Skills Battle 2008


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Winning the Skills Battle and losing the Knowledge War - How we can invest heavily in formal training schemes and still be uncompetitive

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  • The ageing demographic at all levels in the workforce, and a subsequent looming massive loss of corporate knowledge and skills; Low levels of young employees into the sector as talented school leavers seek employment in other, more attractive, industries; Current and emerging shortages in key skill specialist skill areas; Globalisation of the sector and increased international competition for skilled employees resulting in loss of talent overseas; Generally low levels of industry innovation and research compared to other Australian industry sectors and international best practice; and Poor structural linkages between school, vocational and higher education sectors having an adverse impact on learning and development outcomes.
  • Most public and private organisations across Australia have some level of training and development, succession planning and research/innovation built into their operations and strategic plans The sector invests over $1.2 billion a year in various forms of education, training and innovation programmes; The education system (schools, vocational and higher education institutions) has courses and research projects that add value to the sector; and Private consultants across the nation offer ideas and solutions to specialised technical, organisation and management problems.
  • The number of apprentices and trainees in training in the transport and storage industries increased in recent years from 18,800 in 2000 to 27,900 in 2003. To some extent this trend is consistent with the overall expansion in apprentices and trainee numbers in recent years. People enrolled in AQF courses have risen from 27,956 in 1998 to 44,344 in 2003. This sector is outperforming others in terms of growth in training, although admittedly starting from a lower base. Some sectors, especially road transport, have shown significant increases in training investment. There is a growing sense of urgency as the ageing demographic rolls through the society. (ANTA Report 2004)
  • There is a growing loss of skills and corporate knowledge from the sector, corporate memory is fading as people retire or are made redundant, there are long term talent retention issues, and a continuing poor image of the sector compared with other parts of the economy. A long-term shift is needed in the way the people who manage and govern in the sector think about the sector in terms of building capability. We have to think about sharing knowledge in smarter ways, not just building more classrooms, or sending people on more courses.
  • Target: to have a fully functional workforce planning model produced and updated on an annual basis
  • Examples of TALC outcomes: All secondary schools reached across Australia (approx 3000 contacted over 3 years) Reach parents and kids (approximately 300,000 contacted over 3 years Reach teachers and careers advisors (over 10,00 teachers and 4,000 careers advisors contacted over 3 years) Curriculum Support (hard copy and on line materials) Support for careers web sites e.g. LINC in South Australia Try-A-Trade mobile events in NSW
  • Target: T&L studies in curriculum in every State.
  • Examples of TALC outcomes: An additional 1600 traineeships across the sector in 15 months through a combination of awareness raising and consortium agreements with Group Training Companies at average rate of $200 per new trainee. In Queensland TALC supported a volunteer industry careers forum that created over 120 new traineeships in schools with high aboriginal student populations Adopt-A-School across the country SHIFT programme from South Australia
  • Example of TALC outputs: 4,500 specially created DIY mentoring pocket books for T&L developed and distributed across Australia, with on line resources on TALC web site and demonstration projects running in industry associations and selected companies
  • Target: at least one dual sector campus for T&L studies in each State.
  • Target: At least one campus in each State prepared to offer professional degrees, and at least 100 professional awards made. Examples of TALC outcomes: CTP and CPL professional awards
  • Target: At least 10 key pathways mapped and accepted at the national level.
  • Target: Generic career maps in all modes accepted by employers. Outcome: web portal for careers advice developed by South Australian Freight Council and supported by TALC
  • Example of TALC outcome: A fully interactive market exchange for ideas and learning accessible by anyone, anytime from anywhere. Demonstration site at
  • Target: All key higher education institutions in the consortium Example of TALC output: creation of a national virtual transport and logistics College to network existing education and training providers together via TILIS. This has been endorsed by the ALC and the ATC, and is in effect a consortium approach
  • Target: A narrative database open to the entire sector, combined with workshops, seminars and publications to promote and share good practices.
  • Target: Active national communities of practice in key areas.
  • Target: A fully functioning toolkit for knowledge management in T&L.
  • Skills Battle 2008

    1. 1. WINNING THE SKILLS BATTLES AND LOSING THE KNOWLEDGE WAR How the transport and logistics (T&L) sector in Australia can invest heavily in training and still be uncompetitive
    2. 2. How the industry is perceived...
    3. 3. Transport and Logistics in Australia – Perception or Reality? conservative operational rustbelt undereducated lacking innovation boring a blokes industry 2% margins old world ageing not into technology
    4. 4. FACTS ABOUT T&L IN AUSTRALIA <ul><li>Over 1.2 million people work in the industry </li></ul><ul><li>T&L contributes over 14.5% to GDP (more than mining, agriculture and education combined) </li></ul><ul><li>It is a key enabling sector of the whole economy </li></ul><ul><li>There are over 165,000 organisations in T&L (2,500 in mining, 3,000 in energy and utilities) </li></ul><ul><li>Some large and many small (especially in road transport) </li></ul><ul><li>Average employment is less than 5 people per organisation </li></ul><ul><li>T&L is found everywhere across the nation, in cities, regions and remote communities </li></ul><ul><li>T&L is 24 hours a day, 365 days a year </li></ul>
    5. 5. KEY WORKFORCE SKILLS CHALLENGES <ul><ul><ul><li>Ageing demographic </li></ul></ul></ul><ul><ul><ul><li>Much reduced school leaver population to 2020 </li></ul></ul></ul><ul><ul><ul><li>Low levels of recruitment of young people </li></ul></ul></ul><ul><ul><ul><li>Low participation rates of women </li></ul></ul></ul><ul><ul><ul><li>Low participation rates of indigenous population </li></ul></ul></ul><ul><ul><ul><li>58% of workforce have no post school education </li></ul></ul></ul><ul><ul><ul><li>Less than 20% have higher education qualifications </li></ul></ul></ul><ul><ul><ul><li>Low completion rates in vocational training </li></ul></ul></ul><ul><ul><ul><li>Current and emerging shortages of skills </li></ul></ul></ul><ul><ul><ul><li>Globalisation of the labour market </li></ul></ul></ul><ul><ul><ul><li>Low levels of innovation compared to other sectors </li></ul></ul></ul><ul><ul><ul><li>Poor structural linkages between modes </li></ul></ul></ul><ul><ul><ul><li>Lack of national leadership on skills question </li></ul></ul></ul><ul><ul><ul><li>Lack of data on workforce planning </li></ul></ul></ul>
    6. 6. CURRENT STATE OF PLAY Most organisations have some training and development, succession planning, innovation, strategies Industry invests approx $1.2 billion per year in training Formal state and national training systems are in place Private consultants are everywhere
    7. 7. CURRENT EXPENDITURE <ul><li>51% non award programmes </li></ul><ul><li>29% TAFE type vocational courses </li></ul><ul><li>17% licenses and other regulated training </li></ul><ul><li>3% higher education programmes </li></ul>
    8. 8. This is an “on-the-job” and vocational based industry that relies heavily on people who know that they are doing on a daily basis as they deal with clients and customers. However it also relies on back office systems and ICT to link supply chains together LOW TECH + HIGH TECH
    9. 9. MOVEMENT AND IMPROVEMENT Numbers of apprentices and trainees have increased over the past ten years People enrolled in AQF courses have increased Some sectors (road transport) have done better than others Some organisations are responding to the growing sense of urgency as the ageing demographic emerges
    10. 10. All of this is not enough. Skill loss is still growing; Corporate memory is leaving; Talent is leaving, or not joining; and the industry image remains poor in career terms We have to change the way we think about the industry This is about building industry capability from the ground up, not just training more people
    11. 11. Ideas are everywhere, but leadership is often missing <ul><li>TALC and others have undertaken substantial research into the issues since 2000 </li></ul><ul><li>There are hundreds of industry volunteers out there forging ahead with ideas </li></ul><ul><li>There are over 100 industry Associations who appreciate the challenges, but they serve their limited membership, not the nation </li></ul><ul><li>Many local groups have already commenced strategies to fix the problems </li></ul><ul><li>Regions, States and Commonwealth groups are doing their own thing </li></ul><ul><li>There is a lot of ego and territory in this business </li></ul><ul><li>Individual companies often do not see themselves as part of an “industry” but rather they live in the midst of “competitors” </li></ul>
    12. 12. Attract, Recruit, Retain Staff Create, Share, Sustain Corporate Knowledge Train, Educate, Develop, Coach, Mentor, Everyone + + = BUILDING CAPABILITY
    13. 13. What can Government do? <ul><li>Plan for a future workforce </li></ul><ul><li>Regulate accreditation and skills </li></ul><ul><li>Facilitate recruitment and retention strategies </li></ul><ul><li>Encourage employers to take up traineeships </li></ul><ul><li>Coordinate agencies of government to best effect </li></ul><ul><li>Assist existing groups to accelerate outcomes </li></ul><ul><li>Engage with industry to provide leadership </li></ul><ul><li>Include all Australians ; especially women, regional and remote centres, and indigenous communities </li></ul>And there are specific areas of interest where government can act now
    14. 14. LET’S FIND OUT WHAT'S GOING ON OUT THERE! A national T&L workforce plan must be agreed; based on sound empirical research and reliable data We need to have a much better understanding on the scope and nature of the T&L industry in Australia, and a study needs to be undertaken across all modes in order to appreciate the complexity of sector. Such a study should focus on skills, changes in workforce demographics and future trends in the job market in T&L.
    15. 15. GET MORE KIDS INTO THE INDUSTRY! An education and awareness campaign run through careers advisors, teachers, community groups and parents. This will include production and distribution of written materials, digital media and internet sites that promote careers in the sector amongst school leavers. Awareness Raising In Schools About Transport And Logistics As A Career Option
    16. 16. TEACH ABOUT T&L IN SCHOOLS! Rejuvenation of the junior secondary curriculum to include T&L studies as part of the core framework. It is years 6-10 that students tend to make decisions about the kind of work they want to do when they leave school. Curriculum Development To Include Transport And Logistics In Junior Secondary (Years 6-10)
    17. 17. GET MORE TRAINEES AND APPRENTICES! Creation of additional pre vocational traineeships across the sector, across all modes. The sector has been performing well in this regard, but there is a need to raise the stakes as the ageing demographic moves through the workforce in the coming decade. Additional Pre Vocational Traineeships And Pre Apprenticeships
    18. 18. SHARE THE WISDOM! Creation of a national mentoring and coaching scheme using employees and recently retired employees. The amount of corporate memory and knowledge that is walking out the doors of business and government is staggering. We need to retain and share this knowledge through new ways and means. Development And Sharing Models Of Mentoring/Coaching Systems
    19. 19. MAKE LEARNING ACCESSIBLE TO EVERYONE! Seamless articulation from vocational to higher education through development of common curriculum, recognition of vocational qualifications and encouragement of dual sector campuses. Making The Intersection Between Vocational And Higher Education Seamless And Easy For People In The Sector
    20. 20. RECOGNISE TALENT! Creation of system of professional degrees and awards that recognizes the work experience of key employees at all levels. This implies recognition of senior managers, senior operators and specialists who have made outstanding contributions to their craft, but who never had the opportunity to attend formal classes in later years. Establishment Of Professional Awards For Outstanding People In The Sector
    21. 21. MAKE LEARNING FOR LIFE! Modeling of school to work to vocational training to higher education in key areas of skill shortages e.g. railway signaling, transport safety management. Identification of life long pathways that articulate from school to TAFE to University. Support Additional Life Long Learning Pathways In The Sector In Conjunction With Established Institutions
    22. 22. SHOW PEOPLE THE WAY! Career paths mapped and agreed across the sector and linked to recruitment and rewards systems. Working with management to align workforce planning with organisation structures and the desires of younger people for careers in the sector. Assist To Map The Various Career Paths Open To People Joining The Sector In All Modes – Road, Rail, Aviation, Maritime, Distribution And Logistics
    23. 23. CONNECT PEOPLE! Creation of a single web portal for open access to education, communities of practice, knowledge and all related web sites. A powerful and exciting introduction to the internet for everyone in the sector. Interactive capacity with Business to Business and Person to Person possibilities. Creation Of A National Web Gateway – Totally Intelligent Logistics Inquiry Service (TILIS) – To Promote An Online Market Exchange and Clearing House for ideas
    24. 24. GET THE ACADEMICS TO WORK TOGETHER! Bringing together the best of the best academics in teaching, innovation and training to work on common problems and deliver common programmes across Australia. There are a many good academics, but they tend to work together on an ad hoc basis. There are also key examples of how this can be done well e.g. PATREC in Perth, the North West Logistics College in the UK Encourage The Development Of An Education and Training Consortium To Promote Teaching and Training At All Levels – Professional Development, Vocational and Higher Ed
    25. 25. TELL STORIES ABOUT THE INDUSTRY! Capturing the stories of knowledge management and how to do it and writing them up and sharing them. People telling stories that contain knowledge and wisdom are the critical element in learning – this applies on the job as well as in classrooms. The more stories we collect the more useful the database. Develop Case Studies In Good Practice Knowledge Management
    26. 26. GET PEOPLE TOGETHER FACE TO FACE! Establishment of the idea of communities of practice as ways and means of creating, sustaining and sharing knowledge. Informal gatherings and collaborative tasks are ways and means of placing people with knowledge next to each other. Some disciplines e.g. doctors and lawyers, do this already but it is a novel way of sharing knowledge in the T&L sector. Support Key Communities Of Practice In Disciplines And Operational Areas
    27. 27. BETTER TOOLS FOR THE JOB! Development of accessible and open tools and techniques to enable organisations in individuals to share information, and pass on knowledge to future generations. There are ideas about innovation, creativity, succession planning, pre-retirement intellectual property schemes and more. Develop Tools And Methods To Enhance Knowledge Management And Knowledge Transfer, Especially In Succession Planning And Pre-Retirement Schemes
    28. 28. BELIEVE IN THE T&L BRAND! <ul><li>This is an industry that holds the nation together </li></ul><ul><li>This industry enables every sector of the economy </li></ul><ul><li>Social well being depends on T&L </li></ul><ul><li>It is in the forefront of environmental change </li></ul><ul><li>It is global, professional and growing </li></ul>Present the T&L industry as a key part of the economy - everywhere
    29. 29.