Indiana ManufacturingNumber one in direct employment

Number one in gross state product

Number one in wagesNumber one in benefitsAccounted for 54% of state’s growth in past four years

Measurement ProblemsTemporary Workers: Temporary help workers are on payroll of temporary help

agency, not the firm actually using their labor. Consequently, the Bureau of Labor Statistics (BLS) establishment surveys do not assign them to industry they actually work in. Thus, the BLS time series counts of workers and hours supplied to firms in manufacturing sector understate their true magnitude.

We estimate that direct manufacturing employment is understated by more than 15%.

Outsourcing and NAICS Code Changes: Most non-core functions – Accounting, legal, governmental

affairs, transportation, IT, security all being counted in other sectors

Issues Manufacturing history and imageNegative generation caused by dreams

of a service economy, layoffs, closings, offshoring, and world competition has led to a distrust of manufacturing as a career option.

Negative generation has led to a two-fold problem. Younger workers looking elsewhere while the current manufacturing workforce ages.

High wages are now correlated to knowledge

Manufacturing now needs knowledge workers – increasingly more computer based

IssuesThe U.S. and Indiana’s planning and

resources for preparing knowledge workers for manufacturing is fragmented, limited in scope and it lacks scale. (Major reason for the Career Council and Workforce Councils)

The lines between knowledge needed by management and employees is increasingly getting blurred.

Companies along with public entities need better strategies to coordinate training needs.

RecommendationsDefine the proper role of government,

business, workers, parents & studentsTraining programs should be market

driven State needs to coordinate the data and

make sure it is verifiable and sourcedFully develop the inventory of state’s

current training programs and opportunities

Develop searchable database/website for all

Fully utilize job and training audit data to identify successful programs and programs in need of improvement, modification or elimination

RecommendationsWhile STEM is critical we also need greater

emphasis on job/task/machine specific skillsK-12 needs to be better at preparing the

future workforce and the connection between learning and earning

Educators need to know what economic opportunities exist and bring employers into the classroom

We need more internships and apprenticeships starting at earlier ages

Technical Education Outside US Best PracticesGermany, Switzerland and Austria are

considered best in class and do the following:Early triage of studentsExtensive internship or apprenticeship

programs (classroom and on the job training)

Strong ties with employersCultural tradition that supports students

going into industrial and technical fields

RecommendationsFinally we need to get everybody on board with better communication, better coordination of resources and programming, and an extensive, ongoing public affairs and public relations campaign.