How Education Industry Is Affected by External Factors - Coursework Example

Name : xxxxxxxxxxx Institution : xxxxxxxxxxx Title : How Education Industry is affected by External Factors Tutor : xxxxxxxxxxx Course : xxxxxxxxxxx @2010 Introduction Education industry is one of the 17 sectors that comprise Australian economy. This sector offers education services from Pre School to post graduate courses. Consumers or students are the main users of educational services, and select between public and private providers and international learners offer an export market for Australian education services. Education is the 2nd largest services export sector in Australia, contributing approximately 17.2 billion dollars annually. Human resource planning is fundamental in ensuring sufficient figures of well qualified leaders and teachers to meet the upcoming needs of education services in the 21st century. Australian education industry and international education Australia is considered as a friendly and safe destination, a technologically advanced and sophisticated society, with a reputation for excellence, quality and reliability in education services. Additionally, Australian education institutions have established offshore campuses and have also developed innovative partnership in numerous countries to effectively deliver education courses in students home nations. Asia is the most important regional market for Australia’s education exports, and has continued to offer unprecedented chances for Australia, as Asiam revenue has increased and higher education has taken on increased prominence. Australia provides education to international students and its immigrants, and Australian education institutions had approximately 455,000 international students in the year 2009. The internalization of vocational education and training system has brought a variety of significant benefits to Australian education industry. The existence of overseas students enriches the learning experiences of Australian students and has built cross cultural skills, a precious commodity in the international labour market (Maclean, 2009). However, several changes have occurred in Australian international education sector. For example, the main source nations for global learners in Australia are shifting, with countries like India emerging as new main contributors to global international education sector in Australia. There are numerous factors contributing to this trend like Australia’s skilled migration programs. Because of globalization of labour market more and more individuals are becoming increasingly globally mobile and this has enabled them to search for excellent career opportunities and highly comfortable living atmosphere in Australia. External labour market factors influencing HRP of organizations in Australian education industry Timeframe With an ageing populace, zero population increase and declining workforce participation, the Australian education industry has widespread experience in management and development of inventive professional training and development programs to international marketplace. International education services provide a variety of innovative programs which combine workplace training and flexible elements of education. International education is unique because it influences Australia’s cultural, educational, linguistic, social, labour market, diplomatic skills and assists in driving knowledge, skills, innovation, together with economic prosperity of Australia. Accredited training and education providers make sure that these education modules are based on principles of excellent practice in development and delivery of curriculum (Pimpa, 2010). Public policy The education industry is highly influenced by the Australian migration program which focuses on skilled migration as a portion of national building. A recent university delegation to China, demonstrates that the Australian government is supposed to recognize the significance of an immense international education sector the future of the country. Half of the total Chinese students studying in Australia are enrolled in higher education sector and 20 percent in vocational education and training studies (Smith, 2002). However, recent incidents have placed the migration program and Australia’s education industry under threat. The figure of foreign students who study in Australia and intend to become qualified for permanent citizenship is unsustainable. In reaction to concerns on scam and migration rorts, the Australian government has implemented tougher student visa regulations and has also reviewed general skilled migration program and introduced a novel state migration plans and skilled occupational list with the aim of improving skill needs for Australia. Nevertheless, these shifts, along with the towering Australian dollar and concerns regarding student safety, has made several organizations within this industry complaining that this crackdown will demoralize the expansion of international education in the country. The current policy and regulatory changes implies that education providers especially private vocational education organizations are subjected to a tight regulatory framework. The stiffening of requirements of student visa which are aimed at preventing learners form attaining permananet residency via low skilled vocational student immigration routes has resulted to dramatic decline in the figures of overseas students, especially from China and India. Presently, students applying for university education form countries such as China and India re required to offer evidence that they can offer adequate cash to support them for three years. State of the economy Australia is confronting several demographic and economic challenges. As Australia focuses looks forward to economic recovery, workers are concerned about the hazard that economic growth will once again be constrained as a result of shortages of skills. The vocational education and training sector is supposed to deepen the skills of Australian workers and increase their productivity so as to enable the country to effectivel adapt to changes and maintain competitive advantage in the labour market. The more the skill level of workers is developed, the more the potential output of labour force. A highly skilled and educated workforce supports innovation, implementation of advances in technology and accumulation of physical capital. Seddon & Angus (2006) argue that high levels of skills and educational attainment also considerably influences the future labor force participation and the earnings potential of an individual. The vocation education and training sector together with other education sectors plays a major role in developing human capital in Australia. It workforce, assisted by equipment and infrastructure, offers students with improved and new competencies that makes them more productive, innovative and valued workers. Unlike other social services and health sector, the performance of the education sector is intrinsically connected to the performance of its workforce. In a labour extensive, and highly skilled activity like training and education services, the superiority of output is closely connected to the superiority of the employees responsible for service delivery. The core role of the workers is reflected in the share of labour costs in total operating costs of the industry. For instance in 2009, workforce costs summed up to 69% of all the entire operating expenses of the territory and state training departments (Australian council for Educational Research, 2007). The vocational education and training workforce like universities, early childhood development and schools workforces are mainly encompassed of educators. Majority of the tasks they undertake involve imparting learning, encouraging and motivating learners to effectively use teaching materials and aids, assess students accurately and fairly, and develop and maintain their personal pedagogic skills. Geography and space Unlike their counterparts in public sector, education trainers, assessors and teachers are dual professionals with abilities recognized in industry and education spheres. Apart form their education abilities, they are expected to possess strong industry currency implying that they should be in touch with everyday practices., challenges and solutions of industry work. Close relation with the industry is an innate quality of an excellent vocational education and training assessors and trainers, that develops the value and relevance of competencies that they pass on to the students (Maclean, 2009). The education sector workforce is placed in a position of social inclusion of both adults and young people. Education assessors and trainers operate in a variety of settings, such as workplaces, educational institutions, and community organizations. According to Shacklock, & Smyth, (2004) vocational education and training assessors and trainers tend to be highly conscious of their students environments, constraints and backgrounds. They are regularly exposed to students from diverse backgrounds, for instance Aboriginal and Torres Strait Islander, migrants, non speaking students, and students from remote and low social economic status backgrounds. They may also come across students who have very diverse motivations for learning , for instance second chance students who do not have the foundation skills requires to attain employment or embark on further study. These dissimilar individuals pose a teaching challenge for education industry workforce. To achieve successful results, assessors, trainers and teachers are supposed very sensitive to distinctive requirements of every person, and the setting in which teaching is occurring and this happens, there may be considerable payoffs in terms of civic, social and positive employment outcomes. How individual organizations within the Australian education industry are affected by external labour market factors and how they have successfully responded to these factors Australian early childhood development organizations are greatly affected by the present and future demand for labor force, and the mix of skills and knowledge needed to meet the service needed. This organizations are supposed to consider populace distribution and demographic trends, regional and jurisdictional analysis, and major changes in skill requirements. These institutions have responded by ensuring the mix and structure of labor forces are well trained and are effective and efficient in early childhood service delivery. They have also delivery fully integrated early childhood development services entailing child and maternal health, family support and preschool services. Demand is a major external labor market factor influencing higher education institutions in Australia. Demand for places in higher education has steadily grown since 1945. According to Brown, (2010), this growth has been as a result of shift from a primary industry based on economy to a manufacturing one, and form a serviced based economy to a knowledge economy. This has resulted to greater retention of students in secondary schooling and thus a greater fraction of individuals eligible for University admission. These institutions have responded by increasing their productivity gaining and thus substantially reducing the cost of learning in order to remain in the market of long life learners. Vocational education and training education organizations have professional who are supposed to deploy both industry and education skills delivered in learning institutions and this pose challenge in attracting and maintaining staff. Additionally, in the expanding commercial environment several providers creates an important role of vocational education and training personnel who are engaged in organizational management and leadership, but not directly engaged in training delivery. These organizations have made sure that the staff has the particular skills required in the competitive market environment. They offer transferable skills and particular underpinning skills which modern employers are looking for like business skills, communication, problem solving and technical knowledge. Conclusion Australian education industry is a major component of the country’s economy. The industry provided education services to both domestic and international students and the industry has increased management and development of innovative professional training to meet the demands of international labour markets. The performance of education industry is innately linked to performance of its workforce. Therefore the industry is supposed to have workers with adequate skills for effective service delivery. Recommendations Australian education organizations are supposed to establish policies that encourage competition in training market. With more private training entering into vocational education and training, there is expanding competition for professionals in Australia and overseas and these institutions will increase the range of available education materials. Since training and education services have been regarded as a public commodity other than a marketable good, Australian education institutions are supposed to develop both aspects of the education industry. Individual institutions should actively promote socio economic and cultural benefits of global training and education. They should also adopt a business approach to their involvement in global activities with an aim of generating extra export revenue for their organizations. Government policies such as migration programs have reduced the number or international students in Australian education industry and the country is running the risk of becoming less competitive in global education. Therefore the education institutions should develop a global education develop authority in support of international education industry and the authority should have an educational, international relations, commercial and community focus and should also operate separately from the government. This authority should be accountable for development and execution of an Australian global education strategy. Bibliography Pimpa, N, 2010, Global marketing of Australian education. Lambert Academic publishing, Kerman. Australian council for Educational Research, 2007, The Australian journal of education, Australian council for Educational Research, Australia. Shacklock, G, & Smyth, 2004, Re-making teaching: ideology, policy and practices, Routledge, London. Maclean, R, 2009, Handbook of technical and vocational education and training research, Springer, New York. Seddon, T, & Angus, L, 2006, Beyond nostalgia: reshaping Australian education, ACER Press, UK. Smith, R, 2002, Changes, issues and prospects in Australian education, University of Queensland Press, Queensland. Brown, R, 2010, Higher Education and the Market, Taylor & Francis, Melbourne. Read More