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BSBMKG517A: Analyze consumer behaviour for specific International markets

Assessment Task 1: Confirm Target market

Executive Summary

Aim Education Australia intends to set up a branch outside Australia. The idea is to make Aim
Education a global brand and cater to the demand for high quality education at affordable rates.
Hence it has chosen to set up a satellite campus of Imagine in Singapore.

The global education services market is estimated at 2.2 trillion dollars of which the market in Asia is
about 37 billion dollars. Singapore is known to be a safe, modern city with good infrastructure,
communication networks. The Government of Singapore is keen on promoting Singapore as an
Educational hub and Global Schoolhouse so as to attract well-known institutions, skilled migrants
and world-class corporations to Singapore, who all in turn will contribute towards the betterment of
the Singapore economy.

Singapore also has a large group of English speaking, professionally qualified people. 32% of the
people living in Singapore prefer to do a business education and there is a growing demand of
foreign students (apprx 45%) for management education in Singapore. 32% of the people in the age
group of 25 to 29 has upgraded theirs skills in the last 5 years. Thus this represents a very attractive
market for providing management education.

Already there are more than 50 foreign institutions who are offering courses in management, some
even in alliance with local institutes. Brand analysis shows that the main competitors of AIM
EDUCATION are Insead, GSB Chicago, NUS. However, the courses offered by the institutes are costly
and catering more towards the executive population. Going by the huge interest in India, AIM
EDUCATION would offer courses at affordable rates to people between 2 to 8 years work experience
from any nationality of the world. The quality of student intake and pedagogy will not be
compromised.
The 1 year management programme can be taught by the faculties of AIM EDUCATION. The institute
will be set up at Sembawang Road (Singapore) and since there is a high demand for Finance and
sales professionals, the courses offered will help people major in them. Road shows, web-site, word-
of-mouth advertising by the Alumni will be used to reach the people.
Table of Content

Introduction ............................................................................................................................................4
Analysis of Singapore (host country) .............................................................................................4
Cultural: ..................................................................................................................................................4
Education:...............................................................................................................................................4
Political: ..................................................................................................................................................5
Economic: ...............................................................................................................................................6
Social: .....................................................................................................................................................7
Market Audit and Competitive Market Analysis ..........................................................................8
Advantage of Singapore: .........................................................................................................................8
Popularity of Business Education in Singapore: .....................................................................................9
Employment and Industries: ...................................................................................................................9
Competitor offerings: ..............................................................................................................................9
Market Size: ..........................................................................................................................................13
Government focus on Education: ..........................................................................................................14
Government Regulations: .....................................................................................................................15
India-Singapore ..................................................................................................................................16
MBA Service product offering ........................................................................................................17
Programme Details:............................................................................... Error! Bookmark not defined.
Evaluation of the Service Product: ........................................................................................................18
Facilities: ..............................................................................................................................................19
Curriculum: ...........................................................................................................................................19
Admission procedure: ...........................................................................................................................20
Target Market: .......................................................................................................................................20
Expected Sales: ....................................................................................................................................20
Revenues and Profit: .............................................................................................................................20
Promotion mix: .....................................................................................................................................21
Long-term plans: ...................................................................................................................................21
Conclusion ............................................................................................................................................21
Exhibits ..................................................................................................................................................23
Appendices ..........................................................................................................................................35
References ...........................................................................................................................................39
Introduction

AIM EDUCATION-Asia Inc, the Alumni chapter of students passing out of the AIM EDUCATIONs in
Asia have decided that they would set up a satellite campus of AIM EDUCATION in Singapore which
will have a 1 year management programme which will be taught by the faculties of AIM EDUCATION.
The financing and management of the institute shall be done by the Alumni while the directors of
the AIM EDUCATIONs and some distinguished Alumni will sit on the board of the Institute. All
measures shall be taken to maintain and enhance the brand and build a global organization. This is
the marketing plan of setting up AIM EDUCATION-Singapore that includes the reason for choosing
Singapore, analysis of the Global Education market, positioning the AIM EDUCATION brand in
Singapore and the marketing mix require to be done in the short and long run to ensure success of
this venture.

Analysis of Singapore (host country)

Cultural:

Singapore consists of a set of islands between Malaysia and Indonesia in the southeastern part of
Asia (see Exhibit 12). It has a tropical climate (that is hot and humid) with two distinct rainy seasons
in a year. It has just about 1.64% of arable land.

There are 4 official languages – English, Malay, Mandarin and Tamil. Malay is the official language
but English is the primary means of communication in educational institutions and administration.
About 35% of the population speaks Mandarin, 23% speak English, 14.1% Malay and the rest speak
various Chinese dialects or Tamil. The government of Singapore is promoting the use of Mandarin.

Education:
Lacking natural resources, Singapore relies heavily on human resources and manpower and must
continue to produce high-end citizens and knowledgeable employees in order to remain a
competitive economy.

Exhibit 3 gives the breakdown of educational qualification of Singaporean residents. The education
profiles have improved with an increase of tertiary education because of expansion of educational
facilities in the country. As we may note, there is a high proportion of educationally qualified
residents in Singapore with about 16.96% university graduates of which 81% are of Chinese origin,
11.5% Indians and 2.5% Malays. The number of people without any formal qualification has dropped
from 19.6% in 2000 to 16.4% in 2005.

The Government of Singapore (GOS) is also willing to invest in education systems to


maintain the city-nation as a competitor and an educational hub. Singapore is a service sector
economy; the island nation relies on human capital to develop their economic success
(Ministry of Manpower). Continued success is dependent upon how well the workforce
performs in their respective occupations. Therefore it is essential that Singapore maintain a
work force with high standards by developing their knowledge and skills throughout their
career. Hence, education and training plays a key role in this knowledge-based economy.

Political:

Upon independence in 1965, Singapore adopted a pro-business, pro-foreign investment, export-


oriented economic policy framework, combined with state-directed investments in strategic
government-owned corporations. Singapore has what its government considers to be a highly
successful and transparent free-market economy. The government uses public opinion and feedback
when deciding policies, instead of rigorous lawmaking procedures. The government has a clean,
corruption-free image and Singapore has consistently been rated as the least-corrupt country in Asia
and amongst the top ten cleanest in the world by Transparency International. The People’s Action
Party is the dominant party in Singapore reelected continuously since independence; currently
headed by PM Lee Hseien Loong who succeeded PM Goh Chok Tong.
In order encourage foreign investors to develop industries, the government has set up the
Economic Development Board (EDB). EDB has many branch offices all around the world,
including countries like the USA, Britain and Japan. Another duty of the EDB is to set up
regional industrial estates with other countries. This will also help the industries in Singapore
venture overseas.

The Government also set up SPRING Singapore, whose responsibility is to enhance the
competitiveness of enterprises for a vibrant Singapore economy. Their focus is to champion
enterprise formation and growth – through our network of valued relationships and resources – to
nurture a host of dynamic and innovative Singapore enterprises.

Ministry of Education (MOE) handles education related matters in Singapore.

Economic:

Singapore’s economy has grown on average 8.0% from 1960 to 1999. Its strategic location on major
sea lanes and an industrious population have given the country an economic importance in
Southeast Asia disproportionate to its small size. Singapore enjoys stable prices, and a per capita
GDP equal to that of the four largest West European countries. The economy depends heavily on
exports, particularly in consumer electronics and information technology products. Its GDP is $121.5
billion (2006 est.) with a growth rate of approximately 7.4% (2006 est.) and GDP per capita of
$30,900 (2006 est.). Its primarily a services economy with 66.2% (2006 est.) in services and 33.8% in
manufacturing industries.

It has a labor force of 2.4 million (2006 est.) and unemployment rate of about 3.1 % (2006 ets). 39%
of the labour force is employed in financial, business, and other services, 18% in Manufacturing, 6%
in construction, 11% in transportation and communication and rest in other categories. The major
industries include electronics, chemicals, financial services, oil drilling equipment, petroleum
refining, rubber processing and rubber products, processed food and beverages, ship repair,
offshore platform construction, life sciences. Its major export partners are Malaysia 13.3%, US
10.4%, Indonesia 9.6%, Hong Kong 9.4%, China 8.6%, Japan 5.5%, Thailand 4.1% (2005) and import
partners are Malaysia 13.7%, US 11.7%, China 10.3%, Japan 9.6%, Taiwan 5.9%, Indonesia 5.2%,
Saudi Arabia 4.5%, South Korea 4.3% (2005). It has free trade agreements with United States, Korea,
European Free Trade Association, Australia, Jordan and India and close economic ties with host of
other countries including Japan.

It has excellent communication network with 1.848 million (2005) main line telephone subscribers,
4.385 million (2005) mobile cellular users, 2.422 million (2005) internet users. Singapore has state-
of- the-art infrastructure with 9 (2006) airports, 3234 km of paved roadways (including 150 km of
expressway) and 1 port. Because of all the above factors, Singapore has attracted investments from
more than 7,000 multinational corporations from the United States, Japan, and Europe. Foreign
firms are found in almost all sectors of the economy.

Social:

The last 2006 census gives the population of Singapore at 4.48 million people and is the second most
densely populated country in the world. Singapore is a multiracial country with a majority
population of Chinese, with substantial Malay and Indian minorities. 80% of the population is
Singapore citizens and Permanent Residents (collectively termed 'residents'). Of this group of about
3.6 million people, Chinese form 75.2%, Malays form 13.6%, Indians form 8.8%, while Eurasians and
other groups form 2.4%. Exhibit 1 gives the ethnic composition of the population over the last few
years. Exhibit 2 shows the distribution of population in Singapore and interestingly 76% of the
population fall in the age group of 15-64, with a higher proportion of women compared to men.
Market Audit and Competitive Market Analysis

Advantage of Singapore:

Singapore is a favourable destination both for industries and education because of


Government’s proactive efforts (see Exhibit 4). Industry and education are symbiotically
dependent on each other and the Government of Singapore has promoted both making
Singapore a highly attractive destination.

The industries of Singapore are one of the most developed around the world. The reasons
being

1). Singapore has one of the best ports and airports in the world to help in the efficient export
and import of goods.

2). It has good transportation infrastructure within Singapore.

3). Excellent education system has provided it with a highly-skilled labour force.

4). Proximity to expanding Asian economies like India and China

Singapore is among the fastest developing educational hubs in the world. The reasons being:

1). A safe, modern city with an affordable lifestyle and governed by a system of strict laws.
Low cost of living helps student manage their costs while applying themselves to learning.

2). Singapore's English language competencies and strong international reputation for quality
education makes it easier for brand-name institutions to set up an International campus and
aids international students seeking a good degree in a stable environment with comparatively
lower living costs.

This is the closest to having the best of both worlds: a sleek, cosmopolitan, tech-governed
city with a strong sense of community and at-homeness, with an affordable and modern
learning infrastructure that seamlessly blends both traits. With the growing number of
industries, it makes it easier for students to get a job at Singapore.
Assessment Task 2

Popularity of Business Education in Singapore:

Exhibit 5 shows the percentage of university graduates in various disciplines. We may note that the
maximum number of people (about 32%) prefer to study Business Administration in Singapore of
which 45% students are from overseas countries. This shows that Singapore is considered as a good
place to earn a management degree by both residents and foreign nationals.

Analysis from the Singapore Government website shows about 32% of young adults in their late
twenties and thirties (mostly 25-29 years of age) in 2000 upgraded their educational attainment to
university level during 2000 – 2005 from earlier 25%. It is expected that this trend will continue
making prospect of business education by Singapore residents high. Hence, this is an attractive
market.

Employment and Industries:

Exhibit 6 and Exhibit 7 give break-up of income from work and respective industries. As we may
note, 73.59 % of the people work in services industries. We may also note that there is a higher
proportion of people earning above S$ 10,000 pm in Financial and Business services compared to
manufacturing. Data from GOS shows that the largest increase of occupation has been in Financial &
Sales Associate Professionals (21.3 % compared to 2005) followed by Shop sales Workers (20%),
Department Managers (17.9%), IT professionals (16.4%). Also to note is that the total hours worked
per week by professionals in Singapore has increased significantly to average 48.4 hours per week.
The proportion who worked 60 hours or more per week increased from 17 per cent in 2000 to 19
per cent in 2005. This clearly shows that there is a huge demand for professionals in Singapore.

Competitor offerings:
International B-schools in Singapore:

In 2005, Singapore hosted more than 70,000 international students, drawn to the offer of an
extensive range of high-quality educational programmes, and the promise of a safe, cosmopolitan
environment. Singapore's vision of becoming a Global Schoolhouse has led to the cultivation of
relations with foreign universities, thus resulting in the 15 leading international universities that now
call Singapore home. These include MIT, INSEAD, Johns Hopkins University, University of
Pennsylvania's Wharton School of Business, University of Chicago Graduate School of Business,
Georgia Institute of Technology, Technical University of Eindhoven, Technical University of Munich,
Shanghai Jiao Tong University and Stanford University. Singapore has more than 50 key local
education providers catering to international executive programmes and corporate training. Exhibit
10 gives a list of foreign institutions and their local partners in Singapore. The list is classified in
various categories based on the quality of education provided.

Thus, Singapore couples diverse Asian school systems with Western-styled education practices
making it a truly global education hub, where students have the best institutions in the world within
reach.

Main competitors to AIM EDUCATION

Insead:

Insead has the first mover advantage of being one of the first institutions to set up base in Singapore
in 2000 after considering 12 other destinations in APAC. Insead's Singapore campus offers a 1 year
MBA programme that is identical to that of its Paris campus, and it has close to 400 MBA students
from over 70 countries.

The University Of Chicago Graduate School Of Business (Chicago GSB):

In 2000, Chicago GSB picked Singapore as the new home for its Asian campus, over such countries as
Hong Kong, Shanghai and Tokyo. Chicago’s GSB offers the prestigious executive management
programme with 16 week-long course modules held over a period of 21 months.
S.P. Jain Center Of Management:

Leading Indian business school S.P. Jain opened its third campus in Singapore in 2006. SP Jain is
offering 1 year Global MBA programme and 2 years EMBA in Singapore with specialization in Wealth
Management, Investment Banking, Banking Management, Retail Management, Services Marketing,
Product Management, and Information Technology Management & Global Logistics. It expects to
attract students from all over the world, including large numbers from the Indian sub-continent, as
well as the Middle East, the US and Europe.

National University of Singapore:

Ranked among top 100 in the FT list, NUS offers a range of course including MBA, International MBA,
APEX-MBA and UCLA-NUS EMBA. It offers specialization in Finance, Marketing, Real Estate,
Healthcare Management and Strategy.

Other schools of repute in Singapore include Management Development Institute Of Singapore


(MDIS), Singapore Institute Of Management (SIM which partners with University of London,
Australia's RMIT University and the US-based George Washington University),

Singapore Management University (SMU) and EMBA offered by Nanyang Technical Institute.

Brand Analysis

Analyzing Brand AIM EDUCATION:

Key Aspects of the AIM EDUCATION brand:

1). High quality of students intake

2). Diverse areas of training & teaching

3). Contemporary nature of faculty


4). Toughest entrance exam in the world – rigorous student selection process

5). AIM EDUCATION alumni has performed and excelled

6). Top quality academic and physical infrastructure

7). An excellent learning environment,

8). Wide choice in the learning process

9). Flow back of experiences into syllabus and pedagogy

10). Nurtured exclusivity

AIM EDUCATION brand in India inspire trust and deliver value. However, the AIM EDUCATION brand
is now analyzed in an international context.

Based on the above key characteristics of AIM EDUCATION brand:

1. Presence – Yes, AIM EDUCATION as a brand is now globally well-known because of the
performance of its Alumni for the last couple of years.
2. Relevance –AIM EDUCATION provide an excellent learning environment where diverse and
contemporary areas of management are taught by world renowned faculty. Hence it is
highly appealing to a vast section.
3. Performance – AIM EDUCATIONs can deliver well as is evident by the increasing number of
nationall and International placements offering international salaries. The quality of student
intake is very high because of rigorous selection criteria.
4. Advantage – They have the advantage of being one of the best known brands. It is much in
demand today because of the huge market and skilled people. As a education institute, few
people would understand the market better than them.
5. Bonding - Some of the American and International B-schools have a bigger reputation on
account of the diversity of students, high quality of research and resource availability.

Brand Strength – The AIM EDUCATION brand is different because of the quality of the faculty, the
high caliber of its students, the rigorous pedagogy. As discussed earlier it is highly relevant too.
Hence, we can say that it has high brand strength which it has built over the years through
exclusivity.
Brand Stature – Based on its performance, the brand is held in high esteem and well respected.
However, the familiarity of brand AIM EDUCATION is restricted in Australia, the companies where
AIM EDUCATION alumni have worked and academic institutions. It is not a well known brand as GSB
Chicago or Insead.

The star designates the current position of the AIM EDUCATION brand and where it needs to go to
gain Leadership in the International arena.

B
R Niche/Unrealized Potential Leadership Insead
A
N
D
IEA Chicago GSB

S NUS
New/Unfocussed Eroding
T
R SPJAIN
E
N
G
T B R A N D S T A T U R E ==>
H

Competitor Prices

NUS MBA would cost around S $ 34,000 while Insead programme cost 65,000 euros for 1 year full
time MBA and 85,000 euros for EMBA. Chicago GSB EMBA programme cost above USD 110,000.

Market Size:
The global education market is estimated to be worth US$2.2 trillion. Reputed local and
foreign companies have set up base in Singapore because of Government initiative to make
Singapore the education hub of Asia. An estimate by the Global Alliance for Transnational
Education indicates $27 billion worth of higher education is exported to Asia and Pacific by
three countries -- the United States, the United Kingdom and Australia. A business of $37
billion trade in tertiary education services in Asia and Pacific region is projected in future.
There is a growing demand from countries in the South Asia, West Asia and Southeast Asia
for affordable education because they are fascinated with the brand equity of Australian
Institute. Hence, after IEA has a huge potential to tap this market in Asia, which is now with
the US and other countries.

Government focus on Education:

In 1997, the Ministry of Education (MOE) of government of Singapore announced its target to attract
10 world-class universities to Singapore within a decade - 10 universities jumped on board in half the
time. In 2002, a government economic review panel recommended Singapore seize the
opportunities that had arisen out of newly thriving Asian economies, particularly that of India and
China. At the time, mature education exporters from the US, Britain and India were already on the
lookout for fresh markets to tap into, and it was estimated that the demand for international
education would see a four-fold increase over the next two decades - from 1.8 million students in
2002 to 7.2 million by 2025. Government of Singapore feels that given its strong International
reputation for quality education, would help draw people from other countries which is likely to
create about 22,000 jobs by 2015 and also boost the education sector's GDP contribution from 1.9
per cent (S$3 billion/US$1.8 billion) to five per cent. Most of the foreign institutions have hence set
up programmes with local institutions like Nanyang Technological University and National University
of Singapore.

Director Kenneth Tan of Singapore Economic Development Board (EDB) says that the grander aim
behind attracting top-notch institutions and students to Singapore is the hope that foreign talent will
remain in the country as employees or entrepreneurs. In turn, the growing pool of talent in
Singapore will help draw more world-class R&D firms and MNCs to the country.
"Our objective is to make Singapore a 'Global Schoolhouse,' providing educational programmes of
all types and at all levels - from pre-school to post-graduate institutions - [to attract] an interesting
mixof students from all over the world," says Singapore's Minister For Foreign Affairs George Yeo.

Investments in the education sector have seen an increase; before 2002, such investments were in
the single-digit millions, but by 2004, the number reached S$100 million (US$61.7 million) and
created over thousand jobs.

More details of government plans are given in the speeches by Ministers in Appendix 1 & Appendix
2.

Government Regulations:

Ministry of Education (MOE in Singapore) is not an accreditation authority on


qualifications. Singapore does not have a central authority that accords recognition to
certificates/ qualifications issued and courses of study offered by private schools. However,
all private schools are governed by the Education Act, Cap. 87(1985 Edition) copies of which
are available from the MOE.

Singapore has instituted the Education Excellence Framework to ensure that commercial schools
focus on academic distinction, organizational excellence and comprehensive student protection and
welfare practices to safeguard students' interests.

The programme encourages academic distinction by rewarding local private schools with
accreditation according to their standards of quality courseware. The Singapore Quality Class for
Private Education Organisations, in partnership with SPRING Singapore, promotes organisational
merit through the recognition of commendable business performances of Private Educational
Organisations (PEOs).

To ensure that schools adopt and maintain first-rate student protection and welfare practices and
standards for international students, the Economic Development Board (EDB), the Consumer
Association of Singapore, the Singapore Tourism Board, the Immigration and Checkpoints Authority
and SPRING Singapore, have introduced the CaseTrust for Education scheme, which applies to all
PEOs.

Prospective private school operators are required to register the school, the courses they offer
and the teachers through the Online Business License Service (OBLS) and get the
“"Registered with the Ministry of Education" certificate. MOE registration gives private
schools the right to operate when they have met basic statutory requrements but in any way
represent an endorsement or accreditation of the quality of the schools, courses and
teachers offered.

For a private school application, one must be a company or business or limited liability
partnership (LLP) that is registered with the Accounting and Corporate Regulatory Authority
(ACRA) formerly known as the Registry of Companies and Businesses (RCB). The
enterprise also requires obtain fire safety clearance from the Fire Safety & Shelter
Department (FSSD) or from the Housing & Development Board (HDB). Other details are
given in Exhibit

The government plans to introduce an enhanced regulatory framework for the private education
organisations to assure private schools meet certain standards in terms of academic rigor, financial
stability and student welfare before they are allowed to operate. They are also review plans for
accreditation system to recognise high-quality private education providers, and to help students in
selecting the right school that suits them.

Australia-Singapore

People across the world are cognizant of Australia's emergence as an economic power due to
globalization strategies, which are transforming various sectors of the economy including the fast
developing sector of higher education. Australia is undergoing a paradigm shift, which is reflected in
the present economic boom and growth rate.
Australia has become a surplus nation in food and foreign exchange earnings, currently up to $1.3
trillion from a meager $4 billion to $5 billion in 1991. This unprecedented increase has been partly
due to direct investment by foreign companies and partly due to outsourcing activities. The
modernization of industry is now a front-runner in the emerging knowledge-based economy with a
diversified and large industrial base, which is becoming globally competitive.

Today, Singapore is an important trading partner of Australia with bilateral trade of about US$ 6.4
billion. Singapore Comprehensive Economic Cooperation Agreement (CECA) is an integrated
package comprising a free trade agreement, a bilateral agreement on investment promotion and
protection, an improved double taxation avoidance agreement and a work programme for
cooperation in healthcare, education, media, tourism, customs, e-commerce, intellectual property,
and science and technology.

Assessment Task 3

MBA Service product offering

AIM EDUCATION-Singapore will offer a one year full-time management programme which
will be divided into 7 modules of 6 weeks each with exams in the 7th week. The first three
modules and the last one will be core while the rest 3 will have electives. The major electives
are offered in Finance and Marketing area and minor in Operations and Strategy area. A
student can choose any combination of electives from any of the four areas as per his likes
and career objectives.

The key highlight of the programme is that students would get a chance to stay and study in
each of the 4 AIM EDUCATION programmes in Australia.for a week after every 3 months to
experience Australia’s first hand. Various activities, seminars, industry visits will be planned
for the students so as to learn about Australia’s culture, politics, social system, IT, financial
and retail markets – all of which are unique.

Right at the beginning of the session, students will stay at AIM EDUCATION get an
opportunity to visit Australia’s famous places. Visiting these historical places will give the
students a perspective of the history, culture and political system of India. The participants
will also get an early opportunity to show leadership skills and take part in team-building.

Participants will get a chance to test their caliber through case-study contest and seminar with
other AIM EDUCATION students.

These 4 weeks of the programme will not be graded but it is highly recommended that
participants attend all the four programmes.

The final week before graduation, companies will be invited from Singapore other places for
placement.

The programme has been specially designed with International participants in mind who apart
from getting a management degree will also get exposed to real work and life. Owing to the
strategic importance of Singapore and Australia, this programme will help participants get a
unique blend of Asia and Oceanica in particular.

Evaluation of the Service Product:

1. Students get to be taught by some of the best professors in Asia if not in the
world.
2. Participants get to visit the universities in Australia.
3. Participants will obtain valuable insights and latest developments in
management thinking and their applicability in the global context. Also, people get
to understand to some extent the unique characteristics of Australia and Singapore.
4. The course will be focused in helping participants gain the knowledge and
necessary skills to enhance decision making in a corporate context.
5. This is achieved by discussing the latest developments in management
thinking and their applicability in the global context. Participants also obtain
valuable insights from extensive online interaction with their counterparts from
other organisations.

Facilities:

To start with, the university will be located in a 3 storey rented independent building of 6000
square feet having six rooms. It is on Sembawang Road in District 27 having lots of free
parking and 5 minutes to beach and park. It is walking distance to Mass Rapid Transport,
near Yishun North Point opposite Sembawang Country Club
(http://gateway.sembawanggolf.org.sg/joomla/) with all sports facilities

Sembawang is an area in the Northern-most portion of Singapore. The Sembawang Road


End region contains some of the historically important colonial architecture which remains
standing on the main land till this day. One of the key roads which was built to connect the
navel base to the city centre in the South is Sembawang Road. This road began as a track in
the 1920s and was officially named Sembawang Road in 1938.

The place will be renovated to have three 40 seater classrooms, an administrative room, 3
staff rooms, 3 student’s breakout room and a small reference library. Additionally, the
institute will have tie-up with Sembawang Community Library to provide library facilities for
students and teachers. The class-rooms will be audio-visually equipped with wireless
connectivity. Students are however expected to carry their own laptops. The institute will
invest in IT facilities and provide an online integrated email, online journal access, access to
presentations and discussion forums.

Details about Sembawang is given in Exhibit 9.

Curriculum:

4 contact hours per subject per week will be provided by faculty. The term period is just six
weeks which will be challenging to students to learn new concepts and apply it. All books,
reading material will be provided to students before the start of each session. Students are
required to prepare in advance before any class. Several learning techniques will be used such
as enhanced (modified) lectures, questioning and discussions, writing in cases, problem-
based learning: cases and guided design, group learning-teamwork, group learning-
cooperative learning, drama, simulation games, technology-visual and computer-based
instruction, technology-based delivery, fieldwork-service learning, and fieldwork internship
and project work. Self-learning will also be emphasized upon. The idea is to drive a holistic
view of the management functions — finance, marketing, human resource development,
production.

Admission procedure:

Admission is through GMAT score, TOEFL/IELTS score (for participants who have not
done their graduation in English), two referee report and official transcripts. 2 years of
minimum work experience is necessary for admission. If short-listed, students will be called
for personal interview or video-conference.

Target Market:

As detailed in the ‘Market Audit and Competitive Analysis’ section, the target market for this
programme are resident Singapore (about 32% prefer to do MBA) and international students
(45% of students are from overseas) in the 25-29 (32% have done university education) years
interested in having a career in Finance or Sales/marketing (job market grew by 21.3 % in
Singapore). The overseas students may include students from India, UK, USA, Australia,
Taiwan who are interested in pursuing high quality education at affordable rate and a future
career in Singapore. The rigueur of the course would demand full-time study. However,
subsequently the institute hopes to offer short term executive or management development
programmes for working professionals.

Expected Sales:

The expected number of intake for the AIM EDUCATION programme will be 40 in the first
year, 70 in the second year, 80, 100 and 120 in the subsequent years. The idea is to have high
quality and deeply motivated individuals who like the illustrious AIM EDUCATION alumni
have the potential to act as brand ambassador in future. Hence, the focus will be on quality
and exclusivity.

Revenues and Profit:

Detailed revenues, expenses and profit based on expected sales in shown in Exhibit 14. The
cost of the programme will be USD 30,000 in the first year and expected to be increased at
the rate of 10% per year. Other costs are also proportionately increased. Note, that the 4 visits
to India, all books, stationeries are covered in the cost. Accommodation and living expenses
are separate which participants have to bear. Royalties to be made to Government, the AIM
EDUCATIONs is also detailed.

Promotion mix:

Selected members from the AIM EDUCATION Alumni network in Asia, UK, USA would be
promoting this in their companies through word of mouth advertisement, during alumni meet
sessions, holding road shows in New York, Washington, San Francisco, London, Singapore,
India. This will also be promoted in media and via AIM EDUCATION for Australian’s who
want an International career. Website of the institute will be set-up within 3 months and shall
hold most update information about the institute.

Long-term plans:

a. Build school’s reputation

b. Have a success record of its career placement office

c. Provide scholarships and financial aid for meritorious students

e. Have tie-ups with other foreign and local MBA institutions to offer greater number of courses for
the student

f. Get into worldwide B-school rankings

Conclusion
AIM EDUCATION in Singapore will be a test case based on the experiences of which
similar institutions can be set up in other countries. Given the demand for current education
and the huge potential in the Education market, if this arrangement with the government
works out well, then even different programmes can be set up abroad in the same model. This
would also help government get much needed fund for developing more such premier
institutions in Australia and making higher education more broad based. Further, the
Professors teaching at this institute can provide consultancy to foreign corporations to
analyze the market trends in global markets. Singapore will open the flood-gates of research
and networking for the Professors as well.
Exhibits

Exhibit 1:

Ethnic composition (%) of resident population

Ethnic 1970 1980 1990 2000 2006

Chinese 77.0 78.3 77.7 76.8 75.2

Malays 14.8 14.4 14.1 13.9 13.6

Indians 7.0 6.3 7.1 7.9 8.8

Others 1.2 1.0 1.1 1.4 2.4

Source: en.wikipedia.org/wiki/Singapore

Exhibit 2:

Age structure

Age percentage male female

0-14 years 15.6% 362,329 337,964

15-64 years 76.1% 1,666,709 1,750,736

65 years and over 8.3% 165,823 208,589

Source: en.wikipedia.org/wiki/Singapore

Exhibit 3
No Primary Secondary Polytechnic Other University Percentage
qualification diplomas of
University
Total graduates

2500913 410033 271,602 1,068,897 205,066 121,124 424,191

Percentage 16.40% 10.86% 42.74% 8.20% 4.84% 16.96%

Chinese 1945656 335527 205224 787787 173209 100117 343791 81.05%

Malays 306048 50370 43196 178150 16019 7787 10528 2.48%

Indians 101609 21269 19982 84065 11913 9243 48971 11.54%

Source: singstat.gov.sg

Exhibit 4:

Source: http://www.wtec.org/loyola/em/04_05.htm

Exhibit 5:
China/
Field of Outside HK/
Study Total Singapore Singapore UK USA Australia Taiwan India Others

Total 424191 219396 204795 41225 24603 52769 18948 30286 36965

Education 9055

Fine& Applied
arts 5084

Humanities&
Social Data Ignored
Sciences 52702

Mass comm &


Information
Science 12030

Business &
Administration 136200 74600 61600 10341 10075 23009 2151 6629 9396

Law 8413

Natural,
Physical,
Chemical &
Mathematical
Sciences 38796

Health
Sciences 16733

Data Ignored
Information
Technology 36516

Architecture &
Building 11916

Engineering
Sciences 94699

Others 2047

Source: singstat.gov.sg
Exhibit 6:

Monthly
income Goods producing Industries
from work

Other
Goods
Total Total Manufacturing Construction Industries

1482579 391674 289661 90894 11119

Below 999 173893 32664


Data ignored
1000-4999 1101618 307526

5000-9999 158381 40929 32335 7274 1320

10000 &
Over 48687 10556 8722 1419 415

Source: singstat.gov.sg

Exhibit 7:

Monthly
income Service Producing Industries
from work

Wholesales Other
& Retail Hotels & Transport & Financial Business Service
Total trade Restaurants Communications Services Services Industries

1090905 253673 93184 178038 87156 191236 287619

Below 999 141230


Data not required
1000-4999 625752

5000-9999 117452 24431 2216 12399 17243 27801 33364

10000 &
Over 38312 7416 516 3792 10119 9470 6819

Source: singstat.gov.sg

Exhibit 8:

Business Week:
1). 45% of the ranking based on graduating students' survey responses.

2). 45% based on recruiter poll accounts

3). 10% is based on an intellectual capital rating from tallying journal articles and books published by
faculty.

AACSB:

1). The deans and directors ratings account for 25%

2). The ratings from the recruiter survey account for another 15%.

3). Placement success accounts for 35%

4). Student selectivity accounts for the remaining 25%.

Forbes:

They determine the rankings based on ROI by looking at compensation five years after graduation
minus tuition and the forgone salary during school. They survey graduates five years after
graduation.

The Financial Times

The FT ranks schools based on three factors;

1). Performance of the MBA program accounts for 55%.

2). Diversity accounts for 25%.

3). The research rating accounts for 20%.

Wall Street Journal rating

The ranking components for all schools measured include three equally weighted elements:
perception of the school and its students (20 attributes), intended future supportive behavior
toward that school, and a measure of mass appeal based on how many indicated that they
recruit at the school.

Economist Intelligence Unit


The ranking measures career opportunities for graduates (35%), the quality of the educational
experience (35%), increases in salary pre and post MBA (20%), and the potential value of the
alumni network (10%).

Exhibit 9:

Source from http://en.wikipedia.org/wiki/Sembawang

Sembawang New Town was built in 1996. The Sembawang Mass Rapid Transit (MRT)
Station serves as the central hub, around which residential, commercial as well as industrial
zones mushroomed.

Communal facilities

The new town contains some of the most common communal facilities found in Singapore,
such as:

Sembawang MRT Station. To preserve the kampong atmosphere of Sembawang, this station
has a uniquely-shaped kampong-styled roof. Acceding to a request by workers from the
Sembawang Shipyard, the Land Transport Authority constructed a bay for 350 bicycles as
most of the workers cycle to and from work. This is in-line with the environmentally friendly
mentality prevalent in the kampongs.

Shopping centres, including the Sun Plaza shopping centre next to the Sembawang MRT
Station.

The Sembawang Community Library, managed by the National Library Board is situated
within the Sun Plaza shopping centre. It serves residents in the North West areas of Lim Chu
Kang, Mandai, Sembawang, Simpang, Sungei Kadut, Woodlands and Yishun.

Three primary schools (Canberra Primary School, Sembawang Primary School and
Wellington Primary School), and three secondary schools (Canberra Secondary School,
Sembawang Secondary School and the holding campus of Yishun Town Secondary School).

Sembawang Bus Interchange, strategically located next to Sun Plaza, was completed in
December 2005. This replaced the old bus interchange located at the Northern tip of
Sembawang Road, just next to Sembawang Park. Some photos of the old interchange can be
found here.

Attractions

Bottle Tree Village

The Bottle Tree Village is located at the end of Jalan Mempurong and is famous for its Bottle
Trees (Brachychiton rupestris) which have been specially flown in from Queensland,
Australia by the owner Mr. Alex Neo. Apart from the unique trees, other Australian flora can
be spotted in the surroundings. An eatery, Sembawang Eating House, is located within this
Village, serving traditional Chinese stir-fry dishes.

Sembawang Park

Sembawang Park, a 15 hectare tranquil park developed in the 1970s and maintained by the
National Parks Board, is situated at the Northern tip of Sembawang Road. One of the few
parks in Singapore with a natural beach, the Wak Hassan Beach, this park is a heaven for city
dwellers who are tired of the never-ending concrete buildings and sky-scrapers. It's a popular
spot for campers as well as families who wish to spend an idyllic day by the beach. One can
dine at the Beaulieu House, built in 1910, which was the residence of Admiral Sir Geoffrey
Layton (Commander-in-Chief British Eastern Fleet, 1940-1942). A wide range of fauna and
flora awaits visitors, ranging from the spectacular Cannon Ball tree (Couroupita guianensis)
to the many species of birds which have made the park their nesting grounds.

Sembawang Park Connector

The Sembwang Park Connector is part of the Park Connector Network managed by the
National Parks Board. As their name imply, these connectors aim to form a continuous loop
which would hopefully connect all the major parks within Singapore. The Sembawang Park
Connector runs parallel to Sungei Sembawang, a canal which serves as the demarcation
between Woodlands and Sembawang New Towns.

Simpang Kiri Park Connector

The Simpang Kiri Park Connector demarcates the Southern border of Sembawang New
Town, starting from the Southernmost tip of Canberra Link and terminating at Jalan
Mempurong, where the Bottle Tree Village and Masjid Penempatan Melayu Sembawang can
be found.

Sembawang Hot Spring

The Sembawang Hot Spring, discovered in 1909, is located near the junction of Sembawang
Road and Gambas Avenue, along Jalan Ulu Sembawang. It is Singapore mainland's only
natural hot spring and was once bottled for sale under the label Seletaris by Fraser and Neave,
a food and beverage company. Located on land used by the Ministry of Defence,
improvement works were carried out in the area surrounding the spring and it was re-opened
to the public on 1 May 2002.

Exhibit 10:

Local
Ranking by Country institution
government Foreign Institution of Origin Degree Offered collaboration

Tier A City U of New York US MSc (Fin, Mkt) SMA

Essec University France MBA Essec


Insead University
(FT) France MBA Insead

Macquarie MGSM-
University Australia MBA Raffles

Nanyang Tech U Singapore MBA NTU

National U of S'pore Singapore MBA NUS

Nottingham PSB
University UK MBA Academy

NUS/UCLA S'pore/US EMBA NUS

Rutgers University US EMBA CAE

S'pore Management MSc (Finance, Wealth


U S'pore Mngt) SMU

University of
Chicago US MBA U of C/Asia

U of Manchester UK MBA (Finance) MBS

MBA for Eng

U of Western PSB
Australia Australia MBA Academy

Tier B Helsinki Finland EMBA

Southern Illinois U US MBA APMI/Kaplan

U of NY at Buffalo US EMBA SIM

University of
Adelaide Australia MBA, MPM, MAF NAA

U of Birmingham UK MBA AEC

University of
Bradford UK MBA MDIS

University of London UK Masters (Fin) SIM

U of Nevada, Las
Vegas US EMBA, Hosp Adm UNLV

University of
Strathclyde UK MBA, MSc (Mkt) TMI

Western Michigan U US MBA (Mkt) CAE


Tier C Deakin University Australia MBA TMC

Heriot-Watt U (FT) UK MBA EASB

Masters (Ed)
James Cook
University Australia MBA JCU

MA (HR, Mng)
Northumbria
University UK MBA CIE

Nottingham Trent U UK MBA, TQM Raffles Acad

Oklahoma City U USA MBA SCCIOB

MBA (IM)

RMIT Australia MSc (Finance) SIM

University of Hull UK MBA APMI/Kaplan

U of North Alabama US EMBA Harbridge

U of San Francisco US MS (Finance) CAE

U of South Australia Australia MBA APMI/Kaplan

American U of
Tier D Hawaii US MBA RSM

Andrew Jackson
University US MBA Hemsdale

Atlantic National U US MBA Queensfield

Central Queensland
U Australia MBA Hartford

Charles Sturt U Australia MBA SIC

Columbia Southern
U US MBA, MS (Health) Queensfield

Concordia
University US MBA Auston

Entrepreneurship
Institute of Australia Australia MBA ERC

Ottawa University US MBA MDIS

Paramount
University UK MBA CES
Preston University US MBA CPS

Southern Cross
University Australia MBA MDIS

Queen Margaret U
MBA (e-com, Tourism,
College, Edinburgh UK Health) EASB

Salem International
U US MBA Informatics

Southern Cross U Australia MBA MDIS

Tourism Inst. of
Australia Australia MBA ACPE

U of Ballarat Australia MBA, IT HEG

University of Masters (Mkt,


Canberra Australia Counselling) Informatics

U of Northern
Virginia US MBA, IT UNVA, Sng

University of MBA
Southern
Queensland Australia MPA (Accnt) Informatics

Vancouver
University Canada MBA (Fin Ser) IFPAS

Victoria University Australia MBA SIC

Warnborough U UK MBA SOFEA

Exhibit 11:

GNP rating of Singapore

Ranking: 21 (2003) - Show ranking

Unit of measurement: Current PPP$

SG

Year 1975 1980 1985 1990 1995 2000 2003

GNI- Gross National Income per capita (PPP$)


(Current PPP$) 2 500 5 020 7 780 12 230 18 360 23 700 24 180
Exhibit 12:

Exhibit 13:

The following legal documents and clearances are required for registering a private institution in
Singapore:

Approved Floor Plan by the Fire Safety & Shelter Department (FSSD)

Fire Safety Certificate

Grant of Written Permission (URA/ HDB)


ACRA Printout

Committee of Management Form (One form for each member)

Appointment Note (sole-proprietor/ownership/LLP) or Directors’ Resolution (for company) to


appoint Committee of Management

Teacher Registration Form (One form for each teacher)

Memorandum & Articles of Association of Company (M & A) [for company] School Constitution

Exhibit 14:

Yearly sales forecast

Assumptions

2008 2009 2010 2011 2012

Students 40 70 80 100 120

Faculty 33 33 33 33 33

Fees $40,000 $44,000 $48,400 $53,240 $58,564

Increase per year 10%

Rent $5,000 $5,500 $6,050 $6,655 $7,321

Faculty rate per hour $100 $110 $121 $133 $146

Faculty Travel $350 $385 $424 $466 $512

Faculty accomodation $400 $440 $484 $532 $586

Books & Stationeries $200 $220 $242 $266 $293

Administrative cost $2,000 $2,200 $2,420 $2,662 $2,928

Brand royalty $100,000 $110,000 $120,000 $140,000 $150,000

Payment to AIM EDUCATION $20,000 $30,000 $40,000 $60,000 $80,000

Student travel cost $1,000 $1,100 $1,210 $1,331 $1,464

Hours of faculty time per


term 27 54 54 81 81

Legal expenses $30,000 $33,000 $36,300 $39,930 $43,923


Marketing expenses $100,000 $110,000 $121,000 $133,100 $146,410

Revenue $1,600,000 $3,080,000 $3,872,000 $5,324,000 $7,027,680

Less: Expenses

Total rent for the year $60,000 $66,000 $72,600 $79,860 $87,846

Total Salary of faculty $89,100 $196,020 $215,622 $355,776 $391,354

Total faculty travel expenses $11,550 $12,705 $13,976 $15,373 $16,910

Faculty accomodation $13,200 $14,520 $15,972 $17,569 $19,326

Books & Stationeries $56,000 $107,800 $135,520 $186,340 $245,969

Administrative cost $24,000 $26,400 $29,040 $31,944 $35,138

Brand royalty $100,000 $110,000 $120,000 $140,000 $150,000

Payment to AIM EDUCATION $80,000 $120,000 $160,000 $240,000 $320,000

Total student travel $160,000 $308,000 $387,200 $532,400 $702,768

Marketing $100,000 $110,000 $121,000 $133,100 $146,410

Legal $30,000 $33,000 $36,300 $39,930 $43,923

Total $723,850 $1,104,445 $1,307,230 $1,772,293 $2,159,645

Profit before tax $876,150 $1,975,555 $2,564,771 $3,551,707 $4,868,035

Appendices

Appendix 1:
Excerpts of the speech by Minister on Preparing Students for a Global Future.

Source: http://www.moe.gov.sg/speeches/2007/sp20070307a.htm

….

10. There is a further, critical dimension to educating our young for the future, and which matters more to us
than to most other developed countries. For Singapore to be a global city, we need to have a global outlook in
our people. The whole tenor of our society has to be about looking outward, and welcoming new people into
Singapore to live and to work. It will give us a big advantage in Asia. That’s why we have to groom young
Singaporeans who feel quite comfortable working and collaborating with people who come from all over the
place, looking for opportunities in new markets outside Singapore, and working in places quite different from
Singapore. A good understanding of Asia, where the opportunities are the largest, will also give them
advantage.

11. Developing a global outlook in our students is therefore an important strategy for MOE. We want to nurture
Singaporeans who are culturally versatile, but confident of their own identity.

We are also exploring opportunities for a few of our schools to establish satellite campuses in overseas cities
so that our students can spend a longer time immersing themselves and interacting with their counterparts
there, while benefitting from a Singapore curriculum

Our tertiary institutions are also linking up with partners abroad, through student exchanges and internships,
and in the case of our universities, through collaborative research projects and joint degree programmes.

Our universities are also developing elective modules on Contemporary China and India, for students who are
not majoring or specializing in these fields.

No other Asian city is making as determined a move to nurture in its young citizens a global outlook, a sense of
the opportunities outside. We have to do more of this than others, because we can only succeed by being a
global city. And if we do this well, it will give us advantage in time to come

Non-Tamil Indian Languages (NTILs), which are the mother tongues for the smaller Indian minority groups.
These languages are not new to Singapore. But we must keep them alive so that they remain a vibrant part of
Singapore’s cultural landscape. Like Tamil, they allow our communities to link up to different parts of South
Asia.

Our education strategies are a key part of how we secure Singapore’s future as a vibrant global city. We are
providing Singaporeans with opportunities from young to develop a global outlook, and to get a flavour of the
opportunities that are emerging in Asia
Some of the challenges we face are no different from those of any other developed society. We know we have
to work smarter, rather than work cheaper, in order to thrive amidst the competition from China and India,
and before too long from new players like Vietnam

At the same time, Singapore has acquired a strong global reputation in education due to the quality of the
education programmes in our publicly-funded schools and tertiary institutions. Many foreign students are
attracted to study here. It is important for us to preserve the reputation of our education system.

Appendix 2: Remarks by Mr Ko Kheng Hwa, Managing Director Of The Economic Development Board, At The
News Conference On The Singapore Quality Class For Private Education Organisations Programme On 24 Feb
2003, In EDB Boardroom At 3.00pm

http://www.spring.gov.sg/Content/SearchForm.aspx?id=education

1. The EDB is leading efforts to develop Singapore into a thriving international education hub. Our vision
is to create a distinctive "Global Schoolhouse" comprising a compelling ecosystem of large and niche,
local and foreign institutions and enterprises offering a rich and diverse mix of education and training
programmes to international students and executives.

2. To achieve this vision, EDB will focus on 4 areas of development:

 Attract a range of reputable foreign institutions and enterprises. This would build on the
success thus far in anchoring top universities here, including INSEAD, Chicago, MIT and
Shanghai Jiaotong.

 Develop and strengthen the capabilities of promising Singapore-based educational


institutions and enterprises, especially their flagship presence in Singapore.

 Encourage and support these educational institutions and enterprises to venture overseas
and become regional or even global educational powerhouses but with their core capabilities
and know how firmly anchored here. The EDB will work closely with our sister agency,
International Enterprise Singapore, to support these efforts.

 Promote Singapore's education and training offerings to key student markets overseas. The
EDB will work closely with the Singapore Tourism Board in this new initiative.

Cutting across these 4 strategic thrusts is the need to have quality providers and quality courses in place.
Quality is the key to offering a solid value proposition to students and ensuring that Singapore is able to
compete against and differentiate itself from other educational destinations around the world.

This Singapore Quality Class for Private Education Organisations scheme is an important quality excellence
initiative targeting private local and foreign education providers that are based in Singapore. It would help
grow the private education industry in several ways:
 Instituting a high benchmark for quality excellence would help attract and anchor local and
foreign education providers in Singapore, thereby creating a diverse and critical mass of local
and international providers and courses.

 For the schools, it offers a set of internationally recognised standards to benchmark and
improve their internal processes, be it in student services, content delivery, managing
partnerships and people development. This would help upgrade the schools' products and
services for their students.

 Schools that qualify for the scheme will enjoy enhanced facilitation support from various
government agencies. This support includes faster student passes processing, better terms
for the student passes, and active promotion in overseas markets by IE Singapore and the
Singapore Tourism Board. This would help the better schools to grow their business in the
international arena.

 For the students, both local and foreign, the SQC stamp of approval would serve as a public
'trust mark' to indicate these qualified schools are bona fide institutions that focus on
offering quality education. The scheme would help identify and differentiate the better
schools, thereby enabling prospective students to make more informed choices.

There are currently more than 300 private commercial, IT, fine arts and language schools registered with the
Ministry of Education. EDB is targeting to have at least 20 "SQC for PEOs" qualified schools by end of 2003. This
would form the bedrock of the commercial and specialty education segment. With the SQC for PEOs in place,
coupled with the government agencies' facilitation efforts, we are confident that the private schools would be
able to attract more high-calibre foreign students, in line with the ERC's recommendations to increase the
education sector's contribution to the GDP

Building World-Class Private Schools

1. SPRING is pleased to work with EDB to launch this joint initiative. The Singapore Quality Class for
Private Education Organisations programme supports the Economic Review Committee's strategy of
making Singapore a regional education hub that provides world-class education services. It will help
the estimated 300 private education organisations (PEOs) operating in Singapore to strengthen their
capabilities and competitiveness. It aims to help these PEOs to attain world-class standards of
performance based on an internationally-recognised set of criteria, namely, the Singapore Quality
Award (SQA) framework.

2. Like other organisations, PEOs have to compete in an increasingly competitive global marketplace.
With a rapidly increasing base of affluent Asian households, particularly in China and India, there will
be a growing demand for high quality education services. In order to gain a competitive advantage,
PEOs can use the SQA framework to put in place robust management systems and processes to
deliver quality education outcomes and achieve sustainable high performance.

3. Many organisations in Singapore now use the SQA framework to identify the gaps in performance and
take actions for improvement. The Civil Service uses the SQA framework to drive organisational
excellence in the public sector. The Ministry of Education has aligned its School Excellence Model with
the SQA framework.

4. To recognise organisations that have achieved a commendable level of performance based on the
SQA framework and to assist them on the business excellence journey, SPRING introduced the
Singapore Quality Class (SQC) programme in 1997. The SQC programme seeks to recognise
organisations that have achieved a commendable level of performance, based on the SQA framework.

5. There are now 305 SQC organisations, employing some 270,000 employees, or 13% of the workforce.
These organisations come from a wide range of sectors - from manufacturing and logistics to
healthcare, hotels, and schools. While they are very different organisations, all SQC members share a
common passion for improvement and a vision of becoming world-class leaders.

6. The SQC for PEOs marks another milestone in the national movement to develop a culture for
excellence among Singapore organisations. It will help build up a pool of world-class private schools
that will enhance Singapore's competitiveness and measure up to the best in the world.

7. By adopting the SQA framework, PEOs in Singapore will be able to benchmark themselves against
internationally-recognised world-class business excellence standards. The SQA framework is aligned
and on par with the frameworks of premier international business excellence awards, such as the US
Malcolm Baldrige National Quality Award, European Quality Award and Japan Quality Award. These
frameworks have also been adopted by education organisations in these countries.

8. To meet the specific needs of PEOs, four enhancements have been made to the SQC programme.
First, an interpretation guide has been developed to help PEOs apply the SQA framework to their
businesses. Second, all applicants have to comply with a set of mandatory requirements stipulated by
various government agencies. These requirements help to ensure that PEOs have a sound foundation
in place for business excellence. Third, PEOs that achieve SQC status will enjoy additional benefits,
such as enhanced facilitation support from various government agencies. Fourth, these PEOs will have
the privilege of using the SQC logo with a tagline "for Private Education Organisations" on their
corporate and publicity materials. This will help them to distinguish themselves in the market and
gain a competitive advantage.

9. With the adoption of the robust SQA framework, PEOs will be able to create value for their
customers, upgrade the quality of their offerings, enhance student satisfaction, and help make
Singapore a thriving regional education hub.
10. A joint initiative of the Economic Development Board (EDB) and SPRING Singapore (Standards,
Productivity and Innovation Board), the Singapore Quality Class for Private Education Organisations
(SQC for PEOs) is aimed at helping the more than 300 private commercial, IT, fine arts and language
schools operating in Singapore to upgrade, excel and compete for a bigger market share in education
services. Currently, these private commercial and specialty schools have an estimated total
enrollment of more than 100,000 local and foreign students.

11. Mr Ko Kheng Hwa, Managing Director of EDB, affirmed the significance of the programme during a
news conference. He said, "The private education organizations (PEOs) have a key role in EDB's effort
to develop Singapore into a leading international education hub. High quality PEOs offering high
quality courses will attract good students from Singapore and overseas. The SQC will be a 'public trust
mark' of quality that will help attract foreign PEOs and students to Singapore, and encourage
Singapore-based PEOs to upgrade and expand internationally."

References
Extensive referencing has been done from the following websites.

Singapore Department od Statistics Http://www.singstat.gov.sg

Singapore Economic Development Board http://sedb.com

Singapore SPRING http://spring.gov.sg

Singapore MOE http://moe.gov.sg

Insead http://insead.edu

GSB Chicago http://chicagogsb.edu

SPJain http://spjain.org

HRD ministry (India) http://education.nic.in

High Commission of India in Singapore http://embassyofIndia.com

News website http://rediff.com

News website http://hinduonline.com