Skills on Purpose—Creating the Next Generation of Manufacturers

Employer-Centered Talent Development for Small- and Medium-Sized Firms

Friday, June 5 1:00–2:00pm ET

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Welcome (continued)

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Johan E. UvinActing Assistant SecretaryOffice of Career, Technical, and Adult Education

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Welcome and Introduction from Secretary Arne DuncanUnited States Secretary of Education

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Building the Manufacturing Talent PipelineACTION STEPS FOR BUSINESSES

Presented by Brent Weil

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Every day, we try to combat the misperceptions.

Today’s manufacturing is not your grandfather’s manufacturing.

Manufacturing is Innovating

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National Leadership and Local Action

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Change the perception of careers in manufacturingImage

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Veterans Youth Women

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Dream It. Do It.

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What Can You Do?

• Tell your company story

• Form partnerships with schools

• Join or start up Dream It. Do It. activities in your area

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Re-establish the U.S. as the global leader of manufacturing educationQuality

Developing Quality Education

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15 Endorsed Certifications

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Knowledge is Power

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Cost Savings: Partnership and Certifications

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$47M Revenue, 87 Technical Workers

Cost ReductionsReduction in Hiring Costs $3,778

+ Reduction in OJT $68,640 + Reduction in Turnover $114,400

Total Savings $186,818 – Total Investment (cost) $28,000

= True RETURN $158,818 Return on Investment 567.2%

Building the Pipeline

• More than 419,000 industry certifications

• Over 90% of companies that use certifications believe they make a difference.

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What Can You Do?

• Analyze

• Prefer certifications

• Ask your education partners to deliver certified students

• Provide work-based learning

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Get Up. Get Involved. Get Engaged.

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GenMet Corp.PUTTING IDEAS INTO PRACTICE “WALKING THE TALK”

Presented by Mary Isbister

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Needing Talent is a Supply Chain Problem

Source: Deloitte

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Manufacturing Jobs Are Evolving

Used To Be Have Become

Management

Technical

Unskilledlabor

The number of unskilled jobs is decreasing. Better technical education is essential both in the classroom and in your facility.

Early Adopter of New Strategies

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2012, 2013, 2014Manufacturing Day

Industry Sponsor & Partner

Industry Advisory BoardMoraine Park

WaukeshaMilwaukee

1500 Students and Community members

Public Education is part of our Supply Chain. Students are valuable raw material.

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Investing in Supplier DevelopmentRobotics Teams –Funding and mentoring

Tech Ed Classes –Material and equipment

Project Lead the Way and STEM –Funding and advisory boards

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Links in the Chain

The education system needs to provide work readiness skills, in addition to foundational skills of

reading, math, team-based problem solving, and deductive

reasoning.Training

+ Experience SKILL

Industry must lead innovative skills development that

supports the training of the current and future workforce.

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Forging the Chain Together

Industry• Specialized Skill Training• Technology Evolution• Work-based Learning• Apprenticeships

Industry Advisory BoardsWorkforce Investment BoardsIndustry Council / Trade Assoc

Candidates Ready to Learn and Work

Education System• Math & Reasoning Skills• Technical Education Prep• Work-based Learning• Skills / Career Counseling

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Industry-led: Private–Public Partnerships Create a Supply Chain for TalentWisconsin examples:

• Youth and Registered Apprenticeships• Wisconsin Fast Forward Grants (State Funded)• Council for Workforce Investment collaborations• Next Generation Manufacturing Talent Initiatives• Creating a Playbook – Precision Plus example• Employer-led consortia

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The Return on Investment

Tech / Community College Advisory Board• Influence curriculum • Priority recruiting

PLTW & 1st Robotics• Summer Interns• Hires at Graduations

Apprenticeships• Work-based learning• Tech training and upskilling

In-House Training• Recruitment tool• Specialized capabilities

Arizona Manufacturing PartnershipPresented by Dante Fierros and Rosalyn Boxer

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Critical Hurdle for Growth

Critical shortage of a skilled, certified workforce instilled with a positive work ethic : For Nichols Precision, Arizona and U.S. manufacturers

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Importance? Why the shortage?

1. State, Federal, Industry and Association leaders agree that the health of the U.S. economy is directly linked to the health of manufacturing.

2. Baby Boomers are retiring NOW and the flow of students to manufacturing careers is minimal.

3. Students, parents, counselors and teachers are NOT AWARE of manufacturing careers.

4. Manufacturing suffers from a NEGATIVE IMAGE based on outdated perceptions.

What was required for positive change?

Local, grassroots, targeted action led by industry in cooperation with education partners for short- and long-term increases in CTE-related careers.

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Requirements for launch

1. Convey a sense of urgency2. Identify Involved champions3. Show early successes4. Identify potential funding 5. Build on successes

My personal involvement: Why?

• Time is of the essence.

• Involvement increases opportunities for my business.

• Efforts for one benefit all – and visa versa

• Leadership is expected

• “Ah Ha” moments are priceless

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What is AMP?

A statewide, industry-led initiative to close the skills gap and develop the next-generation workforce in manufacturing.

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Goals

1. Change perceptions and promote the world-class image of manufacturing to schools, teachers, parents, and elected officials.

2. Encourage Arizona education to utilize nationally recognized, industry validated credentials.

3. Serve as the liaison between manufacturing needs and education articulation.

History of the Organization

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In 2012 determined that many of the State’s business sectors were growth-limited due to a lack of trained and available skilled workers.

In 2013 Arizona Commerce Authority organized a statewide summit for one of Arizona’s most significant economic sectors (Aerospace & Defense) to identify and compare needs from both an industry and educational perspective.

Result led to the establishment of a collaborative partnership between industry, education and government to address these skills and resource gaps.

In 2014 AMP was established as a 501(c) 3 under the Arizona Chamber Foundation.

AMP is now thriving as the voice of the Arizona manufacturing community and has been endorsed nationally by organizations including the National Association of Manufacturers and the Manufacturing Institute.

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• Successfully leading regional and statewide efforts to develop pathways to employment including education, apprenticeship and internship training programs.

• Membership – Total of 112 employers, state industry associations, state educational organizations, and state workforce and economic development organizations.

2015• Selected by Maricopa Community Colleges to launch and deliver the Manufacturing Institute’s

Dream It Do It manufacturing awareness campaign to area schools and employers.• Obtained grant funding to procure EduFactor, a STEM awareness and teaching plan benefiting 40

high schools throughout the State. For details, see http://edufactor.org/.• Presented or met with more than 500 companies and education groups. Also participated in

multiple school career days and met with educators, students and parents. 2014• Helped coordinate and secure $250K in grant funding to finance Cox’s EdgeFactor and Launchpoint

TV shows showcasing available high-tech manufacturing jobs.

AMP’s Accomplishments

Why is a Skilled Workforce so Important?

• Retains high-paying jobs in Arizona• Persuades employers to grow and expand

₋ An important part of site selection decisions• Provides career opportunities to technically-oriented students

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Area Development Magazine 29th

Annual Survey

Source: US Bureau of Labor Statistics, Bureau of Economic Analysis

Revenue -- $22 Billion

Employment – 161,153

Average compensation -- $80,431(Non-Farm -- $40,483)

Economic Impact in Arizona

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• Students, parents, legislators and educators do not have a realistic perception and understanding of manufacturing.

• Hampered by old images, jobs were lost to off-shoring.

Good News:• Career options

• Economic potential

• High demand for skills

• Safety

• Teamwork

Need to Change Perceptions

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Manufacturing Now

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Member OrganizationsAMP Founding Member Employers Industry Organizations

Education

Government & Non-Profit Organizations

* Plus at least 13 other employers on a list growing state-wide

Southern Arizona Manufacturing Partners (SAMP)Northern Arizona Manufacturing Partnership (NAMP)Kingman and Mojave Manufacturing Association (KAMMA)Northern Arizona Manufacturing Association (NAMA)

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Let’s Build Something Great

Contact: Malcolm.Green@amparizona.com

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Skills on Purpose—Creating the Next Generation of Manufacturers

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Skills on Purpose—Creating the Next Generation of ManufacturersState and Local Policy and the Implementation of

Industry-Education PartnershipsMonday, June 29, 2015 2:00 pm – 3:00 pm ET