Concept & Development of RUDSETI

  • Rural Development and Self Employment Training Institute (RUDSETI) was established in the year 1982 at Dharmasthala, Karnataka by Dr D Veerendra Heggade jointly with SyndicateBank and Canara Bank.
  • RUDSETI, born out of vision of Dr D Veerendra Heggade, a philanthropist, educationist and a man with a mission for service to the society who has been conferred with 2nd highest civilian award – Padma Vibhushan.
  • Vision Statement of Dr D V Heggade, which is the guiding principle in setting up RSETIs is “Instead of writing someone else’s account through wage employment, after three to five years of collegiate education, it is more meaningful to write one’s own account by embarking upon some self-employment”
  • Main objective of RUDSETI is to mitigate the problem of unemployment and poverty amongst the rural youth.
  • Empowerment is through training, self-employment, entrepreneurship development and job creation.
  • RUDSETI had spread its wings far and wide throughout the Country and presently 27 RUDSETIs are functioning in the Country.
  • So far, RUDSETI has trained 3.91 lakh youth of which 2.72 lakh have successfully settled with a settlement rate of 69%.

Policy initiatives by MoRD and role of RSETIs

  • Ministry of Rural Development (MoRD), GOI was impressed by the RUDSETI model and in 2009, advised Banks to establish one RUDSETI type institute in all their Lead Districts known as Rural Self Employment Training Institutes (RSETIs).
  • RSETI, a replicated model of RUDSETI is a unique initiative which not only imparts training but also extends continuous handholding support for two years.
  • RSETIs will identify, orient, train and assist rural youth to take up self-employment as an alternative career and a source of livelihood.
  • Youth in the age group of 18-45 years, irrespective of Caste, Creed or Religion are eligible to undergo training at RSETI, which is free of cost.
  • No formal education required, but basic knowledge in the selected training is preferred.
  • Decision taken by MoRD to replicate highly successful RUDSETI model resulted in rapid expansion in RSETI network covering the entire length and breadth of the Country.
  • At present, there are 582 RSETIs in the Country who have trained over 24.30 Lakh unemployed candidates, of which 15.42 lakh candidates have successfully settled accounting for a settlement percentage of 63%
  • MoRD, GOI is extending grant support of Rupees One Crore for construction of RSETI building and State Governments are allotting land, free of cost, for construction of RSETI premises. Training expenses incurred for BPL candidates is reimbursed to Banks by MoRD.
  • Sponsored by different Banks, outcomes were not uniform and required standardisation
  • Historic MOU signed between MoRD and NAR in 2011 to bring about uniformity in the functioning and to achieve the desired outcomes.
  • National Centre for Excellence of RSETIs (NACER), an off-shoot of MOU mandated to take care of intensive mentoring and monitoring of RSETIs with dedicated executive as its Head (National Director for RSETIs) and established in 2011 as an Apex Resource Organization

Unique Selling Proposition of RSETI

  • Visionary leadership provided by Dr. D. Veerendra Heggade as Hon. Co-Chairman of National Level Advisory Committee on RSETIs and President, National Academy of RUDSETI
  • Bank led model with blending of Banking experience with service motto thus contributing for a very high settlement rate of trained candidates & Supported by MoRD, GOI.
  • Focus on skill development with EDP inputs
  • Free food, free accommodation and free training and accessible to all
  • Short term intervention with long term follow up support
  • Active facilitation by RSETIs for Credit Linkage with Banks including guidance for project preparation to needy trainees.
  • Peer effect and extended hours of learning
  • Multiplier effect in employment generation
  • Inculcating discipline with best practices like Yoga, Shramadan, Prayer, Group learning, health and hygiene, such as swach & swasth Bharat etc
  • Training methodology involves developing Self-confidence, systematic planning and goal orientation, vigorous training with simulation exercises
  • Over 250 types of training programmes to suit the local needs. The training mainly covers Agriculture, Process, Product, Service and General EDPs.
  • High settlement rate of trained candidates with sustainable income levels
  • Trainee becoming a trainer over a period of time at RSETIs

Effective intervention and supportive role played by MoRD through NACER

  • Monitoring and mentoring the RSETIs, which includes close coordination and effective liaison with all the stakeholders viz., Banks, Sponsor Institutions, SRLMs and RSETIs
  • Identify gaps in the functioning of RSETIs in areas such as Training, Settlement, infrastructure, administration etc and guide them.
  • Through the network of 22 State Directors for RSETIs (one for a cluster of 25-30 RSETIs), extend ground level support and guidance to RSETIs.
  • Organizing Annual conclave of Directors of RSETIs sponsored by various Banks, which is attended by top management of Banks and MoRD.
  • Conclave gives an opportunity for thorough review of performance with SWOT analysis and creates greater awareness about crucial role Institute can play in shaping the future of trainees by helping them to stand on their own legs.

Impact of RSETIs and expression of interest for collaboration

  • Ministry of MSME, GOI has collaborated with NACER for training the beneficiaries of Prime Minister’s Employment Generation Programme (PMEGP), a flagship programme of Khadi and Village Industries Commission.
  • Impressed by RSETI model, Government Departments of MANAS, National SC/ ST Development Corporation and Women and Child Welfare Department, Govt. of India have come forward for collaborative efforts to train persons belonging to Minorities, SC/ST and Women candidates through RSETIs.
  • NSFDC has since entered into MOU with NACER for training SC candidates through RSETIs
  • RSETIs with years of experience and wisdom in shaping the destiny of unemployed youth with special focus on youth from rural areas and recognized by its contributions to the society at large by institutions of repute.

Special features of RSETI which distinguishes them from other similar institutions

  • Focus on development and transformation of unemployed rural youth as Successful entrepreneurs
  • Intensive & continuous tracking of RUDSETI/RSETI trained persons for a period of two years
  • RSETI trained candidates are better quality borrowers and recovery rate of Bank loans is very high and encourage Banks to lend more
  • Increased sustainability of enterprises because of guidance/ support through RSETIs in choosing the right activity having potential
  • Building self-confidence, development of entrepreneurship skills and leadership qualities and trainees develop into trainers themselves at RSETIs
  • Opportunities made available to a large number of unemployed rural youth to take the benefit of RSETI training by intensive awareness and mobilization efforts by RSETIs
  • Availability of ready forum to exchange ideas and learn from the best practices of others and exposure to marketing
  • Sense of belongingness and camaraderie with RSETI staff and fellow trainees

Robust MIS put in place as a key management tool to assess performance of RSETIs

All the RSETIs have adopted MIS and have uploaded training and settlement details in MIS. The Sponsor Banks, SRLMs and SDRs can make use of the system generated data for their review. The quality of data flow has improved and M/s Credo Infotech has introduced additional features such as data on DLRAC, EAPs etc and has made it more dynamic with provisions for graphic presentations. Almost all the RSETIs have tallied their manual MPRs with MIS data. Efforts were made to achieve a perfect match between MIS and MPR before dispensing MPRs with effect from 01.04.2015. Consequently, the stakeholders are able to access a more accurate and reliable data and generate reports from MIS.

New and Significant Initiatives Taken by Sponsor Banks of RSETIs

RSETIs sponsored by different Banks have diverse backgrounds and approaches in their functioning, although they are working towards the common goal of empowering the youth. Consequently, the outcomes were also different and keeping this in view, MoRD had taken the initiative to execute an MOU with NAR to bring about uniformity and to standardize their functioning so that they are on par with the Best Performing RUDSETIs in the Country. However, the best part of this rich diversity got reflected in the innovative approaches adopted by the Sponsor Banks through their RSETIs to strengthen the RSETI movement. Some of the common initiatives taken / approaches adopted by Banks were:

  • Establishment of an Exclusive Trust / Society to take care of the RSETIs
  • Providing the required infrastructural support such as computers, internet facility, audio-visual aids etc.
  • Putting in place a selection procedure for selection of the Director from a pool of officers of the Bank so that the best talent is made available to the RSETIasdda

Involvement of the Top / Senior Management of the Bank in monitoring and mentoring the RSETIs such as visits to RSETIs, review meetings with RSETI Directors, Creating Exclusive Desk for monitoring RSETIs, voluntarily participating in Shramadan, Blood Donation campaign, Swachh Bharat Abhiyaan organized by RSETIs etc., thus sharing their concern to the society in the process.

Monitoring the working of State Directors for RSETIs (SDRs)

The State Directors for RSETIs (SDRs) are the extended arms of the National Centre for Excellence of RSETIs (NACER) entrusted with the task of monitoring a cluster of RSETIs in their respective States involving visit to RSETIs at least once in a quarter to review their functioning, guide and motivate them, identify the problem areas and suggest solutions for overcoming the problems. The visits provided an opportunity to interact with the trainees of ongoing training programmes, meet the successful entrepreneurs / visit their units and motivate RSETI staff to contribute their best.

NDR during his visit to different States makes use of the opportunity to visit some of the RSETIs along with SDRs. The best part of the visit of NDR was that SDRs could also understand as to how their visits too can be made effective by following the methodology adopted by NDR and thus it was a learning experience for them. At present, there are 22 State Directors for RSETIs who are monitoring the RSETIs allotted to them.

Visit of National Director for RSETIs to RSETIs, SRLMs and Controlling Offices of Banks

As part of the mentoring and monitoring exercise, NDR undertook visits to Head Offices / Corporate Offices of Sponsor Banks of RSETIs and also visited a number of RSETIs criss-crossing different States and covering all the major States in the Country. On an average, more than one RSETI per week is covered.

During these visits, he had taken part in the interaction sessions with the trainees of the ongoing training programmes, attended inaugural / valedictory functions of training batches, visited the units established by successful trainees, reviewed the progress in construction of RSETI premises etc. The opportunity was made use of to motivate the RSETI Directors and Staff to contribute their best towards improving the functioning of RSETIs and to extend the required support to the trainees to take up self-employment activities. The first hand feedback obtained during such visits to the RSETIs were made use of for taking policy initiatives with the support from MoRD and Sponsor Banks under the guidance of Dr D Veerendra Heggade. These initiatives have helped in strengthening the systems and procedures besides helping in resolving pending issues related to training infrastructure, staff complement, coordination with District/State Administration etc.

Annual Conclaves of Directors of RUDSETIs / RSETIs

Among the many best practices of RUDSETI model, organizing the Annual Conference of Directors of RUDSETI for their Capacity Building at Dharmasthala once in a year was found to be very effective as it provided an opportunity to the Directors to interact with the Executives of the Banks and the Banks, in turn, were able to critically review the performance of each RUDSET Institute. In addition, Dr D Veerendra Heggade’s personal presence helped in enhancing the contents of the deliberations by giving a better insight into the organizational ethos, values and its service motto. Moreover, it facilitated cross learning the best practices adopted by other RUDSET Institutes.

Convinced by the purpose and usefulness of this initiative and as suggested by Dr D Veerendra Heggade, MoRD advised all the Sponsor Banks to organize two days’ Conclave of RSETI Directors as an Annual event. Already four rounds of conclaves of Directors of RSETIs have been organized by all the Banks. Organization of fifth round of conclaves of Directors of RSETIs by the Sponsor Banks is in progress.

RSETI Diwas – A National Meet to recognize the Best Performers

As per the terms of MOU with MoRD, annual grading of RSETIs is carried out to assess the performance of RSETIs and thereafter recognize the Best Performing RSETIs in a befitting manner by organizing a special function known as ‘RSETI Diwas’. The grading exercise is done in a transparent manner on select/ key parameters by associating external officials who are not part of / associated in the day to day functioning of RSETIs to bring objectivity to the grading exercise.

RSETI Diwas is a very special event for the State Governments as well as Bankers, since the best performance is recognized in front of various dignitaries and peers thereby enhancing the self - esteem of performers. ‘RSETI Diwas’ is organized every year. As per the tradition, a public function is held at Vigyan Bhawan, New Delhi. The programme is usually chaired by the Hon’ble Union Minister for Rural Development, GOI and is a prestigious event organized by NACER.

RUDSETI / RSETI Bazaars

RSETI Bazaars give a ready forum to the RSETI trained entrepreneurs to have a firsthand experience in marketing the products produced by them. NACER has always been supportive of the efforts made by the RSETIs in organizing RSETI Bazaars to help the past trainees to not only understand the dynamics involved in the marketing process but also to sell their goods during these Bazaars. This initiative has helped the trainees to develop contacts with potential customers for their future growth.

KUSHALATHA - Quarterly Bulletin of NACER :

NACER is bringing out a Quarterly House Bulletin covering the important events of various RSETIs across the country. The Bulletin also carries special initiatives taken and programmes conducted by the RSETIs, achievements of Directors in conducting various activities, Success Stories of RSETI trained entrepreneurs and the significant activities of NACER.

Felicitation to RSETI trained successful entrepreneurs

1. International Achievers Award to succesful entrepreneur of RUDSETI, Mysore, Karnataka

Smt Rukmini Chandran, a successful entrepreneur trained at RUDSETI, Mysore and Proprietor of Almanac Adventure Nest and Director for National Adventure foundation (NAF) Karnataka ll chapter, was conferred with ‘International Achievers Award for Adventure Sports and Social Work’, in the ‘International Global Achievers Summit’, organised by Global Achievers Foundation, New Delhi, at Bangkok, Thailand. Smt Rukmini Chandran was one among the 40 Achievers from all over the world to have received the award on the occasion.

His excellency Ambassador Dr V B Soni, IFS Former Diplomat, Hon’ble Sri Korn Dabbaransi, Former Deputy Prime Minister, Bangkok (Thailand), Dr Adora S. Pili, President, Technology University of Philippines were present on the occasion.