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Abhay Sharma 2023SMF6560

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MIS 24-25

MIS 24-25

India Institute of Technology Delhi

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MSL880 SELECTED TOPICS IN MANAGEMENT

METHODOLOGY

Skill Development in India

Department of Management Studies

4

Indian Institute of Technology Delhi

Submitted by
Abhay Sharma
2023SMF6560

Abstract

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India's ambitious economic goals are inextricably linked to the development of a robust skill
development ecosystem. This report consolidates the findings from the Minor and Term Paper phases
to present a holistic action plan aimed at addressing the systemic challenges that hinder India's skill
development efforts. By employing advanced analytical techniques such as Interpretive Structural
Modeling (ISM) and Life Cycle Approach (LCA), this research identifies key priority interventions,
evaluates potential trade-offs, and proposes scalable solutions to revitalize India's skill landscape. This
comprehensive approach seeks to empower India's workforce and drive sustainable economic growth.
Introduction
India's aspiration to emerge as a global economic powerhouse, with a target of achieving a $5 trillion
economy by 2027, hinges on the development of a skilled workforce. While significant strides have
been made through initiatives like the Skill India Mission, systemic challenges such as outdated
curricula, inadequate infrastructure, and regional disparities continue to impede progress.
This paper employs a foresight methodology to delve into the complexities of India's skill
development landscape. By identifying contradictions, trade-offs, and synergies within the system, we
aim to propose actionable strategies that can equip India's workforce for the future. This forward-
looking approach seeks to address the evolving needs of the 21st-century economy and ensure that
India's skill development ecosystem is aligned with global best practices.
Synthesis of Challenges
A comprehensive analysis of the Minor and Term Paper phases has revealed several persistent
challenges hindering India's skill development ecosystem:
3  Outdated Curricula: A significant gap exists between the skills imparted through existing
training programs and the evolving demands of industries. This misalignment undermines the
employability of skilled individuals.
 Infrastructure Deficits: Many regions, particularly rural areas and underserved urban
centers, lack adequate training facilities, equipment, and digital infrastructure. This limits
access to quality skill development opportunities.
 Regional Disparities: Significant disparities exist in the availability and quality of skill
development programs across different regions. Urban areas often have better access to
advanced training facilities, while rural areas face significant challenges.
 Minimal Industry Collaboration: A lack of robust industry-academia partnerships limits the
relevance of training programs to real-world industry needs. This hinders the development of
industry-ready skills.
 Workforce Obsolescence: Rapid technological advancements are outpacing the ability of the
workforce to acquire and update necessary skills. This poses a significant challenge to
maintaining competitiveness in the global market.

Step 1: Variable Identification

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The variables shaping India's skill development ecosystem are derived from their role in enabling,
delivering, and ensuring outcomes for effective skill-building. Below is an expanded description of
each variable, highlighting its significance.
Foundational Elements
1. Infrastructure & Facilities (IF)
o Definition: Physical and digital infrastructure required to support skill development
programs, including training centers, laboratories, and IT systems.
o Importance: Acts as the backbone for delivering both traditional and digital training
programs, particularly in underserved areas. Without adequate infrastructure, skill
development efforts face severe limitations.
o Examples: Establishing state-of-the-art training centers, upgrading IT facilities, and
providing high-speed internet in rural areas.
2. Public-Private Partnerships (PP)
o Definition: Collaborative ventures between government and private organizations to
pool resources, share expertise, and co-deliver training programs.
o Importance: Enhances funding, brings industry expertise, and ensures alignment of
training with market demands.
o Examples: Jointly funded industrial training institutes, corporate-sponsored
apprenticeship programs, and CSR-driven skill hubs.
3. Policy Framework (PF)
o Definition: Guidelines, strategies, and regulations established by governments to
standardize and promote skill development initiatives.
o Importance: Ensures quality assurance, equity in access, and alignment with national
goals. A robust framework mitigates fragmentation and overlaps.
o Examples: National Skill Development Policy, tax incentives for companies
supporting training programs, and standardized certifications.
4. Digital Capabilities (DC)
o Definition: Digital tools and platforms that enhance training delivery, such as e-
learning modules, AI-driven learning management systems, and online certification
programs.
o Importance: Enables scalability, flexibility, and accessibility, especially for remote
and underserved populations.
o Examples: Online training platforms like SWAYAM, virtual classrooms, and AR/VR-
based skill simulations.
5. Industry Collaboration (IC)
o Definition: Partnerships with businesses to align skill development curricula with
real-world job requirements.
o Importance: Bridges the gap between theoretical knowledge and practical
application, ensuring employability.

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o Examples: Co-designed curricula with IT firms, internships in manufacturing, and

mentorship programs led by industry experts.
6. Quality Assurance (QA)
o Definition: Mechanisms to evaluate and maintain the quality of training programs,
curricula, and certifications.
o Importance: Builds credibility, ensures alignment with industry standards, and
fosters trust among stakeholders.
o Examples: National accreditation bodies, standardized assessments, and regular
audits of training centers.
7. Rural Centers (RC)
o Definition: Training hubs established in rural areas to address regional disparities and
provide skill-building opportunities.
o Importance: Critical for reducing urban migration and enabling inclusive economic
growth.
o Examples: Vocational training centers in remote villages, mobile units for
agricultural skill training, and regional incubation hubs for rural entrepreneurship.
8. Urban Centers (UC)
o Definition: Advanced skill development centers located in cities, catering to high-
tech industries and urban job markets.
o Importance: Drives industrial growth and supports emerging sectors with a focus on
high-end skills.
o Examples: IT skill hubs, advanced manufacturing labs, and AI training institutes in
metropolitan areas.
9. E-Learning Platforms (EP)
o Definition: Digital platforms offering online courses, certifications, and continuous
learning opportunities.
o Importance: Provides flexible and cost-effective training options, allowing learners
to upskill or reskill at their convenience.
o Examples: Coursera, edX, and government-backed platforms like DIKSHA.
10. Mobile Training Units (MT)
 Definition: Portable training units equipped to deliver skills training in remote or underserved
areas.
 Importance: Addresses logistical challenges in delivering training to regions lacking
permanent infrastructure.
 Examples: Mobile labs for IT and electronics training, trucks converted into classrooms, and
agricultural training vehicles.
11. Workforce Readiness (WR)

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 Definition: The ability of individuals to meet job market requirements with the right mix of
technical, digital, and soft skills.
 Importance: Acts as the ultimate indicator of success for skill development programs. A
ready workforce drives economic productivity.
 Examples: Employable graduates from vocational schools, skilled tradespeople entering
industrial jobs, and digital marketers prepared for the gig economy.
12. Economic Empowerment (EE)
 Definition: Enhanced economic opportunities and improved living standards resulting from
gainful employment and entrepreneurship.
 Importance: Reduces poverty, drives GDP growth, and strengthens national competitiveness.
 Examples: Increased income levels, small business growth in rural areas, and reduced
unemployment rates.
13. Social Inclusion (SI)
 Definition: Equitable access to skill development programs, ensuring participation from
marginalized and underserved groups.
 Importance: Promotes diversity, reduces inequalities, and ensures sustainable growth for all
societal segments.
 Examples: Women-focused training programs, skill development for differently-abled
individuals, and initiatives for tribal communities.
Step 2: Structural Self-Interaction Matrix (SSIM)
Purpose
The SSIM identifies pairwise relationships between variables in the skill development ecosystem,
using directional symbols to show influence or interdependence.

Variables
1. Infrastructure & Facilities (IF)
2. Public-Private Partnerships (PP)
3. Policy Framework (PF)
4. Digital Capabilities (DC)
5. Industry Collaboration (IC)
6. Quality Assurance (QA)
7. Rural Centers (RC)
8. Urban Centers (UC)
9. E-Learning Platforms (EP)
10. Mobile Training Units (MT)

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11. Workforce Readiness (WR)

12. Economic Empowerment (EE)
13. Social Inclusion (SI)

Matrix Explanation
For each variable pair, the following symbols are used:
2  V: Row variable influences column variable.
 A: Column variable influences row variable.
 X: Both variables influence each other.
 O: No relationship exists.

Expanded Structural Self-Interaction Matrix

Row/Column SI EE WR MT EP UC RC QA IC DC PF PP

1 IF V V V V V V V A O V A X

PP V V V V V V V X V V X -

PF V V V V V V V V V V - -

DC V V V V V V V A X - - -

IC V V V V V V V X - - - -

QA V V V V V V V - - - - -

1 RC V A V X O O - - - - - -

UC V V V O O - - - - - - -

EP V V V O - - - - - - - -

MT V A V - - - - - - - - -

WR X X - - - - - - - - - -

EE X - - - - - - - - - - -

SI - - - - - - - - - - - -

Key Relationships

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Row: Infrastructure & Facilities (IF)

 IF → SI (V): Infrastructure directly supports inclusive skill development through rural and
urban training centers.
 IF → WR (V): Facilities are foundational for creating a job-ready workforce.
 IF → PP (X): A reciprocal relationship exists, as partnerships help build and maintain
infrastructure.

Row: Public-Private Partnerships (PP)

 PP → IC (V): Partnerships foster industry collaboration by bringing expertise and resources.
 PP → EP (V): E-learning platforms are often developed through private investment and
public policy.

Row: Policy Framework (PF)

 PF → QA (V): Policies ensure quality benchmarks for skill programs.
 PF → WR (V): Policy shapes the alignment of skills training with workforce requirements.

Row: Digital Capabilities (DC)

 DC → EP (V): Digital capabilities directly support e-learning platforms.
 DC ↔ IC (X): Industry collaboration helps define the technology stack for digital training.

Row: Quality Assurance (QA)

 QA → WR (V): High-quality programs lead to a better-prepared workforce.
 QA → SI (V): Assures inclusivity by maintaining program standards.

Row: Workforce Readiness (WR)

 WR ↔ EE (X): A job-ready workforce contributes to economic empowerment, and
empowered individuals seek better skills.

Outcomes: Economic Empowerment (EE) and Social Inclusion (SI)

 Both have limited influence but depend on all foundational, enabling, and delivery variables
for their realization.

Step 3: Initial Reachability Matrix (Expanded)

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Purpose
The Initial Reachability Matrix is a binary representation of the relationships between variables,
derived from the Structural Self-Interaction Matrix (SSIM). It shows whether a relationship exists
(1) or not (0), based on the conversion rules.
Conversion Rules
2 1. V → 1: Row variable influences column variable.
2. A → 1: Column variable influences row variable.
3. X → 1 in both directions: Both variables influence each other.
4. O → 0 in both directions: No relationship exists.
Initial Reachability Matrix

Row/Column SI EE WR MT EP UC RC QA IC DC PF PP

IF 1 1 1 1 1 1 1 0 0 1 0 1

PP 1 1 1 1 1 1 1 1 1 1 1 0

PF 1 1 1 1 1 1 1 1 1 1 0 0

DC 1 1 1 1 1 1 1 0 1 0 0 0

IC 1 1 1 1 1 1 1 1 0 0 0 0

QA 1 1 1 1 1 1 1 0 0 0 0 0

RC 1 0 1 1 0 0 0 0 0 0 0 0

UC 1 1 1 0 0 0 0 0 0 0 0 0

EP 1 1 1 0 0 0 0 0 0 0 0 0

MT 1 0 1 0 0 0 0 0 0 0 0 0

WR 1 1 0 0 0 0 0 0 0 0 0 0

EE 1 0 0 0 0 0 0 0 0 0 0 0

SI 0 0 0 0 0 0 0 0 0 0 0 0

Key Observations
1. Foundational Variables (IF, PP, PF):
o These have a high number of 1s in their rows, indicating they influence most other
variables directly or indirectly.
o Example: IF influences WR, MT, and EP by providing the necessary physical and
digital infrastructure.
2. Outcome Variables (WR, EE, SI):

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o These have sparse rows and high dependence, as seen from their limited influence on
other variables.
o Example: WR depends on other variables like QA, RC, and IC for achieving a job-
ready workforce.
3. Enabling Systems (DC, IC, QA):
o These variables show a mix of influence and dependence, acting as intermediaries
between foundational elements and delivery mechanisms.
o Example: IC influences WR but depends on foundational elements like PP and PF.
4. Delivery Mechanisms (RC, UC, EP, MT):
o These variables are relatively dependent, with moderate influence over outcome
variables.
o Example: RC and UC contribute to SI and EE, addressing geographic disparities.

Final Reachability Matrix

SI EE WR MT EP UC RC QA IC DC PF PP

IF 1 1 1 1 1 1 1 1 1 1 1 1

PP 1 1 1 1 1 1 1 1 1 1 1 1

PF 1 1 1 1 1 1 1 1 1 1 1 1

DC 1 1 1 1 1 1 1 1 1 1 0 0

IC 1 1 1 1 1 1 1 1 1 1 0 0

QA 1 1 1 1 1 1 1 1 1 1 0 0

RC 1 1 1 1 1 1 1 1 1 0 0 0

UC 1 1 1 1 1 1 1 1 1 0 0 0

EP 1 1 1 1 1 1 1 1 1 0 0 0

MT 1 1 1 1 1 1 1 1 1 0 0 0

WR 1 1 1 0 0 0 0 0 0 0 0 0

EE 1 1 0 0 0 0 0 0 0 0 0 0

SI 1 0 0 0 0 0 0 0 0 0 0 0

Explanation of Final Reachability Matrix

1. Direct Relationships: Captured from the SSIM and converted into binary form.
o Example: IF→WRIF \to WRIF→WR = 1 (direct relationship).

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2. Transitive Relationships: Added where a path exists between variables.

o Example: If IF→DCIF \to DCIF→DC and DC→WRDC \to WRDC→WR, then
IF→WRIF \to WRIF→WR becomes 1.
3. All Foundational Elements (IF, PP, PF): Influence all other variables directly or transitively,
making their rows full of ones.
4. Outcome Variables (WR, EE, SI): High dependence; they have minimal influence on other
variables, reflected in sparse rows with few 1s.

Key Observations
1. Foundational Elements (IF, PP, PF):
o These have the highest driving power, influencing all subsequent variables.
2. Enabling Systems (DC, IC, QA):
o Intermediary variables; they influence delivery mechanisms and outcomes but also
depend on foundational elements.
3. Delivery Mechanisms (RC, UC, EP, MT):
o Relatively balanced influence and dependence, serving as the operational layer.
4. Outcomes (WR, EE, SI):
o Fully dependent on preceding layers, with minimal driving power.
Step 5: Partitioning Variables into Levels
Purpose
Partitioning variables into levels reveals their hierarchical structure within the skill development
ecosystem. Each variable's position is determined by analyzing its reachability and dependence in the
Final Reachability Matrix. Variables are grouped into levels based on their influence and
dependencies, from foundational elements to ultimate outcomes.

Level Partitioning Process

Key Definitions:
1. Reachability Set: All variables that a given variable influences directly or transitively.
2. Antecedent Set: All variables that influence a given variable directly or transitively.
3. Intersection: The common variables between the reachability and antecedent sets.
5 4. Level Assignment: Variables with the same reachability and intersection sets are assigned to
the same level.

Level 1: Outcomes
 Variables:

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1. Workforce Readiness (WR)

2. Economic Empowerment (EE)
3. Social Inclusion (SI)
 Characteristics:
o Fully dependent on all preceding levels.
o Indicators of the success of the skill development ecosystem.
o Limited or no influence over other variables.
 Role in the System:
o WR: Ensures individuals are employable with job-ready skills.
o EE: Represents improved economic conditions through employment or
entrepreneurship.
o SI: Ensures equity in access to skills and opportunities for marginalized groups.
Level 2: Delivery Mechanisms
 Variables:
1. Rural Centers (RC)
2. Urban Centers (UC)
3. E-Learning Platforms (EP)
4. Mobile Training Units (MT)
 Characteristics:
o Directly influence outcomes (Level 1 variables).
o Relatively dependent on enabling systems (Level 3) for operational success.
 Role in the System:
o RC: Brings skills training to underserved rural regions, reducing urban migration.
o UC: Supports urban sectors with advanced training for high-tech industries.
o EP: Offers online and flexible learning options, enabling continuous education.
o MT: Provides mobile training solutions for remote or difficult-to-reach areas.
Level 3: Enabling Systems
 Variables:
1. Digital Capabilities (DC)
2. Industry Collaboration (IC)
3. Quality Assurance (QA)
 Characteristics:
o Intermediaries connecting foundational elements with delivery mechanisms.

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o Drive innovation, ensure relevance, and maintain program quality.

 Role in the System:
o DC: Empowers digital and remote learning capabilities, enhancing scalability.
o IC: Aligns training with industry needs, ensuring job market relevance.
o QA: Maintains program credibility through standardized assessments and audits.
Level 4: Foundational Elements
 Variables:
1. Infrastructure & Facilities (IF)
2. Public-Private Partnerships (PP)
3. Policy Framework (PF)
 Characteristics:
o Base layer of the system, driving all other variables.
o High influence and minimal dependence.
 Role in the System:
o IF: Provides physical and digital infrastructure for training delivery.
o PP: Mobilizes funding, expertise, and resources through collaboration.
o PF: Creates the strategic and regulatory environment for skill development.

Hierarchy Levels
Key Insights

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1. Foundation is Critical: Without adequate infrastructure, policy support, and partnerships, the
entire system collapses.
2. Intermediate Systems Drive Functionality: Enabling systems like IC and QA ensure
delivery mechanisms operate efficiently and meet market demands.
3. Outcomes Reflect System Success: Metrics like workforce readiness, economic
empowerment, and social inclusion indicate the health of the skill development ecosystem.

4. Conclusion
The Interpretive Structural Modeling (ISM) framework for India's skill development
ecosystem systematically identifies and organizes key variables across four
hierarchical levels: foundational elements, enabling systems, delivery mechanisms,
and outcomes. Foundational elements such as infrastructure, policy frameworks, and
public-private partnerships form the backbone, driving all subsequent layers. Enabling
systems bridge foundational resources with operational delivery, ensuring relevance,
scalability, and quality. Delivery mechanisms, including rural and urban centers, e-
learning platforms, and mobile training units, execute skill-building programs tailored
to diverse needs. Ultimately, the outcomes—workforce readiness, economic
empowerment, and social inclusion—reflect the success of the ecosystem in achieving
national development goals. This structured approach not only highlights the
dependencies and driving powers of variables but also underscores the importance of
cohesive policy, robust collaboration, and inclusive strategies for building a
sustainable and impactful skill development framework.

References:

1. https://www.semanticscholar.org/paper/Technology-Foresight-Methods-For-Future-Skills-An-
Aichouni-Al-Ghamdi/a856f2fec2b72b78a782b8b2490f1ecfa74212e9
2. https://www.ijstr.org/final-print/jan2021/Technology-Foresight-Methods-For-Future-Skills-
Anticipation-An-Empirical-Study.pdf
3. Future Skills in India– Foundation Report

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