Presentation to Select Committee on Education and Recreation Strategic Plan and 2015/16 – 2019/20 Annual Performance Plan 2018/19 06 June 2018

Contents Quality Council of Trades and Occupations Mandate Historical Background Response to National Priorities – National Development Plan Highlights Challenges 2. Key Impact Indicators Strategic Outcomes Programme 2 : Occupational Qualification Programme 3 : Quality Assurance Indicators 3. Programme one and Financials Programme 1 : Administration Strategic Plan and Annual Performance Plan

To qualify a skilled and capable workforce Strategic Plan VISION To qualify a skilled and capable workforce STRATEGIC OUTCOMES 1. Competent people in priority trades and occupations Contribute to the creation of a skilled and capable workforce in priority trades and occupations for employment opportunities that are available in the labour market. 2. Create a sustainable organisation Management Systems developed, implemented and maintained by March 2020

Strategic Plan Programme 1: Administration To enable QCTO performance through strategic leadership and reliable delivery of management support services. Programme 2: Occupational Qualifications To ensure that occupational qualifications registered on the Occupational Qualifications Sub-Framework (OQSF) are available and Skills Development Providers (SDPs) that offer occupational qualifications are accredited within a reasonable period and ensure credibility of providers. Programme 3: Quality Assurance To establish and maintain standards for the Quality Assurance of Assessments and Certification for Occupational Qualifications on the OQSF.

Mandate QCTO Mandate derived from the Skills Development Act and the National Qualifications Act. In summary, the functions of the QCTO are as follows: Manage the Occupational Qualifications Sub-Framework (OQSF) Design and develop and review standards and occupational qualifications Quality Assurance of occupational qualifications Assessment and moderation of occupational qualification Certification of successful learners

Response to National Priorities Imperatives National Development Plan Ministerial Guidelines White Paper on Post School Education and Training National Skills Development Strategy

Response to National Priorities To achieve this QCTO is: Developing industry based qualifications (Including Trades) Development process led by Industry and Social partners Strengthening the TVET College system Reconstruction of NATED qualifications. Capacity for colleges to deliver occupational qualifications Contributing to Education/Industry Partnerships DSPP, SIPS, Waste Technology, Electric Motor Vehicles Simplification of the National Qualifications Framework Reducing the number of qualifications on the OQSF Revoking QA functions delegated to SETA’s

Performance Environment Simplification of the NQF Review of the OQSF to give effect to national policy imperatives. Development of prioritised qualifications and part qualifications Reduce the number of historically registered qualifications Deactivation of dormant unit standard based qualifications. Replacement of unit standard based qualifications with Occupational Qualifications. Realignment of Unit standard based qualification to Occupational Qualifications. Realignment of Skills Development Programmes All Skills Development Providers to be accredited by a single quality assurance body.

Performance Environment Towards a National Quality Assurance System Monitoring and reporting of QAPs performance on delegated functions. Resolution of accreditation and certification issues including backlogs. QA of Historically Registered Qualifications currently delegated to QAPs (SETAs and Professional Bodies) Qualification Development Model Accreditation of Providers and Assessment Centers Approval of Assessment Partners QA of assessments Certification QA of Occupational Qualifications. National Quality Assurance System for OQSF

Quality Assurance of Two Systems QA System under SAQA Act. Unit Standard based qualifications Assessment through PoE SAQA accreditation of ETQAs (SETA’s and Professional Bodies) Decentralised QA system QCTO System under the NQF Act. Occupational Qualifications and Part Qualifications (Knowledge and Application components) QCTO approval of Assessment Quality Partners Single External Integrated Assessment System Centralised QA system

Performance Environment Vision 2020 Vision 2020 – Strategy for the Revoking of QA functions delegated to SETAs. Revoke all functions at selected SETAs. Extent of implementation dependent on level of Funding (QCTO Business Case) NLRD Development of MIS to support QCTO upload of learner achievement to NLRD SDPs QCTO to accredit all Skills Development Providers Develop and maintain single database to promote public confidence Manage the monitoring an reporting on SDP performance. Assessments QCTO responsible for QA of assessments. QCTO responsible for approval of learner results. Certification QCTO issue all certificates.

Performance Environment Business Case for Funding Current Funding Provisions SETA Levy Grant (legislated at 0.5%) Allocation from Fiscus Charges for Services rendered. QCTO Business Case Developed as direct input into the NSDP process. Business Case indicates funding requirements for QCTO to execute full QA mandate. Proposed an increase of SETA Levy Grant to 1% as an interim measure and that A detailed functional transfer expenditure analysis to be conducted. Proposed that income from services are increased incrementally to at least 5% of overall income, and the government grant is increased by 8% pa. QCTO Business Case not approved pending finalisation of the NSDP.

Organisational Environment Human Resources Implementation of new organogram based on the cluster model. Provides vehicle to build internal capacity by providing for appointment of subject matter specialists and functional experts (qualification developers, assessment specialists etc.) Facilitate shift of Quality Assurance Functions from QAPs to (SETAs and Professional Bodies) Reduce third party dependency. Management Information System Development of MIS progressing well. Currently testing Phase 1 (Core operations) for implementation. Phase 2 will include bringing the Support functions onto the MIS.

Programme One: Administration QCTO STRATEGIC GOALS Goal 2 : Create a sustainable organisation PROGRAMME ONE : ADMINISTRATION Purpose To enable QCTO performance through strategic leadership and reliable delivery of management support services. Strategic Objective Institutional capability in place to enable QCTO to deliver its products and services

Programme one : Administration Key Performance Indicator 2017/18 Target Actual 2018/19 Information and Communication Technology Master System Plan implementation plan approved annually Implementation plan for 2017/18 approved and implemented. Plan implemented Implementation plan for 2018/19 approved and implemented Annual Marketing and Communication Plan implemented. Annual Marketing and Communication Plan approved and implemented

Programme Two: Occupational Qualifications QCTO STRATEGIC GOALS Goal 1 : Competent people in priority trades and occupations PROGRAMME TWO : OCCUPATIONAL QUALIFICATIONS Purpose To ensure that occupational qualifications registered on the Occupational Qualifications Sub-Framework are available and Skills Development Providers (SDPs) that offer occupational qualifications are accredited within a reasonable period and ensure that providers in the system are credible. Strategic Objective Ensure prioritised occupational qualifications recommended to SAQA for registration on the OQSF, which are utilised and effectively managed.

Programme Two : Key Functions Develop prioritised occupational qualifications Simplification of NQF Re-align historically registered qualifications Re- configuration (Reconstruction NATED report 191) Accreditation Accredit Skills development providers (Newly registered occupational qualifications, NATED and Old Trades) Train Learner Qualifications Development Facilitators

Key Performance Indicators (Occupational Qualifications) 2017/18 Target Actual 2018/19 2.1.1 Number of prioritised occupational qualifications recommended to SAQA for registration on the OQSF 30 111 50 2.1.2 Number of Historically Registered Qualifications realigned to Occupational Qualifications recommended to SAQA for registration on the OQSF   New 38 MoUs signed. 8 in progress 2.1.3 Quarterly performance reports on reconstruction of NATED Report 190 (N4 – N6) part qualifications approved by the Occupational Qualifications Committee 4 2.1.4(a) % of Skills Development Providers offering Occupational Qualifications accredited within the turnaround time (90 working days) Revised Indictor 90% 88% NEW 2.1.4(b) % of Skills Development Providers offering historically registered qualifications accredited within the established turnaround time Establish baseline turnaround time.

Key Performance Indicators (Occupational Qualifications) 2017/18 Target Actual 2018/19 2.1.5 (a)% of accredited Skills Development Providers that reported on learner uptake for occupational qualifications are monitored against QCTO compliance standards New 80% (20%per quarter) Average 31% NEW 2.1.5 (b)% of accredited Skills Development Providers that reported on learner uptake for historically registered qualifications that are monitored against QCTO compliance standards 25% 2.1.6 Occupational qualifications with learner uptake monitored 100%

Programme Three: Quality Assurance QCTO STRATEGIC GOALS Goal 1 : Competent people in priority trades and occupations Programme Three : Quality Assurance Purpose To establish and maintain standards for the Quality Assurance of Assessments and Certification for Occupational Qualifications on the OQSF Strategic Objectives To ensure that the Quality Assurance System for the implementation of registered occupational qualifications is functional, effective and efficient Learner achievement of qualifications on the OQSF quality assured and certificated as prescribed in QCTO policies

Programme Three : Functions Quality Assurance Key Functions Approval of Assessment Quality Partners Accreditation of Assessment Centers Quality Assurance of Assessment ( External Integrated Summative Assessment) Approval of learner Achievement Certification of Learners Upload of learner achievement to National Learner Records Database

Key Performance Indicators (Quality Assurance ) 2017/18 Target Actual (Unaudited) 2018/19 3.1.1 (a) % of assessment centre accreditations processed within the turnaround time (30 working days) 90% 100% NEW 3.1.1 (b) % of assessment centre accreditation applications verified within the 30 day turnaround time of processing accreditation applications 20% 3.1.2 % of Assessment Quality Partner (AQP) delegation approvals processed 3.1.3 (a) % of assessments for occupational qualifications quality assured against QCTO standards New 3.1.3 (b) % of assessments for historically registered qualifications quality assured against QCTO standards (excluding skills programmes)

Key Performance Indicators (Quality Assurance ) 2017/18 Target Actual (Unaudited) 2018/19 New 3.1.4 (a) The number of SETA QAP delegations revoked 14 3.1.4 (b) % of Quality Assurance Partners (QAPs) whose delegations have not been revoked monitored and found compliant with QCTO compliance standards 100% 3.1.4 (c) % of NAMB quality assurance functions incorporated into the QCTO as per approved Council Plan 50%

Key Performance Indicators (Quality Assurance ) 2017/18 Target Actual (Unaudited) 2018/19 3.2.1 (a) % of certificates (occupational and legacy trades) issued within the turnaround time (21 working days) 90% New 3.2.1 (b) % of certificates for historical registered qualifications issued within the turnaround time (21 working days) 80% 3.2.2 % of verification of authenticity of certificates requests received and verified within turnaround time (5 working days) 3.2.3 % of learner records digitized against number agreed on the project plan 40%

Other Underpinning Work Certification Elimination of backlogs Relocation of learner records Digitization of learner records (NSF funding R19 million ) Investigating Badging Research to inform work of QCTO FLC Research Open Learning e Assessment Streamlining of processes to improve efficiencies.

Strategic Plan and Annual Performance Programmes REVENUE AND EXPENDITURE 2018/19 - 2020/21

MTEF BUDGET 2018/19 – 2020/21 REVENUE DETAILS 2017/18 2018/19 2019/20 Audited Approved Projections R'000 DHET Grant Allocation 26 920 27 380 28 977 30 535 SETA Grant Allocation 68 400 86 700 104 907 126 937 Approved Roll Overs - TOTAL 95 320 114 080 133 884 157 472 Revenue Growth/Projections 18 760 19 804 23 588

EXPENDITURE PER PROGRAMME Medium - Term Expenditure Estimates PROGRAMMES Audited Medium - Term Expenditure Estimates 2017/18 2018/19 2019/20 2020/21 R'000 OQM 19 461 27 649 32 827 38 741 OQA 41 987 33 082 38 992 46 351 ADMINISTRATION 33 872 53 349 62 065 72 380 TOTAL 95 320 114 080 133 884 157 472

EXPENDITURE PER CLASSIFICATION Adjusted Appropriation Medium - Term Expenditure Estimates 2017/18 2018/19 2019/20 2020/21 R'000 Compensation 52 691 63 148 74 472 87 929 Goods and services 37 883 44 186 51 429 60 404 Capital expenditure 4 746 6 746 7 983 9 139 TOTAL 95 320 114 080 133 884 157 472

Compensation Expected Year by Year Average growth of 15% -17% R10,457 (2018/19) – Increase R11,234 (2019/20) – Increase R13,457 (2020/21) – increase Reasons For Increase Yearly Salary Inflation Adjustments Vision 2020 Implementation of the Revised QCTO Structure Ratio of Compensation to Total Expenditure 55% - In check!!!!!

Goods and Services Expected Year by Year average growth of 10% R6,303 (2018/19) – Increase R7,243 (2019/20) – Increase R8,775 (2020/21) – Increase Reasons For Increase Normal Increases - Inflation (CPI) Growth in the QCTO establishment – increases consumption expenditure Ratio of Goods and Services to Total Expenditure 39% - In check!!!!!

Capital Expenses Expected Year by Year average growth of 1% R2,000 (2018/19) – Increase R1,237 (2019/20) – Increase R1,156 (2020/21) – Increase Reasons For Increase Growth in the QCTO establishment - Tools of Trade for New Staff Major Capital Projects completed in 2017/18 Ratio of Capital to Total Expenditure 6% - In check!!!!!

Thank you