1. “More & Better: Preventing a Workforce Meltdown”
New North Summit 2007
Edward E. Gordon
Keynote Address:
“More & Better: Preventing a Workforce Meltdown”
Edward E. Gordon

3. The Education-to-Employment System is broken
Edward E. Gordon

4. “More & Better: Preventing a Workforce Meltdown” Agenda
Part I: Issues
Part II Solutions & Opportunities
Edward E. Gordon

5. Agenda Part I: 2010 Issues Demographics Technology
“The Unflat World” ―
Education Critical Mass
Help Wanted: Worldwide
5. Current Solutions
“Shopping the World”
Edward E. Gordon

6. U.S. Workforce between 2010 & 2025
Baby Boomers − 79 million Americans born retire
Generation X − 40 million Americans born − Less job ready than baby boomers
Generation Y − 70 million Americans born − Less job ready than prior generations
Edward E. Gordon

7. Change in U.S. Population 2000-2020
Source: U.S. Census Bureau
Edward E. Gordon

8. Wisconsin Unemployment October 2007
5.2%
Edward E. Gordon

9. United States Manufacturing 2005
#1 in Value of Manufactured Products
(Double China’s)
61% of U.S. Exports
Source: Economist Intelligence Unit
Edward E. Gordon

10. 3. Education Critical Mass
The Unflat World
Edward E. Gordon

11. PISA Math Scores of 15-year-olds Selected Countries
Source: OECD, 2006 (PISA 2003 data from 29 nations)
Edward E. Gordon

12. Wisconsin High School Drop-Outs Age 18-64
317,194 (9.3%)
Source: U.S. Census Bureau, 2005
Edward E. Gordon

13. Wisconsin High School Drop-Outs Age 18-24
78,899 (15.6%)
Source: U.S. Census Bureau, 2005
Edward E. Gordon

14. Wisconsin State High School Graduation Rates
(U.S. average = 73%)
All WI Students 77.3%
Asian %
Hispanic %
Black %
White %
Source: EPE Research Center, 2007
Edward E. Gordon

15. II. Adults Lack 90+ Million American Workers Reading Writing Math
Skills to do their jobs properly
Edward E. Gordon

16. National Adult Literacy Assessments 1993/2003 Prose Results Compared
Adult Pop. 2003
Categories ’93%/’03% Total 222 Million
I. Below Basic / M
II. Basic / M (95M)
III. Intermediate / M
(Moderately Challenging)
IV. Proficient / M
Edward E. Gordon

17. New North Counties Percent of Adults at Level 1 Literacy
Brown % Marquette %
Calumet % Menominee %
Door % Oconto %
Florence N/A Outagamie %
Fond du Lac 11% Shawano %
Green Lake 14% Sheboygan %
Kewaunee % Waupaca %
Manitowoc % Waushara %
Marinette % Winnebago %
Edward E. Gordon

18. National Adult Literacy Assessments 1993/2003 College Grads Compared
Prose Proficiency
4-year Graduates & Graduate Degrees
91% 72%
Source: U.S. Department of Education
Edward E. Gordon

19. Wisconsin College Graduates (Adults Age 25+)
25%
Source: U.S. Census Bureau, 2006
Edward E. Gordon

20. Ratio of Science & Engineering Degrees to 24-Year-Old Population
Council on Competitiveness, 2000
Edward E. Gordon

21. U.S. Aging by Occupations
Aging Workforce
Engineers & Scientists
52% are over age 50
Government Workers
44% are 45 years +
Skilled Machinists
Average age is 50
Construction Workers
Average age is 47
Nurses
47% retiring over next 7 years
Manufacturing Managers
50% retiring over next 7 years
Federal Workforce
40% retiring by 2010
Edward E. Gordon

22. U.S. Jobs Shifts 2000-2020 (In Millions)
Job Categories
Professionals/Executives
Sales, Technical
Tech Support/ Skilled Craft
Low End Service
Other Low Skill Jobs
Source: U.S. Bureau of Labor Statistics, 2005
Edward E. Gordon

23. U.S. Labor Market Jobs 2004-2014 Category New Replace-ment % of Total
All Jobs
18.9M
35.7M
65%
54.6M
Computer Tech.
967K
422K
30%
1,389M
Engineers
195K
312K
62%
507K
Skilled Trades
699K
1.1M
61%
1.8M
Teachers
1.7M
51%
3.5M
Source: Daniel E. Hecker, U.S. Dept. of Labor, 2005
Edward E. Gordon

24. U.S. Labor Market Jobs 2004-2014 Category New Replace-ment % of Total
Nurses
703K
497K
41%
1.2M
MDs
136K
76K
36%
212K
Dentists
20K
26K
57%
46K
Health Techs
592K
446K
45%
1.0M
Source: Daniel E. Hecker, U.S. Dept. of Labor, 2005
Edward E. Gordon

25. U.S. Workforce Techno-Peasants (50%) The Walking Dead (25%)
Smart People (25%)
Edward E. Gordon

26. U.S. Techno-Peasant Numbers
25.4M – Age have not completed high school (or equivalent)
8.1M – Have dropped out before 9th grade
28.8M – With a high school diploma or less are not earning living wages
8.3M – Age with high school diplomas or less have difficulty speaking English or speak no English at all
1.5M – Included in this group are in state & federal prisons
Edward E. Gordon

27. U.S. Talent Challenge 2010-2020 Jobs vs. Today’s Workforce
75% High Pay % of Workers
Require Career Prepared for
Prep Career-Based Jobs
25% Low-Pay % of Workers
($10-12 hr.) Prepared for
Low-Skill Jobs Nothing
Source: Edward E. Gordon, 2010
Edward E. Gordon

28. 10 Hardest-To-Fill Jobs in the U.S.
Sales Representative
Teacher
Mechanic
Technician
Management/Executive
Truck Driver
Driver/Delivery
Accountant
Laborer
Machine Operator
Source: Manpower, 2007
Edward E. Gordon

29. U.S. Labor Market Talent Shortages 2010-2020
Category Shortfall
All Jobs M-6.1M
Nurses K-1M
Doctors K-200K
Health Technicians K-400K
Information Technology 500K-1M
Engineers K-250K
Teachers K-1M
Scientists K-200K
Sources: Bureau of Labor Statistics & Professional Associations
Edward E. Gordon

30. Increases in Wages 2007 United States +4.5% India/China +20%
“In-Shoring”
Edward E. Gordon

31. The 2010 Meltdown Globalization Technology Education and Demographics
Career Skills
Employment
High Wage/High Skill or
Low/Wage/Low Skill
Economy
Expands or Contracts
Edward E. Gordon

32. Agenda 2010 Solutions Business Culture Change Career Culture Change
Mobilizing Community Culture Change
The 2010 Challenge & Beyond
Edward E. Gordon

33. Business Culture Change
Edward E. Gordon

34. Future Workforce Implications
Slower labor force growth will increase pressure for participation of all labor force segments
Technological advances may enable more labor force participation of persons with disabilities
Various accommodations could increase the participation of older people, women with children, persons with disabilities, etc.
Edward E. Gordon

35. Return-on-Investment (ROI)
What Business Needs:
A Measurable Definable Process
that is Transferable
Return-on-Investment (ROI)
Edward E. Gordon

36. Edward E. Gordon

37. How Innovation Happens
Information
(Data, Facts)
Knowledge
(Insight)
Wisdom
(Ideas)
Inputs
Memorization
Comprehension
Applied Thinking
Activities
Learning
Under-
standing
Innovation
Outcomes
Edward E. Gordon

38. The Sixth Discipline’s “ Winning Formula”
High-Tech Highly Increased Increased Workplace Educated = People Profit Workers Productivity
Fewer complex For the amount
machines do produced & level
more work of quality
For the amount Lower fixed labor
produced & level costs at comparable
of quality world productivity
cost levels
Edward E. Gordon

39. Career Culture Change
Edward E. Gordon

40. Human Ability Areas Linguistics Logical-Mathematical Spatial Musical
Bodily Fine-Gross Motor
Interpersonal
Intrapersonal
Source: Robert J. Sternberg, 1996
Edward E. Gordon

41. Q. What is a NGO? A. An intermediary agency that builds a network.
Edward E. Gordon

42. 4. The 2010 Challenge and Beyond
Career Culture
Business Culture
Education Culture
Education Prep.
and
Lifelong Learning
Career and Job
Alternatives
Employment
High Wage/High Skill or
Low/Wage/Low Skill
Edward E. Gordon

43. The “C” (Culture) Factor
Culture X Literacy = Education X Marketplace = GDP
C = A nation’s attitudes & motivation on the importance of personal learning & applying it throughout life.
L = Personal reading practices & formal schooling.
E = The “critical mass” of a nation’s knowledge.
M = The socioeconomic forces driving business, government and non-profit activities.
GDP = Gross Domestic Product: The wealth of a nation.
Edward E. Gordon

44. Liberal Arts Education
The 2010 Solution
Business
Labor
Educators
Parents & Students
Government
NGO
Intermediary Agency
Liberal Arts Education
& Career Prep.
Incumbent Worker
Lifelong Learning
Employment
High Wage/High Skill
Economy
Expands
Edward E. Gordon

45. For more information, go to www.imperialcorp.com or contact:
Dr. Edward E. Gordon
Edward E. Gordon