Indonesian industries are ready for industry-driven competency standards

The ILO and the Indonesian Employers’ Association (Apindo) are in the process of validating the guide that promotes a greater involvement of industries in developing competency standards.

News | Jakarta, Indonesia | 20 September 2021
Young workers need to have skills and competency required by industries
The Indonesian industries enthusiastically welcome the Guide for Industry in Developing Competency Standards. Jointly developed by the ILO and the Indonesian Employers’ Association (Apindo), the Guide opens an opportunity for a greater, direct involvement of industries in setting-up competency standards based on specific needs of industries.

The Guide is a game changer in promoting a greater involvement of industries in developing and updating skills and competencies that are in line with the industrial needs and changes."

Danang Girindrawardana, Executive Director of Apindo
The Guide is also in line with the Manpower Ministerial Decree No. 3/2016 on Procedure of Competency Standards Development, stating that all stakeholders are allowed to be involved in the development competency standards that are required for certain types of employments and professions. The proposed standards will be then reviewed and undertaken for next verification, authentication and finalization steps led by the Ministry of Manpower.

“The Guide is a game changer in promoting a greater involvement of industries in developing and updating skills and competencies that are in line with the industrial needs and changes. The Guide also provides a solution to ongoing skills mismatch problems that hamper Indonesia’s effort to build competent and skillful human capital,” said Danang Girindrawardana, Executive Director of Apindo, during the validation meeting on 14 September.

It [the Guide] also ensures job matches that lead to the reduction of youth unemployment."

Michiko Miyamoto, Country Director of the ILO in Indonesia
Dr. Soepriyatno, Director of Apindo Training Centre, explained that the Guide illustrates practical guidelines for industries on how to draft and formulate competency standards based on specific needs of the industries. Using field research method and job mapping analysis, the Guide provides steps on the development specific competency units.

“This practical Guide is also useful for the development of competency standards under the framework of Mutual Recognition Arrangement and international certifications. This is in line with the Apindo’s support to the link and match between education and training and industry,” he said.

Indonesian animation industry and its creative workers (c) Antara/Aloysius Jarot Nugroho
Deddy Syamsuddin, Deputy Education of the Association of Indonesian Animation Industry (AINAKI), underscored the importance of the development of competency standards by industries, particularly for creative industries. “Creative industries have grown fast and existing standards should be updated based on the perspectives of the creative industries,” he said supporting the implementation of the Guide.

Creative industries have grown fast and existing standards should be updated based on the perspectives of the creative industries."

Deddy Syamsuddin, Deputy Education of the Association of Indonesian Animation Industry (AINAKI)
Similar support was also shown by Happy Darmawan, Head of Learning and Development Department of PT Gajah Tunggal. “We greatly support the Guide that would provide the involvement of industries like us in updating existing competency standards for the manufacturing industry.”

Meanwhile, Captain Otto Caloh, Vice Chair for Tourism of the Indonesian National Shipowners’ Association (INSA), reminded that competencies applied by the maritime sector are also followed the international standards. Different from other sectors, due to its work nature, the maritime sector relies on standards developed by the International Maritime Organization (IMO) and the ILO for the employment aspects.

Technical teams of the Manpower Ministry will continue to supervise and to assist the next steps of verification and deliberation of the drafted competencies developed by the industries."

Agus Susilo, Competency Standard Developer at the Ministry of Manpower
Responding to the enthusiasm shown by the industries to be part in the development of competency standards, Agus Susilo, Competency Standard Developer at the Ministry of Manpower, believed that the Guide would further encourage more companies and industries to be part of Indonesia’s human resources development.

“The involvement of industries and other relevant parties is a must to accelerate the skills development process. Technical teams of the Manpower Ministry will continue to supervise and to assist the next steps of verification and deliberation of the drafted competencies developed by the industries,” he added.

During the discussion, representatives of trade unions also voiced their interests to be part of the competency development. Competency standards that are in line with the needs of industries will benefit workers as they perform their tasks with high work standards and productivity.

The validation workshop concluded with the commitment of the ILO to continue supporting the development of Indonesian’s human capital and in ensuring the involvement of industries for job and skills matches. “This user friendly guide would be a “game changer” in promoting the engagement of industry in developing competency standards that are fit with the industrial demands. It also ensures job matches that lead to the reduction of youth unemployment,” stated Michiko Miyamoto, Country Director of the ILO in Indonesia.

The ILO support was provided by the Industry Skills for Inclusive Growth Phase 2 (InSight-2) Project. Funded by the Government of Japan, the Project aims to promote skills development and job link and match through industry-driven competency standards.