A Study on Supply and Demand of Technical and Vocational Education and Training (TVET) Workforce in Automotive Aftermarket Industry

127
Figure 4-75: Number of graduates with diploma from MQA Accredited Institutions

128
Figure 4-76: Number of graduates with degree from MQA Accredited Institutions

129

Figure 4-74, Figure 4-75, and Figure 4-76 show the graduates at certificate level, diploma level, and
degree level, respectively. Under the MQA, the Community Colleges are considered as the only
institutions that produce automotive graduates at certificate level. For diploma level, polytechnics are
the main producers for this industry. Meanwhile, at degree level, for technical university category,
Malaysian Technical University Network (MTUN) university produces more automotive graduates
than Higher Educational Private Institutions (IPTS).

130

4.11 Key Challenges

Figure 4-77: Current challenges in automotive aftermarket industry

In order to fulfil the current Malaysian Automotive Aftermarket needs, there are five key challenges
faced by the related industry players as illustrated in Figure 4-77. One of the main issues is the salary
is lower compared to the white-collar jobs. From the salary analysis, the average salary for the
workers is even lower than the salary guideline published by MOHR. Lack of industry-ready
graduates is another issue. Graduates who excel in academic are not necessarily excellent in
practical skills. The non-TVET graduates are less relevant to current industries. The academic
graduates focus more on theoretical knowledge rather than practical know-how. Up-skilling courses
are required to keep the staff updated with the latest technology. However, not every company is fit
to be the Accredited Centres for SLDN programmes. Especially for the micro-sized companies, not
enough training facilities is the major issue.

Through the survey, several suggestions on additional training required for the current
workers are obtained as shown in Figure 4-78. Demand on the training programmes is different for
different MSIC sections. However, communication skill training is suggested for MSIC G451, MSIC
G452, MSIC G453, and MSIC G454 industries. Digital marketing training is also in demand. Virtual
marketing is becoming more important, especially for MSIC G453 companies in selling motor vehicle
parts and accessories. Bateriku.com is one of the company models with successful virtual marketing

131
activities. The industries also highlight the requirement to have a self-esteem training, especially for
companies involving in selling motor vehicles or motorcycles (MSIC G451 and MSIC G454). For any
companies that are related to the maintenance and services activities (MSIC G452 and MSIC G454),
due to the rapid development of the automotive technology, training that are able to provide practical
knowledge related to the latest and advanced technology are currently in demand. This is important
to ensure that the companies stay competitive in the market. Training in diagnostic skill is also
important to current workers, especially for the modern and luxury vehicles.

In motorcycle maintenance and repair (MSIC G454), training on fuel injection are required to
upskill the current workers with the latest fuel system as fuel-injected motorcycles are fast taking
over ordinary carburetted motorcycles. Apart from that, under the same MSIC section, the highest
demand training is on the training related to dyno and tuning skill. As the electrical and electronic
system for motorcycle is becoming more complicated, upskilling in motorcycle electronics system
turns out to be also needed.

Figure 4-78: Training required by automotive aftermarket industry

132

4.12 Gap Analysis

From analysis, the total number of workforces required in the next five years are 124,511 (average
24,902 per year) for section MSIC G451, MSIC G452, MSIC G453, and MSIC G454. Based on the
number of graduates related to automotive courses from year 2017 to 2019, the average current
supply per year, including those from general Automotive Engineering programmes are 11,709
graduates. A graphical representation of the gap analysis is shown in Figure 4-79. For MSIC S960
section, the demand is forecasted to be 132 workforces per year. Since this number is very small
compared to other section, only a graphical representation of the gap analysis for MSIC G451, G452,
G453, and G454 is shown in Figure 4-79. For MSIC C293 and E383, the gap analysis could not be
determined because the exact number of populations for these MSIC sections is undefined.

12,000 Customer Service and Sales and Services
10,000 Dealer Development
Technician
8,000 Sales and Marketing
6,000 995
4,000
No. of Workforce 2,000 10,296 10,385

- 295 0
2,401
Supply G451 Demand G452 Supply G452
Demand G451
Sales and 1,324
No. of Workforce 12,000 Part and Accessories Sales Services
10,000 Technician Supply G454
7,552 0
8,000 458
6,000 Demand G453 Supply G453 2,773
4,000
2,000 Demand G454

No. of Workforce - Inspections TOTAL DEMAND PER YEAR: 24,902
TOTAL SUPPLY PER YEAR: 11,709
12,000 132
10,000 0
Demand S960
8,000 Supply S960
6,000
4,000
2,000

-

Figure 4-79: Summary of the yearly supply and demand gaps for MSIC G451, G452, G453 and
G454 up to the year 2025

G451 133
G451

Figure 4-80: Demand and supply for MSIC G451

Less attention was given to MSIC G451 for the past three years in producing competent
workforce through the available MSIC G451 related NOSS. As shown in Figure 4-80, no graduate
has been produced at any SKM levels since 2017. The study found that only nine graduates were
produced in 2019 from the IPTS-related diploma programmes accredited by MQA. Although it was
not specifically for MSIC G451, the programmes could support the MSIC G451 through supplying
human capital with automotive management knowledge. However, the number was too small to cater
the high demand in sales and marketing, as well as the customer service and dealer development
personnel. Referring to the industry’s feedback, majority of the industries preferred experienced
workers to hold the Sales Advisor positions. Good interpersonal skill, good in communication skill,
and talented at convincing customers are given higher priorities than the education background. As
85% from the total demand are the Sales Advisors, the critical gap is covering only approximately
482 managerial related positions under the Sales and Marketing category. However, less emphasis
in education background makes it difficult for companies to hire experienced Sales Advisors to be in
the managerial posts due to absence in any managerial-related competencies or equivalent
education background. Significant difference in skill set requirements at higher job positions indicates
the requirement of up-skilling programmes to upgrade the workers’ competency level. This is also
aligned with Critical Occupations List 2019/2020 (TalentCorp, 2020) that indicates the Critical Job
Function for MSIC G451 starts at equivalent NOSS Level 5 (Sales and Marketing Manager). SLDN
is expecting to sufficiently cater the forecasted demand in this MSIC section.

G452 134
G452

Figure 4-81: Demand and supply for MSIC G452

For MSIC G452 (Figure 4-81), 8,549 are the SKM Level 1-3 graduates, 768 are the DKM
graduates, 22 are the DLKM graduates, 836 are the certificate holder graduates, 112 are the diploma
graduates, and 98 are the degree holder graduates. The forecasted demand of MSIC G452 for the
next five years showed that the total number of 11,291 workforce per year are required. The data
indicated that the current supply is insufficient to cater the forecasted demand for 10,296 technicians
per year. Analysis on the available NOSS indicated that the designed NOSS focuses on technician
category, few on management and operation, and none is directly associated with the 995 sales and
services personnel required per year. Additional programmes are required to equip the prospective
workers with required customer service and sales skills. Nevertheless, same approach as
implemented by the OEMs can be used. Sales and services personnel under MSIC G452 are
recruited from the experienced service technicians. The experiences gained during the servicing
activities or work will be useful during the sales and services activities. However, the additional skill
sets related to the sales and services should learned through other means. The development of
elective subjects related to the sales and services in the MSIC G452 technician-related courses will
also be beneficial to close the gap of the skill sets needed. Providing modular courses related to
sales and services to the current workers will also have additional values.

The data indicated that the big portion of workforce for Aftermarket Industry is also coming
from MSIC G453 section (Figure 4-82). Annually, about 7,552 workforces are required to serve

135

several job functions under this category. However, no technical competency is required as the
section deals only with sales activities without any additional installations or fitting services. From
the finding, it is not necessary to have specific NOSS for Sale of Motor Vehicle Parts and
Accessories. General NOSS associated with the financial and retailing is sufficient to provide the
required competencies. Activities handled by the Sales Representatives are also less complicated
as the procurement are based on standard parts that are requested by a specific workshop with no
service advice required. Different than MSIC G451, the Sales Representatives will be dealing with
less complicated products which do not require substantial explanation of the product specifications.

G453 G453

Figure 4-82: Demand and supply for MSIC G453

Through the data obtained on the satisfaction level of education background, SPM leavers
were found enough to cater the Sales Representative and Sales Assistance positions which cover-
up approximately 6,077 over the 7,552 required positions under this MSIC section. Another 1,475
positions of yearly demand are related to the managerial posts of Sales and Accessories covering
the job functions of Sales Executives up to the Heads of Parts and Accessories After-Sales. The
critical demand was about 316 Accessories Sales Executive that are required to deal with
complexity of managing and maintaining too many product variants. This would be the challenge as
different skill sets are required to handle the job functions should the Sales Executives be upgraded
from the Sales Representative positions. Providing additional competencies through retailing related
SLDN programmes to the current Sales Representatives provides better career prospects. Modular
courses were suggested by some of the respondents to provide additional marketing skills to the

136

industries. Especially for micro-sized companies, digital marketing courses are expected to assist
the industries’ development. Some of the companies can sell their products overseas through online
marketing activities. Comprehensive training on online marketing will ensure the industries to reach
the targeted customer segments, especially to the neighbouring countries. Some of our survey
respondents in Sabah can sell their accessory products to Brunei and some other countries through
website marketing.

G454 G454

Figure 4-83: Demand and supply for MSIC G454

For MSIC G454 section (Figure 4-83), in average only 1,315 graduates with SKM Levels 1-
3 and 9 graduates of certificate holders were produced yearly in the year 2017 to 2019. Over the
next five years, the demand for technician are 2,773 per year while additional 458 per year are
required to cater the demand for Sales and Services for this section. From the total of 2,773 demand
for technicians every year, 2,425 workers are demanded from micro-sized companies and 348
workers are demanded from small-sized companies. This represents huge gaps in supply and
demand to cater the required human capital in the next five years. However, the nature of the
industries should be taken into consideration in determining the gaps between supply and demand
of workforces related to this MSIC section. In most micro-sized companies, majority of the
technicians are SPM leavers. The micro-sized companies typically with workers of less than five are
dealing with standard type of motorcycles. Due to the less complexity of the vehicle system has
made the companies to intentionally hire SPM leavers, certificate holders, as well as the SKM Level

137

1 and SKM Level 2 as their Technicians. Although the data obtained related to the graduates in 2019
showed a significant small in number of the graduates produced, the analysis on the graduates
produced in 2017 and 2018 indicated a high number of graduates produced with the value of more
than 1,100 graduates per year. For bigger sized companies, apart from the standard motorcycles,
they also deal with high-performance motorcycles. Dealing with a more advanced technology
acquires the workers to have better competencies as they are also involved with tuning and
diagnostic activities. This is where the demand for the SKM Level 3 holders is coming from.
Comparing with the average SKM Level 3 graduates produced in the year 2017 to 2019 (29
graduates), the number was significantly lower than the forecasted demand (348 workers required
by small-sized companies). This highlights the requirement to update the current workers’
competencies through the SLDN programmes. To date, 17 companies have registered as the
Accredited Centres for SLDN programmes with about 55 graduates have been produced for the past
three years.

MSIC C293 and MSIC E383 are two promising areas in aftermarket industry for upskilling
programmes and plenty of room to improve. However, the appropriate population for these MSIC
sections is undefined. After doing some field studies, most of industries are confused to define
themselves as remanufacturers, dismantlers for material recovery, or recyclers as they are doing
almost similar activities. As no existing clear standard definition and policy are provided, the process
of gathering the data collection was challenging. Different sets of experts might have provided
different perceptions on the importance of factors and items in the study depending on their business
prominence. As the business are running in grey market, SLDN programmes under TP-033-3:2015
are very likely to be useful for automotive recyclers or automotive part dismantlers to be upgraded
as automotive remanufacturers and also help existing remanufacturers to be equipped with
industrial-ready graduates under the same NOSS. However, there are no graduates produced by
either the MSIC C293 or MSIC E383-related programmes yet.

Table 4-11: Summary of yearly gap between supply and demand until 2025

MSIC JOB POSITION NUMBER OF NUMBER GAP
G451 DEMAND OF SUPPLY
• Customer Service and Dealer Development 295 2696
G452 • Sales and Marketing 2401 0
• Technician 10,296 906
G453 • Sales and Services 995 10,385 7,552
G454 • Part and Accessories Sales 7,552 0 1,907
• Technician 2,773 132
S960 • Sales and Services 458 1,324
• Inspection Operation 132 0

138

4.13 Recommendations and Action Plans

Based on the detail discussion on findings in this chapter, the recommendations and action plan
have been detailed in this section. The recommendations have been summarised in Table 4-12. The
action plan developed is supported by 4 pillars extracted from the JPK Vision: To be a World Class
Leader in the Development of Skilled Human Resources. The detail description of the pillars is
illustrated in Figure 4-84.

Figure 4-84: The pillars for TVET education action plan for Malaysia Automotive Aftermarket

This action plan consists of 40 recommendations as highlighted in Table 4-12. The
recommendations are divided into several key initiatives with the responsible parties and timeline.
These key initiatives are categorised into the four pillars that show their correlation in supporting the
JPK vision. The key initiatives involved are listed as follows:

i. Programme Promotion: Pillar L
ii. NOSS Revision: Pillar D
iii. NOSS Utilisation: Pillar S and Pillar R
iv. Modular Programme: Pillar S and Pillar R
v. Short Course: Pillar S and Pillar R
vi. Remanufacturing Policy Development: Pillar D
vii. Government Initiative Improvement: Pillar D
viii. Aftermarket Industrial Centre of Excellence: Pillar L, Pillar D, Pillar S and Pillar R

139

The timeline of the action plan is divided into short, medium and long term. The short term refers to
the plan that can be executed immediately or in 2021. The medium term refers to the plan that can
be implemented from 2022 to 2023. The long term refers to the plan that can be executed from 2024
to 2025.

Table 4-12: Recommendation for Improvement of TVET Education in Automotive Aftermarket Sector

IMPROVEMENT OF EXISTING AUTOMOTIVE AFTERMARKET TVET PROGRAMMES BASED ON THE
INDUSTRIAL EVALUATION

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

1. G451 Evaluation on the Utilise the following NOSS JPK and MARii Short

current workforce NOSS to certify Utilisation Term

based on education workforces through

background indicates SLDN:

the MSIC G451 i. G451-001-3:2016:
Car Detailing
industries as satisfied Supervision

with SPM leavers that ii. G451-001-2:2016:
Car Detailing
dominating the Operation

industry. Industry iii. TP-304-3:2012:
Automotive
mainly preferred Workshop
Customer Service
experienced workforce

with good interpersonal

skills for the sales job

position.

The NOSS for MSIC iv. TP-312-5:2014:
G451 is available but it Vehicle Sales
has not been used Retail
neither by PB for Management
SLaPB nor SLDN. The
developed NOSS under v. TP-312-4:2014:
this section mainly used Vehicle Sales
for Pengiktirafan Retail
Pencapaian Terdahulu Management
(PPT) only. No
graduate specifically for vi. TP-312-3:2014:
MSIC G451 is Vehicle Sales
produced since 2017. Supervision
(Please refer to Figure
4-71 and Figure 4-72) vii. TP-312-2:2014:
Vehicle Sales
Operation

viii. TP-312-1:2014:
Vehicle Sales &

Supports

140

IMPROVEMENT OF EXISTING AUTOMOTIVE AFTERMARKET TVET PROGRAMMES BASED ON THE
INDUSTRIAL EVALUATION

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

2. G452 Most of the NOSS Include basic sales and NOSS JPK and MARii Short

focuses on technician service skills in the Revision Term

category, while few on following NOSS:

management and

operation, and non is i. G452-001-2:2017
(Commercial Vehicle
directly associated with - Repair Service)

the sales and services ii. G452-002-2:2018
(Light Vehicle -
personnel

Repair Service)

iii. G452-001-3:2017

(Commercial Vehicle

- Troubleshooting

Service)

iv. G452-002-3:2018
(Light Vehicle –

Diagnose Service)

3. G453 Same as MSIC G451, Review NOSS TP-312- NOSS JPK and MARii Short

there are no graduates 1:2014 (Vehicle Sales & Revision Term

specifically for MSIC Supports) to suit this

G453 produced by any NOSS into MSIC G453

institutions since 2017

(Figure 4-71).

Approximately 5% of
the SKM holders that
working under this
MSIC G453 are SKM
graduates of MSIC
G452 programme.

Graduate with basic

understanding of

automotive, majoring in

financial and retailing

are much demanding

under this MSIC

Section.

141

IMPROVEMENT OF EXISTING AUTOMOTIVE AFTERMARKET TVET PROGRAMMES BASED ON THE
INDUSTRIAL EVALUATION

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

4. G454 100% of the employers Promote and utilise the Programme JPK and MARii Short

are satisfied with DKM following NOSS to cater Promotion (SLaPB) Term

and DLKM holder the required personnel

workforce, followed by for this section:

SKM Level 1-3 holder,

which is around 94% i. G454-001-3:2018

(refer Figure 4-68). 6% (Motorcycle -

of the employers’ rate of Diagnose Service)

the SKM Level as fairly

satisfied the industrial ii. G454-001-2:2018
(Motorcycle - Repair
requirement. Service)

Enhancement on

specific skill is required iii. G454-001-1:2018
including computer (Motorcycle -
tuning and diagnostic Maintenance &
activities (refer Figure Service)
4-78). The NOSS

related motorcycle

have been revised in

2018 to satisfy the

tuning and diagnostic

competency

requirement. But no

graduate of the updated

NOSS is produced by

any PB yet. Until 2019,

the graduates are

based on the former

version of NOSS

related to the

Motorcycle Servicing

and Maintenance

(Table 4-10).

5. E383, At present, parts or Promote and increase NOSS JPK and MARii Short

C293 components are sold to graduates for NOSS TP- Utilisation Term

market as used 033-3:2015 (Vehicle

products by automotive Component

recyclers from half-cut Remanufacturing) to

or second-hand vehicle ensure the workforces

142

IMPROVEMENT OF EXISTING AUTOMOTIVE AFTERMARKET TVET PROGRAMMES BASED ON THE

INDUSTRIAL EVALUATION

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

after undergone three for MSIC E383 and C293

steps of processes, practice the industry

namely diagnosing, standard of the 7 steps of

dismantling, and remanufacturing.

cleaning. However, in

standard

remanufacturing

practice, the seven

steps of diagnosing,

dismantle, cleaning,

inspection,

remanufacturing

(remediation),

reassembly and tested

to a standard must be

fulfilled before entering

the consumer market

again.

6. S960 Since 2017, there is no Review the following NOSS JPK, MARii, Medium

graduate produced NOSS to suit in-house Revision and PUSPAKOM Term

specifically for MSIC vehicle examiner NOSS

S960. At present, MSIC certification programme: Utilisation

G452 graduates are i. TP-036-3:2015
eligible to be employed
as the vehicle (Motor Vehicle
examiner, but they
Inspection)

have to join a ii. TP-305-4 (Vehicle

compulsory in-house

vehicle examiner Inspection

certification training Management)

before being accepted iii. TP-305-5 (Vehicle

as a vehicle examiner. Inspection

There is no issue Management)

regarding the

competency of MSIC

G452 graduates to be

the vehicle examiner.

However, the

graduates are barely

143

IMPROVEMENT OF EXISTING AUTOMOTIVE AFTERMARKET TVET PROGRAMMES BASED ON THE

INDUSTRIAL EVALUATION

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

able to satisfy the

prerequisite

achievement of SPM

core subject.

ENHANCEMENT OF TECHNICAL COMPETENCIES AND NEW SKILLS REQUIREMENT

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

7. G451 Vehicle technologies Expand the Sales Advisor Modular JPK and MARii Short-

nowadays have modular programme that Programme term

become products that normally conducted by

require in-depth OEM for micro-sized

explanation since the company

technical features

have becoming more

complex. Customers

8. G451 are more educated Expand the Dealership Short MARii Short-
term
and require answers Short Courses Course

with proper technical Programme that normally

knowledge. conducted by OEM for

micro-sized company
Most of up-skilling

programme related

with Sales of Motor

Vehicles is conducted

in-house by most

OEMs in Malaysia.

However, there is a

lack of training with

certification available

for independent

vehicle dealers and car

detailing companies,

especially for micro-

sized company,

refreshment/ reskilling

training since they are

required to update

workforce with the

latest technology and

144

ENHANCEMENT OF TECHNICAL COMPETENCIES AND NEW SKILLS REQUIREMENT

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

features of new

vehicles.

9. G451 Customers are Expand the MARii Digital Short MARii Short
Term
expecting sales of Marketing Training Course

motor vehicles Programme in MSIC

companies to provide G451 companies

latest information

online; hence, quick

assessment can be

made on cost and

quality of both vehicles

and services (Figure

4-78).

10. G452 Rapid growth of high Offer the NOSS G452- NOSS JPK and MARii Short
Term
technology vehicle 007-3:2019 (Electric and Utilisation

with complicated Hybrid Car Servicing)

system such as NxGV through SLaPB and

require advance SLDN approach.

maintenance and

repair skill sets, which

are lack specially for

the non-OEM

workforce.

NOSS, G452-007-

3:2019 (Electric and

Hybrid Car Servicing),

have been used for

SKM certification

through PPT. But yet,

none of the PB or

SLDN offer the NOSS

for SKM certification

purposes, as stated in

Section 4.10 (no

graduate produced by

any PB).

145

ENHANCEMENT OF TECHNICAL COMPETENCIES AND NEW SKILLS REQUIREMENT

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

11. G452 Based on feedback Utilise the following NOSS JPK and MARii Short
Term
from industry, quite a NOSS for SLaPB and Utilisation

large number of tyre- SLDN:

man in the MSIC G452 i. G452-002-2:2018
aftermarket sector that (Light Vehicle - Repair
lack of standard Service)
training related to
wheel and suspension, ii. G452-002-3:2018
which are required by (Light Vehicle -
the industry. The Diagnose Service)

competency unit is

available in the

updated NOSS (G452-

002-3:2018: Light

Vehicle - Diagnose

Service and G452-

002-2:2018: Light

Vehicle - Repair

Service). However, up

to 2019, no graduates

are produced from any

PB.

12. G453 The e-commerce and Promote and expand Short MARii Short
Course Term
digital platform players MARii Automotive Digital

are replacing the Marketing Training

conventional Programme among

distributor and parts workers in MSIC G453

sales business.

Moreover, customer

expect the sellers to

provide information

online with higher price

transparency for the

products.

13. G454 Several companies Increase number for SKM Programme JPK and MARii Medium

involved with advance student intake for the Promotion (SLaPB) Term

and new technology following NOSS:

such as high

performance and fuel-

146

ENHANCEMENT OF TECHNICAL COMPETENCIES AND NEW SKILLS REQUIREMENT

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

injection motorcycle. i. G454-001-3:2018

Therefore, workers (Motorcycle -

need to have better Diagnose Service)

competency as they

involved with computer ii. G454-001-2:2018

tuning and diagnostic (Motorcycle - Repair

activities. Service)

iii. G454-001-1:2018
(Motorcycle -
Maintenance &
Service)

14. E383, There are more than Increase the promotion of Programme JPK and MARii Short

C293 100 auto parts SKM through PPT for the Promotion Term

suppliers registered following NOSS:

with MAARA.

However, they were i. TP-033-3:2015

confirmed as not (Vehicle Component

proficient or qualified Remanufacturing)

to the level of a ii. E383-001-3:2017
remanufacturer. Only (ELV - Parts &
eight companies are Components
listed by APEC in 2015 Salvage).
as the automotive

remanufacturing

15. E383, companies. Therefore, Increase competent NOSS JPK and MARii Medium

C293 this indicates the lack workforce for the Utilisation Term

of expertise and remanufacturing sector

qualified industrial by increasing SKM
practitioners in the students’ intake through

remanufacturing SLDN programme

sector.

147

IMPROVEMENT OF TVET PROGRAMME TO FULFIL THE JOB POSITIONS AND LEVEL OF SKILLS

REQUIREMENT, BETTER IN SALARY RATE AND PROVIDE NEW JOB OPPORTUNITIES

MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
NO
INITIATIVES AGENCIES
SECTION

16. G451 Good interpersonal skill, Continuously provide Modular JPK and MARii Short
Term
good in communication soft skills training such Programme
Short
skill and talent to as interpersonal and Term

convince the customer communication skills in

posit as high priority Sales Advisor

qualities that seek by Certification

employers (Figure 4-78). Programme (SACP)

However, SPM leavers

17. G451 that covering the largest Continuously provide Short Course MARii

portion of sales advisor soft skills training in

position under this MSIC Dealers

G451 are typically lack of Entrepreneurship

soft skills and low self- Enhancement

esteem. Programme (DEEP).

18. G452 Micro-sized companies Facilitate the micro- Programme MARii Short
Promotion MARii Term
face difficulty to find sized companies
Short
competent technician through business Term

related to maintenance development and

and repair of motor enhancement

vehicles because the programme or

skilled workforce tend to Workshop

move to bigger size Transformation

company that offer Programme (WTP).

better income and Through these

opportunity initiatives, micro-sized

companies will be able

to expand their

business operation and

provide better

opportunity for

competent workforce.

19. G452 Micro-sized company Continuous promotion Programme
are mostly established of MARii Workshop Promotion
by the experience Transformation
technical personnel. Programme (WTP)

148

IMPROVEMENT OF TVET PROGRAMME TO FULFIL THE JOB POSITIONS AND LEVEL OF SKILLS

REQUIREMENT, BETTER IN SALARY RATE AND PROVIDE NEW JOB OPPORTUNITIES

MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
NO
INITIATIVES AGENCIES
SECTION

20. G452 However, the technical Promote SKM through Programme JPK and MARii Short
experience does not PPT method using the Promotion Term
necessarily equip with following NOSS:
the business i. G452-002-4:2017
management knowledge
and skill. Personnel who (After Sales -
become the micro-sized Service Operation)
company manager not ii. G452-002-5:2017
only holding the (After Sales -
technical position as Service
they are also involved Management)

with business

managerial activities.

21. G453 Graduate with basic Review NOSS TP-312- NOSS JPK and MARii Short
1:2014 (Vehicle Sales & Revision Term
understanding of Supports) to suit this
NOSS into MSIC G453
automotive with

majoring in financial and

retailing are much

demanding under this

MSIC Section.

22. G454 Most of the micro-sized Continuous promotion Programme MARii Short
23. G454 Promotion Term
company are operated of MARii Workshop JPK, MARii and
Programme Department of Short
by the technical Transformation Promotion Term
Community
personnel who have Programme. College

experience in sale and Education

maintenance of Promote SKM through
PPT method using the
motorcycles. However, following NOSS:

some may lack of

managerial experience

and knowledge in i. TP-118-4:2015

business management. (Motorcycle

Therefore, these Servicing &

companies could have Management)

unorganised ii. TP-118-5:2015
management that will (Motorcycle
decrease productivity

and cost more time and

149

IMPROVEMENT OF TVET PROGRAMME TO FULFIL THE JOB POSITIONS AND LEVEL OF SKILLS

REQUIREMENT, BETTER IN SALARY RATE AND PROVIDE NEW JOB OPPORTUNITIES

MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
NO
INITIATIVES AGENCIES
SECTION

money. This will hinder Servicing &

the ability of such Management)

company to sustain and

expand the business.

24. E383, At present, parts or The requirement for the Remanufac- MITI and MARii Short
C293 remanufacturing parts turing Policy Term
components are sold to to be inspected and Development
approved by a certified
market as used products body before being
release into the market
by automotive recyclers should be defined in the
remanufacturing policy.
from half-cut or second- This would create new
job opportunities under
hand vehicle after this MSIC C293.

undergone three steps

of diagnosing,

dismantling, and

cleaning processes.

However, in standard

remanufacturing

practice, the seven steps

of diagnosing,

dismantle, cleaning,

inspection,

remanufacturing

(remediation),

reassembly and tested

to a standard must be

fulfilled before entering

the consumer market

again

ACHIEVING THE FORECASTED WORKFORCE DEMAND

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

25. G451 MSIC G451 section Utilise the following NOSS JPK and MARii Medium

requires additional 2,696 NOSS to certify Utilisation Term

workforces annually for workforces through

the next 5 years. SLDN:

150

ACHIEVING THE FORECASTED WORKFORCE DEMAND

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

However, formal i. G451-001-3:2016:

education and training Car Detailing

related to the sales Supervision

activities extremely ii. G451-001-2:2016:

limited. There is no Car Detailing

MSIC G451 graduates Operation

being produced since iii. TP-304-3:2012:

2017 as no PB for Automotive

SLaPB offers the MSIC Workshop

G451 SKM programme. Customer Service

Majority of current iv. TP-312-5:2014:

workforces are the SPM Vehicle Sales

leavers. Retail

Management

v. TP-312-4:2014:

Vehicle Sales

Retail

Management

vi. TP-312-3:2014:

Vehicle Sales

Supervision

vii. TP-312-2:2014:

Vehicle Sales

Operation

viii. TP-312-1:2014:

Vehicle Sales &

Supports

26. G451 Promote SKM Programme JPK and MARii Short
Promotion Term
certification programme

through PPT method as

initiative to increase the

collaboration between

government and

industry players in

enhancing TVET in

Malaysia.

27. G452 MSIC G452 section Include basic sales and NOSS JPK and MARii Short
Term
requires additional 906 service skills in the revision

workforces annually for following NOSS:

151

ACHIEVING THE FORECASTED WORKFORCE DEMAND

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

the next 5 years. i. G452-001-2:2017

Although average yearly (Commercial

produced technician is Vehicle - Repair

insufficient, the gap is Service)

not significant as ii. G452-002-2:2018

compare to the other (Light Vehicle -

MSIC sections (Figure Repair Service)

4-79). Priority should be iii. G452-001-3:2017

given on providing the (Commercial

right competency skill to Vehicle -

the 995 forecasted sales Troubleshooting

and service workforce Service)

under this MSIC G451 iv. G452-002-3:2018

section. As the number (Light Vehicle –

of requirements for sales Diagnose Service)

28. G452 and services personnel Provide additional Modular JPK and MARii Short
Term
comprises only 10% training to enhance Programme

from the total number of sales and services skills

addition workforce through Modular

require for MSIC 452. It Programme to the

is necessary to provide workforce.

only the basic

knowledge of sales and

service in the G452

NOSS.

29. G453 MSIC G453 section Gradually increase the NOSS JPK and MARii Medium

requires additional 7,552 yearly intake for SKM Utilisation Term

workforce annually in the programme related to

next 5 years. However, the updated NOSS TP-

at present, no SKM 312-1:2014 (Vehicle

graduates specifically for Sales & Supports).

MSIC G453 produced by

any PB (Figure 4-82).

SPM leavers covering

the largest portion of

sales personnel under

this MSIC G453. In

152

ACHIEVING THE FORECASTED WORKFORCE DEMAND

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

industrial perspective,

SPM leavers are enough

to fulfil the assistance

and sales representative

job function. However,

better career prospect

could be obtained when

the workforces attain a

level of competency

related to financial and

retailing.

30. G454 MSIC G454 section Should increase 200% Programme JPK and MARii Short-
term
requires additional 3,231 the number of Promotion

workforces annually in graduates for SKM

the next 5 years. As programme related to

compare with the the following NOSS

average supply of 1,324 i. G454-001-3:2018
per year. Additional (Motorcycle -
1,907 workforces are Diagnose Service)
required.
ii. G454-001-2:2018

(Motorcycle -

Repair Service)

iii. G454-001-1:2018

(Motorcycle -

Maintenance &

Service)

31. E383, The standard definition Continuous promotion Programme MARii, SIRIM Short

C293 and policy of ELV parts on MS 2697:2018. Promotion and Department Term

and Components (Awareness and of Standards

Salvage are still unclear promotion programme Malaysia

among the industry actively conducted by

players. Most of them MARii, SIRIM and

are still confused to Department of

define or register the Standards Malaysia)

company in the correct

sector either as

remanufacturer,

153

ACHIEVING THE FORECASTED WORKFORCE DEMAND

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

dismantler for material

recover, or recycler.

32. S960 MSIC S960 section Review the following NOSS JPK, MARii, Medium
Term
requires additional 132 NOSS to suit in-house Revision and PUSPAKOM

workforces annually in vehicle examiner NOSS

the next 5 years. 30% of certification Utilisation

the vehicle inspector programme:

workforces are normally

obtained from MSIC i. TP-036-3:2015

G452 SKM graduates, (Motor Vehicle

and another 70% are Inspection)

obtained from the ii. TP-305-4 (Vehicle

diploma holders. Inspection

Considering only 30% of

the workforce will be Management)

covered by the SKM iii. TP-305-5 (Vehicle
holders, it is significantly Inspection
small to justify the Management)
requirement to have

additional SKM holder and utilise the revised
specific for MSIC S960. NOSS to increase the

graduates

BEST GOVERNANCE PRACTICE RELATED TO COLLABORATION BETWEEN GOVERNMENT AND INDUSTRY

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

33. G451, Limited collaboration Provide special strategic Government MOHR, MITI, Long
Term
G452, between government stimulus package to Initiative Malaysian

G453, and foreign investor in promote technology Improvement Investment

G454, human capital transfer (teaching Development

E383, development in equipment) by providing Authority

C293, Malaysia interesting incentives to (MIDA)

S960 the foreign investor. It is

recommended to

replicate some

interesting incentive

under Skills

Development Promotion

154

BEST GOVERNANCE PRACTICE RELATED TO COLLABORATION BETWEEN GOVERNMENT AND INDUSTRY

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION INITIATIVES AGENCIES

Act that enforced by

Thailand Government

such as import duty

exemption for training

equipment, utility

charges deduction for

company with training

programme and penalty

to company that does

not give training to at

least 50% of the

employees.

34. G451, Less industry Use HRDF fund to Government MOE and Long
HRDF Term
G452, involvement or catalyst the Initiative

G453, exposure in secondary development of new Improvement

G454, TVET education model TVET education model

E383, in Malaysia which is believed to be

C293, beneficial to both local

S960 government and private

industries. It is

recommended to

replicate model of

mentoring programme

for secondary education

(Indonesia secondary

education model) in

Malaysia PIMA

programme for three

MSIC sections including

MSIC G451, MSIC G453

and MSIC G454 (for

micro-sized company)

35. MSIC Most of the industries Increase the Programme MARii Medium
to Long
G451, are not aware with the effectiveness of Promotion
Term
G452, existence of the SLDN promotional activities for

G453, programme SLDN by strengthening

G454, the engagement

E383, between government

155

BEST GOVERNANCE PRACTICE RELATED TO COLLABORATION BETWEEN GOVERNMENT AND INDUSTRY

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION INITIATIVES AGENCIES

C293, and industry through the

S960 Public -Private

Collaborative

Committee. Utilising this

platform to increase the

involvement of

industries with the SLDN

programme.

SLDN PROGRAMME ENHANCEMENT

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION
INITIATIVES AGENCIES

36. G451 Lack of company run Strategic alliance with Programme JPK, MARii and Short

SLDN programme associations related to Promotion, related Term to

related to Sales of sales such as FMCCAM, NOSS Associations Long

Motor Vehicles. From PEKEMA, Car Wash Utilisation, Term

survey feedbacks, Association Malaysia. Aftermarket

majority of the Industrial

companies are not Centre of

aware of the SLDN Excellence

programme and they

37. G451 highlight the difficulty Enhance promotion Programme JPK and MARii Medium

in its implementation strategy for SLDN using Promotion to Long

process. attractive promotional Term

approach such as;

i. Mass Media marketing
style

ii. Trace successful SKM
alumni to be the JPK
ambassador

38. G451 Establish SLDN Aftermarket JPK and MARii Long
Industrial Term
Accredited Centre for Centre of
Excellence
related NOSS under MSIC

G451 facilitate the

implementation of SLDN

156

SLDN PROGRAMME ENHANCEMENT

NO MSIC ISSUE RECOMMENDATION KEY RESPONSIBLE TIMELINE
SECTION INITIATIVES AGENCIES

programme among

independent companies.

39. G452 Micro and small Implement SLDN sharing Aftermarket JPK and MARii Long
industry players have programme, one training Industrial Term
difficulties to certify centre with multiple SLDN Centre of
the workforces companies. Micro and Excellence
through SLDN due to small companies can
the unavailability of register as SLDN
advance equipment companies for certain CU
and high cost involved

40. G454 Based on the Collaborate and expand Programme JPK and MARii Medium
Promotion Term
feedback from the SKM promotion to non-

industry players, Bumiputera micro and

majority of the small-sized companies.

companies, especially

the micro and small-

sized companies

owned by the non-

Bumiputera are not

aware of NOSS

training system or

SLDN programme.

Thus, it highlights the

lack of workforce with

SKM background in

this sector.

KEY INITIATIVES Pillars 2021 2022 2023 2024 2025
L
PROGRAMME PROMOTION SKM Alumni Ambassador

NOSS REVISION Promotion through Mass Media and Social Media

01 NOSS UTILISATION Promote SKM through PPT

02 MODULAR PROGRAMME Workshop Transformation Programme (WTP)
SHORT COURSE Awareness Program on Malaysia Standard (MS 2697:2018), Motor Vehicle Aftermarket – Repair, Reuse,
03 REMANUFACTURING POLICY
04 DEVELOPMENT Recycle, and Remanufacture (4R) of parts and components
05
06 Review MSIC G452
07
08 related NOSS

(G452-001-2/3:2017,

G452-002-2/3:2018)

D Review MSIC G451 Review NOSS TP-036-3:2015, TP-305-4

NOSS and TP-305-5 to suit in-house vehicle

(TP-312-1:2014) examiner certification programme

Review 7 steps of remanufacturing

techniques into TP-033-3:2015

Strategic Partnership

with Association

related to MSIC

S G451 and C293
Up-skilling (Micro-sized company focused) through SLDN (extra focus should be given to MSIC G451, MSIC 452,
R G454, MSIC C293)

Extra focus should be given to promote and utilise G454-001-1/2/3:2018 and G452-007-3:2019 for SLaPB and
SLDN

Utilisation of NOSS TP-312-1:2014 for SLaPB and SLDN

S Sales Advisor Certification Programme Virtual Sales Advisor Certification Programme (SACP)
R (SACP)

Train of Trainer for WTP, SACP, DEEP

S Digital Marketing

R Dealers Entrepreneurship Enhancement Virtual Dealers Entrepreneurship Enhancement Programme (DEEP)
Programme (DEEP)

D Remanufacturing Policy Development

GOVERNMENT INITIATIVE D Provide special stimulus package to attract
IMPROVEMENT foreign investor to provide training

L Strategic Alliances Use HRDF fund for mentoring programme
D at TVET secondary education level
AFTERMARKET INDUSTRIAL CENTRE S
OF EXCELLENCE R Sharing Facilities
Aftermarket Teaching Factory

Establishment of Centralised PB for SLDN

Figure 4-85: 5 years TVET Action Plan for Malaysia Automotive Aftermarket 157

158

In Figure 4-85, the interaction of several initiatives is represented in the timeline schedule throughout
five years of planning. The timeline representation shows the relation between key initiatives,
activities, and their dependency. This action plan provides clear direction to the stakeholders in order
to make significant advances in establishing the automotive aftermarket TVET education ecosystem.
This is aligned with the recommendation provided, which is to fulfil the predetermined industrial
requirements and challenges as highlighted in this study. The recommendations of the action plan
allow for future refinements as the understanding, experience, and evidence evolve over the time.

Apart from NOSS revision and utilisation, programme promotion is an important initiative to
fill in the gaps that exist between supply and demand. Promotion through mass media and social
media should be continuously implemented as communication media between community and
training provider. Former method of promoting SLDN programme based on company focus should
be enhanced by promoting the PPT programmed as initiative to increase the collaboration between
government and industry players. This initiative could provide the short-term impact, which however,
should be continuously implemented throughout the five years planning. Appointing SKM alumni
ambassador is an initiative to provide the better impression in the community towards the TVET
education, especially SKM programme. With the success story provided by the ambassador, the
SKM programmed offered will provide bright future prospect to the graduates.

NOSS revision can be considered as short-term implementation. This can be done as soon
as the critical NOSS are determined. Except for remanufacturing related NOSS, the improvement is
expected to be completed after the remanufacturing of policy’s establishment and enforcement. As
mentioned in Figure 4-85, additional competency units are required to be added to the following
NOSS as shown in Table 4-13.

Table 4-13:Recommended NOSS for revision

No NOSS MSIC Recommendation
1 G452-001-2:2017: G452 Include basic sales and services skills

Commercial Vehicle - Repair G452 Include basic sales and services skills
Service
2 G452-001-3:2017: G452 Include basic sales and services skills
Commercial Vehicle - G452 Include basic sales and services skills
Troubleshooting Service
3 G452-002-2:2018: Light
Vehicle - Repair Service
4 G452-002-3:2018: Light
Vehicle - Diagnose Service

159

No NOSS MSIC Recommendation
5 TP-312-1:2014: Vehicle Sales G451 Include financial and retailing skill

& Supports C293 Review the remanufacturing standard once
6 TP-033-3:2015: Vehicle the remanufacturing policy established

Component Remanufacturing

Some of the NOSS is available but it is not utilised or offered by any PB even there is a demand
from the industry. The NOSS should be utilised either through SLaPB or SLDN. As shown in Figure
4-85, better utilisation of the following NOSS as listed in Table 4-14 are recommended:

Table 4-14:List of NOSS to be utilised

No NOSS MSIC SKM Method

1 G451-001-2:2016: Car Detailing Operation G451 SLDN

2 G451-001-3:2016: Car Detailing Supervision G451 SLDN

3 TP-304-3:2012: Automotive Workshop Customer Service G451 SLDN

4 TP-312-1:2014: Vehicle Sales & Supports G451 SLaPB and SLDN

5 TP-312-2:2014: Vehicle Sales Operation G451 SLDN

6 TP-312-3:2014: Vehicle Sales Supervision G451 SLDN

7 TP-312-4:2014: Vehicle Sales Retail Management G451 SLDN

8 TP-312-5:2014: Vehicle Sales Retail Management G451 SLDN

9 G452-002-3:2018: Light Vehicle – Diagnostic Service G452 SLaPB and SLDN

10 G452-002-4:2017: After Sales - Service Operation G452 SLaPB and SLDN

11 G452-002-5:2017: After Sales - Service Management G452 SLaPB and SLDN

12 G452-007-3:2019: Electric and Hybrid Car Servicing G452 SLaPB and SLDN

13 TP-118-4:2015: Motorcycle Servicing & Management G454 SLaPB and SLDN

14 TP-118-5:2015: Motorcycle Servicing & Management G454 SLaPB and SLDN

15 TP-033-3:2015: Vehicle Component Remanufacturing C293 SLDN

16 E383-001-3:2017: ELV - Parts & Components Salvage E383 SLDN

In some cases, and depending on the current requirement, there is no necessity to utilise the
NOSS by SLaPB. For MSIC G451, at present, majority of the workforces are SPM leavers. And yet,
there is no SKM graduate produced specifically for MSIC G451. Due to some challenges and
emerging technology, SLDN is urgently required to improve the competency of the available
workforce. In this case, a strategic partnership should be developed in 2021 in order to catalyst the
collaboration of the industries to get involved in the related SLDN programme. The same strategy

160

should be implemented for MSIC C293 on developing a quality remanufacturing ecosystem. This is
also important to support the agenda on establishing the remanufacturing policy as described in the
remanufacturing initiatives (Figure 4-85).

Based on the feedback obtained from the industry, some competency can be achieved
through short course programmes. Taking into example of OEM companies, the refreshing
programmes are provided to their dependent workshop. It is expected that the same programmes
could also be implemented into the micro-sized company in order to assist in their company
development. This was regarded as short-term programmed that can be initiated as soon as in year
2021. WTP will assist the micro-sized company on the managerial in providing the right knowledge
related to the workshop management, which has not been obtained from their precious education.
As the population of the micro-sized company is higher than the bigger-sized company, the train of
trainers’ programme should also be implemented to provide wider opportunities in providing the short
courses to the bigger number of the micro-sized company. This can be done parallelly with the short
course programmes.

Remanufacturing policy should be developed to provide clear segregation of MSIC E383 and
MSIC C293. The establishment of the policy would help the industry to determine the suitable skill
set for their operation, which consequently increased the standard of remanufacturing in Malaysia.
Once the policy established, the awareness should be instilled into all related companies. This is
expected to be occurred at the second year of the action plan (2022). The improvement on
government initiatives is required in order to promote foreign technology transfer as well as
determining the development of new TVET education model as described in recommendation
number 33 and number 34.

All the efforts highlighted in the previous 8 initiatives are the strong foundations to the long-
term goal of this action plan, which is to develop the Aftermarket Industrial Centre of Excellence.
This initiative covers all the pillars (Pillar L, Pillar D, Pillar S and Pillar R). Strategic alliances for the
centre development should be determined at the early stage starting from 2021 until 2023, parallelly
with the implementation of the scheduled activities of other initiatives. Supported by the policy and
act developed, sharing advance facilities programmes are expected to be initiated in 2023 until the
Centre of Excellence is fully established. Together with the availability of updated NOSS and relevant
short courses, the centre would act as the centralised PB for SLDN. programme of micro-sized
company.

Table 4-15 shows the summary of the action plan development goals. It can be described
into short-term goal, medium-term goal, and long-term goal.

161

Table 4-15: Summary of action plan development goal

SHORT TERM GOAL MEDIUM TERM GOAL LONG TERM GOAL

Provide up-to-date NOSS to Establish strategic alliances Provide One-Stop Centre for
meet the Automotive for ICOE Development. micro-sized company for
Aftermarket industry needs upskilling and re-skilling of
micro-sized company
workforces

Establish partnership with Strong remanufacturing Improve the community
Association to promote SLDN ecosystem through policy perception towards TVET
and modular courses for establishment and education through TVET
every MSIC section remanufacturing NOSS alumni role model (SKM
revision (MSIC C293) Alumni ambassador)

Improve competency of Improve competency of Improve government policy to
Automotive Aftermarket Automotive Aftermarket promote foreign technology
industry workforce through Industry Workforce through transfer and to support the
modular courses especially SLDN for every MSIC section TVET skill development in
for MSIC G451, G452, G453 Malaysia
and G454

Promote Digital marketing for Promote updated SKM
MSIC G451 and G453 courses that suit current
industry requirement
especially for every MSIC
section

Improve number of
competence workforces that
suitable for specific MSIC
section through SLaPB
especially for MSIC G453
and G454

Promote virtual modular
courses for MSIC G451 and
G453

162

163

5 CONCLUSION

5.1 Conclusion

The study was carried out to identify the supply and demand gaps of automotive aftermarket industry
subsector. More than 800 companies and institutions participated in the surveys and the data
obtained were used to evaluate the current industry scenario, forecast the demand of workforce, and
evaluate the quality of the human capital produced by the training institutions. The findings of this
study can be summarised as follow.

i. Evaluation of the existing TVET programmes related to the Automotive Aftermarket Industry
offered by various TVET institutions for the year 2017 to 2019

The total number of graduates produced by TVET Institutions related to the Automotive Aftermarket
Industry for all MSIC sections from 2017 to 2019 is 39,391, where 31,966 are graduated from JPK
SLaPB and SLDN programmes, while 7,425 are graduated from MQA accredited institutions.
Regarding the feedback from industries for MSIC G451 and G453, the education background is not
the priority to be in sales job position, while experiences and interpersonal skills are more recognised
by the employer. For MSIC G452, the employers recognised workforce with skilled background as
having the very satisfying performance where most of the employers are satisfied with the work
performance of workforce with SKM Level 1-3, DKM, and DLKM certificates. For MSIC G454,
employers are mostly satisfied with workforce with technical skill background, where 100% of the
employers are satisfied with DKM holder, and 94% satisfied with SKM Level 1-3 holder. For DLKM
holders, feedback from industries shows that workforces with DLKM holders have the highest
percentage for very satisfying performance as compared to other education background. The same
trend is shown for MSIC C293 and E383 section, even though number of companies related in both
sections are significantly smaller compare to other sections, where the workforce with skill
certificates especially DKM and DLKM background produced satisfying work performance.
Meanwhile, for MSIC S960, only workforce with SKM level 1-3, diploma and degree are evaluated.
This is because only those with SKM, diploma or degree are accepted to be the workforce in this
section. SKM and diploma holders are accepted for vehicle examiner position in this section while
degree holders are accepted to become administrator and supporting staff in the company. Overall,
70% of the vehicle examiners are coming from diploma holder while 30% are among the SKM Level
3 holder. From the study, it is found that more diploma holders are accepted in this section because

164

some of SKM holder did not meet the minimum requirement (at least passed four SPM subjects with
credits).

ii. Industry demands for TVET workforce in terms of technical competencies, adaptation of
advanced technologies in the industry, and new skills required in line with industry needs

In automotive aftermarket section that focused on Sales & Marketing such as MSIC G451 and MSIC
G453, higher education background is not the main criteria to be hired because the good
interpersonal skills and talent to convince the customer are more valued by the company. Formal
education and training related to the sales activities are limited in G451 and G453 sections. Modular
type of training is found to be suitable and preferable by the companies in these MSIC sections. The
competencies and adaptation of advanced technologies in the aftermarket industry are different for
each sub-sector. Based on the feedback from the industries, due to the rapid development of the
automotive technology, training that able to provide practical knowledge related to the latest and
advanced technology are currently in demand to ensure the company stay competitive in the market.
Virtual marketing becoming more important especially for G453 companies in selling the motor
vehicle parts and accessories. Diagnostic skill training is also important for the current workforce
especially for those who involve with the modern and luxury vehicles maintenance.

iii. Supply and demand of the Automotive Aftermarket workforce in term of job positions, level of
skills required, the salary rate, and new job opportunities.

The job position which is critically undersupply is the part and accessories sales personnel where
additional 7,552 graduates are required to fulfil this position yearly until 2025. The skills required to
become the competent sales personnel is mainly on the soft skills, and this is the main attributes
prioritised by employers in MSIC G451 and G453 sections. Technician position in MSIC G452 and
G454 are highly in demand, but the supply is sufficient, especially in MSIC G452 section. The level
of skills required to fit into this position is minimum SKM Level 3. However, around 20% to 30% of
industry players especially the medium-sized companies require higher competency levels on
diagnostic, dyno and tuning skills to service and maintain more advance technology vehicles. There
are differences in the salary rate between the SKM and Non-SKM holders for the entry positions
such as technician and sales representative positions (except for MSIC G452), where in average the
SKM holders gain 5% higher salary compared to the Non-SKM holders. Initial basic salary for the
entry position ranges from RM1,100 to RM1,200, except for the vehicle examiners in MSIC S960
section, where the minimum salary for this position is RM1,400. In comparison, the is no salary

165

differences between SKM and Non-SKM backgrounds for managerial position since the experiences
are the main criteria to hold such positions.

iv. Projection of the skilled workforce demand for the next 5 years covering the Industry 4.0 skills.

The required workforce for the automotive aftermarket industry up to the year 2025 is projected to
be 124,511 (24,902 per year) workforces while the average of graduates produced between the year
2017 to 2019 is 11,709 graduates per year. This indicates that there is a shortage of 13,193
workforces required to be filled every year. In particular, the additional of 2,696 workforces for MSIC
G451, 906 workforces for MSIC G452, 7,552 workforces for MSIC G453 and 1,907 workforces for
MSIC G454 are needed to meet the demand. Therefore, the current supply for every MSIC section
is insufficient to cater the demand for the next five years.

The inadequacy of workforce supply is largely due to the lack of graduates specifically from
MSIC G451, G453 and G454 sections’ programmes. While the most workforce shortage are in the
MSIC G451 and G453 sections, the job position especially the sales executives and representatives
job position can be fulfilled with the graduates that have a good communication soft skill and
proficient in Industry 4.0 skills such as digital marketing, e-commerce and cloud data storage. MSIC
G454 section requires almost 144% additional workforce every year especially for the technician
position. The number workforces supply for MSIC G452 section is almost reaching the forecasted
workforce, as it requires only 8% additional workforce every year. Similar with MSIC G454 section,
the shortage of job position in MSIC G452 section is the technician related position. Most of
employers in MSIC G452 and G454 sections emphasise technical knowledge on advanced vehicle
systems. This is related to the aim of NAP 2020 on the growth of NxGVs and MaaS, where the
technical skills in the field of AI, big data analysis, and IoT are essential for the advanced vehicle
system. Thus, the technician equipped with these Industry 4.0 skills will be the employers’ priority in
the next five years.

v. The best governance practice related to the collaboration between the government and industry
from the benchmarking with Germany, Indonesia and Thailand

The benchmarks with Germany, Indonesia and Thailand found several governance practices that
are useful to be the role models to improve government-industry collaboration and TVET education
programme in Malaysia. The duty exemption for equipment brought into the country for training
purposes and utility charges reduction for companies in providing the training as applied by Thailand

166

government is the best way to attract local and foreign companies to invest in human capital
development. Mentoring programme by the industry at secondary level education in Indonesia can
be followed in Malaysia in a way to produce industrial-ready workforce for sales operation of MSIC
G451 and MSIC G453 sections’ companies and MSIC G454 section micro-sized company. Public-
private collaborative committees can be used as a platform to increase and strengthen the SLDN
programme in Malaysia, similar with the practice done by Thailand. To ensure the safety and good
management in the aftermarket sector, Malaysia can follow the Germany policy where special
qualifications for safety and management are required to establish the automotive aftermarket
company. The training for such qualification can be enforced through TVET training programmes in
Malaysia.

vi. Action plans and recommendations to enhance current TVET programmes to reduce the gap
between supply and workforce demand

In order to overcome the undersupply of the workforce and meet the skills in line with the industry
requirement, the five years’ time-frame action plan has been outlined in the recommendation. The
action plan has been clustered into several key initiatives to ensure the plan is in line with the JPK
vision while providing a clear overview on how to enhance the TVET programmes.

vii. Recommendations to improve the implementation of SLDN programmes and increase
participants from the industry to collaborate with the certified training centres in Malaysia

Several recommendations also have been proposed to improve the SLDN implementation and to
increase the industry participations. One of the recommendations is to form a strategic alliance with
aftermarket associations and develop one training centre with multiple SLDN companies to support
the micro and small-sized companies who are interested to join the SLDN. Promotion of SLDN can
be improved using attractive promotional approaches such as through Mass Media marketing, TVET
celebrity icon or appoint successful SKM alumni to be the JPK ambassadors. The promotion should
be extended to non-Bumiputera micro and small-sized companies since they are the majority of
automotive aftermarket employers.

167

5.2 Recommendation for Future Study

1. Throughout the research, 40 recommendations have been provided, including the effort to
improve some NOSS to meet industrial needs. From the analysis, it was found that 84 NOSS
have been developed for Automotive Aftermarket industry. However, the data of the TVET
graduates produced from 2017 to 2019 shows that only 41 NOSS are being utilised by SLaPB
and SLDN programmes (The situation is summarised in the Appendix A). It is recommended
for future study to further explore the status of the non-utilised NOSS.

2. Modular programmes have been developed to help the current workforce to meet emerging
demand and challenges. In some country like Singapore, the modular courses have been
structured into three different terms: short-term, middle-term, and long-term. It is
recommended to explore the differences between different term available and the
advantages in comparison to the formal TVET programme offered by the institution.

3. Emerging and drastic changes in technology related to the automotive caused different
workforce skills and competency requirement. However, this requirement can only be
achieved through the use of the right NOSS and training facilities. It is recommended to
further explore our national training capability, including the current stage of automotive
aftermarket training facilities as well as the skill competency level of the trainers and
instructors.

4. As mentioned in limitation of the research section, conflicts exist between industrial
practitioners on the definitions of MSIC C293 and MSIC E383. Non-existent standards for
this section have caused difficulty to define appropriate population. Hence, it is recommended
to reanalyse supply and demand specifically for MSIC C293 and E383 once the
remanufacturing policy has been well established.

168

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APPENDIX A:

CURRENT STATUS OF AUTOMOTIVE AFTERMARKET NOSS

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