Taiwanese SectoralTechnological Trajectory in the first half of 1990s

1
IT HRD in Korea under Socio-Economic and
Technological change
Hwang, Gyu-hee (g.hwang_at_krivet.re.kr)
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Contents
1
Economic Growth and Coordination
2
Background of IT HRD policy in Korea
3
SCM as a new IT-HRD policy
4
Accreditation as an element of Coordination
5
Further Coordination in complementing SCM
3
1
Economic Growth and Coordination
2
Background of IT HRD policy in Korea
3
SCM as new IT-HRD policy
4
Accreditation as an element of Coordination
5
Further Coordination in complementing SCM
4
The technological change, from manual skill
based to knowledge based , as a central
determinant of economic growth and development.
BIO
Knowledge based
ICT
Manual Skill based
Electrical Power Combustion Engine
Knowledge based Ind. Services
Electronics Ind.
Steamengine
Chemical Electrical Ind.
Hydro-power Textile Ind.
BRICs ? Possible But, Not yet certain !
Steel Ind.
Korea Policy and Management
accurately controllable Production Process (Jap
anese System)
Japan
Mass Production, with standardized
production process
USA
Britain
Factory system with Machinery Craft
Flexibility
Taiwan Efficient SME
RD
Strategy is a set of puzzle
HRM
5
In approaching to the knowledge-based economy,
what are needed?
Tacit knowledge remains as core of the knowledge
base
Even though the knowledge always plays an
important role in economy, nowadays the role of
knowledge become more important. The ICT
revolution gives the knowledge-based economy a
new and different technological base which
radically changes the conditions for the
production and distribution of knowledge as well
as its coupling to the production system. While
ICT makes more kinds of knowledge codifiable and
thereby accelerates the processes of innovation,
change and learning, some elements of tacit
knowledge have become more important than ever
for economic performance and success.
Institute (Firm, Gov.)
Tacit Knowledge
Network access
Industry (Market)
Individual
Interaction
More and more strategic know-how and competence
is developed interactively and shared with
sub-groups and networks.
6

The coordination between human capital and
technological change is crucial for the economic
growth. The coordination includes industrial
organizational change, skill match, flexibility,
etc.
Economic Growth
Coordination
Tech. Change
Human Capital
Structural change - Industrial change
- organizational change skill match
mobility ? overall flexibility
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When change and adaptation are properly
coordinated and co-evolved, the results of
education and training will produce optimum
results.
What are needed to adapt to the changes of skill
demand and others, are Education and Training.
However, Education and Training is one of
elements in this changes, rather than the driving
force itself in usual. Even though the
education and training is believed as a
locomotive toward economic growth, the proper
results should be achieved when the education and
training is properly coordinated with others.
Change of Gov.s role Organizational change of
Firm
Institute (Gov. Firm)
Education and Training
Industry (Market)
Individual
Change of Skill demanded by ind., firm,
society Compositional change of
Gender/Aging/etc.
Change of Market function Structural change of
industry
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1
Economic Growth and Coordination
2
Background of IT HRD policy in Korea
3
SCM as new IT-HRD policy
4
Accreditation as an element of Coordination
5
Further Coordination in complementing SCM
9
Trajectory of IT HR Program in Korea
10
Transition of the policy focus from quantitative
expansion of IT HR to qualitative improvement of
IT
Initially, quantitative expansion of IT human
resources has been accomplished by the
governments consistent support. - expansion of
IT educational infrastructure for 1997-1999 -
quantitative expansion of IT Human resources for
2000-2002.
However, the developments of IT rapidly change
the demand of IT workers.
Despite of quantitative expansion of IT HR, there
could be qualitative mismatches in demand and
supply of IT workers
11
Skill-mismatch in IT HR and the shortage of IT
experts
Companies confronts the lack of IT experts but
the job-seekers suffers to find the opportunity
to work. - The jobless rate of college and
university graduates who majored in information
technology was almost 68 in Feb. 2001(KISDI.
2003). - However, according to the survey, over
70 of the companies have a lot of problems in
hiring a suitable person who they need (KIPA,
2003). Additionally, the life cycle of IT HR is
getting shorter as the speed of IT technology
becomes quicker. Nowadays, the average life cycle
of S/W human resource is about 7 years.
12
According to the recent manpower projection, the
quantitative expansion and qualitative mismatches
are anticipated.
Projection of IT HR based on occupation
(Unit thousand people, )
Supply-Demand difference of IT HR, for 2004-2015
(Unit thousand people)
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1
Economic Growth and Coordination
2
Background of IT HRD policy in Korea
3
SCM as new IT-HRD policy
4
Accreditation as an element of Coordination
5
Further Coordination in complementing SCM
14
Shifting from Supply-oriented to
Demand-orientedNew direction of qualitative
improvement of IT HR from 2003 through SCM. The
SCM perspective emphasizes global optimization of
all activities along the supply chain and
foremost satisfaction of customer demand.
Basic Concept of SCM
Manpower
Educational Institution
Industry
Employment
Raw Materials
Production Lines
Customer
Delivery
Returned Inventory
Configure-to-order
Location of Optimum Inventory (The end of 6th
semester)
Build To Stock
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These characteristics of SCM are expected to
improve the supply-oriented IT HRD process,
producing a robust university-industry
collaboration system.
Value Chain for SCM Project
E2B Council
Academia, industry, and Research institute
Matching
Demand-driven SCM Project
Demand Planning
e-Marketplace(E2B site)
Nation-wide Demand Planning for strategic areas
Accreditation
Development Plan
Introduction of Accreditation for IT programs in
Colleges
Curriculum Reform Teach the teacher program
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Procedures to deploy demand-driven IT HR projects
First, quantitative and qualitative supply and
demand forecasting on HR of IT companies, with
career path map, and survey of detailed technical
levels based on skill standard
framework. Secondly, supplying IT HR to IT
companies through a competitive reinforcement
program in college education that includes
curriculum reform, internship, and competent
faculty leadership. Thirdly, university and
industry collaboration systems - demand
collaboration (forecast model and career path map
for manpower), - design collaboration
(curriculum, detailed syllabus, etc.), - supply
collaboration (job matching), and - capacity
collaboration (internship)
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Matching Systematic Collaboration between
Industry and College
Customer (Industry)

• Supplier
• (College)

DemandCollaboration

• Forecast quantitative and qualitative demand on
  IT professionals

• Suggest quantitative and qualitative demand on IT
  professionals

DesignCollaboration

• Participate in Curriculum Reform to influence
  Industrys Needs

• Reform the Curriculum to influence Industrys
  Needs

• Detailed technology, accreditation which industry
  needs

SupplyCollaboration

• Job Matching
• guide career path

CapacityCollaboration

• Provide Internship / Mentoring
• Collaboration between IT industry and academia

• Participate in Internship
• Project Study with mentor

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Co-ordination among Business, University and
Government

• Businesses are asked to express precisely the
  specifications of knowledge, skills and
  capability of workforces they need at work,
  rather than just complain about the lack of
  skilled manpower.
• Universities are going to be more effective at
  helping students find a job after graduation by
  aligning all their educational efforts and
  resources with what the industry really needs.
• Also, the government could formulate and
  implement more adequate HRD policies on the basis
  of the accurate information on when and how many
  workers are required in what areas.

19
Major participants role in each stages -
planning, implementation and ex-post analysis
stages.
20
How can the new HRD model be effectively
implemented ?
First, a more improved IT HRD and supply
process has to be designed in view of SCM on
the basis of a thorough diagnosis and analysis on
the existing one. Secondly, an effective
university-industry collaboration system has to
be established in order to put the new
industry-oriented education process into
practice. Thirdly, an accreditation system
has to be set up for businesses to recruit upon
trustworthy graduates who have undergone the new
demand- oriented educational programs.
21
1
Economic Growth and Coordination
2
Background of IT HRD policy
3
SCM as new HRD policy in IT
4
Accreditation as an element of Coordination
5
Further Coordination in complementing SCM
22
The role of accreditation in the IT HRD and supply
To upgrade the overall level of IT
education Preparation for the accreditation in
universities will derive improvement
of curriculum and changes in educational methods
and content to yield more industry-oriented
workforce.
To discriminate between good and bad educational
programs of IT departments To make publicly the
evaluation results to help businesses to find
more reliable and quality workforces.
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The accreditation system will provide a
standardized curriculum and quality of trained
students.
Accreditation activities will focus on whether IT
departments are reflecting industrial demand in
courses and team projects properly, observing
standardized curriculum, and equipped with
recommended devices and facilities When IT
departments establish and implement standardized
demand-oriented curriculum and study courses in
terms of SCM, the accreditation system will
mitigate the burden of each university to contact
businesses individually and develop their own
curriculum.
24
Remained Problem to be overcome
Different situations surrounding each university
are neglected and autonomy of universities are
hampered. Thus, the government needs to specify
the standardized curriculum and education methods
to a minimum so that universities can maintain
discretion to a certain extent in educational
planning and execution. Ideal type The
SCM-based IT HRD model does not intend to
restrict the discretion of universities or to
pursue blindly the requirements of businesses.
Rather, it focuses on facilitating a mutual
understanding and benefit. In real when the
SCM is pursued by government, there is a
information gap, time lag and rigidity in
execution.
25
1
Economic Growth and Coordination
2
Background of IT HRD policy in Korea
3
SCM as new IT-HRD policy
4
Accreditation as an element of Coordination
5
Further Coordination in complementing SCM
26
Alleviation of informational imbalance to
complement the SCM
Even though the government might directly support
universities to adapt the curriculum according
to the requirements by introducing SCM, it is
more necessary to motivate universities to accord
to the requirements for themselves. The most
important role of the government should be to
solve the informational imbalance between
educational suppliers and educational consumers,
between the new comer into the labor market and
the demands of IT HR. - manpower report
including the causes of manpower shortage. -
the payment report classified by occupations -
statistics of IT HR and prospect of human
resource supply - the career records of IT
human resources
27
To Promote the competition to complement the SCM
The government should provide various motivations
in order to promote the competition of
educational institutions for meeting the
industries requirement and competition of
industries for accepting competent human
resources. Under these systems, individuals
will spend their time for suitable IT training,
and they will ask universities or training
centers, as educational providers, for
educational training according to an industries
requirement.
28
Further coordination with traditional
sectors.The education and training, as a part of
coordination with technological change, are
needed not only for knowledge workers but also
for traditional sector/knowledge/technology.
The knowledge-based economy requires more
knowledge workers. However it should not mean
that traditional sector and/or traditional worker
are less important. Traditional sector is still
large part of economy, particularly in terms of
employment. Furthermore, to reach the potential
of knowledge worker depends on the support from
traditional workers and the diffusion of new
knowledge/technology to the old. Therefore, the
most necessary thing to realize the
knowledge-based economy is the coordination
between newly emerging sector/knowledge/technology
and the old.
Knowledge-based Economy
High-tech Sector
Technology diffusion
Support
Traditional Sector