OFSTED's view of business education

This article explains the current position of business education within OFSTED, offers a definition of business education and uses inspection evidence to identify current strengths, weaknesses, opportunities and threats.

OFSTED AND BUSINESS EDUCATION

Specialist advisers in OFSTED provide advice on standards and developments in subjects to Her Majesty's Chief Inspector of Schools (HMCI) and other government departments, support the work of other HMI across OFSTED and identify and disseminate findings from inspection activities, including examples of good practice. Specialist advisers form OFSTED's Curriculum, Advice and Inspection Division.

There are 18 HMI located in other divisions in OFSTED who have a specialist interest in business education. About half of them are in OFSTED's Post Compulsory Education Division and spend a considerable proportion of their time inspecting business education in sixth form colleges and colleges of further education. Another HMI has a remit for inspecting teacher education and training for business education. Other HMI currently spend a relatively small proportion of their time inspecting business education.

The bulk of OFSTED's evidence comes from the statutory inspection of schools and colleges. Inspections are carried out in accordance with the inspection frameworks and the subject guidance provided for inspectors. The introduction of full inspections of school sixth forms has greatly enhanced the evidence base on post-16 business education but it remains relatively slim at Key Stage 4.

In 2001-02 business education was reported on in detail in 105 colleges of further education and sixth form colleges, 107 school sixth forms but only in 23 schools at Key Stage 4. Additional evidence comes from focused exercises, such as the one that led to the publication of `Good teaching, effective departments' (OFSTED, 2002), which includes a section on business studies. Exercises in the current academic year involving business education include inspections of the new GCSEs in vocational subjects, the Advanced Vocational Certificate of Education (AVCE), New Opportunities Fund training for ICT and a comparison of vocational education in different countries.

Retrieval from all the available evidence on subjects contributes to HMCI's Annual Report, which also includes a subject annex with a section on economics and business studies. All OFSTED publications, including school and college inspection reports, inspection frameworks and guidance for inspectors, are available through the OFSTED web site www.ofsted.gov.uk.

HOW DOES OFSTED DEFINE `BUSINESS EDUCATION'?

We have defined the term `business education' in OFSTED to be: `the learning process through which young people acquire a knowledge and understanding of the nature and role of business and its organisation, the economic environment in which it operates and the contribution it makes to the creation of wealth and to the satisfaction of human needs and wants. This process also involves the development and application of skills, attitudes, and personal and social qualities for living and working in an industrial society.'

It is a broad definition which encompasses the subjects of economics, business studies and vocational business courses. It includes the cross-curricular theme of economic and business understanding (EBU) which helps young people make sense of their roles as consumers, producers and citizens. It also provides a framework of concepts, knowledge and skills that make a considerable contribution to the development for vocational education, workrelated learning and enterprise education.

WHAT IS THE CURRENT STATE OF BUSINESS EDUCATION?

Strengths

40 The number of pupils taking business courses both at Key Stage 4 and post- 16 remains healthy. There are over 100,000 entries for GCSE business studies, making it one of the largest subjects outside of the national curriculum. There are over 60,000 advanced level entries in economics and business and approximately one in four post-16 students takes a business-related course.

* Examination results and inspection grades for achievement, learning and teaching generally compare well with other subjects in schools and colleges. Very little teaching is judged unsatisfactory overall.

* There is a good match of qualifications to the subjects being taught. A high proportion of teachers, particularly those appointed more recently, have industrial or commercial experience and make good use of this in the classroom. The quality of newly qualified teachers is very high.

* Business education departments are often among the leading departments in schools and colleges in the use of ICT, assessment practice and links with industry.

WEAKNESSES

* A substantial proportion of schools do not have any business education provision below the sixth form, either in terms of optional courses at Key Stage 4 or as a cross-curricular dimension. The proportion of pupils taking business courses at Key Stage 4 has remained more or less static over the past few years and take-up of post-- 16 courses indicates there may be some recent decline.

* Few schools have developed fully coherent business education programmes embracing economic and business understanding for all pupils, specialist courses, work related learning and enterprise capability.

* A significant minority of schools do not see ICT as integral to business education. Similarly, industry links remain under-developed in a substantial number of schools and colleges.

* Aspects of staffing, resources and accommodation in business education are unsatisfactory in one in nine schools at Key Stage 4 and one in seven post-16, with inadequate access to ICT being cited as the most frequent weakness.

* In colleges of further education a substantial proportion of students fail to complete work-based courses in business education and there is a relatively high proportion of unsatisfactory teaching on Level 2 programmes.

OPPORTUNITIES

* There is strong support for business and enterprise education across government departments, from DfES, DTI and Treasury. This is reflected in the commissioning and acceptance of the recommendations of the Howard Davies review `Enterprise and the economy in education' (HM Treasury, 2002)2 by the Treasury, DTI and DfES and the provisional allocation of L60m in 2005/06 to develop enterprise capability in schools.

* The government's proposals for increased flexibility at Key Stage 4, the development of vocational and mixed pathways and work-related learning for all pupils provide substantial opportunities for the development of business education. Take-up of business courses has traditionally been high when it is offered as an option at Key Stage 4 and post-- 16

* The inclusion of business and enterprise in the specialist schools programme is seen by government as a key part of its strategy to raise standards. Eighteen schools have already been designated as specialist business and enterprise colleges. There is considerable interest from schools and the number is likely to increase rapidly in the next few years. Specialist schools receive a one-- off capital grant of L100,000 and recurrent funding of L123 per pupil for four years.

* Citizenship is now part of the national curriculum and the programme of study includes units of work on economic and business understanding. For example, the Key Stage 4 programme of study includes: how the economy functions, including the role of business and financial services; the rights and responsibilities of consumers, employers and employees; the UK's relationships in Europe; the wider issues and challenges of global interdependence and responsibility, including sustainable development.

THREATS

* A shortage of specialist business education teachers. Business studies is not currently designated as a shortage subject but there is evidence that schools are experiencing increasing difficulties in recruiting appropriately qualified teachers In some cases this is leading to schools not replacing business education teachers and reducing their provision. The implementation of government proposals for the 14-19 curriculum and the recommendations of the Howard Davies review are likely to require a substantial increase in business education teachers.

* Past attempts to introduce economic and business understanding for all pupils have largely failed in the past because: (a) it was often expected to be delivered as a cross-curricular theme, which is notoriously difficult to implement in secondary schools (b) many courses were not taught by business education specialists (c) EBU was not assessed or inspected and consequently schools did not see it as a priority. There is a distinct danger that current initiatives will fail for the same reasons if lessons are not learnt from the past.

* Professional associations and LEA adviser networks supporting business education teachers are not as strong as in some other subject areas. A minority of business education teachers belongs to the EBEA and many LEAs do not have specialist advisers for business education.

The next few years are likely to see very substantial developments in business education. The EBEA has a very important role to play in helping to shape these developments and helping its members to cope with the challenges they are likely to bring about.

Heads of business education departments have a particularly key role in helping schools develop a coherent approach to business education and workrelated learning. A first step is to produce a development plan based on an audit of current provision that identifies strengths and weaknesses. However, there is compelling evidence to show that heads of business education need the strong support of senior managers and other colleagues if the plan is to be successfully implemented. The most effective departments also have good external links, for example with businesses and with providers of teacher training.

I would welcome hearing from members with regard to any issues they feel strongly about, suggestions for improving the subject and examples of any exciting developments taking place in schools and colleges. You can contact me either through email: dbutler@ofsted.gov.uk or by writing to me at OFSTED 44-60 Richardshaw Lane, Pudsey, West Yorkshire, LS28 7RU.

OFSTED is organising a one day dissemination conference for business education teachers on enterprise and the economy in education which is being hosted by the Financial Services Authority in London on 3 March 2003. Invitations will be sent to all LEAS asking them to nominate schools. You should contact your LEA if you are interesting in attending.

David Butler

HM Inspector of Schools

Specialist Adviser for Business Education

Copyright Economics and Business Education Association Autumn 2002
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