Meeting the Demand for SIPs Scarce Skills Industrial Engineering Occupational Team Feedback Report 2 March 2014 Executive Summary Industrial Engineering (IE) is one of the younger and faster growing engineering disciplines. It is also one of the 5 largest engineering disciplines in terms of graduate output. It is a field of engineering operating at an integrating level – optimising the productivity of complex man / machine systems and processes, and aiming to make such systems operate better. . Our discipline is applicable to virtually all industries in the primary, secondary and tertiary sectors of the economy Generally, and more specifically in the realm of IE, the issues around Skills Scarcity should be considered from both a skills and a roles perspective. Whereas the problem statement on skills scarcity is largely defined in terms of the actual skills scarcity, new insight could be gained on scarcity in our Profession when looking at skills and roles separately. 1. The top LH quadrant represents the roles traditionally fulfilled of IE, where there has traditionally been a shortage of qualified IEs. 2. The top RH quadrant represents a significant portion of the new growth in demand for IEs, much of which coincides with the requirements of the SIPs. IEs are equipped to fulfil roles in industries that have not been traditional areas of employment for us, and roles that are not (yet) definitively specified in terms of their skills base. 3. The bottom LH quadrant typically represents roles which, given their content, should be fulfilled by IE practitioners. The scarcity of IEs, or ignorance of role requirements and specifications have resulted in the appointment of individuals less-than-ideally suited to these roles. 4. The IE Occupational Task Team believes that the most significant shortfall lies in the bottom RH quadrant, which is currently populated by those having no IE training, fulfilling roles where IE skills are required. Scarcity in industrial engineering lies in both the supply and demand for our Profession. Simply put, there is an insufficient number of experienced professionals, and of IE specialists, both in South Africa, and elsewhere. The supply of IE Practitioners has not been able to match the significant demand side growth in roles requiring IE skillsets, whether or not they are defined as such. From a demand side perspective, the full spectrum of roles that IEs could perform on complex projects, eg. SIPs, is not yet appreciated. The number of IEs needed in both project and operations environments is therefore most often significantly underspecified. (See questions 1e below). We have had no data or means to estimate the number of and economically active IEs currently practicing their profession in South Africa. It has also not been possible to quantify the current actual shortage of qualified and experienced IE practitioners. The present average supply of industrial engineers is approximately 200 qualified IE graduates per annum across all Schools of IE in South Africa. Taking into account that the scarcity stems from both the supply and (ill-defined) demand side, it is envisaged that the number of graduates should increase on the mid to long term. It is however estimated that 100 Industrial Engineers, and 900 Industrial Technicians and Technologists would be required per annum to meet the bulk of direct and downstream needs related to the Design, Build, Operate and Maintain phases of the 18 SIPS. In the short term, the following could be done to address the scarcity : International recruiting of senior IEs Incentivise retirees to act as external mentors to IE candidates Recruit experienced South African IE consultants for short term contracts ii | P a g e Reduce Employment Equity requirements applicable to the recruitment of scarce skills We believe that short term measures could be steered to address deeper and underlying problems in the following manner : Making skills transfer a pre-requisite for short, medium and long term employment contracts, as well as permanent employment Significantly increase the number of SETA grants offered to IE Candidates. Increase CPD rewards for mentoring The funding, development and roll-out of various short courses at post graduate level, that are aligned to the common skills gaps. Various examples of relevant short courses are given, in various parts of the report The realignment of the Technical undergraduate courses to address specific skills shortages in the broader field of IE, and in some instances, where IE overlaps with other engineering disciplines Redefining IE, as captured in the Organising Framework for Occupations Finalising and implementing legislation related to the Identification of Engineering Work Short term measures could be steered towards addressing the deeper problems. The better definition of the need for industrial engineers on complex (SIP) projects should be strongly integrated with the drive to draw more bright young individuals into industrial engineering. We urge for caution in not increasing red tape, and hidden cost to business, in the introduction of policies and other instruments to develop scarce skills The following suggestions are made to address the problems identified in the longer term: The restructuring of the Technical curricula in IE to better align with actual skills scarcity, and to allow technologists and technicians to specialise in narrow fields where shortages exist The introduction of various short courses, at post graduate levels, aimed at other engineering disciplines, and offering foundation and applied skills in those areas where scarcity is prevalent. Offering bridging courses towards the higher occupations, for those students who do not qualify for either B Tech, or B Eng courses. In terms of priority areas where work should begin to address skills scarcity in our Profession, the following recommendations are made : 1) Increased funding of workplace skills development through the applicable SETAs, proportionate to grants made available to other engineering disciplines, on the basis of graduation output. 2) Funding to be made available as follows : a. For conducting more detailed investigations into the requirements for restructuring of IE Curricula, to support the introduction / restructuring / development of new / existing courses that would address the need for specialist and scarce skills b. To proceed with course development, in line with the outcome of requested investigations c. For career guidance on (Industrial) Engineering to be more comprehensive, and to reach a broader audience iii | P a g e d. Remuneration of ad hoc task teams and specialists, involved with front end planning to participate in subsequent Initiatives to identify and address Skills Scarcity e. To promote and create linkages to related jobs in the workplace through specific input into vocational education mechanisms. 3) Address underlying reasons behind the general reluctance of Professionals to work in Government 4) Reconsider criteria for funding allocated to Universities align with support intake, as opposed to output in terms of graduation numbers Contributors Carien Botha Pr. Eng. (Convener) Dino Petrarolo Pr. Eng. Elias Willemse Henk van Tonder Pr. Eng. Michelle Cilliers Pr. Eng. Mohsin Seedat Pr. Eng. Ralph Gunn Pr. Eng. Roland Rohrs Pr. Eng. Pr. Eng. iv | P a g e Table of Contents 0 Industrial Engineering in Context .................................................................................. 1 1 What is the nature of the scarcity ? .............................................................................. 5 2 Can you quantify the problem? .................................................................................. 12 3 In the short term, what can be done to address the scarcity ? .................................. 16 4 Are there any ways in which even these short term measures can be steered to address the deeper problems ? .................................................................................. 18 5 In the longer term, what should be done and where should we start to address the problems that have been identified ? ......................................................................... 20 Report 1 – Further Comments ............................................................................................. 25 v|P a g e 0 Industrial Engineering in Context 0.a Industrial Engineering is a field of engineering operating at an integrating level – industrial engineering optimises the productivity of complex man / machine systems and processes. The aim of IE is to make such systems operate better. Industrial Engineering defined Industrial Engineering (IE) is one of the younger and faster growing engineering disciplines in South Africa. It is also one of the 5 largest disciplines in terms of graduate output. Notwithstanding the growth in both the supply and demand for IE Practitioners, the discipline remains poorly understood - even amongst Engineers. Simply put : “IEs make things work better” The underlying concept behind “making things work better” is integration and optimisation - neither of which terms are unique to our profession. What makes us unique is our ability to optimise the inputs, processes and outputs of complex systems (eg : organisation or supply chain) where: Methodical, quantitative and scientific approaches are required to develop cohesive strategies, structures, systems, applications and mechanisms to drive efficiency and effectiveness Sustainable improvement of output and impact as expressed in economic, social and / or environmental terms is sought The simultaneous consideration of all relevant inputs / resources (eg : human, materials, equipment, capital, time), as well as conversion and support processes, which form the interdependent dynamics of a complex system Given our understanding of the financial, social and managerial sciences, in addition to the engineering sciences, IEs are equally comfortable conversing with members of other engineering disciplines, as they are with those of other professions. As specialists in the art and science of systemic optimisation and integration, IEs tend to take a leading role in multi-disciplinary teams consisting of engineers and professionals. 1|P a g e 0.b Industrial Engineering is applicable to virtually all industries in the primary, secondary and tertiary sectors of the economy IE Foundation Skills Our discipline is not associated with any one particular industry or sector of the economy, eg : aeronautical engineering (aviation), agricultural and mining engineering (primary sector) or even civil engineering (construction and engineering contracting). Neither is it defined by input materials, or range of conversion processes, eg : chemical, electrical, mechanical or metallurgical engineering. IE Practitioners are found in virtually all industries where the dynamic of adding value resembles that of a complex system. Given its broad applicability, and being one of the younger engineering disciplines, the question is often asked as to whether there are building blocks (eg : methodologies, principles, techniques, etcetera) that are unique to an IE skills foundation. What makes an Industrial Engineer unique amongst the engineering disciplines? For example - what equips an IE working in the banking sector to be more effective at assessing the viability of a new chemical industrial plant, or new road network, than for example a chemical and civil engineer, or a B Comm. graduate? What equips an IE to look at municipal service delivery in a manner that not only focuses on infrastructure, but rather on the management thereof throughout the engineering life cycle, as one of various components of a complex and open system, of which the dynamics would change over time? In answer to these questions : The curricula to which IE graduates are exposed draws from the engineering, financial, human, management, organisational, behaviour and legal sciences. This broad reference base not only equips the individual to view problems from a wider angle, but, given the discipline specific thought processes to which the IE is exposed, does so in a holistic and systemic manner. There are a large number of building blocks that are specific, and unique to the IE skills foundation, most of which are listed below Business Process Re-engineering Process Design and Implementation Computer aided manufacturing Reliability Engineering Engineering economics Robotics + Production Automation & Control Ergonomics Facilities design Inventory optimisation, Forecasting + Demand Management Operations (Production / Mass-Production / Fabrication / Assembly) management philosophies Maintenance Management, incl Total Preventative Maintenance Manufacturing methods and techniques Scheduling techniques and tools Simulation, incl stochastic + deterministic modelling techniques Supply Chain Engineering, incl inbound + outbound logistics Systems Analysis + Design Methods Systems Implementation Management Systems Engineering Method and Works aka Time + Motion Study Total Quality Management, incl Quality Assurance, Six Sigma, Statistical Process Control Network Optimisation Value Engineering Operations Research The combination of foundation skills, or building blocks - both those that are specific, and complementary, to our Profession - equips IEs to play unique, and highly sought-after, 2|P a g e roles in various industries, in various spheres of organisations, and across virtually all levels of seniority. Generally, both the unique and other building blocks are covered in either under- or postgraduate academic (B Eng, or BSc Eng) courses offered by The University of Pretoria, Stellenbosch and WITS Universities, with integration and optimisation forming a consistent theme in all academic courses. B Tech courses, on the other hand, are less focused on integration, and tend to specialise in the optimisation of problems that are well-defined (as opposed to the ill-defined problems and higher levels of complexity to which engineers are exposed). 0.c Areas of Specialisation in IE Similar to our Civil Engineering colleagues, IE Practitioners tend to specialise early in their careers. Considering the OFO framework as a reference for specialisation, the following themes (which are not mutually exclusive) apply to our profession : 0.c.i Typical Fields of Knowledge Industry, industry-associated goods and services, and industry - associated input materials and resources : o eg : Mining, Agri-processing, Defense, Fast Moving Consumer Goods, Automotive, Financial Sector Business and Engineering Management o eg : Operations Management, Supply Chain Management, Quality Management, Maintenance Management and Financial Management Skills associated with phases in the life cycles of businesses, programmes or projects, products or services o eg : Asset and Maintenance Management, Project and Programme Management, Feasibility Analysis, Bid Management, Change Management and Transformation, System Design, System Implementation, Fabrication Engineering, Production Engineering, and Process Design Engineering 0.c.ii Problem Solving Techniques & Methodologies and Tools & Equipment applicable to specific IE sub-disciplines eg : Supply Chain Management, including procurement, inventory and materials management, warehouse and logistics management, manufacturing management, production and process control, and sales and distribution management Total Quality Management, Six Sigma and other approaches to Quality Assurance and Quality Management Simulation and stochastic processes, statistical analysis, and operations research Systems design, systems engineering, and systems support Project Management Manufacturing, processing and fabrication techniques ERP / Business / Project Management Systems implementation & support Design, implementation and support of Information and Telecommunication (ITC) applications 2|P a g e System Analysis and Techniques Operations Research and Optimisation Techniques Philosophies, (eg : Just-in-Time, Theory of Constraints, Lean Manufacturing, Six Sigma) Various other structured methodologies & techniques in support of the improvement of productivity and in the optimisation of complex systems 0.c.iii Industries, materials worked on and kinds of goods and services produced Primary industries and their downstream beneficiating industries, including mining, fisheries, forestry and agriculture Manufacturing industries, ranging from highly specialized capital and goods manufactured on order, to mass-produced and fast-moving consumer goods Chemical, petrochemical, agriculture, food, cosmetics and other processing industries Construction and engineering contracting Logistics, transport and warehousing Medical and health industries Services industries, including banking, insurance and public sector Engineering and management consulting Information and Communication Technology, including business management systems, artificial intelligence, virtual reality, simulation, and other decision support mechanisms and transactional systems The materials worked on, or with, which typically are closely-related to Industry - eg : Agri-produce and Agri-processing Petrochemical and Processing industries Mining, Extraction and Beneficiation, Foundries, Smelters, Metal Works, Precision Manufacturing, and Steel Fabrication The kinds of goods and services produced - eg : Manufacturing, Processing, Assembly Fabrication, Erection, Construction and Engineering Contracting Complex Systems – eg : Military Equipment Service Industries Professional and Management Consulting Services Banking / Financial Sector Services 3|P a g e 0.d Skills vs. Roles Perspective The sections above offer insight into the broad foundation skills in IE, and the various roles it enables IE Practitioners to fill. Generally, and more specifically in the realm of IE, the issues around Skills Scarcity should be considered from both a skills and a roles perspective. Whereas the problem statement on skills scarcity is largely defined in terms of the actual skills scarcity, new insight could be gained on scarcity in our Profession when examining skills and roles separately. 1. The top LH quadrant represents the roles traditionally fulfilled of IE, where there has traditionally been a shortage of qualified IEs. 2. The top RH quadrant represents a significant portion of the new growth in demand for IEs, much of which coincides with the requirements of the SIPs. Given our broad foundation skills, IEs are equipped to fulfil roles in industries that have not been traditional areas of employment for us, and roles that are not definitively specified in terms of their skills base. The performance of IEs in such roles has gradually led to a widening of the playing field for our Profession, and to role specifications reflecting the requirement for an IE background. 3. The bottom LH quadrant typically represents roles which, given their content, should be fulfilled by IE practitioners. The scarcity of IEs, or ignorance of role requirements and specifications, has resulted in the appointment of individuals less-than-ideally suited to these roles. 4. The IE Occupational Task Team believes that the most significant shortfall lies in the bottom RH quadrant, which is currently populated by those having no IE training yet fulfilling roles where IE skills are required. The adaptability of IE practitioners has been our biggest strength, and has propelled the discipline towards unprecedented growth on both the side of demand and of supply. It has however also been our biggest downfall. In professions such as civil engineering, where the coupling between roles and skills is tight, supply side growth normally matches – albeit with a time lag – the demand side growth. The supply of IE Practitioners has not been able to match the significant demand side growth in roles requiring IE skillsets, whether they are defined as such or not. 4|P a g e 1 Scarcity in industrial engineering lies in both the supply and demand for our Profession What is the nature of the scarcity ? In the context of the SIPs, the scarcity of IE manifests itself on both the supply and the demand side : Supply side : There is a general shortage of qualified and experienced IEs. Although the throughput of IEs over the last decade has been one of the fastest growing of all engineering disciplines, with virtually all graduates being employed by industry – leaving an ongoing shortage. There are just too few of them. (See questions 1.d below). Demand side : The full spectrum of roles that IEs could perform on complex projects, eg : SIPs, is not yet appreciated. The number of IEs needed in both project and operations environments is therefore, most often, significantly under-specified. (See questions 1.e below). In terms of Industrial Technologists and Technicians, the problem of ill-defined requirements is even more acute and will require an industry wide approach so as to better define such roles in support of the functioning of IE in industry and specifically on the SIPs. 1.a Are there just too few people with this skill in total in the country / or in the world? The shortage in Industrial Engineers lies primarily in an insufficient number of experienced professionals, and in that of specialists. The current demand for IE graduates from South African Schools of IE exceeds the current supply, with anecdotal evidence suggesting that students find work easily. Demand for IE employees is also bolstered by employment equity considerations. Other than in Chemical Engineering, IE has the largest contingent of female graduates of all engineering disciplines. There is limited knowledge of the potential value-add of our Profession beyond those industries that traditionally employ IEs (eg : manufacturing, supply chain, processing, mining). There is an underlying scarcity, which could only be addressed with systemic interventions in the medium to longer term. As the value adding potential of IEs is increasingly better understood, we anticipate that both the demand for, and supply of, IE Practitioners will grow. Examples of sectors of the economy / industries where IEs are, and could be, playing increasingly more significant roles include : Built Environment and Construction and Engineering Contracting Provision of Human Settlement Roll out of Schools, Clinics and Hospitals Programmes Public Transport – design, build, operate and maintain phases Public Health Sector – most notably the supply chain management of medical supplies Public Sector, ie : National, Provincial and Local Authorities Large scale provision of Communication Technology Generation of clean energy In many of these sectors, the potential contribution of IEs is poorly understood. Roles are specified, and filled by individuals who we believe would have a more beneficial impact, were they to have had the required experience and background in IE. 5|P a g e We therefore believe that the requirement for specific skills may be met by individuals who could be skilled more appropriately, through new and existing courses in IE, or those which combine the principles of IE with those of other disciplines. Examples of the above would be newly developed courses in : OFO 441903 - Stores Management (currently a scarce skill), which needs to combine the principles of inventory management, a key skillset of IE, with those of construction management. OFO 833402 - Project and Programme Administration (also a scarce skill), which draws on the principles of project accounting / costing, process management, planning and scheduling, and performance management – all of which are focused on in IE curricula. 1.b Or is it because the skills are locally (not nationally) scarce where the products are to be rolled out and where local communities wish to be first in line for the jobs? There is a significant extent of local scarcity, coupled with – in some instances - the perceived unattractiveness of living in “remote” areas, and with regional remuneration practice. This holds true, especially if one were to attract IE Practitioners to Public Sector investment programmes, eg : New Build Electricity Programmes, Municipal Service Delivery, etcetera. The current and anticipated skills scarcity in our Profession falls in the upper tiers of NQF, and expectations around short to medium term job creation at a local community level is therefore both unrealistic and unfeasible. A further reality is that of skills localisation. Many first generation students cannot afford to study away from home. They have no alternative but to choose from courses available from nearby Institutions. After graduation, students often settle in their home towns, where they are absorbed by local industry. 1.c Is it that the people don’t want to work for the organisations where they are needed (e.g. Government)? If so, why? Whilst IEs could make significant contributions in the Public Sector, the scarcity of IEs leads to competition for resources from the Private Sector. Potential roles for IEs in the public sector are, furthermore, not well defined yet. Given that IEs tend to specialise in specific industries, it becomes difficult to switch to industries where the value of IE is relatively unknown. Realistically, the supply pipeline of IEs to new industries would need to be built upwards from graduate level. It may therefore take several years to develop IE type industry specialists in new sectors of the economy. 1.d Is it because the people who are available do not meet the need in some way? If so, in what way do they not meet the need? As suggested above, IEs are able to fulfil roles across a variety of industries, in all phases of an asset life cycle (Feasibility, Design, Build, Operate, Maintain), and at levels ranging from strategic to operational. Demand, and specification of roles are most often badly framed, resulting in roles filled with individuals equipped with ill-suited qualifications. 6|P a g e 1.d.i Is it because they lack the requisite experience to execute the work that needs to be done? No - the building blocks of an IE education equip individuals to fulfil a variety of roles. In many instances, the building blocks of IE form part of the foundation skills required for the implementation of most of the 18 SIPs. Because of ill-specified roles, individuals lack the requisite background, and experience, to fulfil such roles to the full. 1.d.ii Is it because their qualifications are out-of-date or do not adequately cover the knowledge and skills required by those at work? What are the key gaps or problems? Generally, industry specific roles are defined by the professions dominating those industries, from the perspective of known and available skills, and not always from the requisite insight as to what other professions / engineering disciplines could offer. An example is a Site Planner, in the Construction and Engineering Contracting Environment. The core skills requirement, as defined in the role profile, would be that of experience in the use of Primavera (scheduling tool). In many instances, what is overlooked is the need for foundation skills in the principles of planning and of scheduling, which are standard building blocks of the IE Profession. There are varying opinions amongst senior IEs as to whether the current curricula effectively match the requirements of industry. Notwithstanding this, the degree of adjustment required might be less than 20%. It is therefore fair to say that academically qualified IEs generally have appropriate qualifications to meet roles that are both welldefined and ill-defined in terms of the underlying IE skillset required. There is a significant opportunity to redefine the technical qualifications for IE to better meet the criteria for roles applicable to SIPs, and to meet the needs of industry in general. In certain instances, inputs from other disciplines may be required. We believe that further investigation is required to define courses along the following focus areas (engineering problems that are well-defined, or that could be solves using proven techniques) which could ultimately replace, or complement, the existing technical qualifications : Operations, production, cost, variance, quality and maintenance management Manufacturing techniques Supply chain and logistics management Project & program administration and management Process management and systems implementation Systems analysis, design and optimisation Business process optimisation 1.d.iii Is it because the institutions that deliver them are viewed as providing poor quality programmes? The root of the problem lies in demand that is badly framed in terms of role specification, and which, ultimately, leads to a supply side response in terms of curricula that are not designed to meet industry and ultimately SIPs requirements. The context of large scale infrastructure delivery is generally poorly understood by educational institutions. Other than the period leading up to 2010, contemporary South Africa has had no collective experience of infrastructure development being a sustained contributor to GDP. 7|P a g e Our learning institutions often do not have the requisite collective knowledge or insight to define skills requirements, based on their often limited / narrow exposure to industry. In many instances, Universities do not have the capacity or the means to develop and to expand their curricula beyond their current skills and experience base. In certain instances, a multi-disciplinary approach needs to be adopted in the development of learning programmes for specific and specialist skills required. 1.d.iv Is it because there is no nationally recognised qualification for the skill that is required? Recognised qualifications do exist for the skills required, albeit that : National productivity could be dramatically enhanced if curricula were to be reframed in terms of actual skills requirements Skills requirements for roles defined as being scarce were to be better defined Capacity of learning institutions need to bolstered to allow them to cater for broader specialisation aligned with industry requirements, rather than curricula that are generic in terms of discipline Please refer to 1.d.ii for suggested framework for Industrial Technician and Technology curricula that are aligned to scarce skills requirements. 1.d.v Is it because there is limited practical training capacity at the institutions where they were trained because equipment is not available or because the lecturers lacked practical skills? Practical training at Academic Universities is constrained by limited funding to maintain, grow and staff work centres and laboratories. Furthermore, in many instances, lecturers lack relevant, and sufficient, width and depth in industry and in practical experience. Opportunities to complete workplace-based practical learning that forms part of the curricula of both B. Tech and N Dip courses, are becoming increasingly scarce. The reasons are varied : Student enrolment has been growing at disproportionate levels relative to the number of in-training positions available in Industry Economic realities have prevented organisations from increasing the number of learnerships on offer Insufficient funding is available to support learnerships 1.d.vi Is it because the majority of people have only a sub-set of the skills required and are not fully qualified? If so, why does this problem persist? Correct – see answers to 1.d.i, 1.d.ii, 1.d.iii and 1.d.iv above The problem persists, given : Lack of funding allocated to Universities to : – Attract individuals to lecturing positions having the required industry experience and able to create the required critical mass of awareness of demand side requirements – Introduce and to implement the required changes to curricula – Support a broader variety of courses aligned with industry specific requirements Ignorance on the side of those specifying roles and the success criteria of roles 8|P a g e Notwithstanding these issues, the magnitude of scarcity is such that IE graduates are effectively absorbed in industry 1.e Is the problem on the other side? 1.e.i Is it because the current job descriptions are inadequate and so the wrong people are attracted into these posts? How should these be changed? Please be specific Correct. It is a matter of the wrong skills foundation specified for various roles, including those found in various spheres of Government Examples, applicable to both identified, and yet-to-be identified, scarce skills in the context of the SIPs include : Operations Management & Continuous Improvement – IE curricula include various foundation skills in operations management, which is the science of integrating resources and processes into cohesive strategies, structures and systems for the effective and efficient delivery of quality goods and services. – There is however no one specific qualification for the role of Operations Manager, with people from various backgrounds ultimately found in these roles. Supply Chain Management, including Procurement, Warehousing & Inventory Management Inbound & Outbound Logistics Management, Sales & Operations Planning – Various paths exist to the Supply Chain Professions, where clerical workers are promoted, without an understanding of the principles of value chain dynamics, technical procurement, warehouse and inventory management, transport optimisation, etcetera Operations Research & Strategic Decision Support – The field of Operations Research presents a multitude of analytical and qualitative decision support techniques that are seldom applied in the context of strategic decision support. Examples include : o Network optimisation o Resource optimisation o Scheduling o Financial modelling o Process flow simulation – Decisions, often having costly implications, are made by individuals who are unaware of discipline specific techniques enabling decision making on a scientific basis Manufacturing, Production & Maintenance Management – Often fulfilled by Mechanical or Process / Chemical / Electrical Engineers, without prerequisite formal training in Operations Management, and optimisation across diverse range of considerations, eg : human dynamics, financial considerations, material and equipment, health, environment and safety, etcetera Plant, Facilities & Warehouse layout & design 9|P a g e – Often fulfilled by other built environment professions, without consideration of the impact of production, manufacturing, assembly principles and systems on the workflow and, ultimately, considerations of layout and of design Business, Project, Engineering & Construction Management Systems Implementation – Often attempted from an IT, and discipline specific approach, without formal education in process and system design Fabrication Management, Fabrication & Erection Planning & Logistics – Often approached from a mechanical engineering perspective, without an understanding of the differences between one-off manufacturing, and the principles of operational management that apply to a fabrication shop and the systemic complexities of delivering many of a kind or many of different kinds. – Planning and Control approached from the perspective of mastery of the software applications supporting these functions, without any foundation skills in planning and control in complex environments Document Management, Engineering Change Control & Configuration Management – These roles are seldom approached from a perspective of understanding the principles of an integrated document and change control value chain. In most instances, information from different parties, different information systems, and different phases need to be integrated The principles governing the change required are : to ensure that the roles are defined with consideration of the correct combination of skills curricula that need to be defined from the perspective of industry specific skills requirements training institutions that need to be empowered to attract the required skills necessary to develop and to offer appropriate courses 1.e.ii Is it because insufficient project spending is taking place to allow people to be trained? What are the reasons? How can they be addressed? Sustainable skills pipelines can only be developed in the context of sustainable demand for such skills, and with the confidence of industry in the creation of a continuous pipeline of public sector work awarded in a transparent and equitable manner. It is a chicken-egg situation, precipitated by unwillingness of training institutions, and of the private sector, to benefit directly from training and to invest in skills development in the face of uncertainty. The situation can only be addressed by Government, through clear signals relating to their investment in SIPS, that will result in a turnaround toward a virtuous spiral. It is one of Government’s most significant roles to de-risk private sector investment through the creation of the infrastructure, the means and the platforms for private sector to participate in and in which to further invest. In the short term, the number of SETA funded learnerships available to IEs could be aligned proportionately with the graduate output of IE relative to other engineering disciplines with those available to other engineering disciplines. 10 | P a g e 1.f Other reasons? A mix of the above reasons? Unknown reasons? eg : Is it a geographically defined problem, eg : people with the requisite skills are reluctant to work in rural or underdeveloped areas? Are the working conditions not conducive eg : professional judgement is not respected? No other reasons than those listed above. 11 | P a g e 2 Can you quantify the problem? It is estimated that 100 Industrial Engineers, and 900 Industrial Technicians and Technologists would be required per annum to meet the needs related to the Design, Build, Operate and Maintain phases of the 18 SIPS. We have had no data or means to estimate the number of and economically active IEs currently practicing their profession in South Africa. For reasons explained further above, it has also not been possible to quantify the current actual shortage of qualified and experienced IE practitioners. Career opportunities for individuals with an industrial engineering degree continue to grow at an astounding rate. In a recent report by the United States Bureau of Labor Statistics, there are over 1.5 million engineers in the United States. Industrial engineering is the third most popular area of engineering, with approximately 200,000 engineers. A typical megaproject has between 5-10% of staff employed in the project management organisation. As an example, Eskom’s Medupi project has a project management organisation of close to 1,000 staff (total on site construction staff of 18,000). These roles span from project directors through to integration managers, planners, quality controllers, cost controllers, schedule, inventory and logistics managers, etcetera. This can be assumed to be a reasonable proxy for some of the large SIPS projects. The broad field of engineering is expected to grow at a rate of 11% over the next several years. Due in part to the complexity of the field and the recognition of the importance of the industrial engineer, the need for qualified industrial engineers is expected to grow at about 20% http://www.degree.com/engineerin g/industrial-engineering-degree The present average supply of industrial engineers is approximately 200 qualified IE graduates per annum across all Schools of IE in South Africa. Taking into account that the scarcity stems from both the supply and (ill-defined) demand side, it is envisaged that the number of graduates should increase on the mid to long term. When using Medupi as a basis, projects of say R100bn could easily have a project management office consisting of 1000 individuals, 50% of which we believe fulfil roles which have an IE skills component. The number of graduate Industrial Engineers required would ideally be about 10% (+-50) whereas the remaining 90% (450) would be spread between B.Tech and N.Dip graduates in a related IE field. At present most of these roles are being filled by graduates from other fields of engineering and also other professional groupings eg commerce and law. Training towards specific IE skills in the roles required for a PMO may be highly beneficial to many of the SIPS. Due to the current shortage of IE practitioners, these roles are being filled by other professions locally, and also with foreign IE and other engineering discipline professionals. Considering the Design Build phases 18 SIPS, the additional demand for Industrial Engineers, could be in excess of 500 individuals, whilst the demand for B.Tech and N.Dip type IE skills could exceed 4500, on a similar basis. Given the pipeline and duration of the SiPs projects it seems likely that the above numbers of persons would be meaningfully employed for at least the next decade. This translates into a conservative estimation of an additional annual requirement to support the SIPs of approximately 50 graduate IEs and 450 qualified B.Tech and N.Dip IE skills. For the Operate and Maintain phases, most of the SIP projects will directly employ approximately 5~10% of their construction staff complement, whereas related and supporting industries would employ a further 5~10%. Thus it is envisaged that 50~100 graduate IEs and approximately 500~1000 B.Tech and N.Dip IE skills would be required in the operational phase of SIP projects. Further to this, in supporting the SIPS, there will be demand for IE skills for upstream service providers from manufacturing, logistics, banking, management consulting and assurance. To qualify this: Manufacturing - supply chain localisation is one of the key driver’s entrenched in the procurement of goods and services for the SIPs, which would imply growth in local manufacturing. The IE curriculum is strongly geared towards supporting 12 | P a g e manufacturing entities in process and systems design as well as techniques of optimisation and quality management. Logistics – The SIPs projects pose some of the most exciting logistics challenges due to their scale and geographic locations. IE’s are trained on logistics and inventory management and simulation which is key to supporting the SIPs Finance – Banks are increasingly employing IEs to support in interpreting project information memoranda in terms of risk and financing structuring to ensure that banks can finance these projects at competitive rates and with managed risks. Banks have been traditionally averse to first of a kind and mega projects due to the inherent risk associated with these. They look to engineers with an understanding of finance as well as systems integration, value and risk to support on decision making on these mega projects Management Consulting – One of the key advantages of IE is that its members are at an age profile which is quite healthy. The youngest of the engineering disciplines, its members are agile, versatile and highly regarded. This has also resulted in a healthy demand for IEs from the management consulting firms which would also be employed on the SIPS projects from strategy to execution and significantly into operations where lean/six sigma, total quality management and business process re-engineering services are typical service offerings and squarely in the domain of IEs Assurance – The big four audit firms have also looked to IEs to support on assurance of mega projects as IEs have a combination of engineering and finance skills required for assurance and forensic reviews on capital project budgeting and capital project spend. Into operations the provision of assurance on production and productivity metrics is of increasing importance. From the above, it can be estimated that to support the SIPs, the above upstream and supporting industries will require at least as many IEs as the projects themselves, Thus the estimation is that in supporting the SIPS, a conservative estimate of 100 graduate Industrial Engineers and 900 B.Tech and N.Dip IEs will be required per annum. Looking forward to a vision of 2050 with South Africa as a leading developed country and using the SIPS as a catalyst for such growth towards a developed country, based on the above calculations, the requirement for graduate IEs would number approximately 15,000 by 2050 (0.03% of the current population). We have benchmarked the above to data from the United States Bureau of Labor statistics which currently has on record 1,500,000 Engineers in the USA of which 200,000 are IEs (0.06% of the current total USA population). Our estimates are therefore relatively conservative. We believe the above to be a reasonable estimate of IE skills requirements and would thus recommend that in support of the SIPs there is a move towards increasing the number of IE graduates by 100 per annum and likewise for IE related B.Tech and N.Dip skills by 900 per annum. 13 | P a g e 2.a What sectoral projects will particularly require this occupation? What information is available about timing and location of demand? All SIP projects will require IEs at all levels, and in all phases in life cycle. The requirement also goes beyond project implementation level, to include pre-feasibility (bankability and financing phases), as well as the requirement at a portfolio management level, i.e. within the PICC, from where the project roll-out and management would be coordinated. 2.b Does this information help to qualify the problem for planning purposes? Kindly provide specific suggestions, including reference to other available data bases where available. At the time of writing, no information / data has been made available on the portal relating to supply and demand. Suggestions are : Further work to be initiated and undertaken by DHET in order to : o Assess demand profiles in the context of SIPs timeframes, and a more detailed level of project scope and consequent work breakdown in terms of the generic roles that would be required o Identify respective role profiles, and numbers required in time frames of 2 to 5 year buckets. This would facilitate planning at a national level, and across the various stakeholder groups. o Link identified roles to current / Proposed learning pathways for the respective roles, in order to assess whether learning institutions and other stakeholders in the skills development pipeline : Have the capacity to deliver graduates at the required throughput rate Should introduce other pathways to the IE profession, eg : short courses, post graduate diploma course, etcetera Offer curricula which align with national skills development imperatives More pro-active coordination of focused task teams and respective stakeholders. (Smaller groups with the right stakeholders on board generally achieve more) Convene academic and industry task teams to improve the quality of assessment on additional courses required to address the need for specialist skills development. It may imply that the introduction of the new curricula for universities of technology be put on hold for such purposes Provide the required funding for upfront planning to be outsourced to the appropriate professionals. Upfront planning is the most significant driver of success. Yet it is left to individuals who offer volunteer time, at no compensation for time and effort invested. 14 | P a g e 2.c How might this data be nuanced to take account of the problem analysis above? Please refer to the above suggestions. The outcome would enable Task Teams to assist in the identification of : Courses and course content that need to be developed Effective promotion to industry of available courses Accelerating throughput and the channelling of financial aid to ensure that skills bottlenecks are alleviated through a combination of the funding of academic institutions, grants for work place skills development, and other methods of incentivising the development of specialised and scarce skills 2.d Please provide as accurate a quantitative description of the problem as possible. If this is not possible, provide a method whereby this issue might be addressed. SAIIE does not have access to the data required to quantify the problem around net demand for IE Professionals. 15 | P a g e 3 In the short term, what can be done to address the scarcity? International recruiting of senior IEs would be the main short term solution. Active recruitment and encouragement of school leavers, especially also young women, to study IE should be the medium term solution The roll-out of the SIPs often requires immediate attention to be paid to this scarcity. What can be done in the short term? Here are some options, there may be others : 3.a Scan the local labour market for the skills that are needed by referencing the DoL Employment Services South Africa (ESSA) database. Do you know of other data bases which might help to find available skills? Specify these. None other than working with selected recruitment agencies. 3.b Encourage the return of retirees Retirees should be incentivised to act as external mentors to support Candidate development, through companies that offer Registration support. This should include a formalised mentorship programme to equip retirees / consultants with the correct blend of skills required. 3.c Explore the possibility of recruiting people on a short term contract basis to fill the gaps eg. across the public sector or from the private to the public sector to get projects going. From where might these individuals be recruited? Give specific examples. There are numerous experienced independent consultants in the IE space, which could be contracted to fill these gaps, should Employment Equity not be applied as the key selection criteria. The SAIIE website will soon post details on IE service providers. Skills development will require significant investment. Such investment must however be seen in light of the hugely beneficial returns to be made by the country in the process. Wherever experienced skills – retirees, consultants, lecturers etcetera – exist, and wherever they are used, the possibility of skills transfer should be considered. Within the confines of pragmatism, the SIPs could be seen as a large classroom in training. The key importance here is that the correct (as opposed to any) skills are transferred. Those best qualified need to be driving the work to ensure that the projects come in on time and in budget, and these are the types of skills that need to be imparted, including technical, commercial and leadership skills. The costs of not bringing in projects on time are so prohibitive as to wipe out the benefits of skills investment envisaged. 3.d International recruitment Applied in the same way as above; see 3.a re special arrangements. 3.d.i Recruit international experts for short term contracts See points above 3.d.ii Suggest skills which should be invited to enter the country on a permanent basis We discourage the practice of importing skills, albeit scarce, prior to a full investigation on the local availability of such skills. SAIIE would assist with such investigations. 16 | P a g e All those who enter, on the basis of such skills not available locally, should be providing value-adding skills otherwise they should not be part of the process. It should also be remembered that those entering will have the means of contributing to the country’s economy e.g : in the employment of domestic assistance, in tourism, in the exercising their purchasing power etcetera. 3.d.iii Encourage those who have left to return The importance of their contributions must be focused upon, and they need to be encouraged to return for the right reasons. 3.d.iv Other ideas Often, Employment Equity requirements limit the pool from which experienced practitioners could be sourced. Given the dire shortages of skills this should not be a consideration - everyone who is capable will be needed! 3.e Recognition of prior learning (RPL) – assess and recognise skills of those who are doing similar work currently – where a qualification is a condition for employment. How should this be done, by whom, for your specific occupation? Where and how should preparations be made for this? Give specific guidelines for those requiring the skills to follow. See SAQA NAMB and other guidelines to this matter. Many problems outlined above stem from RPL without due consideration of the foundation skills required. These need to be managed on a case by case basis as prior learning differs markedly – 10 years’ experience of one year repeated ten times over is vastly different from ten years of diverse experience. A comprehensive competency based interview process needs to be one of the avenues of assessing competence if this is to be seriously considered. 17 | P a g e 4 Are there any ways in which even these short term measures can be steered to address the deeper problems? Yes, the better definition of the need for industrial engineers on complex (SIP) projects should be strongly integrated with the drive to draw more bright young individuals into industrial engineering. 4.a Require those brought in on short term contracts to train others as part of their contracts. Perhaps they should themselves be trained on how best to do this? In government, should those who are brought in be trained in the systems of government which need to be strengthened, eg. Infrastructure Delivery Management System? Yes - Training and skills transfer should receive more attention A fine balance needs to be struck however in terms of introducing additional bureaucracy, and allowing industry to employ whomsoever, and from wherever they believe to be most appropriate to the task at hand. Instead of burdening small companies by making them each replicate training processes, there is a strong business case to be made for State Owned Enterprises, or Institutions of Government to provide – through its academic and training institutions - or to incentivise private sector to do this training. It is important to bear in mind that the additional costs which small companies will incur through many different requirements imposed upon them will see these being passed on. As these requirements are not executed on a large scale they are expensive, versus what can be provided on a central scale. Cost and efficiency benefits will be realised by government facilitating many of these requirements. 4.b Should work permits include conditionalities? Specify what conditionalities might work best for your occupation eg. immigrants should be required to train local people? Or train local lecturers? Send South Africans to their home country for training? Build local training facilities and equip them to provide programmes to South African learners to international standards? Etcetera A carrot, as opposed to a stick approach, would work better. There are too many complexities around inclusion of conditionalities for work permits, which will ultimately result in the skills just not coming. There needs to be a clear understanding upfront that the work in SA will require a measure of skills transfer - this can be built into work contracts. Strategic partnerships between learning institutions would play a significant role in skills development in countries that have successfully implemented strategic infrastructure delivery programmes. Offset programmes could be leveraged more effectively to ensure skills transfer, and larger scale development of scarce skills. 18 | P a g e 4.c Short courses developed to address common skills gaps be inputs into longer terms programme improvements? Agreed. Public sector learning institutions are currently not effectively geared and empowered to implement short courses as alternative pathways to scarce skills professions. 4.d Other? Specify Increase recognition / accreditation of / partnerships with private sector learning institutions geared to address the demand for selected short courses. Use Professional Bodies to accredit such training courses for CPD Reposition Engineering as a Profession of Choice (ECSA Key Accountability) Ultimately the long term solution has to be the development of more engineers in South Africa. A key issue is the attraction of scholars into the engineering profession. In India engineering is considered the most sought after degree! In South Africa, engineering as a career choice for school leavers excelling in Mathematics and Science languishes some way behind the so-called ‘glamour professions’ of medicine, accountancy and architecture and law. ECSA needs to embark upon a significant marketing exercise to reposition engineering as a profession of choice – interviews in the “glossies” aimed at teenagers with (preferably young) role models in the profession, adverts on TV and radio, billboards expounding the virtues of engineers and engineering in contributing to the country’s economy and helping create a better life for all. This will necessitate investment with accomplished and reputable marketing organisations. 19 | P a g e 5 In the longer term, what should be done and where should we start to address the problems that have been identified? The shorter term measures described above will naturally evolve into deeper and broader measures in the long-term, as well as into the resolution of some of the issues raised in the questions below. Furthermore, it is envisaged that specific jobs and roles in industry will naturally have their foundations in industrial engineering related topics (eg : inventory management). It is recommended that the IE discipline attempt to make these linkages more explicit so as to enhance the profession’s relevance more appropriately. 5.a Is there a clear pathway for someone to follow from entry to expertise? Please evaluate the pathway descriptions provided in the SIP Skills Portal and indicate if changes are needed The significant extent of theoretical training required in IE prohibits the introduction of new pathways to the profession, other than those currently offered by Academic Universities, and Universities of Technology. However, the introduction of specific courses, at post graduate level, should be considered, as alternative pathways to the development of specialised skills. There are, nevertheless, opportunities for Industrial Engineering to be a foundation for vocational education. Vocationally-oriented secondary education exposes school leavers to engineering, technological, electrical, building related, and other occupations, but they need further post-school training before they can enter the labour market. Vocationallyoriented education (through specialist ‘focus schools’ or through general secondary schools) could be a much more attractive option within a system of diversified education provision. 5.a.i Step One: What is the entry requirement from the schooling system? (Is it correctly captured on the Portal?) We have assumed this to be correct and similar to other disciplines in engineering. 5.a.ii Step Two: What qualification should they complete to get the necessary theoretical foundation? IEs : BSc Eng, B Eng, or B Ing Industrial Technologists : B Tech Industrial Technicians : N Dip 5.a.iii Step Three: Is there a requirement for simulated practice of the occupation before entering the workplace? Practical workplace training and/or projects, forming part of the undergraduate curriculum in the B. Tech and N Dip courses provides some valuable exposure. For Industrial Engineers, dissertation projects may, or may not, be of value before entering the workplace. These are often supplemented, or incorporated, into vacation work to increase their relevance. Due to the breadth of the IE discipline and the universal applicability of methodologies, simulated practice is not seen as an impediment to successful workplace readiness. 20 | P a g e 5.a.iv Step Four: Is there a requirement for structured workplace learning? If so, is it separately structured? Practical workplace training, forming part of the undergraduate curriculum in the B. Tech and N Dip courses are foundational. For industrial engineers, other requirements (eg : Pr. Eng.) are optional but recommended. Again, due to the breadth of the IE discipline and the universal applicability of methodologies, for graduate IEs it is not seen as an impediment to successful workplace readiness. 5.a.v Step Five: Is there a final assessment of occupational competence? If so, who is responsible for this? Professional Registration, assessed by the Committees of ECSA 5.a.vi Step Six: Are there programmes to follow after final assessment that would better prepare people for specific applications required for the SIP rollout (in government or in the private sector)? Could some of these be integrated into earlier steps more efficiently? No, there are currently no programmes offered through Academic Institutions related to Industrial Engineering aligned with the SIP roll-out. Please refer to Section 1 d ii) for proposed re-alignment of technical courses in Industrial Engineering towards SIPs and industry needs If there is more than one pathway, the above questions need to be answered for each pathway. If there is more than one pathway, is this array of pathways desirable or just confusing? Is there a preferred pathway? Or is there a need for change? Please explain The recent introduction of new curricula by the Universities of Technology is poorly understood (and potentially also poorly received) by various stakeholders, both in terms of what has necessitated the change, and in terms of how it would enhance relevant theoretical training, as required by industry. It is therefore recommended that further efforts to introduce new curricula be paused, for due consideration of the alignment with a broader effort to address the requirement for developing scarce skills. Also, as indicated above, it is envisaged that specific vocational jobs in industry will naturally have their foundations in industrial engineering related topics (e.g : inventory management) and it is recommended that the IE discipline attempt to make these linkages more explicit so as to enhance the profession’s relevance more appropriately in the longrun. It is believed that the introduction of alternative pathways to the profession would have significant longer term benefit, both in terms of offering appropriate skills towards the successful implementation of the SIPs and, ultimately, also towards national productivity. A combination of short courses at post-graduate level, and an investigation into the possible re-alignment of the Technology courses in Industrial Engineering are to be considered in a process led by SAIIE, to ensure that individuals are appropriately skilled for roles with an industrial engineering content. 5.b For this occupation, is there a clear progression pathway to “higher” occupations? Kindly explain and evaluate how effective these are. If not, how might these pathways be created? Considering the migration path of Technician to Technologist to Engineer, many students are frustrated by the fact that they are unable to do so, as a result of not fulfilling minimum admission criteria for maths and science, applicable to Bachelor degrees in IE 21 | P a g e Engineering faculties should introduce extra-curricular bridging courses, which would enable students to migrate with relative ease. Please also refer to the comments around vocational education as a precursor to the migration path described above. 5.c At what stage along the pathway do the key problems occur? Specify for each step what the key quantitative and qualitative problems are and recommend one or more solutions for each problem: The problems identified, and solutions proposed in the supplementary hand-out (untitled) captures the challenges faced in pathways to the IE professions 5.c.i Step One: Key problems, proposed solutions; 5.c.ii Step Two: Key problems, proposed solutions; 5.c.iii Step Three: Key problems, proposed solutions; 5.c.iv Step Four: Key problems, proposed solutions; 5.c.v Step Five: Key problems, proposed solutions; 5.c.vi Step Six: Key problems, proposed solutions; It is recommended that the full range of possible solutions be investigated including those supported by the State eg. NARYSEC, EPWP, Department of Public Works, DPSA internship and learnership Programmes, National Treasury Infrastructure Skills Development and Grant Programmes, Municipal Infrastructure Support Agency, etcetera. Also support CIDB Training Standard. Details can / will be found on the SIP Skills Portal The problems identified, and the solutions proposed in the supplementary hand-out (untitled) capture the challenges faced in pathways to the Industrial Engineering professions. For any large scale intervention, the correlation between ultimate success and effective front end planning and investment has been proven time and again. This holds true for skills development, both as a precursor to the ultimate success of the NDP, but also as a key outcome of the NDP. It is therefore strongly recommended that sufficient budget, focus and attention is directed towards addressing the challenges identified. 5.d Arrange the solutions in order of priority, allowing for the possibility that more than one solution could fall into a single priority classification See 5.e 22 | P a g e 5.e Identify, if possible, priority areas where work should begin (as precisely as possible) or, if this is not possible, determine the criteria for prioritisation 1. Increased funding of workplace skills development through the applicable SETAs, proportionate to grants made available to other engineering disciplines, on the basis of graduation output. 2. Funding to be made available as follows : a. For conducting more detailed investigations into the requirements for restructuring of IE curricula, to support the introduction / restructuring / development of new / existing courses that would address the need for specialist and scarce skills b. To proceed with course development, in line with the outcome of requested investigations c. For career guidance on (Industrial) Engineering to be more comprehensive, and to reach a broader audience d. Remuneration of ad hoc task teams and specialists, involved with front end planning to participate in subsequent Initiatives to identify and address Skills Scarcity e. To promote and to create linkages to related jobs in the workplace through specific input into vocational education mechanisms. 3. Address underlying reasons behind the general reluctance of Professionals to work in Government 4. Reconsider criteria for funding allocated to Universities to be based on student intake, as opposed to graduate output 5.f Evaluate the capacity of implementing partners, namely those universities, FET colleges, Universities of Technology, private training providers and workplaces as well as industry training centres that deliver your programmes. How can these improve their training provision eg. partnerships between stronger and weaker institutions, local and international partners, lecturer upgrading programmes etcetera. It is proposed that the curricula of B. Tech Industrial and N Dip Industrial qualifications be reconsidered and aligned with current, and anticipated industry requirements. The B. Tech and N Dip qualification has become a watered down version of the academic qualification in IE, instead of equipping graduates with specialised skills in a narrow field, as is the case in other engineering disciplines. It may be possible for Universities of Technology to agree upfront on selected areas of specialisation, in light of local industries served, and considering the availability of skills and practical limitations faced. The capacity of Universities of Technology is particularly limited, given that funding models do not support the significant growth in intake, and the subsequent drop-out being experienced recently. It is not foreseen that the challenges faced in tertiary education could be addressed effectively if remuneration of academic staff is not brought on par with Industry. 23 | P a g e 5.g Measure proposed interventions against the PICC terms of Reference and SIP Skills Plan (see reverse side of the Occupational Task Teams Membership sheet) The proposed interventions are on par with the PICCs Terms of Reference. Systemic solutions to constraints in the entire skills development pipeline need to be introduced for the NDP to achieve its objectives in a sustainable manner. 5.h Develop an implementation plan to address identified priorities. Identify who should drive this work and how it should be funded Please refer to 5e) for suggestions on addressing identified priorities. SAIIE has, subsequent to the launch of this Initiative on addressing skills scarcity, embarked on various interventions to systemically, and holistically address skills scarcity in our Profession. Examples are : Various efforts to better promote the profession amongst school goers, other disciplines, and various other stakeholders The launch of a Training Support programme, in partnership with the SAICE Candidacy Academy Promotion of various short courses, aligned to skills scarcity Fostering closer ties with Academics, in view to a forum to address concerns related to the current curricula Closer ties with potential stakeholders, service providers and suppliers to our Profession, in order to address the prevailing shortage of funds to implement the above, and various other measures. 24 | P a g e Report 1 – Further Comments In the Report 1 submission, various references were made to further investigation required on some of the matters which inputs were asked on. The section below provides a revised opinion, after further thought and deliberation. Defined pathways from Entry to Expertise in Industrial Engineering, and its many subdisciplines are currently limited to structured tertiary education in our Discipline, offered by the listed Academic Universities, and Universities of Technology. In terms of entry requirements, a direct correlation could be drawn between intake (and subsequently also drop-out) rates and admission standards, which vary from one school to another – Lower admission standards result in increased quantum of intake. Considering the question about whether to expand the number of structured workplace training grants, it is believed that an immediate increase in structured workplace grants would have significant benefit in terms of alleviating the scarcity of IE skills in the short, medium and longer term. There are various practitioners who work in what could be defined as Industrial Engineering sub-disciplines, entered through pathways other than what is offered as part of the formal education system . In many instances, they are ill-equipped, and uninformed in their application of such skills. Examples are : Technicians and Technologists in the Construction Industry who become Site Planners on the basis of Primavera skills stipulated in the Job Specification. Although such individuals may have learnt to use the planning tool, they lack the fundamental knowledge of planning – which is a core industrial engineering skill Stores foremen who are promoted to Stores and Warehouse Managers, without a formal grounding in the more advanced principles of inventory management, warehousing, logistics and procurement Mechanical Engineering Technologists (eg : Boilermakers, Fitters and Turners, Machine Operators) who are promoted to production supervisors and production managers without exposure to the discipline of operations management, or alternatively to maintenance managers without knowledge of the fundamentals of Reliability Engineering, Total Preventative Maintenance, etcetera. B Comm graduates who find themselves in Procurement, or other fields in Supply Chain Management, without the prerequisite foundation knowledge of either Strategic Sourcing, or Tactical Procurement In the light of the above comments on linkages to vocational training, there may be a significant opportunity in offering applied courses, in sub-disciplines included in and beyond the above examples, especially at Technician and Technologist level. This could result in the introduction of various other, and well-defined pathways to Industrial Engineering Skills that are commonly known to be scarce, albeit that the scarcity may generally not be defined as an Industrial Engineering related skill. As a possible next step, a structured intervention, sustained over a period of time, might be required in the development and introduction of appropriate curricula and courses, and thereafter, in support of appropriate workplace training interventions. An assumption, which should be explored, is that many of the scarce skills in the Built Environment Industries that may eventually be identified as a result of this Initiative, would be skills that require foundation knowledge across more than one Engineering discipline. A cooperative, and cross discipline approach would be required to address such challenges. 25 | P a g e Structured Workplace Training needs to be considered – amongst others - from the perspective of Professional Registration. With less than 25% of the active, non-student membership base of SAIIE Registered as Professional Engineers or Technologists, and less than 20% enrolled as Engineering Candidates working towards Registration, IE is one of the Voluntary Associations (VA’s) having the lowest number of Registered Engineering Professionals. Some of the key reasons for the low drive towards Registration are : the absence of public liability in the work we do the lack of Professional Mentors who are IE Practitioners, especially in the less traditional fields in which young IE practitioners are employed (eg : Construction, Financial, Medical and Public Sector Service Industries, ICT, etcetera) the fact that many Industrial Engineering graduates fail to practice their Profession actively as they advance in their careers The relatively insignificant status assigned to Professional Registration in many of the more contemporary sub-disciplines of industrial engineering, and industries in which these practitioners find themselves The number of Registered Industrial Engineering Professionals, remains a challenge and is regarded as a key enabler in resolving and/or mitigating the key issue around assessment of competence in the workplace. 26 | P a g e
© Copyright 2026 Paperzz