Learning and skills: the agenda for change - the prospectus

Learning and skills: the agenda for change - the prospectus Learning and skills: the agenda for change - the prospectus

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<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong><strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong><strong>agenda</strong> <strong>for</strong> <strong>change</strong>Foreword by Bill Rammell, Minister of State<strong>for</strong> Higher Education <strong>and</strong> Lifelong <strong>Learning</strong>,Department <strong>for</strong> Education <strong>and</strong> SkillsFur<strong>the</strong>r Education is <strong>the</strong> engine room <strong>for</strong> <strong>skills</strong><strong>and</strong> social justice in this country. It equips businesseswith <strong>the</strong> <strong>skills</strong> <strong>the</strong>y need to compete <strong>and</strong> opensup opportunities <strong>for</strong> people of all ages <strong>and</strong> fromall groups in <strong>the</strong> community to build <strong>the</strong> plat<strong>for</strong>mof <strong>skills</strong> <strong>and</strong> qualifications to get <strong>and</strong> keep jobs,to develop in <strong>the</strong>ir jobs to skilled, well-paidemployment <strong>and</strong> to progress to higher education.Thus far an unsung hero, FE is well placed to keepBritain working.FE’s moment has come. It has a leading role in <strong>the</strong>Government’s strategies <strong>for</strong> both Skills <strong>and</strong> 14–19<strong>and</strong> supports wider policy drives in health <strong>and</strong> socialmobility. Over coming months, we will have <strong>the</strong> benefitof advice from Sir Andrew Foster’s Review of Fur<strong>the</strong>rEducation Colleges, which will have fur<strong>the</strong>r implications<strong>for</strong> <strong>the</strong> sector, <strong>and</strong> Lord S<strong>and</strong>y Leitch’s Review of Skills,which will set <strong>the</strong> long-term perspective of <strong>the</strong> <strong>skills</strong>we need <strong>for</strong> competitiveness. And our continuingSuccess <strong>for</strong> All strategy has already had a majorimpact on FE, on which we now want to build.The context <strong>for</strong> <strong>the</strong>se developments is first of allinternational. The UK still lags behind its economicpeers on productivity, on <strong>the</strong> agility to develop<strong>and</strong> exploit new markets, <strong>and</strong> on innovation. The paceof <strong>change</strong> in world markets means that we need fast,efficient dynamic responsiveness in fur<strong>the</strong>r educationso that we can close <strong>and</strong> indeed leap overour <strong>skills</strong> gaps.That urgency exists at national level too. Last year300,000 young people left school with fewer than fiveGCSEs <strong>and</strong> <strong>the</strong>re are still millions of adults who cannot read, write or deal with numbers to a basicst<strong>and</strong>ard. These are statistics not just about academicattainment but about social exclusion <strong>and</strong> dauntinglyhigh barriers to meaningful employment. They arestatistics that illustrate <strong>the</strong> challenge <strong>for</strong> a dynamicfur<strong>the</strong>r education sector to tackle.I warmly welcome <strong>the</strong> lead that Mark Haysom<strong>and</strong> <strong>the</strong> LSC have taken toge<strong>the</strong>r with <strong>the</strong> FE sectorto develop <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong> in responseto <strong>the</strong> challenge of developing an effective, efficient<strong>and</strong> dynamic sector. This is <strong>the</strong> first step on a journeythat will radically <strong>change</strong> <strong>the</strong> whole post-16 l<strong>and</strong>scape.The reviews by Sir Andrew Foster on Fur<strong>the</strong>r EducationColleges, <strong>and</strong> Lord S<strong>and</strong>y Leitch on Skills will providefur<strong>the</strong>r advice which will enable <strong>the</strong> Governmentto develop <strong>and</strong> deliver <strong>the</strong> trans<strong>for</strong>mation we musthave <strong>for</strong> a successful future underpinned by economicprogress <strong>and</strong> social mobility.The <strong>agenda</strong> <strong>for</strong> <strong>change</strong> is <strong>the</strong>re<strong>for</strong>e central to decisionsthat will follow in <strong>the</strong> autumn <strong>and</strong> into next yearbut it also sets out important areas where earlyprogress can begin now. I look <strong>for</strong>ward to hearingfrom Mark Haysom how <strong>the</strong> <strong>agenda</strong> is received<strong>and</strong> how it can be taken <strong>for</strong>ward. I <strong>the</strong>re<strong>for</strong>e wish<strong>the</strong> <strong>Learning</strong> <strong>and</strong> Skills Council <strong>and</strong> all its partnerswell in taking <strong>for</strong>ward <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>.Bill RammellMinister of State <strong>for</strong> HigherEducation <strong>and</strong> Lifelong <strong>Learning</strong>i


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Foreword by Mark HaysomChief Executive of <strong>the</strong> <strong>Learning</strong> <strong>and</strong> Skills CouncilSince I arrived at <strong>the</strong> <strong>Learning</strong> <strong>and</strong> Skills Council, I havebeen asking “What must <strong>the</strong> FE sector do to stepup to <strong>the</strong> enormous <strong>and</strong> exciting challenges we face?”From my viewpoint, what we need is a networkof colleges that put customers first, that operateas <strong>the</strong> nerve centre of <strong>the</strong> <strong>skills</strong> <strong>agenda</strong> <strong>and</strong> take<strong>the</strong> 14–19 re<strong>for</strong>ms out of policy <strong>and</strong> into practice,<strong>and</strong> where <strong>the</strong> disincentives to collaborate fade away.Colleges as famous <strong>for</strong> <strong>the</strong> quality of what <strong>the</strong>y provideas <strong>for</strong> how <strong>the</strong>y run <strong>the</strong>mselves as businesses.A network famous <strong>for</strong> its world class buildings<strong>and</strong> technologies. A simplified system where wasteis minimised so funding can be deployed to front lineeducation <strong>and</strong> training. A sector that plays a broad rolein enhancing local communities. And a system wherelearners <strong>and</strong> employers can find <strong>the</strong>ir way around<strong>and</strong> are equipped to make good choices.But this view is in no way <strong>the</strong> exclusive propertyof <strong>the</strong> <strong>Learning</strong> <strong>and</strong> Skills Council. In a series of regionalmeetings in 2004 <strong>and</strong> again in 2005 we discussed<strong>and</strong> developed it at length with college principals,<strong>and</strong> I continue to be struck by <strong>the</strong> breadth of supportit enjoys across <strong>the</strong> sector.Nor is <strong>the</strong> LSC itself exempt from <strong>the</strong> challenge.We have heard <strong>the</strong> feedback. As <strong>the</strong> leading governmentagency in <strong>the</strong> FE sector we know we cannot simply say<strong>the</strong> words <strong>and</strong> expect providers to provide, employersto engage <strong>and</strong> learners to learn. We know we haveto play an active role, <strong>and</strong> more importantly we knowthat role has to be rebalanced. We know we haveto move away from micro-management to support;from complex to simple funding; from focus on inputs<strong>and</strong> data to focus on quality outcomes; fromtransactional deals at local level to workingpartnerships; from adding overhead to <strong>the</strong> systemto adding value.And how will we add that value? We know thatif <strong>the</strong> learning <strong>and</strong> <strong>skills</strong> market is to work effectivelyyou have to have something between big government<strong>and</strong> local communities. If it’s all top down you endup with a local system that is merely a unit of nationalpolicy with no autonomy or sensitivity to local needs –it means college principals with no room <strong>for</strong> manoeuvre,employers whose entrepreneurial energies arelimited by prescribed national <strong>skills</strong> that may notbe relevant, it means learners constrained in <strong>the</strong>irchoices <strong>and</strong> opportunities<strong>for</strong> personal development.Yet if it’s all bottom up you get duplication of coursesor enormous gaps in provision, unused buildings,disenfranchised groups, unsatisfactory transportarrangements <strong>and</strong> a haphazard range of provisionthat may or may not fur<strong>the</strong>r <strong>the</strong> national <strong>and</strong> regional<strong>agenda</strong> <strong>for</strong> productivity <strong>and</strong> social advancement.Our role, <strong>the</strong>re<strong>for</strong>e, is to get that balance right,to work creatively with local colleges, to tune<strong>the</strong> system so it really sings.That is why we have developed an <strong>agenda</strong> <strong>for</strong> <strong>change</strong>.It is not just a response to present circumstancesbut an attempt at shaping <strong>the</strong> future. We haveorganised it around six <strong>the</strong>mes:1 We will work toge<strong>the</strong>r to create collegesvalued by employers as <strong>the</strong> partnerof choice <strong>for</strong> developing <strong>the</strong> <strong>skills</strong> <strong>the</strong>y need.2 We will work toge<strong>the</strong>r to improve <strong>the</strong> qualityof provision, funding excellence <strong>and</strong> promoting<strong>the</strong> very best to serve as beacons to o<strong>the</strong>rs.3 We will radically simplify our fundingmethodology <strong>and</strong> allocation process,making it more transparent <strong>and</strong> moreresponsive to changing needs.4 We will sweep away <strong>the</strong> complexity that causescolleges to divert resources to collecting dataof variable benefit.5 We will develop our capital investment strategyto free back-office resources <strong>and</strong> supportimproved management systems <strong>and</strong> processesto thus improve our business excellence.6 We will work with colleges to identify waysin which <strong>the</strong>y can secure <strong>the</strong>ir reputationas pivotal to delivering <strong>the</strong> education<strong>and</strong> training needs of <strong>the</strong> UK.The six <strong>the</strong>mes add up to a programme that will beginto revolutionise <strong>the</strong> sector, <strong>and</strong> since autumn 2004,more than 100 key people from within it have beenworking with us <strong>and</strong> o<strong>the</strong>rs to identify ways of makingit happen. We are now moving ahead with urgency.This Prospectus sets out important steps in <strong>the</strong> way<strong>for</strong>ward – <strong>and</strong> provides you with an opportunity to haveyour say on our ideas. While I am clear that this is verymuch <strong>the</strong> right direction of travel, I fully recogniseiii


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong><strong>the</strong> importance of <strong>the</strong> outcomes of <strong>the</strong> Foster <strong>and</strong>Leitch reviews <strong>for</strong> our work <strong>and</strong> that <strong>the</strong> Governmentwill need to take account of <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>toge<strong>the</strong>r with recommendations from <strong>the</strong> Foster<strong>and</strong> Leitch reviews in setting an overall strategy<strong>for</strong> <strong>the</strong> sector.And while we’ve developed <strong>the</strong> vision so far largelywith college principals, I am now very clear thatwe need to explore <strong>the</strong> same messages with collegegovernors, <strong>and</strong> also right across <strong>the</strong> post-16 sector.And at every stage we must ensure that it works<strong>for</strong> <strong>the</strong> customer – learners <strong>and</strong> employers – helping<strong>the</strong>m get <strong>the</strong> education, training <strong>and</strong> <strong>skills</strong> that willreally equip <strong>the</strong>m to achieve <strong>the</strong>ir ambitions.And how will we know we have made a difference?We will be looking to have shifted <strong>the</strong> dial on a numberof key areas:• <strong>the</strong> majority of provision will be rankedas good or higher• employers <strong>and</strong> learners rate highly <strong>the</strong> trainingthat is available <strong>and</strong> which <strong>the</strong>y receive• colleges collaborate with schools <strong>and</strong> a wholerange of o<strong>the</strong>r providers to deliver <strong>the</strong> very besteducation <strong>and</strong> training opportunities• college facilities <strong>and</strong> processes are among<strong>the</strong> very best pushing money to <strong>the</strong> front line<strong>and</strong> improving outcomes <strong>for</strong> learners<strong>and</strong> employers; <strong>and</strong>• <strong>the</strong> sector is typified as one of strong,confident colleges, highly regarded by allof <strong>the</strong>ir stakeholders both locally<strong>and</strong> nationally.This Prospectus sets out what is really just<strong>the</strong> beginning of a trans<strong>for</strong>mation <strong>agenda</strong><strong>for</strong> <strong>the</strong> sector. I welcome your fur<strong>the</strong>r views<strong>and</strong> your collaboration as we take that <strong>agenda</strong><strong>for</strong>ward. In future years, we will work with youto build on <strong>agenda</strong> <strong>for</strong> <strong>change</strong> <strong>and</strong> to turnour aspirations into reality.Mark HaysomChief Executive, <strong>Learning</strong> <strong>and</strong> Skills Counciliv


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Executive SummaryThis Prospectus sets out proposals <strong>for</strong> a dynamicprogramme of <strong>change</strong>. A detailed technical annexon data comes at <strong>the</strong> end, <strong>and</strong> fur<strong>the</strong>r technical paperson funding, capital <strong>and</strong> o<strong>the</strong>r areas will follow.In our work so far we have focused largely on workingwith FE college principals. But we do believe that<strong>the</strong> issues <strong>and</strong> approaches have wider applicationacross <strong>the</strong> whole post-16 sector, <strong>and</strong> in some caseshave begun to explore this. A common strategy across<strong>the</strong> whole post-16 sector must make sense in termsof ensuring we are working most effectively withall our partners, to <strong>the</strong> benefit of young people, adults,employers <strong>and</strong> communities, <strong>and</strong> <strong>the</strong> economy at large.There<strong>for</strong>e, while this Prospectus is addressed specificallyto <strong>the</strong> FE sector, we are arranging dialogue withrepresentatives of <strong>the</strong> o<strong>the</strong>r sectors with whomwe work to take this <strong>agenda</strong> <strong>for</strong>ward more widely.This will include discussions with, <strong>for</strong> example,independent providers, voluntary <strong>and</strong> communityproviders, University <strong>for</strong> Industry, Local Authorities<strong>and</strong> schools, <strong>and</strong> <strong>the</strong> relevant Trade Unions.As we take <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong> <strong>for</strong>ward, we willof course take into account <strong>the</strong> emerging findingsof <strong>the</strong> Foster Review of Fur<strong>the</strong>r Education Colleges<strong>and</strong> <strong>the</strong> Leitch Review of Skills. And <strong>the</strong> Governmentwill need to take account of <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>toge<strong>the</strong>r with recommendations from <strong>the</strong> Foster<strong>and</strong> Leitch reviews in setting an overall strategy<strong>for</strong> <strong>the</strong> sector.Skills <strong>for</strong> EmployersWe need to bridge <strong>the</strong> productivity gap with ourinternational competitors. To do that, colleges –<strong>and</strong> o<strong>the</strong>r training providers – will have to go fur<strong>the</strong>rin offering employers <strong>the</strong> opportunity to prepare<strong>the</strong> skilled employees <strong>the</strong>y require. At present,too few employers see <strong>the</strong>se sources as <strong>the</strong> answerto developing <strong>the</strong> work<strong>for</strong>ce, <strong>and</strong> <strong>the</strong>y look elsewhere,or worse, <strong>the</strong>y stop looking at all.We need to <strong>change</strong> that perception <strong>and</strong> position<strong>the</strong> post-16 sector as <strong>the</strong> partner of choice <strong>for</strong>employers looking to develop <strong>the</strong>ir work<strong>for</strong>ce.To achieve this, working with <strong>the</strong> Department <strong>for</strong>Education <strong>and</strong> Skills (DfES), we propose to:• create a nationwide network of colleges –<strong>and</strong> o<strong>the</strong>r providers – focused on <strong>the</strong> needsof employers• develop with employers a Quality Mark<strong>for</strong> those colleges – <strong>and</strong> o<strong>the</strong>r providers –so that employers know <strong>the</strong>y meet exactingst<strong>and</strong>ards <strong>and</strong> that <strong>the</strong> services <strong>the</strong>y providewill be of high quality <strong>and</strong> responsiveto <strong>the</strong> real needs of <strong>the</strong>ir businesses• increasingly make employers awareof <strong>the</strong> benefits of working with <strong>the</strong>sequality-marked colleges – <strong>and</strong> o<strong>the</strong>rproviders – so funding flows accordinglyin line with employer choice; <strong>and</strong>• as set out in <strong>the</strong> Skills White Paper of March2005, develop <strong>the</strong> National Employer TrainingProgramme (NETP) as a powerful, dem<strong>and</strong>-ledmechanism <strong>for</strong> changing <strong>the</strong> way in whichtraining <strong>for</strong> adults is delivered.QualityWe have a number of outst<strong>and</strong>ing colleges deliveringhigh-quality provision to learners, employers<strong>and</strong> communities. But we also see that some are stillunder-per<strong>for</strong>ming <strong>and</strong> that improvement is unevenlyspread across <strong>the</strong> sector <strong>and</strong> across subject areas.Our ambition is that colleges are famous <strong>for</strong><strong>the</strong> consistent delivery of outst<strong>and</strong>ing quality.Working with <strong>the</strong> new Quality Improvement Agency(QIA) <strong>and</strong> our partners, we plan to supportimprovements in quality among all providers<strong>and</strong> across subject areas, building on what hasalready been achieved through <strong>the</strong> Success <strong>for</strong> Allre<strong>for</strong>ms, <strong>and</strong> <strong>the</strong> future development of thatre<strong>for</strong>m programme.To achieve this we propose collectively with our manypartners to:• develop a culture of self-improvement<strong>and</strong> peer-referencing where colleges learnfrom each o<strong>the</strong>r <strong>and</strong> work toge<strong>the</strong>rto improve qualityv


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>• place quality improvement at <strong>the</strong> heartof <strong>the</strong> colleges’ <strong>and</strong> <strong>the</strong> LSC’s review process,linking funding <strong>and</strong> planning more explicitlyto quality improvement• create ever more effective measuresof success that place <strong>the</strong> learner<strong>and</strong> employer at <strong>the</strong> heart of per<strong>for</strong>mancemeasures; <strong>and</strong>• develop <strong>skills</strong> <strong>and</strong> motivation among<strong>the</strong> work<strong>for</strong>ces of both colleges<strong>and</strong> <strong>the</strong> LSC itself.FundingThe present funding process is complex, bureaucratic<strong>and</strong> causes difficulties <strong>for</strong> colleges, o<strong>the</strong>r providers<strong>and</strong> <strong>the</strong> LSC itself.For college funding, we look to find a new approachwith streamlined processes, a focus on <strong>the</strong> plan,greater equity of funding methodology across differentproviders <strong>and</strong> a new level of certainty that will enable<strong>the</strong>m to plan more effectively.To achieve this we propose to:• link funding explicitly to college plans<strong>and</strong> move <strong>the</strong> LSC away from <strong>the</strong> micromanagementof funding• explore <strong>the</strong> scope <strong>for</strong> extending proposals<strong>for</strong> simplifying FE funding to o<strong>the</strong>r sectorsso enabling <strong>the</strong> LSC to fund whoever is mostsuited to deliver <strong>the</strong> provision required,thus ensuring ‘contestability’• radically simplify <strong>the</strong> funding <strong>for</strong>mulaby introducing <strong>the</strong> concepts of a st<strong>and</strong>ardlearner number <strong>and</strong> a provider factor which,toge<strong>the</strong>r, will be sufficient to drive fundingdecisions; <strong>and</strong>• introduce core <strong>and</strong> commissioned fundingwhere <strong>the</strong> core guarantees funding basedon <strong>the</strong> previous year’s allocations <strong>and</strong><strong>the</strong> commissioned element provides <strong>for</strong>a degree of flexibility to meet changingneeds, summing toge<strong>the</strong>r to a plan drivenby dem<strong>and</strong>.to meet <strong>the</strong>ir priorities; <strong>the</strong> broker acts on behalfof <strong>the</strong> employer, able to direct resource to whicheverprovider can best meet <strong>the</strong> employer’s needs; <strong>and</strong> that<strong>the</strong> broker can make those decisions in real time,securing rapid, flexible response in meeting<strong>the</strong> employer’s training needs.The combination of our <strong>change</strong>s to fundingarrangements <strong>and</strong> <strong>the</strong> development of <strong>the</strong> NETPwill make <strong>the</strong> funding system truly flexible,responsive <strong>and</strong> dem<strong>and</strong> led.DataGood quality data is essential to <strong>the</strong> effectivemanagement of colleges. However, <strong>the</strong> current datarequirements imposed on <strong>the</strong> sector are bureaucratic<strong>and</strong> too often ask <strong>for</strong> in<strong>for</strong>mation of little real use.We plan to identify what data is truly conduciveto effective management <strong>and</strong> <strong>the</strong>n declutter<strong>the</strong> way in which it gets collected.To achieve this we propose to:• create a consistent set of data definitions<strong>and</strong> managemant in<strong>for</strong>mation (MI) reportsto be used by all organisations across <strong>the</strong>education <strong>and</strong> <strong>skills</strong> sector, including <strong>the</strong>introduction of a Unique Learner Identifier• work with partners, including DfES<strong>and</strong> <strong>the</strong> Qualifications <strong>and</strong> CurriculumAuthority (QCA) to create a recordof learning <strong>for</strong> each individual whichcan be accessed by learners, <strong>and</strong> by colleges<strong>and</strong> o<strong>the</strong>r providers acting on behalfof <strong>the</strong> learner• collect only that data which colleges needto manage <strong>the</strong>ir own business• have all data collected from colleges by one‘data partner’ to avoid multiple requests<strong>for</strong> in<strong>for</strong>mation from various bodies; <strong>and</strong>• make a simplified <strong>and</strong> more coherent linkbetween <strong>the</strong> collection of data <strong>and</strong> <strong>the</strong>simplified funding methodology.At <strong>the</strong> same time, as set out in <strong>the</strong> Skills White Paperof March 2005, we will introduce <strong>the</strong> NationalEmployer Training Programme, based on <strong>the</strong> coreprinciples that: <strong>the</strong> employer should be able to actin effect as purchaser of <strong>the</strong> training <strong>the</strong>y need, so that<strong>the</strong>y can secure <strong>the</strong> design <strong>and</strong> delivery of trainingvi


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Business ExcellenceColleges are businesses as well as education<strong>and</strong> training providers, <strong>and</strong> to respond to bothlearners <strong>and</strong> employers <strong>the</strong>y need lean <strong>and</strong> agileunderpinning business mechanisms.We plan to help colleges become better businesses,reduce <strong>the</strong>ir administrative overheads <strong>and</strong> thusrelease resource <strong>for</strong> front line delivery.We propose to:• introduce new benchmarking <strong>and</strong> value<strong>for</strong> money measures to stimulateimprovements in business per<strong>for</strong>mance• continue capital expenditure to improve<strong>the</strong> estate, <strong>and</strong> so drive up learner recruitment,retention <strong>and</strong> achievement; <strong>and</strong>• encourage collective procurement to deliverbetter value <strong>for</strong> money.ReputationAn improved reputation <strong>for</strong> colleges is <strong>the</strong> ‘goldenthread’ that ties all <strong>the</strong> elements of <strong>agenda</strong> <strong>for</strong> <strong>change</strong>toge<strong>the</strong>r. Research suggests that while colleges enjoy<strong>the</strong> esteem of <strong>the</strong>ir local communities, that esteemfails to aggregate nationally. And as already noted,employers are not yet in <strong>the</strong> habit of seeing collegesas <strong>the</strong> answer to <strong>the</strong>ir work<strong>for</strong>ce needs.We plan to help colleges secure <strong>the</strong> reputation thatmost deserve, <strong>and</strong> at all levels – local, regional <strong>and</strong>national.We propose to:• promote <strong>the</strong> examples of best practice thatexist in many colleges• amplify <strong>the</strong> excellent reputation collegeshave locally on to a national stage• develop a marketing <strong>and</strong> communicationsstrategy to promote <strong>the</strong> sector to all of itsaudiences <strong>and</strong> especially to those, suchas employers, where we will have somethingsignificantly different to promote• build on <strong>the</strong> reputation held by colleges –<strong>and</strong> o<strong>the</strong>r providers – along with <strong>the</strong> LSCin promoting equality of access <strong>and</strong> diversityof provision; <strong>and</strong>• undertake regular research to track changingperceptions of <strong>the</strong> sector.vii


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<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong><strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong><strong>agenda</strong> <strong>for</strong> <strong>change</strong>Theme One - Skills <strong>for</strong>EmployersIntroductionWe will work toge<strong>the</strong>r to create collegesvalued by employers as <strong>the</strong> partner of choice<strong>for</strong> developing <strong>the</strong> <strong>skills</strong> <strong>the</strong>y need.1 Colleges have a strong reputation <strong>for</strong> respondingto <strong>the</strong> needs of learners <strong>and</strong> communities. But <strong>the</strong>irreputation with employers tends to be patchy.Yet meeting <strong>the</strong> <strong>skills</strong> needs of <strong>the</strong> nation mustbe a core part of <strong>the</strong> fur<strong>the</strong>r education (FE) missionif we are as a nation to meet <strong>the</strong> competitivechallenges of <strong>the</strong> 21st century, <strong>and</strong> make <strong>the</strong> mostof <strong>the</strong> talents of all our people.2 There are many examples of colleges whodo already have an excellent reputation <strong>for</strong> workingwith employers. We need to extend this engagementif <strong>the</strong> sector is to be regarded universally as a seriousplayer in upskilling <strong>the</strong> country’s work<strong>for</strong>ce<strong>and</strong> bridging <strong>the</strong> productivity gap with our internationalcompetitors. The <strong>Learning</strong> <strong>and</strong> Skills Council’s (LSC)2004 National Employer Skills Survey says that only15 per cent of employers make use of FE when seekingsolutions to <strong>the</strong>ir training <strong>and</strong> <strong>skills</strong> needs. This needsto <strong>change</strong>.3 The creation of <strong>the</strong> network of over 300 Centresof Vocational Excellence (CoVEs) in colleges <strong>and</strong> o<strong>the</strong>rproviders has gone some way to raising <strong>the</strong> profile<strong>and</strong> reputation of colleges as deliverers of high qualityspecialist training to employers.4 The development of <strong>the</strong> new sector based SkillsAcademies will build on this. These will address presentgaps in meeting skill needs nationally <strong>and</strong> provide highquality<strong>skills</strong> solutions. Skills Academies will provideleadership to <strong>the</strong> CoVE network <strong>and</strong> to sectoralprovision in colleges <strong>and</strong> o<strong>the</strong>r providers. Employers<strong>and</strong> <strong>the</strong>ir Sector Skills Councils will work closely with<strong>the</strong> LSC <strong>and</strong> FE to ensure that <strong>the</strong> needs of eachemployment sector are not only met now butengender a growing confidence that <strong>the</strong> FE sectoris truly responsive to business needs.5 We will work closely with <strong>the</strong> best of <strong>the</strong> FEsector, <strong>the</strong> Sector Skills Councils, employers’organisations such as <strong>the</strong> Confederation of BritishIndustry (CBI), <strong>the</strong> Association of British Chambersof Commerce (BCC) <strong>the</strong> Small Business Council (SBC)<strong>and</strong> <strong>the</strong> Federation of Small Businesses (FSB), as wellas o<strong>the</strong>r partners such as Investors in People UK (IIP)to get <strong>the</strong> message across to employers that improving<strong>skills</strong> in <strong>the</strong> work<strong>for</strong>ce is <strong>the</strong> key to <strong>the</strong>ir future success– <strong>and</strong> so worth greater investment. As emphasisedin <strong>the</strong> Skills Strategy, we recognise that employerswill only be willing to invest if <strong>the</strong>y are confidentthat <strong>the</strong> design, delivery <strong>and</strong> quality of trainingoffered by colleges <strong>and</strong> o<strong>the</strong>r providers will meet<strong>the</strong>ir needs.6 At <strong>the</strong> same time, we want to ensure thatall <strong>the</strong> training offered by colleges <strong>and</strong> o<strong>the</strong>r providersis flexible, in tune with what employers want <strong>and</strong> need<strong>and</strong> is delivered ei<strong>the</strong>r on employers’ premises or –if delivered in <strong>the</strong> college – is in world-class buildings.We will learn from our Employer Training Pilots (ETPs)in building <strong>the</strong> National Employer Training Programme(NETP) as a powerful, dem<strong>and</strong>-led mechanism<strong>for</strong> changing <strong>the</strong> way in which training <strong>for</strong> adultsis delivered.7 Only by working closely with employers willcolleges gain <strong>the</strong> confidence of companies<strong>and</strong> be recognised as a natural partner in raisingwork<strong>for</strong>ce <strong>skills</strong>, making <strong>the</strong> most of a current<strong>and</strong> potential diverse work<strong>for</strong>ce <strong>and</strong> underpinningbusiness success.8 Although we have developed <strong>the</strong>se ideas withcolleges, as we take <strong>the</strong>m <strong>for</strong>ward we recognise thatwe need also to explore <strong>the</strong> full range of providersacross <strong>the</strong> post-16 network if we are to provide<strong>the</strong> excellence <strong>and</strong> choice employers are seeking.1


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Our Proposals9 We propose to create a nationwide networkof colleges <strong>and</strong> o<strong>the</strong>r providers, which are focusedon <strong>the</strong> needs of employers <strong>and</strong> <strong>the</strong>ir work<strong>for</strong>ce.10 Colleges <strong>and</strong> o<strong>the</strong>r providers in this network willbe business-focused <strong>and</strong> have a majority of staff withrecent experience of <strong>the</strong> businesses <strong>the</strong>y support.They will work with employers to design trainingtailored to <strong>the</strong>ir particular needs.11 Those in <strong>the</strong> network will be quality-markedby business so that employers can recognise<strong>the</strong> specialist support <strong>and</strong> range of training services<strong>the</strong>y provide. Over time, as employers increasinglyrecognise <strong>and</strong> have confidence in <strong>the</strong> Quality Mark,we expect that <strong>the</strong>y will want to choose to use qualitymarkedcolleges <strong>and</strong> providers as <strong>the</strong> suppliersof work<strong>for</strong>ce development services through<strong>the</strong> NETP.12 The network will be recognised <strong>for</strong> being flexiblein delivering training at a time, place <strong>and</strong> pace thatsuits employers <strong>and</strong> <strong>the</strong>ir staff. They will build strongrelationships with <strong>skills</strong> brokers, business advisers<strong>and</strong> o<strong>the</strong>r business organisations to ensure <strong>the</strong>yoffer <strong>the</strong> companies <strong>the</strong>y serve effective support<strong>and</strong> signposting to an appropriate mix of training<strong>and</strong> business solutions.13 The new network will con<strong>for</strong>m to a new nationalst<strong>and</strong>ard <strong>for</strong> working with business. This st<strong>and</strong>ard willbe tough, jointly developed <strong>and</strong> owned by employers<strong>and</strong> colleges.14 By doing this <strong>and</strong> building on <strong>the</strong> links alreadydeveloped with schools, higher education institutions<strong>and</strong> o<strong>the</strong>r providers, colleges will build on <strong>the</strong>ir currentrole <strong>and</strong> become central to supporting local economicdevelopment across <strong>the</strong> country. They will workin t<strong>and</strong>em with <strong>the</strong> network of <strong>skills</strong> brokers that<strong>the</strong> LSC has been charged to develop across<strong>the</strong> country.How Will It Work?The st<strong>and</strong>ard15 Building on existing good practice, we proposeto work with partners to develop a new nationalst<strong>and</strong>ard that is a symbol of excellence in <strong>the</strong> design<strong>and</strong> delivery of work<strong>for</strong>ce development servicesto employers, including responding to <strong>and</strong> buildingon <strong>the</strong> diversity of <strong>the</strong> current <strong>and</strong> future work<strong>for</strong>ce.We have already had preliminary discussions withbusiness organisations that are keen to work closelywith <strong>the</strong> LSC <strong>and</strong> o<strong>the</strong>r partners to achieve this aim.16 We are keen not to add to <strong>the</strong> administrativeburden of colleges <strong>and</strong> providers. So, in developingthis new st<strong>and</strong>ard, we will work closely with <strong>the</strong> Adult<strong>Learning</strong> Inspectorate <strong>and</strong> o<strong>the</strong>rs to ensure consistency<strong>and</strong> coherence with developing inspection processes.Wherever possible, we would want to incorporateelements of o<strong>the</strong>r relevant st<strong>and</strong>ards into what willbecome a new Quality Mark.17 We will ensure that we build on what we alreadyhave, so we are not starting from <strong>the</strong> beginning.For example, it is anticipated that <strong>the</strong> existing networkof Centres of Vocational Excellence <strong>and</strong> o<strong>the</strong>r similarspecialist provision will be well placed to be earlyadopters <strong>and</strong> achievers of this new Quality Mark.External validation18 The experiences of colleges <strong>and</strong> o<strong>the</strong>r providersin similar regional approaches, such as Action<strong>for</strong> Business <strong>and</strong> Customer First, is that externalvalidation/assessment has been a worthwhileexperience. Even those providers who believed <strong>the</strong>ywere already delivering excellent services to employershad development areas identified through externalassessment.19 For this new Quality Mark we would wantto see a robust but streamlined external assessmentprocess as <strong>the</strong> penultimate stage to achieving<strong>the</strong> st<strong>and</strong>ard. We also want <strong>the</strong> final decision to award<strong>the</strong> Quality Mark to rest with an independent panel,chaired by an employer. Employers would play a keypart in <strong>the</strong> external assessment process, including<strong>the</strong> use of ‘mystery shoppers’. We would seek <strong>the</strong>irviews on whe<strong>the</strong>r <strong>the</strong> college or o<strong>the</strong>r providerhad achieved <strong>the</strong> high st<strong>and</strong>ards set <strong>for</strong> this newQuality Mark.20 Self-assessment <strong>and</strong> peer group review –discussed fur<strong>the</strong>r in <strong>the</strong> Quality chapter of thisProspectus – will play an important role in helpingcolleges achieve <strong>the</strong> st<strong>and</strong>ard required initially<strong>and</strong> in delivering continuous improvement. We wouldwant to develop strong expertise in <strong>the</strong> deliveryof work<strong>for</strong>ce development services across <strong>the</strong> sectoras part of this approach. The Quality Mark will become<strong>the</strong> way we assess quality in <strong>the</strong> delivery of work<strong>for</strong>cedevelopment services to employers. We will workclosely with <strong>the</strong> new Quality Improvement Agency(QIA) <strong>and</strong> o<strong>the</strong>r partners, to ensure that <strong>the</strong> QualityMark complements <strong>the</strong> work led by <strong>the</strong>m onestablishing st<strong>and</strong>ards <strong>for</strong> teaching <strong>and</strong> learningin <strong>the</strong> workplace. The outcomes of <strong>the</strong> Quality Markprocess <strong>and</strong> <strong>the</strong> associated per<strong>for</strong>mance indicators will2


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>be incorporated into <strong>the</strong> new ‘employer guide to goodtraining’ as it develops.21 It is not proposed to set a target <strong>for</strong> <strong>the</strong> numberof colleges <strong>and</strong> o<strong>the</strong>r providers that might attain<strong>the</strong> st<strong>and</strong>ard but we recognise that not all will do so,<strong>and</strong> that some, such as sixth <strong>for</strong>m colleges, will wishto focus <strong>the</strong>ir mission elsewhere. Sir Andrew Foster’sReview of Fur<strong>the</strong>r Education Colleges should helpexplore fur<strong>the</strong>r <strong>the</strong> varied missions of <strong>the</strong> sector.Funding22 We recognise that funding is a strong lever<strong>and</strong> motivator <strong>for</strong> colleges <strong>and</strong> providers. The QualityMark will assist employers, <strong>and</strong> <strong>skills</strong> brokers, to identify<strong>and</strong> choose providers who are best placed to meet<strong>the</strong>ir needs <strong>and</strong> who have demonstrated excellencein <strong>the</strong> delivery of work<strong>for</strong>ce development servicesto employers.23 The real test of <strong>the</strong> Quality Mark, however,will be employers’ willingness to invest more includingin full cost provision, as a result of <strong>the</strong>ir growingconfidence in <strong>the</strong> quality <strong>and</strong> suitability of <strong>the</strong> provisionoffered to employers by colleges <strong>and</strong> o<strong>the</strong>r providers.Sufficiency of provision to meet <strong>the</strong> needs of localemployers <strong>and</strong> <strong>the</strong>ir work<strong>for</strong>ce24 Local LSCs, working closely with <strong>the</strong>ir partnersregionally <strong>and</strong> locally, will plan provision to ensurethat it is able to meet <strong>the</strong> work<strong>for</strong>ce developmentneeds of employers.25 Where this planning reveals gaps in provision,or a lack of <strong>the</strong> high quality provision employers needto meet <strong>the</strong>ir work<strong>for</strong>ce development needs, <strong>the</strong> localLSC will work with colleges <strong>and</strong> providers to build thatcapacity or alternatively bring new provision into<strong>the</strong> area. We recognise that careful planning willbe required in rural <strong>and</strong>/or sparsely populated areas,<strong>and</strong> to address <strong>the</strong> varying issues of equality<strong>and</strong> diversity among employers, <strong>the</strong>ir employees<strong>and</strong> <strong>the</strong>ir potential work<strong>for</strong>ce.26 We will also be developing <strong>the</strong> NETP, basedon <strong>the</strong> core principles in <strong>the</strong> Skills White Paper: that<strong>the</strong> employer should be able to act in effectas <strong>the</strong> purchaser of <strong>the</strong> training <strong>the</strong>y need, so that<strong>the</strong>y can secure <strong>the</strong> design <strong>and</strong> delivery of trainingto meet <strong>the</strong>ir priorities; that <strong>the</strong> broker acts on behalfof <strong>the</strong> employer, able to direct resource to whicheverprovider can best meet <strong>the</strong> employer’s needs;<strong>and</strong> that <strong>the</strong> broker can make those decisions in realtime, securing rapid, flexible response in meeting<strong>the</strong> employer’s training needs. As indicated above,we would expect colleges <strong>and</strong> o<strong>the</strong>r providers thatmeet <strong>the</strong> st<strong>and</strong>ard <strong>and</strong> achieve <strong>the</strong> Quality Markto be well placed to compete <strong>for</strong> NETP business.Transition Period27 A small number of colleges will already be at,or close to, <strong>the</strong> proposed st<strong>and</strong>ard. However, <strong>the</strong>majority of o<strong>the</strong>rs who want to be part of <strong>the</strong> businessfocusednetwork will need some support to secure<strong>the</strong> Quality Mark.28 The Department <strong>for</strong> Education <strong>and</strong> Skills (DfES)has allocated significant funds to support capacitybuilding in <strong>the</strong> sector to enable <strong>the</strong> effective roll-outof <strong>the</strong> NETP from 2006/07. This work will includea focus on <strong>the</strong> challenges of making <strong>the</strong> mostof <strong>the</strong> talents of an increasingly diverse work<strong>for</strong>ce.Our main priorities <strong>for</strong> <strong>the</strong> investment fund <strong>for</strong> thisyear are:• ensuring that we have <strong>the</strong> infrastructure<strong>and</strong> capacity in place to support effectiveintroduction of <strong>the</strong> National EmployerTraining Programme from next year• developing <strong>the</strong> new Quality Mark in closepartnership with employers <strong>and</strong> employerorganisations• working with <strong>the</strong> Centre <strong>for</strong> Excellencein Leadership (CEL) <strong>and</strong> o<strong>the</strong>r partners,to improve <strong>the</strong> leadership <strong>and</strong> management<strong>skills</strong> of people in <strong>the</strong> sector to ensure that<strong>the</strong>y are designing <strong>and</strong> delivering work<strong>for</strong>cedevelopment services <strong>for</strong> employers• working with Lifelong <strong>Learning</strong> UK (LLUK),<strong>the</strong> Sector Skills Council <strong>for</strong> employers whodeliver <strong>and</strong>/or support <strong>the</strong> delivery of lifelonglearning, to develop <strong>the</strong> <strong>skills</strong> of <strong>the</strong> teaching<strong>and</strong> learning staff <strong>and</strong> assessors in colleges<strong>and</strong> o<strong>the</strong>r providers who deliver work<strong>for</strong>cedevelopment. Particular emphasis willbe placed on ensuring that delivery staffhave up to date industrial/commercialexperience. We will also want to developnew delivery models that make moreuse of <strong>the</strong> <strong>skills</strong> <strong>and</strong> expertise of thoseworking in <strong>the</strong> sector• working with <strong>the</strong> DfES <strong>and</strong> o<strong>the</strong>r partnersto develop a st<strong>and</strong>ard <strong>for</strong> teaching <strong>and</strong> learningin <strong>the</strong> workplace including rolling out newteaching <strong>and</strong> learning materials. We areworking with <strong>the</strong>m to develop materials thatsupport our aspiration that <strong>the</strong> majorityof teaching in support of employers is deliveredin <strong>the</strong> workplace. We will also want to support<strong>the</strong> development of better initial assessment,as this has been an area <strong>for</strong> developmenthighlighted in <strong>the</strong> ETPs3


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>• identify <strong>the</strong> best practice that already existsin <strong>the</strong> colleges <strong>and</strong> providers <strong>and</strong> developmodels of good practice <strong>and</strong> case studymaterial; <strong>and</strong>• work with colleges <strong>and</strong> o<strong>the</strong>r providersto ensure that <strong>the</strong> best in <strong>the</strong> sectorare showcased to employers, includingwork with <strong>the</strong> business <strong>and</strong> sectoral press<strong>and</strong> o<strong>the</strong>r media.29 A relatively small number of colleges<strong>and</strong> providers have already achieved similar st<strong>and</strong>ardsthat have been developed regionally. We will workintensively with <strong>the</strong>se colleges to ensure <strong>the</strong>ir speedy<strong>and</strong> smooth transition to achieving <strong>the</strong> newQuality Mark.Next Steps30 Our next step will be to establish a high levelSteering Group to oversee this work withrepresentatives from businesses, colleges,providers <strong>and</strong> o<strong>the</strong>r key partners to develop<strong>the</strong>se proposals fur<strong>the</strong>r. In September,we will commission work to:• complete <strong>the</strong> analysis of similar existingregional approaches that already existsuch as Action <strong>for</strong> Business, Customer First<strong>and</strong> EMSkills• work with colleges, providers <strong>and</strong> o<strong>the</strong>r keypartners to develop <strong>the</strong> content of <strong>the</strong>st<strong>and</strong>ard that will underpin <strong>the</strong> Quality Mark• work with <strong>the</strong> CBI, <strong>the</strong> SBC, <strong>the</strong> BCC, <strong>the</strong> FSB<strong>and</strong> o<strong>the</strong>r employer organisations to develop<strong>the</strong> external validation <strong>and</strong> Quality Mark• raise employer awareness of colleges <strong>and</strong> how<strong>the</strong>y are working to meet <strong>the</strong>ir work<strong>for</strong>cedevelopment needs; <strong>and</strong>• agree a capacity building/development plan<strong>for</strong> colleges <strong>and</strong> o<strong>the</strong>r providers <strong>and</strong> <strong>for</strong><strong>the</strong> LSC itself.4


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Theme Two - QualityIntroductionWe will work toge<strong>the</strong>r to improve <strong>the</strong> qualityof provision, funding excellence <strong>and</strong> promoting<strong>the</strong> very best to serve as beacons to o<strong>the</strong>rs.31 If we achieve <strong>the</strong> trans<strong>for</strong>mation described in <strong>the</strong>previous section as regards services <strong>for</strong> employers, thatis but one part of <strong>the</strong> <strong>agenda</strong>. The sector will only reallybe delivering if a continuing drive on quality across <strong>the</strong>piece <strong>for</strong>ms <strong>the</strong> second str<strong>and</strong>. While we have workedso far largely with FE colleges, many of <strong>the</strong> proposalsin this section on quality would have wider applicationacross <strong>the</strong> post-16 sector.32 We have a number of outst<strong>and</strong>ing collegesdelivering high quality provision to learners, employers<strong>and</strong> communities. Our pursuit of quality has yieldedmuch over <strong>the</strong> past few years. Overall <strong>the</strong>re has beena remarkable improvement in success rates <strong>and</strong> manycolleges have worked tirelessly to improve <strong>the</strong>irprovision <strong>and</strong> benchmark <strong>the</strong>mselves against<strong>the</strong> best in <strong>the</strong> sector.33 But we also see that some are still underper<strong>for</strong>ming<strong>and</strong> <strong>the</strong>re is too much provision thatremains only satisfactory after years of investment.It is not that any particular part of <strong>the</strong> sector is failingto improve, but ra<strong>the</strong>r that improvement is unevenlyspread across <strong>the</strong> sector, <strong>and</strong> across subject areas.And <strong>the</strong> sad reality is that <strong>the</strong> reputation of <strong>the</strong> sectoroverall is determined by <strong>the</strong> weakest per<strong>for</strong>mance.34 We believe that <strong>the</strong> responsibility <strong>for</strong> managing<strong>change</strong> <strong>and</strong> improving quality lies first <strong>and</strong> <strong>for</strong>emostwith <strong>the</strong> colleges <strong>the</strong>mselves. The LSC is responsible<strong>for</strong> assuring <strong>the</strong> quality of <strong>the</strong> provision it funds.The QIA will have a responsibility to work with <strong>the</strong> LSCto support colleges in improving quality. The QIA willlead <strong>the</strong> development of a three-year QualityImprovement Strategy <strong>for</strong> <strong>the</strong> sector from 2006,working closely with <strong>the</strong> LSC <strong>and</strong> o<strong>the</strong>r key partners.Agenda <strong>for</strong> <strong>change</strong> will pave <strong>the</strong> way <strong>for</strong> <strong>the</strong> successfulimplementation of <strong>the</strong> Strategy.35 Collectively we want to develop a strategicapproach to investment in good <strong>and</strong> excellentprovision. We want to see significant fur<strong>the</strong>rimprovements over <strong>the</strong> next three to five years inattainment, inspection outcomes <strong>and</strong> measures ofsuccess. We want to see more provision improvingfrom satisfactory to good or excellent, while wewithdraw from funding provision that is poor.What We Need To Do36 We have signed up to a five-point plan thatwe believe will accelerate <strong>the</strong> development of a cultureof self-improvement, that ensures more effectivemeasures of per<strong>for</strong>mance, <strong>and</strong> strategically linksquality assurance to development planning.iiiiiiivvWe need to encourage colleges to excel in <strong>the</strong>irindividual <strong>and</strong> collective responsibility <strong>for</strong> qualityimprovement. A reputation <strong>for</strong> rigorous selfassessment<strong>and</strong> respected ‘peer-referencing’approaches will help colleges to learn from eacho<strong>the</strong>r, <strong>and</strong> from <strong>the</strong> very best in <strong>the</strong> sector,to drive up quality.We need to make sure that quality is integralto <strong>the</strong> annual planning review process withquality improvement <strong>and</strong> teaching, training<strong>and</strong> learning at <strong>the</strong> heart of <strong>the</strong> dialogue.The LSC must be in a position consistentlyto fund only priority-led high quality provisionwhilst promoting our duty to equalityof opportunity.We need meaningful measures of successas a basis <strong>for</strong> quality improvement.These measures should be fair, valid, transparent<strong>and</strong> fit <strong>for</strong> purpose, measures that should provide<strong>for</strong> commonality across <strong>the</strong> piece so judgmentscan be made on <strong>the</strong> relative per<strong>for</strong>mance of allpost-16 providers. The in<strong>for</strong>mation shouldbe accessible <strong>and</strong> readily understood by learners,parents <strong>and</strong> employers, reflecting <strong>the</strong> needs<strong>and</strong> views of all customers.We need colleges to become dem<strong>and</strong>ing clientsof <strong>the</strong> agencies tasked with supporting qualityimprovement – <strong>the</strong> LSC, <strong>the</strong> Inspectorates<strong>and</strong> <strong>the</strong> QIA. We want <strong>the</strong> sector to push us,to challenge <strong>the</strong> evidence, to play <strong>the</strong>ir partin defining <strong>the</strong> answers, ensuring clarityon all our respective roles <strong>and</strong> responsibilities.We need collectively to promote diverse first classleadership, management <strong>and</strong> work<strong>for</strong>cedevelopment across <strong>the</strong> sector, <strong>and</strong> across<strong>the</strong> LSC. We believe that any quality improvementstrategy <strong>for</strong> <strong>the</strong> sector will only be successfulif a well-led, highly motivated <strong>and</strong> skilledwork<strong>for</strong>ce implements it.Self-assessment37 Colleges are first <strong>and</strong> <strong>for</strong>emost responsible<strong>the</strong>mselves <strong>for</strong> improving <strong>the</strong> quality of <strong>the</strong>ir provision.We want to support that by working with <strong>the</strong> QIAto promote self-assessment, championing ‘peer-5


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>referencing’ approaches to assist colleges in learningfrom each o<strong>the</strong>r <strong>and</strong> to ratchet up <strong>the</strong> qualityof <strong>the</strong>ir provision.38 We believe rigorous, comprehensive selfassessmentis at <strong>the</strong> heart of organisationaldevelopment <strong>and</strong> an essential tool <strong>for</strong> managing<strong>change</strong>. Effective self-assessment identifies whatneeds to be improved, as well as what is unsatisfactory,<strong>and</strong> results in a challenging quality improvement plan.39 The LSC will champion <strong>the</strong> engagementof <strong>the</strong> sector in self-assessment techniques,peer-assessment <strong>and</strong> review of per<strong>for</strong>mance.We will commission a benchmarking exerciseto identify what ‘quality’ looks <strong>and</strong> feels likeso that colleges across <strong>the</strong> sector can more easilycompare how <strong>the</strong>y are doing against <strong>the</strong>ir peers.There are already examples of effective modelsof mutual support <strong>and</strong> benchmarking. The LSC,working with <strong>the</strong> QIA <strong>and</strong> <strong>the</strong> sector, will considerwhat role it can play in extending <strong>the</strong>se approachesto <strong>the</strong> sector as a whole.40 In conjunction with <strong>the</strong> QIA, LLUK, <strong>and</strong> <strong>the</strong>Association of Colleges (AoC) <strong>the</strong> sector can pave<strong>the</strong> way <strong>for</strong> self-regulation. This may be throughexternal validation, peer scrutiny, through linkingexpert practitioners, through networks that bringtoge<strong>the</strong>r colleges <strong>and</strong> agencies to help raise<strong>the</strong> quality bar.Annual planning review41 The LSC is responsible <strong>for</strong> assuring <strong>the</strong> qualityof <strong>the</strong> provision it purchases. Our annual planningreview process has a critical role to play in raisingst<strong>and</strong>ards. Quality improvement measures will be builtin to <strong>the</strong> assessment of development plans, drawingon <strong>the</strong> services of <strong>the</strong> QIA to help put those identifiedimprovements into practice. We will adopt a riskproportionate<strong>and</strong> differentiated approach,challenging <strong>the</strong> pace of self-improvementas well as poor <strong>and</strong> unsatisfactory provision.42 The LSC will continue to challenge consistentlypoor per<strong>for</strong>mance whe<strong>the</strong>r generally or in specificsubject areas. Failure to improve satisfactorily willbe highlighted in <strong>the</strong> LSC’s risk assessmentof <strong>the</strong> development plan. This assessment willbe a factor in agreeing <strong>the</strong> plan so determining<strong>the</strong> funding that <strong>the</strong> provider receives.43 It is already <strong>the</strong> case that <strong>the</strong> LSC can imposeconditions on funding where <strong>the</strong> provision is regardedas unsatisfactory. We will clarify what reasonableconditions might be applied <strong>and</strong> <strong>the</strong> proceduresto be adopted to withdraw from persistently poorprovision, whe<strong>the</strong>r in a particular subject or ata particular level within a college <strong>and</strong> acrossa college as a whole.Measures of success44 A great deal is already being done to developmeasures that will provide <strong>for</strong> comparability across<strong>the</strong> sector <strong>and</strong> place <strong>the</strong> learners’ <strong>and</strong> employers’experiences at <strong>the</strong> heart of assessments of collegeper<strong>for</strong>mance. The Success <strong>for</strong> All 1 website offers fur<strong>the</strong>rin<strong>for</strong>mation on <strong>the</strong> development of new measuresof success.45 We propose to build on that work <strong>and</strong> continueto develop measures that, among o<strong>the</strong>rs, willdemonstrate our commitment to equality <strong>and</strong> diversityacross <strong>the</strong> sector, examine <strong>the</strong> value <strong>for</strong> money thatcolleges provide, <strong>the</strong>ir responsiveness to localemployers, <strong>and</strong> which fully reflect <strong>the</strong> viewsof learners <strong>and</strong> customers. These measures willcontribute to <strong>the</strong> new st<strong>and</strong>ard <strong>for</strong> excellencein <strong>the</strong> delivery of work<strong>for</strong>ce development servicesto employers discussed in <strong>the</strong> Skills chapterof this Prospectus.46 We are committed to finding a way of defining<strong>the</strong> economic <strong>and</strong> social benefits of colleges,so demonstrating <strong>the</strong> quality impact of <strong>the</strong> sectoras a whole – to <strong>the</strong> Government, <strong>and</strong> to <strong>the</strong> taxpayer.We will explore <strong>the</strong> employment, earnings <strong>and</strong> regionaldevelopment perspective, <strong>and</strong> <strong>the</strong> rewardsto <strong>the</strong> individual, <strong>the</strong> business network<strong>and</strong> <strong>the</strong> local community.47 We collectively need to adopt a <strong>for</strong>ensicapproach to underst<strong>and</strong>ing <strong>the</strong> needs of <strong>the</strong> learner,<strong>and</strong> <strong>the</strong> employer. We need to use <strong>the</strong> in<strong>for</strong>mationwe ga<strong>the</strong>r nationally <strong>and</strong> locally to drive up quality,<strong>for</strong> <strong>the</strong> benefit of those learners <strong>and</strong> employers.This will also help us prepare a compelling<strong>and</strong> influential case <strong>for</strong> greater investment from<strong>the</strong> state, <strong>and</strong> from those employers <strong>and</strong> individualswho benefit.48 Most importantly we are agreed that<strong>the</strong> measures of success <strong>for</strong> each college shouldalign with <strong>the</strong> mission(s) of that college, be thatprovision <strong>for</strong> young people, services to business,community <strong>and</strong> lifelong learning, or access to <strong>and</strong>delivery of higher education.Roles <strong>and</strong> responsibilities49 There are a number of agencies involvedin improving quality in colleges. The LSC, Inspectorates<strong>and</strong> <strong>the</strong> QIA all have a part to play in helping collegesimprove <strong>the</strong> quality of <strong>the</strong>ir provision within <strong>the</strong> policyframework <strong>for</strong> post-16 quality improvement developedby <strong>the</strong> DfES.61 www.success<strong>for</strong>all.gov.uk


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>50 We believe that each body has a clear <strong>and</strong> distinctrole in <strong>the</strong> quality arena:• colleges individually <strong>and</strong> collectively areresponsible <strong>for</strong> improving <strong>the</strong>ir own quality;• inspectorates are responsible <strong>for</strong> assessing<strong>the</strong> quality of provision.• <strong>the</strong> <strong>Learning</strong> <strong>and</strong> Skills Council is responsible<strong>for</strong> assuring <strong>the</strong> quality of provision<strong>and</strong> <strong>the</strong> effectiveness of providersin meeting <strong>skills</strong> needs <strong>and</strong> priorities;<strong>and</strong>,• <strong>the</strong> Quality Improvement Agencyis responsible <strong>for</strong> supporting <strong>and</strong> enablingself-improvement through leading<strong>the</strong> development of a national qualityimprovement strategy <strong>for</strong> 2006-09.51 We will continue to work with all <strong>the</strong> relevantpartners to ensure clarity <strong>for</strong> all concerned <strong>and</strong> a jointlyowned vision <strong>for</strong> <strong>the</strong> way ahead.Leadership, management <strong>and</strong> work<strong>for</strong>cedevelopment52 Success in bringing about improved qualitydepends on <strong>the</strong> effectiveness of leadership<strong>and</strong> management, <strong>the</strong> diversity of that leadership<strong>and</strong> how it reflects <strong>the</strong> make-up of colleges’ localcommunities. And it depends on strategic leaders<strong>and</strong> subject managers addressing issues of underper<strong>for</strong>mance.Evidence points to <strong>the</strong> recognitionof <strong>the</strong> primacy of learner success as <strong>the</strong> overarchingmeasure of quality. But colleges increasingly pointto staff shortages <strong>and</strong> problems in recruiting staff,<strong>and</strong> this is particularly problematical in specificsubject areas.53 We believe <strong>the</strong>re is a need <strong>for</strong> a nationallycoordinated capacity building programme within<strong>the</strong> next phase of <strong>the</strong> Success <strong>for</strong> All strategy.This should include a focus on governance, leadership,diversity, <strong>and</strong> management, <strong>the</strong> continued developmentof teaching <strong>and</strong> learning resources, <strong>and</strong> a focuson work<strong>for</strong>ce development. And it should includerecruiting, seconding <strong>and</strong> developing staff with <strong>the</strong> right<strong>skills</strong>; <strong>skills</strong> <strong>for</strong> working collaboratively to deliver<strong>the</strong> 14–19 <strong>agenda</strong>, <strong>and</strong> <strong>for</strong> <strong>the</strong> employer <strong>agenda</strong>,including delivery <strong>and</strong> assessment in <strong>the</strong> workplace.We believe <strong>the</strong>re is a clear need <strong>for</strong> specificinterventions to respond to <strong>the</strong> <strong>skills</strong>, 14–19 <strong>and</strong> highereducation strategies <strong>and</strong> to <strong>the</strong> apprenticeshipprogramme across <strong>the</strong> sector <strong>and</strong> <strong>the</strong> LSCas a whole.54 We are clear that this should be taken <strong>for</strong>ward,in partnership, by a ‘leadership compact’, aligning<strong>the</strong> influence, resources <strong>and</strong> energies of all <strong>the</strong> keyplayers; DfES, LSC, QIA, CEL, <strong>and</strong> LLUK.55 As a contribution to developing <strong>the</strong> leadership of<strong>the</strong> sector, <strong>the</strong> LSC will play its part in active jointengagement of college governors <strong>and</strong> local LSC Councilmembers, alongside <strong>the</strong> local Executive working withcollege senior management teams.Next Steps56 We will continue to work with <strong>the</strong> <strong>agenda</strong> <strong>for</strong><strong>change</strong> quality task group, involving college principals,QIA, AoC <strong>and</strong> DfES. We will:• facilitate pathfinders to support<strong>the</strong> development of peer reviewarrangements• fur<strong>the</strong>r develop self-assessment, <strong>and</strong> annualplanning review to ensure quality is integralto <strong>the</strong> planning process• develop detailed proposals to clarifyhow <strong>the</strong> LSC will deal withunsatisfactory provision• implement <strong>the</strong> right measures <strong>for</strong> successacross <strong>the</strong> post-16 learning <strong>and</strong> <strong>skills</strong> sector• commission fur<strong>the</strong>r work on measuringquality by illuminating learner experiences,describing <strong>the</strong> economic impact of colleges<strong>and</strong> analysing <strong>the</strong>ir role in developingsustainable <strong>and</strong> harmonious communities• publish an annual review of per<strong>for</strong>manceat college, local, regional <strong>and</strong> national level• develop with <strong>the</strong> QIA more effective support<strong>for</strong> self-improvement, <strong>and</strong> support movestowards self-regulation across <strong>the</strong> sector; <strong>and</strong>• play our part in developing <strong>and</strong> implementinga ‘compact’ with DfES, CEL, LLUK <strong>and</strong> QIA<strong>for</strong> capacity building in <strong>the</strong> sector.7


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Theme Three - FundingIntroductionWe will radically simplify our fundingmethodology <strong>and</strong> allocation process, makingit more transparent, more dem<strong>and</strong>-led,<strong>and</strong> more responsive to changing needs.57 The move towards a dem<strong>and</strong>-led system<strong>for</strong> employers, <strong>and</strong> <strong>the</strong> drive on quality describedabove must be underpinned by a radical shiftin <strong>the</strong> way we approach funding. We acknowledgethat funding is a powerful driver <strong>and</strong> it is clearthat <strong>the</strong>re is a need <strong>for</strong> a fundamental overhaulof <strong>the</strong> complex funding systems of <strong>the</strong> LSC.By changing <strong>the</strong> funding system, we will re-define<strong>the</strong> strategic relationship between <strong>the</strong> LSC <strong>and</strong> <strong>the</strong>post-16 sector. Our proposals aim to make a realityof <strong>the</strong> following principles – enabling a focuson <strong>the</strong> needs of learners <strong>and</strong> employers, simplification,transparency, putting <strong>the</strong> employer in <strong>the</strong> positionof in effect being purchaser <strong>for</strong> workplace deliveredtraining <strong>and</strong> removing barriers to collaborationbetween providers.58 The proposals are based on <strong>the</strong> workof <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong> funding <strong>the</strong>me task group<strong>and</strong> developed fur<strong>the</strong>r in light of feedback following<strong>the</strong> roadshows <strong>and</strong> discussions with DfES. As explainedlater in this chapter, a more detailed technicaldocument will follow.59 The proposals have been largely developedworking with <strong>the</strong> FE sector, but we are clear <strong>the</strong>yhave potential <strong>for</strong> application in o<strong>the</strong>r partsof <strong>the</strong> post-16 sector. We will want to explorethis approach with a whole range of partnersas we go <strong>for</strong>ward, be<strong>for</strong>e making recommendations<strong>for</strong> decision to <strong>the</strong> DfES in <strong>the</strong> autumn. This is setout in more detail below.Key Features Of OurProposalsFunding that ‘follows <strong>the</strong> plan’60 The central principle driving <strong>the</strong> proposals is thatfunding should be used to develop <strong>and</strong> support<strong>the</strong> capacity of <strong>the</strong> learning <strong>and</strong> <strong>skills</strong> sector to meetnational, regional <strong>and</strong> local priorities. Effective planning<strong>and</strong> quality improvement strategies will enableus to address our key objectives such that <strong>the</strong> fundingmethod becomes less prominent in influencing delivery.We need to improve <strong>the</strong> development planningframework to make it better able to provide <strong>the</strong>necessary basis <strong>for</strong> a more in<strong>for</strong>med planning dialoguethat takes account of <strong>the</strong> individual strengths within<strong>the</strong> provider network, <strong>and</strong> has a sharper focus on qualityimprovement <strong>and</strong> <strong>the</strong> promotion of equality. We willbegin introducing some of <strong>the</strong>se <strong>change</strong>s <strong>for</strong> <strong>the</strong>2006/07 planning round that begins in autumn 2005.61 The role of funding should be to underpincolleges’ agreed plans to meet employers’<strong>and</strong> individuals’ needs, to improve quality<strong>and</strong> to promote equality, while giving colleges<strong>and</strong> o<strong>the</strong>r providers sufficient stability to use <strong>the</strong>irresources to develop <strong>and</strong> maintain <strong>the</strong> requiredcapacity to deliver. This requires a long-termrelationship between <strong>the</strong> LSC <strong>and</strong> FE <strong>and</strong> a highdegree of trust. Under our proposals, <strong>the</strong> LSC will‘fund <strong>the</strong> plan’, support <strong>the</strong> provider to deliver it,monitor per<strong>for</strong>mance, <strong>and</strong> agree <strong>change</strong>s to both<strong>the</strong> plan <strong>and</strong> funding in <strong>the</strong> following year. In essence,this will enable <strong>the</strong> LSC to look towards <strong>the</strong> futurewith its partners, ra<strong>the</strong>r than making retrospective<strong>change</strong>s based on past per<strong>for</strong>mance.62 There is radical simplification to be gainedfrom ‘funding <strong>the</strong> plan’ – moving away from micromanagementof providers to a more strategic overviewof delivery <strong>and</strong> per<strong>for</strong>mance. The detail of <strong>the</strong> mixof programmes <strong>and</strong> <strong>the</strong> balance of provisionto be offered by colleges will sit firmly withinplanning discussions with <strong>the</strong> LSC, leaving<strong>the</strong> funding discussions to focus on learnervolumes, as detailed below.63 The roll out of <strong>the</strong> National Employer TrainingProgramme will provide a powerful, dem<strong>and</strong>-ledmechanism <strong>for</strong> changing <strong>the</strong> way in which training<strong>for</strong> adults is delivered. Our re<strong>for</strong>ms, which werein<strong>for</strong>med by <strong>the</strong> detailed work of <strong>the</strong> task group,<strong>the</strong> feedback from <strong>the</strong> roadshows <strong>and</strong> our ongoingdiscussions with <strong>the</strong> DfES, will incorporate <strong>the</strong> coreprinciples <strong>for</strong> funding under <strong>the</strong> NETP as set outin <strong>the</strong> Skills White Paper of March 2005 <strong>and</strong> outlinedin paragraph 26 above. Once employers’ <strong>skills</strong> needshave been identified, <strong>skills</strong> brokers will identify <strong>the</strong> mostappropriate providers. Where a suitable provider is notidentifiable locally, <strong>the</strong> <strong>skills</strong> broker will work with<strong>the</strong> LSC to identify a provider from outside <strong>the</strong> areaif necessary. Those providers with excellent inspectiongrades <strong>and</strong>, over time, those providers who hold<strong>the</strong> proposed Quality Mark will be well placedto benefit when <strong>skills</strong> brokers are looking to exp<strong>and</strong><strong>the</strong> local market with o<strong>the</strong>r suitable providers.64 Within overall LSC budgets, <strong>the</strong> NETP budgetwill be identified annually; <strong>and</strong> over time, as set out8


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>in <strong>the</strong> March 2005 White Paper, allocations of fundingwill operate on a principle of contestability basedon <strong>the</strong> success of colleges <strong>and</strong> o<strong>the</strong>r providersin meeting employers’ needs. We will need to assesswith DfES, how far <strong>and</strong> how fast this principle can applyin <strong>the</strong> initial implementation phase. Plans <strong>for</strong> 2006-07<strong>and</strong> 2007-08 in particular will depend on decisionsby ministers in <strong>the</strong> autumn on <strong>the</strong> speed of buildup of NETP.A common funding method65 The proposals set out in this Prospectus are basedso far on discussions <strong>and</strong> debate with representativesof <strong>the</strong> fur<strong>the</strong>r education sector <strong>and</strong> <strong>the</strong> DfES.In principle, we can see advantages in extending <strong>the</strong>seprinciples across <strong>the</strong> wider post-16 sector, includingto school sixth <strong>for</strong>ms. A common funding methodwould be simpler <strong>for</strong> both providers <strong>and</strong> <strong>the</strong> LSCto manage as <strong>the</strong>re will be only one set of funding‘rules’, data collection <strong>and</strong> systems requirements.We will <strong>the</strong>re<strong>for</strong>e explore with partners across<strong>the</strong> learning <strong>and</strong> <strong>skills</strong> sector, <strong>the</strong> potential <strong>for</strong> <strong>the</strong>development of a common funding method whichprovides a basis <strong>for</strong> <strong>the</strong> LSC to allocate funds towhichever provider is best suited to deliver <strong>the</strong>priorities. At <strong>the</strong> same time, we will of course keepdiscussing with employers <strong>and</strong> <strong>the</strong>ir representativeorganisations how <strong>the</strong>se proposals can best beimplemented in order to make a reality of <strong>the</strong> dem<strong>and</strong>ledprinciple in relation to provision delivering <strong>skills</strong><strong>for</strong> employers. Based on fur<strong>the</strong>r comments frompartners, we will make proposals in <strong>the</strong> autumnto <strong>the</strong> Government.A simple funding <strong>for</strong>mula66 Our proposals introduce <strong>the</strong> concept of st<strong>and</strong>ardlearner numbers as <strong>the</strong> basis of a common measureof <strong>the</strong> volume of activity planned to be deliveredby each provider. The ‘st<strong>and</strong>ard learner numbers’measure takes account of <strong>the</strong> size of learners’programmes, but does not require each elementof <strong>the</strong> programme to be funded separately. For example,two groups of programmes should be sufficient to coverfull-time learners: one including those typically followedby many adult learners or young people studyinga smaller number of A/AS levels; <strong>and</strong> one includingmore substantial programmes followed by mostyoung people in schools <strong>and</strong> colleges <strong>and</strong> undertakingApprenticeships <strong>and</strong> Entry to Employment. This willsimplify <strong>the</strong> funding calculation while retaininga reasonable link with <strong>the</strong> resources requiredby <strong>the</strong> provider. As <strong>the</strong> ‘Framework <strong>for</strong> Achievement’develops, we will need to work through <strong>the</strong> impact –it may be possible to measure ‘st<strong>and</strong>ard learnernumbers’ in terms of <strong>the</strong> volume of ‘credits’ assignedto units, which will <strong>for</strong>m <strong>the</strong> building blocksof learners’ programmes.67 A provider factor will be calculated to takeaccount of costs associated with its mix of programmetypes, disadvantage <strong>and</strong> <strong>the</strong> need <strong>for</strong> additional learningsupport/special educational needs, <strong>and</strong> area costs.We propose that <strong>the</strong> provider factor will alsoincorporate learners’ success rates.68 The factor will be derived from data that a collegeneeds to collect <strong>for</strong> <strong>the</strong>ir own management purposes,as well as <strong>the</strong> planning <strong>and</strong> quality improvementdialogue with <strong>the</strong> LSC. It would be agreed be<strong>for</strong>e<strong>the</strong> start of <strong>the</strong> funding year, <strong>and</strong> would representa simplification as funding will be de-linked from<strong>the</strong> actual delivery of individual learning aimsthroughout <strong>the</strong> year. The factor could be reviewedperiodically; we envisage that this will normallybe aligned to <strong>the</strong> three-year development planningcycle, though it may need to be more frequent<strong>for</strong> smaller providers where <strong>change</strong>s in <strong>the</strong> patternof provision have a larger overall effect.69 The funding rates assigned to <strong>the</strong> ‘st<strong>and</strong>ard learnernumbers’ will be differentiated according to whe<strong>the</strong>r<strong>the</strong> provision is ‘fully-funded’ or ‘co-funded’.Fully funded provision could include 16-19s, <strong>skills</strong> <strong>for</strong>life <strong>and</strong> first full Level 2, <strong>and</strong> would provide <strong>the</strong> LSCwith <strong>the</strong> flexibility in <strong>the</strong> future to set new priorities<strong>and</strong> fund <strong>the</strong>m at <strong>the</strong> fully funded rate. Co-fundedactivity would be discounted to reflect <strong>the</strong> assumptionthat a fee is being paid (<strong>for</strong> 2005/06 this is 27.5per cent of <strong>the</strong> course funding).‘Core’ <strong>and</strong> ‘commissioned’ elements of fundingallocations70 We intend to introduce an allocations systemwhich guarantees providers a substantial ‘core’of funding of between say 90 per cent <strong>and</strong> 95 per centbased on <strong>the</strong>ir previous year’s allocations, <strong>for</strong> anequivalent volume of activity, although <strong>the</strong> plannedmix may well <strong>change</strong> year on year in responseto changing dem<strong>and</strong>s <strong>and</strong> emerging priorities.This will provide reasonable financial certainty fromone year to <strong>the</strong> next. The remaining funding above<strong>the</strong> ‘core’, plus any growth funding, will representa ‘commissioned’ element which will give <strong>the</strong> LSC<strong>the</strong> flexibility to direct funding to meet its priorities,to reflect changing policy priorities, or to moveprovision to higher quality providers, including thosewho achieve <strong>the</strong> Quality Mark <strong>for</strong> <strong>the</strong> deliveryof work<strong>for</strong>ce development services to employers.71 We envisage that those delivering good qualitypriority provision will receive ‘commissioned’ fundingto enable <strong>the</strong>m to at least deliver <strong>the</strong> same volumeof activity as <strong>the</strong> previous year. But <strong>the</strong> ‘commissioned’element will give <strong>the</strong> LSC leverage to ensure that<strong>the</strong> whole of a provider’s plan addresses agreed9


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>priorities including those identified by brokers on behalfof employers. It will also enable <strong>the</strong> LSC to redirectfunding to commission new provision <strong>and</strong>/or newproviders in areas of need <strong>and</strong> unanticipated dem<strong>and</strong>within priority areas. And it will provide <strong>the</strong> LSC with<strong>the</strong> flexibility to respond to <strong>the</strong> costs of prioritydem<strong>and</strong>-led provision rising faster than envisaged,an important flexibility given <strong>the</strong> recent fundingdifficulties faced by <strong>the</strong> LSC <strong>and</strong> providers.72 The ‘commissioned’ element could in part support<strong>the</strong> funding <strong>for</strong> <strong>the</strong> NETP, since one priority within thatelement will be delivery of training on NETP principles.It will rein<strong>for</strong>ce <strong>the</strong> wider aims of NETP that provisionshould be dem<strong>and</strong>-led <strong>and</strong> employer responsive,<strong>the</strong>reby enabling more employers to work with<strong>the</strong> best providers <strong>for</strong> all of <strong>the</strong>ir investment in <strong>skills</strong>.That is part of our strategy <strong>for</strong> increasing <strong>the</strong> overalltotal investment in <strong>skills</strong>.Year-end reconciliation of <strong>the</strong> plan, not <strong>the</strong> funding73 The process of agreeing providers’ allocations willfocus on discussions about learner volumes deliveredagainst <strong>the</strong> plan, removing <strong>the</strong> need to monitorfunding ‘earned’ as in <strong>the</strong> present system. Providers<strong>and</strong> <strong>the</strong> LSC will share data on <strong>the</strong> progress of plans<strong>and</strong> <strong>the</strong> quality of provision as <strong>the</strong> year progresses.For those receiving funds through grant-in-aid or grant(such as FE colleges <strong>and</strong> local authorities) <strong>the</strong>re willbe no retrospective adjustment to allocations,provided <strong>the</strong>y meet basic st<strong>and</strong>ards of data accuracy.But because of <strong>the</strong>ir different contractual position,<strong>for</strong> independent providers we envisage that it willbe necessary to reconcile contracted <strong>and</strong> actualvolumes <strong>and</strong> adjust funds accordingly.74 O<strong>the</strong>r than in exceptional circumstances,we do not envisage in-year adjustments of allocationstaking place. Data on which in-year adjustments couldbe made are estimates at best <strong>and</strong> would requirefur<strong>the</strong>r reconciliation later, cutting across <strong>the</strong> principleof funding <strong>the</strong> provider’s plan. The monitoringof per<strong>for</strong>mance against plans in-year should continueto improve <strong>the</strong> accuracy of <strong>the</strong> allocations process.The process of agreeing baseline budget positions with<strong>the</strong> DfES will provide a stronger basis <strong>for</strong> planning LSCbudgets <strong>and</strong> fur<strong>the</strong>r reduce <strong>the</strong> need <strong>for</strong> in-yearremedial action. With <strong>the</strong> full roll out of NETP, whenit is in steady state, it will be a basic principle thatcolleges <strong>and</strong> o<strong>the</strong>r providers have to earn <strong>the</strong>ir businessby being selected by employers as <strong>the</strong> preferredsupplier, ra<strong>the</strong>r than being guaranteed fundingin advance. But it should in practice becomea reasonably predictable element of <strong>the</strong> budgetof most colleges <strong>and</strong> o<strong>the</strong>r providers, assuming thatquality <strong>and</strong> responsiveness is always high. This willmaximise <strong>the</strong> ability of colleges <strong>and</strong> o<strong>the</strong>r providersto plan ahead with confidence.75 The removal of <strong>the</strong> need to reconcile funding‘earned’ in year should enable providers to shareup-to-date management in<strong>for</strong>mation with <strong>the</strong> localLSC focusing on <strong>the</strong> volume of learner starts <strong>and</strong> <strong>the</strong>mix of provision. As set out in <strong>the</strong> chapter on data,it will <strong>the</strong>n be possible to develop systems that enablebetter <strong>and</strong> more timely data sharing between providers<strong>and</strong> <strong>the</strong> LSC, thus providing an early-warning systemin ‘real-time’. This is preferable to a system in whichunder-per<strong>for</strong>mance is often only recognised after <strong>the</strong>year-end <strong>and</strong> where retrospective clawback has tobe carried out, often leading to de-stabilisationof <strong>the</strong> provider.Benefits of OurProposals76 If <strong>the</strong>y were to be applied across <strong>the</strong> sector, ourproposals would enable <strong>the</strong> LSC <strong>and</strong> providers to:• support effectively <strong>the</strong> <strong>skills</strong>, 14–19<strong>and</strong> quality policies by placing an emphasison what is being delivered ra<strong>the</strong>r than howfunding is earned. This would drive a <strong>change</strong>in <strong>the</strong> relationship between <strong>the</strong> LSC<strong>and</strong> providers by focusing discussionson planning, per<strong>for</strong>mance <strong>and</strong> qualitystrategies, with funding as an issue takinga backseat. A common funding method woulddissolve <strong>the</strong> artificial barrier between learningsectors; support rational decisions on whatto fund; support effective contestabilitybetween providers; <strong>and</strong> enable purchasingdecisions to be made on <strong>the</strong> basis of capacity<strong>and</strong> quality• support new delivery requirements –collaboration within 14–19 clusters wouldbe easier under a common funding method.The method will deliver <strong>the</strong> NETP set outin <strong>the</strong> Skills White Paper, by in effect putting<strong>the</strong> employer in <strong>the</strong> position of <strong>the</strong> purchaserof training. Quality <strong>and</strong> responsiveness willbe <strong>the</strong> major driver of commissioning delivery,supported by employer choice <strong>and</strong> dem<strong>and</strong>within NETP as a determinant of that quality• simplify <strong>and</strong> reduce bureaucracy<strong>for</strong> providers through funding <strong>the</strong> ‘capacityto deliver’ <strong>and</strong> ending <strong>the</strong> need to justifyfunding ‘earned’. The LSC would not expectproviders to present management in<strong>for</strong>mationon individual learning aims in-year <strong>for</strong> fundingpurposes; instead, <strong>the</strong> focus would be on overalllearner numbers. This would lead to reduced10


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>data requirements <strong>for</strong> funding purposes<strong>and</strong> remove <strong>the</strong> need <strong>for</strong> a fundingreconciliation at <strong>the</strong> year-end• ensure <strong>the</strong> equitable distribution of funds.A common funding method presents<strong>the</strong> opportunity of establishing commonnational rates <strong>for</strong> learners. The real <strong>and</strong>significant cost differences between providerswould be reflected through <strong>the</strong> provider factor,which will <strong>the</strong>n be reviewed on a regular basis<strong>and</strong> benchmarked across all providers,using common data sets• enable a balance to be struck betweenreasonable stability <strong>for</strong> providers<strong>and</strong> flexibility <strong>for</strong> <strong>the</strong> LSC. Reasonablestability would be established as <strong>the</strong>re willrarely be in-year adjustments or year-endreconciliation of funding (<strong>for</strong> grant in aid/grantproviders) <strong>and</strong> <strong>the</strong>re would be a guaranteed‘core’ of funding year-on-year. Flexibility<strong>for</strong> <strong>the</strong> LSC to meet priorities will be possiblethrough <strong>the</strong> ‘commissioned’ elementof funding, <strong>and</strong> year-on-year discussionsover <strong>the</strong> mix of provision with <strong>the</strong> ‘core’.The proposed funding method will also provide<strong>the</strong> opportunity to differentiate national ratesto reflect Government priorities, <strong>for</strong> exampleto reflect <strong>the</strong> need to collect fees fromindividuals <strong>for</strong> some types of learningor to encourage employer contributions<strong>for</strong> o<strong>the</strong>r types of learning; <strong>and</strong>• support collaboration <strong>and</strong> employer choice.Collaboration between providers would be fareasier as <strong>the</strong> funding method will be commonlyapplied <strong>and</strong> measured. We would work witho<strong>the</strong>r commissioning agencies suchas Jobcentre Plus to see how far we couldintegrate planning <strong>and</strong> funding approaches,so simplifying bureaucratic processes.We would be improving employer choicethrough increasing <strong>the</strong> number of high qualitycolleges <strong>and</strong> o<strong>the</strong>r providers able to offer <strong>skills</strong>solutions; <strong>and</strong> ensuring that <strong>skills</strong> brokersare able to encourage employers to developrelationships that will meet <strong>the</strong>ir ongoing<strong>skills</strong> needs.Next Steps77 We have been working closely with our FE funding<strong>the</strong>me task group to develop details of <strong>the</strong> funding<strong>for</strong>mula <strong>and</strong> allocation <strong>and</strong> review process. A technicalconsultation document will follow.78 We will continue to work with representativesfrom across <strong>the</strong> post-16 sector to take <strong>for</strong>ward<strong>the</strong> detail of our proposals, giving particularconsideration to how <strong>the</strong> approach might operate<strong>for</strong> each part of <strong>the</strong> sector. We recognise that <strong>for</strong> bothNETP <strong>and</strong> safeguarded adult learning provision, <strong>the</strong>reare existing commitments to introduce new fundingarrangements from 2006/07. There<strong>for</strong>e, we will beengaging in detailed discussions with sectorrepresentatives to ensure that <strong>the</strong>se align with<strong>the</strong> proposed new common funding approach.79 For schools, we will continue to work with schools,local authorities <strong>and</strong> <strong>the</strong> DfES in implementing<strong>the</strong> 14–19 <strong>agenda</strong> <strong>and</strong> rolling-out <strong>the</strong> New Relationshipwith Schools initiative. We will also be analysing detailedaspects of school sixth <strong>for</strong>m funding arrangementsfollowing announcement of <strong>the</strong> Secretary of State’splans <strong>for</strong> <strong>the</strong> funding of schools from 2006/07. We willalso work over <strong>the</strong> next few months with schools <strong>and</strong>local authorities to explore how <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>funding proposals might support <strong>the</strong>se widerdevelopments over <strong>the</strong> longer term.80 From <strong>the</strong>se fur<strong>the</strong>r discussions, we envisagemaking firm proposals to <strong>the</strong> DfES in <strong>the</strong> autumn<strong>for</strong> <strong>the</strong> roll out of <strong>change</strong>s to funding <strong>for</strong> <strong>the</strong> variouselements of <strong>the</strong> post-16 sector. Once ministers havetaken decisions, we will develop an implementationplan to make explicit <strong>the</strong> detailed arrangementsof how a new funding approach might be rolled out.11


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Theme Four - DataIntroductionWe will sweep away <strong>the</strong> complexity thatcauses colleges to divert resources tocollecting data of variable benefit.81 The proposed simplification of <strong>the</strong> fundingmethodology is interlocked inextricably with <strong>the</strong> next<strong>the</strong>me, that of data simplification, since fundingdrives so much of what <strong>the</strong> LSC collects <strong>and</strong> <strong>the</strong> waywe collect it. The objective of <strong>the</strong> data str<strong>and</strong>of <strong>agenda</strong> <strong>for</strong> <strong>change</strong> is to achieve a radicalreduction in <strong>the</strong> bureaucracy <strong>and</strong> complexityassociated with <strong>the</strong> data collection <strong>and</strong> managementin<strong>for</strong>mation (MI) processes across <strong>the</strong> sector. The focushas so far been very much on FE colleges – but webelieve <strong>the</strong> principles have much wider applicationacross <strong>the</strong> post-16 sector.82 The potential prize is significant. For example,a previous detailed study at Chichester Collegeindicated that funding <strong>for</strong> an additional 10,000to 14,000 learners across Engl<strong>and</strong> could be generatedby savings from simple <strong>change</strong>s in business processes<strong>and</strong> data collection requirements. A revision of <strong>the</strong>funding methodology <strong>and</strong> st<strong>and</strong>ard electronic dataex<strong>change</strong> with all awarding bodies could generateeven more significant additional, but as yetunquantified, savings. However, by far <strong>the</strong> biggestsavings could accrue from automated data collections<strong>and</strong> shared data access across <strong>the</strong> sector.83 Simplifying <strong>the</strong> collection <strong>and</strong> access to databy all agencies could, <strong>the</strong>re<strong>for</strong>e, reduce costsbut perhaps more importantly, will increasetransparency, allowing <strong>for</strong> more effective strategicplanning <strong>and</strong> per<strong>for</strong>mance managementof <strong>the</strong> sector.What Our Analysis HasTold Us84 This work has been supplemented by <strong>the</strong>evidence ga<strong>the</strong>red from a number of o<strong>the</strong>r studiesundertaken by <strong>the</strong> LSC <strong>and</strong> DfES in 2004/05 including:• Success <strong>for</strong> All Test Bed Bureaucracy ReductionStudy in Chichester College• Tribal Education Consulting – ManagementIn<strong>for</strong>mation <strong>and</strong> Data Collection MappingProject; <strong>and</strong>• Managing In<strong>for</strong>mation Across Partners (MIAP)Feasibility User Requirements Analysis. Fur<strong>the</strong>rin<strong>for</strong>mation on MIAP is contained within<strong>the</strong> annex to this Prospectus.85 All of <strong>the</strong>se studies have agreed on <strong>the</strong> extentof <strong>the</strong> data problems in <strong>the</strong> sector <strong>and</strong> have reached<strong>the</strong> same conclusions on <strong>the</strong>ir root causes;<strong>the</strong>se include:• <strong>the</strong> conflicting <strong>and</strong> overlapping data needsof <strong>the</strong> many agencies involved drives additionalcomplexity <strong>and</strong> cost• ambiguity in data definitions <strong>and</strong> regular<strong>change</strong>s create unnecessary ‘noise’, generatingmany requests <strong>for</strong> additional data• inefficient data transfers to <strong>and</strong> from someawarding bodies cause delays <strong>and</strong> contributeto complexity• late data returns by some providers <strong>and</strong> slowdata processing by <strong>the</strong> LSC create time lags<strong>and</strong> phasing problems with MI• <strong>the</strong> detailed nature of <strong>the</strong> fundingmethodology <strong>for</strong> FE Colleges drives muchof <strong>the</strong> complexity associated with datacollection <strong>and</strong> MI• <strong>the</strong> complexity of <strong>the</strong> <strong>Learning</strong> Aim Databaseadds significantly to <strong>the</strong> data problems facedby providers; <strong>and</strong>• <strong>the</strong> <strong>for</strong>mat <strong>and</strong> content of <strong>the</strong> IndividualisedLearner Record drive high complexity <strong>and</strong> costbut <strong>change</strong>s need to be radical if <strong>the</strong>y areto lead to a net reduction in bureaucracy.Towards a Solution86 All <strong>the</strong> studies also proposed a consistent setof principles <strong>and</strong> solutions. In particular, that a solutionis only possible if all of <strong>the</strong> relevant agencies involvedin <strong>the</strong> collection of data work toge<strong>the</strong>r to harmoniserequests <strong>and</strong> reduce bureaucracy. At <strong>the</strong> very least,this needs to involve <strong>the</strong> LSC, DfES, Qualifications<strong>and</strong> Curriculum Authority (QCA), Higher EducationFunding Council <strong>for</strong> Engl<strong>and</strong> (HEFCE), <strong>the</strong> Inspectorates,Local Authorities (LAs), Connexions, Department<strong>for</strong> Work <strong>and</strong> Pensions (DWP) <strong>and</strong> <strong>the</strong> Federationof Awarding Bodies.12


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>87 In addition, a clear principle has emerged that<strong>the</strong> same shared in<strong>for</strong>mation base should be usedby all of <strong>the</strong>se agencies to monitor a college’sper<strong>for</strong>mance, quality <strong>and</strong> equality <strong>and</strong> diversitymeasures. This in<strong>for</strong>mation base should be <strong>the</strong> sameas that used by <strong>the</strong> college to manage its own business<strong>and</strong> its own achievement of agreed targets. Collegesshould not be expected to collect data beyond this.88 There is also a need <strong>for</strong> a consistent set of datadefinitions <strong>and</strong> st<strong>and</strong>ards to be defined <strong>for</strong> <strong>the</strong> wholeof <strong>the</strong> sector <strong>and</strong> <strong>for</strong> a library of ‘st<strong>and</strong>ard’ MI analyses<strong>and</strong> reports to be used by all agencies when reportingon college per<strong>for</strong>mance <strong>and</strong> quality. These processes<strong>the</strong>n need to be en<strong>for</strong>ced by a gatekeeper who willensure that <strong>the</strong> st<strong>and</strong>ards are adhered to <strong>and</strong> manageany <strong>change</strong>s required to <strong>the</strong>m.89 A fundamental part of <strong>the</strong> need <strong>for</strong> consistentdata definitions is to have a single learner number(to be known as <strong>the</strong> Unique Learner Identifier) whichis to be used by all stakeholders in <strong>the</strong> sector to enablein<strong>for</strong>mation about learners to be more easily shared<strong>and</strong> to create a record of learning <strong>for</strong> each individual.This will be of huge benefit to <strong>the</strong> individual, as it willsignificantly reduce <strong>the</strong> complexity of <strong>the</strong> paperworkas <strong>the</strong>y move between courses, colleges or o<strong>the</strong>rproviders of learning.90 Finally, each college should ideally deal witha single data collection partner who will runautomated processes to ‘pull’ <strong>the</strong> agreed data seton a scheduled basis directly from <strong>the</strong> provider’sown MI systems. That data partner should alsorun <strong>the</strong> st<strong>and</strong>ard analyses <strong>and</strong> generate <strong>the</strong> st<strong>and</strong>arddatasets required by agencies across <strong>the</strong> sector.91 In all <strong>the</strong>se str<strong>and</strong>s of work it will be importantto ensure that data is able effectively to in<strong>for</strong>m colleges<strong>and</strong> <strong>the</strong> LSC on per<strong>for</strong>mance in relation to equality<strong>and</strong> diversity issues, while keeping any bureaucraticburdens to <strong>the</strong> minimum <strong>and</strong> striking <strong>the</strong> rightbalance between regular data collection,<strong>and</strong> research/survey work.Proposed Action92 We believe that big improvements can nowbe made over a short time frame given <strong>the</strong> renewedappetite <strong>for</strong> <strong>change</strong> <strong>and</strong> recent improvementsin technology.93 Our work has already identified many examplesof technological innovation in colleges, which arehaving a significant local impact in reducingbureaucracy. Many of <strong>the</strong>se innovations have beenfinanced within <strong>the</strong> private sector <strong>and</strong> have made moreprogress than has so far been possible in <strong>the</strong> publicarena. These can <strong>for</strong>m a springboard <strong>for</strong> fur<strong>the</strong>r action.94 As a first step, a partnership needs to be <strong>for</strong>medby <strong>the</strong> DfES, LSC, QCA <strong>and</strong> <strong>the</strong> Inspectorates, buildingon <strong>the</strong> MIAP programme, to spearhead <strong>the</strong> radicalinfrastructure <strong>and</strong> st<strong>and</strong>ards <strong>change</strong>s needed. Given <strong>the</strong>prize, <strong>the</strong>re is an appetite across <strong>the</strong> private sector<strong>for</strong> contributing to such a consortium.95 With a clear m<strong>and</strong>ate <strong>for</strong> action, an extensivepilot with a range of colleges could be up <strong>and</strong> runningwithin a year <strong>and</strong> a deployment could be achievedin time <strong>for</strong> <strong>the</strong> academic year 2007/2008.96 Our more detailed proposals are set out in <strong>the</strong>annex to this Prospectus.Next Steps97 The LSC intends to provide resources to deliver<strong>the</strong>se <strong>change</strong>s across <strong>the</strong> sector <strong>and</strong> within <strong>the</strong> LSC.Given <strong>the</strong> level of support <strong>for</strong> <strong>the</strong>se proposals at eachof <strong>the</strong> recent regional roadshows, we intend to establisha Working Group to ensure that <strong>the</strong> <strong>change</strong>s meet<strong>the</strong> needs of <strong>the</strong> sector as a whole. The Group willneed to take account of <strong>the</strong> outcomes of <strong>the</strong> reviewof <strong>the</strong> LSC’s Equality <strong>and</strong> Diversity Impact Measures.The LSC will engage with <strong>the</strong> Working Groupto develop a <strong>change</strong> programme that will activelyinvolve key stakeholders throughout.98 We would <strong>the</strong>re<strong>for</strong>e welcome nominations fromFE college principals <strong>and</strong> directors of managementin<strong>for</strong>mation to join this group. We envisage a firstmeeting in September with bi-monthly meetingsup to Summer 2006. Those interested should put<strong>the</strong>ir names <strong>for</strong>ward to Richard Field at <strong>the</strong> LSC(richard.field@lsc.gov.uk).99 Building on MIAP, we will create a new structureincluding a gatekeeper to develop st<strong>and</strong>ard definitions<strong>and</strong> manage <strong>change</strong>s to data collection <strong>and</strong> datah<strong>and</strong>ling in a coherent way.100 Progress will be reported to <strong>the</strong> Working Groupregularly. The concept of managing data collection<strong>and</strong> reporting through a ‘data partner’ has far-reachingimplications <strong>for</strong> <strong>the</strong> FE sector <strong>and</strong> will be taken<strong>for</strong>ward by setting up a number of prototypes to test<strong>the</strong> feasibility of <strong>the</strong> approach <strong>for</strong> colleges <strong>and</strong> o<strong>the</strong>rproviders, <strong>and</strong> to test <strong>the</strong> market <strong>for</strong> suppliers whomight be interested in becoming data partners.The outcome of <strong>the</strong> prototypes will determine<strong>the</strong> practical details <strong>and</strong> timescales<strong>for</strong> wider implementation.13


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Theme Five - BusinessExcellenceIntroductionWe will develop our capital investmentstrategy to free back-office resources <strong>and</strong>support improved management systems<strong>and</strong> processes to thus improve our businessexcellence.101 Responding to employers, driving up quality,<strong>and</strong> simplifying both funding <strong>and</strong> data systemsare all part of what makes <strong>for</strong> an excellent college.A college that is run as an excellent business is a collegethat delivers. Improving <strong>the</strong> business per<strong>for</strong>manceof colleges is an essential step in delivering efficiencysavings that will release more money to front-lineeducation <strong>and</strong> training. Collaboration between colleges<strong>and</strong> a willingness to engage with <strong>the</strong> private sector,where relevant, are <strong>the</strong> keys that can unlock savings<strong>and</strong> business improvements. Again, much of whatwe explore below in relation to colleges can haveresonance across <strong>the</strong> whole of <strong>the</strong> post-16 sector.102 Work is continuing to assess <strong>the</strong> full financialimpact of our recommendations. However, it isestimated that <strong>the</strong> proposals in this report wouldachieve efficiencies, to be recycled to front-lineactivities, in excess of £100 million by 2007-08.Our Underlying Aims<strong>and</strong> Principles103 The FE sector is clear <strong>and</strong> passionate about itseducational mission but is less consistent about <strong>the</strong>business practices needed to make it most effective.104 The range of business per<strong>for</strong>mance across<strong>the</strong> sector is too wide. While <strong>the</strong>re are many exemplarycolleges, <strong>the</strong> overall st<strong>and</strong>ard of management needsto be raised.105 We will support colleges to develop best practicein effectiveness <strong>and</strong> efficiency through <strong>the</strong> useof benchmarking measures across a rangeof activities. We will be able to use <strong>the</strong>se measuresto provide value <strong>for</strong> money assessments at local,regional <strong>and</strong> national levels.106 Capital expenditure has a big impact on <strong>the</strong>efficiency of colleges. It can help to increaseparticipation <strong>and</strong> improve recruitment, retention<strong>and</strong> achievement. At our current rate of spending it willtake ano<strong>the</strong>r 12 years <strong>for</strong> <strong>the</strong> whole college estateto be renewed or modernised. We want to speedthis up.107 We already have planned increases in capitalexpenditure in 2005/06 to 2007/08. The proposedincreases in capital funding in 2008-09 <strong>and</strong> 2009-10announced by <strong>the</strong> Chancellor in <strong>the</strong> 2005 Budget willincrease <strong>the</strong> funding available to colleges <strong>and</strong> accelerate<strong>the</strong> capital investment <strong>and</strong> we are developing proposals<strong>for</strong> agreement with <strong>the</strong> DfES about how best to investthis additional funding.108 The LSC will investigate innovative procurement<strong>and</strong> funding mechanisms with <strong>the</strong> aim of identifyingnew funding streams to fur<strong>the</strong>r acceleratemodernisation <strong>and</strong> renewal. We will support <strong>the</strong> sectorby coordinating collaborative initiatives with publicsector procurement teams to identify <strong>and</strong> effectivelycommunicate <strong>the</strong> best available deals <strong>for</strong> commodities<strong>and</strong> services. We will also develop <strong>and</strong> circulate a simplegood practice guide.Benchmarking109 Achieving excellence in business is not justabout saving money. It is also about providing highquality provision <strong>and</strong> organisational effectiveness,which, in turn, will enhance <strong>the</strong> reputation of collegesamong <strong>the</strong> communities <strong>the</strong>y serve.110 The FE sector already has examples of excellentcolleges, able effectively to use resources to providehigh quality education <strong>and</strong> training <strong>for</strong> learners,using this approach to rein<strong>for</strong>ce individualised learning,which reflects <strong>the</strong> diversity of <strong>the</strong> people <strong>the</strong>y serve,<strong>and</strong> promotes equality of opportunity. These examplesprovide a source of best practice to share with o<strong>the</strong>rcolleges, which should enable <strong>the</strong> whole sectorto raise st<strong>and</strong>ards.111 Benchmarking against comparable organisationsis already carried out by many colleges in <strong>the</strong> pursuitof best practice <strong>and</strong> to provide an indication of <strong>the</strong>irper<strong>for</strong>mance against o<strong>the</strong>rs. In addition, <strong>the</strong> eM<strong>and</strong>ateestates data benchmarking project is also widelyused by those organisations with capital projectsin <strong>the</strong> assessment of value <strong>for</strong> money <strong>and</strong> estatesuse in general <strong>and</strong> is being extended <strong>for</strong> a fur<strong>the</strong>rthree years.112 The measurement of value <strong>for</strong> money achievedby providers <strong>and</strong> <strong>the</strong> LSC has been identifiedby <strong>the</strong> Success <strong>for</strong> All strategy as being essentialto underst<strong>and</strong>ing how resources are employed<strong>and</strong> in identifying how improvements can be made.14


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>• to provide ongoing support <strong>for</strong> <strong>the</strong>implementation of <strong>the</strong> nationalcapital strategy• drawing on regional capital strategies <strong>and</strong> localLSC capital project plans <strong>and</strong> supplementedby college data, draw up a clear mapof <strong>the</strong> current <strong>and</strong> planned FE estate; <strong>and</strong>• to establish a cross-sector team to advise<strong>and</strong> assist in implementation of ourprocurement proposals with a projectplan in place by August 2005.16


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Theme Six - ReputationIntroductionWe will work with colleges to identify waysin which <strong>the</strong>y can secure <strong>the</strong>ir reputationas pivotal to delivering <strong>the</strong> education<strong>and</strong> training needs of <strong>the</strong> UK.123 Delivering on all <strong>the</strong> above five <strong>agenda</strong> <strong>for</strong> <strong>change</strong><strong>the</strong>mes lies at <strong>the</strong> heart of <strong>the</strong> sixth <strong>the</strong>me – enhancing<strong>the</strong> reputation of <strong>the</strong> sector. For too long, collegeshave been <strong>the</strong> invisible sector, arguably overshadowedby <strong>the</strong> twin educational priorities of schools<strong>and</strong> universities. The reputation <strong>the</strong> sector hashad as a whole has frequently been negative,skewed by a focus on those that do not per<strong>for</strong>m well.124 Yet, in common with <strong>the</strong> perception of manypublic services, locally many colleges do havean excellent reputation. Combined with mixed messagesabout <strong>the</strong> sector’s purpose <strong>and</strong> mission, <strong>the</strong>re is a need<strong>for</strong> a radical plan of action to support <strong>the</strong> sectorin developing a reputation <strong>and</strong> image that reflectsits crucial role in <strong>the</strong> economic, social development<strong>and</strong> well-being of <strong>the</strong> country, <strong>and</strong> itsdiverse population.125 Our approach has been developed alongsideSir Andrew Foster’s Review of Fur<strong>the</strong>r EducationColleges, which also has identified reputationas a key <strong>the</strong>me. The Review’s outcomes will clearlystrongly influence <strong>the</strong> way we take our ideas <strong>for</strong>ward.And while we began with a focus on Fur<strong>the</strong>r Education,we are clear that in taking <strong>the</strong> issue of reputationfur<strong>the</strong>r, we must consider <strong>the</strong> context of <strong>the</strong> widerpost-16 sector overall.Our Approach126 We set out our vision <strong>and</strong> objectives earlierin this Prospectus. It is a vision that will place <strong>the</strong> sectorat <strong>the</strong> heart of <strong>the</strong> country’s <strong>skills</strong> challenge; a visionof excellence <strong>and</strong> quality that meets <strong>the</strong> needsof employers <strong>and</strong> local communities whilst givinglearners real choices <strong>and</strong> real opportunities to succeed.We have a vision of colleges that are world classdeliverers of learning <strong>and</strong> that are excellent businesses<strong>and</strong> leaders in <strong>the</strong>ir communities. They meet <strong>the</strong> needsof employers <strong>and</strong> learners by offering real choice<strong>and</strong> opportunities to succeed. They will be so flexible<strong>and</strong> well-regarded, locally <strong>and</strong> nationally, that <strong>the</strong> firstthought of those who pay <strong>for</strong> learning, whe<strong>the</strong>rgovernment, employer or learner, will be “FE collegescan deliver this,” <strong>and</strong>, “<strong>the</strong> FE college will helpme succeed” <strong>and</strong> “<strong>the</strong> FE college will treatme as an individual, whatever my background”.127 Many of <strong>the</strong> building blocks needed to meet thisvision are already in place, <strong>and</strong> much of <strong>the</strong> answeron reputation lies in telling <strong>the</strong> current story better<strong>and</strong> more consistently, locally, regionally <strong>and</strong> nationally.We have record levels of young people participatingin learning. We have record numbers of apprenticeships.We have made excellent progress in meeting our <strong>skills</strong><strong>for</strong> life targets. We have seen substantial improvementsin success rates. We have more than 300 Centresof Vocational Excellence demonstrating excellencein partnership working between colleges <strong>and</strong> industry.Over 130,000 employees <strong>and</strong> 18,000 employers havenow taken part in <strong>the</strong> Employer Training Pilots.128 The reputation <strong>the</strong>me has sought to identify howwe can amplify <strong>the</strong> story of <strong>the</strong>se achievementsfur<strong>the</strong>r. We have concluded that we should:• develop a marketing <strong>and</strong> communicationsstrategy that will enhance <strong>the</strong> reputationof <strong>the</strong> sector with key stakeholders, particularlyemployers, young people, parents, schools,ministers <strong>and</strong> <strong>the</strong> media• develop a communication approach whichimproves <strong>the</strong> transparency of <strong>the</strong> sectorso that people can see clearly how <strong>the</strong> sector<strong>and</strong> <strong>the</strong> LSC is per<strong>for</strong>ming locally, regionally<strong>and</strong> nationally• promote <strong>the</strong> outst<strong>and</strong>ing examples of bestpractice, teaching innovation, <strong>and</strong> employer<strong>and</strong> learner focus that already exist but whichoften stay hidden from view• translate <strong>the</strong> often excellent reputationthat colleges enjoy at a local levelon to a national stage• empower college leaders to communicatea clear mission <strong>and</strong> purpose <strong>for</strong> fur<strong>the</strong>reducation as a whole, as well as <strong>for</strong> <strong>the</strong>irown college; <strong>and</strong>• undertake research into perceptions of collegesamong stakeholders, those who use colleges –<strong>and</strong> those who do not – so we can trackchanging attitudes <strong>and</strong> refine ourcommunications accordingly.129 These actions aim to address three centralquestions that affect <strong>the</strong> reputation, image<strong>and</strong> perception of colleges:• What is <strong>the</strong> sector?17


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>• Who are <strong>the</strong> audiences of <strong>the</strong> sector?• How do we work toge<strong>the</strong>r to celebrate<strong>the</strong> success of sector <strong>and</strong> influenceour audiences?Developing a Strategy130 The LSC will establish a working group to developa marketing <strong>and</strong> communications strategy that willserve to build <strong>the</strong> reputation of <strong>the</strong> sector. The coreobjectives of this strategy will be to:• show how <strong>the</strong> various elements of <strong>the</strong> post-16education <strong>and</strong> training environmentfit toge<strong>the</strong>r• detail more positive overall genericmessages about <strong>the</strong> role <strong>and</strong> purposeof fur<strong>the</strong>r education• within this, emphasise <strong>the</strong> importanceof promoting equality <strong>and</strong> diversityif we are to reach our goals of economicsuccess, social inclusion <strong>and</strong> social mobility• illustrate how <strong>the</strong>se messages canbe communicated to <strong>the</strong> key audiences• present more effective means <strong>for</strong>communicating success, ensuring thatgood practice is recognised locally,regionally <strong>and</strong> nationally; <strong>and</strong>• ensure that <strong>the</strong> sector’s diversity, flexibility,creativity, development, <strong>and</strong> collaborationare recognised <strong>and</strong> projectedas valuable strengths.Transparency131 We need to develop a culture of transparencyacross <strong>the</strong> LSC <strong>and</strong> <strong>the</strong> sector, which we ensure thatindividuals <strong>and</strong> employers, all or stakeholders,<strong>and</strong> colleagues across <strong>the</strong> sector can readily lookat our per<strong>for</strong>mance. We want to work with <strong>the</strong> sectorto develop a suite of measures to be published regularly– covering financial, volume <strong>and</strong> quality indicators.132 And <strong>the</strong>se should apply not just to colleges –<strong>and</strong> o<strong>the</strong>r providers – but show how <strong>the</strong> LSC is doingtoo – locally, regionally <strong>and</strong> nationally. We believe thatthis would be in best interests of us all, in helpingcustomer choice, in determining investment decisions,<strong>and</strong> in enhancing <strong>the</strong> reputation of <strong>the</strong> sector as onewhich has ‘nothing to hide’. Indeed, it would help bustsome of <strong>the</strong> many myths about <strong>the</strong> sector thatcan often undermine our position, especiallywith key stakeholders.Promoting Best Practice133 We know that many colleges deliver learningof outst<strong>and</strong>ing quality; <strong>and</strong> we know that, at a locallevel, employers <strong>and</strong> learners often hold collegesin <strong>the</strong> highest regard.134 We intend to take <strong>the</strong>se examples of bestpractice <strong>and</strong> local innovation <strong>and</strong> promote <strong>the</strong>mon a national stage in partnership with bodies like<strong>the</strong> AoC where <strong>the</strong> debate is often typified by a focuson what is working less well. We need to segmentour target audiences <strong>and</strong> identify <strong>the</strong> appropriate bestpractice to promote – value added, value <strong>for</strong> money,flexibility, economic impact, social impact will all playwell with different audiences.Empowering CollegeLeadership135 Throughout <strong>the</strong> work we have done in <strong>agenda</strong><strong>for</strong> <strong>change</strong>, we have heard <strong>the</strong> same cry time <strong>and</strong> againfrom college leaders – “give us a vision we can follow”.In this Prospectus, we have set out a clear vision that,we believe, can significantly enhance <strong>the</strong> reputationof <strong>the</strong> sector.136 We will now work with college leaders to refinethat vision fur<strong>the</strong>r, <strong>and</strong> empower colleges to speak withone voice about <strong>the</strong> role <strong>and</strong> importance of <strong>the</strong>ir sector.We will build on <strong>the</strong> success of <strong>the</strong> Black LeadershipInitiative, to improve <strong>the</strong> diversity of <strong>the</strong> FE work<strong>for</strong>ceat <strong>the</strong> highest levels, <strong>and</strong> also within <strong>the</strong> LSC itself.With improved quality, refined business processes<strong>and</strong> a learner <strong>and</strong> employer focus, colleges will be ableto speak with confidence about <strong>the</strong> sector, what it aimsto do <strong>and</strong> what it can deliver.Regular Research137 The LSC, in partnership with <strong>the</strong> whole fur<strong>the</strong>reducation sector <strong>and</strong> all its stakeholders, will ensureregular research is conducted into <strong>the</strong> publicperceptions of <strong>the</strong> role <strong>and</strong> contribution of fur<strong>the</strong>reducation. This will include an assessment of <strong>the</strong> impactof <strong>the</strong> sector on <strong>the</strong> economy <strong>and</strong> <strong>the</strong> wider social18


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong><strong>agenda</strong>, including equally <strong>and</strong> diversity issues,to support in<strong>for</strong>med policy development <strong>and</strong> supportprovider responsiveness to <strong>the</strong> needs of individuals,employers, <strong>the</strong>ir communities <strong>and</strong> <strong>the</strong> economy.138 The LSC’s Learner Satisfaction Survey<strong>and</strong> National Employer Skills Survey along with<strong>the</strong> research on <strong>the</strong> perception of fur<strong>the</strong>r educationamong <strong>the</strong> general public jointly commissionedby <strong>the</strong> LSC <strong>and</strong> <strong>the</strong> FE Review, provide a basis <strong>for</strong> thiswork. This will be built on to regularly monitorshifts in perceptions <strong>and</strong> whe<strong>the</strong>r <strong>the</strong>se resultin <strong>the</strong> anticipated greater take up of <strong>skills</strong> training<strong>and</strong> <strong>the</strong> development of closer working relationships<strong>and</strong> collaboration between businesses <strong>and</strong> colleges.Next Steps139 We will set in place an action plan to progresswith <strong>the</strong>se actions now, while we recognise <strong>the</strong> fur<strong>the</strong>rpositive impact that <strong>the</strong> Foster Review is expectedto have on this <strong>the</strong>me in particular. Working witha group of college principals supported by expertsfrom <strong>the</strong> LSC, we will start by:• highlighting <strong>the</strong> unique nature of <strong>the</strong> sector<strong>and</strong> <strong>the</strong> good practice that already exists• developing more transparent publishedper<strong>for</strong>mance of providers <strong>and</strong> <strong>the</strong> LSClocally, regionally <strong>and</strong> nationally; <strong>and</strong>• promoting <strong>the</strong> views of satisfied customersto tell <strong>the</strong>ir own stories <strong>and</strong> encourage o<strong>the</strong>rsto take advantage of what is already on offer.Conclusion140 We are keen to press ahead. While we want yourviews on <strong>the</strong> ideas in this Prospectus, we also believethat <strong>the</strong> joint work to date <strong>and</strong> <strong>the</strong> feedback from<strong>the</strong> roadshows <strong>and</strong> discussions with DfES indicatewe are moving in <strong>the</strong> right direction. With thatin mind, a number of <strong>the</strong> <strong>the</strong>me group membersthat contributed to helping shape <strong>the</strong>se ideas willcontinue to work with us to develop suitableimplementation plans. We will ensure <strong>the</strong>se plansare integrated across all <strong>the</strong> <strong>the</strong>mes, set out clearinterdependencies, <strong>and</strong> avoid potential overlaps.141 We will, additionally, extend our dialogue withthose outside of FE to see how <strong>the</strong>se ideas mightbe implemented across <strong>the</strong> wider post-16 sector.We aim to publish a timeline with an over-archingimplementation plan <strong>for</strong> <strong>the</strong> whole of <strong>the</strong> sectorin <strong>the</strong> autumn, in <strong>the</strong> light of feedback on thisProspectus, <strong>and</strong> <strong>the</strong> technical Annexes on Funding<strong>and</strong> Data.142 We want this to continue to be an initiative basedon dialogue <strong>and</strong> discussion. With that in mind, we havecreated an area on <strong>the</strong> LSC website where you can offersuggestions about <strong>the</strong> proposals <strong>and</strong> how we take<strong>the</strong>m <strong>for</strong>ward or simply record your support. That areacan be found on <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong> section whichis hyperlinked from <strong>the</strong> home page of our websitewww.lsc.gov.uk. If you wish to comment in writing,please email <strong>agenda</strong><strong>for</strong><strong>change</strong>@lsc.gov.uk.143 You can download copies of this Prospectusfrom <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong> section of our website.When <strong>the</strong> fur<strong>the</strong>r technical papers on funding,capital <strong>and</strong> o<strong>the</strong>r areas are published, <strong>the</strong>y willalso be available <strong>for</strong> download from this site.19


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>AnnexData1 This annex sets out our more detailed thinkingon how to implement <strong>the</strong> data str<strong>and</strong> objectivesset out in <strong>the</strong> main body of <strong>the</strong> report. It alsoprovides more in<strong>for</strong>mation about <strong>the</strong> remit<strong>and</strong> plans <strong>for</strong> <strong>the</strong> Managing In<strong>for</strong>mation AcrossPartners (MIAP) programme.Detailed Plan of ActionData <strong>and</strong> in<strong>for</strong>mation definitionsiiiiiiA consistent set of data definitions to be usedby all public <strong>and</strong> private sector partners across<strong>the</strong> whole of <strong>the</strong> education <strong>and</strong> <strong>skills</strong> sectorshould be agreed, building on <strong>the</strong> workon common data definitions done by MIAP.A coherent set of minimal but m<strong>and</strong>atoryMI reports should be defined <strong>for</strong> each activity,<strong>and</strong> all partners with a stake in that activityshould use this. In <strong>for</strong>mulating <strong>the</strong> m<strong>and</strong>atoryMI reports, <strong>the</strong>re should be a ‘public burden’test exploring <strong>the</strong> total lifecycle cost/benefitof collecting that data <strong>and</strong> deriving <strong>the</strong> MI.All per<strong>for</strong>mance targets should have cleardefinitions <strong>and</strong> be capable of being derivedfrom data or MI within <strong>the</strong> defined setin a defined <strong>and</strong> documented way using<strong>the</strong> st<strong>and</strong>ard reports. These definitions,<strong>for</strong>mulae, basic report templates <strong>and</strong> <strong>the</strong>associated electronic application st<strong>and</strong>ardsshould be owned <strong>and</strong> controlled by a singleauthority or gatekeeper <strong>for</strong> <strong>the</strong> sector.The gatekeeping body could be sponsoredby <strong>the</strong> DfES-led MIAP programme, whichinvolves all partners who have a stake in this.vviviiGiven <strong>the</strong> complex inter-relationship betweenmany data elements <strong>and</strong> reports, <strong>the</strong>y shouldall be managed <strong>and</strong> released toge<strong>the</strong>ras a complete ‘package’ of st<strong>and</strong>arddefinitions <strong>and</strong> a ‘library’ of st<strong>and</strong>ardreports – each clearly named<strong>and</strong> version controlled.A scheduled release cycle should be defined<strong>and</strong> carefully managed to ensure that versioncontrol is rigorously maintained.Changes to definitions <strong>and</strong> reportscan be proposed by any partnerin <strong>the</strong> sector, but <strong>the</strong> proposals willbe subject to a wide <strong>for</strong>mal consultationprocess be<strong>for</strong>e testing in a pilot areaprior to general release.viii An archive of all st<strong>and</strong>ard packages<strong>and</strong> report libraries will be maintainedso that historical datasets can be analysedin context with confidence.ixA st<strong>and</strong>ard electronic inter<strong>change</strong> <strong>for</strong>mat<strong>for</strong> examinations entries <strong>and</strong> results wouldsignificantly reduce <strong>the</strong> administrative burdenof managing achievement, particularly whencombined with a Unique Learner Identifier(ULI) proposed by MIAP <strong>and</strong> <strong>the</strong> PersonalisedLearner Record proposed in <strong>the</strong> recentDfES e-learning strategy.Learner registration serviceiWe will develop a learner registration service,with <strong>the</strong> ULI acting as <strong>the</strong> ‘key’ to accessingan individual’s learner record. This service willbe developed with partners across <strong>the</strong> sectorincluding o<strong>the</strong>r agencies, providers<strong>and</strong> awarding bodies, under <strong>the</strong> auspicesof <strong>the</strong> MIAP programme.ivThe associated controls should give<strong>the</strong> necessary authority to m<strong>and</strong>ate<strong>the</strong> use of <strong>the</strong>se st<strong>and</strong>ards across<strong>the</strong> sector, but <strong>the</strong> processes mustbe both flexible <strong>and</strong> speedy to ensurethat <strong>the</strong>y don’t become bureaucraticin <strong>the</strong>mselves.iiWe plan to introduce <strong>the</strong> ULI into learnerdata as an early part of moving towardsimproved data sharing. Web-based serviceswill be introduced to support <strong>the</strong> generationof <strong>the</strong> ULI, <strong>and</strong> its verification against knownlearner identity data. Agencies, providers,awarding bodies as well as <strong>the</strong> learners<strong>the</strong>mselves would use <strong>the</strong>se services.20


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>iiiivvviviiInitially prototypes will be developed to testassumptions <strong>and</strong> find best ways of workingwith <strong>the</strong> users of <strong>the</strong> ULI <strong>and</strong> associated ULIregistration services. The results of <strong>the</strong>prototypes will in<strong>for</strong>m <strong>the</strong> specificationof <strong>the</strong> full ULI registration service, which willbe part of <strong>the</strong> overall MIAP/LSC <strong>agenda</strong> <strong>for</strong><strong>change</strong> data <strong>the</strong>me.The prototypes will be built on <strong>the</strong> experienceof existing working registration servicessuch as:• Ufi/learndirect• Universities <strong>and</strong> Colleges AdmissionsService (UCAS)• Established web-based systems<strong>for</strong> e-learning or advice <strong>and</strong> guidance,such as S-Cool.The prototype registration services willbe tested by as wide a range of providers<strong>and</strong> awarding bodies as possible acrossall sectors. Participants will be asked to build<strong>the</strong> ULI into <strong>the</strong>ir existing processes suchas learner enrolment, or registration<strong>for</strong> <strong>and</strong> issuing of awards.A major requirement of one or moreprototypes is to support <strong>the</strong> initial QCAFramework <strong>for</strong> Achievement pilots when<strong>the</strong>se commence early in 2006.The aim is to have a prototype servicespecification <strong>and</strong> rollout plans agreedwith participating service providersby autumn 2005, with a view to deliveringa prototype service in early 2006.Formalised data <strong>and</strong> in<strong>for</strong>mation responsibilitiesiiiiiiColleges will not be asked to collect databeyond that which an excellently managedcollege would need to manage <strong>the</strong>ir business<strong>and</strong> to meet st<strong>and</strong>ard per<strong>for</strong>mance<strong>and</strong> quality targets.Each college would be expected to implementhigh quality, auditable in<strong>for</strong>mation processes,which deliver timely, accurate <strong>and</strong> completereturns on an automatic basis.Colleges will not be asked to make separatedata returns <strong>for</strong> each of <strong>the</strong>ir stakeholders.One integrated return will be sufficient to meet<strong>the</strong> needs of all partners, following <strong>the</strong> principleof ‘collect once – use many times, used by all’.Duplicate requests <strong>for</strong> data will be eradicated.ivvviviiPer<strong>for</strong>mance, inspection <strong>and</strong> audit dialogueswith partners will be based around <strong>the</strong> outputsfrom <strong>the</strong> st<strong>and</strong>ard reports run against timestampeddatasets – avoiding any ambiguityor disagreement.Shared, controlled access to college data<strong>and</strong> MI by all agencies will ensure greatervisibility <strong>and</strong> transparency.The results of any o<strong>the</strong>r aggregation or analysisof a college’s data by partner organisationsshould be available to that provideron-dem<strong>and</strong>. Colleges will <strong>the</strong>n know how<strong>the</strong>ir data is being used <strong>and</strong> a more matureper<strong>for</strong>mance, inspection <strong>and</strong> audit dialoguecan occur.We will actively support greater sharingof in<strong>for</strong>mation. For example, through <strong>the</strong> MIAPprogramme, <strong>the</strong>re are plans to create a singleUK Register of <strong>Learning</strong> Providers, whichenables learners, employers, learning providers<strong>and</strong> o<strong>the</strong>rs to access <strong>the</strong> detailed in<strong>for</strong>mationavailable on schools, colleges<strong>and</strong> o<strong>the</strong>r providers.Each college contracts with a data partneriiiiiiivvEach college would establish a contractualrelationship <strong>and</strong> a secure electronic connectionwith a ‘data partner’, who would assist<strong>the</strong> provider in reducing <strong>the</strong> burden associatedwith data collection <strong>and</strong> reporting.On an agreed schedule, <strong>the</strong> data partner would‘pull’ <strong>the</strong> st<strong>and</strong>ard dataset directly from<strong>the</strong> provider’s MI system into a collection<strong>and</strong> processing area dedicated to that college.The data partner would run a st<strong>and</strong>ard setof validation, quality <strong>and</strong> per<strong>for</strong>mance reportsfrom <strong>the</strong> library on <strong>the</strong> data <strong>and</strong> would load<strong>the</strong> results back into <strong>the</strong> provider’s area –where <strong>the</strong> college can validate <strong>the</strong> outputsif <strong>the</strong>y wish.Accredited agencies from around <strong>the</strong> sectorwould be allowed to subscribe to secure,defined parts of each college’s data <strong>and</strong> reportslibrary held by <strong>the</strong> data partner. All additionalMI that is derived by <strong>the</strong>se accredited agenciesshould be deposited back to <strong>the</strong> college’s areato allow discussion <strong>and</strong> promote transparency.This library would be <strong>the</strong> only validated sourceof MI available on that college <strong>and</strong> no agencywould have <strong>the</strong> authority to request additionalMI or data directly from <strong>the</strong>m.21


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>viviiThe data partner will provide accessto <strong>the</strong> data <strong>and</strong> MI library via a webbrowser to dramatically reduce<strong>the</strong> software maintenance<strong>and</strong> deployment costs.The data partner could also supply o<strong>the</strong>rservices <strong>for</strong> colleges, <strong>for</strong> example:- electronic registration service <strong>for</strong>learners – supplying <strong>the</strong> unique learnernumbers <strong>and</strong> providing access to priorachievement data where available- employer registration service –providing a local employer directoryto support <strong>the</strong> <strong>skills</strong> <strong>agenda</strong>- quality <strong>and</strong> measures service – deriving<strong>the</strong> st<strong>and</strong>ard quality measures from<strong>the</strong> validated returned data <strong>and</strong> providingcomparisons with benchmark data,providing a clearing house <strong>for</strong> selfassessmentreports <strong>and</strong> inspectionreports; <strong>and</strong>5 These recommendations were acceptedby <strong>the</strong> MIAP Stakeholder Group providing <strong>the</strong> basis<strong>for</strong> a longer-term programme of work to investigate<strong>the</strong> feasibility of introducing:• a data sharing framework• common data definitions• a data warehouse• a unique learner identifier• improvements to <strong>the</strong> flow of achievementdata; <strong>and</strong>• a national register of providers.6 By mid 2004, <strong>the</strong> outcome of this workwas consolidated into a MIAP Proposal <strong>for</strong> improvingservices to learners through improved datamanagement. The proposals, supportedby DfES ministers, were to:• implement <strong>change</strong> incrementally buildingon what is already planned- local demographic <strong>and</strong> dem<strong>and</strong> data –providing a common set of statistics<strong>for</strong> all providers.Managing In<strong>for</strong>mationAcross Partners2 MIAP aims to improve services to learners,employers <strong>and</strong> <strong>the</strong>ir communities through streamlineddata management arrangements. It is a direct<strong>and</strong> collaborative response to <strong>the</strong> lack of coherenceaffecting data <strong>and</strong> MI across <strong>the</strong> diverse learning,<strong>skills</strong> <strong>and</strong> wider education sector.3 DfES provides <strong>the</strong> strategic lead <strong>for</strong> this workwith strong support from <strong>the</strong> LSC, QCA <strong>and</strong> HigherEducation Statistics Agency (HESA) as core partners.O<strong>the</strong>r key partners include DWP <strong>and</strong> <strong>the</strong> devolvedadministrations, with a wider range of over 40partners supporting <strong>the</strong> MIAP aims through<strong>the</strong> MIAP Stakeholder Group.4 Initial mapping of <strong>the</strong> nature <strong>and</strong> scale of <strong>the</strong>challenges <strong>and</strong> issues faced by partners involvedin data sharing identified a number of immediate‘quick wins’, alongside recommendations <strong>for</strong> actionto support fundamental <strong>change</strong>.• introduce a Unique Learner Identifier; <strong>and</strong>• develop arrangements <strong>for</strong> improving datasharing, across schools, FE <strong>and</strong> HE. MIAPrejected <strong>the</strong> immediate developmentof a fully integrated provider systembecause it was considered too risky<strong>and</strong> costly, although it remains<strong>the</strong> long term goal.7 Fur<strong>the</strong>r work was undertaken to confirm<strong>and</strong> prioritise users’ requirements <strong>and</strong> to underst<strong>and</strong><strong>the</strong> business processes associated with learnerparticipation, retention, achievement <strong>and</strong> destinations.In addition, work was taken <strong>for</strong>ward to confirm a ‘core’set of common data definitions <strong>and</strong> to investigate<strong>the</strong> most appropriate options <strong>for</strong> introducing a uniquelearner number. This provided <strong>the</strong> basis <strong>for</strong> a fur<strong>the</strong>rreport to ministers in July 2005 proposing to:• manage risk <strong>and</strong> costs by introducing <strong>change</strong>incrementally across <strong>the</strong> sector, taking accountof <strong>the</strong> different starting points of partners<strong>and</strong> building on what is already planned• introduce a set of core common datadefinitions to support coherence• introduce a Learner RegistrationService <strong>and</strong> Unique Learner Identifieras an au<strong>the</strong>ntication facility to supportdata access <strong>and</strong> sharing as soon as possible22


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>• develop a Data Interface to provide learneraccess to agreed sub-sets of data held withinexisting data systems across schools,FE <strong>and</strong> HE• introduce a UK register of learning providersduring 2005/06; <strong>and</strong>• pass responsibility <strong>for</strong> <strong>the</strong> development<strong>and</strong> delivery of <strong>the</strong> MIAP proposalsto <strong>the</strong> LSC on behalf of <strong>the</strong> MIAPstakeholder group.The MIAP Proposal is outlined in <strong>the</strong> diagram below.MIAP proposal –- <strong>Learning</strong> data interfaceLearners Providers NationalagenciesLocalagenciesEndUsers*MIAP Enabling ProjectsUniqueLearnerIdentifierDataSharingFrameworkUKRegister of<strong>Learning</strong>ProvidersCommonDataDefinitionsULI registration service(Allows access to personal data,provides unique identifier)*<strong>Learning</strong> Data Interface(bringing toge<strong>the</strong>r subsets of data which will create a Learner Record)DfES LSC HESA/UCASSchools/LEAsFE/WBLACL/LearndirectHEAchievementIn<strong>for</strong>mationAwardingbodiesFfADfESO<strong>the</strong>reg.StudentLoanCompany/JobcentrePlus/ConnexionsWebGatewayData Source Uploaded to Web*indicates MIAP programmes23


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Managing In<strong>for</strong>mation Across Partners: MembersAdult <strong>Learning</strong> InspectorateAssociation of CollegesAssociation of <strong>Learning</strong> ProvidersBritish Education Communication <strong>and</strong> TechnologyBureaucracy Reduction GroupCabinet Office – e-Government UnitConnexions CardConnexions Service National UnitDepartment <strong>for</strong> Education <strong>and</strong> SkillsDepartment <strong>for</strong> Employment <strong>and</strong> <strong>Learning</strong>, Nor<strong>the</strong>rn Irel<strong>and</strong>Department <strong>for</strong> Work <strong>and</strong> PensionsDepartment of HealthEducation <strong>and</strong> <strong>Learning</strong> in WalesEngl<strong>and</strong>’s Regional Development AgenciesFederation of Awarding BodiesHigher Education Funding Council For Engl<strong>and</strong>Higher Education Statistics AgencyHolexJobcentre PlusJoint In<strong>for</strong>mation Systems Committee<strong>Learning</strong> <strong>and</strong> Skills Council<strong>Learning</strong> <strong>and</strong> Skills Development Agency<strong>Learning</strong> Partnerships National NetworkLocal Government AssociationNational Health Service UniversityNational Institute <strong>for</strong> Adult Continuing EducationOffice <strong>for</strong> St<strong>and</strong>ards in EducationOffice of <strong>the</strong> e-EnvoyOffice of <strong>the</strong> In<strong>for</strong>mation CommissionerQualifications <strong>and</strong> Curriculum AuthorityQuality Assurance AgencyScottish Executive24


<strong>Learning</strong> <strong>and</strong> Skills – <strong>the</strong> <strong>agenda</strong> <strong>for</strong> <strong>change</strong>Scottish Qualifications AuthoritySecondary Heads AssociationSector Skills Development AgencySmall Business ServiceSocial Enterprise Unit (DTI)St<strong>and</strong>ing Committee of PrincipalsStudent Loans CompanyTeacher Training AgencyUniversities - United KingdomUniversities <strong>and</strong> Colleges Admissions ServiceUniversity <strong>for</strong> IndustryWelsh Assembly25


Notes


Please note a technical funding document accompanies this Prospectus.It is available from <strong>the</strong> LSC Website www.lsc.gov.uk


<strong>Learning</strong> <strong>and</strong> Skills Council.National Office<strong>Learning</strong> <strong>and</strong> Skills CouncilCheylesmore HouseQuinton RoadCoventryCV1 2WTwww.lsc.gov.ukPublished by <strong>the</strong> <strong>Learning</strong> <strong>and</strong> Skills Council.Extracts from this publication may bereproduced <strong>for</strong> non-commercial educationalor training purposes on condition that <strong>the</strong>source is acknowledged <strong>and</strong> <strong>the</strong> findingsare not misrepresented.This publication is available in an electronic<strong>for</strong>m on <strong>the</strong> Council’s website:www.lsc.gov.ukPublication enquiries: 0870 900 6800Publication reference LSC-P-NAT-050483© LSC August 2005

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