WMEP & NGM

Manufacturing is Vital to Wisconsin► 10,000 Manufacturing firms

► 477,200 jobs (direct)*

► WI highest NFP Manufacturing Employment of any state

► 16.7% of Total Non-Farm Employment*

► $47 billion GSP (21% of state GSP)

► WI is the 2nd most manufacturing-dependent economy in the US

► 30,000 Manufacturing Jobs lost since June 2008*

*Bureau of Labor Statistics, US Dept. of Labor, November 2008

NGM Survey

Purpose:• Better define the strategies & actions

required for world-class manufacturing• More than 2500 manufacturers

responded• Coordinated the ASMC, MPI

& MEPs• Most comprehensive survey every

undertaken

States participating in survey

WHY NGM?

NGM Performance Gap Assessment

Methodology & Rationale

To assess performance gap in the 6 NGM Attributes against:

* Input is controlled by CEO and influenced by policy -output is not

6 NGM Success Attributes

NGM Key Performance Indicators

Advanced Talent ManagementAdvanced Talent Management

Advanced Talent Management

Most manufacturers recognize the importance of ATM.

Advanced Talent Management

But very few are measuring their performance in ATM

Two thirds of manufacturers rank their progress furthest from world-class in this Success Attribute.

Advanced Talent Management

Two thirds of manufacturers devote less than 20 hours per year to employee training.

Advanced Talent Management

Two thirds of manufacturers have turnover rates that are furthest from world-class

Advanced Talent Management

Three quarters of manufacturers’ value-add per employee rates are furthest from world-class.

Advanced Talent Management

Few companies have employees dedicated to assessing and upgrading the talent pool.

Advanced Talent Management

Few companies have employees who regularly participate in empowered work teams (make decisions without supervisor

approval).

Advanced Talent Management

Engaged People/Human Capital Acquisition, Development and Retention (EHC)

NGM Awareness

Wisconsin manufacturers understand the need for world-class performance.

2015Desired

State

NGM Progress

Wisconsin manufacturers have made uneven progress in achieving world class performance

in the 6 NGM Success Attributes

2015Desired State

NGM Self-Assessment

What gets measured gets done.

2015Desired State

2015Desired State

NGM Going Forward

Wisconsin must support its manufacturers.

2015Desired State

2015Desired State

Advanced Talent Management

Gains competitive advantage through best practices in talent recruitment, development and retention.

Rate the importance of human capital acquisition, development and retention to your organization’s success over the next five years:

Advanced Talent Management

Rate your organization’s progress toward world-class human capital acquisition, development and retention:

Advanced Talent Management

How many formal training hours are devoted annually to each employee?

Advanced Talent Management

What is your value-added per employee?

Advanced Talent Management

What is your organization’s annual labor turnover rate (number of voluntary and involuntary separations/typical staffing level)?

Advanced Talent ManagementWhat best describes your measurement system for reviewing return from human-capital acquisition, development and retention?

Leadership in Transition

Leadership Demographics Suggest

Large Future Risk or Opportunity

Average Age of Chief Executive

(All Companies Surveyed)

Planned or Possible Leadership Succession in Next 5 Years

(All Companies Surveyed)

Advanced Talent Management

Advanced Talent Management

Who is at NGM Benchmark Now?

Going Forward

To what extent does your geographic region in Wisconsin have the support services, peer groups, training opportunities and resources available to support the following?

What Does It Mean for Wisconsin?

Preliminary Recommendations

1. Adoption of a Wisconsin NGM Scorecard► High-profile promotion by Governor

► Widespread use by multiple partners

► Establish ongoing NGM measurement and benchmarking capability

2. NGM policy package focused on inputs► People

► Resources

► 6 Success Attributes & Best Practices in Next Generation Manufacturing

Preliminary Recommendations

3. Leadership Initiatives► Attract and Support NGM Leadership Talent

► Target NGM Companies for Recruitment

4. Closer manufacturer-engagement by public service providers

► Customer-focused metrics

► Extended enterprise approach

Sector Strategy Benefits

1. Cross-cutting goals for multi-agency alignment

2. Framework relevant to private sector and public agencies

3. Targets high-quality jobs

4. Innovative approach

5. Likelihood of sustainability

What Will WMEP Do?

What Can WMEP Do?