Advanced Manufacturing & Engineering Services. Action Plan

Transcription

1 Advanced Manufacturing & Engineering Services Action Plan April 2014

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3 Introduction - If we are to enable Northern Ireland to compete globally, it is fundamental that we increase our export base and in this context, the advanced manufacturing and engineering services will be pivotal. To achieve these aspirations, it will be essential that the workforce have the skills and technical knowledge to produce innovative products and to adapt to the challenges facing the sector Dr Stephen Farry Minister for Employment and Learning. 1

4 Advanced Manufacturing & Engineering Services Action Plan A key aim of the Northern Ireland Programme for Government is to achieve long term economic growth by improving our competitiveness and building a larger and more export driven private sector. The Northern Ireland Economic Strategy sets out a vision to both rebuild and rebalance the local economy to ensure that it is modern, knowledge intensive and export driven. The Skills Strategy for Northern Ireland, Success through Skills Transforming Futures, published in May 2011, aims to support the vision of the Economic Strategy and support the Executive s number one priority by facilitating a better educated and more highly skilled workforce that meets the needs of the economy. In February 2012, the Minister for Employment and Learning identified advanced manufacturing and advanced engineering, as one of a number of priority economic sectors, in light of its importance in rebalancing the economy. Following concerns from employers about skills issues within the advanced manufacturing and engineering services sector, Minister Farry brought together a range of stakeholders from the sector to discuss the skills issues they face. On 25th June 2012, the Minister announced the creation of a Working Group to consider ways in which identified engineering skills, in particular, could be addressed. This complements the work already being taken forward in relation to the Food and Drink Manufacturing sector and the ICT sector. This sector is strategically important to the Northern Ireland economy as it accounts for a significant proportion of our exports and many of its activities are considered to be high value added. The advanced manufacturing and engineering sector currently employs approximately 80,000 people in Northern Ireland. It makes a significant contribution to export levels and research/ development in Northern Ireland, both of which are central to wealth generation. Evidence from the Department of Enterprise, Trade and Investment s (DETI) Manufacturing Sales and Export survey highlights the importance of the sector to the Northern Ireland economy. The survey shows that the total sales from manufacturing companies in Northern Ireland in 2011/12 were billion which represented a 6.5% increase from 2010/11. Exports from the advanced manufacturing and engineering sector totalled 4.2 billion which represented a 7.7% increase from 2010/

5 The Advanced Manufacturing and Engineering Services Working Group has brought together employers, Government Departments and Agencies including DETI, the Department of Education (DE), the Department for Employment and Learning (DEL), Invest NI, Further Education colleges and universities (see full membership list at Annex A) to develop and oversee the implementation of a short term action plan which will focus specifically on addressing the demand for individuals with engineering skills and competences. The action plan forms part of the Government s delivery of the Economic Strategy. In order to inform the Working Group a scoping study was undertaken to ascertain the scale and precise nature of the skill needs within the sector. Following the first meeting of the Working Group it was decided to complement this report with a more detailed forecasting model to inform policy making. RSM McClure Watters was appointed by the Department in 2013 to complete research into the supply of skills required for advanced manufacturing and engineering and to forecast future requirements for these skills. The findings from the report were used to inform the development of the action plan as well as setting a strategic direction for the sector. The report, published in May 2014 can be accessed via Advanced Manufacturing and Engineering Services Skill Needs Over the last decade, the Northern Ireland advanced manufacturing and engineering sector has experienced significant challenges as the result of technological changes and the pressures from competing businesses around the world. Understanding the demand for professionals in this sector is vital to ensure there is a pipeline in place to deliver an appropriate number of quality skilled people to work in the industry. The demand for people entering the advanced manufacturing and engineering sector is projected at 3,000 per year and the overall projected demand for these occupations in the next seven years is not likely to exceed the overall supply of individuals obtaining qualifications relevant to the sector. The Working Futures Model used by RSM McClure Watters to assess future skills demands, is the fourth in a series of labour market assessments completed by the Institute for Employment Research and Cambridge Econometrics that provide detailed projections for the UK labour market. 3

6 Advanced Manufacturing & Engineering Services Action Plan It focuses on a ten year picture of the labour market for 2020; including employment prospects for industries, occupations, qualification levels, gender and employment status for the UK overall and for the devolved nations. The Working Futures Model concentrates primarily on a quantitive, economic based approach which focuses on sectoral and occupational employment structures, qualifications and general workforce trends (including replacement demand). The projections for this report have been developed by the Institute for Employment Research at Warwick University. Around 28.5% of those gaining STEM related qualifications will be required to enter employment in the advanced manufacturing and engineering sector to meet the demand projected by the Working Futures Model. The skills mismatch in the sector relates to insufficient numbers of people coming through with professional, associate professional, skilled trades and managerial skills. The Oxford Economics report Forecasting Future Skills in Northern Ireland April 2009, suggested that growing sectors of the economy will require an increasing number of Science, Technology, Engineering and Mathematics (STEM) qualified graduates and the Programme for Government recognises the important challenge to encourage young people to study STEM subjects. One measure to help address this is the offering of a scholarship which requires the partnership of an employer and a student with the added incentive of retention for both parties; the student has the opportunity of a permanent job after graduation and the employer has the opportunity to develop and recruit best talent. The current proposal being developed by the Department for Employment and Learning would be to support up to 40 scholarships in Computing and Engineering over the next two years to demonstrate to STEM Small and Medium Enterprises (SMEs) the value and benefits of scholarships while raising the awareness of students and parents. This will be the beginning of a greater shift in the future for best local talent to be recruited and retained by local employers with the aim of retaining that talent in Northern Ireland. There are some areas within the sector that are expected to grow substantially over the next few years including aerospace, agri-food and sustainable energy. 4

7 Some of the key issues highlighted by the RSM McClure Watters research are: Demand and supply of skilled workers; Apprenticeship training and up-skilling existing employees; Salary issues; Actions necessary to increase attractiveness of the sector to potential employees; Gender imbalance; Actions necessary to build skills of potential entrants to the sector to meet the needs of businesses; Actions necessary to ensure that sufficient skilled resources are retained in Northern Ireland to support the sector; and Structure of Action Plan The action plan is structured around three thematic themes: Theme 1 - Skills Provision; Theme 2 - Sector Attractiveness; and Theme 3 - Co-ordination and Communication. Under each theme, key issues and associated actions mainly in the short to medium term are outlined. For each action the lead responsibility is identified along with other organisations which need to provide input and/or support for the action to be delivered. See action plan for a detailed list of actions. Issues specific to SMEs. Each of these issues will be addressed in the Advanced Manufacturing and Engineering Services Action Plan. 5

8 Advanced Manufacturing & Engineering Services Action Plan Annex A Membership of the Advanced Manufacturing and Engineering Services Working Group Dr. Stephen Farry MLA, Chair David Adams Dr Alan Blair Dr Brian Burns Dr Peter AJ Calvert Gavin Campbell Rory Galway Dr. Brian Hill Mark Huddleston David Hughes Stephen Kelly David Kennedy John Leighton Kevin McCann Jennifer McFarland Ann McGregor Bernard McKeown Minister for Employment and Learning Michelin Colleges NI Seagate Technology A J Power Limited Bombardier Bombardier Northern Regional College European Space Propulsion Department of Education NI Manufacturing NI Thales UK Chair, SEMTA Invest NI Magellan Aerospace Northern Ireland Chamber of Commerce Department of Enterprise, Trade and Investment 6

9 Dr Bill McGinnis CBE DL Kirsty McManus Professor Tom Millar Ronnie Moore Dr Leslie Orr Gordon Parkes Dr Roisin Ramsey Ann Semple Helena Shone Cathy Taylor Steve Thomson Professor Colin Turner Gillian Winters June Ingram Michael Gould George Wilson NI Adviser on Employment and Skills CBI Northern Ireland Queen s University Belfast Energy and Utility Skills ADS NI Northern Ireland Electricity JTI UK Moyola Precision Engineering Magellan Aerospace Caterpillar Schrader Electronics University of Ulster SEMTA Department for Employment and Learning Department for Employment and Learning Department for Employment and Learning 7

10 8 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 1 - Skills Provision CHALLENGE ACTION DELIVERABLES LEAD RESPONSIBILITY Employers, DEL, Invest NI By September 2014 Government will have quantified the actual skill shortages within the sector for these job roles. Government will work with businesses in the sector to quantify the actual demand for engineering skills in the job roles quoted in the report as being hard to fill. Ensure supply of skilled workers meets demand from industry. 1 Employers, DEL, Invest NI By December 2014 Government will have designed appropriate training interventions to overcome these skills shortages, for example - Academies, Bridge to Employment, Skills Growth Fund. Where there is demand from businesses, Government will introduce training interventions to provide suitably trained staff to fill these job roles. This will include aggregating demand amongst SMEs and other companies. The Advanced Manufacturing and Engineering Services Skill Needs Research report highlighted difficulties in filling skilled positions for: DEL, Industry By December 2014 DEL will have undertaken research to ensure supply meets demand. Recommendations for action will be developed if appropriate. Assess the job opportunities and skills needs of the renewable energy sector. Energy and Utility Skills, Employers Tool to be in place by July 2014 and utilised by ten employers by November Introduce a workforce planning tool to identify workforce issues across the sector. Determine if the Energy and Utility Skills tool is appropriate for use across the sector. Systems design /stress engineers; CNC programmers /engineers; R&D Engineers; Production managers/engineers; Plant Engineers; Project Managers; Manufacturing Systems Engineers; Electrical technicians; Fitters; Welders; and Skilled Fabricators.

11 Further Education (FE)/Higher Education (HE) and school issues. Co-ordination of skills pathways to establish clear progression routes for the sector in Northern Ireland. Industry and FE/HE should agree the possibility of establishing a curriculum group which would meet regularly to ensure that courses and qualifications remain relevant to business needs. Co-ordinate skills pathways to have clear progression routes and promote same, for example - HND/ HNC/ Foundation Degrees/ BSc. Identify formats to be used, for example - websites, methods of delivery to employers/ schools/ careers. By September 2014 we will establish a curriculum group to ensure courses and qualifications are relevant to the industry. By September 2014, establish progression routes for five job roles and promote these across industry, particularly within SMEs: 1. Crafts Person 2. Technician 3. Project Manager 4. Quality 5. Research & Development 2 3 DEL, Universities, FE Colleges, Employers Industry representatives 9

12 10 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 1 - Skills Provision CHALLENGE ACTION DELIVERABLES LEAD RESPONSIBILITY Industry representatives, DEL Graduate salary information to be collected annually and used to inform pay strategies. First year of graduate data to be collated and disseminated by March Northern Ireland companies should prepare for the potential risk of engineers being attracted to positions outside of Northern Ireland and develop plans for ensuring they have sufficient resources coming through HE/FE to meet their needs. Actions needed to ensure that sufficient skilled resources are retained in Northern Ireland to support the sector. 4 Industry representatives Further develop and utilise the Talent Retention Solution to redeploy skilled workers within the sector. To be rolled out across the industry by December DEL, Employers, Universities There will be up to a maximum of 40 students undertaking a STEM scholarship (20 in Computing and 20 in Engineering), 20 in September 2014 and 20 in September DEL to continue to develop the concept of industry-led STEM scholarships in the fields of Computing and Engineering to attract and retain top graduate talent.

13 5 Apprenticeships. Apprenticeship training needs to meet industry requirements through the implementation of the recommendations from the Ministerial Review on apprenticeships. Larger companies should be encouraged to support SMEs in their supply chain to take on apprentices. Industry to increase the number of apprentices in the sector. SMEs not involved in the supply chain should be given incentives to help with the costs of taking on apprentices. Develop Higher Level Apprenticeships by September 2014 in: Engineering; and Aeronautical Engineering Group to act as a sectoral partnership for apprenticeships for the sector to ensure apprenticeships deliver a balance of benefits across the key partners of employer, employee and Government. Working with the Review of Apprenticeships Team, the Group will explore the possibilities for overtraining large companies and SMEs within their supply chain by December Increase the number of apprentices participating in relevant frameworks from 1000 in 2014 to 2000 in In line with the Ministerial Review of apprenticeships, the Department is currently developing proposals to examine how it might best incentivise and support employers, particularly SMEs and microbusinesses, to participate in apprenticeships. Proposals setting out the way forward will be published in the summer of DEL, Employers Employers, Government, Education providers DEL, Employers Employers DEL, Employers, Industry representatives 11

14 12 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 1 - Skills Provision CHALLENGE ACTION DELIVERABLES LEAD RESPONSIBILITY DEL, Invest NI, Industry representatives, ADS The Department and Invest NI will promote their training offer to all businesses in the sector to raise awareness and encourage the uptake of training. Contact to be made with businesses by December Government should increase awareness of training support for businesses. Up-skilling existing employees. 6 DEL, Employers Assured Skills will evaluate the current CNC pilot training programme by December If successful, the programme will be offered to two additional companies by June Review the Computer Numerical Control (CNC) machining course within three months of the completion of the pilot programme. Employers, DEL, Invest NI, Industry representatives The Department will work with the sector to respond to identified training needs by March Larger companies should consider the opportunity to involve trainees from their SME supply chains in training programmes. DEL, Invest NI, Education providers, Employers The Department and Invest NI will work with Education providers to explore the possibility of a new leadership programme for the sector. Proposals to be developed by October Work with businesses/training providers to ensure that the management training provided is tailored to the sector.

15 7 Issues specific to SMEs. SMEs need external support to identify training needs within their companies. The Department and Invest NI will work together to streamline their training offerings to employers, including SMEs by December DEL, Invest NI 13

16 14 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 2 Sector Attractiveness DEL and DE have commissioned a Review of the Careers Service to ensure that provision reflects the needs of a modern, vibrant and dynamic 21st century economy and that all individuals have access to independent, high quality advice which helps them to maximise their potential and contribute to the community and the NI economy. LEAD RESPONSIBILITY CHALLENGE ACTION DELIVERABLES Industry representatives By June 2014, develop and carry out a survey to benchmark perceptions. A second survey to measure effectiveness of interventions to be completed by March Benchmark perceptions of parents, teachers and pupils. Understand the perceptions/awareness levels of career opportunities in the sector. 8 9 Industry representatives Develop a brand to feature in all sector attractiveness initiatives organised by the industry by September Improve perceptions of the sector amongst school children, teachers and parents. Parents, careers/subject teachers and other stakeholders need to be made more aware of the opportunities in the sector and STEM in particular.

17 The sector should work with primary schools to increase awareness and interest in engineering as part of STEM activities. UK Aerospace Youth Rocketry Challenge. Send cohort of top STEM students from FE/HE plus lecturers and NI Rocket Challenge winners to Futures Day at Farnborough Air-show on 18 July Look at ways to utilise existing Ambassador networks, for example, STEMNET. Industry to build on relationships with local schools, FE/HE and Careers Service. This will be considered as part of the Careers Review. Working Group will liaise with delivery partners to develop and trial an appropriate activity for primary schoolchildren by March Expand this initiative to include more schools from 7 in 2014 to 14 by March personnel to attend Futures Day to include top STEM students from FE/HE plus lecturers and NI Rocket Challenge winners Link with existing network so that the sector is well represented in Ambassador networks to raise the profile of the sector amongst pupils at Year 8 and beyond. 60 schools to be visited by Ambassadors from the sector by March employers to facilitate site visits from 30 schools by March Short workplace activities. to provide industry insight visits for 25 DEL Careers Advisers by March Industry representatives, DE ADS, Industry DEL, ADS Industry representatives Employers, Industry representatives DEL, Industry representatives, Employers 15

18 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 2 Sector Attractiveness DEL and DE have commissioned a Review of the Careers Service to ensure that provision reflects the needs of a modern, vibrant and dynamic 21st century economy and that all individuals have access to independent, high quality advice which helps them to maximise their potential and contribute to the community and the NI economy. CHALLENGE ACTION DELIVERABLES LEAD Industry to work with FE/HE to design and develop work experience workshops as taster sessions for pupils by March RESPONSIBILITY FE/HE, Employers Employers to attend annual University Open days to raise profile of the sector. Employers, Universities Provide a Snapshot report to support existing career evenings with parents. Accurate and up to date careers information will be gathered and disseminated to schools with the first "Snapshot" report due March 2015 and a second one due March Industry representatives Employers to attend Careers Service Regional Unit meetings. Careers Unit meetings are held monthly. Careers Service will invite employers to attend. Employers, Careers Service 16

19 To raise the profile of the sector in the international arena. Employers to attend Careers Teachers Annual Conference. Develop skills competitions in Northern Ireland to help raise the profile of the sector, promote the higher skills agenda and gain recognition for the skills base Address the gender imbalance within the sector. Promote STEM subjects and careers among females. Upskills to Compete Project. To develop 50 high potential female workers to progress their careers from 20 SMEs and four larger companies starting in April Link in with PR opportunities offered by the STEM Business sub group. Conference to be held on 27th November 2014 at La Mon House Hotel. Increase the number of competitions and competitors from the sector by one third leading up to WorldSkills Dubai Addressing the Gender Imbalance Reaping the Gender Dividend in (STEM) report was published in November The report contains a NI STEM CEO Charter. A good practice manual is also being developed and it is anticipated that this will be signed off by May Production of 24 employer STEM diversity plans. Produce 10 role models and 10 case studies. Promote STEM subjects to 1000 schoolgirls showcasing the existing opportunities in a career in the sector by 31 March Media articles, case studies for careers supplements etc. Three articles per annum. Employers, Industry representatives DEL, FE Colleges STEM Business sub group co-ordinator STEM Business sub group co-ordinator in collaboration with the Equality Commission Northern Ireland Industry representatives Employers, Industry representatives, STEM Business sub group co-ordinator 17

20 18 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 2 Sector Attractiveness DEL and DE have commissioned a Review of the Careers Service to ensure that provision reflects the needs of a modern, vibrant and dynamic 21st century economy and that all individuals have access to independent, high quality advice which helps them to maximise their potential and contribute to the community and the NI economy. CHALLENGE ACTION DELIVERABLES LEAD RESPONSIBILITY Careers Independent Review Panel, DE, DEL Consider as part of the Careers Review due to be carried out in Investigate the current procedures to manage the placement process between education and industry and determine if a brokerage service is required. Determine if a brokerage service for education and industry is required. 12

21 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 3 - Co-ordination and Communication DEL, Invest NI Skills Solutions Service and Invest NI to collate a list of provision and disseminate this through e-zine and focussed engagement with employers from the sector by September Co-ordinate a list of available Government skills provision for example - DEL/InvestNI Communicate and promote this across the sector amongst SMEs. Co-ordinated and systematic communication of skills provision to SMEs. 13 DEL, InvestNI, Industry representatives Regular e-zine for the sector; targeted efforts from Sector Skills Councils to engage SMEs eg utilising websites and signposting. Industry representatives to engage SMEs in a variety of ways, for example, meetings, e-zine, websites, signposting. DEL, Invest NI DEL and InvestNI to provide contact points for industry by September

22 20 Advanced Manufacturing and Engineering Services Action Plan Vision To develop a shared vision for the Advanced Manufacturing and Engineering Services sector in line with the Northern Ireland Economic Strategy and Programme for Government. Theme 3 - Co-ordination and Communication Industry representatives SMEs can find out how to access Government provision, hear examples of best practice, learn about new technologies etc. Event to be held in February Organise a Manufacturing and Engineering HR Conference to give opportunities for networking and sharing of best practice. STEM Government sub group Carry out an evaluation of STEM Strategy, Success though STEM during The STEM Strategy, Success though STEM, will undergo an evaluation in This will include a suggested methodology of working closer with all Ministerial Working Groups. Ensure better coordination with STEM Government sub group. 14 Careers Independent Review Panel, DE, DEL The review will report in Winter DE and DEL to conduct a formal review of careers policies and practices to ensure provision reflects the needs of the economy and individuals have access to independent, high quality advice. This will help them maximise their potential and contribute to their community and the economy. Ensure that Careers education and guidance promotes the importance of STEM subjects. 15

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24 Further Information: telephone: fax: website: THE DEPARTMENT: Our aim is to promote learning and skills, to prepare people for work and to support the economy. This document is available in other formats upon request.