Addressing the Skills Gap in
Manufacturing Operations
Dick Hill
Vice President
ARC Advisory Group
Dhill@arcweb.com
2
© ARC Advisory Group
What Skills Uncertainty Gap?
StaffingLevel
Safe Operating Level
Gap
Skilled and Working For You
Tim...
3
© ARC Advisory Group
Changing Workforce Demographics
Persons 65 and Over - US Census 2002
The paradox is that although w...
4
© ARC Advisory Group
Average Age of Personnel
Large Middle Aged Population
0% 20% 40% 60% 80% 100%
Operators
Process &
P...
5
© ARC Advisory Group
Manufacturing Lacks Appeal
How Do You Get Them Interested…
…In Being Here?
6
© ARC Advisory Group
Current Education Level for Operators
* Other includes, special certificates, technical school, or ...
7
© ARC Advisory Group
Best Practices for Hiring Qualified
Personnel
• Provide Visible Leadership Support for
Training Pro...
8
© ARC Advisory Group
How Do You Know Your Team Is Prepared?
0%
10%
20%
30%
40%
50%
60%
70%
0-2% 2-5% 5-10% Over 10%
Perc...
9
© ARC Advisory Group
0% 20% 40% 60% 80% 100%
Less Than 40
40-80
80-160
More Than 160
On The Job Training (OJT) Computer ...
10
© ARC Advisory Group
Control Engineers Training Options Versus Hours
0% 20% 40% 60% 80% 100%
Less Than 40
40-80
80-160
...
11
© ARC Advisory Group
Current Practices for Operator Skills
0% 20% 40% 60% 80% 100%
Incident Training
"What If" Training...
12
© ARC Advisory Group
Best Practice for Training
• Establish a Testing Program with Success
Criteria
• Link Certificatio...
13
© ARC Advisory Group
New Company
The Issue of Retention
Your Company
How Do You Keep Them?
What Makes Trained Employees...
14
© ARC Advisory Group
Best Practices for Retention
• Clear Job Description
• Challenging Work Environment
• Employee Fee...
15
© ARC Advisory Group
Does Your Performance Measurement
System Reward or Punish?
People Need To Know How They Are Being ...
16
© ARC Advisory Group
Thank You.
For more information, contact the author at
dhill@arcweb.com. Please visit our web page...
Upcoming SlideShare
Loading in …5
×

ARC's Dick Hill's Skills Gap Presentation from ARC's 2008 Industry Forum

242 views

Published on

ARC's Dick Hill's Skills Gap Presentation from ARC's 2008 Industry Forum in Orlando, FL.

Published in: Technology, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
242
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
2
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

ARC's Dick Hill's Skills Gap Presentation from ARC's 2008 Industry Forum

  1. 1. Addressing the Skills Gap in Manufacturing Operations Dick Hill Vice President ARC Advisory Group Dhill@arcweb.com
  2. 2. 2 © ARC Advisory Group What Skills Uncertainty Gap? StaffingLevel Safe Operating Level Gap Skilled and Working For You TimeToday
  3. 3. 3 © ARC Advisory Group Changing Workforce Demographics Persons 65 and Over - US Census 2002 The paradox is that although workers are getting older on average, the average retirement age has dropped to 58 years. Workers Live Longer – Retire Earlier
  4. 4. 4 © ARC Advisory Group Average Age of Personnel Large Middle Aged Population 0% 20% 40% 60% 80% 100% Operators Process & Production Engineers Control Engineers Maintenance & Instrument Technicians Shift Supervisor Line Management Below 30 yrs 30 yrs - 50 yrs Over 50 yrs Source: ARC 2007 Survey
  5. 5. 5 © ARC Advisory Group Manufacturing Lacks Appeal How Do You Get Them Interested… …In Being Here?
  6. 6. 6 © ARC Advisory Group Current Education Level for Operators * Other includes, special certificates, technical school, or task specific training 0% 10% 20% 30% 40% 50% 60% College Degree Prior Experience in a Similar Position None Associates Degree or Equivalent Other High School Diploma * Majority of Operators Arrive with a High School Diploma Source: ARC 2007 Survey
  7. 7. 7 © ARC Advisory Group Best Practices for Hiring Qualified Personnel • Provide Visible Leadership Support for Training Programs • Collaborate with Local Schools • Minimum Hiring Standards • Structured Induction Programs • Experienced Mentoring Programs What Practices Work For You? Source: ARC 2007 Survey
  8. 8. 8 © ARC Advisory Group How Do You Know Your Team Is Prepared? 0% 10% 20% 30% 40% 50% 60% 70% 0-2% 2-5% 5-10% Over 10% Percent of Annual Hours Spent on Training PercentofPopulation Training Hours Do Not Reflect the Impending Crisis Time Spent Training Source: ARC 2007 Survey
  9. 9. 9 © ARC Advisory Group 0% 20% 40% 60% 80% 100% Less Than 40 40-80 80-160 More Than 160 On The Job Training (OJT) Computer Based Training (CBT) Simulator Based Training Abnormal Situation/Incident Classroom (On-site) (Supplier) Classroom (On-site) (Other) Classroom (Off-site) (Supplier) Classroom (Off-site) (Other) Operator Training Options versus Hours Heavy Reliance on OJT Source: ARC 2007 Survey Supplier- based Classroom
  10. 10. 10 © ARC Advisory Group Control Engineers Training Options Versus Hours 0% 20% 40% 60% 80% 100% Less Than 40 40-80 80-160 More Than 160 On The Job Training (OJT) Computer Based Training (CBT) Simulator Based Training Abnormal Situation/Incident Classroom (On-site) (Supplier) Classroom (On-site) (Other) Classroom (Off-site) (Supplier) Classroom (Off-site) (Other) More Supplier- based Training
  11. 11. 11 © ARC Advisory Group Current Practices for Operator Skills 0% 20% 40% 60% 80% 100% Incident Training "What If" Training Retiree Mentors Off Shift Mentors Certivication Process Induction Process Yes No Few Take Advantage of Retiree Resource And Incident Training may be Inadequate Source: ARC 2007 Survey
  12. 12. 12 © ARC Advisory Group Best Practice for Training • Establish a Testing Program with Success Criteria • Link Certification to Job Function and/or Reward • Conduct Regular Gap Analyses Between Employee and Mentor • Encourage Employees to Obtain Industry- recognized Qualifications • Provide Periodic Recertification What Practices Work For You? Source: ARC 2007 Survey
  13. 13. 13 © ARC Advisory Group New Company The Issue of Retention Your Company How Do You Keep Them? What Makes Trained Employees Leave? Concerns about “Your Company” Better Working Conditions More/Less Responsibility Location – Weather Growth Potential Recognition Money ?
  14. 14. 14 © ARC Advisory Group Best Practices for Retention • Clear Job Description • Challenging Work Environment • Employee Feedback Process • Establish Training Standards • A Plan for Every Person • Emphasis on Skills Not Cost of Training • Inclusive Project Teams • Mentor Programs for Learning • Clear Reward-for-Performance What Practices Work For You? Source: ARC 2007 Survey
  15. 15. 15 © ARC Advisory Group Does Your Performance Measurement System Reward or Punish? People Need To Know How They Are Being Measured And The Measures Need To Actionable KPI KPI
  16. 16. 16 © ARC Advisory Group Thank You. For more information, contact the author at dhill@arcweb.com. Please visit our web pages at www.arcweb.com

×