INTRODUCTION VISION GROWTH MISSION OPPORTUNITIES ACHIEVEMENTS LONGEVITY 1 KNOWLEDGE FOR DEVELOPMENT -India’s vision: become a Knowledge Superpower by 2010 and Developed Nation by 2020 – Critical areas of growth identified. -GDP must grow by 8-10% per year to reduce poverty from 26% to below 5% through Knowledge based economy. -High quality professionals needed to create, share, use and manage Knowledge. -India is exporting services and becoming a desirable destination for Services, R&D and Manufacturing. India must meet aspirations of its youth in 18-25 years (over 150 million) and channelize this vast energy. 2 HIGHER EDUCATION SYSTEM IN INDIA Opportunities Knowledge a key resource for global competitiveness India a key player in global knowledge economy – offshoring, knowledge-intensive manufacturing Opportunity to convert demographic surplus to economic strength Threats Skill shortages despite high graduate unemployment Regulatory system fails to maintain standards despite formidable entry barriers Chaotic and unplanned expansion Poor standards of academic research Policy: Need for making Indian higher education globally competitive not only for seizing opportunity for trade in higher education services ($30 billion last year), but to corner a larger share of fast growing international trade in professional services ($270 billion last year) – higher education feeds into growth of professional services 3 Stages of Education 4 No. of Bachelor’s Degree Holders in India 5 Revenue in Education Industry (State Wise) 6 Population Chart POPULATION IN INDIA 1.35 1.30 BILLION 1.25 1.20 1.15 1.10 1.05 1.00 2001 2006 2011P 2016P SOURCE - CENSUS 7 CITY-WISE POPULATION 25 19.8 17.3 15.1 15 10 7.3 7.2 2006 CHENNAI KOLKATA 2011P SOURCE – CRISIL RESEARCH BANGALORE 2001 DELHI 0 HYDERABAD 6.6 5 MUMBAI MILLION PEOPLE 20 8 18000 11000 16000 10000 9000 14000 8000 12000 7000 10000 6000 8000 5000 4000 6000 3000 4000 E nro lm ents ('0 0 0 ) No . o f Institutio ns Growth of Higher Education Institutions and Enrolment 2000 2000 1000 0 0 1947- 1950- 1960- 1970- 1980- 1990- 2000- 2005- 48 51 61 71 81 91 01 06 Ye ar Total En r ol m e n t(' 0 0 0 ) Post-1980 rapid growth in number of institutions and enrolment 9 Relative Share of Private and Public Institutions P riv a t e P u b lic 1 00 90 80 70 60 50 40 30 20 10 0 E n g in e e r in g P ha rma c y Ho t e l A r c h it e c t u r e M a na g e me nt T e a c he r E d u c a t io n M CA M BA M e d ic in eP h y s io t h e r a p y ( A llo p a t h ic ) For professional courses, majority of institutions are private (self-financing). In addition, there is a huge private training sector and coaching industry in India. 10 Growth of Higher Education Institutions by Type Y ea r 2005-06 2000-01 0 2000 4000 6000 8000 10000 12000 14000 16000 18000 N u mb e r Go v e rn me n t P riv a t e A id e d P riv a t e U n -a id e d Growth has been mainly of the private unaided institutions - a trend started in early 1980s. 11 Present Status of Higher Education in India (2010-11) Universities (approx) 400 Colleges (approx) 19,000 Students (approx) 14 Million Indian Gross Enrolment Ratio (GER) (approx) 11% GER – World Average 23.20% Developed Countries 54.6% Asian Countries 22 % 12 Existing regulatory arrangements Structure & Process Centre + UGC + 13 professional councils States Affiliating colleges (131 universities affiliate 17625 colleges) – 60% temporary affiliated / two-third not recognized by UGC Regulatory bodies under direct control of the government Regulations on minimum standards for various degrees Academic titles approved by the central govt. Problems Problem of coordination - gaps and overlaps in functioning Centralized – focus on uniform standards, promotes cloning One-third unviable colleges exist Recognition of degrees by one time legislative sanctions, rather than any academic process Uncertain regulatory environment Non-transparent processes Whereas, most nations in the World are working towards loosening of statutory control over higher education, India is moving in reverse direction (The Economist, 2005). 13 Opportunities in the Market As we can see the rise in population has been at the rate of 20 % per year which comes up 19.5 crores in Mumbai & 1.56 Billion all over India (as per slide no.7 & 6 ) India being one of the country with 35% of youngster population which comes up to 54 crores in India of which the market for us is up to 7.7 crores in Mumbai Every year there has been a constant increase in the enrollment by 20 % so there is a increase of 10.8 cores across India and 1.54 crore in Mumbai (as per slide no 8) This increase has been due to increase in large no of private unaided institutions coming into picture (as per slide no 10) In today's scenario there has been a constant increase in no of private institution to cater to 1.54 crore population providing MBA which provides us with greater opportunities of doing business (as per slide no 9) 14 Aum Engineering & Management Institute • • • • • • Established in the year 2004 AUM Engineering & Management Institute is Registered Charitable Trust. AEMI is ISO 9001: 2008 Certified. AEMI is also Accredited by UKAS & IAF. AEMI is Recognized in 160 Countries. Student Strength of more than 3000 Students of which 2500 students in INDIA and 500 students are in abroad Approx . 15 AEMI 1. Diploma in Business Administration (DBA) 2. Graduate Diploma in business Administration (GDBA) 3. Post Graduate Diploma in Business Administration (PGDBA) 4. Masters in Business Administration Dual/Fast track (MBA) 5. Executive Masters in Business Administration (EMBA) 6. Professional Doctorate in Management (PDM) 7. Doctorate in Management Studies (DMS) PhD level 8. Chartered Finance Manager (CFM) 9. Certified Chartered Accountant (CCA) Diploma to Masters level Engineering in Civil, Mechanical, Electrical, Electronics , Chemical, Automobile, Textile , Metallurgy, Instrumentation & Control Computers application from DCA to MCA 16 Franchisee Revenue Particular No of Students / PA Average Fee per Student Total Fee PA Franchisee % Total Franchisee Revenue Courses from AEMI 60 25000 10,00,000 60 6,00,000 17 Initial Investments • Chairs-20 • Printer/fax/Xerox • Telephone Connection • Interior Decorations • A/C - 5 (0.08 ton each) + Fitting • Tea & Coffee Machine • Water Cooler • Initial Stationary • Sanitary Equipments • LCD 2 • Computer Lab – 10 units • Library 18 Manpower Required to Start Up DESIGNATIONS NO. OF EMPLOYEE Branch Head 1 Sales Trainer 1 Counselor 10 Reception 1 Office boy 1 Librarian 1 19 Criteria's for Franchisee 100 to 1000 Sq. Ft space Option of at least 2 class rooms 2 computers lab One counseling room Marketing room Library Room 20 Support From AEMI Training for the management team Recruitment of staff Training of staff ( Product as well as sales ) Branch Head ( Branch management training ) Marketing Support ( Strategy planning, Art work, some promotion material.) Media support ( share the media expenses on case to case basis) Admin, and sales co-ordination training Centralized placement team ( To assist student placements ) Printing of brochures. and sales ads. ( as per cost ) Course materials ( books for the students ) Class-wise deliverables Course Content List of reference books for the library Faculty to be provided 21 Franchisee Fee Consortium / Franchisee Fees as follows: Regional Level Franchisee Fee Rs.5,00,000/ City Level Franchisee Fee Rs.3,00,000/ Area Level Franchisee Fee Rs.1,00,000/which is Non-refundable, No Security Deposit. 22