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RTO Update January 2007

The Australian Quality Training Framework (AQTF) has been revised, and from 1 July 2007 RTOs will benefit from the improvements of its successor, AQTF 2007. Outcomes-focussed audits will allow RTOs to focus more on the quality of the outcomes of their training and assessment, which in turn will give industry greater confidence in the outcomes of training. The new arrangements encourage greater participation of licensing and industry regulatory bodies in ensuring the quality of training, and will also achieve greater national consistency through new standards for State and Territory registering bodies.

An overview of the system

AQTF 2007 focuses on the quality of skill outcomes, builds a stronger focus on continuous improvement and risk management, and gives RTOs an option for recognition of higher levels of achievement. These changes meet industry expectations and contemporary quality and business management models. The new quality framework builds on the existing AQTF Standards and encourages RTOs to focus on their core business of training and assessment. AQTF 2007 provides a quality continuum for RTOs with Essential Standards for Registration as well as Excellence Criteria providing a framework for continuous improvement of their business operation and training outcomes. The framework will be introduced progressively, with audit against the Essential Standards for Registration commencing from 1 July 2007 and assessment against the Excellence Criteria commencing from 1 January 2008.

The Essential Standards for Registration

The Essential Standards for Registration within AQTF 2007 will apply to all organisations seeking to be registered training organisations. The three components of the Essential Standards for Registration comprise:

  • conditions of registration
  • standards
  • outcomes measures.

Conditions of registration
The conditions of registration are based on the existing AQTF Standards and address the “non-negotiables” of operating a training organisation, such as having necessary insurance, complying with legislation and obtaining certification of accounts, as well as areas particular to RTO operation including the issuing of qualifications, national recognition and ethical marketing.

Under AQTF 2007 the RTO CEO will be required to sign a contract by 1 July 2007 agreeing to adhere to the conditions of registration.

Standards
There are three standards covering RTO business areas that most impact on the quality of training outcomes - training and assessment, client services and management systems. Each standard contains a number of elements that further describe the expectations of that standard, with the focus being on outcomes. Rather than prescribing in detail how an RTO should operate, the elements specify the outcomes expected from RTOs for each standard. This gives RTOs greater flexibility to demonstrate how their approach complies with the standards, best meets the needs of their clients, and suits the scope and scale of their operations.

Outcomes measures
Quality outcomes matter to both RTOs and the national VET system. The activities that RTOs already implement as good business practice in collecting data to monitor and improve their operations will be formalised under AQTF 2007. The collection and reporting of data against a small number of agreed outcomes measures for the purposes of reporting to the state registration body and for continuous improvement by RTOs will commence nationally from 1 July 2007. These measures will strengthen the validity of registration and audit and build industry confidence in the outcomes of VET.

A new approach to auditing
Under AQTF 2007, auditing will be more outcomes-based and will incorporate a strong focus on continuous improvement. At the essential registration level, this will give RTO personnel the opportunity to showcase why they train and assess in the way they do, and how they monitor and improve their approaches to ensure that they continue to provide quality outcomes for their clients. If an RTOs outcomes are satisfactory the audit will focus much more on the quality of training and assessment and much less on process and inputs.

There will be a stronger role for industry and industry regulators in the new auditing arrangements, to give them greater confidence in the quality of the training outcomes being delivered by RTOs, particularly in occupational licensing areas.

Auditing will be carried out in accordance with a risk management model that will consider many facets of an RTO’s operation, including the quality of outcomes as measured against the new outcomes measures. The risk management model will help to determine the frequency and scope of the auditing of individual RTOs. It will result in a streamlined approach to regulation in VET.

The Excellence Criteria

The Excellence Criteria of AQTF 2007 build on the Essential Standards for Registration and will provide a new opportunity for high-performing RTOs to seek recognition, on a voluntary basis, for the quality of their operation and outcomes. The Excellence Criteria are based on internationally recognised business quality criteria customised to meet the needs of the Australian VET sector.

RTOs will be able to apply to be assessed for recognition against the Excellence Criteria from 1 January 2008. This process will be administered separately to the Essential Standards for Registration and assessment will be focused on the RTO’s commitment to continuous improvement within its operations.

Organisations operating at this level would be expected to set themselves additional performance measures to the national outcomes measures applying to the Essential Standards for Registration.

Standards for Registering Bodies

The Standards for Registering Bodies describe the way that states and territories carry out registration and audits. These standards have also been revised to provide new ways for regulating training providers through outcomes-based standards and auditing. The new arrangements strengthen national consistency and engage in registration and audit process those industry regulatory bodies that use certification from the VET sector for occupational and industry licensing.

Between now and July 2007 …

Information will be released as final details of the revised arrangements are confirmed. A series of information sessions will be held across Australia during February and March 2007, and publications providing clear guidance for all stakeholders will be distributed in April 2007.

There will also be a further opportunity for RTOs and other stakeholders to comment on AQTF 2007. RTOs can keep up to date with the latest information by visiting their respective State or Territory VET website.

It is not necessary for RTOs to overhaul their systems to meet the new standards. As they are built on the current AQTF, RTOs can continue to use AQTF compliant systems if they are suited to their operations. There will, however, need to be a strong focus on the part of all RTOs to continually improving the quality of training outcomes for industry and learners.

the following information is required for metadata purposes, please ignore. [title]RTO Update January 2007[/title] [summary]

The Australian Quality Training Framework (AQTF) has been revised, and from 1 July 2007 RTOs will benefit from the improvements of its successor, AQTF 2007. Outcomes-focussed audits will allow RTOs to focus more on the quality of the outcomes of their training and assessment, which in turn will give industry greater confidence in the outcomes of training. The new arrangements encourage greater participation of licensing and industry regulatory bodies in ensuring the quality of training, and will also achieve greater national consistency through new standards for State and Territory registering bodies.

An overview of the system

AQTF 2007 focuses on the quality of skill outcomes, builds a stronger focus on continuous improvement and risk management, and gives RTOs an option for recognition of higher levels of achievement. These changes meet industry expectations and contemporary quality and business management models. The new quality framework builds on the existing AQTF Standards and encourages RTOs to focus on their core business of training and assessment. AQTF 2007 provides a quality continuum for RTOs with Essential Standards for Registration as well as Excellence Criteria providing a framework for continuous improvement of their business operation and training outcomes. The framework will be introduced progressively, with audit against the Essential Standards for Registration commencing from 1 July 2007 and assessment against the Excellence Criteria commencing from 1 January 2008.

The Essential Standards for Registration

The Essential Standards for Registration within AQTF 2007 will apply to all organisations seeking to be registered training organisations. The three components of the Essential Standards for Registration comprise:

  • conditions of registration
  • standards
  • outcomes measures.

Conditions of registration
The conditions of registration are based on the existing AQTF Standards and address the “non-negotiables” of operating a training organisation, such as having necessary insurance, complying with legislation and obtaining certification of accounts, as well as areas particular to RTO operation including the issuing of qualifications, national recognition and ethical marketing.

Under AQTF 2007 the RTO CEO will be required to sign a contract by 1 July 2007 agreeing to adhere to the conditions of registration.

Standards
There are three standards covering RTO business areas that most impact on the quality of training outcomes - training and assessment, client services and management systems. Each standard contains a number of elements that further describe the expectations of that standard, with the focus being on outcomes. Rather than prescribing in detail how an RTO should operate, the elements specify the outcomes expected from RTOs for each standard. This gives RTOs greater flexibility to demonstrate how their approach complies with the standards, best meets the needs of their clients, and suits the scope and scale of their operations.

Outcomes measures
Quality outcomes matter to both RTOs and the national VET system. The activities that RTOs already implement as good business practice in collecting data to monitor and improve their operations will be formalised under AQTF 2007. The collection and reporting of data against a small number of agreed outcomes measures for the purposes of reporting to the state registration body and for continuous improvement by RTOs will commence nationally from 1 July 2007. These measures will strengthen the validity of registration and audit and build industry confidence in the outcomes of VET.

A new approach to auditing
Under AQTF 2007, auditing will be more outcomes-based and will incorporate a strong focus on continuous improvement. At the essential registration level, this will give RTO personnel the opportunity to showcase why they train and assess in the way they do, and how they monitor and improve their approaches to ensure that they continue to provide quality outcomes for their clients. If an RTOs outcomes are satisfactory the audit will focus much more on the quality of training and assessment and much less on process and inputs.

There will be a stronger role for industry and industry regulators in the new auditing arrangements, to give them greater confidence in the quality of the training outcomes being delivered by RTOs, particularly in occupational licensing areas.

Auditing will be carried out in accordance with a risk management model that will consider many facets of an RTO’s operation, including the quality of outcomes as measured against the new outcomes measures. The risk management model will help to determine the frequency and scope of the auditing of individual RTOs. It will result in a streamlined approach to regulation in VET.

The Excellence Criteria

The Excellence Criteria of AQTF 2007 build on the Essential Standards for Registration and will provide a new opportunity for high-performing RTOs to seek recognition, on a voluntary basis, for the quality of their operation and outcomes. The Excellence Criteria are based on internationally recognised business quality criteria customised to meet the needs of the Australian VET sector.

RTOs will be able to apply to be assessed for recognition against the Excellence Criteria from 1 January 2008. This process will be administered separately to the Essential Standards for Registration and assessment will be focused on the RTO’s commitment to continuous improvement within its operations.

Organisations operating at this level would be expected to set themselves additional performance measures to the national outcomes measures applying to the Essential Standards for Registration.

Standards for Registering Bodies

The Standards for Registering Bodies describe the way that states and territories carry out registration and audits. These standards have also been revised to provide new ways for regulating training providers through outcomes-based standards and auditing. The new arrangements strengthen national consistency and engage in registration and audit process those industry regulatory bodies that use certification from the VET sector for occupational and industry licensing.

Between now and July 2007 …

Information will be released as final details of the revised arrangements are confirmed. A series of information sessions will be held across Australia during February and March 2007, and publications providing clear guidance for all stakeholders will be distributed in April 2007.

There will also be a further opportunity for RTOs and other stakeholders to comment on AQTF 2007. RTOs can keep up to date with the latest information by visiting their respective State or Territory VET website.

It is not necessary for RTOs to overhaul their systems to meet the new standards. As they are built on the current AQTF, RTOs can continue to use AQTF compliant systems if they are suited to their operations. There will, however, need to be a strong focus on the part of all RTOs to continually improving the quality of training outcomes for industry and learners.

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