Industry and Education A Great Combination STEM Initiative

1. Industry and Education A Great Combination STEM Initiative

2. Manufacturing Impact – Oconee County • Locally • $230 million dollars of payroll • $60 million dollars in benefits • 1 out of every 5 jobs direct – 6000 jobs • Thousands of indirect jobs generated • Second Highest per capita income • Support to Charities • Tax base impact (eight of top ten contributors are manufacturing organizations)

3. Facts • Nationally • US remains the worlds largest manufacturing economy – producing 21% of global manufactured products • Today – manufacturing makes up 12% of GDP • Roughly 12 million manufacturing jobs • 52% of jobs actually produce the product • 48% is in support services • Avg. manufacturing employee annual income: $72K vs. $58K for non-manufacturing (fully fringed) Source: National Association of Manufacturers

4. The Power of US Manufacturing US Manufacturing alone would rank as worlds 8th largest economy

5. R&D Spending as a PCT of Sales U.S. Industrial R&D Outpaces Global Rivals

6. Globalization “When I was growing up, my parents used to say to me, ‘Tom, finish your dinner. People in China and India are starving.’ Today I tell my girls, ‘Finish your homework. People in China and India are starving for your jobs.” —Thomas Friedman, Author The World is Flat: A Brief History of the Twenty-first Century

7. The Challenges Source: People and Profitability—A Time for Change • Even at the height of the global recession, 32% of surveyed companies reported moderate to serious skills shortages in the hiring pool. • Contributing to our workforce challenges are: • Demographics: We face a graying workforce coupled with a shrinking pipeline. • Technological advances in modern manufacturing require more advanced skill sets. • Major deficits in our education system hamper U.S. competitiveness on the world stage: our global competitors continue to surpass our educational system in producing a high-volume, high-quality technical workforce.

8. An Educated and Skilled Workforce Innovation Performance Workforce Quality • In these tough economic times, business innovation is a strategic imperative. • A highly skilled and educated workforce is the most critical element for innovation success. Source: The Innovation Imperative in Manufacturing – How the United States Can Restore Its Edge

9. The Shrinking Pipeline

10. Supply Chain Model of the STEM Pipeline High School & Higher-Ed. 8th Grade 5th Grade 75% = Lost STEM Pipeline

11. Educational Deficits 11 Source: Facts About Modern Manufacturing, 8th Edition

12. Paths to Manufacturing Through Education The Need The Solution • Technology-infused, more “life-relevant” education • Increased access to post-secondary degrees and industry-recognized credentials • Clear career pathways aligned to competency-based education and certification programs • Excitement about STEM and awareness of high-paying, high-quality manufacturing careers Prepared for the University of Phoenix Foundation • A highly educated and skilled workforce for U.S. manufacturing • Increased graduation rates, post-secondary enrollment and completion, and advanced- education attainment • Excitement about STEM and awareness of high-paying, high-quality manufacturing careers

13. Perception is Reality

14. Global Compensation - Automotive – Hourly - 2007

15. Global Compensation - Automotive – Salary - 2007

16. Changing Mix

17. The Changing Nature

18. The Changing Terms

19. The Importance of Enhanced Skills

20. The Workforce Gap *1998-1999 State Department of Education Special Survey **Source: D’Amico,C. Workforce 2020

21. Business Operations over next 2 Years 97% maintain or expand

22. Workforce Size over the next 2 Years 88% or 45 out 51 will maintain or grow

23. Factors impacting Competitiveness 59.7% or 40 out of 67

24. Impact State and Local Level

25. The State of Education and Workforce Development in South Carolina • In 2001, according to five national surveys, South Carolina had a high school graduation rate somewhere between 48 percent and 62 percent. All surveys ranked South Carolina 49th or 50th in the nation in graduation rate1 • 53% of high school students graduate in four years — the nation’s lowest “on time” graduation rate in 20032 • 73% of high school students graduate in four years in Oconee County in 2010 • 33% of 8th graders scored below the basic reading level in 20053 1Higher Education Information Service 2003, United Health Foundation 2004, Urban Institute 2004, National Board on Educational Testing and Policy 2004 8th, Manhattan Institute 2003 2Education Week publisher research. 3Annie E. Casey Foundation, 2005 Kids Count report.

26. Workforce Development • Recognize we (manufacturing) are part of the problem • It’s just not the school system – we own an equal level of responsibility. It was time to get involved with our local school administrators – play a supporting role.

27. Workforce Preparedness • Establish a partnership with the local school system • Propose a meeting with the School Board, Superintendent, Principals and Counselors to introduce manufacturing to them. • Invite them into a manufacturer to learn about manufacturing • Job Opportunities • Income • Benefits • Environment • Capital Investment / Technology • Our Needs • Prepare a presentation that acknowledges the need to work together. Do your homework. (Example of Package going around room).

28. Workforce Preparedness • November 2007 • Oconee County Superintendent Mike Lucas, administrators, principals, counselors, school board members meet at BorgWarner for a full day of information sharing. • After lunch, every guest was sent to the manufacturing floor to run production equipment, witness the environment, technology, and the skill base of the employees.

29. What Students Really Need to Succeed Describe our expectations as employers • Employer Expectations • Fundamental academic knowledge • Excellent technical skills • Workplace habits that maximize employability • Flexibility to update or change skills • Organizational skills • Top Five Most Important Skills • Professionalism • Teamwork • Oral Communication • Ethics and Social Responsibility • Reading Comprehension 42% of Employers report the overall preparation of high school graduates as deficient

30. School Administration Awareness • Is there a specific bias to 4 Year College versus 2 Year or Trades Certification amongst school counselors? • Do local school administrator’s clearly understand manufacturing's environment and needs? • Do local school administrator’s clearly understand the compensation levels of manufacturing workers?

31. The Workforce Gap The Reality: 85 Percent of Jobs Require Education / Training Beyond High School • Advanced technical training / certification, 2 year and 4 year degrees will lead to higher earning careers.

32. 2007/8 Initiative • Identify a Vehicle to utilize to get involved: • The Education and Economic Development Act (EEDA) of 2005 Personal Pathways to Success…………..

33. Personal Pathways to Success: A New Vision for Education • The Education and Economic Development Act (EEDA) of 2005 establishes a new vision for education based on the idea of “Personal Pathways to Success” for all students • This system integrates academic and career-tech education into a unified system that offers more and better ways for all students to succeed

34. Elements of the Education and Economic Development Act • Help students connect education to careers of their choice • Increase the number of guidance and career counselors to achieve a 300 students to one counselor ratio • Establish clusters of study and Individual Graduation Plans (IGPs) for students • Provide for parental review and approval of IGP with student and counselor • Identify at-risk students and provide programs to increase graduation rate

35. Elements of the Education and Economic Development Act • Align requirements for high school graduation with college entrance • Establish articulation agreements making K-16 education seamless • Create dual-enrollment agreements for high school and college coursework • Create Regional Centers to connect students, educators, employers, and the community • Create a Coordinating Council to oversee implementation of EEDA

36. Clusters of study provide focus and direction as students plan their coursework • There are 16 clusters of study as established by the U.S. Department of Education • School districts will offer courses organized around these clusters of study • Each school district will offer a minimum of three clusters • Students can transfer to a different school within their district if that school offers a cluster of study unavailable at the student’s assigned school

37. Clusters of Study Hospitality and Tourism A/V Technology and Communications Agriculture, Food and Natural Resources Human Services Architecture and Construction Information Technology Manufacturing Business, Management and Administration Marketing, Sales and Service Education and Training Public Safety and Security Finance Science, Technology, Engineering and Mathematics Government and Public Administration Health Science Transportation, Distribution and Logistics

38. Individual Graduation Plan An Individual Graduation Plan (IGP) is a road map that guides students toward their education, career or employment goals An IGP also: • Includes general graduation requirements as well as coursework and out-of-classroom learning opportunities related to the student’s cluster of study • Encourages students to begin planning for their futures now, making them more aware of what it takes to achieve their goals • Is flexible and can change based on a student’s aspirations, abilities and interests

39. South Carolina Total Students by Cluster Manufacturing Ranks 14 out of 16

40. Show them the Money Manufacturing #2 employment sector ~ second only to retail The average manufacturing wage of $46,192 is more than 27% above the statewide average. SC Manufacturing jobs in demand: Design Engineers Process/Production/Manufacturing Engineers  Quality Managers with expertise in Kaizen, LEAN, Six Sigma, + Cont. Improvement CAD Modelers and Programmers Operations and Production Managers Facility Managers (Energy Use Specialists) Field Service Technicians IT Programmers IT Project Managers Environmental, Health, and Safety Specialists Manufacturing Process Technicians Maintenance Mechanics Machining Specialists Plastics Molding Sources: The Economic Impact of Manufacturing in SC, Dec. 09, Bureau of Labor Statistics, Quarterly Census of Employment and Wages and various others

41. Personal Pathways to Success • Personal Pathways means • New motivation for student achievement • Increased parental involvement in shaping our children’s futures • Increased academic rigor and relevance in our high schools • Increased efficiency in higher education as students sharpen their focus on their goals • A more competitive SC economy • A new framework for success—but we must all work together to make it a reality

42. Workforce Preparedness • Sharing the message • Utilizing the “steps to success plan”, it was determined that an introduction to manufacturing to the 8th grade teachers of Oconee County was the next logical step. This would be done in conjunction with a product showcase, for students, teachers and parents. • 8th grade is the first year students will be exposed and expected to select a career path. Teachers needed to be educated about manufacturing.

43. Workforce Preparedness • 2008 Oconee Product Showcase • Got buy in from school system to support product showcase by making students available during class hours (Over 1500 students participated in product showcase). • 22 local manufacturers participated • Made displays as interactive as possible • Opened Product Showcase up to non-OCIG members • Showcases were manned by knowledgeable employees • Set aside private showing for educators (night of dinner) • Showcase open to students, parents, general public

44. 2008 Oconee County Product Showcase

45. 2008 Oconee Product Showcase

46. 2010 Business and Industry Showcase • 1st Annual Tri-County Business and Industry Showcase – “An Educational Initiative” • To provide a “one stop” venue for students to learn about the various clusters of study available to them • Expanded to all three counties: Anderson, Oconee and Pickens counties • Expanded business representation to include representatives from all 16 clusters • Over 50 local manufacturers and businesses participated • Video created for school system to show to students prior to showcase event • Significant press coverage in support of the initiative in all three counties • Outcome • Approximately 6000 students, numerous teachers and administrators and parents attended event

47. 2010 Business and Industry Showcase – An Educational Initiative

48. STEM Institute • 3rd Annual STEM Institute • Three day professional development event. • Science, Technology, Engineering and Math. • 75 elementary, middle school, and high school teachers, coordinators, and administrators. • All seven school districts of Anderson, Oconee and Pickens Counties. • Held a BorgWarner’s manufacturing plant in Seneca, South Carolina. • AdvanceSC provided funding for the event.

49. STEM Institute • STEM continued • STEM Center for Teaching and Learning, International Technology and Engineering Educators Association (ITEEA) facilitated the event. • They program focused on ITEEA standards for technological literacy. • For the promotion of improved STEM education for all students.

50. STEM Institute BorgWarner August 2-3, 2011