SAITIS & ISETT SETA An Assessment of the ICT Labour Market for ISETT - Research Report Output Structure – August 2001 A Research Report Outline prepared by Access Market International Contact Details: Robert Mulder [Tel] +27 (11) 315-4134 [Fax] + 27 (11) 315-4550 [E-mail] accessmi@mweb.co.za P.O. Box 3522 Halfway House 1685 South Africa August 2001 Confidential DISTRIBUTION SHEET An Assessment of the ICT Labour Market for SAITIS - Research Report Output Structure – August 2001 ASSIGNMENT TYPE Research SECTOR Public Sector - ICT DOCUMENT NUMBER: AMI 01-1128 SOURCE FILES: AMI 01-1145 AMISTY.DOT DISTRIBUTION: Copy AMI 01-1145 Bearer Organisation 01 Server AMI 02 M. Roux SAITIS 03 Tebogo Makgatho ISETT 04 A. Masebe DoL Page 2 Style sheet August 2001 Confidential PURPOSE OF THE RESEARCH REPORT OUTPUT STRUCTURE The purpose of this document is to serve as a guide for the development of the research report that is the integral deliverable for the assignment commissioned by SAITIS and ISETT on the assessment of the ICT labour market in South Africa. This document will enable the SAITIS and ISETT project team as well as the team of AMI consultants to ensure the delivery of a research report that fully meets the requirements of the client. This document includes an outline of the output structure of the research report to be delivered to SAITIS and ISETT at the completion of the assignment. AMI 01-1145 Page 3 August 2001 Confidential AMI 01-1145 Page 4 August 2001 Confidential REPORT STRUCTURE INTRODUCTION An introduction to the research will be provided. OBJECTIVES The objectives will be outlined in this section. METHODOLOGY The methodology utilised will be described in detail. SAMPLE Sample realised in the data collection. ANALYSIS Analytical tools utilised will be described and any caveats encountered in the research. This section will elaborate on the collection of ICT labour statistics in South Africa. Mention will also be made of the constraints for developing the ICT labour market and factors that need to be considered in trying to resolve the problem. CAVEATS EXECUTIVE SUMMARY An executive summary, consisting of the major ICT labour market dimensions and dynamics and conclusions will be presented in the summary. It is envisaged that this summary will be accommodated within 2 pages. AMI 01-1145 Page 5 August 2001 Confidential OVERVIEW OF THE ICT LABOUR MARKET IN SOUTH AFRICA This section of the report will examine the prospects of the ICT employment market. The following analysis will be carried out: ICT SKILL DEMOGRAPHICS This section will provide information on the overall ICT labour market with an indication of demographic information typical to this market. The reader will be able to construct an indentikit of a typical employee in the ICT market. PROFILE OF THE ICT-USER Information will be analysed and presented as pie-charts of the following items: Age – the breakdown of ICT-users according to age, e.g. x percentage of ICT-users fall into the age group of 20-30 yrs Gender – the breakdown of ICT-users according to gender Race – the breakdown of ICT-users according to race group Union representation – the breakdown according to union representation CURRENT ICT LABOUR BASE Employment by SIC Code – the number of ICT-users employed per industry according to SIC code [pie-chart] Employment by Occupational Level – the number of ICT-users employed per occupational level [pie-chart], analysed in terms race group and gender [column graphs] CURRENT ICT SKILLS BASE Highest qualification – the frequency of the highest qualification, i.e. how many ICTusers have what type of qualification [ bar chart] Levels of training – the percentage split between the different levels of training per skills category, where 1= appropriate training only and 5=expert [table] AMI 01-1145 Page 6 August 2001 Confidential GROWTH, AND MEDIUM TERM GROWTH PROSPECTS FOR THE ICT EMPLOYMENT MARKET An examination of the current growth, and medium term growth prospects for the ICT employment market. This section will include predictions for future growth in the ICT labour market by largely analysing the inputs from various educational and training institutions. The forecasts will be compared to the findings of the current ICT labour market base, according to the results produced in the previous section, to provide a snap shot of the supply and demand of ICT labour in the next 3-5 years. MAJOR TRENDS INFLUENCING THE ICT EMPLOYMENT MARKET A list of the major trends that influence the ICT labour market will be presented and a macro-level by conducting a PEST and SHE analysis. The analysis carried out in this section will form a key input for the next section, dealing with the ICT human resource skills demand requirements of the ICT market. THE HUMAN RESOURCE NEEDS OF THE ICT SECTORS This section will examine the demand for ICT human resources by focussing on the needs and requirements of end users of ICT in the industry sectors covered in the previous section. This will include the following: MAJOR TYPES OF ICT SKILLS SOUGHT This will include an analysis of the type of skills required by organisations per SETA classification. OVERALL ICT SKILLS SOUGHT An analysis of the number currently employed per skills category versus the number of vacancies per skills category will be conducted to indicate need for skills in the various categories. [Pie chart] The composition of the ICT skills base, i.e. number of foreign nationals employed per skills category versus total number employed. [Pie chart] SKILLS SOUGHT PER SETA CLASSIFICATION An analysis of the skills sought per SETA classification will identify specific skills required per SETA classification. [Table] The composition of the ICT skills base per SETA classification, i.e. number of foreign nationals employed by skills category versus total number employed analysed for each SETA classification. [Pie chart] AMI 01-1145 Page 7 August 2001 Confidential CRITICAL HIGH END SKILLS Critical high end skills that are required across the various sectors. The critical skills will be highlighted by focussing on those most frequently mentioned or sought per SETA sector. APPROPRIATENESS OF SKILLS PROVIDED IN THE MARKET Average overall competency levels, per SETA classification, of ICT-users by skills category will determine areas for improvement. An analysis of employer’s rating of the skills in their organisation will be conducted. [bar chart] Average adequacy levels, per skills category, of ICT-labour market. [bar chart]. Future prospects will be alluded to from the results obtained from educational and training institutions IN-HOUSE TRAINING OR OUTSOURCED TRAINING An analysis of the types of training offered by organisations will be conducted focussing on: Budget Frequency Nature of programme THE SUPPLY OF HUMAN RESOURCES IN THE ICT MARKET This section will examine the supply side of the ICT labour market with a view to describing the skills set available in South Africa. PROFILES OF TERTIARY AND TRAINING INSTITUTIONS Date of Establishment Size of establishment in terms of student population Location including physical address Number of ICT courses / programmes offered Qualifications of lecturers of ICT programmes OUTPUTS FOR TERTIARY INSTITUTIONS – SUITABILITY OF SKILLS Average number of students enrolled in ICT courses per year AMI 01-1145 Page 8 August 2001 Confidential Average pass rate for ICT courses for past five years Gender and racial split for ICT courses Most popular education and training institution for successful candidates OUTPUTS FROM TRAINING INSTITUTIONS– SUITABILITY OF SKILLS Average number of students enrolled in ICT courses per year Average pass rate for ICT courses for past five years Gender and racial split for ICT courses Most popular education and training institution for successful candidates MIGRATION THREATS AND THE IMPACT ON ICT SUPPLY Number of ICT immigrants per year Forecasts for the next 3-5 years CHANNELS OF ICT SKILL DELIVERY The following will also be considered in the context of recruitment agencies. Type of channel used to recruit human resources Number employed per channel listed above The next section will analyse the skills supply further. ANALYSIS OF THE ICT LABOUR MARKET SUPPLY SIDE OF THE ICT SKILLS This section will examine the results of the supply side of the ICT skills compared to the demand market potential for each of the main ICT labour categories. SIZE OF THE DIFFERENT ICT LABOUR CATEGORIES The size of the different ICT labour categories will be established to identify areas where the greatest skill shortages exist. DEMAND AND SHORTFALL OF ICT SKILLS The various categories of skill shortages will be rated in terms of where the greatest demand exists and where the biggest shortfall in supply is evident. AMI 01-1145 Page 9 August 2001 Confidential FORECASTS Based on the availability of skills, forecasts will be provided of the different categories of skills that is needed to meet the economic growth requirements of the ICT sector as well as non-ICT sectors. CONCLUSIONS AND RECOMMENDATIONS Conclusions will be drawn, based on the findings of the study, and scenarios will be developed with regard to those ICT and non-ICT sectors with the highest skill needs that should be considered by SAITIS and ISETT for immediate attention. Recommendations will also be made on how a marketing and communications plan should be embarked upon to address the skills gaps identified. AMI 01-1145 Page 10