inclusive business

Workforce Development at

Apex Adelchi Footwear Limited

by

Md. Mominul AhsanHead of Human Resources

Apex Adelchi Footwear Limited Dhaka, Bangladesh

May 17, 2010

Workforce Development at

Apex Adelchi Footwear Limited

by

Md. Mominul AhsanHead of Human Resources

Apex Adelchi Footwear Limited Dhaka, Bangladesh

May 17, 2010

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

The Problem

Lack of Skilled Manpower in Leather Footwear Industry

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Some Facts

About 30,000 skill labour shortage only this year

World’s biggest Footwear factory is being set up by Youngone at Chittagong where they will be employing over 30,000 workers

FDI is arriving in this sector particularly from Taiwan, China, and availability of skilled people will be the main issue.

Skill Gap: Machine Operator, Technician, Supervisor, Middle Management, etc.

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

The Parties to Achieve a Solution

• Apex Adelchi Footwear Limited – a leading footwear manufacturer

• PRICE (Poverty Reduction by Increasing the Competitiveness of Enterprises) - a donor (USAID) – funded development project

• LFMEAB (Leathergoods and Footwear Manufacturers & Exporters Association of Bangladesh)

• Apex Adelchi Footwear Limited – a leading footwear manufacturer

• PRICE (Poverty Reduction by Increasing the Competitiveness of Enterprises) - a donor (USAID) – funded development project

• LFMEAB (Leathergoods and Footwear Manufacturers & Exporters Association of Bangladesh)

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Project Objective

To train 200 individuals every three months, resulting in a total of 2400 operators trained in three years and create employment opportunities in footwear and leather goods sub-sectors.

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

MOU Signing

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Operator Training in Dedicated Sewing Training Line

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

On-the-job Training in Cutting Department

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

On-the-job Training in Sewing Department

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

On-the-job Training in Lasting Department

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Contribution from Apex AdelchiProvide training space, training materials, administrative& technical support, utilities, etc. Complying all legal and regulatory requirements, including environment, health, labour and safety

Contribution from PRICEPay allowance to each probationer Trainee Operator, pay for some training materials, contribute in trainee selection, etc.

Contribution from LFMEABFacilitate the employment and placement of the traineesupon completion of the course.

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Community Impact• PRICE has the explicit aim of reaching people most marginalised from employment, particularly women and young adults.

• Apex Adelchi Footwear Limited training scheme directly benefits low income communities by providing employment opportunities and skills training.

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Business Case and Scalability•Employee skill development is seen as the essential edge for companies competing in international markets.

•Building skilled workers is a long term investment in core capabilities.

•The scheme has proven successful and essential for scaling up existing operations.

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Results Summary• 2400 new people trained.

• Expected increase in sector sales of US$ 10 million per annum

• Sustainable training model developed which is transferable and scalable.

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Pay allowance to each probationer Trainee Operator, pay for some training materials, contribute in trainee selection, etc.

Facilitate the employment and placement of the trainees upon completion of the course.

Future Impact

Apex/Association – Capacity development, productivity and quality improvement

PRICE/USAID – Job Creation and poverty reduction

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Pay allowance to each probationer Trainee Operator, pay for some training materials, contribute in trainee selection, etc.

Facilitate the employment and placement of the trainees upon completion of the course.

Sustainability of the InitiativeIndustry/Association: Form an institute to run regular

training programs to meet the growing need and create employment

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PRICE 3

Poverty Reduction by Increasing the Competitiveness of Enterprises

Pay allowance to each probationer Trainee Operator, pay for some training materials, contribute in trainee selection, etc.

Facilitate the employment and placement of the trainees upon completion of the course.

Thank youThank you