POLICY CHANGES, GLOBALISATION AND THEIR IMPACT ON EDUCATION - Dr. V. THANIKACHALAM Former Professor & Head Center for International Affairs National Institute of Technical Teachers Training and Research Chennai – 600 113, INDIA
Post Indian Independence Development 1947-1970:
Development of India through five year plans Growth of Public Sector Companies Protection to Indian Industries Food Production Technical Education Bureaucracy
The Cold war and the Inflation Driven recessions 1970s – 1980s:
Between USSR & USA Growth demand Increased prices for goods
The Gobal Economic Recovery 1983 - 1984:
Stability of Prices Pricing was no longer inflation driven China opened its economy to Foreign Direct Investment
New Economic Policies of USA & UK - 1984:
Restructuring of capital market Dampened inflationary spikes Latin American and Asian Countries – Emerging Economy South Korea, Singapore, Hong Kong, Taiwan, Japan
Aggressive Strategies of Emerging Economy (South Korea, Taiwan and Japan):
Exporting high-quality and low cost products to support their growing industrial economy Supported by artificially soft currency Very low capital cost Free equity stemming from vertically interacted capital market Close financial / industrial relationships.
American Corporate Leaders:
Indulged in panicky calls for
Increased protectionism Exchange rate manipulation National industrial planning
US International Strategies:
80% focus on domestic market 20% on foreign market
In the Late 1980s
The balance had shifted to fifty-fifty Focus on exports and trade policy
HONDA MODEL INVESTING OF JAPAN
Investing overseas and placing plant and equipment near to their ultimate customers Overcomes the shortage of human resources Slip under protectionist barriers Lower manufacturing cost Improved supply chain response time to customers. Utilized the provisions under foreign direct investment
The key features of international strategy in the 1980s
Political and trade rules throughout the world were different on a country-by-country basis Protectionist policies Non-tariff barriers Exchange controls Tax policies Rules governing distribution Advertising Employment Safety and Environment.
US Corporate Strategies:
Attacked a heterogeneous global market Country-by-country basis Tried to ferret out opportunities among the political risk issues and market variations Adopted “Country of the year” Attempted to expand internationally as cheaply as possible Pursued low-risk, low-reward strategies Trade, employing local sales representatives Strategic joint ventures.
Pricing Strategy:
Business process reengineering Supply chain management Cost reduction Better use of working capital Value analysis
Capital Investment:
Leanness Responded to customer demand faster with lower levels of inventory Higher degrees of reliability and efficiency.
The Era of Internationalization (1984 – 1990):
Foreign competition focus on inflation
Real prices
Real costs Domestic market share erosion Internationalization Internet and e-commerce Cost reduction
The Era of Global Convergence (1990 – 1994):
Privatization / Deregulation Lower trade and capital barriers Increased use of computing power Attracting investment. Export processing zones Foreign direct investment (FDI) Opening the stock markets for foreign institutional investors (FII)
The Era of Global Consolidation (1994 – 1996):
Increasingly integrated global capital markets
Capital concentrated by sector rather than geography Imperative to be competitive on a global basis Requirement of scale and resources to support global strategy
Consolidation of sectors
Telecom Automotive Consumer products / retail Financial services Health care
The Era of Global Integration (1996 – 1998)
Internet
Infinite knowledge and information at virtually no cost
Movement to lower-cost computational and knowledge access system Advanced global communications geometrically – fiber optics Transformed the value chains of nearly every industry ( supply chains) Leading to a transformation of most industries into electronics – based information flows, financial transactions, and marketing
The Era of Acceleration (1998 – 2020)
Markets are becoming more efficient Technology is being applied effectively Consumers should benefit through a vast variety of choices delivered at highly attractive prices Globalization of educational institutes Net working with international universities
“WISDOM”
Globalization of curriculum and instruction Growth of Departments, Programs, Number of Students per program Stakeholders value Institutional development leading to human capital E-learning Web based learning Disruptions Innovation – New Degree / Post Graduate degree programs Knowledge development leading to knowledge capital
Institutional Development for Excellence in India
Utilization of Wisdom
Market driven curriculum for B.E. / M.E. Up to date instructional planning and design Research and development projects supported by AICTE, CSIR, local industries Networking with industries, R&D Labs, and other Resource Institutions Research Publications Inventions Patents.
Follow up by Indian Government
Starting more I.I.Ts in various regions Starting more I.I.M.s (Indian Institute of Management) in various regions Starting more N.I.Ts (National Institute of Technology) one in each state Starting more IIDM (Indian Institute of Design and Management) two in the country
Follow up by Indian Government
Starting IIIT (Indian Institute of Information Technology) in selected regions Starting IIITM ( Indian Institute of Information Technology and Management) Starting Institutions for Planning and Architecture
Refining the I.I.T Programs
Starting the new technology programs Starting the Innovation Centers for research and design Networking with global universities Planning industry relevant graduate programs Starting MBA programs
Starting new programs
Starting new graduate programs in economics Starting extension centers Dual degree programs Planning to increase the graduate and doctoral programs.
State Technical Universities
Most of the State governments planned separate technical universities Affiliated self-financing colleges Started university colleges Started more post graduate and doctoral programs Undertaking sponsored research
Role of AICTE
Providing funds faculty developments through summer and winter schools Providing funds for modernization of laboratories Providing funds for conferences and seminars Accreditation of engineering colleges
Role of Deemed to be Universities (Private) ď Ž ď Ž
Planning and implementing undergraduate, post graduate and doctoral programs Undertaking sponsored research
Role of University Grants Commission (UGC)
Providing assistanceships for post graduate and doctoral students Accreditation of self financing universities Starting national universities
IMPACT OF INITIATIVES
Supply of human resources for sustaining the fast expanding industrial needs Sustenance of industrial production Globalization of industrial production Attraction for starting research and product development centers by MNCs
THANK YOU!