2014年-世界发展银行全球_IT_Skills_Assessment_in_Armenia_70页_1mb

IT Skills Assessment in Armenia

Core Content

This report presents an analysis of the IT and high-technology sector in Armenia, focusing on the skills gap between the demand and supply of qualified professionals. It highlights the sector's growth trajectory, challenges, and recommendations for sustaining competitiveness.

Main Points

Sector Overview

• The IT and high-technology sector is one of the fastest-growing in the Armenian economy.
• Excluding Internet service providers, the sector has grown at a CAGR of 22% since 2006, reaching a total output of US$294 million in 2013.
• The sector accounts for about 3% of Armenia's GDP and employs approximately 8,000 people across ~380 companies.
• About 13% of these companies are high-technology firms, while the remaining are IT companies.
• The sector's growth is driven by its attractiveness to foreign companies and the availability of a relatively cheap and competitive workforce.

Sector Transformation

• There is a shift from the outsourcing model to a model of product development and entrepreneurship.
• This transition requires a higher level of knowledge and new skills such as sales and entrepreneurship.
• The outsourcing model has been beneficial for attracting FDI and international companies, but the sector is moving toward more value-added activities.

Demand Analysis

• Demand for IT specialists is increasing, with conservative estimates suggesting a 17% annual absorption potential by 2017.
• The number of graduates with IT specializations closely matches the annual demand, but only 45% of them are considered or qualify for employment in the sector.
• There is a significant quantitative and qualitative skills gap.
• Companies value practical skills, soft skills, and English proficiency more than theoretical knowledge.
• A lack of alignment between university programs and industry needs is a major issue.

Supply Analysis

• The higher education system in Armenia lacks competitive dynamism and efficiency in IT skills.
• University programs do not fully emphasize self-development and self-educational capabilities of graduates.
• Teaching staff are aging, and younger professionals have little interest in academic careers.
• Limited postgraduate requalification training programs exist for both base and senior-level specialists.
• Certification programs and alternative training options are limited.

Key Information

Industry Growth

• The IT industry output is forecasted to grow based on historical performance, with a base scenario of 18% market growth and 1% productivity growth.
• The absorption potential of IT specialists is expected to grow at a rate of 17% annually.

Education System

• The education system is undergoing reforms to align with the European Higher Education Area (Bologna process).
• The number of IT and engineering students and graduates is closely aligned with market demand, but there is a mismatch in skills and qualifications.
• The student-to-faculty ratio is a concern, with a low ratio compared to Western universities.
• The average age of university lecturers is higher, while the younger generation is less interested in academic roles.

Private Sector Engagement

• Private sector does not place high value on university degrees, especially at the master's level.
• There is a need for stronger links between universities and the private sector through internships and recruitment procedures.
• Training centers and industry collaboration are being developed to support skill development.

Challenges

• A qualitative skills gap exists due to outdated teaching programs and limited practical training.
• Companies face challenges in recruiting skilled professionals, with constraints including a shortage of qualified candidates and lack of alignment between education and industry needs.

Recommendations

Short-Term

• Establish curriculum development boards with industry specialists and executives.
• Increase government-funded student quotas in IT-related faculties.
• Strengthen the link between universities and the private sector through mandatory internships and apprenticeships.
• Encourage young professionals from the sector to become guest lecturers.
• Develop special certification training programs for entry-level and senior-level specialists.
• Promote cofinancing schemes for training centers.
• Launch communication campaigns to highlight the value of engineering careers.

Long-Term

• Increase and diversify university funding through research grants and endowments.
• Focus on comprehensive problem-solving in government support for skills development.
• Expand university-based laboratories with multinational support.
• Develop alternative programs such as certifications and associate's degrees to prepare software programmers in less than four years.
• Revitalize career centers in universities.
• Integrate fundamental research and development practices into the university system to support the transition to an innovation-based model.
• Establish high-tech accelerators to support entrepreneurs and foster innovation.

Conclusion

The IT and high-technology sector in Armenia is growing rapidly but faces significant challenges in maintaining a skilled workforce. The current system is not fully aligned with industry needs, leading to a skills gap. To sustain growth and competitiveness, both short-term and long-term strategies are required to improve the education system and align it with the evolving demands of the sector.