Workforce Florida’s Strategy Council

Creating the Strategy for Today’s Needs and Tomorrow’s Talent

Session 5October 12, 2009 | Future of Florida

Forum Disney’s Yacht & Beach Club Resort

Belinda KeiserChair, Workforce Florida, Inc.

David ArmstrongChair, Workforce Florida Strategy Council

Welcome

Introductions

Good Progress thus Far

Use the Online ToolKit

Consider Strengths and Critical Insights of Each Session

WelcomeBelinda Keiser – Chair, Workforce Florida, Inc.David Armstrong – Chair, Workforce Florida Strategy Council

Introductions – Formative QuestionDon Upton – President, Fairfield Index, Inc.

Business of the DayUpton

Milestone Timeline – Are We On Schedule?Armstrong, Team and Upton

Rudder Team’s Business of the Day

Discussion A – Manufacturing Discussion B – Recruitment, Retention and

Expansion Strategy Framework – Overarching

QuestionsTeam

Preparation for Interim Briefings, Events and Roundtables – Key Questions and InquiriesUpton and Team

Key Insights and Next StepsKeiser, Armstrong, Team and Upton

Rudder Team’s Business of the Day

Overarching Discussion

ItemsFramework for Strategic PlanPriorities for

Strategic PlanMeasurement /

Targets – Enterprise

Operationalization and Testing

IdeasInnovation

Creation of a Talent Supply Chain Team

Measurement / Targets – Global

Milestone TimelineAre We on Schedule?

Definition of Talent Supply Chain: common system characteristics emerging

Readiness

Seamlessness

Anticipatory

Reliable

Flexible

Responsive

Lifelong

Coordinated

Talent Supply Chain: Working Definition

Florida’s Talent Supply Chain is a system of resources and infrastructure that prepares people, on a lifelong

basis, to advance the needs of enterprises of all scales, sizes and sectors. Like other supply chains, excellence

is achieved through customer satisfaction, on-time delivery, reliability, foresight and seamless

coordination and process improvement among and between all participants in the chain. In Florida, people are participant-owners in the chain, by exerting their own transformative abilities to learn, apply knowledge

and create wealth.

Tier 3 Element of Strategic Planning Process: Florida Chamber’s Future of Florida Forum

Talent Summit: Imagining a World of Talent October 12 - 13 | Disney’s Yacht & Beach Club |Orlando, Florida

Monday, October 12 | 1:00 p.m. – 5:30 p.m. ET Framing Florida’s Talent Agenda

Insights into Markets and DemographicsBusiness Panel: Emerging Trends, Threats and OpportunitiesPanel: Understanding Florida’s Human Resource Issues… 0-

90+ Breakout Sessions & Work Groups (Part 1)

A. Investments for Formative Years (birth to age 8)B. Redefining Talent Development (PreK-20 & beyond)C. Aligning Florida’s Education, Workforce and Economic

Development Systems D. Florida’s STEMM Agenda (Science, Technology,

Engineering, Math & Medicine)E. Essentials for Discovery and Development

Strategic Doing: Translating Ideas into Action Welcome Reception

Talent Summit: Imagining a World of Talent October 12 - 13 | Disney’s Yacht & Beach Club |Orlando, Florida

Tuesday, October 13 | 7:30 a.m. – 11:30 a.m. ET Breakfast and Morning Briefing Breakout Sessions & Work Groups (Part 2) – Continuing

Monday conversationsGame Changing Strategies: Moving from Concepts to Action

A. Investments for Formative Years (birth to age 8)B. Redefining Talent Development (PreK-20 & beyond)C. Aligning Florida’s Education, Workforce and

Economic Development SystemD. Florida’s STEMM Agenda (Science, Technology,

Engineering, Math & Medicine)E. Essentials for Discovery and Development

Debrief and Next Steps

Tier 3 Element of Strategic Planning Process: Florida Chamber’s Future of Florida Forum

Discussion A: Manufacturing

Don Gugliuzza – Managing Director, Mileo and Associates, Inc.

Nancy Stephens, CAE, IOM, ND, DPL – President, Nancy D. Stephens & Associates, LLC

Al Stimac – President and CEO, Metal Essence, Inc.

Rudder TeamStrategy Council of Workforce

Florida, Inc.Session 5

October 12, 2009Discussion A

ManufacturingAl Stimac – Nancy Stephens - Don Gugliuzza

Source: NAM calculations from UN data

Four Principle Reasons or Pillars

I. Contribution to GDP GrowthII. The Economic Multiplier

EffectIII. R&D, Productivity and Higher

PayIV. Exports

Why Manufacturing Is Important

to the U.S. Economy

Pillar I - Contribution to Economic Growth

Source: U.S. Department of Commerce

Pillar II - The Multiplier Effect

Source: U.S. Department of Commerce

U.S. Manufacturing’s Multiplier Effect (2007)

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

5

F.I.R.E.

Professional services

Manufacturing

Educational, health,

Retail

Wholesale

Information

Construction

Entertain, recr,

Transportation

Other services

Utilities

Mining

Agriculture

$Trillions

GDP Additional Economic Output Generated

Source: NAM Calculations from U.S. Department of Commerce data

U.S. Manufacturing’s Multiplier Effect (2007)

-4

1

6

11

16

21

Professional services

Manufacturing

Educational, health,

Retail

Entertain, recr,

F.I.R.E.

Construction

Wholesale

Other services

Transportation

Information

Agriculture

Mining

Utilities

Employment Supported (Millions)

Other Sectors

Within the Industry

Source: National Science Foundation (2006)

Pillar III - Pillar III - Innovation and Productivity Manufacturing Performs Half of our country’s R&D

NAM Calculations from U.S. Department of Labor Data

Source: NAM Analysis from Commerce Department Data

Higher Productivity Leads to Higher Pay

1930s 7% higher

2008 26% higher

Source: U.S. Department of Commerce (2007)

Pillar IV - Manufacturing Drives U.S. Exports(Distribution of U.S. exports)

Manufacturing Exports Support Millions of Jobs in Manufacturing and in Other Sectors of the Economy

U.S. Department of Commerce

NAM calculations from U.S. Department of Commerce data

NAM calculations from U.S. Department of Commerce data

U.S. Department of Commerce

U.S. Department of Commerce data

A Look At The Current State of the Economy

The 2008-2009 Recession

U.S. Department of Commerce data

The Manufacturing Sector

Dec 07

March 09Nov 01

Federal Reserve

State of Manufacturing

• 13 million Americans employed in the manufacturing sector

• 9.9% of U.S. employment is manufacturing• Manufactured goods represent 2/3 of U.S.

exports and drive more net wealth creation than any other industry

• NAM predicts 1 million new manufacturing jobs by 2014

State of Manufacturing

• President appoints Ron Bloom, Senior Counselor on Manufacturing

• France, Germany and Japan are officially out of the recession

• World Economic Outlook predicts 3.1% growth in world economy in 2010 with China and India leading the way

• Florida ranked in the top 10 states for having a business friendly tax system by the Tax Foundation. 2010 State Business Tax Climate Index

Manufacturing Institute Survey:

82% of respondents agree that America’s manufacturing base is key to the country’s economic prosperity

71% view manufacturing as a national priority59% believe U.S. manufacturing competes

effectively on a global scaleOnly 17% name manufacturing as top two career

choicesOnly 30% would encourage children to work in

manufacturing

American Small Manufacturers Coalition Survey:

90,000 (1/4) American manufacturing firms are at risk of not being able to compete globally

81% of respondents believe manufacturing industry significantly impacts standard of living

74% of respondents say U.S. should invest more in manufacturing industry

16% rank sustainability as important to their success

Florida’s Economy: 744 billion in 2008• 4th largest state economy (behind CA, TX, NY)

• Similar in size to the country of Turkey (730 billion)• Larger than economies of land, Indonesia, Belgium,

and Switzerland

Florida’s Manufacturing Economy: 36 billion• 15th Largest Manufacturing State in the United States

• Similar to the size of manufacturing output of Norway and Singapore

Source: Commerce Department, IMF, United Nations

Florida’s Economy in Context

Florida Manufacturers• 329,000 employees• 14,181 manufacturing establishments• 4.8% of FL employment mix• Jobs pay 89.4% of national average• 93% of FL exports• #1 sector is food products • 45,000 jobs lost over last year, but we know

companies hiring!

Florida’s Demographic Outlook

• 1 million people are actively looking for jobs in FL• Recession until spring of 2010• Population begins growing again in 2010 (more births than

deaths)• Real improvement starts in 2011• Manufacturing jobs positive in 2011 • Misalignment of job skills; shortages in highly

skilled areas• Once recovery starts it will be faster than normal• By 2015 people will start moving here again• 1.1% population growth expected between 2025 and 2030• By 2030 2 workers:1 retiree

A Look At The Current State

of the Florida’s Workforce

More than 70 percent of the current labor force will still be in the state’s workforce in 2020, underscoring the need for lifelong learning and skills development

“More than 88 million adults in the U.S. have at least one major educational barrier (no HS diploma, no college, or ESL needs) to get a job or advance in jobs that pay a family sustaining wage”*

“More than two thirds of the workforce are beyond the reach of schools, and our current adult education system – designed for a different time and different challenges – is not equipped to address this urgent national need” *

– Meanwhile, 88 million working-age adults in the U.S. have not completed high school, have completed just a high school diploma but have not entered college, or do not speak English well enough to contribute to a knowledge-based economy * * From Adult Literacy's Reach Higher, America report and

the Council for Advancement of Adult Literacy (CAAL)

Did you know?

NAM Education Imperatives

• Support for quality learning from early education through post secondary education

• Employee development through training and education at all levels

• Promotion of lifelong learning

• Opportunities for adult education

What do Manufacturers on the Street Say They Need in

Employees Today?• Values, work ethic & integrity • Computer literacy for every job • Versatility • Super multitasking• Cooperative learner that is willing to change and

adapt • Technical certifications • A way to provide value to the new employee

generation, recognizing different attention spans and work habits than the existing workforce

What specific skill sets?• Specialized skills: printing pressmen and plastic extrusion

operators • Skilled Machinists – CNC, Mill and Lathe, Machine set up• Technicians skilled in automation, robotics and controls

such as Megatronics• Professional, high level production planning specialists• Familiarity with sophisticated ERP systems such as SAP,

JD Edwards Oracle, etc.• Apprentice candidates for CNC machining• Cost accountants familiar with the manufacturing

atmosphere andmanufacturing engineers familiar with tooling and machining

• Production supervisors familiar with ERP systems and Lean manufacturing techniques

• Lean and Six Sigma Specialists• Safety engineers familiar with manufacturing• “Green” Manufacturing Specialists

Total Nonagricultural Employment Aug 20097,348,400 (-4.83% year on year)

Professional Trade, Transportation Construction Manufacturing Leisure and Hospitality and Business and Utilities Services

- 12.2%

- 12.62%

- 8.19%

TitleAugust 2009 Employment

August 2008 Employment

% Change

     Professional and Business Services 1,045,700 1,139,000 -8.2%    Trade, Transportation, and Utilities 1,486,500 1,571,600 -5.4%   Construction 434,300 497,000 -12.6%    Manufacturing 324,400 369,400 -12.2%     Leisure and Hospitality 905,600 940,800 -3.7%

Talent Supply Chain

Florida’s Talent Supply Chain is a system of resources and infrastructure

that prepares people, on a lifelong basis, to advance the needs of enterprises of

all scales, sizes and sectors.

Like other supply chains,excellence is achieved through customer satisfaction,

on-time delivery, reliability, foresight and seamless coordination and process

improvement among and between all participants in the chain.

In Florida, people are participant-owners in the chain, by exerting their own

transformative abilities to learn, apply knowledge and create wealth.

Talent Supply Chain

Florida’s Talent Supply Chain is a system of resources and infrastructure

that prepares people, on a lifelong basis, to advance the needs of enterprises of all

scales, sizes and sectors.

Talent Supply Chain

Florida’s Talent Supply Chain is a system of resources and infrastructure

that prepares people, on a lifelong basis, to advance the needs of enterprises of all

scales, sizes and sectors.

Like other supply chains, excellence is achieved through

• customer satisfaction

• on-time delivery

• reliability

• foresight

• seamless coordination

• process improvement

Talent Supply Chain

Florida’s Talent Supply Chain is a system of resources and infrastructure

that prepares people, on a lifelong basis, to advance the needs of enterprises of all

scales, sizes and sectors.

Like other supply chains,excellence is achieved through customer satisfaction, on-time

delivery, reliability, foresight and seamless coordination and process improvement

among and between all participants in the chain.

In Florida, people are participant-owners in the chain, by exerting their own

transformative abilities to learn, apply knowledge and create wealth.

The challenge is to find the optimal way for employers, job seekers, and government agencies to share the cost of providing workers with the knowledge and skills needed to compete in the 21st century….to fully utilize our Workforce Education in Florida

Whether it’s a struggling student on the brink of dropping out, a laid off worker searching for a job, or a low-income family barely making ends meet, these are the many candidates that need help to become a better educated, better trained, better paid workforce

Whether it’s a struggling student on the brink of dropping out, a laid off worker searching for a job, or a low-income family barely making ends meet, these are the many candidates that need help to become a better educated, better trained, better paid workforce

So who are Workforce Education Customers?

• Adults and youth seeking technical skills and training for the workplace

• Employed adults seeking skill upgrades and maintenance through continuing workforce education

• Adults and youth seeking a high school diploma or GED

• Adults seeking literacy skills for employment and lifelong learning

• Adults seeking enhanced fluency in written and spoken English

Talent Supply Chain

Educational institutions can provide the core foundational skills and technical competencies if their programs align with relevant national standards.

Employers can provide the sector and occupation specific competencies through in-house or contracted training, but…open labor markets mean workers can easily switch jobs, exposing companies to the risk of lost investments in human capital

• Employers have abandoned once-common workplace education programs increasing the responsibility on individuals to acquire their job-related skills

• Many individuals lack both the capital to invest in their own development and the foresight to know which skills will have the highest payoff

So, what needs to be done to facilitate the change we need to re-skill, re-employ, upgrade the employee for the new economy?

But how to train/educate?

We need to look at the total supply chain, and develop skills to use in high tech growth industries and connect with real target industries

Looking at the NAM Competency Model – We need the system that builds skills and knowledge from basic employability and workplace skills through occupation specific competencies

We need to look at the total supply chain, and develop skills to use in high tech growth industries and connect with real target industries

Looking at the NAM Competency Model – We need the system that builds skills and knowledge from basic employability and workplace skills through occupation specific competencies

Ready for Work, Ready for College

Entry Level Industry Certifications

Occupation-Specific Certifications

Car

eer

Pat

hs –

Life

Lon

g Le

arni

ng

High Quality Carrers

Talent Imperatives for Consideration1. WIA Reauthorization

2. Improve coordination between Workforce Regional Boards, Economic Development, and Dept. of Education - Career & Adult Education in manufacturing, STEM, and other strategic industry clusters

• Stronger integration between WFI and FL DOE • Make the existing Banner Centers' curricula available on all RWB approved training curricula lists and vendor lists

3. Meet employee education and training needs by:• Expanding and improving customized training• Developing more workplace based learning and flexible methods of education delivery, such as online courses• Creation of “gold standard career pathways” - statewide articulation agreements aligned with training needs and industry certifications

4.Increase the skilled workers businesses need by boosting capacity at community and state colleges, technical centers, private career schools, secondary career academies, and apprenticeship programs (example: the discontinued SUCCEED grant program)

5.Boost the employability of workers through programs that roll basic skills, English language instruction, and job skills into one complete package

Questions

Appendix

Stakeholder FeedbackWhat do our Florida Manufacturers Need?

Employ Florida Banner Center For Manufacturing Year-2 Regional Manufacturing Industry Focus Groups

• Information exchange essential to addressing the significant and emerging training requirements for the manufacturing workforce in the Southwest, North Central, Northeast, Greater Tampa Bay, and Southeast regions of Florida

• One hundred twenty-seven (127) representatives (54% of which were from small, medium, and large-sized manufacturing companies) from these regions participated in the five focus groups conducted by the Center

• An online survey was provided for focus group participants to comment on aggregated data, and provide an opportunity for stakeholders that couldn’t attend a regional focus group to provide input

76% participated in the online survey, 92% of the respondents indicated they were manufacturers

Stakeholder FeedbackWhat did the Focus Groups tell us?

• Lean ConceptsSix SigmaPredictive maintenanceSelf-directed work teamsRoot cause analysis Increased productivityIncrease profit

• Knowledge-based workforceEmployees taking on greater responsibilities (e.g., integration of job) Increased awareness of manufacturing careersKnowledge of business fundamentalsBig Picture ThinkingCulture of/managing changeCritical thinking

Stakeholder FeedbackWhat did the Focus Groups tell us?

• QualityISO standards Regulatory complianceBuilding quality into the manufacturing processQuality as a value propositionCustomer-initiated increased quality demands

• Automation• Green Technology• Supply Chain Management

Future Manufacturing Talent Needsto Improve the Florida Manufacturing Base

• Skilled Machinists

• CNC, Mill and Lathe, capable of machine set-up

• Technicians skilled in automation

• Robotics and controls such as Megatronics

• Professional, high-level Production Planning Specialists

• Production Supervisors should be familiar with sophisticated ERP systems such as SAP, JD Edwards Oracle, etc.

• Apprentice candidates for CNC machining

• Cost Accountants – familiar with manufacturing atmosphere

• Manufacturing Engineers familiar with tooling and machining

• Lean Manufacturing techniques / Lean and Six Sigma Specialists

• Safety Engineers familiar with manufacturing

•“Green” Manufacturing Specialists

Tom KippVice President ProductionHoerbiger Corporation of America

Future Manufacturing Talent Needsto Improve the Florida Manufacturing Base

• Skilled Machinists

• CNC, Mill and Lathe, capable of machine set-up

• Technicians skilled in automation

• Robotics and controls such as Megatronics

• Professional, high-level Production Planning Specialists

• Production Supervisors should be familiar with sophisticated ERP systems such as SAP, JD Edwards Oracle, etc.

• Apprentice candidates for CNC machining

• Cost Accountants – familiar with manufacturing atmosphere

• Manufacturing Engineers familiar with tooling and machining

• Lean Manufacturing techniques / Lean and Six Sigma Specialists

• Safety Engineers familiar with manufacturing

•“Green” Manufacturing Specialists

Tom KippVice President ProductionHoerbiger Corporation of America

“ Future needs are for positions requiring specific training requirements such as printing pressmen and plastic extrusion operators. Another area that is growing but lacks candidates is computer literate warehousemen.“

“Warehousing and shipping has become much more complicated and technology driven, requiring much more technology minded candidates.“ Rob AdamiakVice President/COOConimar Corporation

“ Future needs are for positions requiring specific training requirements such as printing pressmen and plastic extrusion operators. Another area that is growing but lacks candidates is computer literate warehousemen.“

“Warehousing and shipping has become much more complicated and technology driven, requiring much more technology minded candidates.“ Rob AdamiakVice President/COOConimar Corporation

“custom engineered ring and packing solutions forusers of reciprocating compressors and engines”

Polk Manufacturers Assn.

• Values, work ethic, & integrity

• Computer literacy (for ALL mfg careers/jobs)

• Versatility

• Multitasking (one person: set-up - clean-up –

operations – quality.)

• Cooperative learner that can change (increasing

rate of change) and learn

• Technical certifications

What Skills does an Employee Need?Competencies Expected for Various Levels of Employment in Manufacturing

Jobs with a short learning curve that require only cursory instructions to enable an individual to perform satisfactorily.

• Basic skills - 8th grade competency in Math, Reading (English), Writing (English)

• Work ethic, Interpersonal skills, Team Skills• Lean Concepts• Problem Solving• Basic Computer skills

• MSSC Certification• Maintenance Awareness• Industrial safety skills OSHA-First Aid / CPR• Manufacturing awareness• Quality skills, Good Manufacturing Practices (GMP),

Definition of Quality, Food Safety

Jobs that have a longer learning curve and involve more complex operations and the mastery of more complex pieces of manufacturing equipment.• Basic skills - >12th grade competency (10th grade – interim

target), Math, Reading (English), Writing (English)• Interpersonal skills (Communications, Teamwork, Problem

Solving, Conflict Resolution, Presentation skills)• Computer skills –Windows• Basic Science - Applied Math & Physics, Statistics,

Biology/Microbiology• Six Sigma/TPM Fundamentals • Mechanical aptitude/Technical skills

• Use of hand tools• Business knowledge (Accounting, Budgeting)• MSSC Certification

• Same Safety and Quality knowledge/skills along with Advanced Quality (SPC, Quality tools, etc.)

• Manufacturing processes• Maintenance knowledge• Basic electricity

Skilled Trades jobs that require 4 to 5 years to attain a mastery level, such as Electrician or Mechanic. Same base skills as Semi-skilled along with:• Basic skills, >12th grade competency (10th grade – interim target),

Math, Reading (English), Writing (English)• Mechanical aptitude - Advanced use of hand tools, Manufacturing

processes, Advanced blueprint reading, P&ID

• Lean Concept Mastery (Six Sigma, TPM, etc)• Troubleshooting• Mechanical Concepts• Hydraulics / Pneumatics• Specialized Trade Specific skills

ENTRYENTRY

SEMI-SKILLEDSEMI-SKILLED

HIGH SKILLEDHIGH SKILLED

1. Provide (including those with barriers to education and employment) with access to lifelong education, training, and employment services

• Develop public/private financial aid support to assist working adults to gain further education and training credentials including: Lifelong Learning Accounts (LiLas)

• Focus on industry clusters that drive regional economies so that regional communities build on their strengths and grow even stronger

2. Expand workplace based learning, online courses and other flexible education options to help workers move ahead and expand their careers

3. Continue to identify and remove barriers to employment, education and training so that workers have a clear path to reach their career goals

4. Increase financial aid and other services for workforce education students so they are able to afford additional education and have coordinated support in completing their education and training

• Research shows one year of education beyond high school, paired with a credential, is the “tipping point” that provides the greatest chance to achieve family-wage employment

• Financial barriers are the number one reason job seekers do not obtain education and training beyond high school

More ideas for consideration as Talent Imperatives…

Discussion B: Recruitment, Retention and Expansion Andra Cornelius – Vice President of

Business and Workforce Development Opportunities, Workforce Florida, Inc.

Debbie McMullian – Quick Response Training Program Manager, Workforce Florida, Inc.

Rusty Skinner – Chief Executive Officer, CLM Workforce Connection

Margaret Spontak – Senior Vice President, CLM Workforce Connection

Pete Tesch – President/CEO, Ocala/Marion Economic Development Corporation

Workforce Florida, Inc.Rudder Team Meeting

State Training Grant Programs

October 12, 2009Disney’s Yacht & Beach Club Resort

Orlando, Florida

Incumbent Worker Training (IWT)

STATE TRAINING GRANT PROGRAMS

Quick Response Training (QRT)

• Started in 2000

• Provides performance-based expense reimbursement grants to existing, for-profit businesses to provide skills upgrade training to currently employed full-time workers

• Started in 1993; administered by Workforce Florida since 2000

• Provides performance-based expense reimbursement grants to meet short-term, immediate, customized workforce training needs of new or existing businesses and industries that are creating new, full-time, permanent jobs

SIDE-BY-SIDE COMPARISONINCUMBENT WORKER TRAINING QUICK RESPONSE TRAINING

RequirementsApplicants must:

• Have been in operation in Florida for at least one year prior to application date

• Have at least one full-time employee

•Demonstrate financial viability be current on all state tax obligations 

RequirementsApplicants must:

• Produce an exportable good or service

• Create new, full-time, high-quality jobs

• Require customized entry-level skills training for high-skill/high-wage positions (115 percent of average county or state wage)

SIDE-BY-SIDE COMPARISONINCUMBENT WORKER TRAINING QUICK RESPONSE TRAINING

 

Funding (FY 2009-2010) Funding (FY 2009-2010)

• $2 million WIA (Federal)

• $2 million ARRA (Federal Stimulus) 

• $3.3 million Nonrecurring annual allocation from state General Revenue funds.

(Reduced from $5 million)

ECONOMIC DEVELOPMENT BENEFITS

INCUMBENT WORKER TRAINING QUICK RESPONSE TRAINING

• 50 percent match required (75 percent match in rural areas)

• Costs reimbursed directly to company

• Priority given to businesses:- With less than 50 employees- In targeted industries- Who are seeking to avoid layoffs

• No required match

• Fiscal agent (state educational entity) assists with application, reporting and check delivery

• Increased ability to customize due to lack of federal restraints

• Priority given to businesses:- Creating new jobs in Florida- In targeted industries- Whose proposals offer the greatest economic impact

MOST COMMON TYPES OF TRAINING

INCUMBENT WORKER TRAINING QUICK RESPONSE TRAINING

• Six Sigma – Green and Black Belt

• Lean

• AS 9000

• ISO 9001:2008

• Leadership All QRT training is customized to meet the specific needs of each business

• Entry-level

• On-site training

• Classroom Training

• Laboratory Training

Company always chooses training provider

GRANT INVESTMENTS 2000-2009

INCUMBENT WORKER TRAINING QUICK RESPONSE TRAINING

PS&T* $22.6 million

Business Svcs. $19.6 million

Wholesale Trade $11.1 million

Manufacturing $8.4 million

Information Tech. $6.7 million

Other $1.9 million

Finance/Insurance $1.2 million

Corporate Hdqtrs. $952,000

Manufacturing $17.8 million Information Tech. $11.7 million Wholesale Trade $3.6 million Finance/Insurance $2.2 million

PS&T* $1.9 million

Management $1.5 million

* Professional, Science & Technology

INCUMBENT WORKER TRAINING:

PENETRATION

QUICK RESPONSE TRAININGPENETRATION

ECONOMIC DEVELOPMENTCHALLENGES

Most of Florida’s workforce system funds are federal and subject to specific prohibitions. According to the Federal Workforce Investment Act of 1998:•Funding cannot be used to generate employment or for economic development purposes •Funding cannot be used to encourage businesses to relocate to Florida if the move would result in a loss of employment at the original site

•Funding cannot be given to a relocated business until 120 days after the date of relocation if the relocation results in a loss of employment at the original location

• Funds must be used for activity directly related to trainingState workforce development funds – QRT dollars – provide Florida with the means to attract and retain businesses, and to meet their needs without the

limitations imposed by federal funds

ECONOMIC DEVELOPMENTCHALLENGES

However:• Despite a 75 percent disparity in the amount of funds requested vs. the amount of

funds available, QRT state funding decreased from $6 million to $5 million in fiscal year 2003/2004, and then remained stagnant until 2009.

• Our funding is non-recurring and at risk in the current economic downturn – in 2009, QRT funding was further reduced 34 PERCENT from $5 million to $3.3 million

• QRT funds are the only non-federal funds Florida has for business-specific, customized workforce training

Workforce Florida’s vision is to develop a globally competitive workforce. But without QRT, the ability of Florida’s workforce to compete even

domestically would be hampered.

THE COMPETITION1. Georgia - $50 Million2. South Carolina - $4

Million3. North Carolina - $18

Million4. Alabama - $43 Million5. Tennessee - $17

Million

6. Texas - $40 Million7. Virginia - $7 Million8. Arizona - $15

Million 9. Mississippi - $20

Million10. Oklahoma - $5.3

Million• Florida’s population now exceeds that of all but one state – Texas – on

the list of the top ten states in customized training funding

• Texas’ population tops Florida’s by 6 million, roughly a third of – and not even two times – the state population. However, Texas allocates more than 12 times in customized training dollars than does Florida

• Even South Carolina, a state with 25 percent fewer residents, allocates over 17 percent more state dollars to customized training than Florida

QUICK RESPONSE TRAINING:FUNDING vs. DEMAND

• Increase in number of businesses

• Population growth

• Challenge to keep up with demand

• Increased focus on challenge to achieve domestic and

global competitiveness

• In 2009, QRT funds were reduced from $5 million to $3.3 million non-recurring General Revenue

BUILDING OUR WAR CHEST

It’s about more than money:

• Need for flexibility and agility to meet the needs of business

• Need for consistent information/single point of contact

•Need for certainty in funding and proven track record

Strategy Framework – Overarching Questions

Preparation for Interim Briefings, Events and Roundtables – Key Questions and

Inquiries

Key Insights and Next Steps

Adjourn