1. Workforce Innovation in Regional Economic Development (WIRED) Slide 1 West Michigan Strategic Alliance Workforce Innovation in Regional Economic Development (WIRED) Initiative Funded by the Employment and Training Administration of the U.S. Department of Labor Greg Northrup, President, West Michigan Strategic Alliance www.wm-alliance.org, 616.356.6060 Revised: September 9, 2008 Bill Guest, WorkKeys Innovation Champion, 616.430.0828, bill.guest@metricsreporting.com Rachael Jungblut, WorkKeys Program Manager, GRCC, 616.234.3623, rjungblu@grcc.edu The National Career Readiness Certificate (Powered by WorkKeys®)

2. Workforce Innovation in Regional Economic Development (WIRED) Slide 2 The NCRC Value Equation Need – Definition of “qualified candidate” for 21 st Century work. Approach – Use the ACT National Career Readiness Certificate. Benefits - The NCRC is proven to be aligned to employer needs and proven to be valid, reliable, and cost effective. Competitive position – Job alignment tools, DOL ETA approved tests, and effective educational software.

3. Workforce Innovation in Regional Economic Development (WIRED) Slide 3 West Michigan

4. Workforce Innovation in Regional Economic Development (WIRED) Slide 4 WMSA Region Allegan Barry Ionia Kent Muskegon Newaygo Ottawa

5. Workforce Innovation in Regional Economic Development (WIRED) Slide 5 M-MIT Region Bay Clinton Eaton Genesee Huron Ingham Lapeer Livingston Midland Saginaw Sanilac Shiawasee Tuscola

6. Workforce Innovation in Regional Economic Development (WIRED) Slide 6 What is our common language? Employers say “New hires need more math.” Educators ask “How much more?” Employers say “We need better reading skills.” Educators ask “How much better?” We all know these can be endless discussions. This communication problem extends throughout the entire Workforce Development System.

7. Workforce Innovation in Regional Economic Development (WIRED) Slide 7 Why a Career Readiness Certificate? We need a trusted common language. What do we mean by Qualified Candidates? New hires Promotions and internal moves Career development programs Occupational training Job specific training How do we measure qualifications?

8. Workforce Innovation in Regional Economic Development (WIRED) Slide 8 WorkKeys is a measurement tool. WorkKeys quantifies skills in the following categories: Applied Mathematics Applied Technology Business Writing Listening Locating Information Observation Reading for Information Teamwork Writing

9. Workforce Innovation in Regional Economic Development (WIRED) Slide 9 The WorkKeys Measurement System Assess job requirements - Assess individual skill levels - Train to eliminate gaps

10. Workforce Innovation in Regional Economic Development (WIRED) Slide 10 Career Readiness Certificate in Context Reading for Information Job Specific Training Occupational Training Applied Mathematics Locating Information WorkKeys Measures Foundational Skills

11. Workforce Innovation in Regional Economic Development (WIRED) Slide 11 The Career Readiness Certificate and Jobs WorkKeys Skill Levels: Bronze Silver Gold Reading for Information3 45 Applied Mathematics3 45 Locating Information 3 45 Job Readiness* 30% 65% 90% * Job Readiness indicates the % of jobs in the occupational database that holders of these certificates are qualified to apply for. The CRC is a credential.

12. Workforce Innovation in Regional Economic Development (WIRED) Slide 12 What Every Worker Must Know Reading for Information Applied Mathematics Locating Information MVC

13. Workforce Innovation in Regional Economic Development (WIRED) Slide 13 RI 3 Simple clear text

14. Workforce Innovation in Regional Economic Development (WIRED) Slide 14 RI 4 Policies & procedures

15. Workforce Innovation in Regional Economic Development (WIRED) Slide 15 RI 5 Details & jargon

16. Workforce Innovation in Regional Economic Development (WIRED) Slide 16 AM 3 Cash register math

17. Workforce Innovation in Regional Economic Development (WIRED) Slide 17 AM 4 Calculate an average

18. Workforce Innovation in Regional Economic Development (WIRED) Slide 18 AM 5 Lowest phone bill

19. Workforce Innovation in Regional Economic Development (WIRED) Slide 19 LI 3 Read a gauge

20. Workforce Innovation in Regional Economic Development (WIRED) Slide 20 LI 4 Read a laundry slip

21. Workforce Innovation in Regional Economic Development (WIRED) Slide 21 LI 5 Read bar graph

22. Workforce Innovation in Regional Economic Development (WIRED) Slide 22 The NCRC WorkKeys Core Assessments Harder than it looks: Timed Proctored Many experience test anxiety

23. Workforce Innovation in Regional Economic Development (WIRED) Slide 23 16% None, 17% Bronze, 43% Silver, 24% Gold Unskilled work with hands Skilled work with head & hands “technicians” Professionals work with head Today we live in a world of networked automation. We need technicians capable of running it.

24. Workforce Innovation in Regional Economic Development (WIRED) Slide 24 Michigan Merit Examination (MME) Summary Table * The new Michigan Merit Examination will be utilized in all Michigan Schools beginning the Spring of 2007

25. Workforce Innovation in Regional Economic Development (WIRED) Slide 25 New Michigan Merit Examination (MME) * Locating Information will be added to the Michigan Merit Examination beginning the Spring of 2009

26. Workforce Innovation in Regional Economic Development (WIRED) Slide 26 60% ------- 40% 55% ------- 45% 64% ------- 36% 51% ------- 49% Michigan students are Level 5 and higher 9% more than the USA average on both AM and RI. NOTE: This compares Michigan high school students to the general population.

27. Workforce Innovation in Regional Economic Development (WIRED) Slide 27 Master Degree Bachelor Degree Associate Degree Some College High School Diploma Some High School NOTES: Unemployment and earnings for workers 25 and older, by educational attainment; earnings for full-time wage and salary workers Source: Bureau of Labor Statistics Education and Training Pay $1,064 $396 $900 $554 $622 $672 2.9% 3.3% 4.0% 5.2% 5.5% 8.8% Unemployment Rate in 2003 Median Weekly Earnings in 2003

28. Workforce Innovation in Regional Economic Development (WIRED) Slide 28 Notes: $23,000 at “9” and $50,000 at “15” results in a gain of $4500 per point. Data is based on RI, AM, and LI scores from the ACT Occupational Database (with 5 or more Profiles) and Median income data from the O*NET. Example: 3, 3, 3 = 9; 5, 5, 5 = 15; etc. DRAFT Combined Score Qty. of Profiles 2006 Data Census Bureau 116,011,000 Households 20 th - $20,035 40 th - $37,774 60 th - $60,000 80 th - $97,032 2060 NCRC Skills Pay 40

29. Workforce Innovation in Regional Economic Development (WIRED) Slide 29 Example Occupations for CRC Holders BRONZEBRONZE SILVERSILVER GOLDGOLD

30. Workforce Innovation in Regional Economic Development (WIRED) Slide 30 A Common Skills Currency

31. Workforce Innovation in Regional Economic Development (WIRED) Slide 31 Emerging Workforce (K-12 and Colleges) Transitional Workforce (MWAs and Agencies) Incumbent Workforce (Employers) Employers (Chambers & EAs) DemandSupply

32. Workforce Innovation in Regional Economic Development (WIRED) Slide 32 Employers want: Better – Faster – Cheaper

33. Workforce Innovation in Regional Economic Development (WIRED) Slide 33 “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, President MMA

34. Workforce Innovation in Regional Economic Development (WIRED) Slide 34 The NCRC is a very good predictor of job performance based on the composite of the scores on the three assessments which power the NCRC. The NCRC composite assessment results are a stronger predictor of job performance than other selection tools such as personality tests, reference checks, and years of education. The implications to an organization are significant.

35. Workforce Innovation in Regional Economic Development (WIRED) Slide 35 West Michigan

36. Workforce Innovation in Regional Economic Development (WIRED) Slide 36 Three Things Employers Can Do 1.Ask all applicants – “Do you have a certificate?” 2.Create career ladders linked to NCRC scores 3.Provide resources for your employees to “skill up” and earn a certificate

37. Workforce Innovation in Regional Economic Development (WIRED) Slide 37 The New Three “R’s” of Workforce Relevance – Reading, math, and locating skill levels tied to career and earnings progression. Relationship – “You need to do this” is met with a mix of skepticism & trust, but what mix? Rigor – KeyTrain and coaching to improve skill levels relevant to career progression goals. ReadingMathLocatingOccupational

38. Workforce Innovation in Regional Economic Development (WIRED) Slide 38 Employer Letter of Commitment Employer Commitments: □ We will ask job applicants “Do you have a National Career Readiness Certificate?” □ We will recognize the National Career Readiness Certificate in hiring and/or promotion practices for one or more positions in our organization. □ We give the Michigan NCRC Advocates permission to use our name in public awareness efforts to promote the National Career Readiness Certificate. Request for more information: □ Please have a local National Career Readiness Certificate team member arrange to meet with us so we can learn more about using the Career Readiness Certificate, WorkKeys, and KeyTrain as tools to improve our workforce skills.

39. Workforce Innovation in Regional Economic Development (WIRED) Slide 39 The NCRC Value Equation We need a common definition for “qualified candidate,” someone ready for work in the 21 st Century (brains vs. brawn). We have a shortage of skilled workers and a surplus of unskilled workers. We need to “skill up” our workforce to provide the quality of workers employers need. Our approach is to use the ACT National Career Readiness Certificate as the cornerstone of our regional definition of a qualified candidate. Employers drive demand, schools & workforce agencies train workers. The benefits to this approach are that the NCRC is a based on WorkKeys a product of ACT proven to be aligned to employer needs and proven to be valid, reliable, and cost effective. Reading, math, and locating information are the top skills needed in 85% of jobs. The ACT NCRC is superior to competitive approaches and alternatives because it is the only solution that: 1) provides tools to measure the needs of specific jobs, 2) is approved for government agencies as a valid and reliable skills assessment, and 3) has highly effective aligned software (KeyTrain) and training workbooks available for skill building.

40. Workforce Innovation in Regional Economic Development (WIRED) Slide 40 Questions & Discussion www.michigancrc.org

41. Workforce Innovation in Regional Economic Development (WIRED) Slide 41 Regional Implementation Teams Questions smart people ask: What about me? How do I fit? How can I make a difference?

42. Workforce Innovation in Regional Economic Development (WIRED) Slide 42 “Regional collaboration is an unnatural act between unconsenting adults.” Favorite Quote from: Leadership West Michigan 2007

43. Workforce Innovation in Regional Economic Development (WIRED) Slide 43 The Michigan NCRC Advocates Board Chair – Cindy Leyrer Vice-Chair – Dennis Dunlap Secretary – Liz Stegman Executive Director – Rachael Jungblut Member – Bill Guest Member – Ron Koehler Member – Howard Hipes Member – Irma Zuckerberg Member – Michelle Mueller SW IT Chair – Debbie Gillespie SE IT Chair – Ann Stanton WM IT Chair – Liz Stegman MM IT Chair – Kathy Conklin NM IT Chair – Dennis Dunlap UP IT Chair – TBD Board Meetings: January 9, 2008 March 12, 2008 May 14, 2008 July 9, 2008 September 10, 2008 November 12, 2008

44. Workforce Innovation in Regional Economic Development (WIRED) Slide 44 6 5 4 3 2 1 Implementation Team Regions: IT 1 – Southwest Michigan IT 2 – Southeast Michigan IT 3 – West Michigan IT 4 – Mid-Michigan IT 5 – North Michigan IT 6 – Upper Peninsula Implementation Team Meetings: February 2008 April 2008 June 2008 August 2008 October 2008 December 2008

45. Workforce Innovation in Regional Economic Development (WIRED) Slide 45 Implementation Team Leadership Executive leadership team (chair, vice-chair, secretary) Eleven champions to assist with: 1)planning and goal setting 2)organizing and mobilizing supporting actions, and 3)driving action to achieve our state-wide goals: K-12 Systems (ISDs & RESDs) Champion College and University Champion Michigan Works Champion Employment Agencies Champion Employer Engagement Champion (LOCs and Incumbent goals) Chambers and Professional Associations Champion Literacy and Adult Education Champion Faith-based Organizations Champion Publicity and Public Relations Champion Funding Champion Economic Development Champion

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47. Workforce Innovation in Regional Economic Development (WIRED) Slide 47 Contact Goals Establish three or more contacts at each organization: Management sponsor Project manager Content expert Three contacts for each high school, college, university, MWA service center, employment agency, employer, Chamber, professional organization, literacy organization, adult education organization, and economic development organization, so we can collect data and report our state-wide progress. Focus on connections to “early adopters”

48. Workforce Innovation in Regional Economic Development (WIRED) Slide 48 Michigan Goals 1.Launch the new www.michigancrc.org website, with data collection capabilities, by February 2008. 2.Begin collecting contact information for advocates throughout the state by February and have 5000 contacts by June 30, 2008. 3.Begin a monthly newsletter to all contacts by March 2008. 4.Promote and register 400 participants for our Conference this year. 5.Gain and document 2500 employer commitments with a signed Letter of Commitment (LOC) by December 2009. 6.Gain commitment of all high schools in Michigan to add Locating Information to the MME and offer ACT National Career Readiness Certificates to all students. 7.Gain commitment of our Michigan Works! agencies to utilize WorkKeys and the Career Readiness Certificate as a means of defining “qualified applicants” for all job placements. 8.Engage all high schools, colleges, Chambers, etc.

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62. Workforce Innovation in Regional Economic Development (WIRED) Slide 62 www.michigancrc.org

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67. Workforce Innovation in Regional Economic Development (WIRED) Slide 67 National Career Readiness Certificate Partners Career Readiness Certificate Michigan: www.michigancrc.org ACT National: www.careerreadinesscertificate.org CRC Consortium: www.crcconsortium.org ACT WorkKeys, www.act.org/workkeys Steve Anderson, 563.391.3742, steve.anderson@act.org Jamee Pugh, 319.337.1710, jamee.pugh@act.org KeyTrain, www.keytrain.com Rick Harris, 888.480.4883, rick@keytrain.com Justin Saylor, 877.842.6205, justin.saylor@keytrain.com The Council for Adult & Experiential Learning (CAEL), www.cael.org Pam Tate, President, 312.499.2680, ptate@cael.org Joel Simon, Consultant, 312.499.2678, jsimon@cael.org