The education industry is booming and it is important for the country’s economic and social development. India is one of the largest education and training markets in the world with an estimated student population of 400 million. Based on current and future manpower requirements of various sectors there is a huge demand supply gap in the education space.
India’s youth accounts for over 50 percent of its population with 367 universities and 18,000 colleges with half a million teachers and about 11 million students on the rolls. India can reap huge returns from this demographic advantage. Private education is here to grow and private institutes are creating awareness about programs they offer. The education market in India is assessed to be between USD 40bn to 50bn.
There is a strong relationship between economic growth and level of education. Higher education in India has seen significant growth over the last two decades, Universities and colleges in India have grown at a CAGR of over 5% and 6% respectively, since 1957. This growth has been powered by steady increases in enrolment. Enrolment is higher education has grown at a CAGR of approximately 6% over the past two decades, with approximately 13 million students enrolling in higher and technical education institutions in 2007-08.
With over 50% of the population falling in the age group of 15–24 years, with a median age between 20-23 years, India presents an attractive market of the higher education sector. The population in the 15 – 24 age group is expected to be about 235 million by 2010– 19% of the total population. Thus there is huge potential in higher education.
There is a big employability issue among the educated youth especially graduates. According to a recent report, only 30% of all engineers, 25% of all finance and accounting professionals, and 20% of the general graduates from colleges and universities are employable. More than half India’s billion plus population is below the age of 25. But about 45% of its work force of about 400 million people is illiterate and another 40% comprises school dropouts as stated in a recent report.
Demand for graduates over the next five years is likely to be 13.8 million. But with only 13.2 million students graduating over the same period, India will face a shortfall of 600,000 graduates. There will be a shortfall of 3. There will be a shortfall of 3.1 million employable people by 2010 leading to a severe problem if the issue isn’t tackled at the grassroots level. In most case, the problem is not knowledge, but ability to communicate and implement that knowledge.
There are two possible approaches – self development and professional mentoring. People can read newspapers, books etc to improve skills or enroll in vocational training programs. Successful entrepreneurs are those who innovate, plan strategically, hold the risk bearing ability and stand strong against all stumbling blocks and transform them into stepping stones by bringing sweeping changes and revolutionizing business processes.
NET HR features amongst the leading recruitment firms in India. Future Education Ltd has joined hands with top business schools and universities in India and abroad to get you the best in management education. Their programs are structured keeping in mind the global business environment and international standards. They carry a global focus and cater to ever changing needs of the corporate world arising out of globalization. Keeping this in mind Future Institute of Management (FIM) has organized international assignments so students can get an international business environment and cultural exposure.