Bid to solve the crippling gap in skills

Mar 1 2009 By The Journal

The world is a very different place from that which greeted the arrival of the National Skills Academy for the Process Industry in the North East just over 12 months ago. But while the global economy slows, the pace is gathering at its new headquarters.

ITS reputation as a powerhouse for the UK’s process industry allowed the North East to successfully land the prestigious National Skills Academy for the Process Industries (NSAPI), beating off stiff competition from the North West.

But behind the back-slapping and fanfare that accompanied their arrival, process chiefs were under no illusion about the enormity of the task ahead of them when they unpacked their modest office in Teesside University’s Innovation Centre last year.

Then, as now, its aim was to avert a crippling skills crisis that leaves the sector facing a shortage of 20,000 workers in this region alone by 2014.

Since starting out, the team has continued to grow and earlier this month moved into new, larger premises at Morton Palms Business Park in Darlington.

But NSAPI chief executive Philip Jones could be forgiven for thinking he’s now in a war zone without his battle gear.

The target hasn’t changed and he’s absolutely confident the recession won’t prevent the academy from meeting – or even over-achieving – on it. But he acknowledges that the shifting economic sands will inevitably mean a review of how it goes about it.

Ultimately that will include the delivery of 8,000 NVQs, training 800-900 apprentices and establishing 170 accredited training centres across the UK. More immediately, there’s an ambitious plan to train 4,500 new apprentices across the country over the next three years.

"The process industry takes a longer-term perspective," he says. "While some companies are cutting their budgets, Government funding will help to subsidise training in these difficult times."

One of NSAPI’s key early achievements has been to draw down an additional £50m from the Train to Gain budget – an initiative delivered by the Learning and Skills Council – to train people up to a Level 3 national qualification.

The other is to have already met and talked to more than 20% of the UK’s chemicals, polymers and pharma workforce – three key strands of the process sector.

But Mr Jones says the hard work has only just begun.

NSAPI’s key target for next year is to assist a further 500 companies – in particular the SME community, which makes up around 80% of the sector’s 10,800 companies in the UK.

Meanwhile, it’s conducting a full-scale review of the services it planned to offer industry, in light of the seismic shift in the economic environment.

"Employer-led training is exactly the reason why the academy was set up," he says. "One of the main criticisms in the past has been that training has not been fit for purpose."

NSAPI has attracted support and funding from regional development agency One North East, major international companies such as Wilton-based SABIC UK Petrochemicals and the North East Process Industry Cluster (Nepic), which represents 350 local companies.

And this support, as well as the Train to Gain funding boost, means that NSAPI is on track to secure £1.5m per year from private enterprise to support its activities.

Stan Higgins, chief executive of Nepic, says: "NSAPI has become a key focus for the rest of the country.

"The concepts that led to the formation of NSAPI are good and still hold true today."

But he says work needs to be done to make the industry more attractive to the stars of tomorrow.

"It’s an enormous challenge because there are still not enough students choosing technical subjects at school."

North Ormesby-born Paul Booth, who learned his trade at ICI before becoming president of SABIC UK, agrees that "not nearly enough is being done to get kids into the industry."

A firm supporter of NSAPI, Mr Booth went back to the training floor in November last year to promote a Government initiative on apprenticeships and spend time with young trainees at the TTE Technical Training Group.

Having been in the chemical industry for 40 years, he realises the importance of science’s next generation in sustaining Britain’s manufacturing base.

"You can’t have an economy based solely on financial services," he says. "We need a mixture of finance, good public services and manufacturing."

But in the current climate, employer-led training nationally is taking a back seat in the drive to manage costs.

According to the Learning and Skills Council, only 130 companies in the UK offer apprenticeships while others say they spend huge sums on in-house training to equip new recruits with skills that will add value to the business.

Others complain they lack the high-end skills to make them globally competitive – a national issue which the Government aims to address by upskilling 40% of Britain’s working population to Level 4 (first-year undergraduate level) and beyond.

To help process companies, NSAPI is also introducing a portfolio of services aimed at level four and above, including a foundation degree and possibly initiatives to upskill older workers.

Mr Jones adds: "Historically you complete your apprenticeship and that’s it. We want people to see long-term learning potential in this industry."