Dear Reg iona l S takeho lders ,

Rhodes State College, the West Central Ohio Manufacturing Consortium (WCOMC) and the Manufacturing Extension Partnership of Northwest Ohio (MEP), are pleased to present this latest survey and report on the skill and education requirements of manufacturing employees and the general climate of manufacturers in West Central Ohio.

The Manufacturing Extension Partnership of Northwest Ohio, based at the Center for Innovative Food Technology (CIFT) in Toledo, includes Rhodes State, the WCOMC, Findlay-Hancock County Economic Development, Northwest State Com-munity College and the Manufacturing & Technology Small Business Development Center (MTSBDC) in Toledo. Since 2004, MEP has helped provide low-cost busi-ness and technical assistance to small- and medium-sized manufacturers in Ohio.

This is the third general manufacturers’ survey, and fourth overall survey conducted by Rhodes State and the WCOMC since 2004. Data from the 2004 survey led to the creation of the WCOMC and its Advanced Manufacturing Pathway. Results from the 2007 survey led to the modification and creation of courses and training provided by education partners of the WCOMC. An industry-specific survey of Allen County process operators led to modification of the Apollo Career Center process operator certificate program and creation of an intermediate-skilled program at Rhodes State College.

Based on the advancing skill sets of local industry, the Advanced Manufacturing Pathway has continued to evolve since 2007. Outreach has improved at the primary and secondary education levels, as 10 high schools and 11 junior high schools now offer Project Lead the Way, a pre-engineering program. High school Tech Prep enrollments in Engineering Technology-related programs have nearly tripled since 2006, from 104 to 304 enrollees. Nearly 500 in-dividuals have completed the WCOMC’s Basic Certification, with continued growth in the Intermediate and Advanced pathways as well. This survey documents the continued need for the advanced skills at all levels of the pathway. Manufacturers who completed the survey anticipated over 700 hirings in the next 6-24 months from when the survey was conducted.

Many thanks go to the manufacturers who participated in this year’s survey, as well as the MEP for their financial support and the support staff from Rhodes State who processed and analyzed the data and were involved in writing this report.

We hope you find this report to be a useful tool that gives you good information and data on the pulse of manufactur-

ing in this region. This in turn will enable us to provide relevant, cutting-edge training to meet manufacturers’ needs.

Sincerely,

Dave Beck Matt Kinkley, Ph.D Doug Durliat President/CEO Executive Director Director CIFT Workforce, Economic Development WCOMC Northwest Ohio MEP & Continuing Education Rhodes State College

Survey challengeS found

2004 Develop a regional workforce with high-tech skills for advanced manufacturing

2007 Continue developing a flexible work-force through a career pathway

2009 Develop a skilled workforce specifically for process operations

2013 Meeting skill requirements in a post-recession economy

1

average manufacturing

salary

in ohio is $53,000,

compared to the overall

average wage of $46,000.

– U.S. Dept. of Labor, 2013

Manufacturing accounts

for 630,000 jobs in

ohio, accounting for 16.7%,

or $80.8 billion of ohio’s gross

domestic Product. It is the largest

of ohio’s 20 economic sectors.

– GDP from Ohio - August 2012

B a c k g r o u n d

This is the third regional manufacturers’ survey conducted by Rhodes State College and the West Central Ohio Manufacturing Consortium. Results from the first survey, released in 2004, showed manufacturers in the region needed to undergo changes to compete nationally and globally by employing workers with high-technology skills who were able to work in an advanced manufacturing environment.

The 2007 survey indicated the trend for more advanced skills had continued at the Basic, Intermediate and Advanced skill levels. The challenge then was to continue promoting future manufacturing workers up a career pathway. The 2009 survey focused on developing a skilled workforce specifically for process operations. Data from the survey, along with a federal grant awarded by the City of Lima, enabled Rhodes State College and Apollo Career Center to create an educational pathway for process operations by enhancing Apollo’s existing program and creating curriculum for an intermediate certificate at Rhodes State. Over 90 certificates and degrees were awarded during the three-year grant period.

T o d a y ’ s C h a l l e n g e s

1. Ensuring that workers have the right skills in a post-recession manufacturing environment:

• Emerging workers need more skills

• Incumbent workers need training to meet increased skill requirements

2. Addressing public perception about lack of employment opportunities in Manufacturing:

• Recognizing there are good career pathways in manufacturing

• Communicating manufacturing career opportunities to the public

3. Expanding public private partnerships in manufacturing

• Advocate user-friendly workforce development programs

2

Photo courtesy of Ashland Specialty Products of Lima

2 0 1 3 S u r v e y

The 2013 survey included 52 companies representing 56 facilities in 12 counties of West Central Ohio. These manufacturers employ over 18,000 and combine for $11 billion in annual sales. The survey adopted materials from the National Skills Standard Board (NSSB), National Council for Advanced Manufacturing (NACFAM) and Voluntary Skill Standards for Advanced High Performing Manufacturing. The survey identified detailed skill sets, educational requirements and employment needs for replacement and incumbent workers. It consisted of 154 questions on skills and education requirements that were needed within the industry as it prepares a competent workforce.

With funding from MEP of Northwest Ohio, staff from Rhodes State College and the West Central Ohio Manufacturing Consortium conducted the survey.

2 0 1 3 S u r v e y R e s u l t s

Workforce Distribution Percentages

There was little change in the percentage of Basic skilled workers from the 2007 to the 2013 surveys. The 2007 and 2013 percentages were significantly higher than the percentage of Basic skilled workers in the 2004 survey. The percentage of Advanced skilled workers increased from 2007 to 2013 (see charts).

The 52 manufacturing

companies surveyed

employ over 18,000

people and

combine for $11 B

in annual sales.

Basic

Intermediate

Advanced

Workforce Distribution 2004 Regional Survey

26%50%

24%

19%

64%

17%

Workforce Distribution 2007 Regional Survey

16%

63%

21%

Workforce Distribution 2013 Regional Survey

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Skill Levels and Pay RangesAdvanced Skills 2013 Manufacturers Survey 2007 Manufacturers Survey 2004 Manufacturers Survey

Pay Range Starts at $10 Starts at $10 Starts at $12

Average Range $20 - $35 $18 - $29 $18 - $34

High End $80 $65 $72

Intermediate Skills 2013 2007 2004

Pay Range Starts at $10 Starts at $8 Starts at $10

Average Range $15 - $21 $13 - $19 $15 - $20

High End $43 $42 $45

Basic Skills 2013 2007 2004

Pay Range Starts at $8.50 Starts at $7.50 Starts at $6

Average Range $9.50 - $13 $10 - $13 $10 - $15

High End $25 $30 $28

Number of Basic Skills IncreaseThe Basic skill level experienced the largest continu-ous increase of number of skills preferred or required, increasing from 32 in the first survey in 2004 to 47 in 2013. Entry level workers are now expected to possess skills previously required of Intermediate skilled workers. There was a slight increase in Advanced skill sets from 2007 to 2013 (see chart).

Wage DataThe average starting wage for Basic skilled jobs is $1/hour higher than in 2007. Average wage ranges have increased at the Intermediate and Advanced skill levels.

0

20

40

60

80

100

AdvancedIntermediateBasic

Basic Skills Increased Continuously

32

2004 2007 2013

4247 46

70 68 67

84 86

4

BaSIc SkIllS ThaT were InTerMedIaTe In PaST SurveyS:

• Interpret & use production flow charts

• Use production fixturing devices

• Selection of measurement tools

• Fraction & decimal calculations/conversions

Photo courtesy of Rudolph Foods of Lima

5

HiringSeventy-seven percent of the companies surveyed indicate they plan to hire in the next 24 months. Twenty-seven of the 52 companies plan to hire at the Basic skill level; 24 at the Intermediate level and 24 at the Advanced level. The percentage of companies planning to hire exceeded the percentage from the 2007 survey in only the Advanced skill level (see chart).

77% of companies

surveyed indicated they

plan to hire in the next 24

months. hirings are fore-

cast in all skill levels.

0 10 20 30 40 50 60

2013 Advanced

2007 Advanced

2013 Intermediate

2007 Intermediate

2013 Basic

2007 Basic

More Manufacturers Intend to Hire at the Advanced Skill Level

2007 2013

57%

46%

52%

52%

46%

41%

Increased Difficulty in Finding Training at the Basic LevelThe percentage of companies indicating difficulty in finding training at the Basic level recorded the largest increase among the three skill levels, from 17% in 2007 to 26% in 2013. More companies, 38%, experienced difficulty finding training at the Intermediate level. This was a slight increase from 35% in 2007. The percent-age of companies with difficulty finding training at the Advanced level decreased from 37% in 2007 to 34% in 2013 (see chart).

0 5 10 15 20 25 30 35 40

Advanced

Intermediate

Basic

Increasingly Difficult to Find Training at Basic Level

17%

26%

35%

38%

37%

34%

2007 2013

0

10

20

30

40

50

60

70

80

Intermediate to AdvancedBasic to Intermediate

Manufacturers Promote From Within 2013 Figures

66% 70%

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*In addition, 106 seasonal employees are expected to be hired.

Job Growth Projections

The companies surveyed indicated they plan to hire 886 employees in the next 6-24 months. This includes 442 new, 338 replacement and 106 seasonal workers. Of the non-seasonal hirings, 63% are at the Basic skill level. The total number of hires is expected to be higher as several manufacturers indicated they plan to hire, but did not give projections (see chart below).

Job projections next 6-24 months Basic Intermediate Advanced

Number of new employees needed 309 66 67

Number of replacement employees needed 185 85 68

Employees projected to be hired by category 494 151 135

Continue to Promote From Within

Manufacturers have always indicated a preference for promoting employees within their operations, and the trend continued in 2013. Two-thirds of the companies surveyed indicated they promote from Basic to Intermediate skilled jobs; 70% promote from Intermediate to Advanced (see chart below).

Photo courtesy of NASG Ohio, Ada

7

Manufacturing Type 2013 2007

Machining/Shearing 63% 64%

Assembly 56% 62%

Chemical/Process Mfg 52% 33%

Welding 48% 53%

Finishing 42% 52%

Forming 31% 30%

Casting/Molding 23% 23%

0

10

20

30

40

50

60

20132007

Interest in Co-ops and Internships Doubled

25%

52%

Types of ManufacturingIn 2013, Machining/Shearing, Assembly, Chemical/Process Manufacturing and Welding were the four most common types of manufacturing in the survey (see chart).

Interest in Co-ops and Internships DoubledColleges and adult learning centers are increasingly promoting experiential education as a part of their curriculum. Co-ops and internships are a way for the student to gain work experience while attending school. As skill require-ments continue to increase in manufacturing, students are increasingly looking at co-ops and internships as a means of gaining experience to make them competitive in the job market, as employers often require previous work experience for new hires. The percentage of manufacturers interested in co-ops and intern-ships more than doubled from 25% in 2007 to 52% in 2013 (see chart).

Photo courtesy of Husky Energy, Lima Refinery

Skill Set GapsA “gap” in a skill was indicated if companies noted there is a problem or persistent lacking of the skill among the manufacturer’s employees. A significant number of manufacturers surveyed indicated they had a skills gap or problems in the Quality/Continuous Im-provement skills category in all three skill levels. These include:

• LEAN improvement concepts

• Commitment to Continuous Improvement

• Determining root causes of problems

• Contribution to profit and loss

Basic skill gaps continued in the Workplace (Soft) Skills, which are behavior-oriented. Math & Measurement skills gaps emerged in Precise Measurement, Calculating without a Calculator and Fractional/Decimal Conversion and Calculation.

Intermediate skills gaps centered around management and communication, programming or interfacing with advanced equipment, and computer software such as word processing, database and spreadsheets.

Advanced skills gaps emerged in financing/budgeting, diagnosing, troubleshooting and programming equip-ment, and communicating with customers.

Expectations Identified by Skill LevelBasic Intermediate Advanced

Quality/Continuous Improvement • Contribution to profit/loss• LEAN improvement

concepts• Commit to continuous

improvement• Determine root causes of

problems

• Contribution to profit/loss• LEAN improvement

concepts• Commit to continuous

improvement• Determine root causes of

problems• Perform SPC• Perform quality audits or

inspections

• Contribution to profit/loss• LEAN improvement

concepts• Commit to continuous

improvement• Determine root causes of

problems

Continued on page 9

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Expectations Identified by Skill LevelBasic Intermediate Advanced

Workplace "Soft" Skills • Punctual/reliable• Polite & respectful• Completes tasks on time

& accurately• Follows directions &

procedures• Accepts constructive

criticism• Truthful & honest• Plans & organizes without

supervision• Capable of learning new

skills• Enthusiastic toward work• Keeps accurate time & job

records

• Basic skills are a prerequi-site for advancement

• Basic skills are a prerequi-site for advancement

Math & Measurement • Precise Measurement• Calculate without calcula-

tor• Fraction/decimal convert

& calculate

• Basic skills are a prerequi-site for advancement

• Basic skills are a prerequi-site for advancement

Advanced Manufacturing Skills • CNC interfacing & programming

• PLC interfacing & programming

• Welding• Robotics• Electronic gauges,

meters, instruments• Instrumentation trouble-

shooting

• Diagnose & describe equipment malfunctions

• Troubleshoot, repair equipment

• Computer networking• Computer programming

Computer Skills • Windows• Word processing software• Spreadsheet software• Database software

• Intermediate skills are a prerequisite for advance-ment

Management Skills • Perform employee evalu-ations

• Manage multiple manu-facturing functions

• Manage multiple manu-facturing personnel

• Facilitate team meetings

• Maintain budget control• Perform cost-benefit

analysis• Understand industrial

ergonomics

Communication Skills • Verbal & written commu-nication internally

• Verbal & written commu-nication with customers

* Fifty percent or more of the companies surveyed in 2013 identified these skills as needed. 9

Development and Expansion of the Pathway

advanced PaThway STaTISTIcS SInce 2005:

rhodes State college –

285 degreed ET students 2005-2013 – 90.7% job placement through 2010

rhodes State college/Miami university Electro-Mechanical Engineering 2+2 bachelor’s degree –

27 completed Miami degree

ohio northern university Electrical and Mechanical Engineering –

422 degreed students – 94% job placement

ohio northern university Technical Studies –

128 degreed students – 98% job placement

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WCOMC Advanced Manufacturing PathwaysThe Advanced Manufacturing Pathway was created from data obtained in the 2004 regional manufacturers survey. The three-tiered program includes Basic, Intermediate and Advanced certifications in which persons may enter and re-enter at any level, based on background and training needs.

The Basic Pathway is a 40-hour course that has been offered at various locations in the Lima region, in credit and non-credit form. This pathway has evolved to become more of an entry-level or orientation for the Intermediate and Advanced pathways, although students have obtained employment in manufacturing with only the Basic certification.

Basic Pathway Statistics:

- 491 students have achieved Basic certification since 2005

- Twenty-seven regional manufacturers have hired from this pool

The Intermediate Pathway certification is offered at Rhodes State College and Apollo Career Center. Apollo offers three, 900-contact hour certificates in Manufacturing Engineering Technology (MET), Multi-Craft Industrial Technology (MIT) or Welding & Fabrication (W&F). Apollo’s W&F program is one of only four in Ohio offering American Welding Society (AWS) certification. Rhodes State offers six certificates, eight to nine courses each, in Electrical, Environmental-Health-Safety, Computer Numerical Control (CNC) Machining, Programmable Logic Control (PLC), Robot-ics and Operational Excellence.

Intermediate Pathway Statistics:

- Since 2005, 262 students have enrolled in Apollo MET, MIT, Welding & Fabrication, Rhodes State Electrical, PLC, CNC, Operational Excellence, Robotics, Environ-ment-Health-Safety.

The Advanced Pathway is an Associate’s degree in En-gineering Technology or other manufacturing-related fields at Rhodes State or baccalaureate degrees in Engineering or Engineering Technology. Degrees from Rhodes State include Electronic Engineering Technology, Mechanical Engineer-ing Technology, Manufacturing Engineering Technology and Environmental, Health and Safety. Advanced Pathway students have also come from the Ohio Northern University Technological Studies, Mechanical Engineering and Electri-cal Engineering programs, and the Miami University Electro-Mechanical Engineering 2+ 2 program.

Photo courtesy of Husky Energy, Lima Refinery

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P l a n o f A c t i o n

• Utilize resources from the Manufacturing Exten-sion Partnership to provide low-cost business and technical assistance to small- and medium-sized manufacturers.

• Expand private-public partnerships and collabora-tions with regional economic development agencies to address high-demand training needs.

• Engage local and regional leadership for growth, infrastructure and training needs of regional manu-facturers.

• Improve awareness of career opportunities in manu-facturing through outreach in regional schools and continue development of co-ops and internships.

• Leverage the WCOMC and its partners in obtaining federal, state, regional and local grant support for manufacturing.

• Expand the Basic pathway curriculum to meet grow-ing entry-level skill needs and modify Intermediate and Advanced certification programs.

11Photo courtesy of Hirzel Canning Company, Ottawa

P a r t i c i p a t i n g S t a k e h o l d e r s

West Central Ohio Manufacturing ConsortiumAircraft Dynamics, Elida Ametek Westchester Plastics, WapakonetaAshland Specialty Products, Lima Bunge North America, DelphosChemtrade Logistics, Cairo Gasdorf Tool & Machine Company, Lima Graham Packaging Company, Minster Heat Treating Technologies, LimaHirzel Canning Co., OttawaHusky Energy, Lima Refinery KMC Holdings LLC, Van WertKrendl Machine, DelphosMama Rosa’s, Sidney

MetoKote Corporation, LimaMiller Precision Mfg, Inc., OttovilleNASG Ohio, AdaProcter & Gamble, Lima POET Biorefining, LeipsicPotash Corp., LimaRandall Bearings, Inc., LimaRudolph Foods Company, Inc., LimaSandkuhl Clay Works, KossuthSchnipke Engraving Company, CloverdaleSuperior Forge & Steel, LimaUnarco Material Handling, Inc., Pandora

Survey TeaM doug durliat

West Central Ohio Manufacturing Consortium

daTa ProceSSIng doug durliat, WCOMC

dr. Matt kinkley, WEDCE

collaBoraTorS dr. Matt kinkley

Executive Director, Workforce, Economic Development & Continuing Education Rhodes State College kinkley.m@RhodesState.edu 419-995-8283 doug durliat Director, WCOMC durliat.d@RhodesState.edu 419-995-8353 eric Broughton Grant Coordinator Rhodes State College broughton.e@RhodesState.edu 419-995-8489

dave Beck President/CEO CIFT Northwest Ohio MEP dbeck@ciftinnovation.org 419-535-6000

Regional ManufacturersALPLAAmerican Trim - Lima - Wapakoneta - SidneyAssociated PlasticsBraun IndustriesCelina Aluminum Precision TechnologyCooper Farms, Van Wert Diamond MachineDTREaton Corp.Ford Lima Engine PlantFort Amanda SpecialtiesGeneral AluminumGeneral Dynamics Land SystemsGlobal PrecisionGrob Systems, Inc.Guardian EthanolHonda of AmericaIneos LLC

Kettle CreationsKalida Manufacturing, Inc. Koneta RubberKuss FiltrationMidway Products: - Findlay Products Corp. - P&A Industries, Inc. - Production Products, Inc . - Progressive Stamping, Inc. - Lake Park Industries, Inc.Nelson ManufacturingP&G Pet CarePrecision Strip, MinsterRemlinger Mfg.Spallinger MillwrightThompson Dayton SteelToledo Molding & Die, DelphosVanamaticWhirlpool, OttawaWilson Sporting Goods Co.

Regional Pathway CollaboratorsABLE (Adult Basic Literacy Education) Regional ProgramsACCENT OhioAllen County CommissionersAllen County Job & Family ServicesAllen Economic Development GroupApollo Career CenterArea 8: Auglaize, Hardin, Mercer, Van Wert, Ohio WIA-Workforce DevelopmentBradfield Community AssociationCenter for Innovative Food Technology (CIFT)City of Lima

Findlay-Hancock County Economic DevelopmentHardin County Chamber & Business AllianceLACCA – Lima Allen Council on Community AffairsLima Allen County Chamber of CommerceLima City SchoolsMaplewood Learning CenterMiami University Millstream Career CenterNorthwest Ohio Manufacturing Extension PartnershipNorthwest State Community CollegeOhio Hi-Point Career Center

Ohio Manufacturing & Technology SBDCOhio Northern UniversityPutnam County Skilled Learning CenterPutnam County Job & Family ServicesPutnam County Community Improvement Corp.Region 3 Small Business Development CouncilRhodes State CollegeSolutions, etc…Tri Star Career CompactVantage Career CenterWest Central Ohio Tech Prep Consortium

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