Education as a commodity for the masses

Education as a commodity for the masses

By Thong Lay Kim

The extraordinary growth of higher education in Malaysia will
propel the country's industrialization plane.

SINGAPORE: Since the late 1980s, Malaysia has embarked on an
intensive industrialization program in pursuit of its aspiration
to become a developed industrialized nation by the year 2020. The
economy has recorded a national growth rate of more than 8
percent per annum for the past seven years. The economic boom
looks set to continue unabated into the 21st century.

In meeting the increasing demand for manpower, Malaysian
higher education is undergoing a dramatic transformation. This
transformation is marked by two related phenomena -
"massification" and "commodification" of higher education. Higher
education, which was historically elitist, is now available to
the masses because of its rapid expansion especially with the
active participation of the private sector in the industry. It is
also being marketed as a commodity.

The massification and commodification of higher education has
occurred as a result of the broader process of economic
globalization. This process was first exemplified in America,
then continental Europe and Britain. The trend is now manifesting
itself in Malaysia as its economy is rapidly being integrated
into the global market.

The current shortage of manpower has resulted in the
increasing demand for higher education in Malaysia. This demand
is expected to intensify. The overall enrollment of full-time
students in public institutions is expected to increase by 63
percent, from 153,600 in 1995 to 251,100 in the year 2000. Out of
the total of 153,600 overall enrollment in the local public
tertiary institutions in 1995, a total of 89,600 were studying in
programs at the degree, post-graduate and advanced diploma
levels. In addition, a total of 50,600 Malaysians were enrolled
for degree programs overseas while 6,100 were enrolled in local
private institutions. Enrollment in private higher institutions
continues to rise to meet the manpower shortage of the
industrializing economy.

The Malaysian government has accorded high priority to
education in nation-building in order to provide a sufficient
pool of labor which is well-educated, highly-skilled and
strongly-motivated. However, government efforts in the expansion
of public tertiary institutions has been inadequate in meeting
the demand. Efforts have to be supplemented by the participation
of the private sector. Apart from high demand, a factor that
encourages private sector participation in the education industry
is that public institutions are usually slow in responding to
market demand in terms of offering programs in emerging
disciplines. The private sector, by being market-driven, is quick
to capture the changing market in manpower needs.

Since the 1980s, there has been a gradual shift towards
greater private sector initiative and a market-driven economy in
Malaysia. Economic liberalism and deregulation linked to the New
Development Policy (NDP) formulated in 1990 have led to the
extensive participation of the private sector in the education
industry. Thus, the 1980s saw the beginning of a proliferation of
private colleges in Malaysia. Today, there are about 300 private
colleges registered with the Ministry of Education. Private
education is a thriving business, with active participation by
large finance corporations and property developers which are
public-listed companies on the Kuala Lumpur Stock Exchange.

The focus of the higher education curriculum has also shifted.
Initially, the curriculum focused on the academic disciplines of
pure arts and sciences, and the professional programs of
medicine, law and engineering. The Malaysian public university
was modeled after the traditional British university which was
historically elitist, mainly preparing graduates for the public
sector.

Today, the manpower needs of the industrializing economy are
more in the applied disciplines especially in the science and
technical-related fields, business and management studies, the
professional fields of engineering, accountancy, and information
technology and computer studies. A variety of qualifications
ranging from pre-university or foundation program, certificates,
diplomas, advanced diplomas, degrees and post-graduate degrees
are offered in these fields.

As the status of private colleges do not permit them to grant
degrees, partnership arrangements are made with foreign
universities in most English-speaking countries (such as Great
Britain, the US, Australia, Canada and New Zealand) whereby the
Malaysian students study partly in the local colleges and then
complete the rest of the program at the partner universities
overseas. Such educational programs are very popular. From the
parents' perspective, these twinning programs help to reduce
their children's educational cost. The tuition fees for the years
of study spent in the private local colleges are approximately
only half those charged at the overseas partner universities.
Also, students save on the living expenses which are usually
higher overseas.

From the country's perspective, the availability of the
twinning degree programs means less of an outflow of Malaysian
currency overseas because part of the program is carried
out locally.

Apart from twinning programs, there are also credit-transfer
programs, modular programs, distance learning, part-time and
weekend programs and so on. The various tertiary programs (some
even packaged with financing facilities), are marketed
aggressively to cater to the different needs of students,
including mature working students who are looking for
professional upgrading and a career change. The profile of
tertiary students has changed. No one wants to be left behind in
terms of qualifications and career advancement in times of an
economic boom.

The direct economic relationship between higher education and
economic growth is taking priority over the political and socio-
economic restructuring objective of higher education. The present
economic liberalism and deregulation are aimed at boosting the
development of the private sector, including promoting higher
education as an industry. To this end, the legal framework is
already in place.

Since late 1995, five bills have been passed by the Malaysian
Parliament to permit major reforms to higher education, namely,
the Education Act, 1995; the Universities and University Colleges
(Amendment) Act, 1995 (UUCA); the Private Higher Educational
Institutions Act, 1996 (PHEIA); the National Council on Higher
Education Act 1996 (NCHEA); and the National Accreditation Board
Bill (NABB) 1996. These bills set the pace for the liberalization
of education.

The amendments to UUCA 1971 provide for the corporatization of
the public universities to enable the institutions to be more
responsive to market demand and hence more competitive in the
business of providing higher education. The PHEIA sets the stage
for the establishment of private universities and branch campuses
of foreign universities (the establishment of private
universities was unthinkable not so long ago, when university
education was highly state-regulated).

In the light of expanding higher education, the National
Council on Higher Education was established to provide policy
directions and strategies to plan and coordinate the development
of both public and private higher education institutions (NCHEA
1996). The passage of NABB 1996 culminates in higher education
reforms. The Board formulates and oversees policies on standards
and quality control in the award of certificates, diplomas and
degrees by private educational institutions.

The effective implementation of these legislations is crucial
in ensuring that students are not short-changed in their
education by the profit motive of the private sector. The
government must ensure that social responsibility is discharged
by the education providers.

Additionally, maintaining educational standards and quality
are critical in view of Malaysia's aspiration to become a center
of educational excellence.

Higher education is currently being developed further to cater
not only to the domestic market but also as part of an overall
strategy to promote education as an export industry and the
marketing of Malaysia as a center of higher education. The
manpower needs triggered by the current economic boom in Asia
constitute conditions favorable to Malaysia's potential as a
regional education center. The higher education institutions in
Malaysia are already attracting a number of foreign students from
neighboring countries, namely Vietnam, Singapore, Brunei
Darussalam, Pakistan, Korea and Japan.

Dr. Thong Lay Kim is a Lecturer in the Faculty of Education,
University of Malaya, Kuala Lumpur.