Manufacturing Skill Standards Council (MSSC) Training, Assessment and Certification System

Remarks by: James McCaslinPresident and COO, Harley Davidson

Motor Company, and Chairman, MSSC Board of Directors

Council on Workforce Development

September 22, 2006Country Springs Hotel

Waukesha, WI

Topics to be Covered

Importance of Manufacturing in U.S. and Wisconsin

Need for Skilled Workers to Meet Global Challenges

Skills Gap Issue

MSSC Solution to Skills Gap

Elements of National MSSC System

Wisconsin/MSSC Program

Steps by Harley-Davidson

Steps Needed by Others

Manufacturing’s Importance to U.S. Economy

Growth

Innovation

Competitiveness

Productivity

Income

Jobs

Sources: BLS, NAM, ISM

Challenges Faced by U.S.-based Manufacturers

Intense global competition

Emergence of strong high-skills, low-wage economies, e.g., China and India

Increased costs: health care, pensions, energy, legal, environmental

Shortage of qualified U.S. workers

Response: Increased Productivity and Innovation

Accelerated productivity and innovation

Next generation of innovative products and processes

Workers

Skills Gap

80% of respondents in the NAM/DeloitteLLC Skills Gap survey 2005 reported difficulty in finding workers with the right skills

Nearly 50% of respondents reported inadequate employability and problem-solving skills

One third reported insufficient reading, writing and communications skills

Acute Shortage of Production Workers

90% of the respondents in NAM survey report a shortage of skilled production workers

Employers worldwide identify production technicians and operators as 3rd and 4th ranking job categories in which there are the most serious shortages of skilled workers (Manpower Inc.,Feb.06)

Example: Toyota-San Antonio

Solution to Production Workforce Development Challenges

MSSC ApproachA nationwide system training, assessment and credentials based upon industry-defined, nationally validated standards

Purpose: Expanded pool of agile production workers —“the industrial athlete of the future”

Scope: Uniquely applies to all manufacturing sectors and all production occupations

Goal: Reach 40% of production work force in 10 years

Example: Successful “ASE” (Automotive Service Excellence) certification

Elements of MSSC System

Standards – Industry-led, federally recognized, nationally validated

Assessments

Credentialing and Documentation – Up-to Production Technician Certification

Certification of Assessment Centers

Teacher Certification

Courses – Including multi-media, on-line

Glencoe McGraw-Hill/MSSC Textbook and Supplements

WISPASS/MSSC State NetworkWisconsin Performance and Assessment for Skill Standards

Funded by DOL Grant – MATC lead agency

Build a constituency and state network to implement MSSC Training, Assessment and Credentialing System

Recruit firms, trade associations, unions, and Workforce Investment Agencies, and test centers

Recruit and qualify 600 workers and students for MSSC credentials

Create the Feedback Process on the Training Response, Competency, and Productivity

Promote manufacturing as a career

WI Training & Test Centers

Milwaukee Area Technical CollegeMoraine Park (Fond du Lac)Gateway Technical College (Racine/Kenosha)Waukesha County Technical CollegeChippewa Valley Technical College (Eau Claire)Northeast Technical College (Green Bay)Mid-State Technical College (Stevens Point)North Central Technical College (Wausau)University Wisconsin-Stout (Menomonie)

Value Proposition: Industry

Meets company needs for workers

Increases productivity and innovation

Decreases recruitment costs

Provides a diagnostic tool to benchmark workers against high-performance standards

Increases ROI for training

Serves to attract, motivate, and retain qualified employees

Value Proposition: Workers

Offers the only national, industry recognized foundational skill certifications for production workers

Improves career advancement opportunities

Improves job security

Provides nationally portable credentials

Value Proposition: State Government

Attracts advanced manufacturing company investment

Broadens the variety of manufacturing industries that a state can attract

Enables dislocated workers from one industry sector to acquire the credentials to shift readily to other industry sectors

Thus helps reduce the effect of a downturn in one sector by preparing workers to perform well in other sectors

Value Proposition: Education

Increases industry client base and student enrollment Increases student enrollment through on-demand e-learning solutionsProvides fully developed courses for immediate implementationOffers high-quality courses with proven resultsProvides teacher certification Enables schools to offer certifications as well as degrees

Actions by Harley-Davidson

For job applicants state “MSSC Certification Preferred”Assess group of incumbent Harley workers to create benchmarkInvestigate “fast track” MSSC Training for both contingent workers and existing employees to enhance their skills and careersUse tuition reimbursement for MSSC coursesPromote MSSC e.g., September 25, NAM Press Conference at National Press Club

Suggested Steps by Others

To use MSSC System for recruitment, benchmarking, and training

Encourage educators to align their curriculum with MSSC requirements and MSSC’s full curriculum

Use on-line courses

Tech Colleges and Workforce Development Boards must work together with Industry to secure federal and state funding grants

For more information on MSSC see folders and www.msscusa.org

For more information on WISPASS/MSSCsee www.matc.edu/wispass