Top 5 Business Opportunities in Skill Development

There are various opportunities for business in skill development but every opportunity is not perfect for everyone. We have listed top 5 business opportunities in skill development which can fetch you better revenue.

1. Establish a Multi-Purpose Training Center- Instead of setting up many small and nonstandard training center it is better to set up a large center where 5-7 trade and sectors training could be organized under various schemes on same time. Ideally, when one scheme is slowed down, you can focus on another. The entire infrastructure and resource will be utilized to its full optimum.
2. Supply Equipment Related to Skill Development-There is equipment related to training like Tablets, Biometric devices, Projectors, Desktop Computers, Networking devices, Printer and scanners, Domain Lab Equipment for retail/beauty/electrical etc which can be supplied to Training Agencies as per their requirement.
3. Supply Regular Consumption Goods Like Uniform & Stationary-Advertisement Materials, Stationary, Course Book and workbooks, Identity Cards, Uniforms can be a big opportunity for business.
4. Offer Placement Services-Almost every project of skill development is linked with Placement where Trained Candidates have to get wage appointment. There is a huge scope of business in this field as in Placement you shall be paid by the Training Agency for whom you shall do the service and on the same time you shall get payment from an employer who shall appoint these trained candidates. You can earn in lakhs per month without any investment. Just a few phone calls and very little physical presence.
5. Post Placement and Tracking Support- It involves 12 months of tracking of a placed candidates. There are various documents required like offer letter for each appointment, monthly salary slips, bank statement as proof of salary etc. These involve a huge cost to training and placement agencies. Those who have a well-established network in project area could earn better from this opportunity. 

Apart from above, there are other opportunities like providing mobilization assistance, Screening and Selection assistance, Publicity Campaigns, Providing Tour and Travel solutions, Maintaining website and MIS and so on but it depends on the demand and supply of industry. 

नारी शशक्तिकरण या Women Empowerment through Skill Development

नारी शशक्तिकरण शब्द का विस्तृत अर्थ माँ दुर्गा के प्रतिमा पर नज़र डालते ही समझ आ जाता है. माँ अपने भक्तो का पालन और दुष्टों का संहार  करने में पूर्ण रूप से शशक्त है. इस सुबह अवसर पर कौशल उन्नयन अर्थात स्किल डेवलपमेंट में नारी शशक्तिकरण  पर एक नज़र डालते है. 

We feel honored to write that in India, women participation is higher than the men participation in skill development. The active female youths are taking more interest in learning new skills and help their livelihoods touch the new heights every passing day.

Ministry of Rural Development, Government of India launched a special scheme called Roshini under National Rural Livelihood Mission (NRLM). The participation of women in this program is minimum 50%. The guidelines of scheme is available for kind perusal under below mention link:

http://aajeevika.gov.in/sites/default/files/nrlp_repository/roshni-guidelines-in-english.pdf

Further the same ministry of GOI launched DDU-GKY scheme under which women participation is minimum 33%. The guidelines of scheme is available for kind perusal under below mention link:

http://ddugky.gov.in/sites/default/files/SOP/mail%20ddugky%20guidelines%20with%20cover_0.pdf

Similarly Ministry of Skill Development and Entrepreneurship has made the minimum participation of 33% compulsory under their PMKVY/NSDC skill development programs.Now the most interesting facts:

1. Almost all female youths either in group or individual retain in training session for the entire period of course provided the course is actually helpful in skill improvement
2. Once they join the job, retention in job is higher due to less opportunity 
3. Their employer is satisfied they are proven more sincere in comparison to their male counterparts
4. For Training Partner, these candidates are like golden candidates, as they get the lucrative incentive of placements, retention etc and their target is easily covered.

These all above mentioned points makes it clear that the investment done in skill development of women is profit maximization of all the stakeholders. It is actually a social development under win win situation. 

Sector Skill Councills (SSC) wise Details of Class Room & Lab, Trainer & Equipment for due diligence of Training Center

Sector Skill Councils (SSC)

Sector Skill Councils are set up as autonomous industry-led bodies by NSDC. They create Occupational Standards and Qualification bodies, develop competency framework, conduct Train the Trainer Programs, conduct skill gap studies and Assess and Certify trainees on the curriculum aligned to National Occupational Standards developed by them.

Till date, the NSDC Board has approved proposals for 38 Sector Skill Councils. There are approximately 450 Corporate Representatives in the Governing Councils of these SSCs.

For more details of SSCs please visit the website: http://msde.gov.in/ssc.html

Now as the huge number of PMKVY, DDU-GKY and other skill development programs are to be kicked off post Diwali and will be in full swing with the start of new calendar year so it the best time to review list of course in terms of sector, trade, job roles, qualification pack, national occupational standards etc. The market scan of courses to be run at your training center will give add on advantage. You are aware of the profit as common cost norms have divided all courses under three categories. It is all related to the financial gain and competition of market.

For your ready reference, we have placed below the required Class Room, Trainer & Equipment details at one place so that a Training Center is ready as per guidelines and you could allign them before the due diligence of Training Center.

1. For the SSC wise - Job Role wise Classroom and Lab Details: 

http://pmkvyofficial.org/App_Documents/News/SSC%20and%20Job%20Role-wise%20Classroom%20and%20Lab%20Specifications.pdf

2. For SSC wise - Job Role wise Trainer Qualification Criteria:

http://pmkvyofficial.org/App_Documents/News/SSC%20and%20Job%20Role-wise%20Trainer%20Qualification%20Criteria.pdf

3. For SSC wise - Job Role wise Equipment Details:

http://pmkvyofficial.org/App_Documents/News/SSC%20wise%20-%20Job%20Role%20wise%20Equipment%20Details.pdf

No Sevice Tax on Skill Development Programmes

All services provided in relation to skill development programmes shall be exempt from service tax. Post budget announcement this year (2016) it was made clear. 

Under this entry, following services shall be exempt from levy of Service Tax:

Any services provided by :         

(i)  The National Skill Development Corporation (NSDC) set up by the Government of India;

(ii)  Sector Skill Council approved by the National Skill Development Corporation;

(iii) An assessment agency approved by the Sector Skill Council or the National Skill Development Corporation;

(iv) Training partner approved by the National Skill Development Corporation or the Sector Skill Council 

(v) Project Implementing Agency of Deen Dayal Upadhyay-Grameen Kaushalya Yojna (DDDU-GKY) or similar any other programs.

The exemption is available subject to the following two conditions –

1. Services should be provided by specified or approved corporation, agency, partner or council; and
2. Such services should be only in relation to specified programmes or courses

This is a big relief to the stakeholder involved at ground level/remote areas where skill is the need of hour. Further the exemption from service tax has made the entire skill echo system easy access for Training Partner/Assessment and Certification bodies and vendors.

Training Center Infrastructure- Key to Successful Business in Skill Development Industry

A Model Training Center Establishment as per Latest Guidelines-All Projects

Establishment of the Training Center is foundation of a skill development project. As the government has announced common cost norms and guidelines for PMKVY, DDU-GKY and other similar programs, there is specific requirement of infrastructure and equipment.
We have mentioned below the comprehensive requirements for a training center which shall be fit for delivery of training as mentioned in Standard Operating procedures of the various ongoing as well as upcoming projects.

Accreditation Standards have been classified into two parts:

The Training Centres applying for accreditation needs to qualify in all the parameters & standards to get accredited.
1. Common Standards
2. Job Role Specific Standards

Now please find below the details for first Part:
1. Common Standards:

A. Classroom area/ Capacity of Classroom ( For each Classroom):

• Minimum space requirement for each Classroom is 200 square feet.
• Minimum space requirement per trainee in each Classroom  is 10 Square Feet

Laboratory area/ Capacity of Laboratory ( For each Laboratory):

• Laboratory has to meet SSC specific guidelines. 
• In case SSC specific requirements are not given, Minimum space requirement for each Laboratry  is 200 square feet.   
• Minimum space requirement per trainee in each Laboratory  is 10 Square Feet  

Placement /  Entrepreneurship Counselling Cell

• Availability of a demarcated Placement/ Entrepreneurship Counselling Cell , with availability of a dedicated/shared full time Placement Coordinator

Type of Construction of the Building of the Training Centre

• All walls of the Training Centre including Classrooms, Laboratories, Library, Reception etc should be well plastered, colored / dis-tempered/ whitewashed .   
• The walls  and roof  made of Tin sheets are not allowed. The floor of the Training Centre including Classrooms, Laboratories  etc should be cemented and preferably tiled .    (Training Centre which have  pre-fabricated structures and containers are exempted from the above )
• All the Classrooms and Laboratories should be properly ventilated. 
• All the wires and switchboards in the Training Centre should properly covered and secured.

Separate Washroom facility  for male and female trainees 

• Availability of separate washroom facility for male and female trainees

Safe/Clean Drinking Water

• Availability of safe/clean drinking water facility in the form of Reverse Osmosis( RO) /Water purifier/Packaged drinking water dispenser 

Cleanliness and Hygiene

• Availability of a dedicated housekeeping staff at the Training Centre. 
• Availability of a daily checklist /  inspection card as maintained by the Housekeeping Staff 
• Dustbin should be placed in all Classrooms, Laboratories and Reception area .  

Health and Safety Facilities : First- Aid Kit and Fire Fighting Equipment 

• Availability of the First-Aid kit AND Fire Fighting equipment as per below mentioned norms

Aadhar-Enabled Biometric  Attendance System (AEBAS)

Trainer certified in trade as per eligibility criteria mentioned in trade similar agency specified in the Scheme 

Availability of Equipment/ Tools/ Machinery in Laboratory For each Job Role/Trade of Training

For Job Role Specific Standards We shall update our blog shortly.

Challenges in skill development projects for a Training Partner in India

Nowadays skill development is a big buzz. There are more than 10,000 Training Partners involved under various schemes across the country spread in all territories of India. However there are challenges which almost all the Training Providers face.

Industry experts say public perception on skilling and vocational training is still low.  “Skilling is perceived as the last resort meant for those who have not been able to progress in the formal academic system. This mental block has only increased the gap between what the industry requires and what is currently available,” said the project head of an education management firm involved in skill training.

We have listed here some major challenges as per the feedback provided by Training Partners already implementing skill development projects more than a decade.

1. Mobilization

Challenges- The first challenge is the mobilization of the right candidate. As there is target of training specified to be achieved within stipulated time, the Training Providers is inclined towards count completion. They go as per the minimum eligibility to full-fill the norms specified rather than taking the right candidate who actually need the training and further opportunity to explore his skills.

Solutions- The Gram Panchayat Saturation model adopted by Ministry of Rural Develop is helpful to some extent for the purpose of better mobilization. As one youth of the Gram Panchayat get training and placement and start earning a handsome salary, other get inspired from him or her. Awareness about the program is already there since many of the candidates belong from same community

Similar way there are other measures also which could help in mobilization of needy candidates.

2. Training

Challenges- The duration of training is normally 6-8 hours in a day. The candidates feel it boring to be in training for more than 3-4 hours in a day. Now the challenge is to keep them engaged. Further the availability of quality trainers is lesser in remote areas.  The right environment of Training is not developed which in return makes it a wastage of government funds.

Solutions-It is easy to engage youth in technical devices like tablets, mobiles, laptop or desktop with facility of internet. When there is excitement to learn the skill, it becomes easy to retain them in classroom or domain lab. There online learning portals which can be self learned so instead of lecture classes if focus is shifted towards developing the right set of skills within candidates then it shall result better delivery of training.

3. Certification

Challenges- All assessment is to test the proficiency of trained candidates. The language of training and assessment is not same all the time which is a constraint to qualify the assessment for a candidate's. Sometime it becomes difficult for school or college dropouts to learn the lesson. Thus many of these youth decide to leave the training in between.

Solutions-There are tools of assessment which evaluate the various aspects of personality. The assessment process should be designed to test the learning of skills only. It could be in verbal or non verbal or any other form in which the trainees are comfortable.

4. Placement & Retention

Challenge- Almost all the programs of skill development is linked with placement or employment. Here comes the most crucial phase. The candidates complete their training in greed of certificate and other monitory benefits but they due to homesickness and other factors they don't join their jobs.

Post Placement the retention is the only factor which decides the success rate of a project. Around 20-25% of appointed candidates retain their job on an average. There are factors like lack of coordination & motivation from training provider, Support from Parents, work culture at the job place and friend circle at the new place. Further being stranger to the place candidate has to face many challenge.

Solutions-Parent meeting is one the solution before we start placement drives. It shall be helpful to boost the moral of trainees when they are away from home. A coordinator who takes care for the first month at least when they are placed first time is of too much help. The motivation comes from peer group, friends so alumini network also plays a vital role.

These were only few of the challenges in skill development project going on in India at present. The extended support from Government and Local Authorities as well as easy availability of things at the new job location can maximize the retention of candidates in job which is the ultimate goal of these projects.