1 NCRC Best Practices Building a Great Certificate Program in Missouri Bill Guest January 25, 2011 Draft

2 Best Practices Presentation The Problem – Skills Now! The Solution – Strategies & Metrics 1.Employers 2.Learning 3.Certificates 4.Advocates 5.Statewide Collaboration

3 The Problem is Clear Skills Now! – A Case for Urgent Action to Build the Skills of America’s Workers (10 of 211)

4 A Snapshot of Selected Workforce Development Publications 4Literacy in Everyday Life, 2003 National Assessment of Adult Literacy 12 Reach Higher, America, Overcoming Crisis in the U.S. Workforce, NCAL 25 Education and Training Pay, Bureau of Labor Statistics, 2005 Data 26Thrive, The Skills Imperative, Council on Competitiveness 34America’s Forgotten Middle-Skill Jobs, Skills 2 Compete 38Michigan’s Forgotten Middle-Skill Jobs, Skills 2 Compete 41NAM, 2005 Skills Gap Report, A Survey of the American Manufacturing Workforce 51Are They Really Ready to Work?, Employer Perspectives, The Conference Board, SHRM 63Diplomas Count 2008, Education Week 68Cities in Crisis, Education Week 72Left Behind in America, The Nation’s Dropout Crisis, Northeastern University, CLMS 75Tough Choices Tough Times, The New Commission on the Skills of the American Workforce 81Career and Technical Education’s Role in Workforce Readiness Credentials, ACTE 83Fixing the Leaky Pipeline: Why Adult Education and Skills Training Matters for Michigan’s Future 86Transforming Michigan’s Adult Leaning Infrastructure 92The National Career Readiness Certificate (NCRC), A “Ready for Work” Skills Currency 98The Strategy Map for Workforce Development and Education 99State Sector Strategies – NGA Best Practices – NNSP – CSW, November An Evaluation Framework for State Sector Strategies – NGA – NNSP – CSW, May Job Training That Works – Public Private Ventures, May Skills to Live By – Workforce Strategies Initiative, The Aspen Institute, Sector Strategies in Brief – WSI The Aspen Institute, November Systems Change – WSI The Aspen Institute, March Ohio Stackable Certificates: Models for Success, February The Career Pathways How-To Guide – Workforce Strategy Center, October Bridges to Opportunity for Underprepared Adults – Bridges to Opportunity Initiative, The National Association of Manufacturers (NAM) Skills Certification System, March National Center for Construction Education and Research, University of Florida 142Career Coaching – A Structured Process to Find the Right Career Path 143Disruptive Innovation for Social Change, Harvard Business Review, Clayton Christensen 147Appendix

5 Index of Slides with Return on Investment (ROI) Data 8Literacy Impact on Employment 9 Literacy Impact on Earnings 19 Personal Income Adults ( ) by Level of Educational Attainment 20Net Annual Fiscal Contributions of Adults (16-64) by Educational Attainment – Michigan 21Net Annual Fiscal Contributions of Adults (16-64) by Educational Attainment – Texas 25Education and Training Pay (Earning and Unemployment) 65High School Dropout Rate - National 71High School Dropout Rate – Major Cities 74Economic Consequences of High School Dropouts 75Return on Investment (ROI) for Dropout Recovery 89Educational Attainment and Life-long Earnings – Michigan 90Educational Attainment and Hourly Wages – Michigan 92Impact of Increased Educational Attainment – Michigan 95Annual Earnings for Example Occupations by NCRC Skill Levels 96Annual Earnings by NCRC Skill Level 107Sector-Focused Training – Total Earnings by Month 108Sector-Focused Training – Probability of Employment by Month 109Sector-Focused Training – Earnings by Month for Employed Treatments and Controls 110Sector-Focused Training – Hourly Wage in Primary Job by Month for Employed (T&C) 113Skills to Live By – Impacts on Wages, Employment, Healthcare, and Confidence 117Aspen Institute – Impacts on Incomes, Work Consistency, and Job Quality 118Aspen Institute – Impacts on Optimism, Confidence, and Earnings 200National Average Earnings by Educational Attainment – 2007 based on 2008 CPS – Chart 201National Average Earnings by Educational Attainment – 2007 based on 2008 CPS – Graph 202Population – Educational Attainment – 2008 American Community Survey 203Return on Investment – Impact of Increase in NAAL Literacy Levels 204Return on Investment – Impact of Increase in Educational Attainment Levels 206Return on Investment – Impact of Increase in Educational Attainment - Louisiana 207Return on Investment – Impact of Increase in Educational Attainment - Michigan

6 Total 26,455,554 Total 18,409,284 Total 56,371,283 Note: Working-age adults (18 to 64) in 2006 totaled 188 million. (88/188 = 46.8%)

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13 Note: Employer view of preparation level increases dramatically with some postsecondary attainment.

14 We Have the Solution

15 Strategies 1.Employer Engagement 2.Skills Building 3.Skill Certification 4.Advocacy 5.Support – Statewide Collaboration

16 Strategies & Metrics 1. Employer Engagement – Grow Demand for Certificates Employers must aggregate their voices around competency-based credentials to drive improvements in their talent supply chains. We will monitor and report two measures: Employer Letters of Commitment – Letters will be collected and viewable on the website by state and county. Employer Experiences – Case studies, job postings, and news clips will be collected and viewable on the website by state and county.

17 The NCRC Value for Employers Bill Guest

18 Employer Use of the NCRC: What the NCRC is What the NCRC is not How to use it correctly

19 The Best People are Willing and Able to do the work that needs to be done. What evidence should you include in your hiring process so that you hire the best people? What evidence is highly predictive of workplace performance?

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22 Cognitive Skills (Able) Behavioral Skills (Willing) NCRC Content Areas: Reading for Information Applied Mathematics Locating Information Reasoning Areas: Critical Thinking Problem Solving Personal Skills Assessments Performance Work Attitudes Potential for Unsafe Behavior Talent Personal Traits Linked to Performance Compound Trait Indices Teamwork Customer Service Managerial Skills Work Discipline Fit Work-Related Interests Values Aligned to Job Fit The Best People are Willing and Able

23 Evidence-Based Hiring Process “Employers work to make things predictable, uniform, and certain. Predictability, uniformity, and certainty are universal goals of executives. The NCRC does this for the hiring process.” Mac MacIlroy, Past President Michigan Manufacturing Association, 2008

24 No one is going to push top talent in your door. You need to manage your talent supply chain just like any other supply chain.

25 Employers Secondary (9-12) 4-Year Post Secondary Tier 3Tier 2Tier 1 OEM The Talent Supply Chain 2-Year Post Secondary Primary (K-8) CTE Adult Learning Workforce Development System CorrectionsDHS

26 Pre-K Employer Primary (K-8) Secondary (9-12) Post Secondary (Various) Tier 4Tier 3Tier 2Tier 1OEM The Talent Supply Chain

27 Pre-K Employer Primary (K-8) Secondary (9-12) Post Secondary (Various) ? - Evidence-Based Hiring and Promotion Evidence of Cognitive Skills o Reading, Math, etc. o Reasoning – Critical Thinking & Problem Solving Evidence of Behaviors o Integrity o Personality Traits and Characteristics o Interests & Values Evidence of Work-Related Content Knowledge o Degrees, Licenses, Certificates Evidence of Personal Responsibility o Resume, Career Plan, Education Plan Analysis to Correlate Competency Evidence to Outcomes o Valid Reliable Performance Feedback

28 A “Ready for Work” Skills Currency

29 Essential Skills based on Analysis of 5,760 Jobs September 2003 to August 2008 Locating Information (84.9%) 4,892Reading for Information (80.5%) 4,637Applied Mathematics (74.6%) 4,298Observation (69.6%) 4,0082,170 Teamwork1,058 Applied Technology996 Writing814 Listening 382 Business Writing Certificate Skills

30 Data Information Intelligence Knowledge Wisdom Data Information Intelligence Knowledge Wisdom Cognitive Skills NCRC Skills

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36 Use the Instruction Manual

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47 Talent Supply-Chain Regional Collaboration

48 Strategies & Metrics 2. Skill Building – Grow Workplace Relevant Skills via Focused Learning Educators must lead the rebuilding and improvement of our adult learning infrastructure so that we address the skills gap – the shortage of individuals with essential workplace relevant skills. We will monitor and report two measures: Learning Activity – We will monitor and report activity in learning experiences that have been shown to be effective in building essential skills. Learning Results – We will collect learning results (improvements in certificate levels) and report them on the website.

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51 Strategies & Metrics 3. Skill Certification – Grow the Talent Supply Competency-based certificates are a measure of talent. The total number of certificates reported will be based on two sub-measures: Registered Certificates – We will monitor and report registered certificates based on data reported on ACT’s website. Non-registered Certificates – We will monitor and report non-registered certificates from official CRC program websites. The certificate data must be publicly available with some level of transparency to be included.

52 A “Ready for Work” Skills Currency

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57 Strategies & Metrics 4. Advocacy – Citizens Collective Action to Drive System Change Concerned citizens must aggregate their voices around workplace relevant skills to drive improvements in their regional talent supply chains. We must come together, learn from each other, and support each other so that we maximize the results of our collective efforts. We will monitor and report two measures: Advocates – Individual advocates can “sign up” on the website. Public contacts are viewable on the website by state and county. Website Activity – We will monitor and report website activity as an indicator of peer to peer learning that is occurring as a result of the Advocates.

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64 Strategies & Metrics 5. Support – Assist States and Regions to Design and Lead Change The Advocates will provide educational opportunities and offer technical assistance to states and regions that want to actively participate in the national certificate movement. The Advocates will engage in three kinds of activities: Develop a Leadership Sense of Urgency – Advocates. Help States Develop Transformation Strategies – Institutes. Support State Implementation – Employer councils.

65 Pre-K Employer Primary (K-8) Secondary (9-12) Post Secondary (Various) Tier 4Tier 3Tier 2Tier 1OEM The Talent Supply Chain Two Key Outcomes: Employers get and keep good workers Individuals get and keep good jobs

66 The alignment model is a conceptual framework that states can adapt to meet their specific needs.

67 The Certificate Statewide Alignment Model ECONOMIC DEVELOPMENT EMPLOYER DEMAND GOVERNOR’S OFFICE HIGH SCHOOLS OTHER WORKFORCE DEVELOPMENT POST-SECONDARY CORRECTIONS POLICY FOUNDATION ADULT LEARNING HUMAN SERVICES

68 “Big Goal” 60% with high quality degrees and credentials by 2025

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71 Internationally Competitive Talent Target for 2025

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80 The National CRC Advocates Bill Guest cell This summary was prepared to provide busy leaders with a quick overview of certificate program best practices. Please refer to the best practices section of our website for further details. Copyright © 2011 by Bill Guest Questions