engagement in training package expert group • Modifying package for flexibility RII10 – Skills sets for employee progression & retention – New format with stricter guidance for RTO’s • SME in supporting development of Training & Assessment tools • Funding (rationale for ISC?) – Suitability for ISC or TAFE/RTO’s • Tier 2 engagement • Developing International scope
  • 14. Training Suppliers • Projects traditionally local sourced influenced by local staff (HR) • Over 3000 training suppliers of one type or another in NSW • Supplier key abilities are: – consistent quality – ability to meet project needs and contexts, – Understand client quality needs (e.g.. RMS) – Funding support • Use Procurement approaches • Maybe partnering if part of employer process
  • 15. Employees • Engineer – full time, graduates in-house scheme – Possibly liked to EA • Specialist contracted (surveyors, drillers) – Qualified and have current tickets • Supervisory – full time payroll – Formal qualifications possible – Will have tickets if needed for work area specialism • Manual – Likely to be unqualified – Temporary – Options to train mixed and may need coercion • Apprentices/traineeships – may occur pending contract type – NSW Training guidelines for govt contracts
  • 16. Collaborative Partnering • Procurement Policy • Internal SME(e.g. Concrete) • HR liaison with TAFE/AAC/ISC • Workforce Planning Policies and • Workplace Assessor support Support • SME • Standardised assessment Tools Employer Project ISC TAFE • Lead RTO • Verification of competence • Manage Funding • Training and assessment agreements delivery and engagement • Enabling Skills Maximiser • Certification • Reference point support • Traineeships liaison with AAC/ISC
  • 17. Key attributes • 70 registrations for various Cert III’s • 64 completions (80% vs. National c.30%) • 20% trainees female • Indigenous comprised 6% trainees • Embedded assessors comprising supervisory staff • TAFE Trainers attended in-house training e.g. concrete, GPS systems for CPD • Finalist in NSW Training Awards
  • 19. Partnering Plus? • Where collaboration enables working in collaboration exploring synergies and seeking common aim in areas where there has been little existing information – Attain excellence in skilling – Break new ground in developing resources – Sharing expertises – Mutual skilling
  • 20. Case Study 2 Partnering Plus • Preferred supplier basis • Training via Partnering – Integrating in-house assessing – 26 Cert III Civil Construction related certifications – 100% completion • Piloting new units – 15 Concrete paving SOA • Developing new resources – ASCP technical training subcommittee
  • 21. Enabler for Client Quality Strategy ASCP SkillsDMC N.Coast TAFE Project Leighton
  • 22. What's next? • Australian Workforce & Productivity Agency (Skills Australia) – 4 scenario planning models • Future of Work will change irreversibly • Global competition will increase • Funding to be simplified • Recognise and develop approaches for Gen Y
  • 23. Participation issues • To 2025 industry need of higher skill levels will continue • Productivity needs essential to survive global competitiveness, through enhanced skills • Labour mobility is an issue • Skills and workforce development tailored to meet specific industry and regional needs • Education and training system to be forward looking to meet industry skills need • Increase participation in learning and work, maybe new learning paradigm
  • 26. Challenges for projects • Mentoring and skill transference better developed • Sourcing reputable and consistent training suppliers state-wide/nationally/internationally • Skills need is immediate which is not enough time to train to full competence • Locations not where unemployed and skilled are • Competition from mining • Workforce mobility needed between projects and areas if work was more regular and predictable
  • 27. The future in high tech world • Challenges and opportunities – Re-skilling, continual CPD • Traditional roles will disappear – Become more highly skilled – up-skilling of existing workforce • Technology will – open up new labour markets – attract non-traditional skills into the industry
  • 28. Stateless training Global Branding Suppliers • Cafeteria Agency • Trainee • RPL selection • TAFE • Timetable free • Qualification • Mature • RTO • iTunes U • Licence • VOC • ERTO • Skill Set Global • ISC’s Global • SOA Learners Platform
  • 29. Summary • Share best L&D practices • Encourage learning organisations • Tier 2’s need support • Open collaboration IP is history its already out there • Think global • Assessment and certification brand is USP • Less time dependant and attendance based approaches • Funding less complicated • Regional workforce development planning in need hotspots • Role of Skills Councils in to meet future needs
  • 33. Q&A