2121stst Century Workforce Century Workforce InitiativeInitiative

Quarterly MeetingQuarterly MeetingMarch 29, 2007March 29, 2007

Brenda C. Njiwaji, DirectorBrenda C. Njiwaji, DirectorBureau of Workforce ProgramsBureau of Workforce Programs

Michigan Department of Labor & Economic GrowthMichigan Department of Labor & Economic Growth

Agenda

I. Introduction and Context Brenda C. Njiwaji

II. Great Lakes Trade Adjustment Larry Molnar

Assistance Center (GLTAAC)

III. Michigan Manufacturing Bruce Knapp

Technology Center Michael Vincent

IV. South Central Michigan Works! Michael Polzin

Business Solutions Professional Donna Winthrop

V. DLEG Bureau of Labor Market Information & Strategic Initiatives Rick

Waclawek

VI. Rapid Response Lloyd Conway

VII. Closing Remarks Brenda C. Njiwaji

• Automotive Manufacturing Assistance Program (AMAP)

• Growth Sector Analysis:Jobs of the Future

• EDA Community Adjustment Economic Recovery

Automotive Manufacturing Assistance Program (AMAP)

Mission: Assist Michigan automotive suppliers adjusting to change in the automotive industry

• Phase I: Application Process takes 1-3 days, and there is no charge for this service

• Phase II: Diagnostic Analysis Adjustment Plan begins 2-3 weeks after start, AMAP may be able to pay up 75% of costs

• Phase III: Implementation lasts up to 1 year, AMAP maybe able to assist with some of the project(s) costs.

Growth Sector Analysis: Jobs of the Future

• A two-part process, intended to identify industries that have future growth potential throughout the nation, and how these findings apply in Michigan.

• Part I: Examine the large data pool throughout the nation, analyzing industries within the identified growth/decline sectors, as well as completing trend analysis

• Part II: Identify Michigan companies that fall into national growth sectors, completing analysis of these companies which classifies key components that are applicable to the scope of Michigan. This research will facilitate the development of workforce training and curriculum, as well as effective job placement mechanisms, and assessment of existing skill set.

EDA Community Adjustment Economic Recovery

• This two part process works to offer an “early warning” to staff and support systems, as well as providing a response process for an actual closing.

• Early Warning System: Identification of “at-risk” areas through continuous monitoring and economic trend analysis, with referrals to AMAP, if applicable, and notification to appropriate responders at the local, state, and federal levels.

• Plant Closing Response System: Upon announcement of a closure, this program engages the appropriate local, state, and federal response networks, assists in assembling a community strategy team and in developing and implementing a strategic plan, and monitoring the performance metrics of the interventions.

Michigan Manufacturing Michigan Manufacturing Technology CenterTechnology Center

Mike Vincent734-451-4203

www.mmtc.org

The Michigan Manufacturing Technology Center (MMTC) is a not-for-profit organization established in 1981 as a NIST-Manufacturing Technology Center. We were created for the sole purpose of serving Michigan’s small and midsize manufacturers.

MMTC delivers training and consulting for: • LEAN training and implementation • Six Sigma certification programs• Quality and Environmental Management • Cost Management Systems• Market Diversification• Performance Benchmarking

What is MMTC? What is MMTC? A Public/Private NetworkA Public/Private Network

• Not-for-profit corporation, with 56 employees statewide

• Established in 1981 with support from DOC/NIST’s Manufacturing Extension Partnership and the State of Michigan (now, MEDC)

• Funding model: 1/3 Federal, 1/3 State, 1/3 customers

• Service model: ½ staff, ½ private sector consultants

• Focus is to improve the competitiveness of Michigan manufacturers with fewer than 500 employees (sweet spot is 25-250)

• Headquartered in Plymouth, with regional offices in Grand Rapids, Flint, Saginaw, Traverse City, and Marquette

• More than 600 customers do formal projects each year

MMTC’s MissionMMTC’s MissionTo enhance the global competitiveness of small and midsize manufacturers.

MMTC’s GoalMMTC’s GoalTo make a significant IMPACT on our customers, that results in increased profitsby reducing costs, increasing sales andcreating new jobs.

Michigan MEP Statewide SystemMichigan MEP Statewide SystemMMTC - Upper Peninsula

394 small manufacturersPrimary Industry: Wood workingRuth Solinski, MMTC

Marquette

MMTC - Northwest627 small manufacturersPrimary Industry: Machine ToolRich Wolin, MMTC

Traverse City

MMTC - West3876 small manufacturersPrimary Industry: Office FurnitureJim Ross, MMTC

Grand Rapids

MMTC - Saginaw Valley/Northeast1112 small manufacturersPrimary Industry: Automotive SupplyRobert Schooks, MMTC

MMTC - Southeast8192 small manufacturersPrimary Industry: AutomotiveBruce Knapp, MMTC

MMTC SEMI & Central

University Center

Flint

MMTC – Genesee Valley580 small manufacturersPrimary Industry: AutomotiveMarlene Nicol, MMTC

14,781 Michigan Small Manufacturers

MMTC: Good for Michigan MMTC: Good for Michigan Employers, Good for MichiganEmployers, Good for Michigan

MMTC clients will be interviewed by an independent, third-party survey firm (Synovate) with one year after their project has been completed.

Results reported by NIST recently:

MMTC’s impact goes beyond individual manufacturing customers. The sales improvements, cost savings, and jobs created and retained help to enhance Michigan’s strong industrial base and employment.

MMTC Experience & CredentialsMMTC Experience & Credentials

• MMTC’s delivery staff work together on a daily basis, sharing best practices to continuously improve the services we offer to our customers.

• MMTC professionals average 20 years experience in their area of expertise.

• We’ve combined hands-on experience and education, with industry-proven techniques and a wealth of knowledge gathered from working with hundreds of companies.

From Surviving to Thriving ProgramFrom Surviving to Thriving Program

A new program offered by the

Michigan Department of Labor and Economic Growth and

Michigan Manufacturing Technology Center

The MMTC can provide training and consulting assistance to Michigan manufacturers adversely effected by the current economic environment

and cutbacks from their major customers

As part of the program grant, up to 75% of the costs for training and consulting assistance may be paid by grant funds.

Market Diversification and Performance Excellence in Michigan Manufacturers

From Surviving to Thriving ProgramFrom Surviving to Thriving Program

Market Market DiversificationDiversification

What is Market Diversification?What is Market Diversification?We will focus on three ways to increase sales and profits:

1. New business with existing customers

Managing customer data, determining product and quote profitability

2. New customers in current markets

Identifying customer types and targeting similar prospects

3. New customers in new markets

Evaluating and prioritizing new markets, finding new prospects

Diversification can help offset cyclical markets and provide opportunities to improve margins.

Targeting new customer basesTargeting new customer basesThe purpose of the customized new market study is to

move from this scenario…

To this…

LEAN Business LEAN Business SolutionsSolutions

What is Lean?What is Lean?A systematic approach applied to the value chain (business process) aimed at streamlining theseprocesses by:

Eliminating WASTE utilizing Lean tools and techniquesthat have been proven to result in:• Improved Information Flow • Improved Material Flow• Improved Efficiency• Increased Capacity• Reduced Lead Time• Improved Productivity• Increased Cash Flow

Six SigmaSix Sigma

Six Sigma is a:

• Statistical Measure

• Business Philosophy

• Problem Solving Methodology (DMAIC)

What is Six Sigma?What is Six Sigma?

Quality Management Quality Management SystemsSystems

ISO ISO 9001:20009001:2000

GenericGeneric

• 5 Clauses5 Clauses

• Process Process based based systemsystem

AS 9100AS 9100 OEMOEMaerospace aerospace requirementrequirement

ISO/TS 16949ISO/TS 16949

(For “Big (For “Big Three” plus Three” plus European European AutomotiveAutomotive

Parts and Parts and Service 1Service 1stst Tier Tier Suppliers)Suppliers)

• All of the ISO All of the ISO 9001:2000 9001:2000 requirements requirements

• Expanded Expanded Elements For Elements For AutomotiveAutomotive

ISO 14001ISO 14001

Environmental Environmental SystemSystem

EMS “green”EMS “green”

ISO 13485ISO 13485

For Medical For Medical Device Device ManufacturerManufacturer

TL 9000TL 9000

For For telecommunications telecommunications industry suppliersindustry suppliers

Activity-Based Activity-Based CostingCosting

What is Activity-Based Costing?What is Activity-Based Costing?

An analysis of the activities in yourorganization and how much each

activity actually costs.

What we ask of you …What we ask of you …if you are interestedif you are interested

• Take a copy of the performance benchmarking and customer survey

• Complete and send back your assessment survey

• When we receive your completed assessment survey, we will:

– Determine eligibility for grant $$$

– Create a formal proposal

– Contact you to discuss timing

Please remember that grant funds are limited, and will be distributed on a first-come, first-serve basis to qualified companies

How to access assistanceHow to access assistanceMMTC – SEMIMichigan Manufacturing Technology Center47911 HalyardPlymouth, MI 48170

Mike Vincent Phone: 888-414-6682 ext. 1111Cell: 734-634-2658 Fax: 734-451-4201e-mail: mvincent@mmtc.org

MMTC – NorthwestMichigan Tech. Ed. Center (M-TEC) at NMC1701 E. Front StreetTraverse City, MI 49686

Richard WolinPhone: 231-995-2003Fax: 231-995-2022Email: rwolin@nmc.edu

MMTC – Genesee ValleyGenesee Regional Chamber of Commerce519 S. Saginaw St. Suite 200Flint, MI 48502

Marlene NicolPhone: 810-600-1436Fax: 810-600-1461e-mail: mnicol@thegrcc.org

MMTC – NortheastCenter for Manufacturing Improvement at SVSU7400 Bay Rd.University Center, MI 48710

Bob SchooksPhone: (989) 964-7076Fax: (989) 964-2656Email: rmschook@svsu.edu

MMTC - Upper PeninsulaNorthern InitiativesP.O. Box 7009Marquette, MI 49855

Dennis WestPhone: 906-226-1671 Fax: 906-228-5572e-mail: dwest@niupnorth.org

MMTC – WestRight Place Inc.161 Ottawa Ave NWSuite 400Grand Rapids, MI 49503-2701

Jim RossPhone: 616-771-0557Fax: 616-771-0555e-mail: rossj@rightplace.org

Counties served by MMTC Counties served by MMTC Regional OfficesRegional Offices

Southeast West Northeast Northwest Genesee Valley UP

Bruce Knapp Jim Ross Robert Schooks Rich Wolin Marlene Nicol Dennis West

(888) 414-6682 (616) 771-0557 (989) 964-7046 (231) 995-2003 (810) 600-1436 (906) 226-1671

           Eaton Allegan Alcona Antrim Clinton Alger

Hillsdale Barry Alpena Benzie Genesee Baraga

Ingham Berrien Arenac Charlevoix Lapeer Chippewa

Jackson Branch Bay Emmet Shiawassee Delta

Lenawee Calhoun Cheboygan Grand Traverse   Dickinson

Livingston Cass Clare Kalkaska   Gogebic

Macomb Ionia Crawford Lake   Houghton

Monroe Kalamazoo Gladwin Leelanau   Iron

Oakland Kent Gratiot Manistee   Keweenaw

St. Clair Mecosta Huron Mason   Luce

Washtenaw Montcalm Iosco Missaukee   Mackinac

Wayne Muskegon Isabella Osceola   Marquette

  Newaygo Midland Wexford   Menominee

  Oceana Montmorency     Ontonagon

  Ottawa Ogemaw     Schoolcraft

  St. Joseph Oscoda        Van Buren Otsego          Presque Isle          Roscommon          Saginaw          Sanilac          Tuscola