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1 Background.........................................................................................................................................3
2 Objectives............................................................................................................................................5
3 Services of RUDSETI..........................................................................................................................5
4 Funding................................................................................................................................................6
5 Organizational Structure......................................................................................................................6
6 Facilities Offered.................................................................................................................................7
6.1 Residential training with FREE BOARDING & LODGING.......................................................7
6.2 Campus with Library & Audio - Visual aids................................................................................7
6.3 Workshop for the Practical Classes..............................................................................................8
6.4 Experienced trainers & motivators...............................................................................................8
7 Various Training Programs:.................................................................................................................8
8 Follow up Services:...........................................................................................................................14
9 What Sets RUDSETIs Apart:.............................................................................................................14
10 Recognition....................................................................................................................................15
11 Institutes Training Methodology...................................................................................................15
11.1 Course modules:........................................................................................................................15
11.2 Faculty:......................................................................................................................................16
11.3 Training Methodology:..............................................................................................................16
11.4 Training Segments:....................................................................................................................16
11.4.1 Skill Segment:....................................................................................................................16
11.4.2 Soft Skills Segment:...........................................................................................................17
11.4.3 Managerial Inputs Segment:..............................................................................................17
11.4.4 Financial Literacy Segment:..............................................................................................17
11.5 Daily Program Routine..............................................................................................................17
12 Admission process.........................................................................................................................18
13 Challenges.....................................................................................................................................19
14 Success Stories..............................................................................................................................20
15 Unique Practices:...........................................................................................................................21
16 observations and insights from University of Montevideo participants........................................22
Table 1 Agricultural EDPs...........................................................................................................................3
Table 2 Process EDPs..................................................................................................................................4
Table 3 General EDPs..................................................................................................................................5
Table 4 Skill Up gradation Programs & Growth Programs..........................................................................5
Organisation for Change: Entrepreneurship Development through
Vocational Training
1 BACKGROUND
Youth unemployment and under-employment is prevalent around the world because young
people lack skills, work experience, job search abilities and the financial resources to find
employment. Unemployment problem has been a biggest challenge in India.
This situation is aggravated by poverty and the competitive pressures in developing countries
like India that result from a rapidly growing labor force. Moreover, the inadequacy of social
protection schemes and active labour market policies mean that the young people in such
economies have little support outside their family and friends.
These kind of challenges are evidently huge in India, which has the largest youth population in
the world with around 66 per cent of the total population under the age of 35. Millions of
unemployed youth, particularly from rural background, are migrating towards the urban places in
search of employment. The growing population of frustrated youth has become a serious concern
to the policy makers.
Youth particularly from rural and semi-urban background who could not access
higher/professional education but oriented towards white collar jobs are driven to despair for not
finding a job. Of late, these distressed youth are attracted towards antisocial activities for their
livelihood. This tremendous waste of human resources and mismatch of potentiality with
productive deployment has baffled the planners and administrators.
In this context, much is often said about a demographic dividend; that is, the share of the
working-age population increase results in a fall in the dependency ratio (the number of children
and elderly being supported by workers). However, failing to provide opportunities for this bulge
of young people as they enter the labor market risks a demographic disaster. In this regard,
governments are rightly concerned about rising levels of youth unemployment and under-
employment not only because of the direct economic costs, but also due to the social impact of
joblessness which manifests in increased crime, mental health problems, and violence, drug-
taking and social exclusion.
Recognizing the importance of youth employment challenge in the country, India felt that the
youth employment can happen only when the young people are equipped with skills that are
required to meet the demands of the rapidly growing economy.
Training programs with emphasis on practical learning, targeted at the unemployed youth, who
make a proactive beginning to learn the chosen-skill, play a crucial role in their skills and
economic development. Such skill (technical) trainings, offered as a capsule, along with an
adequate focus on motivational, managerial and financial literacy inputs bring the desired change
in the unemployed youth which reflects in their taking up self-employment ventures for their
own economic prosperity and their respective areas as well. The very fact was proved beyond
doubt by the establishment and spread of Rural Development and Self Employment Training
Institutes (RUDSETIs) in 1982 and thereafter in select locations across the country.
Rural Development & Self Employment Training Institute (RUDSETI) is a unique initiative was
taken a way back in 1982 jointly by Sri Dharmasthala Manjunatheshwara Educational Trust,
SyndicateBank and Canara Bank under the visionary leadership of Dr. D. Veerendra Heggade,
Dharmadhikari of Dharmasthala in mitigating the problem of unemployment. The collective
thinking gave concrete shape in providing an institutional framework in the form of Rural
Development & Self Employment Training Institute in 1982. RUDSETI is registered under
Karnataka Societies Registration Act 1960.
They are present in 27 states of India, and have over 600 RSETIs in the country. Each RSETI
provides training to approximately 1000 people in a year with a settlement rate1 of 72.5%.
The success of RUDSETIs vividly tells that the qualitative short-term crash training courses
(Entrepreneurship Development Programs-EDPs) of these RUDSETIs, ranging from one week to
six weeks duration, offered under a congenial learning ambience leads to rich value-addition
1 Settlement Rate: it means that after taking training, if a person earns anything above INR 3,000 per
month, he is considered as settled.
among the unemployed youth which results in their going back to their respective areas after the
training with high self-confidence and starting small business enterprises either on their own or
with some bank finance
The RUDSETI in Mysore was established in the year 1992. Since 2008, with the support of
MoRD (Ministry of Rural Development, India), the new RUDSETIs are called as RSETIs. Also
since the concept is so novel and has been successful, many banks have come up and made
private RSETIS of their own as a CSR activity. Fr example, Vijaya bank has one in Mysore
district, ICICI has its own training institute for unemployed rural youth in the state of Rajasthan,
India.
2 OBJECTIVES
1. To identify, orient, motivate, train and assist the rural youth to take up self-
employment/wage employment ventures as an alternative career.
2. To train unemployed youth to take up wage employment as a source of livelihood.
3. To take up research and development activities in Entrepreneurship and Rural
Development.
3 SERVICES OF RUDSETI
Providing solutions to the unemployed youth aspiring to take up self-employment sets RUDSETI
apart among other training institute. The following services are provided in an innovative and
cost effective manner with the spirit of service:
District Rural Development Agencies (DRDAs), Urban Local Bodies, Karnataka State Women's
Development Corporation (KSWDC), Forest Department, Employment Exchange, Dr. B.R.
Ambedkar Development Corporation, Veterinary Department and District Water Management
Agency have sponsored a good number of training programs.
On an average, all RUDSETIs get INR 270 million as grant per year. Each RSETI has a budget
of ~10 million each year.
Each RUDSETIs director is the representative from the lead bank (the one who is funding), the
monitoring is done at the MoRD level and the performance reports are evaluated each year.
5 ORGANIZATIONAL STRUCTURE
President
Board of Governors
Governing Council
Director - LAC
6 FACILITIES OFFERED
It is a completely residential program and generally the trainees stay in a dormitory and hostels.
Separate lodging facilities are provided for both Men and Women.
Every RUDSETIs are equipped with the required laboratories and necessary practical classrooms
to provide the trainees with in hand experience and practical applications of the taught program.
6.4 EXPERIENCED TRAINERS & MOTIVATORS.
Some of the programs in RUDSETIs are run by experienced professionals which have years of
experience in their respective fields. Many of the RUDSETIs alumnis who had been educated
and trained in their respective centres come to teach courses to the trainees. They guide, mentor
and provide moral support to the budding entrepreneurs and at times act as motivators to push
them to take self-employment.
Mainly Entrepreneurship Development Program (EDP) for First Generation Entrepreneurs are
classified in to four categories as shown below:
Agricultural EDPs
2 Comprehensive Horticulture 13
3 Sericulture 8
4 Dairy Farming 6
5 Poultry 6
6 Piggery 6
7 Mushroom Cultivation 6
Name of the Program
S No. Duration (in Days)
8 Sheep Rearing 6
10 Bee Keeping 6
12 Rubber Tapping 10
15 Commercial Floriculture 6
Product EDPs
2 Handicrafts Manufacturing 30
3 Hand Embroidery 15
10 Agarabathi Making 15
Process EDPs
EDPs under this category cater to service sector and include activities such as Electric motor
rewinding, Beauty Parlour etc.
7 Computer Tally 30
8 Computer Basics 30
21 Aluminum Fabrication 21
General EDPs
General EDPs cover fundamentals of entrepreneurship and issues concerning establishment and
management of an enterprise in any type of industrial, business or service activity. This covers
Rural Entrepreneurship Development Program (REDP), EDP for women, PMEGP etc.
Table 3 General EDPs
Apart from organizing Entrepreneurship Development Program (EDP) for First Generation
Entrepreneurs, Institutes also organize Skill-Upgradation Programs & Growth Programs for the
established entrepreneurs, the details of which are as shown below:
Apart from agricultural, product, process and general EDPs, this year RUDSETIs conducted a lot
of different unique training Programs.
One of them was training programs to prisoners. RUDSETI, Kannur in association with Central
Prison, Kannur conducted Electric Motor Rewinding and Pumpset Maintenance training program
exclusively for the inmates of Kannur jail. 29 inmates attended the 1 month program. Other
programs conducted in the prison includes 5 day program on Mechanical Harvesting of Coconut
and Coconut Plantation Management attended by 20 inmates and 1 month program on Mens
Parlour Management attended by 30 inmates.
To accelerate the efforts to achieve universal sanitation coverage and to put focus on sanitation,
DRDA in association with RUDSETI, Nadiad conducted training Programs on Toilet Making,
Masonry & Concrete Work and Sanitation. They also conducted Barefoot Sanitary Engineer for
Toilet Making training in three batches for 207 candidates, Sanitation Technician training in five
batches for 169 candidates and Masonry & Concrete Work training for 30 candidates.
Apart from above mentioned programs, the institute is also planning to have series of training
with levels, which they will implement by the year 2020.
8 FOLLOW UP SERVICES:
The cutting edge of RUDSETI training is the post training follow up for sustained motivation
among the trainees. The effort to make them rise on to pinnacle include:
Two years follow up Through regular correspondences, Individual contacts, Unit visit,
Village/Taluk/District/Branch level meeting etc.
Facilitating credit linkage with the banks for setting up of micro enterprises.
10 RECOGNITION
RUDSETIs has received several awards and recognition from prestigious institutions for their
selfless work for the past several years. Some of them are:
The course modules are designed with industry experts, governments assistance, all the courses
are accepted as standard modules by Ministry of Rural development, India. The courses are
structures to give applied knowledge and includes lot of practical, hands on experience.
Generally the course module consist of 30% weightage given to soft skills to enhance the
interpersonal skills and confidence in the trainees and 70% weightage is given to technical skills
consisting of theory as well as practical applications.
Market survey or unit visit is a core part of the curriculum and every trainee has to undergo this
procedure. After receiving the full training they are motivated to start business by taking Bank
Loan.
11.2 FACULTY:
Industry experts from outside are called in for training. Generally expert practitioners, guest
faculty and previously trained RUDSETI entrepreneurs are integral part of faculty. The new
faculty is chosen from the rich network of RUDSETIs which is being developed from past 30
years.
RUDSETI developed an exhaustive list of EDPs under the above-described categories where the
detailed curricula are available in the form a ready-reckoner (booklet). However, these institutes
follow a method of scanning their operational areas/villages across the district on an ongoing
basis to identify those areas of training for which there is consistent demand and there are more
takers. That way, every RUDSETI Unit makes it a practice to introduce an innovative program
every year to cater to the needs of the aspirants and to broaden/expand the number of their
course-offerings.
Topics covered under the soft skills segment are- Developing Entrepreneurial competencies,
Motivation, Personality development, Positive attitude, Time management, Leadership qualities,
Effective communications skills etc.
Why to save, Why to budget, Why financial planning, Understanding important banking
terminology, Key points to be remembered for getting bank facilities, What is interest? How
moneylenders charge very high interest rates? How to be confident while communicating etc.
At RUDSETI, unique methodology is followed, where in the trainees are put to work for most of
the days, on an average 14 hours, they are also taught life skills, personality development, yoga
and wellness along with course modules.
Besides lectures, behavioral simulation games, exercises, field visits, group discussions, case
studies are used to impart training.
All programs are residential programs and free of cost. The trainees also have to take up daily
chores of cleaning and maintaining the institute to learn importance of shramdaan (donation of
physical labor) and respect all professions.
12 ADMISSION PROCESS
Eligibility
Formal Education is not a pre-requisite but the trainee should read and write the local
language.
Any unemployed youth.
Should be in the age group of 18-45 years, irrespective of caste, creed, religion, gender
and economic status.
Having aptitude to take up self-employment or wage employment and having some basic
knowledge in the related field.
The trainee should be a resident of the District in which RUDSETI is located.
Any member of SHG (Self-help group).
BPL Candidates get priority.
To register for the training and invite applications, the institute conducts various awareness
campaigns in rural areas, they also publish advertisement in print media to call in applications,
on an average a batch consist of 25-30 trainees. Each institute runs 6 parallel courses with 180
trainees.
Advertisements
The institute create awareness camps in villages, towns, local institutions to attract the
unemployed youth towards taking up one of the programs. Generally, every institute advertises
through local print media, radio advertisement or through local panchayats.
Through Panchayats, they assemble every youth in an area and calls them for joining the
programs.
Every institute has also identified previously trained youths in each villages, which acts as youth
ambassadors in promoting the activities of the institute as well as encouraging the villagers to
take part in the programs.
Admission process:
Education Criteria:
There are no specific criteria, however, basic literacy is needed, i.e. read, write and speak.
13 CHALLENGES
With expansion and time, the institutes faces some challenges:
14 SUCCESS STORIES
Mr. Yugandhar, a resident of Uppugunduru village near Ongole, who had some hobby in
Photography, underwent training in the said trade at RUDSETI, Vetapalem. As per him it was
only due to the training at RUDSETI, he started looking at the art in a different way which had
paved way for his receiving several awards later both at regional and state level. He not only
made the hobby a business activity but also became the Resource Person at Vetapalem Unit
subsequently.
Mr. D. Babu Reddy, who was with RUDSETI for a period of one month to undergo a SIDBI-
sponsored training program viz., Multi-purpose Mechanism (Repairs of Electrical Appliances,
Gas Stoves etc.) sincerely conveys his gratitude to RUDSETI for giving him inputs not merely
on the chosen skills but in the areas of financial literacy, behaviour and management of a small
business enterprise also which helped him to run the shop, Surya Servicing Centre, he
established at Chirala on sound business lines.
Ms. Mekala Srilakshmi, hailing from a poor agriculture family, started making use of her leisure
time by opening a ladies tailor unit in Vetapalem initially. The heavy competition in the chosen
trade made her to look for an alternative business activity. Getting attracted by the services of
RUDSETI, she came and met the Director for a piece of advice and encouragement. The result
was her enrollment into Beautician course that the institute offered to the aspirants later on. She
now runs a beauty parlour in Vetapalem and gets a decent income from it. She conveys her
gratitude to RUDSETIs timely advice and support.
15 UNIQUE PRACTICES:
Every RUDSETI unit follows a practice of scanning their areas of operation on an ongoing basis
and introducing a new kind of training every year which meets the requirement of the aspiring
youth or the market demand.