Sustainable Financing Alternatives 2

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    SUSTAINABLE FINANCING ALTERNATIVESFOR VOCATIONAL HIGH SCHOOLS

    by Machmud Sugandi

    Bali

    Indonesia, July 7-8 2008

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    It is assumed that vocational high schools need high financing than otherhigh schools (Klein, 2001). This statement is according to the theoretic andempiric study which is found in the field. It is because practice learningneeds more funding than theoretic-learning. This high financing needs dueto skills-competencies process which is done in practice-learning,meanwhile in cognitive-competencies it is more theoretic. Practice-learningneeds much funding to buy workshop equipment, workshop materials,

    maintain the equipment, for hiring the technicians and, power and fuelsupply. Financial support for the vocational high school learning process in

    Indonesia, classified into: (1) local and state government, (2) localcommunity, and (3) block grant.

    The variable-fund such as from local community, collaboration with industry,

    production income, and block grant are easily influenced by external factor.Meanwhile, fix-fund from local and state government is limited.

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    The alternatives solution to making out these matterscould be done in the learning process or when the studentgraduated as follows:

    First, applying production-based learning or production-based training through competence-learning for thestudent in the last grade in doing productiveworkshop in their own group.

    Second, providing alternate capital for the potential

    graduate students and technical assistance for themwith entrepreneurship potential.

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    Basis and Objective of Fund:

    Amendment Constitution of 1945 Republic Indonesia number fourth,National Education System of Law No. 20 year 2003, and governmentregulation No. 19 year 2005 about Standard National of Education. It isstated that the nation provide at least 20% of their national and local income

    to commit education national learning process. The aim of this skill-learning process could make a benefit for the person as

    well as the society This personal and social benefit lead us for the concept of funding basis

    which could be as the answer of some questions such as Who have theresponsibility in financing vocational education or vocational training?

    According to the social impact, there is stated that the government has theresponsibility in financing the educational or training process. Meanwhile,according to personal benefit, there is a concept that there should be aprivate financing.

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    According to Gasskov (2000: 193), the government position in giving equalaccess for the vocational education is unique, equality in education processand training can be reached through these following financing mechanism:

    1. giving learning or training and giving free job offer or with a low fee for everybody who wants to get a skill in public school around the country,

    2. training voucher in the form of education service and training for the young

    people for the short future, and

    3. giving the scholarship for them who have low income and have not access tofollow the program.

    The government funding for the vocational high school in Indonesia could becategorized into:

    1. Operational subsidy for vocational education process which given regularly andequal to every school according to the variable of the student in every grade,and

    2. Grant funding to the school according to their program in a competitive way.

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    Concept of private finance by the student and the employer is a kindof direct contribution of the learning process or training process, thecontribution of employer as the impact of profit from this learning ortraining program.

    According to Gasskov (2000; 197), individuals finance training

    through;1. Fees paid for courses,2. Accepting reduced wages during training periods at enterprises,3. Training after working hours, and4. Repayment of training loans.

    Private financing is very susceptible because it is depends on parentsfinancial ability, meanwhile most of the students of vocational highschool come from under middle-class which see that education is nottheir priority in life.

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    The School learning in vocational high school has own characteristic than high school.In this school, the practice learning gets the most portions than theoretic learning. The

    students competency since the general level to qualified level are the student skill-competency in observing productive material, solving the practice problem, and easilyadapting the filed work or in reaching specification of the product. The learningactualization of the student in reaching psychomotor domain is using production-based learning approach.

    Production-based learning or usually called production-based training is a kind of

    education or training in school through some production of good or service or make amaterial component of a certain industry according to specification of the product inthe market. According to Sasmita (2007:207-212), the purpose of this production-based learning: (1) create a skilled labour which are needed in industry as well ascould produce a saleable product, and (2) engraft productive experience in developingentrepreneurship motivation in creating a commercial service or product. In line withthis, Directorate Education Vocational High School (1999), states that production-

    based learning is a learning-skill process which is created and done according toprocedure and work standard in a real job, in order to create product or serviceaccording to market demand.

    There are another learning approach which have the same final purpose withproduction-based learning, such as a project-based learning and work-based learning.

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    The reason of searching the alternate capital is a limited financing donation from thestate or local government, and susceptible donation from the students, localcommunity, and the industry or production unit. The vocational high school togetherwith the sponsor make collaboration in crating a new innovation that is providingalternate capitals for the potential graduate student. Therefore, the student couldestablish their own business according to their competency, as well as build up theirparents business.

    Providing alternate capital has been done in some vocational high school in EastJava, Southeast Sulawesi, and South Sulawesi. The student or the graduate studentwho are involved in the production-based learning have the competency andexperience in creating market-oriented product.

    The procedure of alternate capitals lending are: (1) competition level, in this processthe school offers the proposal to the sponsor, (2) implementation program, the

    student or the graduate student get the alternate capitals. The amount of the alternatecapital is based on the proposal, and (3) monitoring and evaluation level, in this levelthe sponsor have to monitor and evaluate the implementation of the funding.

    The contribution from this alternate capital to the school as the income generating is8%/year in flat calculation, so that every student has to turn it back on time.

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    The high financing need of vocational high school,demand of the good quality of the graduate student fromvocational high school, and a limited funding have a bigeffect on the learning process especially in this crisis.Therefore, the schools alternative funding is developed inorder to create a good quality vocational high school, whilethe alternate funding could be done in the form of:1. doing production-based learning, and

    2. providing alternate capitals and technical assistance forgraduates with entrepreneurship potential. Thebusiness could be a new business, or continuing theparents business or collaboration with the industry

    around the vocational high school.

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    Thank You