1. Sector Skills Insights: Education

2. Introduction The UK Commission is working to transform the UK’s approach to investing in skills to help secure jobs and growth. Key to our ambition is the need to encourage greater employer ownership of skills, working to secure long term sustainable partnerships. This slide pack and accompanying evidence report present the case for more employers in this sector to invest in the skills of their people. It does so by presenting real-life, skill- based business solutions that have been used by leading employers to tackle the performance challenges they face and by drawing on examples of the investments being made by the UK Commission through its investment funds. There are several determinants of employers’ skills needs and training behaviour including firm size, strategy and location but it is by sector which the strongest variations appear. Hence this work focuses on the Education sector. Slide packs and reports are also available for a number of other sectors from: http://www.ukces.org.uk/ourwork/sector-skills- insights. Each of the sectors are important to the economy in terms of employment, productivity or their future potential.http://www.ukces.org.uk/ourwork/sector-skills- insights For information about this slide pack and accompanying report please contact: Rachel Pinto (rachel.pinto@ukces.org.uk)rachel.pinto@ukces.org.uk Source information can be found in the notes section of each slide

3. Storyboard Tackling these performance challenges: Growth through skills 3 What are key skills challenges in the Education sector? The importance of Education sector today Tackling these performance challenges: Growth through skills Performance challenge (3) DEVELOPING SUPPORT ROLES Performance challenge (2) ATTRACTING TALENT Benefits to business Performance challenge (1) MANAGEMENT SKILLS Imagine where the sector could be tomorrow

4. What is the Education sector? Pre-primary Education includes activities designed to introduce very young children to a school-type environment. Secondary Education lays the foundation for lifelong learning and human development, and includes general, technical and vocational secondary education. Higher Education Includes post secondary education, tertiary education, first-degree level higher education and post graduate higher level education. Other Education includes sports and recreation, cultural education, driving school activities. Education Primary Education includes basic education for children in reading, writing, maths, and an elementary understanding of other subjects. Educational support Includes educational consulting, counselling and organisation activities for school programmes.

5. What are the key skills challenges in the education sector? 5 It is not just about STEM Economies increasingly compete on their knowledge base. Policy has tended to focus on improving education in the STEM subjects (Science Technology, Engineering and Mathematics) as they have the highest rate of return. However, the development of knowledge of all kinds adds to the competitiveness, and cultural capital of the country,. The sector is going through a period of unprecedented change Budgets are being squeezed especially in Further and Higher Education. Education policy continues to develop at a pace with implications for new and developing skills requirements in new technologies, ICT and management and Leadership. Developing support roles are also essential to help the sector adjust to these changes. Attracting and retaining individuals with in-demand skills The Education sector already carries out an above average level of training, but these in-demand skills are lost if people leave the workforce. Continuing to invest in the workforce is essential but with the focus of making the best use of professional development and training resources to attract new talent and retain demand in skills. Back to Storyboard

6. Education... Matters The sector TODAY Back to Storyboard The sector employs around 9 per cent of the UK workforce equating to 2.7 million people. The sector contributes 7 per cent to the total output of the UK.. The heart of the UK’s R&D capabilities lies within the Education sector. In particular, the HE sub-sector plays a significant role in attracting international R&D investment to the UK. It contributed around £70 billion to UK economy in 2010. The workforce is highly skilled and dominated by people working in professional teaching and learning roles. The sector is rooted in the public sector, but at primary and secondary levels, there is a substantial and growing private sector. Further and Higher Education institutions are increasingly operating in international markets, with the majority of top universities in the world being UK based.

7. Education matters: Imagine where it could be TOMORROW Back to Storyboard The sector continues to be a valuable source of jobs and growth for the economy. It attracts and retrains the highest calibre teachers and researchers from around the world. The sector builds on its international reputation for excellence and increases its share of the global market for education. R&D capabilities are used to drive innovation and competitiveness across the sector and the wider economy. The sector recognises that people are a source of competitive advantage, and continues to invest in and support continuing professional development activities. Employers collaborate on, own, and lead the development of solutions to the sector’s problems in the pursuit of mutual gain.

8. The Performance Challenge: Developing management Skills Education institutions are increasingly self-governing, this means educational professionals have more management responsibilities than previously. Management capabilities also include the capacity to recruit and retain staff, especially in those areas where staff are in high demand and where there is competition from other sectors. 8 Back to Storyboard Challenges at each level include: SCHOOLS Reduced capital funding Managing performance Ensuring sufficient enrolments. FURTHER EDUCATION Budget cuts Focus on more demand- led provision. Developing overseas markets HIGHER EDUCATION Increase in tuition fees Reduction in funding for STEM subjects. Developing international markets “All staff have their own performance development plan. The school has high expectations and sets no horizons - for pupils and staff alike the only limit is the degree of belief in oneself.” Kay Bedford, Headteacher at Swiss Cottage School which has used effective management tools through the Investors in People Standard to reduce staff turnover and develop her staff. See how the National College for Leadership has adapted their Headship qualification to meet the changing needs of the sector – see case studysee case study

9. Back to Storyboard Case Study - Developing Management Skills The Challenge With increasing self-governance and leadership demands being placed on head teachers the current National Professional Qualification for Headship (NPQH) was failing to meet their needs. The approach The National College for School Leadership in England decided the best way forward was to revamp the NPQH so that it was more targeted and relevant to their needs. This included a tougher entry bar, more demanding content and a much sharper focus on the key skills required by heads to achieve higher standards for pupils. The benefits In developing initiatives like the NPQH, the sector is developing management and leadership skills across schools in England, and providing a wealth of support to head teachers as requirements change. Steve Munby, Chief Executive of the National College, said: “Raising the bar will help to drive up the standard of school leadership in this country even further. We believe the new non mandatory NPQH will become the first choice qualification, ranked alongside the best leadership development in the world, and the mark of quality that governing bodies and academy boards choose to rely on when appointing head teachers and principals, as only the most talented candidates will get through”

10. The performance challenge : Attracting Talented Individuals Attracting more people to work in the sector is a necessity 125,000 professionals will be required in the education sector between 2010 – 2020. There is strong competition for high quality teachers – both within the UK and from abroad, and between private and public sectors. The capacity of schools to compete on the basis of salaries is constrained so there is a need to develop policies that will attract people into the sector and ensure that they develop their careers. Providing on-going training and Continuing Professional Development Although there is a substantial infrastructure in place to attract people into the sector, obtain their initial training, and then further develop their skills, this is not a solution in itself. These initiatives need to be developed further to ensure that talented individuals are attracted to the sector. A number of successful initiatives have been developed in the UK to encourage individuals to enter teaching and develop their capabilities –see case studysee case study Back to Storyboard

11. Case Study – Attracting and Developing Talented Individuals Back to Storyboard The Challenge Only four per cent of all teachers would consider teaching in a school in challenging circumstances. This poses a huge challenge for tackling educational disadvantage, and attracting talented individuals to work in these schools. The Approach Teach First is a charity that harnesses the energy, enthusiasm and drive of exceptional graduates to provide leadership, motivation and, above all, inspirational teaching in schools in challenging circumstances across England. It attracts new talent to the sector by providing an intensive two year Leadership Development Programme, opportunities for internships, networking and the opportunity to work towards a Masters qualification. The Benefits Every Teach First teacher is placed in a challenging school. This benefits the school and provides a good source of employment for the graduate. While 67 per cent of those placed since 2003 remain actively engaged with addressing educational disadvantage through the Teach First ambassador community. Over 90% of Teach First recruits stay for a minimum of 2 years with 50% staying for longer.

12. The performance challenge: Developing Support Roles Back to Storyboard The growing need for people in support roles There are a variety of support roles that are specific to the education sector, including: Teaching and educational assistants Business development and support managers Laboratory technicians A variety of general support activities associated with managing and maintaining premises. Increasing the number of older workers in support roles. Some of these staff are supported through the teacher training infrastructure, but there is also a potential role for programmes, such as Apprenticeships, to contribute to the training of these groups. A key challenge is to ensure that the skills needs of those in support roles are met. Support roles are essential to the success of the sector, developing business opportunities and raising revenue, along with the sector’s R&D capacity. A study of technicians working in university engineering and physics departments revealed that the salary paid by universities is low relative to that industry. This makes it hard to attract younger technicians in particular. Also there is a long-term decline of companies which traditionally trained technician-type staff.

13. Growth through skills Securing future success Across the sector, raising skills is key to raising performance, but while there is no silver bullet, a mix of actions which push and pull in the same direction can help. Employer leadership in the development of solutions and then taking ownership of those solutions is fundamental to their success and sustainability. 13 Sources of investment are available to support the implementation of solutions led by business on behalf of the sector. The Employer Ownership pilots offers all employers in England direct access to up to £250 million of public investment over the next two years to design and deliver their own training solutions. The Growth and Innovation Fund (£9 million invested so far, £29 million to invest in 2012-13) gives priority to solutions for the sector e.g.: Employer commitment and investment in Apprenticeships Creation of employer networks to overcome skill problems Employer-backed proposals for other skills solutions such as: management and leadership; professional standards; high performance work practices incorporating people development (e.g. Investors in People). Information and business advice is also important as a solution. Ultimately this is trying to catalyse sustained investment in the development of the sector’s workforce led by employers which lies at the heart of an enterprising and dynamic nation. Investors in People provides a framework in which employers can develop workforce skills which has proven to be a success in construction. Back to Storyboard

14. Growth through skills Securing future success 14 There are areas of shortage, such as those people who are skilled in teaching STEM subjects, and individuals needed in support roles. The sector workforce needs to develop technical and ICT skills in the future to respond to the increasing demand for e-learning and technology implementation in service delivery. Management and leadership skills will also be required to manage programmes of change, to address policy reforms, to compete in an international market and to address environmental and sustainability issues. Future skill requirements include: subject knowledge; pedagogical skills development; IT skills; thinking and creative skills; management and leadership; customer service; community engagement; fundraising skills and low carbon knowledge. Ultimately the success of the sector is dependent upon the skills of the people who work in it. There are enormous skill replenishment needs once people are in the sector this is to meet the changing demands placed on the sector.

15. Benefits to Business Evidence suggests that employers investing in training they are twice as likely to survive than their counterparts who do not. In schools, evidence show that students perform better in organisations with developed supervisory skills, information sharing and employment skill development practices. At a time when the economic recovery is dependent on growth in skills, demand for the education sector is high. The business benefits of training go beyond company survival. The sector has a strong commitment to continuing professional development. Therefore there is potential for initiatives, such as Investors in People (IiP) to assist the sector is high. Adopting high performance working practices through IiP also has positive benefits for opportunities for innovation and creativity, greater task discretion, higher job satisfaction and employee motivation. Ultimately the success of the sector is dependent upon the skills of the people who work in it and their capability to communicate knowledge. 15 Back to Storyboard

16. Key messages Continuing Professional Development and skills development are well-established in the sector, but skills need to be developed in a range of new areas. The key challenge is to ensure that the best is obtained from the substantial professional development facilities that are available as the sector invests heavily in training There is a need for frameworks, such as Investors in People, within which schools, colleges, and universities as it can effectively develop their workforce and help with management and leadership skills. Whilst much of the training infrastructure is directed towards the development of teachers and lecturers, the wide variety of support staff need development too; programmes such as Apprenticeships, have a role to play. Attracting and retaining the best and brightest teachers and research professionals, particularly those with STEM and modern language skills, from the UK, the EU and beyond is key to the sector. The sector also needs to be attractive to attract new talent and replace the ageing workforce. Initiatives need to be put into place to boost supply and attract new talent. The UK Commission is looking to work with employers to transform the UK’s approach to investing in skills of its people to secure growth and prosperity. More information about the UK Commission’s investment funds is available herehere Back to Storyboard