Lab. Mobile COMPUTER INTEGRATED MANUFACTURING LAB PROGRAM SERVING CHAMPAIGN - FRANKLIN - HARDIN - LOGAN - MADISON - MARION - UNION COUNTIES
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1 Mobile Lab COMPUTER INTEGRATED MANUFACTURING LAB PROGRAM SERVING CHAMPAIGN - FRANKLIN - HARDIN - LOGAN - MADISON - MARION - UNION COUNTIES P1 / THE CURRENT ENVIRONMENT P2 / MANUFACTURING DOMINANCE P3 / CRISIS IN THE WORKFORCE P4 / SUCCESSFUL PROGRAMS P5 / PROJECT PROPOSAL P6 / BUDGET & NEXT STEPS
2 The Current Environment The Future Worker Shortage... A well trained and qualified workforce is essential to the growth and development of the manufacturing industry in the state of Ohio. Ohio has long been known as a manufacturing state but over the past three decades has lost more than 400,000 manufacturing jobs. This is due, in part, to automation of some production processes and also to the migration of some production overseas or to other parts of the Americas. At the same time, population growth in Ohio has slowed, further constricting the available workforce in manufacturing as well in other sectors. The aging of Ohio s manufacturing workforce has reached a point where over 50 percent of the existing manufacturing workforce will likely retire by This places existing manufacturing companies in a difficult position to replenish their workforce within the next years. In addition, the re-shoring of some manufacturing operations and the increase in foreign direct investment, primarily from Japan into Ohio, increase the need for a trained and available workforce. Accordingly, it is imperative that Ohio begins to enhance and innovate programs to better train its workforce and promote technical careers and degrees in our K-12 school districts. ern Michigan. In learning about this program and to meet the challenge of the need for technical positions, the Career Technical Planning Districts (CTPD) of Ohio Hi-Point, Tri-Rivers, Tolles, and the entities listed above desire to develop a Computer Integrated Manufacturing Lab Program to ready the workforce in the seven county region. Over 50% of the existing manufacturing workforce will likely retire by C-Tech Planning Districts The Career Technical Planning Districts (CTPD) of Ohio Hi-Point, Tri-Rivers, and Tolles encompass primarily seven counties in Central and Western Ohio serving 30 individual K-12 school districts. The table below indicates the CTPD enrollment, K-12 enrollment, and percentage of K-12 students enrolled at each CTPD. For a map of CTPDs and K-12 school districts, please see the last page of this document. School Name CTPD Enrollment K-12 Enrollment % of K-12 CTPD Through discussions with local companies as part of community retention and expansion programs, Columbus 2020, the regional economic development organization for the Columbus Region, and regional Economic Development Departments, have specifically identified the definitive need for technical positions, primarily in following disciplines: (1) Robotics, with vision; (2) Computer Numerical Controls (CNC); Tri-Rivers Career Center Serving Cardington-Lincoln, Elgin, Highland, Marion, Marion Catholic, Mt. Gilead, North Union, Pleasant, Ridgedale, and River Valley Tolles Career & Technical Center Serving Dublin, Fairbanks, Jonathan Alder, Hilliard, London, Madison-Plains, and West Jefferson Ohio Hi-Point Career Center , % , % (3) Computer-Aided Design (CAD); and, (4) Programmable Logic Controller (PLC). In July 2013, a group of manufacturers, career technical planning districts, Union County Department of Job and Family Services, Governor s Office of Workforce Transformation, Columbus 2020, and the Economic Development Departments from seven counties, began meeting to discuss the issues outlined above. In these discussions, the meeting participants learned about a Computer Integrated Manufacturing Mobile Lab program which has been developed in Northeast Wisconsin and North- Serving Bellefontaine, Benjamin Logan, Graham, Indian Lake, Kenton, Marysville, Mechanicsburg, Ridgemont, Riverside, Triad, Upper Scioto Valley, Urbana, Waynesfield- Goshen, and West Liberty 1,143 24, % Total 2,620 78, % 1
3 Manufacturing Dominance The Importance of Manufacturing As stated previously, being part of one of the top manufacturing states in the nation, the counties in the CTPDs of Ohio Hi-Point, Tri-Rivers, and Tolles are dependent on the manufacturing sector to provide jobs and investment to insure their quality of life. Union County, the home of Honda of America Mfg., Inc., produces more automobiles than any other county in Ohio. Honda also operates facilities in Logan County and two other Ohio counties and Honda suppliers are located in each of the seven counties in the CTPDs. The importance of manufacturing sector is represented below: County/Area # Manufacturing Firms Total Jobs in 2013 Manufacturing Jobs in 2013 % Manufacturing Champaign 55 9,699 2, % Hardin 40 8,077 2, % Logan 81 17,882 4, % Madison 43 14,386 2, % Marion ,013 5, % Union 55 28,288 8, % Franklin 1, ,876 35, % All Counties 2, ,221 62, % All Counties (less Franklin) ,345 27, % Ohio 5,065, , % Source: QCEW Employees - EMSI Class of Worker, based on Manufacturing Sector (NAICS 31-33) Concentration of Manufacturing (2010) By County Nation = 1.0 < < < < < 1.00 < 1.24 < 1.49 < 1.80 < 2.23 < 2.85 > = 2.85 Blue Regions: Low Concentration Orange Regions: High Concentration Source: American Enterprise Institute 2
4 Crisis in the Workforce Ohio s Workforce Is Aging Quickly The seven counties are also experiencing an aging workforce, which becomes problematic for the manufacturing sector. Over 50% of the manufacturing workforce is eligible for retirement within the years as shown in the tables to the right. County/Area Younger Workers # Age % Age # Age % Age Champaign 1, % % Hardin % % Logan 2, % 1,873 38% Madison 1, % % Marion 3, % 1,767 30% Union 3, % 3,596 42% Franklin 17, % 10,316 29% All Counties (7) 30, % 19,915 32% All Counties (less Franklin) 12, % 9,599 35% Ohio 305, % 204,181 31% Retirement-Aged Workers County/Area # Age % Age # Age % Age Champaign % 1, % Hardin % 1, % Logan % 2, % Madison % 1, % Marion 1,090 18% 2, % Union 1,356 16% 5, % Franklin 6,337 18% 17, % All Counties (7) 10,920 17% 32, % All Counties (less Franklin) 4,583 17% 14, % Ohio 135,277 20% 358, % Declining Manufacturing-Related Programming Enrollment The three CTPDs each offer manufacturing related programming for students interested in pursuing technical positions. The programming includes architectural and mechanical design, electronics, supply chain management, manufacturing engineering, pre-engineering, welding and precision machining. As shown in the table below, the enrollment in manufacturing related programming is constricting. In the school year, the 153 students enrolled in manufacturing related programming represent only 5.8% of the total CTPD enrollment of 2,620 and only 0.196% of the total K-12 enrollment of 78,131. School Year Ohio Hi-Point Tolles Tri-Rivers Total
5 Successful Programs Existing Computer Integrated Manufacturing Lab Programs Two areas of the country, Northeast Wisconsin and Northern Michigan, have developed mobile CNC lab programs in response to some of the same factors occurring in the three CTPDs in Central and Western Ohio. The other states programs only focused on one technical discipline CNC; and were established as both a classroom setting and a marketing tool. In Northeast Wisconsin, a collaborative among the Northeast Wisconsin Technical College, Bay Area Workforce Development Board, Wisconsin Job Center, Lakeshore Technical College, Door Kewaunee Business & Education Partnership and local districts was formed to begin the program in Although a fairly new program, the Northeast Wisconsin program has had numerous accomplishments and impacts that include: Northern Michigan In Northern Michigan, the North Central Michigan College, in partnership with the Northern Lakes Economic Alliance (NLEA), Michigan Economic Development Corporation (MEDC), Precision Edge Technologies, the Northwest Michigan Council of Governments (NWMCOG) and MI Works!, the Odawa tribe, the intermediate school district, and numerous regional manufacturers, developed academic credit and workforce training programs that can be delivered in a self-contained mobile manufacturing training lab. This program was launched in the fall of The mobile lab has visited countless high schools, career exploration events, open house events, high school football games, economic summits, and state called meetings, state board meetings, Einstein Expos, Manufacturing First Expos, and more. Trips to promote the program to Sault Ste. Marie, MI, for promotion to the business community and to Oshkosh, WI and Taycheedah Correctional Institution to promote the NE Wisconsin program. Served over 100 students at 5 high schools in 2013 with plans to serve 150 students earning 2 4 credits in the CNC program in school tech educational instructors have been trained to teach in the mobile lab with more training planned for the coming summer. Over 5,000 students and 1,200 adults have toured the CIM Mobile Lab. CIM Mobile Lab was featured on the national news and was cited by the Sullivan report as a promising idea. The CNC Technician enrollments in NE Wisconsin are up over 30%. A CIM User Group has been formed which is designed to build collaboration with the high school instructors and instructional staff, while serving as a continuous improvement mechanism. The group meets every semester and has been a huge part of the program s success. I am pleased NCMC can expand its educational options to include addressing the needs of modern, high-tech manufacturing. Many high-paying jobs are going unfilled in manufacturing and the Mobile Lab will help to address this need. Tom Nathe, North Central Michigan College 4
6 Project Proposal What The Program Would Look Like in Our Region As envisioned, the Computer Integrated Manufacturing Lab Program (CIMLP) will have two components with the goal of promoting technical positions to students, parents, community organizations, and companies: (1) A mobile laboratory which would visit intermediate and high schools and other locations to promote technical positions; and (2) Permanent labs at our career-tech facilities and other locations that would complement the mobile laboratory as a permanent site for training. Pulled by a vehicle, the mobile laboratory would be housed in a 44-foot long trailer packed with CNC technology, including machinery, computers, and other equipment in line with the needs of modern manufacturing sectors. The state-of-the art lab will provide youth with a more accurate image of high tech manufacturing careers. The mobile lab will be supervised by a lab aide who will work with intermediate and high school instructors to develop programs for students as well as parents. The goal is to utilize the mobile lab as a marketing tool to increase enrollment in permanent labs at career and technical schools where dual credits will be offered to students providing a starting point and incentive to pursue a STEM career. The mobile lab will become the driver in promoting future careers and growing the student population in high tech manufacturing classes. Eventually, the mobile lab could also serve as training facility for incumbent workers. The permanent lab(s) will entail the upgrading of existing CTPD facilities or the creation of new permanent labs that will be utilized by students from multiple school districts. The permanent lab is very important to the overall success of this program providing the classroom and training grounds for the students. As part of this program, a new permanent lab would be constructed at Tolles and lab expansions will be made at Ohio Hi-Point and Tri- Rivers (CNC). Additionally, the Marysville school district is constructing a permanent lab as part of the Straight A grant program which will complement the CIMLP. These four permanent labs would provide geographically accessible technical education to over 78,000 students and potentially thousands of incumbent workers. As indicated, is a critical need for replenishing our manufacturing workforce through training programs which reach students at an early age. Our major employers and companies nationally have specifically identified a major workforce supply issue in the disciplines of robotics with vision, CNC, CAD, and PLC operators and programmers. Training opportunities in these critical areas are limited. Existing workers need to develop new skills in working with this sophisticated equipment. Young people express limited interest in acquiring manufacturing skills, perhaps because of misconceptions about the nature of manufacturing, or perhaps because many high schools have eliminated such training in programs formerly known as the industrial arts. Economic growth depends on our ability to attract and train the manufacturing workforce of tomorrow. The Computer Integrated Manufacturing Mobile Lab Program will have the following goals and thresholds that will be used to evaluate the program: Goals of the Program With the use of the mobile and permanent labs, promote and market manufacturing vocations as desired careers to students, parents, teachers, and the community; Build consensus and understanding among and between the CTPD, manufacturing companies, and the community the need for high tech manufacturing positions; Create a strategy to introduce new curriculum and resources to intermediate and high school students, parents, and teachers that generates interest in STEM through hands on experience; Develop a model partnership between school districts, technical schools, companies, and communities that can be replicated throughout the state of Ohio; and Develop the best trained workforce in the nation which will ensure the future expansion and location of manufacturing companies in Central and West Central Ohio. Thresholds With the goals established, success will be measured with the following thresholds: Number of students enrolled in high tech manufacturing educational courses; Number of placements from our CTPD in Central and Western Ohio; and Number companies involved in the mobile and permanent labs. Can we meet the needs of tomorrow s economy? Our ability to supply employers with trained and qualified employees is the most critical issue facing our state. 5
7 Budget & Next Steps Proposed Budget Below is the proposed budget for the Computer Integrated Manufacturing Lab Program. The budget includes the following: (1) Purchase of two trailer and tow vehicles and the installation of the necessary equipment; and, (2) The expansion of the permanent labs at Ohio Hi-Point and RAMTEC (expanded CNC Lab) and the development of a new lab at Tolles. Budget Item Estimated Cost Extended Cost Trailer and Tow Vehicle Two (2) of each $230,000 $460,000 Tools & Equipment Fanuc Robot with Vision - $40,000; Fanuc CNC Milling Machine - $64,000; CNC Lathe - $45,000; CAD Demo - $6,000; and PLC Demo - $12,000 Equipment for Two Trailers $167,000 $334,000 Computers and Software Two (2) of each $30,000 $60,000 Mobility Trailers (2) for Special Transport from Permanent Labs Develop Three (3) Permanent Labs in $180,000 each - Tolles (New) - Ohio Hi-Point (Expansion) - RAMTEC (Expansion) $14,000 $28,000 $180,000 $540,000 Total $1,422,000 *Plus operating costs of $150,000 per year per trailer. Revenue generated from training programs will pay for the operating expense, with local funds supplementing operation the first 2 years. After that time the program will be self-sustaining. The fundraising goal is to raise the required funding by July, On-going operational funds and on-going maintenance for the mobile lab will be provided by the private sector and from fees from the students. The private sector funding should be pursued through memberships, sponsorships, and in-kind contributions (i.e. staff or equipment). It is our intent to utilize Ohio businesses to construct the mobile lab and supply its components whenever possible. Promoting the Program For Years of Success The three CTPDs, working closely with Columbus 2020, each county s economic development organization, and various manufacturers, plan to replicate this mobile lab program in Central and West Central Ohio. This document has been developed to provide an overview of the program to increase awareness of its potential and to secure interest from both the public and private sectors. The next steps are to: - Promote and increase awareness of the program; - Raise funds from the public and private sectors to cover the initial capital cost and the on-going operational costs; and - Create a consortium of the CTPD to operate the program in cooperation with other entities. Once these tasks are completed, a Manufacturing Advisory Team (workforce task force) will guide the program development for the project so that the curriculum remains responsive to the changing needs of the workplace and to further develop Central and West Central Ohio s talent base. Final support is being sought for the project but it is anticipated that limited training will be available in September of 2014 with a launch of the mobile lab in January of Future Considerations The CNC Mobile Lab Program is one approach to improving our manufacturing workforce. We also plan to work on the following: 1. Participation and support of the Columbus 2020 Workforce Assessment Study. This will provide critical information on additional needs of our employers. 2. Participation in a talent recruitment program associated with the Columbus 2020 Workforce Assessment Study Phase II. 3. Creating and coordinating a Manufacturing Advisory Team (workforce task force) to assist with the needs of the three CTPD. 4. Consider a mobile lab program to cover the eastern portion of the Columbus Region which includes C-TEC and other areas of Ohio. 6
8 C-Tech Planning Districts Tri-Rivers Career Center, Ohio Hi-Point Career Center, and Tolles Career & Technical Center encompass the majority of seven counties in Central and Western Ohio, including 30 individual K-12 school districts (78,131 students). Approximately 2,620 students are enrolled at the three career-technical schools, accounting for 3.4% of all students enrolled in the K-12 school districts. Tri-Rivers Career Center Cardington-Lincoln Elgin Highland Marion Marion Catholic Mt. Gilead North Union Pleasant Ridgedale River Valley Tolles Career & Technical Center Dublin Fairbanks Jonathan Alder Hilliard London Madison-Plains West Jefferson Ohio Hi-Point Career Center Bellefontaine Benjamin Logan Graham Indian Lake Kenton Marysville Mechanicsburg Ridgemont Riverside Triad Upper Scioto Valley Urbana Waynesfield-Goshen West Liberty Quick Facts About Manufacturing in Ohio Ohio is a manufacturing state, commonly known as the nation s industrial capital. There are over 15,000 manufacturing firms in Ohio of which 88% are considered small businesses. In 2012, Ohio accounted for $80.7 billion in manufacturing output which accounted for 16.7% of Ohio s Gross State Product, 12.7% of Ohio s jobs, and 95% of Ohio s exports. Ohio is second only to Michigan in automotive production. Questions? Questions about the project can be directed to Eric Phillips, Executive Director, Union County Economic Development Partnership, by ing ephillips@unioncounty.org or by calling (937)
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