Developing the Developing the ManufacturingManufacturing Workforce Workforce
Of the Future … Of the Future … TodayToday
West Central MinnesotaWest Central Minnesota
WHY MANUFACTURING?WHY MANUFACTURING?
Manufacturing accounts for about 13 percent 13 percent of theof the nation’s nation’s GDPGDP and 11 percent of U.S. jobs11 percent of U.S. jobs
Manufacturing was the largest contributor to economic largest contributor to economic growthgrowth during the 1990s
Manufacturing wages are 22 percent higherwages are 22 percent higher than the average of other sectors’ wages.
WHY MANUFACTURING?WHY MANUFACTURING?
Manufacturing provides its workers with more health, more health, retirement, retirement, andand other benefits other benefits than any other sector except
government.
Manufacturing contributes two-thirds two-thirds ofof U.S. exports U.S. exports
Manufacturing performs 62 percent 62 percent of allof all U.S. research and U.S. research and development / innovationdevelopment / innovation
In the last 20 years, manufacturing productivity has grown manufacturing productivity has grown twice as fasttwice as fast as overall business productivity
0
250,000
500,000
750,000
1,000,000
1,250,000
1,500,000
1,750,000
2,000,000
2005 2010 2015 2020 2025 2030 2035 2040 2045 2050
Sources: TIP Strategies; U.S. Bureau of Labor Statistics; U.S. Census Bureau
Projected Net Annual Change in the Working Age Population (18-64)
Average Annual Job Creation Since WWII
Approaching Workforce DeficitApproaching Workforce Deficit
The Workforce of the FutureThe Workforce of the Future
Shortage of Shortage of 1313 millionmillion to to 1515 millionmillion skilled workers by 2020 skilled workers by 2020
Baby-Boom Generation is Retiring Baby-Boom Generation is Retiring
Little or no growth in 18- to 26-year-old age groupLittle or no growth in 18- to 26-year-old age group
Outdated or inadequate skills for high-demand jobsOutdated or inadequate skills for high-demand jobs
60 percent 60 percent of all new jobs in the 21st century will require skills of all new jobs in the 21st century will require skills possessed by only possessed by only 20 percent 20 percent of the current workforceof the current workforce
College or Bust
0% 10% 20% 30% 40% 50% 60% 70%
Will Enter a 4-year college
Will enter anassociate degree
program oradvancedtraining
Will lack the skillsneeded for
employment ordrop out of high
school
Where the Jobs Are…
Where 9th graders areheaded
90% of respondents indicated a moderate to severe shortage of qualified skilled production workers;
83% indicated that these shortages are impacting their ability to serve customers;
65% of all respondents, and 74% of respondents with more than 500 employees, reported a moderate to severe shortage of scientists and engineers;
39% of respondents indicated a moderate to severe shortage of qualified unskilled production workers.
What Manufacturers Say About Their What Manufacturers Say About Their Current WorkforceCurrent Workforce
Given Changes in the Economy and Business Environment, Which of the Following Will Be Most Important to Your Company’s Future Business Success Over The Next Three Years? (Select Up to Three)
0% 10% 20% 30% 40% 50% 60% 70% 80%
High-Performance Workforce
New Product Innovation
Low Cost Producer Status
Increased Customer ServiceOrientation
Increased Sales Outside the U.S.
Sourcing Products in Global Markets
Supply Chain Integration withSuppliers
Minnesota Mfg Workforce Shortages• Workforce Shortages • The Southwest & Northwest were
most impacted– Overall, 8.5% of respondents
from SW indicated a serious shortage. No other region was higher than 4.2%
– NW had more respondents indicate a moderate shortage
62% 44%
53%
63% 51%
47%
Percent Indicating Moderate or Serious Workforce Shortage
Understanding the Worker Needs of Manufacturers
Minnesota Skills Gap Findings 2007
PERCEPTION PERCEPTION vs.vs. REALITY REALITY
Young adults, parents, teachers, and public-at-large know little about today’s manufacturing
Belief that all manufacturing jobs are being (or will be) lost to foreign competition
Outdated stereotypes
Little or no career information about manufacturing
A Pro-manufacturing Economic Development and Awareness
Campaign
• Show Dream It! Do It! video
• www.dreamit-doit.com/content/for/employers.php
Video is at the bottom of the page
Goals of a Dream It. Do It. campaign:Goals of a Dream It. Do It. campaign:• Promote accurate vision of today’s advanced
manufacturing – see the new reality. • Align goals of economic developers, workforce
development and education with industry.• Provide career information, guidance, and links to
training, internships and jobs.• Develop local education and training strategies for
manufacturing that fill skills gaps.
Parts of a Campaign:Parts of a Campaign:
• Skills Gap Survey– completed for MN• A media campaign and a series of activities
and events: get attention• A “catch and referral” system: communicate
directly and talk about opportunities.• Move them to training or to a job.• Repeat for a year or more.
Who does the campaign target?Who does the campaign target?
• 16 to 26 year olds.• Parents – still the most influential factor.• School professionals – teachers and counselors.• Manufacturers.• Public workforce system.• Other stakeholders.
• UNIQUE INTERACTIVE WEB SITE• BILLBOARDS• RADIO SPOTS• NEWSPAPER & MAGAZINE ADS• BROCHURES, POSTERS, ETC.• TOOL KIT WITH CAMPAIGN MANAGEMENT
AIDES
What are the awareness tools?What are the awareness tools?
What has been accomplished:What has been accomplished:
• Pilot Campaign In Kansas City Region• Formation Of Pro-manufacturing Coalition And New
Mfg Association• Leverage To Obtain $1.9m CBJT Grant• 35 Percent Increase In Enrollment In
Manufacturing Related Courses • 15M WIRED Grant in KC• Significant positive change in attitudes about
manufacturing careers
BENCHMARKING ATTITUDE CHANGEBENCHMARKING ATTITUDE CHANGE
Pre- Phase 1*
Post-Phase 1*
Manufacturing offers me a career not just a job 47% 59%
Manufacturing offers many interesting job opportunities 46% 57%
A career in manufacturing will challenge me 47% 52%
I could build a successful, rewarding career in manufacturing 38% 48%
A career in manufacturing is good for my long-term future 39% 46%
A career in manufacturing will make me feel rewarded 34% 43%
Careers in manufacturing are for creative-type people 32% 40%
Careers in manufacturing are typically low paying 29% 39%
Careers in manufacturing are typically short-term 26% 36%
Locations of CWS Workforce InitiativesLocations of CWS Workforce Initiatives
•American Society of Employers, Detroit, MI•Association of Washington Business, Olympia, WA•California Assn. of Employers, Sacramento, CA•Connecticut Business and Industry Assn., Hartford, CT•Employers Assn., Peoria, IL•Manufacturers Assn. of South Central Pennsylvania, York, PA•Mid-Atlantic Employers Assn., Philadelphia, PA•Power Transmission Distributors Assn., Cleveland, OH•Precision Metalforming Assn., Twin Cities, MN•San Diego Employers Assn., San Diego, CA•SMC Business Councils, Pittsburgh, PA•South Carolina Chamber of Commerce, Columbia, SC•South Florida Manufacturers Assn., Pompano Beach, FL•Wisconsin Manufacturers and Commerce, Madison, WI
•Dream It. Do It., Iowa•Dream It. Do It., Arizona•Dream It. Do It., Mississippi•Dream It. Do It., Virginia•Dream It. Do It., So Central Pennsylvania•Dream It. Do It., Minnesota
•Dream It. Do It., Kansas City•Dream It. Do It., Nebraska•Dream It. Do It., Northeast Ohio•Dream It. Do It., Southwest Virginia•Dream It. Do It., Seattle/Puget Sound•Dream It. Do It., North Central Texas•Dream It. Do It., Southeast Indiana•Dream It. Do It., Will County, Illinois
Workforce Projects Dream It. Do It. Campaigns
Dream It. Do It. Prospects
Dream It! Do It! in Minnesota• Follow Regional model
• One state website from Dream It! Do It! National website– The homepage links to multiple resources within state– The homepage has a map of MN and individuals click on their region– Each region has its own page/site
• Utilize MySpace.com to reach 16 to 24 year olds in Minnesota (send to Dream It! Do It! National website)
• Regional champions and leaders (preferably manufacturers)• Regional campaigns, events and media buys• Dream It! Do It! unifies the message for many regional efforts that
support manufacturing for maximum impact and results
• Show Dream It! Do It! National Website– www.dreamit-doit.com
Regional Campaign Elements• Funding commitment for regional media buys, website
development, MySpace.com advertisement• Regional Champions/Leaders (preferably
manufacturers) who commit to keeping the message and the regional efforts active – Events at schools, public service messages, op-ed
newspaper articles, etc.– Fostering relationships for catch and referral system
3 Major Elements to Campaign
• Media Campaign that gets notice• Series of Events to share the message• Catch and Referral Network to make sure interested
individuals get “caught”
West Central Media Campaign Budget• Regional website $ 5,000• MySpace Regional advertising $10,000• Billboard 6 locations $11,600
– 2 months• Print $ 5,000
– Newspaper ads, posters, brochures, etc. for a year• Promotional Giveaways (highlighters, etc.) $ 2,000• Radio (for regional launch) $10,000• Events (6 events throughout year) $ 6,000
– Food, giveaways, etc.• Total annual for Regional campaign $49,600
Series of Events
• Career events at high schools• Tours of local industry• Rotary• Economic Developer groups• Parent/Teacher Organizations• Other???Presentations, handouts, etc. provided
Share the message that manufacturing is vital to the economy of the region and that manufacturing provides family-supporting careers.
Catch and Referral NetworkCategory #1: Job Ready: These individuals have some level of skill, experience and/or motivation to enter the job market immediately and want to go to work now. They may also be interested in additional education or training while they are working, but their primary interest is getting a job.Category #2: Not Job Ready: These individuals lack the skills manufacturers want in terms ofemployable skills, such as basic math and reading skills, communication skills, or they want toupgrade their skills to qualify for a better job.
FRAMEWORK FOR THE DREAM IT. DO IT. REFERRAL SYSTEM
Simple Self-Assessment
Job ReadySeeking immediate employment
(Go directly to job search vianational and state job banks)
Not Job ReadyNeeding some sort of intervention
(Go to local education and/ortraining providers)
Links/referrals to local serviceproviders based on
individual need(GED through university)
MANUFACTURING CAREER OPPORTUNITIES/JOBS IN MANUFACTURING
Status of West Central Region- slide 1• Raise the remaining funds needed for media buys• Steering Committee formed
• Subcommittee being formed– Catch and Referral System
• Possible additional subcommittees as needed– Fundraising and Sustainability– Marketing and Publicity– Capacity Planning– Career Awareness
Status of West Central Region- slide 2• Invite others to be at the table • Establish catch and referral network
– Peggy Walton from The Manufacturing Institute will be coming in January to help us develop an effective catch and referral network
• Start planning Launch Event– Targeting early March for launch
• What we want to impact– Attitude and awareness of K-12 system– Enrollment trends in manufacturing-related education programs– Direct impact seen by manufacturers– number of applicants and length
of time to fill positions– Attitude and awareness of general public
Steering Committee MembersName Organization Represents
Vicki Lahlum BTD Manufacturers
Mike Westergard StoneL Corp. Manufacturers
Todd Peterson 3M Alexandria Manufacturers
Sandy Kashmark TSMA Manufacturers
Diane Knutson DEED Economic Development
Dan Eishens MSCTC Education
Gregg Raisanen Alexandria Technical College Education
Julie Sachs Rural MN CEP Workforce
Greg Wagner West Central Initiative Economic Development
Inger Wegener Lakes Region Co-op Education
Confirmed and Pending Funding• Tri-State Manufacturer’s Association $ 5,000• West Central Initiative $ 5,000• BTD $ 5,000• 360º $20,000• Rural MN CEP $2,000• 3M Foundation (pending) $10,000• Total confirmed $37,000 ($12,600)• Total confirmed and pending $47,000 ($2,600)
What do 360º, DEED and NAM provide?• EASY BUTTON
– $50,000 required by NAM to use Dream It! Do It!– Proven message and model to change the image of and
support for manufacturing throughout the region– Print Materials– Canned presentations– Advertising collateral– Free administration, coordination, and support
• we can get quotes etc. for media buys and we can place the media buys where you tell us
• Assistance in coordinating events, etc.
Why is involved ?• MnSCU Center of Excellence• Mission– “Building the future workforce for manufacturing in Minnesota
through innovative and collaborative education.”• 3 major initiatives
– Collaborate with industry to change the image of manufacturing (middle school through adults) we have invested over $250,000 in sharing this message through media outlets, career packets, and K-12 events
– Collaborate with industry to provide a seamless career pathway for manufacturing careers with no dead ends our 9 MnSCU institutions have articulated programs from high school pre-engineering curriculum through Masters level
– Make education flexible and accessible through on-line certificates, diplomas, and degrees in relevant skills we have an on-line B.A.S. Applied Engineering degree that builds from technical college education in true 2+2 articulation, we have identified 3 multi-institution blended delivery certificates that will begin development this fall (Production Technology, Machining Technology, Pre-automation)
• We are passionate about doing things differently to meet the needs of the industry and the individual.