Presented at the Sheffield Hallam University Learning & Teaching Conference 2016 on 23 June, this presentation looks at how labour market information can be used to inform strategy and communicate to people about how they can find a successful, sustainable career.

1. How can labour market data
influence an Hourglass?
Dr Jamie Mackay | Business Development Manager for HE
e: Jamie.Mackay@economicmodelling.co.uk | t: 07740 344750

2. Recap
• Universities engaging with and producing
practical solutions to real world problems

3. Contributors to UK Economy
• £39.9bn (2.8% of GDP) in 2011
(Universities UK, 2015)
• Turn innovative ideas and research
discoveries into new businesses
• Foster entrepreneurship and employability
(on and off campus)
• Contributions felt locally, regionally and
nationally

4. Contributors to UK Economy

5. Making the (regional)
difference
University Alliance:
• High quality teaching, critical to creating the
world’s future leaders and problem
solvers… preparing students for a career in
industry and the professions
• >20,462 business links (incl. ~14,000
SMEs)
• 21% of all turnover and 30% of all jobs from
UK graduate start-ups
• Leaders in cities and regions.

6. Making the regional difference
• Providing skills and knowledge for
employers
• Creating businesses and jobs
• R&D activity to (e.g.) raise productivity
• Attracting investment and talent to the
region - domestic and foreign
• Support delivery of LEP strategic priorities

7. Insights into regional
economies - GB

8. Insights into regional
economies - GB
2,736,892 76,440
11,519

9. Insights into regional
economies - GB

10. Insights into regional
economies - GB

11. Insights into regional economies
– Yorkshire and the Humber

12. Insights into regional economies
– Yorkshire and the Humber
201,340 6,441
960

13. Insights into regional economies
– Yorkshire and the Humber

14. Insights into regional economies
– Yorkshire and the Humber
Industry description (4-digit) 2016 - 2019 Change
Hospital activities 5,971
Activities auxiliary to financial services and insurance activities 3,484
Activities of head offices 3,057
Public administration and defence; compulsory social security 2,954
Restaurants and mobile food service activities 2,773
Construction of other civil engineering projects n.e.c. 2,021
Social work activities without accommodation for the elderly and disabled 1,922
Maintenance and repair of motor vehicles 1,891
Other social work activities without accommodation n.e.c. 1,766
Warehousing and storage 1,672

15. Insights into regional economies
– Yorkshire and the Humber
Job description (4-digit) Annual Openings
Care workers and home carers 3,931
Sales and retail assistants 3,881
Cleaners and domestics 3,210
Nurses 2,812
Other administrative occupations n.e.c. 2,801
Elementary storage occupations 2,454
Kitchen and catering assistants 1,971
Large goods vehicle drivers 1,691
Nursing auxiliaries and assistants 1,675
Primary and nursery education teaching professionals 1,647

16. Insights into regional economies
– Yorkshire and the Humber
Job description (Graduate-level, 4-digit) Annual Openings
Nurses 2,812
Primary and nursery education teaching professionals 1,647
Sales accounts and business development managers 1,642
Secondary education teaching professionals 1,267
Medical practitioners 1,215
Production managers and directors in manufacturing 952
Financial managers and directors 770
Business and financial project management professionals 723
Programmers and software development professionals 711
Chartered and certified accountants 625

17. Graduates and diversity
• More ‘WP’ cohorts attending university
• HE in FE also important for ‘WP’ –
particularly in more rural communities
• Access to HE enables ‘second chance’ for
adult learners
• More representative boardrooms?
• Changes to recruitment processes and
procedures (e.g. Deloitte, EY, KPMG,
PwC)

18. Graduates and Economic Growth
• 1% increase in graduates
associated with 7.5% increase
in average productivity three
years later
• On average, each graduate
contributes an extra £80k in
tax and social contributions
across their working life

19. Graduates and Economic Growth
• Higher employment rates
• Lower unemployment rates
• High-skilled employment
• Higher earnings
• More mobile in the labour market…

20. Introducing Generation Z
Ref.: www.visioncritical.com/generation-z-infographics
• Born 1995-2010 (I’m Gen. X!)
• Cool experience > Cool product
• DIY > Buy
• Tech savvy, digital natives (digital
immigrants)
• Innovative, online researchers wanting to
boost their people management skills and
become entrepreneurs rather than employees
• If they don’t like it, they’ll move on!

21. Hourglass
Economy…

22. > 70%
61 – 70%
51 – 60%
41 – 50%
31 – 40%
< 31%
* Reference: Ball, C. 2015. Loyals, Stayers, Returners and Incomers: Graduate migration patterns.
HECSU.
31 – 40%
21 – 30%
11 – 20%
0 – 10%
‘Loyal’ graduates from 2012/13 employed after
six months in each region*
‘Returner’ graduates from 2012/13 employed
after six months in each region*

23. Introducing Generation Z
References:
The UK Graduate Careers Survey 2015, High Fliers Research
Accenture Strategy 2015 UK University Graduate Employment Study, Accenture
• More career-focused than predecessors
• Researching careers in first year
• Undertaking work experience; including
placements and internships
• Higher salary expectations - £41k by 5yrs
(although these are not always met!)
• Feel underemployed by some businesses
• Commonly looking to work in SMEs

24. Taking stock
• Continue to engage real world problems
and produce practical problems
• Regionalism / Devolution agenda
• Historically, universities perceived as
supply-driven producers of workforce
talent
• But…

25. Taking stock
• This traditional model is missing the
needs / demands of:
– the labour market
– the local / regional / national economies
– (the learners themselves)
• So, here’s a new vision:

26. A new vision
(Ref. Andy Westwood)
Universities take on a larger role in balancing
supply/demand components of education
and the labour market:

27. Shaping and communicating
your portfolio of courses
• Where are your students coming from?
• What are your students’ expectations?
• Where are your graduates going?
• How does your curriculum portfolio map
to the needs of these regions?
• What is the competition doing?

28. Employer-focused provision

29. Employer-focused provision
• Addressing real world problem of perpetual
skills gaps
• Help HEIs grow regional economies
• Entry into labour force and transferability of
skills beyond - including overseas
• Impact on productivity immediately (rather
than waiting 3-4 years)
• Widening participation and social mobility
• Social capital in classroom + workplace

30. Employer-focused provision
Communicating the value of work-based
routes to key stakeholders:
• Internal colleagues
• Employers
• Schools / Colleges
• Prospective Apprentices
• Parents / Carers

31. How can labour market data
influence an Hourglass?
1. Universities as Economic Developers
2. Higher level skills enable mobility
3. Regional insights are key
4. Balancing supply / demand components of
education and the labour market
5. Labour market data can both inform
strategic direction and communicate
valuable messages to prospective learners

32. Any questions?
Dr Jamie Mackay | Business Development Manager for HE
e: Jamie.Mackay@economicmodelling.co.uk | t: 07740 344750

33. Dr Jamie Mackay | Business Development Manager for HE
e: Jamie.Mackay@economicmodelling.co.uk | t: 07740 344750