1. Regional Harmonisation: Working Together to Reshape Higher Education through Quality Assurance Rod Manns Branch Manager, Funding and Student Support Branch, Higher Education Group
Today I am going to talk about a topic which I think is vitally important for the social and economic future of the Asia-Pacific region: regional harmonisation of higher education through quality assurance.

2. Why Harmonise?
Education is crucial for economic (and social) development;
Education exchange brings diverse benefits;
Education exchange between countries is growing; and
Harmonisation is achievable if we have the resources, commitment and a strategy.
I wish to outline a few ideas which together make a strong case for regional harmonisation in higher education. I will also discuss the role of Quality Assurance in this process. These ideas are that:
Education is crucial for economic development and by extension getting our higher education systems right is also crucial for national and international development;
Education exchange between countries brings benefits not only for those students and institutions directly involved but to the host and home education systems as well. Education exchange can drive improved regulation, qualifications recognition and quality of provision. Education exchange benefits all countries - possibly more so for developing economies as they particularly benefit from the transference of ideas and technologies across borders;
Education exchange between countries is growing rapidly; and
Finally, harmonising key aspects of education systems is achievable if we devote the resources and commitment and have a strategy.

3. 1. Crucial for Development
Education involves significant resources
around 7% of GDP in developed economies
Education involves many people
70 million tertiary students in APEC region
Education shapes values, ideas and culture
Basis to modern society
Education is crucial economically because it involves significant resources – for most developed countries around 5% of GDP is applied to public education and another 2% to private education.
Education also involves a great many direct beneficiaries. In the APEC region alone, there are around 70 million tertiary education students.
Education underpins the formation of social capital, identity and culture.

4. It contributes to economic growth
EDUCATION
Effective combination
Depends = on
Growth
Labour X
Capital X
Productivity
Quality
Effective use
Technical ability and creativity
Education contributes to economic growth.
This chart shows how economic growth depends upon improvements in the quality, quantity and utilisation of labour and capital along with increased productivity.
What is important here however is that Education impacts on all relevant growth factors. Education:
improves the quality of labour or human capital;
enables the effective utilisation and allocation of capital;
drives technological improvements and underpins the knowledge economy; and
through enhancing management skills, enables the effective combination of growth factors.
EDUCATION

5. Up to 44 per cent of growth is education related
Australia - Total economic growth
Education related
44%
Capital growth and productivity improvements
56%
Quality of labour
14%
Higher education and technical training
30%
Productivity Improvements
40%
Capital growth
16%
The contribution of education to overall growth is very substantial. As indicated by the diagram up to 44 per cent of overall growth in Australia, an economy with a large services sector, may be education derived through its contribution to improvements to human capital.
Indirect links
(APEC and International Education, Department of Education, Employment and Workplace Relations, 2008)

6. 2. Brings Diverse Benefits
Benefits of cross-border education:
helps quick expansion of tertiary education and human capital
benchmarks on quality and relevance
partnerships that aid organisational learning
variety/choice that aid competition and quality
(Cross-border Tertiary Education: A way towards capacity development, OECD/The World Bank, 2007)
The second idea is that international education exchange brings diverse benefits.
A recent OECD/World Bank report identifies some of the benefits of cross-border education. It found that cross-border education can typically help to expand quickly a tertiary education system and to increase a country’s stock of highly skilled human capital. Cross-border education also gives a benchmark to academics and institutions on the quality and relevance of their services and can lead to organisational learning, through partnerships, both at the institutional and system levels. Finally, it adds variety and choice to domestic systems, which may lead to healthy competition and quality enhancement.”

7. Benefits to both sides Transfer of new ideas
Broadens educational opportunities
Complements domestic resources and lowers cost.
Resources to enhance education system
Economy receiving mobile students (Mode 2)
Economy supplying education services (Modes 1, 3 & 4)
Economy from which mobile students are sourced (Mode 2)
Economy in which students are taught (Modes 1, 3 & 4)
Impetus to improve quality
This slide demonstrates that all parties tend to benefit from the exchange across borders of education services. Education exchange is a win-win scenario.
The slide shows that the flow of benefits varies according to the GATS mode of supply as well as whether the party is the supplier or receiver of the education services. The box on the far left reflects “receivers” of cross-border education while the box on the far right reflects “suppliers” of cross-border education.
The box at top centre illustrates that receivers benefit through the transfer of new ideas and increased choice and opportunity.
The second box shows that receivers benefit from the supplementation of domestic education resources and reduced cost while suppliers benefit from the additional resources that can be applied to their education systems. The third box indicates that cross-border education drives quality improvements in both the supplying and receiving economies through benchmarking, competitive forces, knowledge exchange, introduction of new practices and development of academic staff.
The fourth box indicates benefits to both supplying and receiving economies through contacts, alumni, cross-cultural skills and understanding, and general people-to-people linkages.
Contacts and alumni

8. 3. International Exchange of Education is Growing Rapidly
The 3rd of the key ideas is that international education exchange is growing rapidly.

9. International Mobility of Higher Education Students – Asia Pacific Destinations
Japan± 125,917
China◊ 141,000
Korea± 15,497
India٭ 7,738
Thailand٭ 4,092
Philippines٭4,744
In 2005 there were more than 2.7 million tertiary students studying abroad around the world (OECD figures). All forecasts are for this figure to continue to grow, and for the number of countries receiving students also to grow. Student expectations are rising. Where once students aspired to an undergraduate degree, they now want postgraduate studies with, if possible, international exposure in their study and research.
We are seeing the massification of international study. It is becoming a rite of passage for many students, rather than an experience for a small elite. This generation of students wants to engage with students from other countries to enhance their language skills and cultural understanding. They want to develop the maturity that comes from greater independence and self-reliance. They also want a quality education experience that will assist their personal development, their knowledge, and their future careers and prosperity.
Malaysia٭ 27,731
Singapore
In 2005 more than 2.7m tertiary students studied in another country – OECD 2006
Australia± 177,034
New Zealand± 69,390

10. Destinations in a Dynamic Market
Traditional regional destinations – USA, Australia, Japan, Canada, New Zealand.
Emerging destinations - Malaysia, Singapore and China.
Further shifts likely in the future.
Destinations for international students are changing rapidly – countries that formerly sent students offshore are now major destinations for international students. Emerging destinations include Malaysia, China and Singapore. Major shifts in destinations for international study are underway reflecting the growing strength of higher education systems in some economies, the re-emergence of China as a world economic power and a re-evaluation in various economies of the benefits and opportunities of cross-border exchange in education services.

11. Drivers of Exchange Bologna Process
Globalisation of economies and labour markets
Information and Communications Technologies (ICTs)
Knowledge Economies
General Agreement on Trade in Services (GATS)
Falling transport costs
Quality and quantity demand and supply issues
Building mutual understanding
There are a number of important drivers of growth of education exchange – some of these are technological but others relate to consumer preferences and needs. These drivers are:
The Bologna Process in Europe which is in many ways leading the worldwide dialogue on the question of harmonisation. 
The globalisation of economies and labour markets with multinational enterprises and an international labour market of highly skilled and mobile people.
ICTs are creating new and exciting possibilities for the supply across borders of quality education in real-time.  
The emergence of knowledge economies has created a demand for higher quality and more specialised education programmes.
The General Agreement on Trade in Services (GATS) has introduced a new set of rules and principles to govern the import and export of services including education.
Falling transport costs have enabled international travel
Demand for quality higher education is rising and within that students are increasingly demanding an international component to courses. The visions of the young and educated are now international; and
Finally cross-border supply increases international understanding which a globalised world needs.

12. 4. Harmonisation is Possible
Resources
Commitment
Strategy
The final idea is that harmonisation between countries is possible if we devote the resources and commitment and have a strategy.

13. How do we know it is possible?
Because Europe is working through the Bologna Process
Because many countries have put in place the key building blocks domestically
Because it is in our common interests and these are converging
We know harmonisation is possible because Europe is well down this path already, many countries have put in place key building blocks such as quality assurance systems, it is in our common interests to pursue harmonisation and forces such as globalisation are driving convergence.

14. The Priorities
Improve qualifications, professional and skills recognition
Reform the Regulatory Regimes for Education
Enhance Data Collection
Facilitate student and academic mobility
Policy Exchange
Areas where nations can cooperate and work towards harmonisation include:
improving qualifications, professional and skills recognition through working with employers and professional bodies;
developing recognition tools such as a regional Diploma Supplement along the lines of that developed in Europe as part of the Bologna Process;
progressing more consistent Qualification Frameworks which underpin recognition arrangements;
progressing regional, bilateral or multilateral agreements or conventions on recognition arrangements; and
establishing National Information Centres for recognition in line with the UNESCO recognition conventions. Australia is currently progressing work on Qualification Frameworks through APEC.
Countries can also cooperate to reform regulatory regimes. This would aim to improve the consistency, transparency and reliability of registration, licensure, quality assurance and accreditation of providers.
Cooperation is also required on data collection. Without solid information on the volume, type, destination, impact and trends of education being delivered we lack a firm foundation to develop national and regional regulatory frameworks or undertake comparative analysis.
Countries can also cooperate to facilitate student and academic mobility in order to maximise the benefits of international exchange. This can be done through improving the accuracy and reliability of information on courses and providers and through improvements to credit transfer and funding arrangements for students.
Finally we can cooperate on policy in order to share best practice, to manage risks, to raise awareness of the benefits of harmonisation and enhance the capacity of our respective countries in relation to this challenging but exciting policy issue.

15. Quality Assurance is Central to Harmonisation
My next point is that Quality Assurance is central to the harmonisation process.

16. Elements of a Quality Assurance Framework
Identifies who can provide education services (rules governing registration, accreditation, etc)
Identifies what services should be provided (rules determining the balance of content and mode of delivery)
Identifies how the qualification (degree/diploma) is assessed
Identifies how progress is measured (data collection and policy analysis)
In broad terms, the quality assurance framework governs the supply of education services. It determines:
who is allowed to provide education services — the rules governing registration, accreditation and the operations of providers;
what services should be provided and in what form — the rules determining the balance of content and its mode of delivery;
how the resulting qualification will be judged and interpreted by students, governments and employers — matters relating to qualifications recognition; and
how progress in educational outcomes will be measured and how to collect and use data on education.

17. The Brisbane Communiqué
Quality assurance frameworks for the region linked to international standards towards the goals of greater student and academic mobility and greater integration of education frameworks.
The Asia-Pacific Ministers meeting in Brisbane in 2006 recognised the central role of quality assurance when they issued the Brisbane Communiqué. In that Communiqué Ministers agreed to collaborate on quality assurance frameworks for the region, linked to international standards, towards the goals of greater student and academic mobility and greater integration of education frameworks.
International standards are important for providing common reference points or benchmarks for quality assurance frameworks.

18. Study of Quality Assurance (QA) in Higher Education in Asia-Pacific
3 Key Needs:
to agree upon common principles for higher education quality assurance;
to build capacity within and between QA agencies; and
to identify and promote the benefits of quality assurance.
To deliver on that objective, Australia commissioned the Asia-Pacific Quality Network to investigate Quality Assurance or QA arrangements in the region.
That study found that there was considerable diversity in national approaches to QA, perceived needs and institutional contexts. It also found there were 3 key needs to improve QA across the region:
Firstly, to agree upon some common principles for higher education quality assurance.
Secondly to build capacity within and between QA agencies; and
Finally to identify and promote the benefits of quality assurance.
There is a need to generally raise awareness of the benefits of QA. Ministers, officials, institutions and other stakeholders will only be convinced of the value of new and improved QA arrangements if the linkages between these arrangements and improved educational, social and economic benefits are clearly identified for them.

19. Quality Assurance Agencies Institutional Quality Assurance
Higher Education Quality Assurance Principles for the Asia Pacific Region “The Chiba Principles”
Quality Assurance Agencies
Institutional Quality Assurance
Quality Assessment
Country-Specific Context
In February 2008, experts in quality assurance from 22 countries around the Asia-Pacific region met in Chiba, Japan, for a workshop arranged by the Asia-Pacific Quality Network to consider development of an agreed set of principles for quality assurance in higher education.
Discussions at the workshop aimed to develop QA principles that would:
contribute to the establishment of regional alignment in quality assurance issues and practices;
provide an agreed reference point for consistency and benchmarking in quality assurance;
facilitate regional student and academic mobility and exchange;
encourage mutual trust, confidence and understanding of higher education systems in the broader Asia Pacific;
improve transparency and accountability of higher education institutions and practices; and
bring the region into alignment with international developments in quality assurance.
The outcome was the draft Higher Education Quality Assurance Principles for the Asia Pacific Region (the Chiba Principles) outlined in this slide. The ovals represent sets of principles.
Institutional Quality Assurance covers the key principles guiding institutions in assuring their own quality.
Quality Assurance Agencies covers the key principles guiding the structure and management of quality assurance agencies.
Quality Assessment provides a set of principles common to the activities of both the institution’s internal quality assurance and external assessment by quality assurance agencies. These principles govern the process and content of quality assessment. This is represented by the intersecting area of the diagram.

20. Operation of the ‘Chiba’ Higher Education Quality Assurance Principles
Maintains individual national responsibility
Provides guidance
Allows for diversity of QA agency roles
Regular review for consistency and relevance
Provides a starting point
The “Chiba Principles” are intended to operate on the basis of individual national responsibility for higher education and autonomy of quality assurance practices.
A basic premise of the “Chiba Principles” is that each country has a quality assurance framework for higher education in place and these principles underpin the quality assessment elements of that framework.
The broadness of the principles also allows for the differing roles of quality assurance agencies – accreditation and audit – and for the different units of evaluation – institutional/program.
Just as Higher Education institutions and quality assurance agencies should review their approach to quality assurance on a regular basis, the quality assurance principles are also intended to be reviewed periodically to ensure that there is consistent application and that the principles remain relevant to institutional and agency objectives.
These principles are a starting point for achieving the objectives stated above. The principles provide a broad overview, however there is much detail under each principle that could be further developed. Future development and adoption of these principles will depend upon ongoing collaboration. I am pleased to note that the APQN is engaged in this process of refining and developing these principles with the aim of further engagement with key stakeholders at its next AGM in Hanoi in March 2009.

21. RIHED Conference: Exploring Ideas of Creating Higher Education Common Space in Southeast Asia Bangkok, 6 – 7 November 2008
To increase awareness
Identify a process
To establish a network
To provide a platform
Another major regional event relating to QA will be the Conference being organised by the SEAMEO Regional Centre for Higher Education and Development (or SEAMEO RIHED*) in Bangkok in November.
The conference, with the theme Exploring the Ideas of Creating [a] Higher Education Common Space in Southeast Asia, is being organised by the next speaker Professor Dr Supachai of SEAMEO RIHED.
I am also pleased to say that Australia is providing support for that event as we believe that the program of work being undertaken by SEAMEO RIHED is very important. The conference will raise the awareness of regional policy makers of the issues, benefits and challenges in regional cooperation and harmonisation within the higher education sector.
*[NB: The Regional Centre for Higher Education and Development retains its original acronym of RIHED]

22. Australian Higher Education Graduation Statement
Part of Australia's response to the Bologna Process
May 2008 report by consortium of universities on template for a National Diploma Supplement - Key Recommendations:
“Australian Higher Education Graduation Statement”
provide to graduates with academic transcript
voluntary implementation to commence in 2008
to be nationally consistent in basic format
Govt announced funding for implementation
As a final point I wish to briefly note that at a domestic level Australia is progressing initiatives which will position us for further developing regional harmonisation. A key example is the Australian Higher Education Graduation Statement. This is part of our domestic response to the European Bologna Process. We commissioned a consortium of universities to develop an agreed template for a Bologna-style Diploma Supplement, which the report recommended be called a Graduation Statement.  Key recommendations were that:
the Graduation Statement be provided to all higher education graduates, in addition to their academic transcript;
voluntary implementation by Australian universities commence immediately; and
Graduation Statements be nationally consistent in their basic format.
The Australian Higher Education Graduation Statement is intended to describe qualifications in a way that is clear to potential employers and other higher education institutions and to enhance the international mobility of graduates.
The Australian Government announced on 4 September 2008 that it will be providing $3.7 million in funding to assist universities implement the Graduation Statement. Grants of $100,000 will assist universities with the IT costs in upgrading infrastructure necessary to issue Graduation Statements to students. It is anticipated that implementation of the Graduation Statement will be implemented across most Australian universities within the next three years.

23. Conclusion
Higher Education is crucial for national and regional development;
Education Exchange brings diverse benefits;
Education Exchange is growing;
Harmonisation is achievable given resources, commitment and a strategy; and
Quality Assurance is central to harmonisation.
In conclusion I would like to summarise some key points from my presentation. These points are that:
Higher Education is crucial for national and regional development;
Education Exchange brings diverse benefits;
Education Exchange is growing;
Harmonisation is achievable given resources, commitment and a strategy; and
Quality Assurance is central to harmonisation.

24. Thank You Any Questions? http://www.brisbanecommunique.deewr.gov.au