The World Bank Report No: ISR4617 Implementation Status & Results India India: Vocational Training Improvement Project (P099047) Public Disclosure Copy Operation Name: India: Vocational Training Improvement Project (P099047) Project Stage: Implementation Seq.No: 9 Status: ARCHIVED Archive Date: 26-Jun-2011 Country: India Approval FY: 2007 Product Line: IBRD/IDA Region: SOUTH ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Government of India, Directorate General of Employment and Training,Ministry of Labor and Employment Key Dates Board Approval Date 05-Jun-2007 Original Closing Date 31-Dec-2012 Planned Mid Term Review Date 29-Sep-2010 Last Archived ISR Date 26-Jun-2011 Effectiveness Date 17-Dec-2007 Revised Closing Date 31-Dec-2012 Actual Mid Term Review Date 30-Jun-2011 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project development objective is to improve the employment outcomes of graduates from the vocational training system, by making the design and delivery of training more demand responsive. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Improving Quality of Vocational Training 228.00 Promoting Systemic Reforms and Innovations 29.00 Project Management, Monitoring and Evaluation 23.00 Overall Ratings Previous Rating Current Rating Public Disclosure Copy Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Implementation Status Overview There are three components of the project and these are: (1) Improving Quality of Vocational Training; (2) Promoting Systemic Reforms and Innovations; and (3) Project Management, Monitoring and Evaluation. The key reforms that are being implemented under the project are: (1) implementation of a multi skilling multi entry and exit vocational training course named Center of Excellence; (2) improving institution management through a public-private partnership mode by establishing Institutional Management Committees (IMC) with private sector participation; (3) establishing an instructors training network with inclusion of private training providers and decentralizing instructors training to states; (4) enhancing transparency and accountability. COE is a departure from the traditional Craftsman Training course, which is mono-trade and does not allow either entry or exit before the Page 1 of 7 The World Bank Report No: ISR4617 course completion. Further, COE is focused on a multiple skills set required for an industrial sector and there are 21 industrial sectors in which the multi skilling courses are being offered. Under the project, each ITI opting to establish a COE and upgrade the sector specific COE related trades is provided INR 3.5 crore (approximately USD 750,000) and those ITIs opting only to upgrade the existing trades are provided INR 2.5 crore (approximately USD 500,000). A web-based Management Information System (MIS) is being developed which will cover all public ITIs and gradually expand to cover all private institutions, too. Public Disclosure Copy The Project status reported here is based on the mid-term review (MTR), which was conducted during April-June, 2011. As a part of the MTR, in-depth reviews of implementation progress of the states/UTs and institutions, including centrally funded institutions were conducted. Separate expert groups were also formed to discuss several key issues related to COEs, instructors training and assessment and certification. A consultive process was initiated with Society forIndian Automotive Manufacturer Association (SIAM), Automotive Skills Development Council (ASDC) and automotive industries to set industry standards for automotive COEs in ITIs. A workshop was conducted in Pune on May 20, 2011 in collaboration with DGE&T, Govt. of Maharashtra, SIAM, and ASDC. Subsequent to the MTR, the IDA task team has had several progress update meetings with the Director General and the NPIU team, visited Rajasthan and Jammu and Kashmir for institution and state level reviews. The project is making steady progress towards achievement of PDOs. The multi skilling multi entry and exit vocational training course is gradually gaining ground among students, employers, and institutions. Overall, there is steady improvement in project implementation. While, Maharashtra, Gujarat, Madhya Pradesh, Goa, Orissa, Delhi, Punjab, Karnataka, Haryana continue to perform well, other improving and slow performing states such as Assam, Uttar Pradesh, Himachal Pradesh, Andhra Pradesh, Tamil Nadu, Kerala, Jharkhand, Uttarakhand, Sikkim, and Tripura have also accelerated implementation. West Bengal, Bihar and Jammu & Kashmir have got the new Advanced Module instructors positions approved. However, performance of Union Territories and some North-Eastern States continue to remain slow despite additional implementation support provided by the joint team of the NPIU and Bank. During the MTR, and expert group was constituted by MOLE to resolve various outstanding issues related to COE. The Expert Group's recommendations on assessment and certification, sequencing of BBBT modules, issues with regard to advance module and specialized module have been accepted by the MOLE for implementation. The MOLE has already provided funds to nine states for establishment of nine Instructors Training Wings (ITWs). Instructors training has improved significantly. About 9000 instructors have been trained during the project life so far. Performance based incentive funds have been given to three states- Maharashtra, Gujarat and Odhisa. Four innovations proposals have been approved for financing. Three mid-term evaluation studies; (i) Traces study, (ii) Management review, and (iii) Civil works quality review, environment audit and asset audit, have been commissioned. The draft reports are expected by the end of January 2012. The MoLE commissioned a study on “Performance Evaluation of Industrial Training Institutes/Industrial Training centers (ITIs/ITCs)� to Quality Council of India (QCI, January 2011). The evaluation compared the performance of ITIs/ITCs- Center of Excellence (COEs) and non-COEs, Public and private institutions. SOme of the key findings from the QCI report are as below: • Expenditure against the allocated budget amount in COEs is better than non COE Institutes. • Visits to industries from COE Institutes are more in comparison to non-COEs. • Visit of faculty from industries is highest in case of COEs. • The pass rate for COEs has been the highest compared to non-COEs. About 81-99 percent of COE students passed the course in 2009. However, the pass rate had fallen in the year 2008. • Employment gains have been the highest for COE students as they are expected to be the more competent. Public Disclosure Copy Some good practices that the project has promoted are: � Campus environment management: Maharashtra, Gujarat, MP, and Karnataka are implementing the environmental management framework in all ITIs in the state. � States’ initiative to make employers/industries recognize COE for employment- Karnataka has taken the initiative of issuing a Government Order instructing both public and private sector employers to recognize COE certificates at par with CTS certificates for employment of COE trainees. � Training, Counseling and Placement Cells (TCPCs): Maharashtra and Gujarat have established computer enabled TCPCs in all ITIs. In many states, TCPCs are organizing job mela (employment fairs), campus recruitment and facilitating job placement. � Students Scholarship: Punjab has raised scholarship for Scheduled Caste below poverty line students to INR 1000 per month. � In most states salaries of contract faculty have been raised from an average of INR 3,500 to more than INR 10,000 except WB, TN, Kerala, MP., Karnataka & J & K. Bihar has raised the amount to INR 18,500. � Maharashtra, J & K, Delhi, Gujarat, and Karnataka have signed industry-institution cooperation Memorandum of Understanding with industries. � Uttarakhand and Gujarat have created resource centers in ITIs. People can access an ITI for all information on skill development. Page 2 of 7 The World Bank Report No: ISR4617 Other important achievements of the project include: (i) All states have created new positions for Advanced Module (AM) instructors and about 50% of the positions have been filled; (ii) Overall, there is a significant improvement in filling up of vacant instructors’ positions and principals’ positions. According to the base-line data (2005-06), 75% instructors were in position against their sanctioned strength. By 2010-2011, this has increased to 92%. The percentage of full-time Principals without additional charge in position has increased by 5%; Public Disclosure Copy (iii) many states have introduced policies whereby contract instructors are sent for training (both within and outside the state), and contract instructors’ salaries has been raised; (iv) for the first time States have prepared annual training plan for instructors and have submitted the plans to the Apex Hi-tech Institute and the Advanced Training Institutes for execution. Locations No Location data has been entered Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Percent of pass-outs from project ITIs that exit Text Value All: 61.0% Male: 61.5% All: COE BBBT: 68% All: 73% Male: 73% Female: from the CTS system with a NCVT certificate, Female: 74.2% COE AM: 81% 89% as compared to the baseline-disaggregated by Male: BBBT-74%; AM- 81% gender. Female: BBBT- 68%; AM- 81% Date 31-Jan-2007 30-Jun-2011 31-Dec-2012 Comments The data reported above is collected by the NPIU and Bank team every six months from the project ITIs. According to a third party evaluation commissioned by MOLE (QCI, January 2011) COE pass rate is 81-99%. Public Disclosure Copy Page 3 of 7 The World Bank Report No: ISR4617 Percent of project ITIs' pass-outs who find Text Value All: 32.0% Male: 33.4% All: 50% Male: 52% Female: employment within one year of finishing Female: 18.7% 48% training, as compared to the baseline. Date 31-Jan-2007 31-Jan-2012 31-Dec-2012 Public Disclosure Copy Comments The draft report of the MTR tracer study will be available in January 2012. Based on the findings of the study, the ISR will be updated. However, a third party evaluation (QCI, Jan 2011) commissioned by MOLE finds that employment gained has been the highest in the COEs compared to other ITIs. Real monthly earnings (INR) of employed Text Value All: INR 2421 All: INR 3026 pass-outs from project ITIs measured one year after completing training, as compared to Date 31-Jan-2007 28-Jan-2011 31-Dec-2012 thebaseline. Comments The MTR study report is expected by January 30, 2012. Based on the findings of the study, the value for the indicator will be reported. Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Number of Instructor Training Wings (ITWs) Text Value 0 Funds for 9 ITWs have been 10 ITWs to be established. established or upgraded to provide entry level released. instructor training. Date 31-Jan-2008 26-Dec-2011 31-Dec-2012 Comments Number of new and current instructors given Text Value 0 5000 instructors trained entry-level or refresher/specialized instructors Public Disclosure Copy courses annually. Date 31-Jan-2007 28-Jan-2011 31-Dec-2012 Comments The project target has been achieved. Web-based Management Information System Text Value No MIS exists Fully functional MIS developed and implemented. Date 31-Jan-2007 28-Jan-2011 31-Dec-2012 Page 4 of 7 The World Bank Report No: ISR4617 Indicator Name Core Unit of Measure Baseline Current End Target Comments This is the first ever MIS in the craftsmen training system, Public Disclosure Copy which will cover all ITIs and gradually be extended to cover private institutions, too. Number of policy studies commissioned by Text Value 0 9 National Project Implementation Unit (NPIU) Date 31-Jan-2007 21-May-2010 31-Dec-2012 Comments The NPIU will put the agenda of policy studies in the next National Steering Committee scheduled to be held in July, 2010 to identify relevant policy studies. Percent of project ITIs having active private Text Value 0 All project ITIs formed IMCs sector participation in IMC and regular meeting of IMCs are held. IMCs supporting ITIs functioning. Date 26-May-2011 Comments IMCs with the requisite private sector representation was not existing before the project started. Number of innovations proposal financed by Number Value 0.00 0.00 10.00 innovation fund Date 26-Dec-2011 Comments As innovation fund started It was agreed to open up under the project, baseline is innovations fund after two 0 years of implementation of VTIP. About 7 proposals have been submitted by states and Public Disclosure Copy other agencies. The review committee has approved four proposals for financing. Page 5 of 7 The World Bank Report No: ISR4617 Project evaluation undertaken at mid-term and Number Value 0.00 3.00 end-term by independent local/international consultant firms Date 26-Dec-2011 Comments Three mid-term studies: (1) Public Disclosure Copy Tracer study, (2) Management Review, and (3) Civil works quality review, Asset audit and Environment Audit have been contracted out by the NPIU. The reports are expected by January 30, 2012. Data on Financial Performance (as of 30-Dec-2011) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P099047 IDA-43190 Effective 05-Jun-2007 02-Nov-2007 17-Dec-2007 31-Dec-2012 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P099047 IDA-43190 Effective XDR 185.10 185.10 0.00 96.71 88.39 52.00 Disbursement Graph Public Disclosure Copy Page 6 of 7 The World Bank Report No: ISR4617 Public Disclosure Copy Key Decisions Regarding Implementation The Ministry of Labor and Employment through a national competitive process wanted to hire a third party implementation support agency to provide implementation and technical support to the states. As both T1 and T2 declined to take up the assignment, the Ministry has decided to hire some individual consultants. Restructuring History There has been no restructuring to date. Related Projects There are no related projects. Public Disclosure Copy Page 7 of 7