Action research winning with data. Tips and techniques for leveraging data to build a better workforce
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1 Action research winning with data Tips and techniques for leveraging data to build a better workforce
2 OUR MISSION To create a comprehensive and cohesive workforce development system in Southeast Michigan that provides employers with the talent they need for success. Data Employer Engagement Policy
3 OUR MISSION Data & research guided employer strategies and policy DATA Working Smarter Series Quarterly labor demand reports Posting-toemployment forecasting Special Report Requests EMPLOYER STRATEGIES Information technology Opportunity Detroit Tech ExperienceIT Manufacturing Green Mobility planning & talent partnerships LIFT Defense Advance MI Defense Collaborative POLICY Process improvement Business Services Network Career Services Network Administrative change Legislative change Exemplary practice identification & adoption Data-driven training, education, experiences & career guidance
4 We do stuff
5 Examples from WIN Example 1 Example 2 Example 3 Example 4 Community Colleges Workforce development Economic development Other Partners
6 Example Data Requests What jobs are trending in the region? Where should we invest workforce dollars? What jobs are falling behind? How do we make sure employers have what they need? What new program should we create? What major should I tell my students to take on?
7 Data Rules we live by 1. Try NOT to ONLY use ONE source of data! a. We LOVE EMSI, Burning Glass, etc and we pair them with other sources to get a complete picture and understand nuances in the numbers. 2. Dig in for the more information, reality check a. Not all data is created equal, if something looks funny it probably isn t right. 3. Double-check with your local employers and the talent system for extra detail a. Employers will give you additional information about their needs to better flesh out data and provide insight on their needs. Schools will do the same on their program offerings, enrollments etc.
8 Examples from WIN Example 1 Example 2 Example 3 Example 4 Community Colleges Workforce development Economic development Other Partners
9 Community colleges Grants Program development
10 Community Colleges $19.4 million in equipment grant funds WIN community colleges awarded 39% of total state funding available for new equipment Projected growth What jobs are growing in the coming 5-10 years? WIN assists partners with grants WIN research team identified key areas for each college to invest Current employer needs Job postings, what do they need now? Data! EMSI to the rescue Annual openings, completions, postings (from burning glass), etc. + identify which occupations require large equipment for training What makes the area competitive? Location quotient in higher wage areas, higher wage jobs that need a boost!
11 CC Program development What occupations are trending? Many growing occupations require a BA but community colleges focus more on the 2-year degree. What programs can CCs create that allow students to get a leg-up to an in-demand career? Who should the school recruit? Workforce gap analysis can help with this. Identify: Demographic gaps Salaries (only invest in higher wage areas) Skills required Transferability to a 4-year program
12 Examples from WIN Example 1 Example 2 Example 3 Example 4 Community Colleges Workforce development Economic development Other Partners
13 orkforce development Quick spending Business services
14 Workforce dollars Employer needs (Burning Glass) Growth areas and annual openings (EMSI) Postings and skills indemand for lower skills workers Growth areas and annual need for lower skill workers Request from WIB on where to do make a quick investment for strong impact Requirements: Need to spend down dollars 6-month training or less Lower skill population demographic Credential awarded after training Employer-centered O*NET: identifying specific skills/credentials aligned with growth occupations that can be attained in 6 months or less
15 WIB Business Services Oakland County Data SOC Description Median Hourly Earnings 10th percentile (entry level) Cashiers $9.95 $ Retail Salespersons $10.90 $ Customer Service Representatives $15.62 $ Order Clerks $16.22 $ Stock Clerks and Order Fillers $11.52 $8.77 $12.11 $8.94 SOC Description Median Hourly Earnings 10th percentile (entry level) Employers have lots of turnover Can you guess why? Wages! They don t pay enough Employer goes to WIB to request comparison data on wages Southea st Michigan (WIN Region) Cashiers $9.38 $ Retail Salespersons $10.16 $ Customer Service Representatives $15.11 $ Order Clerks $15.81 $ Stock Clerks and Order Fillers $10.80 $8.25 $11.28 $8.45 Regional data on wages helps WIB is able to deliver quality wage data to employer and encourage higher wages to reduce turnover *Wages at or near the 10th percentile or average are NOT considered to be competitive. If higher wages are difficult for a company to manage, then a more creative compensation plan might be a good option
16 Examples from WIN Example 1 Example 2 Example 3 Example 4 Community Colleges Workforce development Economic development Other Partners
17 Economic Development IT occupations, what to focus on? Talent attraction and retention
18 Modified Shift-Share! DIY Shift-share analysis Using EMSI and excel, a DIY analysis tailored to your needs Identify strong areas What areas are growing faster than the nation (or state)? What is catching up? Identify areas falling behind What areas are falling behind and where should investments be made?
19 Bubble charts then what? Look at Wages Are the top growth areas the ones with highest wages? Or is the area only growing lower wage jobs? This is important for longterm success. What are wages in your area compared to others? Are you keeping up? Falling behind? Your economic developers will want to know. What about job Postings? Postings can tell you what employer demand is right now. Is it high? Has it been growing? If something is growing in demand, it is worth it to find out which employers are hiring and reach out to them to figure out how easy/hard it is for them to hire. How many grads? Is there a job that has a lot of grads but no job postings and no future growth? Problem sign! Are there jobs with projected growth and lots of postings but few grads? Also a problem. Dig into the data Combine your results to identify your region s overarching growth areas that present the best opportunity. Work with the industry side to figure out how to best align industry attraction with strong occupations.
20 Wages! Description Median Hourly Earnings Computer and Information Systems Managers $51.06 Computer and Information Research Scientists $50.82 Computer Systems Analysts $37.95 Information Security Analysts $38.87 Computer Programmers $33.03 Software Developers, Applications $38.20 Software Developers, Systems Software $42.50 Web Developers $26.26 Database Administrators $38.29 Network and Computer Systems Administrators $35.51 Computer Network Architects $40.96 Computer User Support Specialists $20.61 Computer Network Support Specialists $27.21 Computer Occupations, All Other $39.23
21 Quick Supply/Demand Description Median Hourly Earnings Regional Completi ons (2013) 2013 Job Postings 2014 Job Postings Computer and Information Systems Managers $ , Computer and Information Research Scientists $ , Computer Systems Analysts $ ,011 4,662 4,519 Information Security Analysts $ , Computer Programmers $ ,176 2,154 Software Developers, Applications $ ,742 13,301 Software Developers, Systems Software $ ,200 2,121 1,935 Web Developers $ ,318 2,027 1,639 Database Administrators $ ,695 2,192 Network and Computer Systems Administrators $ ,155 2,036 Computer Network Architects $ , Computer User Support Specialists $ ,350 3,789 3,557 Computer Network Support Specialists $ , Computer Occupations, All Other $ ,890 11,471
22 How Much is Enough? Remaining competitive in today s economy
23 Changing Wages? Worker earnings are tracking inflation almost exactly, what does this mean? Workers are no better off than they were 10 Yrs Ago.
24 Shift happens Economics review: What happens when supply shifts? Less quantity supplies at each price Sound like Michigan s labor force? What should happen to the price?
25 What IS Competitive? During difficult economic times some candidates will accept a lower rate Once you ve started down the slippery slope of paying below market rates Pay-for-performance systems have a hard time keeping up
26 Want to be Average? What does being Average mean? Want average employees? How about average output? Performance?
27 How much should you pay? HR manual: should this be reviewed at your organization? Use data! om/nace/salary-calculator-intro/ Quick trick! (2,080 hours = full-time)
28 Examples from WIN Example 1 Example 2 Example 3 Example 4 Community Colleges Workforce development Economic development Other Partners
29 NNMI: targeted $$ LIFT: from grant writing to workforce investments IACMI: talent in the 21 st century, where to focus?
30 LIFT: Data-Informed Investments
31 Validating Demand Not all in-demand jobs are created equal Focus on: High wage fields High skill fields High growth fields Pathways out of lower-skill work
32 Data-informed investments Workforce investments through LIFT made based on data analysis and areas of need. These include: Talent-pipeline development: an aging workforce coupled with fewer young workers entering advanced manufacturing careers Right Skills Now: employer demand is high with few workers to fill the current demand
33 Employer-centered approach to workforce investments Creating ready-to-go programs that teach currently needed skills and competencies Adult education investments to upskill current talent pool Investing in the talent pipeline by engaging youth
34 Outreach and communication are essential to promote investments and gain additional support
35
36 Composites Occupational Clusters Research & Product Development Production & Construction Industrial Application Manufacturing Process Research/Modeling & Simulation Machinists Mechanics Chemical & Materials Scientists & Engineers Skilled Trades Supply Chain Product Safety Designers & Drafters Computer, Electrical, & Mechanical Engineers Production Management Engineering Technicians & Technologists Civil & Human Safety Engineers
37 Employment Growth in Composites-related Occupations > 230k related jobs added since % Regional share of national composites jobs
38 Job Demand Growth for Composites-related Occupations 273k Online job ads in 2014
39 Demographics
40 On our radar screen In the United States, every day there are 10,000 new baby boomers who reach retirement age.
41 Don t forget! Look at many sources Corroborate your results with other data sources. Economic data is complicated because all sources aren t created equal. Did Brookings find something TOTALLY different than you did? Then you probably need to re-check those numbers and sources. If it looks wrong, it probably is. Talk to Employers Employers are the ones posting for jobs and they have more information about what they want than they can write down. Ask them questions when you see changes in the data! ASK questions How the data will be used can help dictate the level of detail you present and how you share the research findings. Always ask your requestor HOW the data will be used and WHO the audience is Talk to the talent system Are grads getting hired? What programs are growing enrolment? What are employers asking for?
42 Questions? WEBSITE: win-semich.org Colby Cesaro, Research Director Thank You!
43 GREAT DATA FOR GREAT DECISIONS WIOA Conference: A 360 View
44 Talent Business Community
45 COMMUNITY REGIONAL PLANNING Building A Framework For Sustainable Communities Using Data & Analysis
46 Master Plans Recreation Plans Research & Reports Education, Resources, & Data Best Practices & Guidebooks Facilitation/Neutral Convener
47 COMMUNITY DATA: PLANNING FOR THE FUTURE Who lives here? How much do they earn? How will the local economy change? What mix of services & infrastructure should we plan for?
48 DATA COLLECTION & ANALYSIS Discovering trends and testing market perceptions that impact local & regional economies
49 POLICY COLLABORATION US-131 Corridor Study
50 NWM Commute Distance Per Worker Jobs Earning <= $1,250/month Jobs Earning $1,251/month to $3,333/month Jobs Earning > $3,333/month NEW TOOLS Combining processing big data
51 DATA GATHERING & ANAYSIS Using policy research & interviews, GIS, and combined datasets to model economic & demographic trends
52 Benefits of Concentrating Growth & Investment 1. Increased Specialization 2. Knowledge Spillovers 3. Competition 4. Larger Pool of Talent 5. Economies of Scale LONG TERM TRENDS How policy impacts economic resiliency
53 Job Density (per acre) Per Capita Income $45,000 $40,000 $35, R² = $30,000 $25,000 $20,000 $15, Job Density (per acre) Per Capita Income Per Capita Income Regression $10,000 LONG TERM TRENDS How policy impacts economic resiliency
54 VALIDATION Confirmation of market observations
55 DATA INTEGRATION INTO THE WORKFORCE DECISION MAKING PROCESS Case Studies
56 CASE #1 Need: Results: Validation of potential employers and scalability for proposed expansion of apprenticeship program. Data confirmed local business intelligence supporting program expansion. Identified accurate number of potential business partners Discovered potential number of new customers Validated potential scalability by identifying size of the state-wide industry
57 CASE #2 Need: Results: Validation of industry s specific request for additional workforce training programs. Current regional training programs had increased capacity to meet workforce needs while not being fully utilized by job seekers. Revealed opportunity for increased career awareness programming. Provided business partners with new insight regarding talent attraction, retention and training. Strengthened relationships with industry and business services team.
58 CASE #3 Need: Results: Validation of industry s perception of prevailing wages in local area, region and state. Recognition by business partner regarding need for competitive wage restructuring. Increased employee retention resulting in significant cost savings to employer Reduced recruiting costs Dispelled myths regarding industry wage norms
59 GREAT DATA FOR GREAT DECISIONS WIOA Conference: A 360 View
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