Innovation, from high profile scientific discoveries to lower profile changes in processes or practices, is crucial to Australia's economic development. However, its impact on the wider community is usually relatively small. Promotion of innovation across all sectors is required to produce the biggest changes. This report focuses on the roles of the vocational education and training (VET) sectors of Finland and Singapore - countries with strong track records in innovation. It argues that a whole-of-government approach supporting a national innovation system could benefit Australia. Further, the national VET sector is ideally placed to have a more direct role in the promotion and diffusion of smaller scale innovations provided incentives in the form of specific funding are put in place. This activity could also enhance the sector's links with business, particularly small to medium sized enterprises and those in regional areas.
Highly innovative organisations demonstrate six key characteristics. They create learning cultures which promote innovation as a core organisational capability; employ leaders who are 'failure-tolerant'; identify innovators; reward people who propose innovative ideas; use partnerships; and, promote innovation through teams. This report analyses how well vocational education and training (VET) providers employ the above characteristics. It finds VET organisations are making good progress as innovators, but this progress is uneven as three characteristics often dominate the building of innovation. Typically, VET providers identify innovators, develop partnerships and promote innovation through teams and communities of practice well. To develop innovation further, the author suggests VET organisations need to broaden the range of strategies they are using to promote innovation and offers practical steps to do so.
Australia's competitive success with innovation-based products and services is an influential factor to its long-term prosperity. This study examines the role of vocational education and training (VET) and occupations in innovative industries and firms. The authors find VET is vital to developing knowledge and practical skills across a broad range of occupations, and people in vocational occupations are among principal sources of ideas for technological innovation. Further, innovative firms reported a high level of satisfaction with public and private training, which the authors conclude is due to the high level of consultation between firms and TAFE. However, firms identified the need for employees to develop generic skills, such as working in teams and developing problem-solving and communication skills, as an opportunity for the VET sector to meet unmet demand.
Innovative companies in emerging industries have diverse and important training needs. This study examines the training requirements of emerging industries and the role Australia's vocational education and training (VET) sector plays to develop further employees' skills and knowledge. As innovative companies often operate at the leading edge of their technological fields, the training they require is highly specialised and sometimes unique. While the VET sector already provides customised training for employers, there are opportunities for the sector to advance the currency of its knowledge, develop programs to deliver special training, and extend the expertise and knowledge of its teachers.