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National Technical Qualification Testing & Certification
Human Resources Development Service of Korea

The Problem

The Human Resources Development Service of Korea (HRD-Korea) was established in 1982 through the support of the Ministry of Labor. Since its inception, HRD-Korea has implemented comprehensive programs for the development of our nation's human resources such as national technical qualifications, lifelong learning, employment services for foreign workers, skills promotion, and employment facilitation.
A core vision for HRD-Korea is to become "a leader in human resources by increasing the value of people and businesses." In order to realize this vision, HRD-Korea has implemented a lifelong learning support system in accord with the needs of today's information society. In addition, the institution continually endeavors to meet the changing needs of users and implement a qualification examination that is applicable to the real workplace and highly trusted by the public.
The dedication of HRD-Korea to developing human resources while maintaining a high caliber of service for customers has not gone unnoticed. In addition to receiving numerous awards and recognition, HRD-Korea has become a hub for international HRD. The organization offers programs to occupational training personnel from developing countries and provides various support programs for foreign worker employment as well as overseas employment of Korean workers.
With a total of 991 associates, HRD-Korea is organized into five business units within the headquarters and 23 branch offices located throughout the nation. Although the organization offers a host of programs and services, the heart of the organization is the duty of national qualification testing service. In fact, 64% of total staff (635 associates) working through two bureau and 14 teams directed by the qualifications managing director within headquarters and 23 branch offices throughout the country are dedicated to the task.
In May of 2001, HRD-Korea launched an ambitious Qualification examination information system dubbed Q-net. Q-Net is a premier technical qualification management/operation system providing better opportunities to advance one’s career in the knowledge and information based society of the 21st century. It was deployed in order to provide the people of Korea with quick and easy access to information regarding technical qualification and to provide test applicants a convenient portal for qualification services.
The Q-Net website at http//www.Q-Net.or.kr makes it possible to process national qualification tasks entirely online so users can enjoy greater convenience and lower costs. Users can easily browse information to determine what type of technical qualification is most appropriate for them, apply for tests, check test results, apply for issuance of certificates, and seek various other qualification related services without having to visit a branch office. Another invaluable contribution of Q-Net is that much of the simple, repetitive, time consuming tasks that were handled manually were eliminated and internal procedures were streamlined.
Q-Net receives an average of 1.5 million hits a month from visitors seeking information and processes over 3 million qualification applications annually. Most significantly, Q-Net houses a database of 6.5 millions qualification-holders (9.7 million certifications, a quarter of the Korean population) for verification of certification authenticity and issuance of certificates.

Solution and Key Benefits

 What is the initiative about? (the solution)
By processing the whole process of technical qualification onto the internet, Q-Net successfully reduced the time and economic costs involved in acquiring technical qualifications while tremendously increasing convenience for examinees and HRD-Korea staff members alike.
With a click of the button, users can submit applications for tests, select the location of the test sites, check their results, and successful examinees can even order certificates without the hassle and transportation cost of visiting a branch. In the past, applicants had no choice but to personally go to a branch office and spend an average of 20 minutes to submit their applications. With Q-Net, however, applicants need only spend an average of four minutes to submit their applications online and enjoy a 70% reduction in costs (data usage fee of 50 cents replaced the minimal transportation cost of 1.6 dollars).
In addition to convenience, the one-stop database of domestic and international qualifications information provides Q-Net users timely and accurate information on a wider array of topics.
As of October 2006, over 300 institutions in Korea currently offer qualifications testing for over 1,500 qualifications(52 institutions test for competency in 710 types of national qualifications and 248 institutions test for competency in 800 types of civil qualifications). Information in regards to the national technical qualification tests is available separately on the websites of the respective organizations and institutions administering the tests. Customers have to search through a sea of information in numerous websites to learn what they need to know. However, Q-Net provides information for 1,114 types of qualifications (779 national qualifications, 241 civil Qualifications, 94 international qualifications) in one location, making Q-Net the premier provider of qualification information in Korea.
Q-Net also benefits employers such as governmental organizations and corporations as they can verify certification authenticity in real-time. Q-Net manages a database of 6.5 million people who hold a total of 9.6 million technical certifications. Thanks to the up-to-date database, governmental organizations can issue permits and licenses without requiring applicants to submit copies of certifications and corporations can verify national technical qualification information of job applicants quickly and easily. As a testament to the usefulness of the database, over 730,000 inquiries about certifications have been logged between January and October of 2006.
Q-Net makes a significant contribution to the associates of HRD-Korea as well. Computerizing the manual-intensive work processes involved in technical qualification greatly reduced the workload. In 2005, online applications accounted for 59.3% (over 80% anticipated in 2006) of total submissions. This roughly translates into an 80% reduction of repetitive manual work processes such as receipt of applications, data entry, seat assignments, etc. Moreover, integration of information systems from each branch office into one central information system within headquarters further reduced the workload for associates. Unburdened by their workload, branch offices could now provide an enhanced level of service and strengthen organizational capacity through work process innovations and increased training.

Actors and Stakeholders

 Who proposed the solution, who implemented it and who were the stakeholders?
□ Q-Net was initiated in June 2001 and underwent a series of improvements for improved service and system integrity. The following details the development of Q-Net.
○October 2000: The basic plans for Q-Net established
○November 2000: Development of Q-Net system
○May 2001: Deployment of Q-Net homepage
○October 2004: Basic plans for revision of Q-Net developed
○December 2004 ~ June 2005: Q-Net system and contents improved for greater user convenience
○June 2005: New and improved Q-Net service introduced

(a) Strategies

 Describe how and when the initiative was implemented by answering these questions
 a.      What were the strategies used to implement the initiative? In no more than 500 words, provide a summary of the main objectives and strategies of the initiative, how they were established and by whom.
During the 1998 financial crisis, corporate restructuring led to massive layoffs. In order to secure new jobs, many turned to technical qualification. To illustrate the impact of the economic downturn, about 1.8 million people a year applied for the national technical qualification examinations before the Asian financial crisis. After the crisis, however, 2.36 million in 1998, 2.41 million in 1999, and 2.1 million in 2000 applied to take the exams.
Due to insufficient or inaccurate knowledge of national and civil qualification, many people became victims to fraudulent or exaggerated claims about some civil Qualifications. As complaints of fraud related to civil qualifications submitted to the Consumer Protection Board increased (4,485 cases in 2001, 3,855 in 2002, 4,214 in 2003, 3,409 in 2004), the Ministry of Labor, which oversees and regulates qualification in Korea, saw the need to provide up-to-date and accurate information about qualifications in one website. By providing information such as test schedules and testing sites, test subjects, questions criteria, etc on one website, the Ministry of Labor hoped to reduce losses incurred due to misinformation and acts of fraud.
In order to overcome the financial crisis and address the ever-growing number of unemployed people, the government invested heavily in the 6Ts (Information, Biology, Cultural, Space, Nano, Environmental) and as a result, Korea became an IT powerhouse. According to IMD, Korea ranked 2nd in the national competitiveness index for the category of technological infrastructure and the Ministry of Information and Communication announced that Korea’s level of IT society rose substantially from 22nd in 1998 to 3rd in 2005. With advances in IT technology and high internet penetration rates, the number of netizens surpassed 3.301 million and accounted for 72.8% of the population prompting the government to provide more services to qualification candidates in cyberspace.
The entire process of qualification was cumbersome for all parties involved. In applying for a qualification exam, an applicant must undergo the inconvenience of personally visiting a branch office in their respective area of residence and submitting an application with a photo attached for each stage of the exam (written exam, practical exam, issuance of certification). Governmental organizations and corporations were also inconvenienced by having to send official requests to HRD-Korea for verification of certification for potential job applicants (122,806 requests in 2003). The staff members of HRD-Korea also had difficulty coping with the immense workload of having to manually accept and sort test applications, assign test sites according to subject, telephone examinees with the result of their tests at each stage, issue various documents, and process verification requests from other organizations. Adoption of a computerized system able to lessen the workload was critically needed.
Q-net was established in order to meet the needs of the Ministry of Labor to provide a one-stop, up-to-date and accurate information about qualifications in Korea, satisfy increasing desires of netizens to have access to convenient certification services in cyberspace, and reduce the workload of associates.

(b) Implementation

 b.      What were the key development and implementation steps and the chronology? No more than 500 words
Q-Net was implemented to achieve three major goals. First, information about technical qualification such as national qualification was to be made readily accessible to anyone who needed it. By making it possible to access information about Korean and international qualification without having to visit the respective testing organization’s homepage, people could gain a deeper understanding of the choices available to them. In addition to certification, information relevant to certification such as qualifications training and job positions available would be posted as well.
The second goal was to provide internal and external users quick and reliable services throughout the whole process of qualification from application submission to qualifications testing. Q-Net would make it possible to submit applications, choose testing sites, check test results, and request issuance of certificates conveniently from their homes through the internet. Q-Net would also make it possible to quickly provide time critical information such as changes in questions criteria. The convenience of Q-Net would encourage technical qualification acquisition and ultimately make contributions to the nation’s economic development. Internal users also benefited tremendously with the computerization of the entire qualification process which effectually eliminated much of the work that was previously handled manually such as application acceptance and processing. Internal users and administrators would access Q-Net through the “Qualification Examination Information Network” The reduction in workload would then lay the foundation for enhanced customer service.
Lastly, the establishment of a systematic information management and application system would allow the efficient and effective use of national human resources. By facilitating certification verification for governmental organizations and corporations, public trust of certified skilled workers would be enhanced and employment would be promoted. The provision of various information such as the current status of national skill levels and other statistical data would also drive greater utilization of certified skilled workers.

(c) Overcoming Obstacles

 c.      What were the main obstacles encountered? How were they overcome? No more than 500 words
The increase in cyber services such as acceptance of applications through the internet, disclosure of test materials, and announcement of test results put a strain on the Q-Net system and limited capacity resulted in instances of system failure. In November of 2004, a plan to reinforce the system was drawn and by June of 2005 over 1.83 billion dollars was invested. The project espoused the vision of “realizing fast and accurate technical qualification service” and the goal of the “successful reinforcement of Q-Net.” The overhaul of Q-Net also focused on three key priorities.
The system was overhauled and reconfigured to provide a more secure and reliable operation. The new system was reconfigured to accommodate 200,000 simultaneous users and a duo DB server provided continuous service throughout the year. In addition, the backup system configuration and security system was replaced. All in all, hardware infrastructure was established to provide stable and secure operation in a fast changing cyber environment.
Moreover, improved internet services would enhance user convenience. Qualification information which was originally dispersed throughout the various HRD-Korea sites was unified through Q-Net. In addition, an added feature called “My Page” eliminated the need for five photos to be submitted for the application process or requests for certification documents. Rather, users can register their photos during member registration. Another new feature would allow users to select a test site of their choice with one click of the button. In this way, the Q-Net system became more user-friendly and has attracted 2.57 million registered members as of October 2006.
Lastly, by supplementing the internal work process system’s functions, work efficiency was maximized. Databases which were managed separately by the HRD-Korea head office and branch offices were integrated so that the workload of the branch offices were greatly reduced and the time for document collection was drastically reduced from 3 days to on-demand. Schedules for practical tests and test sites were announced prior to the test date so that the testing process was as accommodating as possible. The average waiting period for certification issuance was ten minutes and it required a visit to the branch. However, with the improvement to the system and service quality, one could request issuance at anytime through the net.
Staff members using the improved internal work process system received 12 workshops and the system operator was also trained in order to secure uninterrupted service for the people.

(d) Use of Resources

 d.      What resources were used for the initiative and what were its key benefits? In no more than 500 words, specify what were the financial, technical and human resources’ costs associated with this initiative. Describe how resources were mobilized
The implementation of Q-Net radically improved the qualification process in its entirety with greater convenience, lower cost, and streamlined work processes.
Q-Net integrated information about national technical qualifications and qualifications in Korea and abroad to make it readily accessible to millions of users. There are numerous other sites about qualifications but they do not provide complete nor updated information. Q-Net is the only site in which users could conveniently search information on 1,114 skills (779 national qualifications, 241 civil qualifications, and 94 foreign qualifications). There are a total of 1,500 qualifications but some were excluded as they did not have a high level of public credibility. With over 1.5 million users visiting the site monthly, Q-Net has developed into the nation’s largest qualification information site.
With Q-Net, over three million exam applicants annually enjoy greater convenience and reduction in time and cost. Traditionally, applicants spent an average of 20 minutes for in-branch application submissions and 1.6 dollars in transportation cost. However, online applicants need only spend an average of four minutes to submit applications and merely 50 cents in data usage fees. Due to the greater convenience and lower cost, the proportion of online applications increased from 13.9% in 2002 to 59.3% in 2005 and over 80% is expected to apply online this year.
Q-Net also provides greater control of the qualification process as applicants can now select test sites and the equipment for the examination. As a result, examinees no longer suffered the misfortune of being assigned test sites which were far from home or using unfamiliar equipment. In addition, the adoption of Q-Net eliminated the need for applicants to personally visit branches to verify test results or request certification documents as one could do so online.
Another significant benefit of Q-Net was the computerization of simple, repetitive manual tasks. Work processes such as stamping submitted applications, sorting the applications according to type of skill, data entry of applicant’s information, and preparation of seating designations were reduced by 80%. As a result, associates could spend their time and on other matters such as work process innovation, self-development through training and education, and participation in social welfare programs.
The availability of qualification information online also made it possible for government organizations or corporate entities to quickly and easily confirm certification status. In the past, organizations submitted documents requesting verification of certification to HRD-Korea. However, with the establishment of Q-Net, personal confirmation of certification issuance is possible online and personal confirmation has the added benefit of certification fraud deterrence.
Lastly, Q-Net increased overall customer satisfaction in regards to national technical qualification. In a “2005 Call Center Service Quality Survey (public organization category)” conducted by KMAC, HRD-Korea received 90.4 points out of a possible 100 points to rank fourth among 116 public organizations.

Sustainability and Transferability

  Is the initiative sustainable and transferable?
HRD-Korea is making great efforts to ensure up-to-date information about qualification is provided on Q-Net. Two associates are dedicated fulltime to regularly reviewing the homepages of other technical qualification agencies and providing the latest information to Q-Net users. In addition, a monitoring system has been put into place to prevent illegal practices such as hiring substitute test-takers to promote greater public trust in the certifications and spur greater employment of certified skilled workers.
More recently, a “Customer Participation/Suggestions” corner has been initiated on Q-Net in order to gauge user opinions and reviews. Among the 46,803 complaints and issues concerning qualification submitted in 2005, 99% were simple affairs processed within 24 hours of receipt. Matters requiring review were dispatched to the respective department or associate immediately and a reply was sent within seven days. In addition, constructive criticism or suggestions made to improve the qualification system were regularly collected to reflect the suggestions into future system improvements.
Q-Net has become a prime model for benchmarking by other countries seeking to develop their industries and improve the quality of their human resources. Recently, Kazakhstan and Vietnam benchmarked Korea’s national technical qualification system and Q-Net to develop a similar program in their respective countries. Korea’s national qualifications system made significant contributions to Korea’s economic development by nurturing and certifying a labor force with a variety of qualifications to meet the needs of our industry.
Q-Net’s customer oriented services and improved work received much recognition for excellence. In October 2006, Q-Net was awarded the 2006 National Productivity Award in the field of IT by the Korea Productivity Center and soon after was honored with the Award of Excellence from the Minister of Commerce, Industry and Energy. Q-Net was awarded the National Productivity Award in the field of IT in recognition of effective management of national HR, overseeing examinations for over three million national qualifications applicants a year, database management of over 6.5 million certified skilled workers (9.6 million certifications), provision of up-to-date information to the 20 million website visitors annually (17.29 million people visited the site between January and October of 2006), and management of 2.57 million registered members. It is worth noting that KPC benchmarked the Malcolm Baldridge National Quality Award to develop the “National Productivity Award,” Korea’s version of the business innovation award.
Q-Net was also the first to participate in the effort spearheaded by the Ministry of Government Administration and Home Affairs(MOGAHA) to reduce unnecessary documentation between administrative organizations by sharing information. Q-Net provides information about certification records for the “National Administrative Information System” (NAIS) project of MOGAHA. As of October 2006, there are 87 laws and regulations mandating the submission of certification documents for projects to get approval or licensed. It is a key priority fir the NAIS project to share information about the 6.5 million people with certified national qualifications with other governmental organizations. The information was made available in September 2006.

Lessons Learned

 What are the impact of your initiative and the lessons learned?
The successful deployment and operation of Q-Net was possible through careful research of customer opinions, system improvements that focused on the needs of the user, and bold financial investments by management.
A review of Q-Net user opinions revealed that in addition to information about qualification such as test dates and such, users sought access to information about education and training for skill acquirement as well as information about the job market and average incomes one can expect after a skill is mastered. In order to meet such needs HRD-Korea joined hands with the Korea Employment Information Services(KEIS) in February 2006. KEIS operates a job opportunity information network (WORK-Net) on a national level as well as a job training information network (HRD-Net). By working together, HRD-Korea and KEIS can integrate their information to provide comprehensive information. A basic plan to develop a system that would provide “work-training-qualification information” was recently developed. Integrated information about “work-training-qualification information” is slated to be ready for the public by October 2007.
Another issue that needed to be addressed was the fact that the national qualification examination was open to anyone who qualifies regardless of age and gender. In order to promote the use of online applications to all sectors of the population, programs to increase internet usage and availability to elderly, housewives, and the poor were needed. In addition, to facilitate their use of Q-Net, information required for membership registration was minimized and the process was simplified. Moreover, the “one-click” easy registration for qualification testing system was heavily promoted. Lastly, all branch offices were equipped with computers and a staff member at each branch was assigned to assisting customers with online applications and registration so that those without access to computers or those unfamiliar with going online could access the site. Ultimately, the provision of computers in the branches helped to increase internet application rates of those unable to gain access to a computer and the internet. Beginning in 2007, all applications are planned to be handled online.
Increases in online applications and number of tasks for processing through Q-Net required that the system capacity be fortified to handle the extra load. During application submission periods, there was usually a peak in system usage and the system often overloaded. When this happened, the organization was flooded with complaints about technical problems. In order to resolve this issue, it was decided to increase the budget for the system from the initial budget of 485.89 million dollars to 1.8 billion dollars (3.7 times the original budget). The decision was made because senior management recognized the importance of the qualification system and the need to elevate customer satisfaction. Thanks to such aggressive investments, the system is capable of handling 200,000 users simultaneously without experiencing technical difficulties.

Contact Information

Institution Name:   Human Resources Development Service of Korea
Institution Type:   Public Agency  
Contact Person:   Yong-Dal Kim
Title:   President  
Telephone/ Fax:   +82-2-3271-9143, 9147
Institution's / Project's Website:   +82-2-716-5742
E-mail:   kma140@hrdkorea.or.kr  
Address:   370-4,Gongduk-dong,Mapo-gu
Postal Code:   121-757
City:   Seoul
State/Province:   Seoul
Country:  

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