1. The Rise of High-Skill, High-Wage Production Jobs
Is Manufacturing Dead?
The Rise of High-Skill, High-Wage Production Jobs
Yustina Saleh SVP Analytics
Rob Sentz
CINO

2. Should We Start a Data Science Program?
Skills and industry based analysis
Explore how employer needs are manifesting at the local level
Look at the relationship between regional industry drivers and skills

4. Overview of domestic manufacturing
Outline
Overview of domestic manufacturing
In-demand skills
Compensation and transferability
Summary and call to action

5. Why? Aligned Economic Ecosystems
REGIONAL ECONOMY
People
Supply
Demand
Higher Ed
Businesses

6. Methodology
Demand - Used industry and occupation data to analyze overall performance
Skill Clusters - Evaluated 400K postings for 2017 to determine the skills employers need
Wages - Analyzed compensation data collected from traditional sources, job postings, and resumes/online profiles to determine whether these skills lead to increased wages
Transition - Used postings and profiles to trace how the skills manifest

7. Industry Performance, 2001-2009

9. Industry Performance, 2010-2017

10. Job Openings

11. Unemployment

12. Job Postings

13. (Half of all workers are above 45)
Demographics
(Half of all workers are above 45)

14. Summary Re-emergence since 2010 800,000+ new jobs
Decline over 30 years+
Re-emergence since 2010
800,000+ new jobs
350% increase in openings
2.6% unemployment
Postings rivaling IT and health care
Lack of supply
NAM and American Welding Society predicting massive shortages

15. What do the jobs look like today?
Getting beyond current taxonomy
What are the skills?
What is the compensation? Employers willing to pay?
Are these skills transferable?
Not dead end jobs…

16. Top Companies Posting

18. National Cluster Traditional production skills Welding, machining, etc
Computer-Automated Tech (CAT)
Tech that aids production
Six Sigma (or Lean)
Process improvement
Good Manufacturing Practices (GMP)
Quality control

19. Observations Two - classic production Two - engineering-oriented
Six Sigma is very close to the core
Workers must possess tried- and-true skills
Continuous process improvement had the overlap

21. Demand - Baseline How do regions compare? Michigan California
Tennessee
Will they look the same / different?
Will we see the same skill clusters or new ones?
Training happens at the local level
Finding the appropriate niche is key

22. Common (Soft) Skills

23. Top Employers, Michigan

24. Michigan Vehicles and Industrial Design Two classic production sets
Two engineering-oriented sets
Traditional and vehicles overlap
Industrial design and Six Sigma overlap

25. Industrial Design and Six Sigma

27. California Vehicles is the dominant cluster
Other three – industrial design, Six Sigma, and GMP are engineering oriented
Corrective and preventative actions (CAPA) shows up in three lanes

29. Tennessee Smaller but diverse More oriented to production Vehicles CAT
Traditional
Six Sigma is important everywhere

30. Skills Summary
Employers look for blend of classic production skills and engineering- oriented skills
Engineering technologists
Emerging skill sets – hybrids or fusions of two different areas
Six Sigma showed up everywhere
Balance between on-the-ground know-how and process improvement/quality control
High-tech

31. Compensation – Production Workers

32. Compensation by Skill

33. Compensation by Skill

35. Pathways
Workers that start in the production categories gain engineering skill sets
As they add more knowledge and skills they can be promoted or get more schooling to advance
Employers are willing to pay for education and training to increase skill sets
As they gain more engineering skills – they work more on the business side of the house. Other areas of the company use these skill sets.
Other industries use the skill sets too

36. Six Sigma

38. Concluding Thoughts
Employers – the landscape for talent is competitive
Communicate / beat the drum
Collaborate with colleges and local agencies to get help
Invest and pay
Educators – change perception
Partner
Combine data w/ real world intel
Communicate with students (outcomes, compensation, transferability)
Work experience / continuous learning

39. Concluding Thoughts Students and parents – opportunity abounds
Get informed – lack of knowledge plagues ed and career choice
Start convo early – career exploration and experience can start early
Mix of tools-of-the-trade + engineering skills/knowledge

40. What to do next…
Emsi is working to incorporate new skills methodology and compensation to our tools
Stay tuned…
If you need help with analysis or want to use our tools to dig into skills, let us know.
Contact us if you have questions or need help with other sectors.
Please – always feel free to contact us if you need help getting more value out of the data.

41. Up next? Liberal arts outcomes The importance of your first job
Cybersecurity
And more…
If there is something you’d like us to take a closer look at, give a yell…

42. Thank you for coming… Questions Rob Sentz