Follwong from our ealier articles ONe Two Three Four, we’ve applied the reengineering to common VET Admin Case Studies

Case Study One - Validation / Moderation for VET content

  • Frequency is 4, as each piece or part of the training material needs to be done, as well as reviewed, so you’ll need to carry these tasks out frequently, or devote signification time to over the year.

  • Complexity is a 4, as the there would be to be a level of internal training and supervision if staff who did not already have the skills were to be trained to do this.

  • Specialised Skills required is also a 4, as the Validation and Moderations should be carried out by training managers or trainers, who have specific requirements for knowledge and experience to be considered effective in those roles

  • Time/ Opportunity costs is a 4, you generally need to book it and schedule it in order to get the staff to be able to complete, and it will take significant time to complete all of it, and will need to be done again.

  • Risk is a 5. RTOs are required under the RTO Standards 2015 to complete moderation and validation as part of their assessment process (though it’s not explicitly called ‘Validation’ or ‘Moderation’ in the current version), and failing to be able to provide evidence of at audit may be a major non-compliance, loss of qualifications from scope, or loss of registration.

The total score: 21/25. This task should stay in-house.

Case Study Two - Confirmation of enrolment to student

  • Frequency is 2, it’s every enrolment, but only takes a short time to complete.

  • Complexity is 1, since any staff member who can navigate your systems to the template is able to do this with little or no formal instruction, and it’s usually unsupervised after training.

  • Specialised Skills is 2, you’ll need someone who’s trained in the industry and familiar with business applications (like email), and has some understanding of the course codes, but not any specialised skills

  • Time / Opportunity cost is 1, you can modify and update a template within a few hours, or change the process with a very short lead time.

  • Risk is 2 since many students require it for employers or government bodies, but they’re not specifically required by the RTO Standards or legislation.

The total score: 8/25. This task should be considered for automation.

Case Study Three - Resigning your website

  • Frequency is a 3, it’s every 3-5 years, on average, but takes months to complete

  • Complexity is 4, the task takes skills and expertise and would take the time to learn how to do properly.

  • Specialist Skills, a 3, since it takes skils, but those skills are also readily available in the market

  • Time / Opportunity cost is 3, it takes time to do this, but you will be able to continue to use your existing website in the interim

  • Risk is 3, there are rules and requirements for marketing and payments, but they’re standard to the most website in Australia and companies operating, so it’s relatively easy to find out what you need to do and meet the requirements. There are a few areas like credit card payments and RTO Standards on Marketing that are riskier, but overall the project would have an average level of business risk.

The total score: 16/25. This task should be considered for outsourcing.

Example 2 - Software as a Service or Cloud Hosting

Cloud hosting and Software as a Service are both forms of outsourcingBoth examples of ITC Management and Infrastructure being carried out by another organisation.

This can provide advantages because you only pay for what you’re using, not for what you may need at your peeks times.

It can also include a number of services that reduce the workload on your staff.

onCourse cloud hosted customers do not have to do their software upgrade, do not need to have a Database Administrator on staff for the infrequent time’s thing go wrong and don’t need to have the hardware for their service in-House. ** Article on six hidden costs ***

The advantages of this type of outsourcing are cost and access to expertise. You get high skills for comparatively low costs.

The cost of cloud hosting is far less than buying the hardware, maintaining the hardware, hiring internal staff to support the hardware and ongoing training of those staff. You access a share of the skills and expertise for a reduced cost, and access to the recourses of a larger organisation to support your non-core areas.

Example 3 - Quality Audit

Audits are an example of a Training Task that is well positioned to be outsourced.

This Skills set required is part of Training, which is a core objective of that’s the delivery of quality training, however, the risk and time costs make this a better fit for outsourcing.

Audits need to be done in a timely manner, and the use of external audits means that your regular staff aren’t taken away from there duties, but also ensures that the is additional controls for risk, as an external auditor is far more likely to question how things are done, and not assume its the best way.

Website Redesign

An organisation will redesign their website, on average, ever 5 years. Design in a highly skilled area that requires talent to succeed. Developing an existing staff member could take 3-6 months. On an average salary that’s $20,000 to $40,000. A website design is about $5,000 - $10,000.

Enrolment processing

Manual processing of enrolments is a costly practice. Processing time can vary between 30 minutes to 3 hours, depending on whether it’s a short course, VET Enrolment or if there are special processes such ss for VET Studnet Loans or NSW Smart & Skilled. Then there are the other hidden costs - equipment cost, electricity, superannuation, sick leave etc.

The average ‘Administration charges’ for cancellations are $15 - $30 for short courses and $350 - $750 for full qualification VET courses. These ‘Administration Charges’ are a good representation of the cost of processing the enrolment. Online enrolment, particularly when using onCourse’s integrated website and scripting, can reduce this processing time by 90%-100%.

A Training organisation enrolling 1,000 students in a $149 short course at a cost of $15 per enrolment, the costs would be reduced by $15,000, or one staff members work for a day. Imagine what you could do if you had an extra day of work from your staff.

Automation is also exponential. If you have manual enrolments of 1,000, and they increase to 1,500, you would need to employ someone for a half day to process the increase in workload. For 2,000, another full day.

It’s also worth noting that a decrease is also not affected - if your enrolments suddenly drop to 500, you will not continue to pay a staff member when there is no work for them.

With Online enrolment automation, there would be little increase in the costs.