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Opportunities for Western Australia Vet Providers in East Java

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Opportunities for Western Australia Vet Providers in East Java OPPORTUNITIES FOR WESTERN AUSTRALIA VET PROVIDERS IN EAST JAVA Prepared by Professor P John Williams and Prepared for the Australian Trade and Shaun Wellbourne-Wood with support from Investment Commission and the the Western Australia East Java University Western Australian Department of Jobs, Consortium (WAEJUC) Tourism, Science and Innovation CONTENTS 02 Abbreviations 18 East Java context 18 General context Summary 26 Industry survey: Technical 04 Vocational Education and Training (TVET) providers Introduction 26 Method 05 27 Results 40 Analysis 06 Western Australia context 06 Western Australia and East Java Conclusions relationship 41 07 Indonesia–Australia 41 Rationale for WA involvement Comprehensive Economic 42 Recommendations Partnership Agreement 42 Recommendations (IA-CEPA) for immediate action 07 General context 44 Recommendations 09 Accreditation and regulatory for longer term action responsibilities 51 Models of cooperation 09 Legislative requirements 52 Summary for onshore international 53 Acknowledgements students 10 Student recruitment 10 Scope of education provision Western Australia references 11 Financial matters 54 11 Government support 12 Industry support East Java references 12 International student 55 fees 12 Scholarships for Appendices international students 74 13 Pathways 74 Appendix 1: 13 International programs Overview of the Vocational Skills, 15 VET Providers and Research and Development 15 TAFE colleges (Public (R&D) Super Tax Deduction Registered Training Incentives for Indonesia Organizations) 76 Appendix 2: 16 Private Registered VET List of Competencies Training Organizations 88 Appendix 3: 17 Consortia East Java Industry Survey 91 Appendix 4: East Java VET Contacts (link to full contacts list) 94 Appendix 5: East Java Industry Associations 98 Appendix 6: East Java TVET Providers (link to pivot table) 01 OPPORTUNITIES FOR WESTERN AUSTRALIAN VET PROVIDERS IN EAST JAVA ABBREVIATIONS ACICIS Australian Consortium for ‘In-Country’ Indonesian Studies AIBC Australia Indonesia Business Council ALFI Association of Logistic and Forwarders, Indonesia APINDO Asosiasi Pengusaha Indonesia (Indonesian Employer Association) AQF Australian Qualifications Framework ASQA Australian Skills Quality Authority BPS Badan Pusat Statistik (Central Bureau of Statistics) CRICOS Commonwealth Register of Institutions and Courses for Overseas Studies DET Department of Education and Training DFAT Department of Foreign Affairs and Trade DGHE Directorate General of Higher Education DI/DII/DIII/DIV Diploma 1/2/3/4 DTWD Department of Training and Workforce Development EJ East Java ELP Endeavour Leadership Program ESOS Education Services for Overseas Students Act FDI Foreign Direct Investment GRDP Gross Regional Domestic Product HIPMI Himpunan Pengusaha Muda Indonesia (Indonesian Young Entrepreneur Association) IA-CEPA Indonesia-Australia Comprehensive Economic Partnership Agreement IABC Indonesia Australia Business Council IELTS International English Language Testing System ILO International Labour Organization IQF Indonesian Qualifications Framework IR4.0 Industrial Revolution 4.0 IRC Industry Reference Committees KADIN Kamar Dagang Indonesia (Indonesian Chamber of Commerce) KOMINFO Ministry of Communications and Information LIPI Lembaga Ilmu Pengetahuan Indonesia (Indonesian Institute of Sciences) LKPM Laporan Kegiatan Penanaman Modal (Investment Activities Report) MENC Ministry of Education and Culture MOF Ministry of Finance MOM Ministry of Manpower MOOC Massive Open Online Course MORA Ministry of Religious Affairs MORTHE Ministry of Research, Technology and Higher Education Masterplan for Acceleration and Expansion of Indonesia Economic Development, MP3EI 2011-2025 (Masterplan Percepatan dan Perluasan Pembangunan Ekonomi Indonesia) NAPCO North Australian Pastoral Company 02 OPPORTUNITIES FOR WESTERN AUSTRALIAN VET PROVIDERS IN EAST JAVA ABBREVIATIONS NCP New Colombo Plan NSW New South Wales PRISMS Provider Registration and International Student Management System QLD Queensland RTA Rural Training Australia RTO Registered Training Organizations SD Sekolah Dasar (Primary School, basic formal education, from 1st to 6th grade) SECO State Secretariat for Economic Affairs SITECO Association for Swiss International Technical Connection Sekolah Menengah Atas (academic secondary formal education, after graduating SMA middle school, from 10th to 12th grade) Sekolah Menengah Kejuruan (vocational secondary formal education (referred to SMK Vocational high schools), after graduating middle school, from 10th to 12th grade) Sekolah Menengah Pertama (Middle School, basic formal education, after graduating SMP primary school, from 7th to 9th grade) SSO Skills Service Organizations TAC Training Accreditation Council TAFE Technical and Further Education TEQSA Tertiary Education Quality and Standards Agency TESOL Teachers of English to Speakers of Languages TIWA TAFE International WA TSS Temporary Skill Shortage Technical and Vocational Education and Training (the international term that is most TVET commonly used in Indonesia. Throughout this report we will use VET within the context of Australia and TVET for Indonesia. VELT Vocational Education Leadership Training VET Vocational Education and Training (common term in Australia) VSL VET Student Loans WA Western Australian WAEJUC Western Australia East Java University Consortium 03 OPPORTUNITIES FOR WESTERN AUSTRALIAN VET PROVIDERS IN EAST JAVA SUMMARY This report is the result of document analysis • WA VET providers should seek to develop and interviews conducted in Western Australia education and training links with industries and East Java, and a survey and focus group in East Java in the provision of their training interviews in East Java, in order to make needs. recommendations regarding Western Australia Vocational Education and Training (VET) providers • The scale of the required skills training in responding to market needs in East Java. Indonesia generally and East Java in particular, is such that flexible delivery, train-the-trainer The data indicates that despite there being no options (including online, short courses) which current WA VET activity in East Java, providers capitalize on emerging technologies will have are positive about the opportunities and feel the broadest impact, and therefore will be they have the capacity to respond. There are most appealing. many current examples of international activity by WA VET providers which indicate a capacity • The explosion of Indonesia’s digital economy to be flexible, culturally sensitive and adaptable presents significant opportunities for training to market opportunities. This provides support and education in associated areas such as for an optimistic outlook regarding the export multimedia, social media and online marketing, potential of WA VET to East Java. The data also ecommerce, cloud computing, mobile and web indicates that there are significant vocational app development. training needs in East Java and a range of factors indicate that considered exploration by WA VET • International migrant workers are a significant providers is timely. aspect of Indonesian social and economic activity. WA VET providers should pursue Due to international and interstate competition opportunities to strengthen the skills of in the TVET market in East Java, and the local migrant workers in response to overseas pricing structures, entry by WA organizations will demands and standards. need to be focused, nuanced and niche oriented. As a result of the data analysis outlined in this • Fiscal and compliance requirements of WA report, recommendations have been made in the VET providers should be modified to facilitate following areas. exploration of VET opportunities in East Java. • Contextual factors such as tax incentives and IA-CEPA regulations present opportunities for market entry that have not been available in the past. 04 OPPORTUNITIES FOR WESTERN AUSTRALIAN VET PROVIDERS IN EAST JAVA INTRODUCTION The primary purpose of this investigation 4. A survey of more than 60 major business and was to provide evidence-based insights and industry leaders that collectively employ recommendations for Western Australian VET more than 100,000 workers in East Java. The providers seeking opportunities for market results of this survey are included in this access in East Java. The data and information report. collected includes the following: 5. Comprehensive details for more than 600 1. A summary of VET in Western Australia, VET providers in East Java. Details including developed from document analyses and institution type, tuition costs, courses, course interviews with directors of VET institutions levels etc. The information is summarized in involved with international programs and Appendix 4, and has also been organized into students. a filterable pivot table. 2. A comprehensive collection of the literature 6. A comprehensive list of contacts in East Java related to VET in Indonesia, and more – local government, industry and institutional specifically in East Java, including discussion stakeholders related to the VET sector. These papers, policy documents and academic have been summarized in Appendix 2, where studies. These documents are listed in the a link is provided to the full contacts list. References at the end of this Report. They have also been organized in an EndNote library, and are available to download directly from the EndNote library link. 3. A series of focus group discussions with Industry leaders associated with East Java business
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