Foreword

This inquiry and report come at a time when there is a nascent but promising innovation ecosystem in Australia. Many innovative Australian companies are now recognised on a world stage. It has always been the role of government to support such companies and the research behind their products. In doing so government must make sure that the policies and programs it implements keep up with the times. To that end this report makes 38 recommendations.
The National Innovation and Science and Agenda (NISA) outlined a framework for Australian innovation policy and provides significant national focus and direction in this area. The Committee specifically took this important work by the Australian Government into account when undertaking the inquiry and preparing this report.
In ‘building’ young minds for the world in which they will work and interact it is important that the knowledge foundation from which they will begin their education is solid. Most of this foundation building will begin at primary school at a time when students are, arguably, at their most curious.
This report confirms that the quantity and quality of our university STEM graduates is dependent on the quality of our STEM education in schools. Unfortunately, in some schools, STEM subjects, particularly maths, are not taught by teachers who have a specific proficiency in those subjects. One of the main concerns the Committee has is that participation in STEM education at the secondary school level has declined significantly over the past two decades, particularly for female students and the Committee is equally concerned that Australian students’ mathematical literacy skills have been in general decline.
The Committee views this falling proportion of STEM-capable students along their education journey as a decay curve.
Combatting this decay curve requires STEM subjects to be taught by qualified STEM teachers nationwide. It requires universities sending the right signals to secondary schools and their students via mathematical pre-requisites and the requirement that math be required for an ATAR score.
The Committee believes that a strategy over time to prevent this decay curve is required — because once students are lost from quantitative study they are usually lost forever. The Committee makes recommendations to this end.
This inquiry has looked hard at the intersection between employers and tertiary education, both vocational and the university sector. It has included important evidence from the private sector start-ups and others, who are, in many ways, most exposed to the potential changes for our future workforce. The inquiry had a real focus on how we optimise those opportunities for Australia. The inquiry had the luxury of looking ahead to try to see where the trends are, and have also picked up some deficiencies in the Australian system.
The Committee noted evidence that, apart from a handful of co-located institutions, there were insufficient connections between vocational education, training providers and Universities. The Committee makes recommendations to address issues highlighted by witnesses in this area.
Employers are moving towards a focus on skills and lifelong learning. Therefore employers will look for adaptable graduates who will, through the course of their careers, be able to add value to their employers’ business.
There is clearly a need for higher education students to benefit from more opportunities for relevant work integrated learning. This issue was raised in the context of graduate prerequisites for qualifications in both the VET and university sectors. The Committee makes recommendation designed to increase relevant work integrated learning.
The Committee considered the differences between the Australian start-up ecosystems and those of other developed nations. Despite some of the highest rates of entrepreneurship and start-up activity worldwide, Australian entrepreneurs report difficulty in taking advantage of these favourable conditions to become commercially viable. Small modifications to the National Science and Innovation Strategy (NISA) may address these challenges.
I thank all those who contributed to the inquiry and I thank my fellow Committee members for the enthusiasm and bipartisan commitment they demonstrated in completing this report over two Parliaments.
Andrew Laming MP
Chair

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