Global Trends

Implications on the Labour Market

Roland Sommer, Federation of Austrian Industries

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Globalisation• Triggers• Global Innovation Networks and Supply Chains

Demographic Changes

Converging Technologies and Research Fields

Increasing Qualification Demands (in Europe)

Content

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Globalisation describes an ongoing process by which regional economies, societies and cultures have become integrated through a globe-spanning network of exchange.

Triggers of economic globalisation: Removal of trade barriers (GATT and WTO) Increased competition Technology development (ICT)

Globalisation and geographic fragmentation of supply chains

International division of labour

Economic growth via FDI

Globalisation

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Global Innovation Networks

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Global Innovation Networks

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Global Production Networks

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Global Production Networks

Universities and Research Institutions become integral parts of innovation networks

International division of labour

Global search for talent

“Research follows production”

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Demographic Change

Source: United Nations, World Population Prospects (2003)

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Demographic Change

Source: United Nations, World Population Prospects (2003)

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Networks of Cooperation in Basic Research

Source:FAS Research, Netzwerke der Wissensproduktion

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Networks of Cooperation in Applied Research

Source:FAS Research, Netzwerke der Wissensproduktion

Trans- and interdisciplinary approaches

Companies increasingly become „integrators“ of knowledge

Innovation becomes faster, riskier, more complex and more expensive

Business model innovations

Social innovations

Trends

Qualification

Future supply trends

Source: Cedefop, Future Skill Supply in Europe, 2009

1. What are the implications in the presentation for the future role of universities in your country?

2. Where do you see the main challenges? Legislative, academic, administrative, didactic, financial, cultural?

3. How can universities and employers engage with one another?

4. How can their respective needs and expectations be better understood and met?

5. How can the university develop employability skills in students?

6. Should they become a core part of the student experience?

7. How can a balance be achieved between focus on employability and more traditional academic learning?

QUESTIONS

Building a Portfolio of Skills

Background Less lifetime jobs

Temporary working Project-based work Less job security More job hopping Increased poaching

Often several jobs at one time Fast changing environment, skills can quickly become obsolete

The Portfolio View on Skills

Active Management of Skills

The Portfolio View of Skills II

High incomeLittle learning

High learningLittle income

Training:e.g.:

- Master- Post Graduate

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Little incomeLittle learningHigh potential

High incomeHigh learning

Highly dynamic markets (e.g. hybrid cars)

Complete change of business models (e.g. music industry)

Trend and risk analyses is increasingly defective and short term oriented

Robustness versus efficiency

Specific knowledge versus broad skills

Future skills demands cannot be forecasted

Problems, companies encounter

Employability are skills, knowledge and attitudes that can take to any work situation and have the ability and willingness to continuously adapt and learn. This includes:

Self Management

Teamworking

Business and Customer Awareness

Problem Solving

Communication and Literacy

Application of Numeracy

Application of Information Technologies

Entrepreneurship/Enterprise

What Companies Need … Employability

… and additionally

Positive Attitude

Work Experience

Important Factors for Recruitment

Source, CBI, 2009

Level of Employability SkillsThe Company’s View

Source, CBI, 2009

Level of Employability SkillsThe Student’s View

Source, CBI, 2009

Cooperation with universities and public research organisations Cooperation projects with university Industrial PhD Joint Master theses Grants Work placements for students

Technology scouting

Joint curriculum development (where possible)

New employment media

What companies do …

Training graduates that are recruited

Improving management skills

Internal job rotation schemes

1. What level of commitment towards skill upgrading and curriculum development is required by the university?

2. Whose responsibility is it to develop employability skills?3. Which stakeholders should be involved in curriculum design?4. In one project (REFLEX) the 5 areas of competence identified for

graduate success are: professional expertise, functional flexibility, innovation and knowledge management, mobilisation of human resources, international orientation. How can the curriculum be designed and delivered to produce these competences?

5. What extra-curricular activities can contribute to developing employability skills?

6. How can diverse needs of the student population be accommodated?

7. What models of best practice exist?

QUESTIONS