Shaping Tomorrow’s Workforce Workshop Sponsored By: The University of Missouri – St. Louis College of Business Administration

Workshop Agenda Introductions Workshop Overview – Objectives, Outcomes Background Information – Research/Surveys Pre-Workshop Summary Results Working Session –Skills Gap Definition –Update –Pre-Workshop Survey Results - Skills –Identify Gaps –Develop Potential Solutions –Prioritize Skills Next Steps

Meeting Objectives To identify the current and future professional skill sets needed To determine the Gaps To identify potential solution to close the gaps To develop next step recommendations

Background Information

The Skills Gap in our Region." 2004 East Tennessee State University study. “ 52% of businesses surveyed said there is a skill gap among their employees while 63% said there is a skills gap with their applicants”

Survey Results – Gaps Increasing Source: Survey of 1,729 human resource professionals conducted by the Society for Human Resource Management., June 22, % said that current employees do not have skills levels to meet job requirements 60% of the survey participants said that the skill levels of today's job applicants do not meet job demands 52% 63% 2004 Survey

Skills Gap Report – A Survey of the American Manufacturing Workforce Today’s skill shortages are extremely broad and deep, cutting across industry sectors and having an impact on more than 80 percent of companies surveyed Skills shortages are having a widespread impact on manufacturers’ abilities to achieve production levels, increase productivity and meet customer demands High-performance workforce requirements have significantly increased as a result of the skills gap shortage and the challenge of competing in a global economy, according to nearly 75 percent of survey respondents 2005 Skills Gap Report - National Association of Manufacturers (NAM), the Manufacturing Institute/Center for Workforce Success, Deloitte Consulting LLP

2005 Skill Gap Report Conclusion “The confluence of these trends and the increasingly competitive global environment have created an extraordinary gap between the supply of skills available and the performance requirements of the workforce needed for modern global manufacturing. This human capital performance gap threatens our nation’s ability to compete in today’s fast-moving and increasingly demanding global economy. It is emerging as our nation’s most critical business issue.” 2005 Skills Gap Report - National Association of Manufacturers (NAM), the Manufacturing Institute/Center for Workforce Success, Deloitte Consulting LLP

Survey – Region at Risk Due to Critical Skills Gap Worker Competencies Strong problem solving skills Leadership skills Critical thinking skills Active listening Conflict resolution Teamwork Worker Characteristics Dependability Work Ethics Commitment East Tennessee State University Study Skill Gap in our Region March, 2004 Greatest Gap

The Conference Board Report “Most young people entering the US workforce lack critical skills essential for success.” “It is clear that greater communication and collaboration between the business sector and educators is critical to ensure our young people are prepared to enter the 21 st century workplace.” Conference Board Report – Oct 2006

Are They ready to Work? - Study Are They Ready to Work – the Conference Board, Partnership for 21 st Century Skills, Corporate Voices for Working Families, and Society for Resource Management May 2006 “The future US workforce is here---and it is woefully ill-prepared for the demands of today’s and tomorrow’s workplace “Business leaders must take an active role in outlining the kinds of skills we need from our employees for our company and economy to thrive”

UK Skill Set Gap Study “The UK Skills-Gap has been estimated to cost UK business around £20 Billion every year.”

Pre-Work Summary Results

Prework Questions 1 a & b a b

Prework Question #2

# 3 What do you feel are the top 5 management skills needed for your future workforce? Global perspective, international savvy Multi-generational workforce Motivating, developing and rewarding individuals and teams Strategic planning and execution Interpersonal skills Communication skills Writing skills Decision Making – take action Presenting and selling ideas Analytical skills Creativity, thinking outside the box Higher level business management skills Leadership skills Ethics Collaboration Adapt to change, flexibility Delegate authority & autonomy

#4 What are the top 5 areas companies spends on outside consulting resources? Systems development and implementation, IT projects Market research, Marketing Strategic plan development Process/organization redesign Technical - Legal, tax, accounting, finance and IT, planning ideas Training Public Relations and Advertising – Communications Outsourcing Research and Development - new ideas, products and services Legal Compensation/Benefit M&A Recruitment Logistics Psychological testing

#5 What are the major barriers/issues why these skill set gaps have not been met today or to meet the future skills? Dramatic changes in business landscape and workforce Complex and strategic skills are not easily taught in the classroom Tend to educate people in silos - own disciplines Requirements tend to specialized. Lack of time. Lack of a broad business perspective. Lack of training and development Speed of change in particular job functions Available and affordable talent in the market Difficult to obtain in coursework – require practical experience to supplement school

#6 Any additional comments or suggestions we should address in the workshop? Educate on the basics before they enter the workforce Internships can be a key part of the solution Students may not be aware of the basic work requirements, expectations Employers may not be aware they need to provide meaningful and challenging jobs Education and training may not be keeping up with current trends and ideas

#7 What one question do you want to be sure we address in the workshop next week? The importance of internships What non-traditional educational techniques can be used improve experienced manager's skills Leadership development and training

Skills Gap Definition

Available workforce Workforce Skills Performance Demands Today’s Focus Plus Skills Gap

Target Employee Group Professional Skills 4 year Degree

Skills Gap Draft Definitions A professional skill that is not meeting either current or future job requirements. Therefore, there is a negative impact on job performance and/or on the company bottom-line results. E.g. Project Management, effective meetings, performance management, etc. A skill that our current workforce does not have and therefore we need to go to the outside to hire a consulting organization with the needed skill. E.g. Software selection, strategic planning, system implementations, etc. A future skill that we anticipate that is needed but there is no current plan or strategy of how to develop or acquire that skill. The skills required to support the strategic plan. E.g. process redesign, driving stakeholder value, business case development, strategic relationship building, etc. A critical skill that needs to be met today or tomorrow but is not meeting the requirements or demands of the job and the company. There may or may not be a strategy to meet the skill need.

Group’s Definition – Skills Gap A critical skill that is not meeting the job requirements. Note: Could be both current or future job requirements

Questions Imagine the benefit to your company if both the current and future skill sets were met. What would be the negative impacts if the skill sets are not met?

Workshop Deliverable

Next Steps ActionResponsibilityDue Date

Working Session

Next Steps ActionResponsibilityDue Date