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Christabel Lum Nov 11, 2015 12:00:00 AM 1 min read

VET Industry Needs To Address Skill Shortages, Meet Market Demands

Reforms by the Australian Skills Quality Authority (ASQA) could be a double-edged sword: they've not only supported growth for the Vocational Education Training (VET) Industry; they've also raised the level of competition for VET providers in Australia. How can VET Providers gain a competitive edge internally and externally in this newly-formed, demand-driven industry?

Based on an industry report by IBISWorld, released in April 2014, VET providers saw an increase in enrolments due to rising unemployment. 

Key Determinants

Government Funding

Value of Australian Dollar

Course Fees

Unemployment Rate

Internal & External Competition

Besides facing internal competition on the basis of quality of courses and training venues offered, the VET industry also faces competition from universities. This is because of learner-demand for higher qualifications, driven by the increase in unemployment rates and the worldwide financial crisis. 

"Students typically enrol in vocational education courses to improve their employment opportunities, enhance existing skills, or to change career paths."

Who's Who Behind The Do?

According to the report, learners aged 15 to 24 years form the majority of the VET market (43%). This was driven by policies that encouraged the uptake of VET in schools. The rest of the market comprises of learners aged 25 to 44 years (36.8%) and learners aged 45 and above (20.2%). 

The Need For Blended Approaches

It is significant that learners aged 45 years and above account for 20.2% of the VET industry's revenue. We're looking at nearly $2 billion in revenue here. Learners in this group tend to employed full-time and have family commitments, and so would benefit from flexible course schedules as well as blended learning approaches. 

The requirement for on-the-job training might make blended approaches a challenge for VET providers, but an appropriate investment in 

Personalised Learning

Mentorship/Support

Market-Responsive & Flexible Curricula

This doesn't mean predicting future demand; this also means that your courses and training offered are scaleable and flexible enough to be altered. 

Competition from Universities

In 2014, the VET industry lost enrollments to universities due to learner demands for higher qualifications. 

need to address skill shortages and meet learner demands. The report reveals that VET providers have seen an

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Christabel Lum

Christabel is a Digital Marketing Executive at Wisenet. Content marketing, inbound marketing, and website development, and education technology are her latest adventures, because they make a fab combination of her favourite things: building things from scratch and writing.

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