How the Private Sector Develops Skills: Lessons from Turkey
Despite its vital role in development to increase access to sustainable income, skills training has been experiencing severe problems worldwide, such as lack of physical, legal and educational infrastructure, absence of a win-win based cooperation between the private sector and vocational education and training agencies as well as matters of financing. The state and development agencies on their own are limited in their capacity to tackle these problems. It is difficult to close the gap between the supply of labour and the demands of the market, which exacerbates the exclusion of the base of the pyramid from the economy, especially in a globalizing world where the technological requirements are changing rapidly.
Private sector, on the other hand, has significant potential to address the deficiencies in skills development and bridge the gap between what the labour force has to offer and what the industry demands. The companies can contribute to the skills training process, which in turn can provide the required skilled employees for the market and offer employment opportunities, particularly to the disadvantaged. Private sector will not only help to improve national competitiveness and realize an increase in its profitability due to the availability of a better trained staff, but also improve the inclusiveness of the market.
The publication is intended to be a first step towards generating knowledge on the role of private sector in skills generation for increased inclusiveness and employability. It includes several case studies from Turkey, in which the private sector has created significant added-value through private sector-led or PPP models of skills design and delivery. It elaborates on the lessons-learned from these cases to pave the way for further action and research on how business actors can contribute to skills development, especially for the disadvantaged. The publication will lead to further research products and reports, and eventually toolkits on how to mobilize and engage the private sector in skills generation for better development results. Workshops will be organized for the private sector, governments and other relevant stakeholders based on these toolkits to facilitate knowledge-sharing and encourage innovation.