PSYCHOLOGY AND EDUCATION (2020) 57(9): 3068-3076 ISSN:00333077

The Existence and Readiness of Vocational Higher Education in Indonesia in

Encountering the ASEAN Economic Community (AEC)
Agus Siahaya1
1
Ambon State of Polytechnic, Ambon, Maluku, Indonesia

ABSTRACT:
The world of vocational education in Indonesia determines the success and future of ASEAN economic community (AEC) program.
This research aims to find out and explore how vocational education develops in Indonesia encountering challenges in the ASEAN
economic era and how vocational education applies rules and policies in determining the future of the Indonesian nation and
ASEAN globally. This research is a qualitatively descriptive study using interview methods through webinar and review of several
sources or references in the form of articles, books, online and offline opinion news related to research issues. This study proves that
the strategic policy of vocational education in encountering ASEAN economic community era is needed particularly in terms of
the ability of human resources to match the market or education industry in Indonesia and ASEAN globally.

Keywords
Education, Vocational, Community, Economy, ASEAN
Article Received: 18 October 2020, Revised: 3 November 2020, Accepted: 24 December 2020

and political stability fields, Indonesia is in the

1. Introduction sixth rank after Singapore, Malaysia, Brunei,
The ASEAN Economic Community (AEC), Thailand, and the Philippines, with a score of
which has been implemented since December 38.61 (Tiro. id, 2019).
2015, is an opportunity for the Indonesian people Indonesia needs to upgrade the quality of
and Southeast Asia countries to stimulate education to improve human resources’
economic growth. Flexible trade will boost competitiveness because the human resources’
Indonesia's GDP where exports increase, skills depend on their education. Moreover, the
investment enhances and human resources education budget in Indonesia increases every
develop. Regarding human resources, the AEC year so that Indonesia can develop in the
has opened up great opportunities for job seekers education sector and compete with other ASEAN
in the world because of the large number of job countries considering that the quality of education
opportunities as needed. Job seekers in Indonesia in Indonesia remains low. Education index data
may freely leave the country in search of work. for 2017 showed that Indonesia was in the seventh
The AEC also impacts the education sector where rank in ASEAN with a score of 0.622.
the Indonesian human resources’ competitiveness, The position of Indonesia in education is shown
especially in education, is still low compared to by the following figure:
other ASEAN countries. Based on data from the
2019 Global Talent Competitiveness Index (GTCI)
measuring the growth of ASEAN countries in
economy, politics, technology, education, gender
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very high level of readiness, challenges, and

perceptions of education and teaching from the
outside world (Amin, et al., 2017). This shows that
human resources will greatly contribute to the
implementation of the ASEAN economic
community (AEC) through education. In contrast
to the research of Amin, et al., the results of
research conducted by Lawitta et al. (2017) with
the object of research, namely Vocational High
Schools in Indonesia, proved that Indonesian
people, especially human resources graduating
from vocational education, are not ready to face the
Source; Tirto. id, 2019.
ASEAN economic community era due to low
educational competitiveness and lack of English
Based on the above data, Indonesia has to language skills English. This indicates that
improve human resources through education. Indonesia has not been able to prepare human
Some significant aspects of education that must be resources through vocational education. This
of concern to Indonesia are higher education research is also supported by the results of research
(universities), vocational education, literacy, the carried out by Sutrisno (2013) showing that 52% of
number of researches and the number of vocational graduates were not absorbed in the work
industry so that the Indonesian human resources’
researchers. The more these aspects of education
competitiveness is also low so that they cannot
increase, Indonesian education will escalate as
compete in ASEAN and internationally
well. (Nurmalasari, 2017).
One of the significant aspects of education is
The inconsistency of previous studies has
vocational education. Vocational education is a
become a benchmark for this research to better
formal education greatly determining the
development of human resources’ skills view, analyse, and more deeply explore the
(Nurmalasari, 2017). Vocational education is a conditions of vocational education in Indonesia in
formal way to provide human resources with encountering the ASEAN economic community
various skills so that the percentage of the (AEC). This study aims to determine how the
practicum is greater than theories. Human existence and readiness of vocational education in
resources are best prepared to penetrate the world responding to the challenges of the ASEAN
of work. This shows that vocational education is
Economic Community (AEC) which is currently
the right path of formal education in producing
human resources who are competent in their fields running. This research focuses more on vocational
(Calhoun and Finch, 1982). In the implementation higher education or Polytechnic to answer these
of the ASEAN economic community, the challenges.
vocational education sector is also an industry
having a high selling value not only in ASEAN but 2. Literature Review
also in other countries in Europe and America. 2.1. Vocational Education and Independent
Vocational education students in Indonesia have a Vocational Program
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the absorption of vocational education graduates

Vocational education is higher education that by the Business and Industrial World. The
focuses more on applied education intending to be students of Diploma 3 (D3), through this
able to meet the work industry with the independent vocational program, will become
competencies obtained. Vocational education applied graduates not only as Diploma 3 but they
maximizes practice through diploma (D1) to can continue education to the Diploma 4 (D4). For
diploma 4 (D4) programs. Vocational higher that purpose, vocational higher education can
education in Indonesia is organized by propose an increase in the study program to the
Polytechnics, high schools, academies, and applied bachelor's level as long as other than
institutes. Vocational education has been applied accreditation B; the study program has become a
since 1963 and since then the government has partner of a reputable Business and Industry
authorized and expanded vocational education to World. This collaboration and partnership
provide students training to enter the world of encourage vocational higher education for applied
work (Teach-nology.com). According to Rojewski, undergraduates to have a more international vision
in the United States in the early 1900s, there was a where vocational colleges (Polytechnics) in
debate about vocational training in general Indonesia also have access to collaborating with
education. Two historical figures disagreed with campuses in other countries so the Indonesian
each other, namely Charles Prosser and John Diploma 4 (D4) graduates can go abroad for work.
Dewey. Vocational education is developed by This independent vocational program also
taking into account economic sector studies, provides options for vocational campuses in
economic development policy studies, and Indonesia to choose whether they want to stay
manpower empowerment studies. Economic with the Diploma 3 (D3) level or upgrade to the
development greatly gives an effect on the content applied undergraduate (D4) level. If the campus or
and direction of vocational/vocational education study program still wants to be in the D3 level, the
curricula and programs. Business and market campus can select the option not to upgrade. This
globalization has resulted in a substantial increase does not mean that Diploma 3 graduates will not
and competition for skilled labour and have job prospects but they will still receive a
high-quality goods (Rojewski, J.W., 2009; portion in the business and industry world
Pavlova, M., 2009 in Kurniawan, 2018). (Kemendikbud.go.id).
Vocational education is also included in the
independent vocational program initiated by the 2.2 ASEAN Economic Community
Ministry of Education and Culture through the Since the enactment of the ASEAN economic
Directorate General of Vocational Education. This community in 2015, there has been an increase in
independent program emerged during a pandemic business expectations in ASEAN countries which
situation because education becomes one of the also impact their policies on developing future
centres of issues in Indonesia recently. This ASEAN business strategies. The ASEAN
independent vocational program aims to realize economic community opens up great opportunities
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and chances for ASEAN countries to do business 3. Methodology

freely and improve human resources of ASEAN This study is an exploratory and explanatory
countries so that they can expand and add skills by qualitative research in which the research issues
manoeuvring in other ASEAN countries. However, are discussed based on the results of online
the manoeuvre should remain in the structure, questions and answers through webinars
vision and missions of the ASEAN economic discussing the theme of vocational education and
community is defined in four pillars. The four secondary data supporting to confirm the webinar
pillars of the ASEAN economic community are speakers’ answers. The data sources used were
shown in the following figure: several books, book chapters, journals or articles,
web pages, magazines or online newspapers and
the results of conferences or public discussions
1. The single market and 3. Competitive
economic Region related to research issues. The method used was
production base the online discussion method, namely through
webinars discussing the theme of vocational
education in Indonesia and reviews of several
Four Pillars of the
ASEAN Economic references on the phenomenon of vocational
Community education and the ASEAN economic community.
The research informants were three speakers of
2. Equitable economic 4. Integration in the vocational education webinar, namely
Globalized economy
Development representatives of the Ministry of Education and
Source: ASEAN UP, 2019
Culture and the Directorate General of Vocational
Affairs, as well as an official at one of the
Trade and business globally provide many
polytechnics in Indonesia. Researchers asked
benefits for ASEAN countries, such as the
questions in the conversation column, recorded
freedom to invest in various fields of business,
the speakers' answers, adapted and concluded all
including in the field of vocational higher
answers into several essential points explaining
education, where the global industry needs human
the research issues. This online discussion method
resources who are competent in their fields to
through webinars is considered quite effective
contribute in the ASEAN economic community
amid the current pandemic conditions.
era since its implementation in 2015. The ASEAN
economic community is a way for human 4. Results and Discussion
resources to compete and vocational higher 4.1 Phenomena and Issues of Vocational
education must answer these challenges by Higher Education
providing skilled and competent personnel who The researchers summarized the informants’
can compete globally. answers explained online through webinars
discussing the theme of vocational higher
education in Industry in several points. The first

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point was obtained from the first speaker from the school graduates, while workers with tertiary
Ministry of Education and Culture explaining that education graduates were only 13.02% including
vocational education in Indonesia includes the vocational graduates. This phenomenon has
formal school of education vocational high encouraged President Jokowi's government to take
schools, Polytechnics, colleges and institutes. into account to issue a series of policies related to
Industries in Indonesia have not been able to be the revitalization of vocational higher education
absorbed human resources since those industries which can create reliable and competitive human
need reliable and competent human resources. resources.
Currently, Indonesia tends to focus on natural The Jokowi’s government has established a
resource management and seems to ignore the Directorate General of Vocational Education in
aspects of human resources needed to manage the Ministry of Education and Culture in 2019 to
these natural resources. This fact shows that revitalize vocational education in Indonesia. The
Indonesia has slumped in terms of human resource main mission of the Directorate General of
empowerment compared to other ASEAN Vocational Education is transforming vocational
countries, such as Malaysia and Singapore. This is higher education throughout Indonesia. Based on
emphasized by a member of Commission X of the webinar participants’ answers regarding the
legislative, Andreas Pareira stating that high programs of the Directorate General of Vocational
human resources in a country will have a good Education that are being and will be realized,
impact on the country's development process in there are several programs related to
the sense that good human resources indicate a transformation including the vocational house
developed country and no developed country with program, link and match, centre of excellence
unadvanced education (Media Indonesia, 2020) (COE), entrepreneurial students and industry
Advanced education will be able to provide involvement in the preparation of vocational
competent human resources who can compete curriculum. These programs are expected to
with those from other countries in the world. The produce vocational graduates who are competent,
absorption of human resources in the industry is characterized and innovative. For the link and
the responsibility of vocational education and match program, the Directorate General of
vocational higher education. This paper focuses Vocational Education has coordinated with the
more on the absorption of human resources Business and Industry World to be involved in
through vocational higher education, namely synchronizing the vocational curriculum with the
polytechnics, high school,s and institutes spread world of work so that vocational graduates can be
across Indonesia. Data of Central Bureau of ready to use. Besides, vocational higher education
Statistics per February 2020 noted that the also collaborates with the Business and Industry
absorbed workforce was still dominated by World through the involvement of practitioners in
workers with low levels of education. It was lecturing activities of at least 50 hours per study
recorded that of the total 130.03 million workers program each semester (Kompas.com, 2020).
in Indonesia, around 38.89% were elementary Apart from the issues of vocational education
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which are still in the process of transformation, are intended to enable students to assess
Indonesia still has problems in the quality of themselves before entering the world of industry
workforce where the productivity of human and work. The competency test results are in the
resources is still considered low compared to other form of recognition or competency certificates
ASEAN countries; the average wage is uncertain, that vocational graduates can use in applying for
the foreign language skills are still low and the jobs because one of the requirements of the world
unemployment rate is still high (Setyoko, 2015). If of work is that they are required to have a
these conditions continue in the next ten years, competency certificate so that they can
according to the representatives of the Directorate immediately work in the field that has been tested.
General of Vocational Education, the education Polytechnic should also provide English
system in Indonesia and must be revised because language courses for students to penetrate the free
neither higher education nor vocational graduates market of the ASEAN economic community. The
will be able to compete with other countries in lack of foreign language skills should be a
Southeast Asia in terms of intellectual skills, concern of vocational education in entering the
abilities, and technology. Lecturers must be AEC free market because communication is a
prepared themselves to involve and creating significant element in determining the quality of
competence human resource (Hambali,2019). human resources. Vocational graduates will also
encounter the application of digital technology so
4.2 Challenges of Vocational Higher Education that even lecturers and practitioners teaching
in ASEAN Economic Community
courses related to digital technology must be
The Indonesian nation does have abundant
equipped with adequate knowledge in its
natural resources. However, these natural
application. Creative and innovative skills are also
resources must be balanced with human resources
a challenge in which vocational students are
because these natural resources should be
required to create innovations needed by the
managed by people having skills and competent in
industry. According to him, Polytechnics
their fields. The director at one of the state
throughout Indonesia must prepare students with
polytechnics explained that the ASEAN economic
applied science through entrepreneurial mentoring
community should not be considered as a threat
activities, product development, and prospects in
but an opportunity and chance for human
the industrial world. Polytechnics must
resources in Indonesia to prepare and equip
aggressively view their graduates’ potential by
themselves with various skills acquired in
involving students in entrepreneurial student
education, especially vocational higher education.
events so that vocational students will be
Vocational higher education is required to be more
challenged and able to compete both nationally
optimal in preparing human resources to meet the
and globally.
industrial needs in the future. Polytechnic should
also provide competency tests for students based
on their interests or majors. The competency tests
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4.3 The Existence and Readiness of Vocational effort in creating a ready-made workforce. The
Higher Education in Indonesia three speakers provided an example of one of
The three informants (speakers) confirmed and President Jokowi's ultimatums to prepare human
information traced by researchers through articles, resources, namely the appointment and addition of
magazines or online newspapers, books, book the oil and gas study program at the Ambon state
chapters and public discussion reports supported polytechnic where students will be prepared with
that Indonesia is highly ready in encountering the theoretical and practical knowledge to enter the oil
ASEAN economic community. Even though there and gas drilling industry on Masela Island, West
are several obstacles related to human resources, Southeast Maluku, known as the Masela block.
Indonesia is very concerned about realizing This appointment is a great opportunity and
development in all fields. Indonesia views that the responsibility for the Ambon state polytechnic and
ASEAN economic community era has greatly also a challenge for lecturers and students.
stimulated existing human resources to continue Lecturers of this study program are required to
to improve themselves by upgrading the quality of equip themselves with qualified intellectual
human resources. This opportunity is used by abilities so that they can produce graduates who
academics to prepare human resources who are are ready to use in the Masela block project. This
reliable in their fields. The existence of vocational phenomenon breaks the gap that natural resources
education in Indonesia has been proven by the are not balanced with human resources sounded
large number of vocational graduates creating by Commission X of the House of Representatives.
superior products that many other countries are The Polytechnic through the Oil and Gas study
interested in. Until now, according to the three program will synergize with local governments
informants, Indonesia is still in the process of and industry together to prepare ready-made
improving the quality of human resources. workers for the management of the Masela block
Therefore, vocational tertiary education is mega project predicted to start operating in 2026.
expected to maximally attempt through Regarding facilities and infrastructure readiness,
transformation programs launched by the several vocational higher education facilities have
Directorate General of Vocational Education in been highly adapted to the current digital era
creating competent and innovative human where several polytechnic campuses, colleges, and
resources. institutes across Indonesia provide sophisticated
Several programs that have been implemented facilities so that students can directly access these
by vocational education have shown changes in facilities to support the learning process. Related
terms of increasing the skills of vocational to facing ASEAN economic community, the
students in Indonesia. The ability to lead, success of AEC process depends on seriousness of
entrepreneurship, problem-solving and work the implementation in each ASEAN countries
teams are significant points for vocational (Yahiji,et al.,2019)
graduates in encountering the ASEAN economic
community. The Polytechnic has made every
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5. Conclusions several significant points can be explained and

Based on information from various informants concluded through the following figure:
and secondary data sources traced by researchers,

he central issue of
n onesian ocational
E ucation

1. Unhrmonical curriculum
2. Low skilled-teachers and students
3. Less maximal industry involvement
4. Limited supporting facilities and
infrastructure
5. Unreadiness in the competition (AEC)

ransformation of ocational
i her E ucation

1. Harmonization of Vocational Curriculum

2. Update of physical and non-physical
facilities and infrastructure
3. Characteristics of lecturers and graduates
4. Involvement of industry and campus (MOU)
5. The increased absorption of vocational
graduate-workforces

ocational i her E ucation in

the m lementation of ASEAN
Economic Community

1. Freedom to have a business and invest

2. Wider absorption of science and
technology
3. Freedom in improving the quality of
human resources
4. Vocational education as a medium to
produce human resources who are
competent in their fields.
5. More ready vocational human resources
to enter the industrial world

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