On Romanian Experiences On Romanian Experiences Related to Universities Related to Universities

and ICT Industryand ICT Industry

Vasile BALTAC and Dan MihalcaVasile BALTAC and Dan Mihalca ATIC- The Information Technology and ATIC- The Information Technology and

Communications Association of RomaniaCommunications Association of Romania

2nd IT STAR Workshop Universities and ICT Industry

Genzano, 26 May 2007

ROMANIA: EconomyROMANIA: Economy

Chart GDP Romania 2001-2006

• Member EU accession since 1 January 2007Member EU accession since 1 January 2007

• Rate of growth of GDPRate of growth of GDP– remarkable in the last 5 yearsremarkable in the last 5 years

• Stable exchange rateStable exchange rate

• One digit inflationOne digit inflation

• The labour force - 9.3 MThe labour force - 9.3 M– low unemployment - 5.5% low unemployment - 5.5% – 3-4 M people work abroad3-4 M people work abroad

• Local investments and FDILocal investments and FDI

ROMANIA ICT: ROMANIA ICT: deep roots in the deep roots in the pastpast

• First country in Easter Europe to build computers: First country in Easter Europe to build computers: CIFA-1957, MECIPT–1961, and DACICC-1962 CIFA-1957, MECIPT–1961, and DACICC-1962

• Industrial base built in the 1970sIndustrial base built in the 1970s– Licenses: CII-France, Friden-Holland, Ampex, Memorex, Licenses: CII-France, Friden-Holland, Ampex, Memorex,

Control Data–USA, etc. Control Data–USA, etc. – research, manufacturing, service, trade and data research, manufacturing, service, trade and data

processing organizationsprocessing organizations

• 1980s a 40.000 people workforce1980s a 40.000 people workforce

• Minicomputers “Made in Romania” exportedMinicomputers “Made in Romania” exported– Czechoslovakia, East Germany, China, Middle East Czechoslovakia, East Germany, China, Middle East

countries and other marketscountries and other markets

• Technologies became obsolete in the period 1980-Technologies became obsolete in the period 1980-1989 due to lack of investments in hard currencies 1989 due to lack of investments in hard currencies

ICT in Romania 1990-2006ICT in Romania 1990-2006• All world major ICT companies present in RomaniaAll world major ICT companies present in Romania• Romanian ICT best assetsRomanian ICT best assets

– human resourceshuman resources– a quickly developing market.a quickly developing market.

• Romanian education systemRomanian education system– largely recognized as on of the best in the world of ICTlargely recognized as on of the best in the world of ICT– 5.000 new graduates enter the labour market every year5.000 new graduates enter the labour market every year– Brainbench Co. puts Romania first based on the number Brainbench Co. puts Romania first based on the number

of skilled programmers in Europeof skilled programmers in Europe• 8.000+ software and IT services companies in 8.000+ software and IT services companies in

RomaniaRomania– a process of acquisitions & mergersa process of acquisitions & mergers– entry in EU will probably accelerate this processentry in EU will probably accelerate this process

• Many multinationals started create R&D, Many multinationals started create R&D, production or service centres in Romaniaproduction or service centres in Romania

• Various reports appraise eReadiness of RomaniaVarious reports appraise eReadiness of Romania• IT accessibility, affordability, digital literacy and IT accessibility, affordability, digital literacy and

content availability yet not completely adequatecontent availability yet not completely adequate

IT Industry Romania: 2003-2009IT Industry Romania: 2003-2009

• High rate of all IT sectors 2003-2005 High rate of all IT sectors 2003-2005 continuing 2006-2009continuing 2006-2009

•

Chart Romanian IT Industry 2000 - 2009

Communications IndustryCommunications Industry

• The communication market: similar The communication market: similar evolutionevolution

• 3G and iMode present3G and iMode present

Chart Romanian Communications 2001-2009

ICT Diffusion IndexICT Diffusion IndexICT Diffusion Index 2004

8173

66

52

3937

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

010

203040

506070

8090

Access Index 0.678 0.64 0.607 0.582 0.535 0.543

Connectivity Index 0.321 0.349 0.248 0.184 0.193 0.141

ICT Diffusion Index 0.499 0.494 0.428 0.383 0.364 0.342

Rank 37 39 52 66 73 81

Slovakia Hungary Bulgaria Romania Turkey Ukraine

Chart ICT Diffusion Index 2004Source: UNCTAD

ICT Diffusion Rank 1998 - 2004ICT Diffusion Rank 1998 - 2004

35

45

55

65

75

85

95

Slovakia 47 47 47 47 47 45 45 37

Hungary 45 43 44 42 39 39 37 39

Bulgaria 55 59 60 60 58 57 56 52

Romania 77 84 87 89 77 70 68 66

Turkey 78 74 71 70 68 71 75 73

Ukraine 82 83 81 79 90 90 85 81

1997 1998 1999 2000 2001 2002 2003 2004

Chart ICT Diffusion Rank 1998 – 2004Source: UNCTAD

Universities in RomaniaUniversities in Romania• Extensive network -116 universitiesExtensive network -116 universities

– both public and privateboth public and private– accredited by a special body belonging to the accredited by a special body belonging to the

Ministry of EducationMinistry of Education– failure of accreditation – dissolvedfailure of accreditation – dissolved

• University network cover all major cities of University network cover all major cities of RomaniaRomania

• Total 116– Public Universities 56

– Private University with accreditation32

– Private University with temporary accreditation28

Universities with ICT Universities with ICT specializationsspecializations

• ICT studies - a long time established ICT studies - a long time established reputationreputation

• First graduates of computer engineeringFirst graduates of computer engineering– Politechnica University of Timisoara in 1966Politechnica University of Timisoara in 1966– Politechnica University of Bucharest in 1967Politechnica University of Bucharest in 1967– University of Bucharest and Academy of University of Bucharest and Academy of

Economic Studies in Bucharest followed quicklyEconomic Studies in Bucharest followed quickly

• Before 1989 list completed by universities Before 1989 list completed by universities or technical universities in Cluj-Napoca, or technical universities in Cluj-Napoca, Iasi, CraiovaIasi, Craiova

Universities with ICT Universities with ICT specializationsspecializations

• 4646 specializations in four categories: specializations in four categories:– Computer, telecommunications and electronic Computer, telecommunications and electronic

engineering (graduation in engineering) - engineering (graduation in engineering) - 99– Informatics (graduation in economics) - Informatics (graduation in economics) - 1414– Accounting informatics (graduation in economics) - Accounting informatics (graduation in economics) -

1111– Informatics (graduation in mathematics) – Informatics (graduation in mathematics) – 1212

• The 46 ICT specializations in 36 universitiesThe 46 ICT specializations in 36 universities– 20 of them have one or two faculties of ICT profile. 20 of them have one or two faculties of ICT profile.

• All located in cities with tradition in the field All located in cities with tradition in the field and good educatorsand good educators

ICT Work ForceICT Work Force• Every year 5,000+ graduatesEvery year 5,000+ graduates• Theoretical and practical skillsTheoretical and practical skills• Romania - 13th place in the world as number of IT Romania - 13th place in the world as number of IT

graduatesgraduates– On per capita base Romania has more IT graduates than On per capita base Romania has more IT graduates than

the United States, Russia, India or Chinathe United States, Russia, India or China

• Excellent language skillsExcellent language skills– 80% of the IT work force speaks English, 80% of the IT work force speaks English, – 25% speaks French and 25% speaks French and – 11-12% speaks German including native speakers11-12% speaks German including native speakers

• Brainbench IT vendor certifier Brainbench IT vendor certifier – Romania - the fifth in the world after India, the United Romania - the fifth in the world after India, the United

States, Russia and Ukraine as total number of IT certified States, Russia and Ukraine as total number of IT certified individualsindividuals

– Same place as percentage of the populationSame place as percentage of the population

Use of ICT Work ForceUse of ICT Work Force• 1990-2000 - a serious exodus of the IT 1990-2000 - a serious exodus of the IT

expertsexperts– mostly to North America and Western Europemostly to North America and Western Europe

• After 2000 the trend stoppedAfter 2000 the trend stopped– Emigration from 90% to 40-50%Emigration from 90% to 40-50%

• ICT multinationals open have centres in ICT multinationals open have centres in RomaniaRomania– software, ICT applications and supportsoftware, ICT applications and support– Alcatel, Siemens, Solectron, Oracle, HP, IBM, Alcatel, Siemens, Solectron, Oracle, HP, IBM,

Infineon, Huawei, Adobe Systems, Microsoft, SAP Infineon, Huawei, Adobe Systems, Microsoft, SAP and many othersand many others

• Salary increases vs. high quality of Salary increases vs. high quality of individualsindividuals– Romania consolidates its status of near-shoring Romania consolidates its status of near-shoring

countrycountry– majority of graduates now to stay in the countrymajority of graduates now to stay in the country

Use of ICT Work ForceUse of ICT Work Force• ICT industry - a HR demanding industryICT industry - a HR demanding industry

– Large R&D ICT centres for exportLarge R&D ICT centres for export– High rate of growth of demand for domestic High rate of growth of demand for domestic

ICT companies and IT departmentsICT companies and IT departments

• A pressure on the specific HR marketA pressure on the specific HR market– quantity, mainly for several specializationsquantity, mainly for several specializations– quality and experiencequality and experience

• Non – IT graduates after retraining Non – IT graduates after retraining programmes join the industryprogrammes join the industry– software programmers, network software programmers, network

administrators, project managersadministrators, project managers

• Estimated number 2,500-3,000 per Estimated number 2,500-3,000 per yearyear

ATIC SurveyATIC Survey• Assessment Assessment

– expectations of the ICT industry from universities expectations of the ICT industry from universities – expectations of the universities from the industryexpectations of the universities from the industry

• Questionnaire:Questionnaire:– Number of IT professionals needed annually in Number of IT professionals needed annually in

Romania in the next 3 years, by type of activityRomania in the next 3 years, by type of activity– The distribution of demand by programmers, The distribution of demand by programmers,

analysts, system architects, data base analysts, system architects, data base administrators, security experts, salespeople, administrators, security experts, salespeople, CEO/CTO, etc.CEO/CTO, etc.

– Estimation of losses by emigration and choice of Estimation of losses by emigration and choice of different career path.different career path.

– Opinion on the present university offer, Opinion on the present university offer, quantitative and qualitativequantitative and qualitative

– Opinion on the present curriculaOpinion on the present curricula– Specializations in critical demand Specializations in critical demand

ICT Industry ExpectationsICT Industry Expectations

• General opinion - favourable to universitiesGeneral opinion - favourable to universities

• ICT Graduates give satisfaction to employers ICT Graduates give satisfaction to employers

• The relative high percentage of non-ICT The relative high percentage of non-ICT graduates in the workforce proves also the graduates in the workforce proves also the good training of engineering, economics and good training of engineering, economics and mathematics educationmathematics education– the largest part of these non-ICT graduates come the largest part of these non-ICT graduates come

fromfrom

• Improvements sought by the industry in the Improvements sought by the industry in the education systemeducation system– education of professionalseducation of professionals– education at the level of basic knowledge to use education at the level of basic knowledge to use

ICTICT

Education of ICT ProfessionalsEducation of ICT Professionals• Respondents could not agree on the number of Respondents could not agree on the number of

graduates universities that satisfy the needs of the graduates universities that satisfy the needs of the ICT industryICT industry– Opinions varied from 5,000-10,000 each year for the next 3 Opinions varied from 5,000-10,000 each year for the next 3

yearsyears– Losses by expatriation evaluated at 10-40%, with 1-5% losses Losses by expatriation evaluated at 10-40%, with 1-5% losses

to non-ICT jobs to non-ICT jobs • Authors’ evaluation of need new entries to ICT HR Authors’ evaluation of need new entries to ICT HR

marketmarket– 9,000-10,000 each year9,000-10,000 each year– ICT graduates - 90%ICT graduates - 90%

• Distribution of job profiles of the new entries:Distribution of job profiles of the new entries:– Software programmers Software programmers 30-60%30-60%– System analysts System analysts 10-30%10-30%– System architects System architects 2-10%2-10%– Administrators of data bases, application, services 7-15%Administrators of data bases, application, services 7-15%– Applications security Applications security expertsexperts 2-10%2-10%– Product, application, services sales Product, application, services sales 10-20%10-20%– CEO/CTO CEO/CTO 1-5%1-5%

• Similar estimations were made by respondents from Similar estimations were made by respondents from universities. universities.

Education of ICT ProfessionalsEducation of ICT Professionals• Specialities claimed to be missing or Specialities claimed to be missing or

insufficient coveredinsufficient covered– telecom network topologies, data base telecom network topologies, data base

administration, UNIX, software testing and administration, UNIX, software testing and integration, C++, IT Storage Manager, IT Asset integration, C++, IT Storage Manager, IT Asset Manager, Information Services Manager, mobile Manager, Information Services Manager, mobile devices programming, project management. devices programming, project management.

– One opinion stated that the present list of job One opinion stated that the present list of job types in ICT is completely outdatedtypes in ICT is completely outdated

• Universities asked to cover specific demandUniversities asked to cover specific demand– Master degrees and/or other post-graduates Master degrees and/or other post-graduates

coursescourses– Partnerships with foreign universities Partnerships with foreign universities

considered a solution considered a solution

Education of ICT Professionals: Education of ICT Professionals: CurriculaCurricula• Universities asked to update annually their Universities asked to update annually their

ICT curriculaICT curricula– The present curricula are judged as obsolete, not The present curricula are judged as obsolete, not

adapted to the new trends in ICT industry adapted to the new trends in ICT industry

• A major consideration: universities insist too A major consideration: universities insist too much on the theoretical training and tend to much on the theoretical training and tend to produce super-skilled graduatesproduce super-skilled graduates– The industry needs a small number of such peopleThe industry needs a small number of such people– the rest being too highly skilled become unsatisfied the rest being too highly skilled become unsatisfied

with routine work, predominant in many companieswith routine work, predominant in many companies– Universities should produce normal skilled people; Universities should produce normal skilled people;

the super-skilled should be trained by post-the super-skilled should be trained by post-graduate programs graduate programs

• The Bologna process started may solve this The Bologna process started may solve this problem, but still it is on the tableproblem, but still it is on the table

Basic Knowledge to use ICTBasic Knowledge to use ICT• ICT industry counts on education system, also to ICT industry counts on education system, also to

prepare the people to use IT applications, i.e. to prepare the people to use IT applications, i.e. to have the basic knowledge to use ICThave the basic knowledge to use ICT

• ICT is not anymore a product or service for an eliteICT is not anymore a product or service for an elite– eEurope states “Information Society is for all”.eEurope states “Information Society is for all”.

• ECDL (European Computer Driving Licence) ECDL (European Computer Driving Licence) – Licensee in Romania is ATIC (IT&C Association of Romania) Licensee in Romania is ATIC (IT&C Association of Romania)

ECDL Romania is in charge with all ECDL activitiesECDL Romania is in charge with all ECDL activities– Results so far are encouragingResults so far are encouraging– 75,000+ skill cards issued75,000+ skill cards issued– 35,000 licenses granted35,000 licenses granted

• Universities responded with enthusiasmUniversities responded with enthusiasm– 35 accredited ECDL test centres in Romanian universities35 accredited ECDL test centres in Romanian universities– Several universities adapted IT curricula to ECDL and Several universities adapted IT curricula to ECDL and

accept ECDL as a proof of practical ICT abilitiesaccept ECDL as a proof of practical ICT abilities– One university asks for ECDL license before graduationOne university asks for ECDL license before graduation

Basic Knowledge to use ICTBasic Knowledge to use ICT

• Case study shows the impact of non-Case study shows the impact of non-basic ICT trainingbasic ICT training

• Survey conducted on a group of post-Survey conducted on a group of post-graduate students in managementgraduate students in management– all of them graduates of non-ICT facultiesall of them graduates of non-ICT faculties– asked to answer by “I know and I can asked to answer by “I know and I can

explain to others”, “I may know” or “I do explain to others”, “I may know” or “I do not know” to 40 basic words or syntagms not know” to 40 basic words or syntagms related to ICT. related to ICT.

– terms common or used currently by the terms common or used currently by the non-IT media or advertisersnon-IT media or advertisers

Basic Knowledge to use ICT: Case Basic Knowledge to use ICT: Case StudyStudy

Chart

Basic Knowledge to use ICT: Case Basic Knowledge to use ICT: Case StudyStudy

Chart

Basic Knowledge to use ICT: Case Basic Knowledge to use ICT: Case StudyStudy

Chart

Basic Knowledge to use ICT: Case Basic Knowledge to use ICT: Case StudyStudy

Chart

Basic Knowledge to use ICT: Case Basic Knowledge to use ICT: Case StudyStudy

• Effort is still to be madeEffort is still to be made– to improve the ICT infrastructure in schools and to improve the ICT infrastructure in schools and

universities universities – to train the “trainers”to train the “trainers”

• The case study emphasizes the need to:The case study emphasizes the need to:– Generalize in all universities and high schools Generalize in all universities and high schools

ICT curricula that bring next generation at an ICT curricula that bring next generation at an appropriate level to have all benefits of appropriate level to have all benefits of Information SocietyInformation Society

– Renew ECDL and other general basic ICT skills Renew ECDL and other general basic ICT skills curricula at short intervalscurricula at short intervals

Universities ExpectationsUniversities Expectations• Universities need industry support as the infrastructure they Universities need industry support as the infrastructure they

possess is not easily kept up-to-datedpossess is not easily kept up-to-dated– The answer of the industry was positive and not only universities are The answer of the industry was positive and not only universities are

sponsored with hardware, software, applications and know-how, but asponsored with hardware, software, applications and know-how, but a– New form of partnership emerged: partnerships IBM, Oracle, Microsoft, New form of partnership emerged: partnerships IBM, Oracle, Microsoft,

SAP, Alcatel and others. SAP, Alcatel and others. • Overall good impact on the training of students Overall good impact on the training of students

– produced a certain polarisation of ICT faculties, a few of them produced a certain polarisation of ICT faculties, a few of them becoming becoming

• Leaders with the best points in HR recruitment:Leaders with the best points in HR recruitment:– University Politechnica Bucharest for system supportUniversity Politechnica Bucharest for system support– University of Iasi for application softwareUniversity of Iasi for application software– Academy of Economic Sciences Bucharest for banking applications, Academy of Economic Sciences Bucharest for banking applications,

ERP and data basesERP and data bases– University Politechnica Timisoara for system applications.University Politechnica Timisoara for system applications.– These universities are responsible for 40-50% of graduates each year. These universities are responsible for 40-50% of graduates each year.

• Within university environment there is still a reminiscence of the Within university environment there is still a reminiscence of the old concept of high level training for everybodyold concept of high level training for everybody

• Professors criticize the fact that good students are hired by Professors criticize the fact that good students are hired by companies during their 2-3rd gradescompanies during their 2-3rd grades– neglect theoretical education and not any more motivated for a neglect theoretical education and not any more motivated for a

scientific career. scientific career. • New Bologna type scheme (3+2+3) does not produce the best New Bologna type scheme (3+2+3) does not produce the best

results yetresults yet– The first 3 years are filled with many courses repeating high school The first 3 years are filled with many courses repeating high school

topics and student are not given the specialization skills required by topics and student are not given the specialization skills required by the industry, with dissatisfaction on both sides.the industry, with dissatisfaction on both sides.

CurriculaCurricula

• Universities claim to have adopted their curricula Universities claim to have adopted their curricula 75-100% to the requirements of the Bologna 75-100% to the requirements of the Bologna recommendationsrecommendations

• Most consider revisions to be made at the end of Most consider revisions to be made at the end of cycles (3+2+3)cycles (3+2+3)

• Others consider a revision every yearOthers consider a revision every year• Most important issue related to curricula is the Most important issue related to curricula is the

industry demand which is not clearly defined: industry demand which is not clearly defined: – large companies require narrow specialized graduates to large companies require narrow specialized graduates to

produce immediately results, produce immediately results, – smaller companies and the IT departments in non-IT smaller companies and the IT departments in non-IT

organizations want a broad specialization to solve a organizations want a broad specialization to solve a variety of task with the same person. variety of task with the same person.

• It seems that this problem is not particular to It seems that this problem is not particular to RomaniaRomania

ATIC - A Bridge to RomaniaATIC - A Bridge to Romania• The Association for Information Technology and The Association for Information Technology and

Communications of Romania (ATIC) Communications of Romania (ATIC) – organization aiming to consolidate an appropriate organization aiming to consolidate an appropriate

framework for the development of IT&C in Romania framework for the development of IT&C in Romania

– maintains a database for co-operation projects available maintains a database for co-operation projects available to membersto members

– disseminates information to non-membersdisseminates information to non-members

• Member of Member of WITSAWITSA (World Information Technology (World Information Technology Software Alliance); Software Alliance); CEPISCEPIS (Council of European (Council of European Professional Informatics Societies) and Professional Informatics Societies) and IT STARIT STAR

• http://www.atic.org.rohttp://www.atic.org.ro

• President Dr. Vasile BaltacPresident Dr. Vasile Baltac• Contact: Contact: officeATIC@atic.org.roofficeATIC@atic.org.ro

Thank You!!Thank You!!

Q&A?Q&A?