Evolution of HEI System in China. Recent Expansion of China HEIs and Its Challenges

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2 Evolution of HEI System in China Recent Expansion of China HEIs and Its Challenges Various Attempts Towards Creativity & Entrepreneurship Education Challenges of Enabling Creativity & Entrepreneurship in China HEIs An Implementation Framework for Developing Entrepreneurial Talent 2

3 Phrase Centralization Supervision Coordination Economic System Planned Economic System Market Economic System Market Economic System Employment System Time Unified Job Placement Government Guidance University Recommendation Two-way Choice between HEI Graduate and Employer Independent Job Selection Present 3

4 Graduate Distribution Committee Cultural Revoluti on Centralized Job Placement Government Unified Job Distribution National College Entrance Exam Restoration 4

5 Graduate Distribution System Reform Educational Reform & Development Outline Education System Reform National Career Guidance Center 5

6 The First Graduates of University Expansion MOE Advisory Committee of Entrepreneurship Education Enrolment Extension of China HEIs Career Planning and Employment Guidance 6

7 Over-supply of China HEI Graduates High GDP Growth Rate vs. Low Employment Growth Rate Skill Gap of China HEI Graduates 7

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10 Grads are facing difficulties in landing the first job because what they ve learned from universities doesn t match the market s need in a rapid changing economy. Most of fresh graduates just qualified in academics, but lack the practical skills in the workplace. Some business companies are struggling to fill openings by spending extra budget to skill up entre-level employees. Structural unemployment: an oversupply of grads in some fields vs. an employment shortage in other fields (e.g. organic agriculture, automotive engineering, science, biology, physics & chemistry, petrochemicals & electronics). 10

11 Stage One: Spontaneous Exploration ( ) Stage Two: Pilot Test (2002) Stage Three: Fully Promotion (2003-Present) Shanghai City - The Graduate Technology Entrepreneurship Foundation Liaoning Province - Entrepreneurial Graduates Self-employer Certificate Yunnan Province Billion Yuan Special Fund for Young Entrepreneur KAB (Knowing About Business) China Program SIYB (Start and Improve Your Business) China Program YBC (Youth Business China) Program 11

12 Tsinghua University initiated The First Business Plan Competition, which coincided with the earliest entrepreneurship education attempts in China. Shanghai Fudan University taught students both academic knowledge and practical skills of entrepreneurship. Beijing University of Aeronautics & Astronautics gave students easy access to self-employment business registration and financial support as well. East China Normal University set up new entrepreneurship education curriculum. 12

13 Tsinghua University Beijing University of Aeronautics and Astronautics People s University of China Shanghai Jiaotong University Xi an Jiaotong University Wuhan University South Economic Institute Northwestern Polytechnical University Heilongjiang University 13

14 In October 2003, the China MOE held The First Backbone Teacher Training Workshop on Entrepreneurship Education which marks the official beginning of entrepreneurship education in China HEIs. In 2008, the Chinese MOE established 30 National Training Zone of Entrepreneurial Experiment. The total funding for each experimental zone 500,000 Renminbi should be allocated annually. In May 2010, the new MOE HEI Advisory Committee of Entrepreneurship Education was established. The major tasks of this advisory committee were to: a) organize and conduct theory and practice research on entrepreneurship education b) guide and strengthen curriculum construction and teaching content reform c) organize teacher training workshop d) give a big push to the development of entrepreneurship education 14

15 If Shanghai university students want to set up new enterprises, they can get business loans from 50,000 to 300,000 Yuan. If the business fails, the foundation will write off investment expenditure. The entrepreneurs do not need to take responsibility. Liaoning Provincial Department of Education has offered self-employer certificate to new entrepreneurial graduates who will be granted preferential registration fee and tax exemption polices. The local government has tried to waive administrative fees and charges, offer a one-time subsidy, tax incentives, and guaranteed small loans to young entrepreneurs. 15

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17 Shortage of Venture Capital for Students Entrepreneurial Activities Insufficient Education Personnel in Creativity and Entrepreneurship Education Mismatch between Curriculum and Market in Creativity & Entrepreneurship Education 17

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19 A large numbers of education personnel prefer to stay in first-tier cities (e.g. Beijing, Shanghai, Guangdong, Shenzhen) As a result, these areas crowded with the good teacher resources. In second and third tier cities, there are shortages of high qualified education personnel. Under-privileged students in those areas has no access to quality learning. Compared with some other high-income professions, teaching is considered as a hard-working and low-income job in China. Therefore, China HEIs are facing crisis of losing high quality in-service teachers and insufficient new recruitment in creativity and entrepreneurship education. 19

20 There are substantial criticisms for the mismatch between entrepreneurial curriculum that China HEIs currently offered and the Chinese labor market requirements. In order to compete in the technology intensive economy, entrepreneurial curriculum needs to be further redesigned to accommodate recent advances in the academic field and aligned with the current economic market needs. To become more efficient and productive, the entrepreneurial curriculum needs to be rebuilt with input from alumni, local entrepreneurs, and global perspectives to prepare entrepreneurial graduates for meeting competency levels required by the workplace. 20

21 A key driver of the national economic development Focus on sustained economic development Give the young generation needed entrepreneurial skill Encourage youth to come up with creative ideas and turn them into successful business startups 21

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24 Thank you! Questions? Comments?