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BUILDING THE
MANUFACTURING
TALENT PIPELINE Jobs for the Future – Building Public Private Partnerships
Association of State Colleges and Universities
Grants Resource Center
Washington, DC
August 18, 2015
The advancement of manufacturing is the most
important link to increasing economic prosperity
Does Manufacturing Still Matter?
For every $1.00 spent in manufacturing, another
$1.37 is added to the economy
of Americans believe manufacturing is
very important to economic prosperity 90%
2. Technology development center
3. Energy production facility
4. Healthcare facility
5. Retail center
6. Communications hub
7. Financial institution
Manufacturing Facility #1
Source: 2015 Manufacturing Institute and Deloitte Public Perception of Manufacturing Study
If given an opportunity
to create 1,000 new
jobs in their
community,
manufacturing tops the
list
Manufacturing Does Matter
Technology is Impacting Manufacturing
McKinsey
Manufacturing is Innovating
THE GAP
(Mis)Perceptions Cost Us Workers
Source: 2015 Manufacturing Institute and Deloitte Public Perception of Manufacturing Study
Ranki
ng o
f Indust
ry P
refe
rence
Filling Jobs Is Difficult…
of executives surveyed agree there is a
talent shortage in U.S. manufacturing
SIX out of TEN open skilled production positions
are unfilled due to talent shortage
80% of manufacturers are
willing to pay more than the market rates
even
when
Source: 2015 Manufacturing Institute and Deloitte Skills Gap Study
84%
…And It’s Going to Get More Difficult
2.7M baby boomer retirements
700K manufacturing jobs expected from economic expansion
3.4M manufacturing jobs are likely to be needed by 2025
1.4M jobs are likely to be filled
2M jobs unfilled due to the skills gap
Source: 2015 Manufacturing Institute and Deloitte Skills Gap Study
12% increase in
overtime
+
8% increase in
cycletime
+
10% increase in
downtime
It Costs 11% of Potential Earnings
Source: 2014 Accenture Training Study
Ove
rtim
e
Cyc
letim
e
Dow
ntim
e
Greater than 10%
5-10%
Less than 5%
No impact
Greater than 10%
5-10%
Less than 5%
No impact
Greater than 10%
5-10%
Less than 5%
No impact
Employers
Educators
Community Leaders
National Leadership and Local Action
Goals
1. „Organize manufacturers to speak with one voice
regarding the workforce needed to sustain and grow
manufacturing
2. Engage and align key stakeholders—community
leaders, education institutions, local/state officials—to
take action and build momentum
3. Together, build a system that delivers a sustainable
pipeline of manufacturing talent
CHANGE THE PERCEPTION OF
CAREERS IN MANUFACTURING
Image
Dream It. Do It.
Veterans Youth Women
STEP Ahead: Women in Manufacturing
1. Honor leadership
2. Celebrate careers
3. Develop a more diverse workforce
4. Ensure new opportunities
5. Inspire the next-generation
Start from the Top
Foster Sponsorship and
Mentorship
What Can You Do?
Get Skills to Work: Transitioning Veterans
What Can Employers Do?
1. Share your
company story
2. Begin cultural
change, starting
from the top
3. Cross-walk
position needs to
military
experience
Leading from Education
Education Council
Nationally-recognized education leaders representing K-12, community/technical colleges, and four year institutions.
Council members and the institutions they represent are committed to delivering high-quality manufacturing education and training programs designed to meet the skill requirements of our nation's manufacturers.
Council members play an active role at the local, state and/or national level in shaping and promoting policies designed to promote career and technical education, competency-based education, industry credentials, innovation and applied research.
The Manufacturing Institute leverages the expertise of Council members to expand and enhance our broad network of education-business partnerships across the county.
Members
What Can Educators Do?
• Learn about modern manufacturing by visiting plants,
participating in externships, etc.
•Promote manufacturing as a viable career choice:
Emphasize advanced and emerging technologies
Stress the high-wage career pathway from entry-level production
through engineering; and
Emphasize the growth opportunity across all career opportunities –
HR, finance, accounting, marketing, sales, quality, etc.
There is Hope…
Internships, work study or apprenticeship
Tours of advanced manufacturing facilities for students
72%
52%
Programs would increase interest in
manufacturing
Source: 2015 Manufacturing Institute and Deloitte Public Perception of Manufacturing Study
Those familiar with manufacturing are 2x
as likely to consider it
RE-ESTABLISH THE U.S. AS THE GLOBAL
LEADER OF MANUFACTURING EDUCATION
Quality
Knowledge is Power
Average cost of a
bad hire:
1.5x base salary
Developing Quality Education
15 Endorsed Certifications
The Path Forward
More than
419,000 industry certifications
Building the Pipeline
Over 90% of companies
that use certifications
believe they make a
difference
What Can Educators Do?
•Work with employer to develop work-based learning
opportunities
•Align manufacturing programs with industry-based
standards and certifications
•Support faculty development, including certifying
instructors, and
• Invite industry into the classroom to inform design and
content
•Analyze
•Prefer certifications
•Ask your education partners to
deliver certified students
•Provide work-based learning
What Can Employers?
ADVOCATE FOR EDUCATION AND JOB TRAINING
POLICIES THAT STRENGTHEN THE U.S.
MANUFACTURING WORKFORCE
Policy
Get Up.
Get Involved.
Get Engaged.
Jennifer McNelly
President
The Manufacturing Institute
E-mail: jmcnelly@nam.org
www.themanufacturinginstitute.org
@TheMfgInstitute
@JMcNellyNAM
Contact Information
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