Building Technical and Vocational Skills Towards diversified & Sustainable Growth in Mozambique Prepared for the S EMINAR ON G ROWTH, T RANSFORMATION,

Building Technical and Vocational Skills

Towards diversified & SustainableGrowth in Mozambique

Prepared for the SEMINAR ON GROWTH, TRANSFORMATION, AND JOB

CREATION FEBRUARY 9-11, 2011, MAPUTO, MOZAMBIQUE

Tjaart van Staden

Contents

1. Vision for TVET

2. Introduction to TVET (in Mozambique)

3. Strategic / Key Success Factors

4. Mega Projects & Optimization

5. Closing Remarks

License to Operate?

How do we ensure that these companies play a coherent role in the development of Mozambique whilst ensuring that they are operating in a supportive and investor friendly environment that helps them attain

their objectives?

License to Participate?

How can we support these people, taking the

opportunity in their own way, to help themselves and

thereby create INCLUSIVE economic growth?

2010

2016

2014

2012

2018

fo

re

ig

n

l o c a l

PLANNED - Increased Local Participation in Work & Economy

Expatriate

Local

Technical and Vocational Education and Training (TVET)Construction & Engineering

Governance Capacity Building Agriculture Small Medium

Enterprises Mining

Integrated Job Specific HSE

Introduction to TVET

Artisan Aide

Semi Skilled 2

Semi Skilled 1

General Labourers

Artisan 160 – 200 Days

80 – 140 Days

25 – 60 Days

15 – 35 Days

10 days

Introduction to TVET (in Mozambique)

• 1998 and the MOZAL experience

• Institutional Infrastructure

• Strategic Environment of TETE and NAMPULA Provinces

• TVET - Critical Success Factors in Developing Countries

Key Success Factors

• Development Triggers (e.g. Mega Projects)

• Business Intelligence

• Synergy & Collaboration

• Planning, Targeting, Implementing, Tracking,

Reporting

• Designing and Managing for Optimization

– Design Strategy

– Procurement Strategy

– Implementation Strategy

Mega Projects & Optimization

Trigger

GROWTH

TRANSFORMATION

Investors

Business Principles

Licence to Operate

Sustainability

Licence to Participate

Policy Framework

Host Country

+/-

+/-

-

+/-

-

Replacement Technologies

PROJECT DESIGN & IMPLEMENTATION PROJECT OPERATIONS AND CLOSURE

Agriculture development Agri-Industries

Project implementation

Financial Close and start of Project

Implementation

Mine

Operations

Mineral Imports

Closure

Commissioning

(Creating the Balance – Optimise the Triggers through Timing)

Mega Projects & Optimization

From “project” approach…

Oil Project #5

Detailed Skills Histogram

Refinery Project #2


Oil Project #1


Dam Project #1


Hydro – electricity Project #2


Agriculture Infrastructure Project #4


Oil Project #3


Agri-processing Project #1


Water Reticulation Project #2


Sanitation Project #1


Electricity Project #1


Logistics/ Transport Project #2


2010 DEVELOPMENT TIMELINE 2020

…to “program” approach

2010 TVET DEVELOPMENT STRATEGY AND IMPLEMENTATION 2020

ConstructionCritical skills

MechanicalCritical skills

StructuralCritical skills

ElectricalCritical skills

MiningCritical skills

Supervisory & ManagementCritical skills

Agriculture et alCritical skills

Closing Remarks

• The Balancing Act

• The Art of the Possible

• Creating Best Practice

Dem

and f

or

Skill

s,

Com

pete

nce

and S

ME c

apaci

ty f

rom

the

envir

onm

ent

Supply

of

Skill

s,

Com

pete

nce

and S

ME c

apaci

ty f

rom

the

envir

onm

ent

Development of Local People and Local Business

The Balancing Act

MACRO INDICATORS: SOCIO/ POLITICO/ INSTITUTIONAL/ ECONOMIC/ NATURAL ENVIRONMENT

(INTEGRATED GIS)

ON-GOING CONTEXTUAL RESEARCH AND COMMUNICATION CHANNELS

Labour needSME development

Market developmentInfrastructure

needCSI



needCSI



needCSI



needCSI

Project # 2 Project # 3 Project # 4 Project # nLabour need

SME developmentMarket

developmentInfrastructure

needCSI

Project # 1Innovation level

Innovation level

Innovation level

Business ManagementImplementation

Stakeholder Mgmt.

Preferential Procurement Mgmt.

Labor Relations

Wage Management

OHS& E Mgmt.

Access ControlTime & Attendance

SME Development and Mentoring

Labour ManagementImplementation

Registration

Medical Screening

Assessment

Training

Induction

Employment

Demobilization

Individuals(Supply)

Businesses(Supply)

Operational Management & Reporting

TrackingPlanning

Projects’Demands/ Opportunities

Centralized Data Warehousing

Macro-Economic Indicators

ContextualResearch

Stakeholder Management &

Reporting

Tracking Planning

GIS

Integrated Development

Approach

Questions

Labour Management Services

Employment

Total People Employed To Date 20563

Total People on Site 4784

Limited Duration Contracts Completed - Demobs 15779

Average Duration of Completed Limited Duration Contracts - Days

113

Total of Wages Paid (estimate – TBD WBS) R 165,128,540.25

Registration

Number of Individuals Registered 76497

Training

Total Number Trained 5884

Total Cost of Training R 19,667,856.00

Total Number of Trainees Placed 5219

Back

Business Management Services

Procurement Management

Total Value of Contracts Awarded R 1,344,235,946.26

Progress Payments to BEE Companies R 487,430,076.26

Progress Payments to WEO Companies R 96,205,861.95

Progress Payments to ABE Companies R 282,733,786.15

Total Number of Main Contracts 149

Total Primary Contractors 149

Total Sub Contractors 856

Total Development Contracts 43

Number of Contracts Complete (Only Dev) 88

SMME

Number of SMME Contracted (SMME Dev Program) 42

Value of SMME Contracts (SMME Dev Program)

R90 916 803.53

Business Support Services

Total Businesses Registered 4441

Back

Developing Sustainability (local entrepreneurs/ investors)

Ensuring Skills, knowledge and attitude Business ownership and growth

Lack of Competence/ Capacity (workers and job-seekers)

TVETSME Development & Targeted

Procurement

Unemployed/ subsistence (rural poor)

LRU - Labor LRU - Business

Targeted LOCAL RESOURCE USAGE

BENEFITS FROM LOCAL RESOURCE USAGE

(source: Engineers against Poverty)

Project identification,feasibility and initial

planning

Contract agreement,monitoring and

evaluation

Appointment of contractor

Design and specification

Appointment ofconsultant(s)

Procurementstrategy

Commission & Handover

More employment inconstruction

Increased employmentin materials industries

Market openings for suppliers of local materials

& components

Increased work forlocal contractors

Opportunities for localconsultants

INCLUSIVEGROWTH

SUSTAINABLEINFRASTRUCTURE

SERVICES

POVERTY ALLEVIATION

STAGES OF THEPROCUREMENT

CYCLE

CONTRIBUTIONSTO DEVELOPMENT

OUTCOMES

IMMEDIATEBENEFITS

Operationand maintenance (O&M)

Documents

Building Technical and Vocational Skills Towards diversified & Sustainable Growth in Mozambique Prepared for the S EMINAR ON G ROWTH, T RANSFORMATION,