Private schools face falling enrolment, tough market conditions

Private schools face falling enrolment, tough market conditions
Staying relevant to the job market is key to ensure private schools' survival, say operators.

By Faris Mokhtar
POSTED: 30 Nov 2015 19:55

SINGAPORE: The number of private schools in Singapore has fallen since 2011, and at least six more are set to close, according to statistics from the Council for Private Education.

To tackle falling enrolment and harsher market conditions, operators have said staying relevant to the job market is key.

In total, 14 schools have ceased operations as of November this year, and six more are in the process of shutting down. The number of private schools has also dwindled, from 338 in 2011 to 312 in 2014.

One of them is SAE Creative Media Institute, which offers diploma and degree courses such as digital film production and audio engineering. It will shut its doors by next October. The school, which has been operating for over two decades, cited rising costs and falling demand.

Private schools have said the landscape now is more competitive. Market forces, such as the strong Singapore dollar, could deter foreign students from studying at the schools, and this is coupled with growing competition from local public institutions.

The Council for Private Education, which regulates the sector, said the number of students at private schools have dipped by 8 per cent, from about 163,000 in 2013 to just under 150,000 last year. To tackle this, schools said their courses must stay relevant to the job market.

“What we have been hearing from the industries and employers is that they are short of talents,” said Dr Lee Kwok Cheong, president of the Singapore Association for Private Education (SAPE) and chief executive of SIM Global Education. “So, there is demand for well-trained people. We need to find the right programme and beyond the classroom training, we must be able to link up with the industry for internships and more industry-oriented real-life projects.”

Among the schools that are doing this is Kaplan Singapore, which has more than 25,000 students. It said it has engaged the various sectors to learn about the skills required in the job market, and to link up opportunities for its students.

Mr Leon Choong, president of Kaplan Singapore, explained: "There’s a huge shortage within law firms for qualified paralegals who are able to help them in the course of their work. So, what we do is offer a diploma in paralegal studies that provides people with the opportunities to function within the legal firm, and law firms are happy because this is an identified shortage that they’ve been training in house for years. And now we have a ready batch of students for them to take on as interns as well as qualified employees.”

For smaller schools, operators said it is better for them to focus on niche curricula.

First Media Design School has been in operation for close to a decade, and it currently has more than 100 students. The school, which provides degree and diploma courses in graphic and fashion design, is banking on its idea of "designpreneurship" to set itself apart. This means teaching students to navigate the business aspect of their profession, like how to pitch projects to clients.

“I used to think that education is a recession-proof business, but it’s not. It does dampen our spirits sometimes, especially the closure of smaller schools. I see this as the survival of the fittest,” said Mr Mark Phooi, founder and principal of First Media Design School. “I see only two types of schools will survive - the supermarket style where they produce or roll out a string of programmes and the niche ones like us.

“I think primarily, if we don’t have the particular credentials in certain areas of teaching, I think the market is savvy enough to pick that out,” he added. “So, to a certain extent I think people are looking at specialisations as being key to their own career development. It is important for small players like us and for the rest of them to have a certain niche.”

But operators have said diversity is still crucial.

Said Dr Lee: “If we only have one or two providers, we are going to be in trouble. So, it's really having different players, each is strong and good in his own way, and the students have sufficient information to make the right choice. I think that should be the future of the private education landscape.”

Dr Lee also said schools need to continue to invest in technology and other resources to deliver quality education.

- CNA/xq

- wong chee tat :)