Skills to compete Post-secondary education and business

Skills to competePost-secondary education and business sustainability in Latin America

A report from the Economist Intelligence Unitsponsored by Dell and FedEx


© Economist Intelligence Unit Limited 20091

Preface

Skills to compete: post-secondary education and business sustainability in Latin America is a report written by the Economist Intelligence Unit and sponsored by Dell and FedEx. The Economist Intelligence Unit conducted the analysis and wrote the report. The fi ndings and views expressed in the report do not necessarily refl ect those of the sponsor.

The report is based on a survey of 192 senior executives in Latin America, in-depth interviews with senior executives in the region and desk research. The author is Thierry Ogier and the editor is Katherine Dorr Abreu. Mike Kenny is responsible for the layout. The Economist Intelligence Unit would like to thank all those who contributed their time and insight to this project.

October 2009



2

Introduction

P rofound changes in the world economy over the last 20 years have bound Latin American businesses ever more tightly into a web of relationships that extend around the globe. To compete effectively in

an environment where agility, low cost and fl exibility can provide an edge, companies in the region need workers with skills adapted to a globalised, networked and collaborative workplace.

Recent Latin American graduates entering the workforce are often unprepared for these demands, undermining companies’ long-term chances of success, according to an Economist Intelligence Unit survey conducted in June 2009 and sponsored by Dell and FedEx. In the survey, executives identify a lack of both “hard” and “soft” skills among new workers. (See the sidebar on page 5 for the defi nitions of soft and hard skills used in this report.)

“Companies often have to start from scratch and help workers become good professionals,” says Martin Gutierrez, chief executive offi cer of Intrabase, a Brazilian marketing company, echoing a widespread concern among executives in Latin America. The gaps are particularly acute in terms of such “soft” skills as

“Companies often have to start from scratch and help workers become good professionals… The cost ends up being transferred to the companies.” Martin Gutierrez, chief executive offi cer, Intrabase.

A better-educated workforce contributes to growth and effi ciency(Top ways that better education of the workforce can help business competitveness, by % of respondents)

Growth Increases ability to innovate 58 %

Improves ability to identify new opportunities 48 %

Improves understanding of customer needs 36 %

Increases awareness of the global market 25 %

Improves access to capital 5 %

Effi ciency Improves effi ciency 43 %

Increases productivity 39 %

Increases ability to work with international teams 24 %

Governance Improves awareness of emerging risks 12 %



critical thinking, problem solving and life skills (for example, negotiating, networking and working with cultural diversity). Demand for these abilities has grown as globalisation has forced companies to change their business practices.

Executives agree that the private sector has an important role to play in preparing students, and fully recognise the role of education in improving business competitiveness. Education is seen as especially important to companies’ growth prospects: 58% of respondents say it improves fi rms’ ability to innovate and 48% say it contributes to identifying new opportunities.

In previous decades, the region has made signifi cant progress in expanding access to education, according to a report published in 2006 by the Inter-American Development Bank (IDB), Education,

Science and Technology in Latin America and the Caribbean. The level of education in the labour force increased to an average of six years in 2000, from 3.5 years in 1960. Nevertheless, although 71% of young Latin Americans are enrolled in secondary schools, only 34% reach tertiary education, according to the United Nations Educational, Scientifi c and Cultural Organisation (UNESCO).

This gap is signifi cant: according to the IDB report, “workers in a knowledge economy require 12 years of formal education to ensure a decent standard of living and keep pace with the demands and changes of an increasingly globalized labor market”. Despite its progress and the notable performance of some countries, Latin America as a whole is falling further behind the more developed countries in this area. Some of its major economies lag considerably behind emerging Asia as well.

This weakness is a drag on the region’s private sector, undermining its global competitiveness and prospects for future growth. Our survey shows that, in order to address this challenge, companies, which

Who took the survey?

The survey was fi elded among senior executives based in Latin America and the Caribbean. The 192 respondents represent 22 countries, with the largest contingents from Brazil (32% of the total) and Mexico (16%). Their companies are headquartered in 33 countries worldwide: 22% in Brazil, 11% in the United States and 10% in Mexico.

Their organisations are either small companies, with annual revenue of US$250m or less (56% of respondents), or large companies, with revenue of more than US$500m per year (44%). All of the large companies operate in more than one country and 75% are present in more than ten countries.

Respondents represent a wide range

of industries and fulfi l a broad range of functions: 43% are in strategy and business development, 36% in general management, 29% in fi nance, and 23% in marketing

and sales. Forty-two percent are C-level executives.

For more detail, see the Appendix of this report.

31

16

10

8

7

27

Brazil

Mexico

Argentina

Colombia

Chile

Others

Source: Economist Intelligence Unit survey, July 2009.

In which country are you personally located? (% respondents)



4

must often remediate the lack of skills, are willing to engage with post-secondary educational institutions to help close the gap. This confi rms the fi ndings of a report published by the Economist Intelligence Unit in 2008 that “corporations operating in the region are becoming directly involved with (primary and secondary) schools not out of charity, but because they see it as important to their business”.1

Average years of schooling for the population aged 15 and over

Source: Inter-American Development Bank.

South Korea

Ireland

Mexico

ChinaLatin America

Brazil

0

1

2

3

4

5

6

7

8

9

10

11

1960 1965 1970 1975 1980 1985 1990 1995 2000

1. Economist Intelligence Unit, In search of business sustainability: Latin American education and the role of the private sector, June 2008, sponsored by FedEx Express.



According to survey data, critical thinking, oral and written communication, and life skills top the list of skills missing in Latin America, a fi nding that is closely aligned with what respondents consider the

most needed skills in the current global business environment. More than 70% of respondents say that critical thinking, problem solving and life skills are very important in the workplace (76%, 73% and 72%, respectively). Globalisation is a driving force behind the rising importance of soft skills, as executives in Latin America have come to realise that they need a more culturally sophisticated workforce—staff must be able to interact with other professionals around the world.

A few institutions are taking this into account. “Some universities are already requiring that students study at least one semester abroad. This is defi nitely helping them to understand that we live in a global economy and what we need to succeed in that market,” says Didier Mena, chief fi nancial offi cer of Financiera Independencia, a micro credit company in Mexico City, and a former managing director for Central America at Credit Suisse. Mr Mena’s fi rm requires employees to have the breadth of skills needed to deal with the international fi nancial system, where Financiera Independencia obtains resources for lending, as well as with its clients, the urban low-income segments of the Mexican population.

Studying abroad is a good step towards gaining a broader perspective, but not all workers have the

Needed: soft and hard skills

Hard vs. Soft Skills

Skills are often classifi ed as “hard” and “soft”. Hard skills are specifi c and can be easily taught.

They are actual knowledge, technical or intellectual, and are typically quantifi able and measurable. In this report, they include traditional knowledge areas such as the STEM subjects—science, technology,

engineering and mathematics—but also encompass other measurable skills such as language profi ciency and technological skills.

Soft skills are more diffi cult to measure and quantify. Often called “people” or interpersonal skills, they include critical thinking, leadership, problem-solving and life skills—which include negotiating, networking, and working with cultural diversity.

“The key for the future in an emerging country is to train people with technological skills—otherwise we will soon have to start importing skills.” Didier Mena, chief fi nancial offi cer, Financiera Independencia.



6

opportunity—nor does it guarantee the development of these critical skills. “Some graduates do not have any critical thinking abilities at all,” says Mr Gutierrez of Intrabase. “The [training] cost ends up being transferred to the companies.” Mr Gutierrez, who studied at both Brazilian and US universities, highlights a sort of Latin American paradox: “Personal relationships can make or break a business deal here. It is important to set up a network and keep this networking going. Yet, I have not seen this kind of stimulus in local universities.”

In the next fi ve years, soft skills will become more important, especially critical thinking (according to 81% of respondents), life skills (80%) and problem solving (78%). “A technical background is obviously important in the industrial sector, but we also think it is fundamental that staff have behavourial skills, in terms of relationships, negotiation, fl exibility and the ability to have a comprehensive vision,” explains Hanna Meirelles, global recruitment manager at Vale SA, a Brazilian mining giant.

This is a global trend, highlighted in research published in March 2009 by the Economist Intelligence Unit.2 Yet, Latin American respondents are more likely than their global peers to cite hard skills as an area that also needs improvement: multiple languages, technological profi ciency, and science, technology, engineering and mathematics (STEM) subjects.

AeroMéxico, the Mexican airline with annual revenue of US$1.9bn, faced a lack of such hard skills when it decided to set up a maintenance base in Guadalajara, Mexico’s second-largest city, in 2006. In order to staff the state-of-the-art facility designed to service its own fl eet and that of other airlines, the company needed more skilled aviation technicians. “We had to hire people and then train them to do the job,” says


Critical thinking

Life skills, such as negotiation, networking, collaboration, working with cultural diversity

Problem solving

Leadership

Oral and written communication

Understanding of financial implications of business decisions

Multiple languages

Science, technology, engineering and math (STEM)

Technological proficiency

Statistical analysis

“Soft” skills are must-haves, but hard skills are gaining most ground (% of respondents who considered each skill “Very important” today and in five years.)

76 81

72 80

73 78

66 73

65 66

60 65

49 63

43 55

40 53

23 27

TodayIn five years

Difference

2. Economist Intelligence Unit, Global education 20/20: What role for the private sector?, March 2009. A report sponsored by Cisco, based on a global survey of 123 private-sector executives and 88 respondents from educational institutions.



Ricardo Sanchez Baker, the airline’s chief fi nancial offi cer. The company took a collaborative approach to solving the problem. To expand the available pool of

qualifi ed personnel, it worked with the state government of Jalisco, providing information on the types of skills that were needed and the kinds of careers available to those undergoing training. Three years later, the Universidad Tecnológica de Jalisco, in a partnership with the government of the State of Jalisco and with support from Alas de America, a training centre that is partly owned by AeroMéxico, has a course in place to train specialised workers.

“We defi nitely have to do a better job in terms of hard skills, such as engineering and maths,” says Mr Mena of Financiera Independencia. “The key for the future in an emerging country is to train people with technological skills—otherwise we will soon have to start importing skills.” For Latin America to meet the demands of the new global business environment, the challenge of training people in both hard and soft skills is particularly acute.



8

There is little doubt among respondents that the private sector needs to be involved in education. Yet private-sector collaboration in its current form is not adequate. Indeed, the survey shows a big

discrepancy between the role companies play today, and the role they should be playing. The private sector’s main role today, according to 53% of respondents, is establishing privately

owned and operated educational institutions, in effect carrying out one of the traditional functions of government. Private post-secondary institutions are common worldwide, since governments often focus on primary and secondary education. Yet in Latin America these schools are often no better than public schools in preparing students for the workplace. Andrés Bernasconi, of the Universidad de Talca, Chile, acknowledges that the tertiary education sector in Latin America often suffers from “proliferating private institutions unengaged in conventional academic ends, part-time and poorly qualifi ed instructors, weak admission and promotion standards, inadequate infrastructure, poor libraries, and programs concentrated in inexpensive fi elds.”3

Rather than operating educational institutions, the private sector should work in public-private partnerships related to education, share best practices of change management, provide fi nancial support for programmes to enhance teacher qualifi cation and share new technology solutions, according to the survey. Through collaboration, companies can help to address the defi ciencies identifi ed in the survey: teacher qualifi cations in teaching soft skills and subject matter (77% and 59% of respondents, respectively, think these areas require “signifi cant” improvement), student qualifi cations in soft skills (67%) and technology in the classroom (67%).

AeroMéxico exemplifi es the potential of such collaboration. By working with the government to develop a specialised course, it now has access to a cadre of qualifi ed employees, and provides jobs in the region. “Communication with the authorities is the key,” says Mr Sanchez Baker.

By conducting a dialogue with educational institutions, the private sector can help to shape the content of education. “Businesses should give more feedback to universities in terms of the types of skills

Falling off the mark

3. Center for International Higher Education, Private higher education with an academic focus: Chile’s new exceptionalism, Boston College, 2003.




Establishing privately owned and operated educational institutions

Providing financial contributions

Informing policy debate

Improving quality of education through products and services

Informing education system of workforce trends

There should be no role for the private sector in education

Shaping educational curriculum

Sharing new technology solutions

Financially supporting programmes to enhance teacher qualification

Developing a roadmap for leadership

Working in public-private partnerships related to education

Sharing best practices of change management

The private sector should change its role in Latin America’s post-secondary education(% respondents)

53 13

34 27

17 18

19 21

18 21

2 5

23 29

18 28

16 32

9 28

16 35

11 32

Performs todayShould perform

Difference

Teacher qualifications in teaching “soft” skills such as critical thinking, leadership

Student qualifications in “soft” skills such as critical thinking, leadership

Technology in the classroom

Teacher qualifications in subject matter

Curricula

Qualification of incoming students in subject matter

Teaching materials

Infrastructure (buildings, etc.)

Teachers and students lag in soft skills(% of respondents who think this area needs significant improvement)

77

67

67

59

54

45

40

37 Source: Economist Intelligence Unit survey, July 2009.



10

needed in the medium to long term,” says Mr Mena. He acknowledges that companies must fi nd the right channels of communication to provide input, as to both the content and skills they need to teach their students.

One-third of respondents in Brazil say that the private sector should have a role in shaping educational curriculum (the highest proportion in the sample). But only a few are actually putting this into practice. Vale is one such fi rm: it has partnered with 200 schools and universities in Brazil to ensure a steady stream of qualifi ed workers. “We believe in partnerships with public and private institutions,” says Ms Meirelles. (See “Vale invests in people” above.)

CASE STUDY: Vale invests in people

Vale SA, a Brazilian mining company with US$38bn in revenue in 2008 and more than 57,000 employees worldwide, took a giant leap forward when it acquired Inco, a Canadian mining giant, in 2006. The move made Vale the second-largest diversifi ed mining company in the world, and the largest private company in Latin America.

The very remote regions where some of its mines and other operations are located often lack the basic infrastructure needed for Vale’s workforce: housing, schooling and healthcare. To meet those needs, Vale has partnered with private schools, for example, to provide primary and secondary education for workers’ families.

But Vale also needs to ensure the availability of highly qualifi ed professionals, and has therefore implemented partnerships with public and private educational institutions. Vale has successfully approached public universities in the states of Minas Gerais and Maranhão (where it operates) to launch graduate programmes in

mining, port and railway engineering and logistics—areas directly related to its businesses. The initiative has involved university professors, Vale’s own executives who act as part-time teachers, and consultants. Infl uencing curriculum has helped the company to get access to a qualifi ed workforce.

In 2003, Vale created a formal internal education department called Valer, which means “worth”. It is part of the company’s strategy for guaranteeing the sustainability of its business and is responsible for disseminating Vale’s values and knowledge internally and externally. In its fi rst fi ve years, Valer invested US$12m in professional training centres outside the company and has reached about 19,000 people. The company currently has agreements with some 200 schools and universities in Brazil, including those in the mineral-rich state of Pará (in the Amazon region), where Vale has already sponsored 84 masters and doctorate degrees.

“It is better to be a partner than to set up an institution,” says Hanna Meirelles, global recruitment manager at Vale. “Some of these students may infl uence public policy in the future. There is a greater power of infl uence than if we were just doing it internally.”



Abílio Diniz, the 72-year-old chairman of Pão de Açúcar, the largest supermarket chain in Latin America, and a respected business leader in Brazil, has launched a fresh initiative to infl uence the

way students are prepared for the workforce. He has approached two high-profi le business schools in São Paulo to set up a new course for young graduates. “There are no leadership courses in Brazil,” Mr Diniz told Valor Econômico, a Brazilian daily business newspaper, in an August 2009 interview. “I am a leader and I can pass this experience along.” The four- to six-month course would train leaders and give students a taste of the real world.

This may be the best way for students to get the skills they need, according to our survey. Almost 70% of respondents say that “university research programmes that explore real-world situations or problems” are most effective in improving access to important skills. Bringing the workplace into the classroom, for example by recruiting part-time teachers among corporate professionals, ranks second as an effective tool to train students. Yet only 28% of respondents seem willing to “encourage employees to interact through part-time teaching and others” as a way to help post-secondary programmes prepare students for the workforce—possibly because they are short of skilled staff in their own companies.

Investment in training does not stop there, however: 78% of respondents say that companies must also invest in specialised in-house training programmes. More than one-half report that their fi rms already implement targeted in-house programmes to train newly hired personnel in specifi c skills. Companies also invest in their employees on an ongoing basis: 39% subsidise continuing education at local institutions, while 30% provide access to virtual education programmes. Indeed, the survey points towards a high level of acceptance of e-learning: 43% of respondents picked the rise of virtual education, such as e-learning, as among the top three most important trends in post-secondary education in the next fi ve years.

Getting real



12

Finding daylight between large and small companies in Latin America*

What does a company with US$10bn in annual revenue have in common with one that sells US$200m each year? When it comes to executives’ views on the skills needed to compete and the quality of the potential labour pool, the similarities are surprising. The survey of large and small companies in Latin America showed a clear alignment between the two groups on the major trends in post-secondary education in the region, the importance of education in improving business competitiveness and the challenges of fi nding qualifi ed candidates among recent graduates of post-secondary programmes.

There are differences in emphasis, however. Soft skills, particularly critical

thinking and life skills, are highly desirable regardless of company size, and will still be in demand in fi ve years’ time. But small companies also put a premium on oral and written communication, as well as science, technology, engineering and mathematics (STEM) subjects. For larger companies, an understanding of the fi nancial implications of business decisions and leadership round out the top four skills needed in today’s business environment.

The survey also shows that size infl uences views on how companies can help post-secondary programmes prepare students for the workforce. Small companies focus on bringing students into the workplace, either through work-study programmes or internships, whereas larger companies focus on working within institutions, either helping to develop curricula or funding special programmes to develop soft skills within schools.

All companies recognise that they must

invest in their new hires. Small companies are more likely to bring these employees up to speed through training by supervisors. Although this is also an important tool for large companies, these fi rms more often have targeted in-house programmes to train new hires in specifi c skills and in-house “universities”—both of which can represent signifi cant investments in time and resources. Mentoring programmes, which require the dedication of time by senior employees, are also more common in large companies.

The differences are not absolute, however, but rather of degree. They may refl ect such things as a company’s ability to attract the most highly qualifi ed candidates, the resources available to invest in internal training and the role the fi rm plays in the community.

*Of the 192 executives surveyed in Latin America, 107 work in small companies with annual revenue of less than US$250m, and 85 work in large companies with revenue of more than US$400m per year.

How can the private sector help education? Small and large companies do not see eye-to-eye(Top three ways companies can help host-secondary programmes prepare students for the workforce, by company size)

Rank Latin America overall Small companies Large companies

1 Developing work-study programmes that bring students into the workplace (46%)

Developing work-study programmes that bring students into the workplace (51%)

Working with post-secondary institutions to develop curricula (44%)

2 Funding special programmes to develop “soft” skills within post-secondary institutions (40%)

Funding special programmes to develop “soft” skills within post-secondary institutions (39%)

Funding special programmes to develop “soft” skills within post-secondary institutions (41%)

3 Working with post-secondary institutions to develop curricula (40%)

Internships for post-secondary students (37%) Developing work-study programmes that bring students into the workplace (39%)



For companies vying for space in the highly competitive world market, access to a workforce fully able to operate in an increasingly collaborative and networked business environment is crucial. But

the skills gaps that exist in Latin America undermine the competitiveness of the region’s fi rms. These gaps lie both in the hard skills needed to develop, produce and distribute goods and services coveted by businesses and consumers worldwide, and in the soft skills—critical thinking, problem-solving ability and life skills—that will enable companies to respond to an evolving market. The costs of inadequately prepared workers fall squarely on companies: they are less able to compete, and must spend time and money to bring new hires up to speed.

Although the private sector recognises the challenges, it is still grappling with how best to infl uence the quality of workers emerging from post-secondary educational institutions. Our research suggests that the most effi cient way for companies to reduce the skills gap is to help post-secondary institutions forge a link between educational programmes and the real world.

l Knock down walls. “You cannot lose the opportunity to set up a link between the corporate world and the university,” says Mr Gutierrez of Intrabase. Companies can spur post-secondary institutions to explore real-world situations by such efforts as encouraging employee participation in educational programmes and offering students hands-on experience through internships and work-study programmes.

l Invest in partnerships. Companies should back public-private partnerships related to education. These range from providing equipment needed to raise students’ technical capacity to contributing to curricula development with a view towards preparing students for the workplace.

l Traditional methods may still do the trick. Whenever possible, companies should lobby the government or local authorities to strengthen the quality of education, according to Mr Sanchez Baker from AeroMéxico.

By infl uencing the shape of education, companies can extend their reach beyond their walls, into their communities. The private sector can also have a direct impact. Creating innovative partnerships with the public sector can help to ensure that post-secondary institutions have the physical and human resources needed to prepare students with the broad gamut of skills and knowledge—hard and soft—needed for the 21st century. The benefi ts accrue to both companies and the communities in which they operate.

Conclusion

14 Economist Intelligence Unit 2009

AppendixSurvey results


Appendix: Survey resultsPlease note that totals may not equal 100% due to rounding.

1 Very important 2 Somewhat important 3 Unimportant Don’t know/Not applicable





Critical thinking


Leadership


Multiple languages

Problem solving

In your opinion, which skills are in most demand by employers today? Rate on a scale of 1 to 3, where 1= Very important and 3=Unimportant. (% respondents)

43 44 8 4

23 55 19 3

65 32 3 1

60 37 3 1

76 19 5 1

40 54 6

66 30 3 1

72 26 2 1

49 43 7 1

73 23 2 2

1 Very important 2 Somewhat important 3 Unimportant Don’t know/Not applicable





Critical thinking


Leadership


Multiple languages

Problem solving

In your opinion, which skills will be in most demand by employers in five years? Rate on a scale of 1 to 3, where 1= Very important and 3=Unimportant. (% respondents)

55 36 6 2

27 53 18 2

66 30 4 0

65 31 3 1

81 19 0

53 41 6 1

73 24 3 0

80 17 3 0

63 34 2 1

78 21 1 0




Increases ability to innovate

Improves ability to identify new opportunities

Improves efficiency

Increases productivity

Improves understanding of customer needs

Increases awareness of the global market

Increases ability to work with international teams

Improves access to capital

Improves awareness of emerging risks

Other

Better education does not lead to improved business competitiveness

What are the primary ways that better education of the workforce leads to improved business competitiveness? Select up to three.(% respondents)

58

48

43

39

36

25

24

5

12

2

1

12

72

14

2

To a great extent

To some extent

Not at all

Don’t know/Not applicable

In your country, to what extent do graduates of post-secondary programmes come equipped with the skills sought by employers? (% respondents)

Critical thinking


Life skills, such as negotiation, networking, collaboration and working with cultural diversity


Leadership

Multiple languages


Problem solving



Other

Which skills are missing?(% respondents)

50

34

33

27

27

22

21

18

16

8

1

Greater focus on professional development

The rise of virtual education, such as e-learning

Use of technology in the classroom

More private sector collaboration with public institutions

Commoditisation of higher education

Increased government investment in education

Increasing student and professor exchanges between countries

Decline in quality of post-secondary education

New regulatory changes

Less public financing of education

Other


What are likely to be the most important trends in post-secondary education in the country where you are located in the next five years? Select up to three.(% respondents)

44

43

36

35

29

28

22

16

11

10

2

2




1 Significant improvement needed 2 Slight improvement needed 3 No improvement needed Don’t know/Not applicable

Technology in the classroom

Curricula

Teaching materials

Teacher qualifications in subject matter

Teacher qualifications in teaching “soft” skills such as critical thinking, leadership

Qualification of incoming students in subject matter

Student qualifications in “soft” skills such as critical thinking, leadership

Infrastructure (buildings, etc.)

In your opinion, which areas of higher education need the biggest improvements in the country in which you are located? Rate on a scale of 1 to 3 where 1=Significant improvement needed and 3= No improvement needed. (% respondents)

67 29 4

54 41 3 2

40 52 6 2

59 36 5 1

77 21 2 0

45 48 7 1

67 30 2 1

37 49 12 2

Performs today Should perform

Informing policy debate

Shaping educational curriculum

Providing financial contributions

Sharing new technology solutions

Establishing privately owned and operated educational institutions

Working in public-private partnerships related to education

Improving quality of education through products and services

Sharing best practices of change management

Developing a roadmap for leadership

Informing education system of workforce trends

Financially supporting programmes to enhance teacher qualification

Other

There should be no role for the private sector in education


What role does the private sector perform today in post-secondary education in the country in which you are located, and what role should it perform? Select up to three in each column. (% respondents)

17 18

23 29

34 27

18 28

53 13

16 35

19 21

11 32

9 28

18 21

16 32

2

2 5

2 1




University research programmes that explore real-world situations or problems

Part-time teachers recruited among corporate professionals

Semester abroad programmes

Participation of universities in international research programmes

International exchange programmes for teachers

Inter-school competitions centered on real-life issues

On-campus forums that discuss careers and requirements for success

Online courses to supplement post-secondary curricula

Teaching materials developed for global markets

Other


In your opinion, which of the following actions would best improve students’ access to the skills needed for an organisation to be competitive globally? Select the three most important.(% respondents)

69

47

36

32

32

24

21

11

17

3

1

Targeted in-house programmes to train new hires in specific skills

Training by supervisor

Subsidies for employees’ continuing education at local institutions

Mentoring programme

Access to virtual education programmes

In-house “university”

Other, please specify

My company only hires fully qualified employees

My company does not provide any training programmess for new employees


What measures does your company take to improve the skills of employees hired straight out of post-secondary programmes? Select all that apply.(% respondents)

52

47

39

36

30

28

1

5

8

7

Developing work-study programmes that bring students into the workplace

Funding special programmes to develop “soft” skills (eg, leadership workshops) within post-secondary institutions

Working with post-secondary institutions to develop curricula

Partnering with post-secondary institutions to provide technology infrastructure

Internships for post-secondary students

Funding special programmes to develop students’ technical skills (eg, financial literacy workshops; technological skills)

Encouraging employees to interact with post-secondary institutions through part-time teaching, speaking engagements and other ways

Funding programmes to train teachers in the use of new teaching techniques and tools

Mentorship programmes for post-secondary students

Other


What are the most important ways companies can help post-secondary programmes prepare students for the workforce? Select the three most important.(% respondents)

46

40

40

32

32

32

28

24

13

1

1




Agree Disagree Don’t know

Improving the quality of education is important to the sustainability of business in my country

Globalisation will make it more important for students to develop skills such as collaboration, negotiation and networking

The private sector must offer specialised in-house training programmes to overcome skills gaps

The rise of educational methods such as e-learning and virtual classrooms may undermine the quality of higher education

Teaching methods such as team projects, case studies and e-learning are an essential complement to traditional educational tools

Companies should invest in activities that will improve the general qualifications of their suppliers, customers and other stakeholders

It is the responsibility of post-secondary institutions to train students in soft skills

Please indicate if you agree or disagree with the following statements. (% respondents)

99 1

97 2 1

78 15 7

26 65 8

92 5 3

73 18 8

64 27 9

Brazil

Mexico

Argentina

Colombia

Chile

Uruguay

Ecuador

Peru

Trinidad and Tobago

Venezuela

Bolivia

El Salvador

Guatemala

Panama

Honduras, Jamaica, Bahamas, British Virgin Islands, Costa Rica, Nicaragua, Paraguay, Puerto Rico

In which country are you personally located?(% respondents)

31

16

10

8

7

4

3

3

3

3

2

2

2

2

1

Board member

CEO/President/Managing director

CFO/Treasurer/Comptroller

CIO/Technology director

Other C-level executive

SVP/VP/Director

Head of Business Unit

Head of Department

Manager

Other

Which of the following best describes your title? (% respondents)

3

28

4

1

6

9

4

9

21

16




11

14

75

2 to 3

4 to 9

More than 10

In how many countries does your company operate?(% respondents of large companies only)

Brazil

United States of America

Mexico

Argentina

Colombia

Chile

Germany

Switzerland

Uruguay

Ecuador

Spain

Trinidad and Tobago

Peru

Bolivia

Guatemala

United Kingdom

Venezuela

El Salvador, Honduras, Norway, Panama, Sweden, British Virgin Islands,Canada, Comoros, France, Jamaica, Japan, Luxembourg, Mayotte,Puerto Rico, Saudi Arabia, Togo

In which country is your company headquartered?(% respondents)

22

11

10

8

6

4

4

3

3

3

3

3

2

2

2

2

2

1

56

8

9

8

18

$250m or less

$400m to $1bn

$1bn to $5bn

$5bn to $10bn

$10bn or more

What are your organisation’s global annual revenues in US dollars? (% respondents)

Financial services

Professional services

Education

Energy and natural resources

Manufacturing

IT and technology

Government/Public sector

Consumer goods

Telecommunications

Construction and real estate

Agriculture and agribusiness

Transportation, travel and tourism

Entertainment, media and publishing

Healthcare, pharmaceuticals and biotechnology

Retailing

Chemicals

Logistics and distribution

Automotive

Aerospace/Defence

What is your primary industry?(% respondents)

14

14

9

9

8

6

5

5

5

4

4

4

3

3

3

2

2

1

1




Strategy and business development

General management

Finance

Marketing and sales

Customer service

Information and research

Risk

Operations and production

Human resources

R&D

Supply-chain management

IT

Legal

Procurement

Other

What are your main functional roles? Please choose no more than three functions. (% respondents)

43

36

29

23

10

10

10

8

7

6

5

4

3

2

9

45

9

10

9

12

15

Less than 500

500 to 1,000

1,000 to 5,000

5,000 to 10,000

10,000 to 50,000

More than 50,000

Approximately how many employees does your organisation employ globally? (% respondents)

Whilst every effort has been taken to verify the accuracy of this information, neither The Economist Intelligence Unit Ltd. nor the sponsors of this report can accept any responsibility or liability for reliance by any person on this white paper or any of the information, opinions or conclusions set out in the white paper.Co

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.com

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