Donald J. Carstensen Special Advisor, Office of the President/COO Workforce Development, ACT, Inc. Michigan National Career Readiness Certificate Conference November 17, 2009 Stand Up For a Skilled Workforce

The brain is an organ that starts working the moment you get up in the morning and does not stop until you get into the office. Robert Frost

If the rate of change on the outside exceeds the rate of change on the inside, the end is near. Jack Welch Former Chairman and CEO General Electric Corp.

Skills Gap Preparation Gap Belief Gap Leadership Gap Four Challenges

There is a gap between the skills required in a high performance workplacesetting and the skills individuals in and seeking to enter the workplace possess. Disconnect Number 1

The programs of study individuals are choosing to pursue and their preparation are not aligned with the needs of the workplace. 4% of students planning to major in computer-related fields of study and IT job opportunities 5% of students planning to major in science Disconnect Number 2

Nearly 1/5 of high school students who plan to major in science do not take three years of mathematics and science courses in high school. The relationship between course taking pattern in high school and performance in college coursework and on the ACT Assessment is highly correlated. Disconnect Number 2

There is a disconnect between supply side and demand side standards. Expectations Focus Articulation Alternative credentials Disconnect Number 3

There is a disconnect between the views of the stakeholders as to the extent and nature of the problem. –Teachers –Parents –Administrators –Business Leaders Disconnect Number 4

People seldom improve when they have no other model but themselves to copy after. Goldsmith

What challenges do employers face? 1.Employees from the “Baby Boom” generation will be leaving the workforce and likely faster than they can be replaced by employees new to the workplace.

What challenges do employers face? 2.Many skills and procedures are not documented. Business history and critical knowledge bases are lost with employee retirements.

What challenges do employers face? 3.The skill requirements and performance expectations for existing positions continue to rise.

What challenges do employers face? 4. The changing nature of the workplace is increasing application of technology increasing use of group processes increasing desire to move the decision-making prerogative closer to the client or production transactions

What challenges do employers face? 5.Incumbent employees can require substantial retraining every 5 to 7 years.

What has changed in the workplace? The nature of the Workforce is changing under prepared/over employed aging increasing diversity socioeconomic status divide

What has changed in the workplace? Employees as narrow specialists Employees as broad generalists One occupation for life Change in occupations every 5-7 years Job skills acquired outside of the workplace Job skills acquired in the workplace Employees enter workplace prepared to be productive Employees enter workplace prepared to learn job-specific skills

“Knowledge has become the only source of long-run sustainable advantage, but knowledge can only be employed through the skills of individuals.” Lester C. Thurow The Picture of Capitalism

The Learning Model Continue building skills Assess skills Skills gap identified Prepare d to learn Enter workforce Select training options Foundational skills development

How it works: Set and communicate clear expectations for workplace preparedness. Allow multiple entities to focus on building those foundational skills. Create an induction model to bring those skills in-house. The Knowledge Supply Chain

Education K-16 Action Steps Incorporate skills into curriculum. Award NCRC-develop funding strategies. Adopt the NAM Skills Certification System. Guidance: connecting interest to opportunities. Consider recognition strategies. Connect to employer community. Employers Recommend NCRC to job applicants. Incent individual achievement.

If a boy has enough intelligence he should consider studying for the ministry, unless when he goes to the university he is given to carousing, drinking, and wenching in which case he ought to consider law. J. Collyer, 1761