Education factor and human resources development

Strategic priorities for socio-economic growth of the Republic of Kazakhstan, associated with the industrial and innovative development, make business education an important resource for the new economy.

In order to properly understand the economic situation, to know and apply into practice the initial, though necessary business concepts, it is preferable to have relevant education. Adapting to new social challenges requires creative approach and innovative ideas that generate meaningful context for contemporary educational paradigm (Anja, 2013) [1]. At the present time, when the Republic of Kazakhstan, like other member countries of the Customs Union, is facing serious economic problems, the business education system should play an important role in helping to meet these challenges. Institutions can and should contribute to economic growth, primarily through the provision of graduate quality training not only for general employment, but to fulfill specific tasks in the employment sector. Significant efforts are focused at creating opportunities for on-the-job training, as well as enhancing the participation of employers in the business education system.

Traditionally, the United States and Western Europe were always considered the most popular environment for business education and subsequent employment. In recent years, the center of global economic growth is clearly shifting towards the Asia-Pacific Region (Filatov et al., 2013) [2].

In a market economy, which was chosen by Kazakhstan more than 20 years ago, entrepreneurship is country’s main driving force, largely depending on the level of business education. Separation of a business education segment from secondary vocational economic education was due to the structural changes and socio-economic transformations, associated with obtaining state sovereignty and economic independence, transition to a new type of economic relations, development of entrepreneurship and private property institution (Malysheva, 2012) [3].

Business education programs are implemented in Kazakhstan since the second half of the 1980s and their popularity in the business environment increases from year to year. This trend was slowed down at the time of the global financial crisis. However, given that the number of business schools in the country for the last five years have not diminished, but rather increased, it is worthwhile to note the growing interest in business education (Zhaitapova, & Satyvaldiyeva, 2012) [5].

At the same time it should be noted that there is the lack of consensus when it comes to the comparative evaluation of the success in business schools development. Proponents of business education point out the rapid growth of business schools, and the popularity of programs developed for students, alumni, and graduate students. Censurers argue that the traditional curriculums at business schools are mostly academic and quite far from practice, thus not helping graduates to develop successfully their business in future (Kurmanov, et al., 2015) [6].

Problems of business education, its role and the results were studied by many foreign and Kazakh scientists. Issues in the field of business education are considered by scholars, such as L. Yevenko (2012) [7], and Yeleussov et al. (2015) [8]. At the same time the problems on business education and its contribution to the Republic of Kazakhstan are studied insufficiently and require further focused attention.

Taking into account the lack of official statistic data on business education in the Republic of Kazakhstan (as well as in other post-Soviet countries) current study has an experimental and evaluative nature. The research methodology is based on the processing of secondary data that makes it possible to conduct a preliminary analysis of the problems.

We used descriptive and conservative approaches, as well as generalization and a retrospective analysis.

Following independence and the beginning of the transition to a democratic society and a market economy, a significant progress has been achieved in reforming of higher education in Kazakhstan; the principles and content of education have been radically changed. The supportive environment was created for the education market formation and development that covered both public and private educational institutions.

Higher education institutions network was created to train staff that meets the needs of a market economy. Besides, new training programs and curriculums were developed and implemented, new specialties were initiated. The main trend in the higher education development was refusal of centralized management in education and the abolition of rigid centralization of higher education institutions. As a result, the private higher education sector has started to work on an equal footing with public universities, which were granted the right to enroll and educate students on a fee-paying basis. This initiative was supported by the Kazakhstan Competition Law.

The most important were efforts that resulted in the recognition of Kazakhstan diplomas abroad and similarly, recognition of foreign certificates and qualifications in the Republic of Kazakhstan. This was facilitated by signing President’s Decree #202-13 (April 11, 1997, Kazakhstan) and the ratification of Convention on the Recognition of Qualifications concerning Higher Education (December 13, 1997, Lisbon).

In 1998, the International Convention, unifying higher education system worldwide, was adopted. The American model with the stages of bachelor degree course, master degree course, and doctorate program was approved as a standard. Now, the countries in Europe and Asia, including the CIS countries, gradually change to this system. An important development line in higher and postgraduate education of the Republic of Kazakhstan is its approach to international standards by joining of domestic undergraduate and postgraduate education to the Bologna Process.

Currently, in the Republic of Kazakhstan a multi-level training model is applied, which includes business education, providing training of specialists for market economy (OECD Bulletin, 2007) [9]. Established educational structure consists of the following education stages:

• higher professional education (bachelor and master degree courses);
• continuing professional education (retraining and advance training);
• business education (international business schools, corporate universities and training centers, training and consultancy companies, business colleges, etc.), which implement a wide range of business education

Bachelor and master degree courses are independent stages in the higher education process [10].

Bachelor’s degree is an academic degree that any university student can get after acquiring

the necessary knowledge in the chosen specialty. This qualification is considered a confirmation that the student has acquired higher education and is well-versed in the chosen specialty.

After receiving a bachelor’s degree, a citizen of the Republic of Kazakhstan has the right to hold certain positions for which one should have a higher professional education. These are primarily the employees of different social and economic spheres (administrators, managers, accountants, etc.).

Numerous professions offered by universities in Kazakhstan provide students wide employment opportunities. Due to the fact that students’ professional training is maximally close to the real practical conditions and is not focused just on narrow specialization, university graduates can change their profession within one year.

Master degree course is the upper stage of higher education. With the right choice of specialization, the student not only increases his motivation to learn, but also enhances the overall performance. In order to be enrolled in a master degree course the student first must have a bachelor's degree or be certified specialist in selected profession. If we take into account the fact that bachelor degree courses emerged not so long ago, most of the graduates willing to be enrolled to master degree courses, are graduate professionals. Besides, adults who want to get second higher education are also trained in the master degree courses.

During the period from 1990 to 2001 the number of higher education institutions, offering management training in the Republic of Kazakhstan, has increased from 55 to 185, i.e. more than 3 times. Since 2000, the total number of higher educational institutions decreases. Indicators showing higher education development in the Republic of Kazakhstan for 1990-2013 are presented in Table 1.

Table 1

Higher education development indicators of the Republic of Kazakhstan for 1990-2013 

Currently, there are 139 higher education institutions in the Republic of Kazakhstan; 50 of them are public universities (including 9 national universities, 1 international university, "Nazarbayev University", 33 public universities, 16 corporatized universities, 66 private universities, and 13 non-civil universities) (Kirichok, 2010) [11] with an enrollment of 571.7 thousand students (excluding graduate and doctoral students).

In conclusion, it should be noted that today's business education market includes strongest players, who have the ability to provide exclusive educational product that has practical significance and is designed for each individual economy sector. Business schools in the Republic of Kazakhstan must be more actively involved in improving the system-related economic and business education. They must govern its legislative and state education policy, improve education towards its internationalization, enhance and deepen cooperation with the business schools worldwide [12].

The measures to ensure further development and improvement of programs in the field of business education include obtaining international accreditation (AMBA, AACSB, and EQUIS) by Kazakh business schools and their participation in world rankings.

Literature:

1. Anja, M. (2013). Identifying key success factors of business education system: Implications for practitioner organizations and school management. European Journal of Business and Management, 5(15), 76-
2. Filatov, S., Sukhorukov, N., & Dudina, T. (2013). Formation of a new vocational education model: An imperative of post-industrial development. Higher Education in Russia, 10, 54-62.
3. Malysheva, L. (2012). Business education in high school: The growing points or non-core business? University Management: practice and analysis, 3, 49-55.
4. Mau, V., & Seferyan, (2007). Business education at the turn of the century: Challenges and development trends. Economic Policy, 4, 35-72.
5. Zhaitapova А., & Satyvaldiyeva А. (2012). The tendencies of development of the management in the education system of the Republic of International Scholarly and Scientific Research & Innovation, 6(11), 643-645.
6. Kurmanov N. et Developing Effective Educational Strategies in Kazakhstan//Mediterranean Journal of Social Sciences. – 2015. – Т. 6. – №. 5. – С. 54.
7. Yevenko, L. (2012). Improving business education under the influence of business and entrepreneurship needs. Creative Economy, 9, 78-83.
8. Yeleussov A., Kurmanov N., Tolysbayev B. Education quality assurance strategy in Kazakhstan //Актуальні проблеми економіки. – 2015. – №. 2. – С. 142-150.
9. OECD and the International Bank for Reconstruction and Development. (2007). Higher Education in Kazakhstan. The World Bank, 17 (222).
10. Kurmanov N. et al. Motivation of employees’ labor activity in oil and gas companies in Kazakhstan //World Applied Sciences Journal. – 2013. – Т. 26. – №. – С. 1556-1561.
11. Kirichok, O. (2013). Assessment of business education performance (the case of the Republic of Kazakhstan). Social Science News, 292-299.
12. Kurmanov N. , Zhumanova B. K., Kirichok O. V. Business-Education in Kazakhstan: Opportunities and Development Strategy //World Applied Sciences Journal. – 2013. – Т. 21. – №. 10. – С. 1495-1501.