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Introducing

A New Way to Achieve Manufacturing Excellence:

Tooling U-SME's Competency Framework

Jeannine Kunz, Managing Director of Workforce and Education, SME

John Hindman, Manager of Professional Services, Tooling U-SME

Contents

• Skills Gap Revisited

• Why Competencies?

• Tooling U-SME Competency Framework

• Questions

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Poll Question

What role do you provide for your organization?

A. C-Level Executive

B. Manufacturing Supervisor

C. Frontline Supervisor

D. Engineer

E. Shop Floor Worker

F. Non-profit/Educator

G. Other

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Skills Gap RevisitedReviewing the latest statistics on skilled worker shortage

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5-Y

ear

Pro

jecte

d

Co

mp

eti

tiven

ess

Top indicator of a country’s competitiveness:

• access to talented workers

• followed by a country’s trade,

• financial and tax system, and

• the cost of labor and materials.

Source: Deloitte, Jan 2013

Global Manufacturing Competitiveness Index

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0% 20% 40% 60% 80% 100%

Manufacturing

Healthcare

IT

50.90%

36.40%

14.90%

37.70%

50.00%

47.40%

Regional Enterprise Wide

89% of Manufacturers Have Difficulty

Finding Skilled Workers

Source: SME Research, May 2013

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have no plan to

address it54%

Source: SME Research, May 2013

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15%

16%

17%

18%

19%

31%

44%

Who are these skilled workers?

CNC Machinist

CNC Programmer

Machine Operator

Tool Maker

Mechanical Technician

Welder

Electrical Technician

Source: SME Research, May 2013

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Lack of Skilled Workers…Impact on Business

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11%

26%

30%

45%

56%

Inability to comply with external

quality standard

Inability to keep good workers from

moving to competitors

Inability to compete with current

business product line

Inability to maintain good quality on

current product line

Inability to grow the business

Source: SME Research, May 2013

“By understanding the magnitude of the challenge and investing now to cultivate the next generation of professionals, all stakeholders can ensure that a skills crunch won’t

derail the U.S. manufacturing resurgence.”

The Boston Consulting Group – Made in America Again, The U.S. Skills Gap,

Could it Threaten a Manufacturing Renaissance - August 2013

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• Work with schools, government agencies

and nonprofits to work on pipeline.

• Use demographic risk-management and

workforce-planning tools to understand

future manufacturing-skills challenges

and to enlarge the pool of potential

candidates.

• Return to investment in internal training

programs to build job competence.

• Build up visibility in schools and create

greater awareness of attractive

manufacturing careers.

Twenty-first century manufacturing talent base

Source: Boston Consulting Group, 2013

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Business Impact

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Business innovation

is a strategic imperative

A highly skilled and educated

workforce is the most critical

element for innovation success

Innovation

Workforce Quality

Performance

Source: The Innovation Imperative in Manufacturing – How the United States Can Restore Its Edge

Benefits of an internal development program

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A well-trained workforce will benefit an

organization’s goals and bottom line:

• Quality

• Cycle Time

• Costs (labor/materials)

• Communications

• Reliability

• Safety

• Downtime/rework

Poll Question

Do you feel your organization is suffering from a skills gap?

A. Yes, right now.

B. No, but I will within the next five years.

C. No, we are experiencing no shortage of workers.

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Why Competencies?How competencies will help the skills gap need

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Terminology

What is a competency?

The capability to apply a set of related knowledge, skills, and abilities (KSA) to

successfully perform functions or tasks in a defined work setting.

Competencies often serve as the basis for skill standards that specify the level of

KSAs needed for success, as well as potential measurement criteria for assessing

competency attainment.

What is a competency model?

A collection of competencies that together to define successful performance in a

particular work setting. Competency models are the foundation for important

human resource functions.

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Why Competencies?

Bersin & Associates: Key Findings – Becoming a High-Impact Learning

Organization, 2012

• High-impact learning organizations are better able to drive value from a well-

designed, well-adopted and sustainable use of job / role profiles and competency

frameworks.

• Effective use of profiles and competencies provides a common language to

describe talent throughout the organization.

• This language allows productive conversations in areas, such as skills gaps,

performance management, talent acquisition, and leadership development.

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Why Competencies?• Ensure enterprise-wide consistency making your workforce more flexible and dynamic

(ultimately reducing labor costs)

• Streamline the training process and cut costs by eliminated unnecessary/redundant

training and allows more training on true needs

• Help managers to easily evaluate worker performance levels defined using specific

behavioral indicators, which reduces subjective assessment, increases assessment

accuracy

• Enhance employee satisfaction based on the rationality of the system

• Define and explain to an average performer what they need to attain in order to become a

superior performance (career pathways)

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Poll Question

Does your organization leverage competencies for your technical

workforce?

A. Yes

B. No

C. No, but we have a current business initiative to implement

competencies

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Tooling U-SME Competency FrameworkFor Manufacturing Excellence

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Introducing Tooling U-SME’s Competency Framework

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9 FUNCTIONAL

AREAS

> 60 JOB

COMPETENCY

MODELS

A trusted development tool grounded in experience from

industry leaders

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Competency Framework Development Process

• Identified and refined a list of manufacturing functional areas.

• Identified relevant job roles in each functional area.

• Identified the knowledge and skills required for high performance in a job role.

• Clustered similar knowledge and skill sets to look at cross-functionality between job roles.

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Why was it necessary?• Current gap is competency modeling for job

specific infrastructure

• Answer the need of manufacturing to better

define and assess workforce requirements

• Provide manufacturing with a basis for

career pathways in development of their

workforce

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25

26

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CNC Programming Competency Objectives

What Does The Framework Bring?

Stronger workforce performance for companies and career growth for

employees:

• Complements other models in the marketplace, and is fully customizable

based on each organization’s needs

• Helps companies combat the increasing talent shortage and achieve stronger

performance from their workforce while providing career growth opportunities

for their employees

• Designed to improve manufacturing education to boost morale, keep people

employable and productive, and improve their credentials

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Training Resources

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• All of our relevant training resources

are mapped to the knowledge and

skill objectives (elements) for each

competency model.

• Provides a mapped curriculum for

companies to quickly stand up

learning solutions to complement

competency-based programs.

QuestionsLet’s talk

For more information, please contact your

Tooling U-SME representative or call us at

866.706.8665, www.ToolingU.com

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