Using data to build the world s best workforce to meet the challenges facing Southwest Minnesota
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1 Using data to build the world s best workforce to meet the challenges facing Southwest Minnesota Steven Rosenstone, Chancellor Minnesota State Colleges and Universities Scott Peterson, Executive Vice President and Chief Human Resources Officer The Schwan Food Company October 28, 2015 PRESENTATION AT THE REGIONAL WORKFORCE SUMMIT, MARSHALL, MINNESOTA 1
2 The importance of talent in economic growth and competitiveness findings from a Brookings Institution report (September 2015) Three pillars of economic growth and competitiveness Innovation Trade Talent 2
3 From the Brookings Institution report Pillars of Prosperity Innovation Firms and industries at the leading edge of innovation are the fundamental drivers of growth in every regional economy. In Minnesota, industries as diverse as health care, agriculture, and manufacturing are constantly adapting to changing global demand through research and development of products and services. Expanding regional capacity for innovation will keep Minnesota at the forefront of technological change while boosting productivity and creating new markets and opportunities in the process. Pillars of Prosperity, 10 3
4 From the Brookings Institution report Pillars of Prosperity Trade To grow and prosper, businesses and industries in every region must sell high-quality goods and services to customers outside of the region. This trade with other places brings new resources into the local economy and stimulates complementary growth in local services. With tens of millions of new middle-class consumers emerging each year, [Brazil, China, and India] offer important opportunities for Minnesota, its firms, and its regions. Pillars of Prosperity, 11 4
5 From the Brookings Institution report Pillars of Prosperity Talent Investing in the talent, skills, and creativity of the workers in each region is an investment in economic development and competitiveness. Across the entire continuum of education, from early childhood to all levels of postsecondary education, a region s education and training systems have direct impact on the quality of its current and future workforce, the health and competitiveness of its economy, and the prosperity of its people. At the same time, however, regions must also generate the job opportunities and provide the quality of life that will retain and attract talent. Regions that foster greater alignment between education and training and the skill needs of employers will ensure that greater numbers of Minnesotans have clear pathways to solid careers. Pillars of Prosperity, 11 5
6 Implications for Southwest Minnesota Talent/Skills 6
7 Solving the talent puzzle It is absolutely essential that we work together to solve the talent puzzle 7
8 This puzzle is challenging and it is going to get even more challenging. 8
9 Worforce challenges Baby Boom retirements With the baby boomers retiring, Minnesota will need to replace more than 600,000 workers over the next decade and about 1.3 million workers over the next 15 years 9
10 Worforce challenges Dip in the number of high school graduates The number of high school graduates in Minnesota has declined 8% since 2010 and the dip will continue through 2023 Source: Minnesota State Demographic Center for the Office of Higher Education 10
11 Worforce challenges Population shifts Minnesota s population growth has slowed and will continue to do so over the next two decades to an historically low rate of growth. 11
12 Worforce challenges Growing diversity 70% of the population growth that will occur in Minnesota over the next 25 years will be among people of color 12
13 Worforce challenges Achievement gaps Minnesota has one of the largest achievement gaps in the nation 13
14 Challenge A workforce prepared for the jobs of the future Need for an increasingly well-educated workforce By 2020, 74% of all the jobs in Minnesota will require some higher education 14
15 Challenge Skills Mismatches Skills mismatches There are 114,000 unemployed people in Minnesota, yet employers cannot find people with the right skills Some students graduate from college but don t have the skills needed to compete for high demand jobs Some students don t enroll in programs that could lead to jobs in high-demand, high-growth sectors 15
16 Worforce challenges Minnesota must address Baby boom retirements Dip in number of high school graduates Population shifts Growing diversity Achievement gaps Need for a well-educated workforce Skills mismatches 16
17 We started this effort to improve workforce alignment by helping workforce stakeholders answer their most pressing questions Which careers are in demand? What skills, certs, & education do I need? Which programs should I consider? Which employers are hiring where? How can I help my clients find jobs they want? What skills, certs, & education will help them land those jobs? Which employers should I refer them to in which areas? Which skills & certs, & occupations are in demand now? What changes should I make based on this? Which employers should I have on my advisory committee and at my career fair (who s hiring)? How difficult will this role be to fill? Who else is looking for the same talent? What other employers want the same skills as me & how can we work together to partner w/ higher ed to meet our needs? Students & job seekers Career counselors Academic leaders and training organizations Associations & Employers 17
18 This work is different from many other efforts underway deliberately working with and understanding the needs of a broad set of workforce and education stakeholders with private sector leadership NOT EXHAUSTIVE 18
19 What is this effort all about? This effort is about creating more informed, market-oriented decisions, not just rolling out tools The more informed the decisions, the more aligned the workforce, the more candidates we will have with the skills needed for our economy to grow Creating more informed decisions will require new tools PLUS strong change management, leadership support, incentives, metrics, etc. Our progress to date and success going forward will depend on everyone collaborating and staying actively engaged we must work together in new ways This is just the beginning -- Long term we aspire to focus more on the future of where the puck is going to be 19
20 What has happened up until now? Increasing market orientation and informed decision-making can help us meet Minnesota s talent needs and build the world s best work force to stimulate economic growth Over the past two years, we ve taken a data driven approach to understand what stakeholders need to improve decision making and improve workforce alignment: Conducted large scale diagnostic to identify opportunities Launched pilots to test potential tools, enablers and demonstrated that real time data can be the right tools & information to improve decision making We have just launched Real Time Talent and its Advisory Board, this effort is scaling our pilot learnings and wakes up every day thinking about ways to create more informed talent-related decisions Bringing together employer associations, DEED, Higher Ed to own next steps Raised $180,000 + from board members and $300,000 from MJSP 20
21 Itasca Project launched a set of pilots from January June 2014 that involved hundreds of academic, employer and career counseling stakeholders across the state Workforce Centers MnSCU colleges ` Hennepin Scott MnSCU universities University of Minnesota Private, includes for-profit Anoka Ramsey Washington Dakota 20+ Higher Education institutions: University of Minnesota 16 MnSCU colleges 3 MnSCU universities Augsburg College Globe/ MN School of Business 5 Workforce Centers including adults and youths/ high schools Employer Advisory Boards for the following programs: First line supervisors of production workers Mobile application development Business Analyst Operations Management Strommen Center for Meaningful Work Automotive technician Numerous manufacturing programs (CNC, welding, mechatronics, others) Health informatics Many other advisory boards at pilot schools! Source: Itasca workforce alignment team - Confidential and preliminary not for distribution 21
22 Wanted Analytics allows decision makers to analyze which employers, jobs, skills, certifications, and locations are hot as of today & over the last 4 years Opportunity to work from a common platform Real time job posting data for analytics Aggregates and de-duplicates online job posting information Pulls job postings from: Company websites Job boards (e.g., indeed.com) Craigslist Staffing agencies Aggregates other data sources: Candidate supply from Occupational employment survey Candidates on LinkedIn, social networks Most popular features 1. Filtering job postings by: 1. Location 2. Industry 3. Occupation 4. Experience Level 5. Education Level 6. Specific skills 7. Specific certifications 8. Job type 2. Candidate / hiring trend analysis: 1. Hiring scale difficulty to hire 2. Heat maps relative to other markets 3. Candidate rolodex 4. Candidate supply 3. Job posting trends over time 4. Cut & paste resume matching 5. Employer data & contacts 6. Access to actual job postings 7. Much more 22
23 Real-time data can help employers demonstrate the growth rate of a particular job category. Total monthly postings for information security analysts in Minnesota Number of unique online job postings between 3/15/2015 and 7/13/2015 in Minnesota Monthly new postings up almost 3x from June June June Source: Wanted Analytics 23
24 as well as detail on the hard & soft skills required and who is actively hiring for these roles. Can also identify compensation data Top 20 skills and certifications for information security analysts in MN # of times skill mentioned in job posting Hard & Soft Skills Mentions 0 1,000 2,000 Information security 1,073 Oral and written communication skills 518 Firewall 510 Risk Management 441 Cyber security 344 Linux 315 UNIX 305 Network Security 301 Integrity 285 Security Information & Event Management 259 Project Management 245 Intrusion prevention system 227 Self-starting / Self-motivated 226 Problem solving 222 NIST 221 Penetration testing 212 Application security 207 Security architecture 197 Intrusion detection 190 Application development 189 Source: Wanted Analytics Top 20 employers actively hiring in the past 4 months in MN # of unique job postings in past 4 months Certifications Mentions Unitedhealth Group 218 Optum Technology 68 Target Corporation 63 Splunk 59 U.S. Bancorp 57 Wells Fargo 45 Oracle Corporation 33 Deloitte 28 Best Buy 25 Ameriprise Financial, Inc. 21 Alliant Techsystems 20 SUPERVALU INC. 19 DELL 19 PricewaterhouseCoopers 19 Orbital ATK 16 Prime Therapeutics LLC 16 Mayo Clinic 16 IBM 15 CliftonLarsonAllen 14 3M COMPANY
25 The third party evaluation revealed that Wanted Analytics was valuable to workforce decision making and yielded real impact in only 6 months EXAMPLES FROM PILOT SITES Skills data revealed that blueprint reading was a key need for employers in a school s area; started continuing ed program & are marketing it to area employers Supported joint faculty and employer advisory discussion on choosing the next health program to launch at a 4yr school Tested with employer advisors and identified tweaks to existing curriculum to position two project management courses as electives for a four year school Enabled college to deepen partnership with an employer, prioritizing pathway opportunities for 2 yr degrees into jobs with this employer Helped students and job seekers build targeted educational plans to meet market needs 25
26 Our 3 rd party evaluator strongly recommended providing more users access to Wanted Analytics based on solid stakeholder feedback 86% 90% 90% 74% of academic leaders said Wanted Analytics was valuable in helping them to make effective decisions related to academic planning of employers felt the new data improved their counsel and guidance when used as part of an employer advisory board meeting of WFC counselors said Wanted Analytics was effective in supporting client decision making of job seekers agreed that the tool improved their decisions about their education, career, or job search 26
27 We officially launched this effort as Real Time Talent in late August and partners have committed to fund for three years and support implementation Employer based organizations Higher Education and Workforce Organizations AgriGrowth Council Financial Services Collaborative Itasca Project LifeScience Alley Minnesota Chamber of Commerce Minnesota High Tech Association Minnesota Precision Manufacturing Association TCHRA (Society of Human Resource Managers of Minnesota) Greater Twin Cities United Way/ City of Minneapolis Minnesota Career College Association Minnesota Job Skills Partnership (DEED) Minnesota Private College Council Minnesota State Colleges and Universities University of Minnesota 27
28 In addition, we learned that there was incredible potential for employer associations to create value using real time data EXAMPLES FROM EMPLOYER ASSOCIATION TESTING Inform talent projects: Supported development of first annual salary survey for association Supported communications to elevate awareness of MN as a hub for industry and highlight what a great place Minnesota is for employers and/or job seekers Benchmarking and reporting: Identify fast growing/hiring employers to ensure they are supported by Assoc. Track data for changes over time, growth, emerging trends, etc. Support individual employer conversations Help individual employers experiencing hiring difficulty understand hiring activity in their market Who else is hiring these roles? What skills are they requiring? Identify employers with the same skill needs to work together to partner w/ training or education organizations Study an employer s talent needs in preparation for an initial meeting 28
29 Overview of RTT Advisory Board The purpose of Real Time Talent is to help create more informed, market oriented decisions throughout the Minnesota workforce and education ecosystem to ensure the Minnesota economy has the talent it needs to help Minnesotans prepare for and find careers they want Each RTT Collaborative Member commits the following resources to this initiative: Authorized senior executive representative participation in quarterly RTT Advisory Board meetings to provide overall guidance, strategic direction, and assurance of accountability to desired outcomes; Support the implementation RTT strategies within their own organization. This includes identifying and supporting ways to ensure effective use of Wanted Analytics or other tools to drive more market oriented and informed decision making, connecting stakeholders to RTT as appropriate; and Financial contributions or membership assessments NOTE: See Memorandum of Understanding for more details 29
30 With the funds lined up, we are building a lean team to support the ongoing change management and scale pilot learnings across the state Cross sector Governing Board (Private sector chair) Training / Comms Executive Director Analyst support Institutional support provided by partners (MnSCU, DEED, UofM, Chamber, etc.) Roll out pilot learnings provide access to Wanted Analytics (real time labor market data to more than 300 users throughout the state, support training, communications and leadership to drive utilization. Users in Southwest Minnesota include DEED offices in Marshall and Wilmar, the Soutwest Minnesota Private Industry Council, Ridgewater College, and Southwest Minnesota State University Drive change management establish and track metrics, cultivate institutional champions, convene stakeholders to support ongoing collaboration Support continuous improvement identify future innovations, tools, approaches to further workforce alignment Source: Itasca workforce alignment team - Confidential and preliminary not for distribution 30
31 Creating more informed, market-oriented decisions in order to meet Minnesota s talent needs & build the world s best work force to stimulate economic growth Employers drive this system by: Academic Leaders Students & Job Seekers Career Counselors New Entity: Real-Time Talent Employers & Associations Integrating long range work force planning into company s strategic planning process Posting all hiring needs online (company website or job board) Partnering with Real Time Talent once we go live Engaging with higher ed institutions through advisory boards to influence program and curriculum design Demanding data, not anecdotes, in any advisory meetings Augmenting real time data with forward looking perspective 31
32 Real Time Talent has focused its efforts in three areas to continue building momentum around more informed, market-oriented decision making APPROXIMATE LOCATIONS ADDITIONAL LOCATIONS PENDING Workforce Centers MnSCU colleges ` MnSCU universities University of Minnesota Private, includes for-profit Hennepin Scott Anoka ` Ramsey Washington Dakota Recruit participants 290 users launched so far at 74 organizations 44 superusers identified and trained Build skills Schedule & host sponsor webinars (2 complete) Schedule & deliver in-person and virtual training (In Person: 2 done, 6 labs scheduled Virtual 1 complete, 6 monthly scheduled) Provide customized customer service and weekly user communication Promote utilization Utilize Wanted Analytics usage data to target outreach & support Maintain and update collaboration site Capture and share use cases 32
33 Real Time Talent is driving early impact with many examples of more market-oriented and informed decisions due to Wanted Analytics Press Response - University of MN and Albert Lea WFC Targeted Job Search Assistance PPL, International Institute, DEED, Washington County, MCTC Data Driven/ Client Focused Funding Approvals Dislocated Worker Programs Identifying Unpredicted Labor Market Shifts during Grant Research MCTC Occupation, Skill, and Credential Survey to Determine Metro Education Capacity Minneapolis and Metro WSA s Ongoing Programmatic and Structural Changes St. Paul College, MCTC 33
34 FOR DISCUSSION Milestones and activities for the next 12 months Timeline, milestones and key activities Today End of 2015 June 2016 Key activities Complete fundraising Identify and hire key staff or contractors (analysts) Catalogue and share data on key decisions, impact Training and communications roll out Identify new interventions Establish score card and metrics Continue communications and change management to increase data driven / market oriented decisions Deliverables Board established Budget and funding partners identified Phase 1 roll out complete 80% of users value & recommend tool Evaluation approach in place funding in place for tool access Long term funding in place to access data & service Next decision making intervention identified 34
35 Discussion Questions? Jess Niebuhr: 35
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