canada’s industry association magazinecanada’s industry ... · canada’s industry association...
TRANSCRIPT
Canada’s industry association magazineCanada’s industry association magazineMay/June 2006
Canadian ManufaCturers & exporters is run by business, for your business. Canada’s largest trade and industry association, CME promotes the continuous improvement of Canadian manufacturing and exporting through engagement of government at all levels. Its mandate is to promote the com-petitiveness of Canadian manufacturers and enable the success of Canadian goods and services exporters in markets around the world. Representing Canada’s largest business network and with grassroots representation in every part of the nation, CME’s membership is drawn from all sectors of Canada’s manufacturing and exporting community and from every province across the country. The association represents Canada’s leading global enterprises and more than 85% of CME’s members are small- and medium-sized enterprises. Together, CME’s membership accounts for an estimated 75% of total manufacturing production and 90% of Canada’s exports.
20/20 magazine is published six times a year, by Canadian Manufacturers & Exporters. | www.cme-mec.ca or www.manufacturingourfuture.ca
In thIs Issue14Pandemic Preparations CMe has prepared a guide for Canadian business to help mitigate the effects of the next pandemic.
24Assistance for Aceh Part two of sol Kimsa’s look at Canada’s aid in rebuilding tsunami-torn Aceh, Indonesia.
26Attracting Generation Y to Manufacturing Facing a critical skills shortage, Canada’s future success hinges on attracting today’s Generation Y’ers into the industry.
36Portes Ouvertes / Opening the door to the future CMe’s Quebec wing (QMe) is trying to change Canadian youth’s perception of manufacturing by bringing the factory to the students through its Portes Ouvertes program.
Canada’s industry association magazine
02 events
06 eYe On eCOnOMY
10 CMe news
43 the huMAn DIMensIOn
44 In PersPeCtIve
26
3624
14
MAY/June 2006vOluMe 1 issue 2
editor Derek PuDDicombe | [email protected]
Layout and design mantle & overall | [email protected]
Letters email | [email protected]
advertising/assoCiate pubLisHer ronDa lanDygo | [email protected]
pubLisHer JeFF broWnlee | [email protected]
How to reaCH us email | [email protected]
reporter/pHotograpHer Steve coleman | [email protected]
Fax: 613-563-9218 1500-1 nicholaS St., ottaWa, on k1n 7b7
national events12th Annual Global Business Receptioncontact: [email protected].
Toronto – May 16, 5:30-7:30 p.m. National Trade Centre at Exhibition Place, Galleria (outside Hall C), 100 Princes’ Blvd.
Find out what’s going on in foreign markets and meet key contacts for international business development.
Join us for an evening of valuable networking and take advantage of an opportunity to meet with:• Commercial representatives of major
foreign consulates and trade offices • Canadian Trade Commissioners from
the International Trade Centre, Toronto • Leading providers of services to
Canadian exporters• Senior executives from companies
based in Global Markets.• Other Ontario firms looking for
new business opportunities• Partners in the Canada-Ontario
Export Forum
Past foreign representation includes:Argentina, United States, Indonesia, Thailand, Germany, China, Switzerland, Netherlands, Spain, India, South Africa, Tunisia, Mexico, Philippines, United Kingdom, Bulgaria, Slovakia, Brazil, Chile, Japan and many more.
Find out how you can participate in the Global Business Reception as an exhibitor.
Tickets are $45 (+GST) per person and are now available.
albertacontact: [email protected]
The Effective Office … Making the Value Stream Visible (all day session) Calgary – May 11
Deputy Ministers’ Dinner 2006 Edmonton – June 21
Innovative Manufacturing Works! (various events)
Alberta Lean Conference October 2-6
saskatchewancontact: [email protected]
5S & Visual Factory Swift Current – June 1 (all day session)
5S & Visual Factory Moose Jaw – June 2 (all day session)
ontariocontact: [email protected]
Manufacturing Summit Mississauga – June 22
Measure UP for Success Kitchener-Waterloo – June 12-15 visit: www.measureupforsuccess.com
Lean Principles 101 Kitchener – May 4 Mississauga – May
13th Annual CME Ontario Golf Tournament Carlisle – August 16
A Workplace Guide to WSIB Claims Management and Return to Workcontact: [email protected]
Ottawa – May 2 London – May 4 Oshawa – May 10 Sarnia – May 18 St. Catharines – May 225 Kitchener – May 30 Barrie – June 1 Burlington – June 6 Brantford – June 8 Peterborough – June 14 Sudbury – June 20 Toronto – June 22
10th Annual Queen’s Park Reception Toronto – November 28
This annual event provides CME members with a unique opportunity to network with the provinces’ key decision makers and the manufacturing and exporting communities. Last year, the Premier of Ontario and Ministers from Economic Development & Trade, Energy, Labour and Environment were among the 250 people that attended. CME would like to thank our 2005 partners for their generous sup-port: Acklands-Grainger Inc., CDI-Polar Bear, Dofasco Inc., Ford Motor Company of Canada, Pacific & Western Bank of Canada and Procter & Gamble Inc.
For more information or 2006 partnership opportunities contact: [email protected]
20/20 SMART Session:contact: [email protected]
Energy Management: bright ideas for your business Burlington – May 11
The New Workforce: attracting, developing and retaining skilled and talented people Burlington – June 15 London – May 12
Supply Chain Security: safeguarding your supply chain Toronto – May 9
Lean Manufacturing / Six Sigma London – June
Quebeccontact: [email protected]
Manufacturing Trends: Working Together to Maximize your Value Montréal – May 10 Hyatt Regency Hotel (1255 Jeanne Mance)
On May 10, take part in the fourth edition of Manufacturing Trends: Working Together to Maximize your Value
The program will feature:• Testimonials on the best collaboration
practices• Private meetings with high-level
stakeholders from various institutions.This conference will highlight the latest trends in the manufacturing sector, both in Canada and across the globe. The day will begin with a presentation by Mr. René Vézina, Editor in Chief at Large, Journal Les Affaires, who will take a reporter’s look at the major trends in the manufacturing sector. This will be followed by a presentation by Mr. Don Drummond, Senior Vice President and Chief Economist, TD Bank Financial Group, the topic of which will be manufacturing trends and their impact in Canada and throughout the world. The focus will then turn to the entrepreneurs who will share three winning approaches. The lunch hour will be reserved for the President of Bell Helicopter Textron, Mr. Jacques St-Laurent. In the afternoon, six companies will share their perspectives:
• VKI Technologies: Employees collaboration• Canadel Furniture: Supplier Collaboration• Walter Canada: Clients Collaboration • Hafner: Employees collaboration • Bridgestone Firestone:
Employer-Work Force Collaboration• Thomas & Betts: Clients Collaboration
nova scotiacontact: [email protected]
Halifax – May 31 Innovation Insights visit to Canada Post
Halifax – May 18 CME Nova Scotia Division Annual Meeting Day
Halifax – May 18 Nova Scotia Export Achievement Awards
thank you! online Partners:
In the NeXT issue OF 20/20Recharging the industrial Heartland
What’s happening to our reliable, cost effective supply of energy? Is energy becoming a competitive disadvantage for Canadian companies?
Will the supply of good workers fail to meet demands?With a looming skills crisis, Canada’s immigration system must be
employed more effectively to enable economic development.
Planes, trains and ships – Canada’s Pacific Gateway Canada’s Pacific Gateway is a multimodal network of transportation infrastructure
focused on trade with Asia. What is the strategy? What does it mean for Canada?
CMe events
Canada’s Industry Association Magazine2
Over 500 leaders in manufacturing and service operations will learn
from each other about competing to win an increasingly global marketplace.
“Whether competing against China or the world, success in manufactur-ing begins at home,” says David Hogg, conference co-chair and president of the High Performance Manufacturing Con-sortium (HPM), a 15-member group of companies who come together regularly to leverage and learn from each other using shared resources and experience.
“This sobering conference about getting your house in order is right for the times. Its theme speaks volumes, since conventional wisdom for this four-day conference indicates that 40 to 70 percent of the waste in our companies is there because we live in it every day – and we just cannot see it,” adds Hogg.
Joe Fisher is Manager of Op-erational Excellence for the Canadian Operations of Eaton Electrical, as well as co-chair for the conference. “It is time to take a hard look at just how robust and capable your processes are right inside your building,” he emphasizes. “I can think of no worse tragedy than landing an exciting international contract and finding that home processes are not scalable or good enough.”
There are no two companies in the world that are the same and, within most companies, employees are at differing levels. Attending a conference such as this, prepared with pre-set objectives of what you want to know, will sharpen the mind to find new answers by networking with peers and learning from the insights presented by keynotes.
The 2006 AME Canadian Lean Con-ference, in partnership with Canadian Manufacturers & Exporters, will take place June 12-15, 2006 at the Delta Kitchener Hotel in Kitchener, Ontario. For more information visit the conference web site at www.measureupforsuccess.com.
success in Manufacturing begins in kitchener-WaterlooConference will bring both information and inspiration to Canadian companies looking to achieve operational excellence.
To accelerate the implementa-tion of lean into any company – bring the entire team to hear the vision. The challenge of how to accelerate the rate of change in our companies is a very real competitive issue. We know that when change meets culture – culture wins every time. And because of this, there are few approaches more powerful than having one’s full team participate in the right events. AME Conferences are characterized by having all Best Practice presentations delivered by company employees and lead-ers – an approach that generates openness as attendees are listening to peers with everything to share and nothing to sell. As the team experiences the explosion of ideas
and concepts – its solutions will be richer and their commitment to bet-ter solutions enhanced.
To network with 600 practitioners who aren’t shy about sharing what works – and what doesn’t. Last year’s conference in Edmonton drew 596 people from 26 U.S. states, eight Canadian provinces, and five countries. This year the University of Cardiff Lean Masters program - the only program of its kind in the world - is sending their own delegation. And there are times in our growth that we need to hear ideas from other than our ‘every day leaders’.
To select from 80 learning opportunities, plus an opportunity
for organizational leaders to cali-brate their vision as they hear Dr. Jim Womack in a more intimate setting at the June 12th “Lean Leaders Night.” Opportunities also include 36 prac-titioner-led best practice sessions; nine keynotes from international experts including Dr. Jim Womack, co-author of Lean Thinking and founder of the Lean Enterprise Institute; 15 workshops offered by leading providers; 16 plant tours including Toyota’s Lexus facility; and new to this year’s conference, four “Accelerated Learning Experiences” (ALEs), offsite full-day learning experiences which will combine a workshop, plant tour and facilitated discussion along with specific exer-cises – which will have participants
come away with a 20-day action plan to implement the tools learned.
To understand why competi-tion is now “infrastructure vs. infrastructure” and we are all in this together. Attendees will see enterprise-wide lean applications in manufacturing, service, healthcare, construction, military, and more.
To see first hand what the new AME/SME/Shingo Prize lean certification program is all about. The conference will host the first Canadian testing site for the recently launched Lean Certification program, which provides a standard for con-tinuous improvement in industry.
WHY sHOuld PeOPle ATTeNd THis CONfeReNCe?
www.cme-mec.ca �
CMe events
National Office1 Nicholas Street, Suite 1500 Ottawa, ON K1N 7B7(613) 238-8888Fax: (613) 563-9218
Perrin BeattyPresident and [email protected]
Jayson MyersSenior Vice President and Chief [email protected]
Jeff BrownleeVice [email protected]
Nancy Coulas Director, Environmental [email protected]
Gordon CherryPolicy [email protected]
Corporate Office 6725 Airport Road, Suite 200Mississauga, ON L4V 1V2(905) 672-3466 or 1-800-268-9684Fax: (905) 672-3040
Jack RadfordGeneral [email protected]
Deborah TurnbullVice President, International Trade and [email protected]
Stella TanManager, Member [email protected]
Innovation InsightsJon Fenwick Executive [email protected]
20/20 magazine & CME onlineRonda Landygo 1-877-880-3392 [email protected]
British Columbia1100 Melville Street, Suite 1330 Vancouver, BC V6E 4A6(604) 713-7800Fax: (604) 713-7801
Werner KnittelVice [email protected]
Alberta and Saskatchewan10060 Jasper Avenue, Suite 1931Edmonton, AB T5J 3R8(780) 426-6622 or 1-800-642-3871 (AB & SK) Fax: (780) 426-1509
Brian McCreadyVice [email protected]
Manitoba110 Lowson Cres.Winnipeg, MB R3P 2H8(204) 949-1454Fax:(204) 943-3476AMI Web site: www.amimb.ca
Tony van RosmalenVice [email protected]
Ontario6725 Airport Road, Suite 200Mississauga, ON L4V 1V2(905) 672-3466Fax: (905) 672-1764
Ian HowcroftVice [email protected]
Québec 2000, rue Peel, bureau 210Montréal, QC H3A 2W5(514) 866-7774 or 1-800-363-0226Fax: (514) 866-9447
Daniel CharronPresident and General [email protected]
Jean-Michel LaurinVice President, Research and Public [email protected]
José JacomeVice President, Development and [email protected]
New BrunswickP.O. Box 7129, 567 Coverdale Road, Unit 12 Riverview, NB E1B 4T8(506) 861-9071Fax: (506) 857-3059
David PlanteVice [email protected] Nova Scotia1869 Upper Water Street, Collins Bank Bldg., 3rd Floor, Halifax, NS B3J 1S9(902) 422-4477Fax: (902) 422-9563
Michael MacIntyreVice [email protected]
Newfoundland and Labrador1st Floor, Parsons Building, 90 O’Leary Avenue,St. John’s, NF A1B 2C7 (709) 772-3682Fax: (709) 772-3213
Bill StirlingVice [email protected] Atlantic Lean1st Floor, Parsons Building, 90 O’Leary Avenue,St. John’s, NF A1B 2C7(709) 772-3682Fax: (709) 772-3213
Sean McCarthyVice President,Best Practices and Lean Management, Atlantic [email protected]
Employers’ Advocacy Council625 Wabanaki Drive, Unit 4Kitchener, ON N2C 2G3(519) 748-5771 or 1-888-663-4929Fax: (519) 748-1827
Sherri HelmkaExecutive [email protected]
Canadian Trade Indexwww.ctidirectory.com
CME BOARD OF DIRECTORS OFFICERS
CHAIR Larry Barrett President Emerson Electric Canada Ltd. 9999 Highway #48 (905) 201-4668Fax: (905) 201-4679Markham, ON L3P 3J3 [email protected]
VICE-CHAIR David T. FungChairman & CEO ACDEG International Inc. 3784 Southridge Avenue (604) 230-0668Fax: (604) 922-7650West Vancouver, BC V7V 3J1 [email protected]
SECOND VICE-CHAIR Roy Cook Executive Vice President Monarch Industries P.O. Box 429 (204) 786-7921 ext. 292Fax: (204) 889-9120 Winnipeg, MB R3C 3E4 [email protected]
TREASURER Ronald C. Morrison President RC Management 1377 Hazelton Blvd. (905) 464-5887Fax: (905) 335-0523 Burlington, ON L7P 4V2 [email protected]
PRESIDENT Perrin Beatty President and CEO Canadian Manufacturers & Exporters (613) 238-8888, Ext. 228Fax: (613) 563-92181 Nicholas Street, Suite 1500 Ottawa, ON K1N 7B7 [email protected]
IMMEDIATE PAST CHAIR Daniel Gagnier Senior Vice President Alcan Inc. 1188 Sherbrooke West (514) 848-8118Fax: (514) 848-1494Corporate and External Affairs Montreal, QC H3A 3G2 [email protected]
CMeACrOssCANAdA
Business as usual is
not an option.
Strategic business
promotion must be.
Put 20/20
magazine to work
for you.
Canada’s Industry Association Magazine�
ACTIVATE THE DYNAMIC.“Our just-in-timeinventory really is”
There are infinite dynamics in business. Master them all. With Microsoft Dynamics.TM
Presenting Microsoft Dynamics: a line of people-ready business management solutions for supply chain management, financial management, and CRM. It’seasy to learn and easy to use. Because it looks and feels like the Microsoft®
software your people use every day. Visit microsoft.ca/microsoftdynamics
© 2006 Microsoft Corporation. All rights reserved. Microsoft, Microsoft Dynamics, the Microsoft Dynamics logo, and Your potential. Our passion.are either registered trademarks or trademarks of Microsoft Corporation in the United States and/or other countries.
It’s never easy to climb into the crow’s nest in the middle of a storm, but today
that is really the essence of manufactur-ing leadership. Leaders define a clear vision, a way ahead that is in the best interests of their organizations.
Manufacturing 20/20 is all about leadership. It is about identifying the chal-lenges and changes that are reshaping the business of manufacturing in Canada and around the world, as well as those factors that will determine future competitive success. It is above all a call to action – to set a clear vision for what it will take to ensure the future economic prosperity of Canadians and put in place the public policies required to facilitate change.
In retrospect, CME could not have undertaken its Manufacturing 20/20 ini-
tiative at a more telling time. A quick review of
first quarter economic statistics shows just how challenging business condi-tions have become for manufacturers across the country.
The total value
of goods produced and shipped by Canadian manufacturers during the first three months of this year was just about the same as a year ago. But, that total masks large variations in both sectoral and regional performance. Shipments of machinery and equipment, electronics,
food and beverage products, and refined petroleum products have all increased – the latter by nearly 20 per cent over the past year. But, it’s a different story for the automotive industry, where ship-ments have fallen by 12 per cent, and for other sectors like textiles and apparel, paper and wood products, chemicals, and furniture that have also seen pro-duction as well as price levels decline.
Ontario has taken the brunt of the downturn in the automotive industry. Shipments from Ontario manufactur-ers have fallen by around 5 per cent
over the past 12 months. Shipments are also down in New Brunswick and Newfoundland. In Quebec and Nova Scotia, shipments are up – but growth has been relatively weak. Most of the growth in manufacturing is now oc-curring in western Canada –in Alberta
and Saskatchewan in particular where shipments have increased by more than 16 per cent over the past year. British Columbia and Manitoba have also experienced near double-digit growth.
Manufacturing employment also reflects the challenges that the industry currently faces. The number of Canadi-ans employed in the sector has fallen by 220,000, or by almost 10 per cent, since its peak in August 2002. Ontario and Quebec have accounted for most of the job losses, while manufacturing employ-ment has increased in western Canada.
Leaders define a clear vision: the agenda for Canadian manufacturersBy Jayson Myers
ManufaCturing sHipMents by provinCe 1st Quarter 2006
eYe On eCOnOMY
But, even in the west there is a problem. The economy is booming thanks to oil and gas developments in Alberta and Saskatchewan, as well as increased con-struction activity in those provinces and in BC. The problem is labour, or rather the lack of people available to work. Skills shortages have become the most urgent growth constraint for industry across western Canada.
Labour shortages in Alberta are particularly pressing. Alberta has the fastest growing economy in Canada with major capital projects worth some $120 billion slated over the next decade. Currently the unemployment rate in the province is three per cent -- compared to 6.5 per cent for the country as a whole. Over 60 per cent of occupation groups in Alberta are reporting unemployment rates of less than three per cent. This is in a province where close to three-quar-ters of the population is already in the workforce. As a result, 56 per cent of em-ployers responding to the latest Alberta Wage and Salary Survey report hiring difficulties. For Alberta manufacturers, lead times have increased dramatically – from an average of six to 20 weeks over the past six months – due to the lack of skilled and unskilled labour. The average wage in Alberta jumped 7.5 per cent last year alone.
Conditions are expected to get even more daunting for Alberta industry. The good news is that the Alberta govern-ment estimates that 400,000 new jobs will be created in the province over the next ten years. The bad news is that based on current population, immigra-tion, and migration trends, only 314,000 new employees are expected to join the provincial workforce. Alberta will be short 86,000 workers by 2015 if solu-tions are not found. The future develop-ment of a value-added manufacturing base in Alberta is at stake.
The labour problem in western Canada is critical, but it is only one of
the many issues confronting Canada’s manufacturing sector. In CME’s 2005 Management Issues Survey, we asked 942 participating manufacturers to identify those conditions in their busi-ness environment that were improving and those that were getting worse. The results were not very promising. There were only three areas where more com-panies reported conditions were getting better – market demand within Canada and in international markets, and rela-tionships with suppliers.
Manufacturers listed many more areas where they saw business conditions deteriorating – ranging from the appre-ciation of the Canadian dollar and rising business costs, to labour shortages, the tax and regulatory environment, foreign competition, and Canada-US border conditions. What is even more significant is the wide gap between those companies reporting an improvement and those that say conditions are getting worse.
Looking ahead, the longer-term strategic issues identified by manu-facturers in our Manufacturing 20/20 discussions – rising business costs and a strong Canadian dollar, global com-petition and the commoditization of manufactured products, global sourcing practices and supply chain challenges, changing patterns of customer demand, the rapid pace of technological change,
demographic trends and labor short-ages, the emergence of new market op-portunities around the world, the need to invest in new and improved products, technologies, and workforce capabilities, and the need to manage change on a daily basis – only confirm that it cannot be “business-as-usual” for any manufac-turer in Canada today. Everyone needs a “China strategy” – everyone needs a strategy that responds to domestic chal-lenges and the changes reshaping global markets and the business of manufac-turing around the world.
Leadership will play a critical role in responding to those challenges. The onus falls on manufacturers themselves to ensure long-term business success.
Leadership starts at home. That is the theme of this year’s “Measure Up for Success” conference that will be hosted by CME and the Association for Manufacturing Excellence in Kitchener, Ontario during the week of June 12. The conference focuses on making Canadian manufacturers the benchmark of the world in terms of competitive success. Be sure to check it out at www.measureupforsuccess.com
But, what about government? It’s been over a year since the National Manufacturing Summit was convened to present CME’s Call to Action to federal leaders. Since then, we’ve expe-
improVinG business ConDitions
0% 5% 10% 15% 20% 25% 30% 35% 40%
marKet DemanD outsiDe CanaDa
marKet DemanD WitHin CanaDa
reLations WitH suppLiers
perCentaGe of Companies
better Worse
iMproving business Conditions
eYe On eCOnOMY
www.cme-mec.ca �
rienced the death throes of one minor-ity government, an election campaign and now a new Conservative minority. Manufacturing issues have been by and large absent from the political debate. Is anyone listening? Luckily, yes.
Thanks to the leadership of the
Manufacturing Industries Branch of Industry Canada, the federal government has established a Manufacturing 20/20 Interdepartmental Forum to share intel-ligence and coordinate programs in sup-port of manufacturing. Industry Canada has also established a new Office for
Manufacturing Competitiveness to focus on critical issues affecting the sector.
In addition, in late March, Industry Canada published an Inventory of Fed-eral Government Activities Correspond-ing to the CME’s “Call to Action”. It is a comprehensive overview of federal programs and initiatives, based on input from 29 different departments within government, that responds to the issues and recommendations of Manufactur-ing 20/20. The Inventory can be found on CME’s web site at www.cme-mec.ca/national/index-en.asp.
On March 31, CME’s national board of directors met with the Inter-departmental Forum to discuss the asso-ciation’s priority objectives for 2006 and how to coordinate activities to achieve real results at the end of the year. The five priorities are:• Lead in defining manufacturing
issues and promoting the image of manufacturing;
• Strengthen workforce capabilities;• Promote the development of National
Logistics and Energy Strategies;• Improve the tax and regulatory en-
vironment for industrial investment and innovation; and,
• Connect Canadian manufacturers and exporters to business opportunities in Canada and around the world.
Each of these priorities will require the participation of provincial as well as federal officials. Ontario and Alberta officials are now part of the Interdepart-mental Forum and took an active role in the March meeting with CME board members. The Quebec government is looking to join the Forum as well. British Columbia, Alberta, Manitoba, Nova Sco-tia, and Newfoundland are all developing new economic strategies based on the rec-ommendations of Manufacturing 20/20.
What is important, however, is not how many committees are struck or how many strategic reports are pre-pared, but what actions are taken. 20/20
eYe On eCOnOMY
Canada’s Industry Association Magazine�
Skills/compétences canada and cme are pleased to offer cme
members a unique opportunity to support canada’s participation in
the manufacturing team challenge (mtc) as part of the prestigious WorldSkills competition taking place in november 2007.
the mtc is a state-of-the-art, four-day competition involving teams of three that integrates key skill areas such as electrical / electronics (design and assembly skills), cnc and general machining (programming, set up, and operations), Fabrication / Welding / Fitting (including mechanical fitting) to manufacture a product.
to ensure that a team of bright, young canadians can participate in the challenge, Skills/compétences canada requires sponsors from leading industry companies and associations. this opportunity will be of interest to companies that want to be associated with the promotion of advanced manufacturing skills to meet their own
skilled workforce needs.the WorldSkills competition is
held every two years – Japan 2007 and calgary 2009 – and Skills/compétences canada would like to include mtc as part of the regular team canada composition for the next two competition events.
as part of its efforts to promote careers in skilled trades to canadian youth, Skills/compétenc-es canada fields a team in these biennial competitions in 25 contest areas. Skills/compétences canada will be announcing the members of team canada 2007 at the closing ceremony of the 2006 canadian Skills competition in may in halifax. it is Skills/compétences canada’s goal to send a manufacturing team challenge group to Japan as part of the team canada 2007.
in 2005, with the smallest team in recent memory, canada posted its best-ever performance with five medals in “official” World-Skills trades including, two gold medals, two silver medals, and one bronze medal. only eight countries obtained more medals than canada.
To learn more about the manufacturing team challenge contact Shaun thorson, Senior Director of Skills/compétences canada at [email protected] or at 877-754-5226 x 3.
Skills/Compétences Canada: www.skillscanada.com
WorldSkills International: www.worldskills.org
A call to action: Manufacturers needed to support Team Canada in 2007
CME members selected as best managedalberta’s cci thermal technologies
inc. and nova Scotia’s acadian Seaplants were recently awarded the prestigious title of being part of canada’s 50 best managed companies for 2005.
the program, sponsored by Deloitte, cibc commercial banking, national Post, and Queens university School of business, recognizes out-standing canadian companies from a wide range of industries who have implemented and maintained world-class best-business practices.
canada’s 50 best managed companies are evaluated on how they manage key challenges such
as new technology adoption, globalization, and branding. other considerations include leveraging and developing core competencies, facilitating growth and managing the new generation of people entering the labour market.
cci thermal technologies inc. is a global leader in advanced heat-ing solutions, supplying customers through both its direct sales force and through high-quality manufactur-er’s representatives, in over 45 coun-tries. Pursuing aggressive expansion into new and emerging domestic and international markets, cci thermal technologies inc. regularly achieves
double-digit annual sales growth.“this prestigious national
award is a tremendous compliment to all of our employees,” said bernie moore, President and coo. “it is recognition of years of their diligent efforts. it also confirms to our valued customers our commitment to being their vendor of choice.”
acadian Seaplants is a diversi-fied, technology-based manufacturer of natural, specialty fertilizers, feed, food ingredients and brewery sup-plies derived from select species of marine plants.
it is the world’s largest independent manufacturer of
seaweed-based specialty products. With over 35 years experience in this industry, acadian Seaplants is a fully integrated company, from ma-rine plant cultivation and the hand harvesting of our pure seaweeds to product and application develop-ment, manufacturing and technical customer support.
CMe news
Canada’s Industry Association Magazine10
A call to action: Manufacturers needed to support Team Canada in 2007
Hi-Point named Exporter of the Yearhi-Point industries of bishop’s
Falls earned the honour of exporter of the year at newfound-land and labrador’s 2006 edition of the provincial export awards, march 10.
“exports are an important contributor to economic growth in our province, and it is important that we take the time to recognize companies that are leaders in the global market,” said cme new-foundland and labrador chair, chris hewitt. “hi-Point has earned this award through its focus on export growth and by selling its unique
products in over 20 countries around the world.”
incorporated in 1983 with the mission of developing an environmentally safe, all natural, oil absorbent for the containment of hydrocarbon spills, hi-Point produces a number of different high quality products to serve client needs in the field of pollution control and bioremediation.
Finalists at this year’s awards included bae-newplan group limited of mount Pearl and c&W industrial Fabrication and marine equipment ltd. of bay bulls.
the newfoundland and lab-rador export awards are designed to celebrate success and encourage new exporters to enter the global marketplace. the event is a joint initiative of the Department of innovation, trade and rural Devel-opment, canadian manufacturers & exporters – newfoundland and labrador Division, the newfound-land and labrador environmental industry association, newfoundland and labrador organization for Women entrepreneurs, and the newfoundland and labrador as-sociation of technology industries.
Hi-Point Industries was named New-foundland and Labrador’s Exporter of the Year March 10. Hi-Point’s Bill Butler (centre) accepted the honour.
CMe news
www.cme-mec.ca 11
edmonton’s micralyne, cme’s 2005 innovator of the year recipient, was
honoured with the 2005 cme-iraP-sponsored Western region innovation award for new technology.
over 110 edmonton business people joined micralyne ceo chris lumb, his board chair mike Welsh and cme alberta vice President, brian mccready at the award presentation ceremony.
Micralynemicralyne develops and manufac-tures microfabricated and memS (micro-electro-mechanical-Systems) - based products. it’s one of a hand-ful of independent companies in the world that manufactures memS in high volumes.
memS technology is built on the premise of making industrial components smaller, faster, more precise and less expensive. it facilitates radical improvements in the miniaturization of electronic and mechanical devices. these types of devices are used in many industries including communications, automo-tive, aerospace, petroleum and life sciences. Specific applications include emission sensors for Ford automo-biles, electronic equipment for fighter jets, optical switching technology in telecommunication networks, lab-on-a-chip devices for drug research and commercial press equipment.
x-sensor technologycalgary’s x-Sensor technology was also recognized for its success by the business Development bank of canada. the pressure imaging company earned the Small business award of Distinction, awarded to the small business owner who best reflects the outstanding spirit and success of the province’s small busi-ness community.
xSenSor was founded on lead-ing-edge thinking. its solid foundation has enabled the company to transition successfully from the age of informa-tion to the age of imagination. clients trust xSenSor’s work because it is grounded in well-researched and repeatedly enhanced information. the company is an internationally recognized leader with clients in over 30 countries and since 2002, xSenSor has posted 100 per cent gains year-over-year.
alberta oil toolalberta oil tool from edmonton earned Western economic Diver-sification canada’s export award of Distinction for demonstrating outstanding achievement in export-ing products or services.
alberta oil tool is a manufac-turer of oilfield products with exports to 35 countries in 2005. last year, with 234 employees, total export sales for alberta oil tool doubled the export sales recorded by the company in 2002. this success is the result of an export strategy that includes using an established distribution network, partnering with synergistic companies and with export Development canada to allow the company to work in regions that carry a higher risk. countries where alberta oil tools products can be found include – azerbaijan, germany, india, kazakhstan, united arab emirates and venezuela.
Park the tax or drive business awaythe greater vancouver regional
District’s parking tax is a competi-tive disadvantage for british colum-bia manufacturers, according to cme bc vice President Werner knittel.
“translink’s parking tax is unfair, unjust and inappropriate,” said knittel at a news conference held in vancouver on march 2. “this tax will punish manufacturers by double property taxation, requiring manufacturers to pay dispropor-tionately more taxes and without bringing net economic benefit to
the region or encouraging more use of public transit. it’s going to drive manufacturers away.”
cme is working with the Park the tax coalition to stop this new draconian translink property tax.
knittel told the media at the news conference that manufacturers have lost thousands of jobs in 2005 and another loss of 300 more jobs in the gvrD as a result of the parking tax it will cost governments more in taxes than the $25 million raised by translink. “We need to stop this tax, now,” he said.
cme members have seen their total property taxes skyrocket and in many cases translink is taxing their production and distribution areas as well as their parking stalls.
The parking tax instituted by The Greater Vancouver Regional District has cost the region 300 jobs according to CME.
Alberta companies nab awards Three awards of distinction were Alberta bound recently
Joan Barichello, Acting Executive Director, IRAP West (left), Edmonton Mayor Stephen Mandel (far right) and CME Alberta Vice President Brian McCready (second from right) award Micralyne Inc. CEO Chris Lumb with the 2005 CME-IRAP-sponsored West-ern Region Innovation Award for New Technology.
CMe news
Canada’s Industry Association Magazine12
Medical detectives following the trail of Avian Influenza H5N1
as it drops chickens, geese and migra-tory birds in its path say the next big outbreak may not leap from pigeon to person. The current bird flu strain just happens to be the most-likely suspect in the age-old microscopic arms race between people and viruses.
The close proximity between Asian farmers and their animals may be responsible for most of the run-of-the-mill flu bugs that leave Canadians flat on their backs every winter, but it doesn’t mean part of their crop will include the next pandemic or even guarantee that the next big killer bug will come from a bird.
“For the past few years, there’s been (a nasty) flu among bird populations,” says Dr. Howard Njoo, Associate Direc-tor General, Centre for Emergency Pre-paredness and Response with the Public Health Agency of Canada. “It’s one of the possible sources. Someone would have to get sick with both the bird flu and a human-transmissible variety.
“With the spread of the bird flu, it could happen anywhere. It’s just a result of globalization.”
The worst-case scenario would see someone catch the avian flu and then acquire a human flu strain at the same time, Njoo says. Viruses have been around since the beginning because they’re able to recombine their genetic makeup into new strains. They hit hardest when people haven’t had the time to acquire an immunity to them.
The stereotypical picture of a busi-ness or sales exec landing at a Canadian airport with the first case of pandemic flu doesn’t tell the whole story, either, says Njoo. Cross-border traffic between Canada and the U.S. means the next big pandemic could start its cross-Canada journey at the local bus station.
“Nobody knows when the next one will arrive,” says Njoo. “We’ve been overdue for one for the last 36 years. You can’t predict when it will happen.”
When a human-borne strain of the bird flu finally lands at a Canadian air-port, the impact wouldn’t be that much different than events history recorded 88 years ago.
Canadian troops returning from Europe at the end of the First World War brought the Spanish Flu with them as they travelled home by across the country by train in 1918. Before the post-First World War influenza ran its course, it killed 50,000 Canadians and a total of 50 million world-wide.
Canada got lucky during the last century’s two other flu pandemics; the 1957-58 Asian flu and the 1968-69 Hong Kong flu. Canadians weren’t hit as hard as other parts of the world.
While the current version of avian flu doesn’t readily spread between flocks and farmers, it has happened after the patients came in direct contact with infected dead birds or bird droppings.
The first three cases were reported in Vietnam in 2003. The flu killed all three. Since then, avian flu cases have been re-ported in Azerbaijan, Cambodia, China, Indonesia, Iraq, Thailand and Turkey.
Vietnam is still the hot spot, how-ever, with 93 confirmed human cases
It’s just A matter OF time
Chasing the next great global flu pandemiC Isn’t MuCh DIFFerent FrOM hunting a Chameleon. DOCtOrs wOn’t KnOw Its appearanCe untIl someone finally CatChes it.
By Steve Coleman
www.cme-mec.ca 15
of the bird flu. Of those, 42 died. The south-east Asian country leads the way with 2,312 confirmed outbreaks in poultry, 55 per cent of all reported cases.
Recent additions to the World Organization for Animal Health (OIE) watch list include Afghanistan, Bosnia and Herzegovina, Denmark, Georgia, and Jordan. As of March 31, Canada still hadn’t joined the club of mostly Asian and European nations reporting Avian Influenza incidents.
World-wide, the number of con-firmed human bird flu cases have risen to 186 with 105 fatalities since the first three were reported in Vietnam three years ago.
Health professionals say there’s another parallel guessing game. In ad-dition to trying to figure out when the disease is most likely to make the jump from livestock to people, there are a number of theories on the go about how bad a pandemic influenza will be when it does strike.
“It’s like a car accident,” says Njoo. “It’s going to happen, but you don’t know when.”
Trying to figure out whether the car will be wrecked or suffer nothing more
than a paint scuff is something govern-ment officials have begun examining in closer detail. In America, the Congres-sional Budget Office has compiled num-bers showing how the U.S. could be af-fected by a flu pandemic. U.S. estimates say the American GDP could shrink by five per cent during a pandemic.
Because the Canadian and Ameri-can economies are so closely tied together, experts say the effect in Canada could be similar. Then again, anything is just a guess until the pandemic actually comes home to roost.
“There hasn’t been any in-depth analysis in Canada,” says CME Chief Economist Jayson Myers. “The federal government is just putting a team in place. Figures from the (U.S.) Congres-sional Budget Office say the impact could be as high as five per cent of GDP.”
Other estimates range from a six per cent ($72 billion) hit on the Canadi-an economy to the federal government’s current guess of a two percentage point reduction in GDP.
Experts aren’t even sure how many Canadians might become victims of an influenza pandemic. On an average
year, the garden-variety flu that makes the round every winter claims 11,000 victims. With a pandemic, the death toll could rise as high as 133,000 people in the worst-case scenario.
The peak period is expected to last eight weeks. Between staff getting sick and parents taking time off to look after their wheezing children, Canada’s work force could be half its current size dur-ing that two-month stretch.
worse than sars?The fact the usual winter flu bug doesn’t confine itself to hospitals like the Toronto SARS outbreak did three years
PAth
tOFr
eeDO
M.C
OM
PlAnnInG FOr the PAnDeMIC: Cme leads the way Guide downloaded over �0,000 times from CMe web site
the buzz in the news the past few months is that the avian flu continues to spread and has
reached europe and the uk. the threat of the virus mutating to a point that it can be easily transmitted from human to human and become the next pandemic is of great concern. experts agree that canada will not be spared and accord-ing to health canada, a pandemic could claim as many as 58,000 lives.
in the event of a pandemic, canadians and the canadian economy will certainly be affected. in addition to the threat to human health, the economic impacts including absenteeism in the workplace or the downstream effects stemming from supply-chain and travel disruption, will be significant and widespread. all businesses will be affected.
as we observed the spread of avian Flu, or the h5n1 virus, from Southeast asia to africa, and then europe, we conducted research to determine current resources available to canadian business. While there were many articles and publications written on the issue, what was lack-ing was a comprehensive guide for business. in fact, the only one in existence was issued by the government of new Zealand.
as a result, we took the initiative to produce a guide for canadian business entitled ‘influenza Pandemic: a continuity Planning guide for canadian business’. the guide is designed to help any business, regardless of size, prepare for the next pandemic influenza. it was a project undertaken in partnership with industry canada, containing input from a variety
of sources, most notably alcan inc., which has prepared a comprehensive preparedness plan for pandemic influenza. a summary of the alcan plan is available on the cme web site and is referred to throughout the guide.
to date, over 40,000 copies of the guide have been downloaded from our web site.
Preparing the guide was a bit of a challenge given the lack of comprehensive material avail-able. however there were several key resources that we relied on including the government of new Zealand’s influenza Pandemic Planning: business continuity Planning guide and the vancouver coastal health’s regional Pandemic influenza response Plan. input from our govern-ment, the Public health agency of canada, Public Security and emergency Preparedness canada,
Canada’s Industry Association Magazine16
ago, makes it a higher risk than Severe Acute Respiratory Syndrome and its foray into Toronto.
The flu pandemic’s arrival in Canada could be similar to the way both SARS and former strains of the common flu bug came to the country.
Canada’s introduction to SARS arrived Feb. 23, 2003 with a Toronto woman returning from Hong Kong. The disease was limited to hospitals in the Greater Toronto Area before it dissipated. Final numbers for the outbreak say the disease affected 257 people in GTA hospitals.
The introduction of Ontario-wide health measures, including strict infec-tion-control practices, eliminated the disease by April 20. On April 30, the World Health Organization (WHO) lifted an April 22 travel advisory that recommended visitors avoid Toronto.
A second wave of SARS cases spread among health care workers about four weeks after medical professionals thought they’d stamped out the disease.
From Feb. 23-June 7, 2003, the On-tario Ministry of Health and Long-Term Care received 361 reports of SARS cases. Nine per cent of the cases (33) died as a
result of contracting the virus.Figures from the Canadian Tourism
Association said hotel cancellations due to SARS cost Ontario hoteliers $60 mil-lion in April, 2003 alone.
Ontario Health Minister Tony Clement estimated that, as of June 27, 2003, SARS had cost that province’s health care system $945 million. Special supplies to protect health care workers and money needed for specialized SARS clinics and isolation rooms were behind most of the extra drain on the system.
In addition to the drain on the Ontario health budget, theatre audi-ences evaporated and tour bus compa-nies took a large hit. According to The Toronto Star, more than 800 bus tours were cancelled between the start of the SARS outbreak in 2003 between Febru-ary and April 24.
Toronto restaurants also reported between 20 and 30 per cent fewer cus-tomers during the worst of the outbreak.
prepare for the worstNot enough Canadian companies are ready to deal with the next worst-case scenario, says CME President and CEO
Perrin Beatty. Of the 85 per cent of Canadian heavy industry that belongs to the association, few have a staffing plan in place to cover for absent employees.
One big problem is that Canadian industry hasn’t had a common start-ing point to prepare their contingency plans, Beatty says. For the most part, those that have tried to do something have acted alone and done their best to re-invent the wheel.
One of the first things management needs to do is decide which personnel are essential, he says. They also need to strike a committee to look at the whole matter of building a business plan. Un-like most natural disasters, there’s no effect on a company’s hard assets. All of the harm occurs at the employee level.
That’s where proper planning comes into play. Business continuity planning should be an important part of any busi-ness strategic and operating procedures.
Larger companies have started their preparations. For the most part, small and medium-sized businesses haven’t.
It’s the same kind of planning that stopped the Y2K computer glitch from shutting down computer systems in
PlAnnInG FOr the PAnDeMIC: Cme leads the way Guide downloaded over �0,000 times from CMe web site and health canada was also invaluable.
the final product is a living document intended to provide all businesses in canada with the basic information they require in prepar-ing a continuity plan to mitigate the potential effects of a pandemic.
over the next couple of months, we will lead a series of ‘Smart Sessions’ across ontario and then, the rest of canada. the sessions will highlight the cme guide and include panels of pandemic planning experts from the private sector, government and the medical field. they will provide businesses across the country with the information and tools needed to develop their own preparedness plan for pandemic, or to incorporate pandemic planning into their existing business continuity plans. to find out more about
the Smart Sessions coming up in your area please visit www.cme-mec.ca.
Planning for the pandemic is important for every business in canada. it does not need to cost a lot or require a great deal of time or resources. it simply requires consideration of how a pandemic would affect your employees and supply chain and how you might minimize the impact and keep your employees safe. We hope you find our guide helpful in your planning process and invite you to revisit the cme site as the materials available are enhanced and evolve over time. 20/20
Gordon Cherry is Director of Trade and Commercial Policy at CME. He authored CME’s Pandemic Guide.
By Gordon Cherry
www.cme-mec.ca 1�
2000. Unlike the computer program-ming problem, flu pandemics have a habit of coming back.
“Businesses spent billions of dol-lars preparing for Y2K,” says Beatty. “It didn’t come because the problem either wasn’t there or people were ready for it.”
Health experts say a flu pandemic could wash ashore in two or three waves. Over the course of a year, between 15 and 35 per cent of workers could be off work nursing themselves back to health.
One of the first things management has to ask is how it plans to continue normal operations if up to half of the workforce goes missing. There’s also the matter of whether or not current contingency plans can be adopted to include the missing labour force.Other factors include:• Deciding how your company will
cope when customers and suppliers start suffering the same absentee rates.
• Looking at ways your company will stay in business when the supply chain for the raw materials, goods and services you need to keep your operations running are affected by the expected worker shortage.
• Deciding when sick employees can come back to work.
• But most importantly, owners and managers have to decide how they’ll limit a pandemic’s economic effects on their operations.
The first step in getting ready for a wave or two of the flu rolling through your workforce should be naming a pandemic co-ordinator. The employee should be given a clear outline of their role and responsibility in getting your company ready.
People working on the project also need to establish a communications plan and make sure it’s carried out. Having a plan in place means nothing if people don’t know what’s in it.
The final version of the business contingency plan shouldn’t be the final version, either. Provisions should be made for regular updates, including a list of who the company considers key in keeping the business running.
While it’s people who spell a com-pany’s success or failure, don’t discount technology when it comes to controlling a flu bug’s migration. Since the most common way a virus spreads is face-to-face contact, something as simple as putting the phone and e-mail to use can do a lot to contain it. When personal meetings are required, experts say keep the groups small.
Businesses should also start stock-piling basics like soap. Something as simple as a steady supply of hand soap and requiring employees to use it is one of the most effective ways of curbing a virus.
If someone does come down with the symptoms, they should be put on
immediate mandatory sick leave.When avian flu or another strain
does cross over into the human popula-tion, companies should already have provisions in place to keep employees from travelling to any known hot spots.
A business should also have plans in place to decide when the plan should come into effect and when the provisions in the emergency plan should end. Em-ployees and any union groups should be encouraged to get involved when the document is in its planning stages.
In the event of a pandemic, em-ployees do have the option of leaving their jobs. They also have the right to refuse to perform work if they believe they’ll suffer serious harm doing it. However, the belief must be based on reasonable grounds and they must have attempted to resolve the matter with their employer before they can continue to refuse.
That right to refuse only applies if the threat is a new addition to the workplace that’s posing a serious threat to their welfare. If possible, employees should be given the option of working from home if they’re worried about contracting the virus.
For more information on the things businesses should consider, look to the CME’s web site at www.cme-mec.ca. Canadian Manufacturers & Exporters has put its planning guide online. 20/20
Canada’s Industry Association Magazine1�
www.cme-mec.ca 19
What is pandemic influenza?Pandemic influenza, or flu, is a global outbreak of disease that occurs when a new influenza A virus appears in humans, causes serious illness and then spreads easily from person to person.
What is the difference between seasonal flu and pandemic flu?Seasonal flu is a viral infection of the lungs that appears each year between November and March.
About 8,000 Canadians die each year from seasonal flu. Health Canada estimates that a pandemic flu could claim 11,000 - 58,000 lives.
When will the next flu pandemic strike?Influenza pandemics are recurring events but they are unpredictable. It has been 36 years since the last influenza pandemic and, although it is impossible to predict with any certainty when the next one will hit, experts agree that we are overdue for one.
Experts agree: it is not a question of if, but when the next flu pandemic will strike. Despite all preparedness efforts, Canada will not be spared from a flu pandemic.
How long could a flu pandemic last?Each wave of pandemic influenza could last up to eight weeks and reoccur, affecting the country in some capacity for up to a year or more, and infecting up to one-third of the population.
What will be the impact of a flu pandemic?Depending on the severity of the pandemic, Health Canada estimates that between 11,000 and 58,000 deaths may occur in Canada as a result of a new influenza virus. These numbers are based on the assumption that the virus infects between 15 and 35 per cent of the population.
As well, the model used to calculate these numbers does not factor in the potential impact of a vaccine or antiviral drugs, which would reduce illness and deaths. Clearly, the number of deaths, as in any influenza season, really depends
on how the virus behaves, how it spreads and what we can do to limit these factors.
A flu pandemic could cost the Canadian economy billions of dollars in lost productivity and medical expenses. Public meetings are likely to be cancelled by the authorities or because of low attendance. Canada’s trade status may be compromised. Impacts on critical infrastructure impacts are likely to be moderate to serious. The tourism industry would be badly affected.
The World Bank estimates that the cost to the global economy of a flu pandemic would be upwards of $800 billion (US). According to Congressional Budget Office in the US, the impact of a pandemic would cost up to 5 per cent of GDP.
Assuming Canada would be similarly affected and considering our reliance on trade, Canada’s economy could suffer by as much as $60 billion due to a pandemic outbreak – even more if the Canada-US border were to experience serious difficulties.
What will be the impact of a flu pandemic on business?All businesses, hospitals and government agencies will feel the effects of a pandemic. Primary impact will be on staffing levels as 15 to 35 per cent of the workforce may be ill at any one time. Businesses should plan for up to 50 per cent staff absences for periods of about two weeks at the height of a severe pandemic wave, and lower levels of staff absence for a few weeks either side of the peak. Overall a pandemic wave may last about eight weeks.
A pandemic may have other impacts on businesses, for example: • The provision of essential services like
information, telecommunications, and financial services, energy supply, and logistics may be disrupted;
• Customer orders may be cancelled or may not be able to be filled;
• Supplies of materials needed for ongoing business activity may be disrupted. Problems can be expected if goods are imported by air or land over the Canada-U.S. border;
• The availability of services from sub-contractors may be affected (this may
affect maintenance of key equipment, and is an area that merits close plan-ning attention); and,
• Demand for business services may be affected – demand for some services may increase (internet access is a possible example); while demand for others may fall (e.g. certain types of travel activity).Unlike other disasters, a flu pandemic
will touch everyone in every part of the country, and every part of the world. Moving operations to another location is not likely to be a viable option. During a pandemic, it will not be business as usual.
How can business prepare for pandemic influenza?A Business Continuity Plan (BCP) should be an essential element of any business’ strategy or operating procedures. In recent years, the impacts that Y2K, 9/11, SARS and the power outage in Ontario, the ice storm in central Canada and other natural disasters have had on Canadian businesses only reinforces the need for continuity plans. Current concern about the risk of an avian flu pandemic further emphasizes the point that continuity planning must take the specific case of highly infectious diseases into account.
Creating and maintaining a BCP helps ensure that an institution has the resources and information needed to deal with a pandemic. It enables critical services or products to be continually delivered to clients. Instead of focusing on resuming a business after critical op-erations have ceased, or recovering after a pandemic occurs, a Business Continuity Plan endeavors to ensure that critical operations continue to be available. A
Business Continuity Plan is a tool that al-lows institutions to not only mitigate risk, but also continuously deliver products and services despite disruption.
Why has CME prepared this guide for business? Canada’s business community is at risk. While many larger companies and essential services have developed contingency plans, most smaller and mid-sized firms have not. This lack of preparedness not only threatens the viability of a large sector of the Canadian economy, but, as in the case of manufacturing, also jeopardizes the delivery of critical goods that depends on complex supply chain systems.
As with any risk that threatens the viability of business operations, continuity planning is critical. In ad-dition to the threat to human health, the economic impacts of a pandemic, including absenteeism in the workplace or the downstream effects stemming from supply-chain and travel disruption, will be significant and widespread.
All businesses should take immediate steps to develop continuity plans that protect employees, minimize disruptions, and contain negative impacts on custom-ers, the economy, and local communities.
This guide is designed to help businesses minimize the risk that an influenza pandemic poses to the health and safety of employees, the continu-ity of business operations, and their bottom line. It is intended to provide all businesses in Canada with the basic information they require in preparing a continuity plan to mitigate the potential effects of a pandemic. 20/20
www.cme-mec.ca 19
new ideas and solutions for business and Communities canada’s colleges and institutesA Master Key to Workforce Skills Development – Nationally and Internationally
smart people make smart choices, and an increasingly large number
of individual Canadians and all types of businesses are choosing their lo-cal college or institute as their avenue to a current and competitive career or workforce. “Among the many advan-tages of customized, on-site training programs developed by community colleges in partnership with industry are the flexibility they offer employers and employees, their ability to link theory to practice, the immediate transfer to the workplace of new and upgraded skills and knowledge, and the recognition of previous work experience, as well as reductions in training time, absences from the workplace, and travel costs. These advantages are especially impor-tant for SMEs, which must carefully evaluate their expenditures on training and education on the basis of clearly defined needs and in support of targeted outcomes.” Industry and Colleges: Key Partners in Meeting Canada’s Skills Chal-lenge. Right Honourable Perrin Beatty, President and CEO of Canadian Manu-facturers & Exporters. College Canada. Volume 7, Issue 1 Workplace Learning. Association of Canadian Community Colleges (ACCC).
Commercialization of research and technology transferColleges and institutes are the primary post-secondary institutions directly advancing technology transfer and dif-fusion. Ideas need places to grow and
develop. Colleges and institutes provide the skills, the incubating environment, and the knowledge to generate and bring ideas to fruition.
Interaction between clusters and groups – business, industry, academe, researchers and students – is a hallmark of the fluidity of the college and insti-tute system. Colleges and institutes are in the business of filling gaps in knowl-edge and the application of skills and technology, and providing solutions.
Inherently applied in nature, college and institute research, development and technology diffusion focuses on market needs or market pull, technology trans-fer, new processes, and prototypes - all with sound applications to economic development. Most importantly, the results of college and institute research impact the marketplace, the workforce and the Canadian public.
widening Canada’s potentialCanada’s colleges and institutes have worked closely with the Canadian Inter-national Development Agency (CIDA) for over 25 years. These institutions are actively involved in the international
arena, ranging from the recruitment of international students to Canada to the export of over 600 technology trans-fer, skills training and human resource development projects in more than 70 countries. Known for their education and training expertise and their ability to customize and adapt curriculum and programs to meet the needs of local com-munities, Canada’s colleges and institutes are in demand to support the socio-eco-nomic growth of developing countries.
As the national and international voice of Canada’s 155 colleges, institutes of technology, university-colleges and cégeps, ACCC and its members ac-tively support CIDA priorities and are past Award of Excellence winners and contributors to CIDA’s International Development Days. With the trust and support of the Agency, international financial institutions, and overseas governments, Canada’s colleges and institutes have built a solid reputation internationally in the areas of skills development, human resource devel-opment, technology transfer, capacity building and sustainable development in many sectors. These institutions are closely linked to Canada’s local business and industry communities. Visit or con-tact your local college or institute to see how partnering nationally can translate to international success.
New Ideas and Solutions
A Master Key to Workforce Skills DevelopmentNationally and Internationally
Canada’s Colleges and Institutes
Smart people make smart choices, and an increasingly large number of individual Canadians and alltypes of businesses are choosing their local college or institute as their avenue to a current andcompetitive career or workforce. “Among the many advantages of customized, on-site training programsdeveloped by community colleges in partnership with industry are the flexibility they offer employersand employees, their ability to link theory to practice, the immediate transfer to the workplace of newand upgraded skills and knowledge, and the recognition of previous work experience, as well asreductions in training time, absences from the workplace, and travel costs. These advantages areespecially important for SMEs, which must carefully evaluate their expenditures on training andeducation on the basis of clearly defined needs and in support of targeted outcomes.” Industry andColleges: Key Partners in Meeting Canada’s Skills Challenge. Right Honourable Perrin Beatty, President and CEOof Canadian Manufacturers and Exporters. College Canada. Volume 7, Issue 1 Workplace Learning. Association ofCanadian Community Colleges (ACCC).
Commercialization of Research and Technology Transfer
Colleges and institutes are the primary post-secondary institutions directly advancing technologytransfer and diffusion. Ideas need places to grow and develop. Colleges and institutes provide theskills, the incubating environment, and the knowledge to generate and bring ideas to fruition.
Interaction between clusters and groups – business, industry, academe, researchers and students – isa hallmark of the fluidity of the college and institute system. Colleges and institutes are in thebusiness of filling gaps in knowledge and the application of skills and technology, and providingsolutions. Inherently applied in nature, college and institute research, development and technologydiffusion focuses on market needs or market pull, technology transfer, new processes, and prototypes,all with sound applications to economic development. Most importantly, the results of college andinstitute research impact the marketplace, the workforce and the Canadian public.
Widening Canada’s Potential
Canada’s colleges and institutes have worked closely with the Canadian International DevelopmentAgency (CIDA) for over 25 years. These institutions are actively involved in the international arena,ranging from the recruitment of international students to Canada to the export of over 600 technologytransfer, skills training and human resource development projects in more than 70 countries.. Knownfor their education and training expertise and their ability to customize and adapt curriculum andprograms to meet the needs of local communities, Canada’s colleges and institutes are in demand tosupport the socio-economic growth of developing countries.
As the national and international voice of Canada’s 150 colleges, institutes of technology, university-colleges and cégeps, ACCC and its members actively support CIDA priorities and are past Award ofExcellence winners and contributors to CIDA’s International Development Days. With the trustand support of the Agency, international financial institutions, and overseas governments, Canada’scolleges and institutes have built a solid reputation internationally in the areas of skills development,human resource development, technology transfer, capacity building and sustainable developmentin many sectors. These institutions are closely linked to Canada’s local business and industrycommunities. Visit or contact your local college or institute to see how partnering nationally cantranslate to international success.
for Business and Communities
Association ofCanadianCommunityColleges
200-1223 Michael St.N.Ottawa, OntarioK1J 7T2613-746-2222
www.accc.ca
Canada’s Industry Association Magazine20
iNTeRNATiONAl develOPMeNT dAYs InternAtIOnAl BusIness PrOFIle
As outlined in CME’s 20/20 A CALL TO ACTIOn, one of the critical success
factors for the future of manufacturing and exporting in Canada is our ability to exercise leadership to ensure business is equipped with the proper tools to succeed in new global markets.
Canadian Manufacturers & Exporters works in partnership with CIDA to
ensure that Canadian companies have every possible opportunity to foster new business relationships around the globe.
At the United Nations Millennium Summit in September 2000, world lead-ers agreed to refocus international efforts as “Millennium Development Goals.” By 2015, the UN wants to halve the number of people living on less than $1 a day, re-duce the mortality rate of children under five by two-thirds and halve the propor-tion of people who don’t have access to safe drinking water.
The Canadian International Develop-ment Agency (CIDA) plays a major role in Canada’s commitment to international well-being. The agency’s support role in-cludes: • programs and projects where Ca-
nadian organizations bid to become lead agency • finding funding for unsolicited relief projects • funding for multilateral organizations and support to developing country government programs and non-governmental organizations (NGOs).
In recent years, more of CIDA’s funds have been directly transferred to multi-lateral and developing country agencies as world leaders resolve to make aid more effective. As a result, recipients now have a more active role in how relief money is spent. Transactions have become more transparent and the initiative has steered funding toward the desired results. Lead-ers made their commitment to the new way of doing things with the 2005 Paris Declaration on Aid Effectiveness. This is also the current environment in which Canadian companies involved in inter-national co-operation currently manage their businesses. Canadians have been very successful when the bidding process has been open and transparent.
Since the establishment of CIDA in 1968 by an Order-in-Council, Canadian
Manufacturers & Exporters (CME) has had a national Development Aid Com-mittee (DAC). The group has a current membership of more than 140 members involved in developing countries, regard-less of CIDA involvement.
CME members active in international development have expertise and experience in all of the CIDA and multilateral devel-opment banks’ priority areas, including: • basic human needs (health care, basic education, family planning, nutrition, water and sanitation, shelter, HIV/AIDS and child protection) • gender equality • infrastructure services • human rights • democratic development • good gover-nance • private sector development • protection of the environment
The DAC is a permanent committee of CME, managed by a secretariat with the mandate to inform CME members of new developments in Canadian aid pro-grams. The committee’s reach also extends to multilateral development banks and the UN when Canadian aid money is involved.
Committee members help shape federal and provincial development policy and programming and give the Canadian private sector viewpoint to other develop-ment partners and the Canadian public. The committee also tries to maximize international development opportunities for Canada’s private sector.
The committee also organizes two major events on the social calendar: the annual International Development Days (IDD) and the Canadian Awards for International Cooperation. The DAC has worked with CIDA to organize IDD events
A vIsIOn FOr CAnADA’s GlOBAl enGAGeMent
by Deborah Turnbull
Cme and Cida: a partnership extending beyond borders
www.cme-mec.ca 21
iNTeRNATiONAl develOPMeNT dAYs
and their predecessors for more than 25 years. Before 1997, these events were an annual Ottawa event. In 1997, a move was made to only hold the events outside of Ontario and Quebec. Instead, CIDA takes the lead every 18 – 24 months and organizes ‘International Cooperation Days’ in Ottawa.
In 1997, the first IDD was held in Vancouver. Other International Develop-ment Days have included: Halifax (1998 and 2005), Banff (1999), St. John’s and Saskatoon (2000), Winnipeg (2001), Vancouver and Fredericton (2002) and Calgary (2004). The event returns to Winnipeg this year from May 3-5 at the Fairmont Winnipeg Hotel.
The focus of these events has changed with international cooperation policies and programs. Now, with the lines among aid, trade, investment and global supply chains becoming blurred, the theme for
this year’s IDD is “Investment in Devel-oping Countries – the Opportunities for Your Company or Organization are Now!” Participation has always been open to any-one who wishes to attend and participants include representatives from: Canadian and international companies, Canadian and international NGOs, youth interested in in-ternational development and international business careers, the academic community, indigenous peoples’ organizations and foreign delegations.
This year’s conference will include repre-sentatives from Indonesia, Zambia, Rwanda, Ghana and Nigeria. CIDA and other federal and provincial departments plan to attend as do non-CIDA bilateral donor agencies (e.g. U.K. Department for International Devel-opment (DFID) and Japan International Cooperation Agency (JBIC).
Rounding out the list are U.N. and
multilateral development banks (e.g. World Bank, Asian Development Bank and the African Development Bank).
CME, in partnership with CIDA, man-ages the Canadian Awards for International Cooperation. These awards are now in their 14th year and the application process has just begun for this year’s competition. The awards will be presented at the Interna-tional Cooperation Days event planned this year for late October or early November.
CME encourages every Canadian company and organization to submit an ap-plication in one or more of the eight award categories. More details on the application process can be found on CME’s web site at www.cme-mec.ca. Watch for news of IDD 2007, most likely in New Brunswick. 20/20
Deborah Turnbull is Vice President, International Trade and Development, Canadian Manufacturers & Exporters.
iNTeRNATiONAl develOPMeNT dAYs
Canada’s Industry Association Magazine22
the importance of the manufacturing sector to the well-being of Canada’s
economy has been well documented by Canadian Manufacturers & Exporters. Manufacturing:• Is the single largest business sector
in the country,• Directly accounts for 18 per cent of
our gross domestic product, and • Is the largest economic multiplier
with every dollar of output generating three in total economic activity.
Manufacturers employ 2.2 million Canadians with wage levels of 22 per cent above the national average. Therefore, more than any other sector, manufactur-ing is the foundation of what many aver-age, hard working Canadians have come to rely on as a decent standard of living.
Yet manufacturing is threatened. Foreign competition from (low-cost) countries that are aggressively building or protecting their manufacturing base, exploding costs for raw materials and energy prices, and a soaring Canadian petro-currency have created compound-ing effects that cannot be stemmed by bold gains in efficiency and quality alone. As a result, manufacturers are either mov-
ing their operations overseas, outsourcing to (foreign) contract manufacturers, or, in the worst case, folding altogether. The net impact is the same in all three scenarios: the manufacturing base and the associat-ed high-quality employment, knowledge and spin-offs are disappearing and will be hard, if not impossible, to bring back.
For an equipment manufacturer like Husky, the situation is clear. We have no choice but to adapt to the “brutal facts” of intense competition, globalization, and breakneck speed. We will do so by focusing on technology, innovation, automation, and close cus-tomer relationships. The only question is: Where will we do it?
For over 50 years, Canada has pro-vided a good base to lead and grow. We have access to highly committed people, a universal health care system, and a stable government with strong institu-tions. As a result, almost half of our 3,000 employees (earning an average of $52,000/year) have remained in Canada while many of our North American and European competitors have moved, out-sourced their production, or disappeared.
However, with over 95 per cent of
our Canadian production being exported we are now at a point where the Canadian base is starting to show cracks despite best intentions. Therefore, government must urgently address at least some of the im-balances of the global playing field before the cracks are beyond repair. At the same time we remain committed to doing our share by developing bright young people, providing them with a challenging career, and continuing to modernize our plants and equipment. Specifically, government should focus its support on the following: • Innovation – Research and
development • Productivity – Investment in
machinery and equipment• Training – Initiatives to upgrade the
skills of Canadian manufacturing employees and keep them competitive
• Export financing – Support that is comparable to European jurisdictions
These are not handouts but invest-ments: Any member country of OPEC would love a chance to secure its future by making that investment to diversify its base – they just don’t have it. Canada does and owes it to future generations to invest at least some of our petro-wealth into retaining our base and start building a sustainable future.
All of this has to be done in a way that is straightforward, fast and efficient. As a midsized company with just over $1 billion in sales we cannot afford an army of consultants and lobbyists for the sole purpose of navigating a bureaucracy. I am sure the same applies to many other small and mid-sized manufacturers. The world is moving at a faster pace. It will not wait.
John Galt is President and CEO of Husky Injection Molding Systems, a leading sup-plier of injection molding equipment to the global plastics industry. The company has operations around the world, with manufacturing facilities in Canada, the United States, Luxembourg and China.
the world will not wait By John Galt
www.cme-mec.ca 2�
InternAtIOnAl BusIness PrOFIle iNTeRNATiONAl develOPMeNT dAYs
This is the second part of Sol Kimsa’s look at Banda Aceh, its economic redevelopment and the people Canadian investment is helping.
Siron, a sheltered village hidden behind a busy highway, is one of many boroughs throughout Aceh. As you enter, a courtyard
filled with lines of colorful fabrics drying amongst the jasmine trees is revealed.
Ibu Asni opens her doors and, upon entering, the entrance-way quickly fills with beaming children and curious village elders from the 100 families who live in close proximity.
Asni, owner of Cempala Bordir, makes Mukenas, women’s prayer cloth-ing with embroidered artistry passed down through the generations. Asni is a repository of traditional patterns for all regions of Muslim Indonesia.
On Boxing Day, 2004, she had her store stocked in Banda for Malaysian
buyers. Fate swept her assets away and carried her back to the village where she began to produce and sell her products. The artisans, their knowledge, and the skilled embroidery network are gone, too. Now, she trains and employs villag-ers from neighbouring Bakoi, Lambaro and Lamdaya.
Inflation has risen dramatically in Banda Aceh. Year-on-year inflation doubled from seven-14 per cent between 2004 and 2005. Rent has increased 300 per cent and transporta-tion by 30 per cent. The closer to the tsunami-devastated epicenter, the higher the inflation. Sheltered boroughs are now more commonly becoming home base for businesses washed out of their coastline marketplaces.
Unfortunately, selling to store out-lets for a small mark-up, a 60-plus day receivable and no buffer in terms with the distributor leave Cempala Bordir
Part 2 of 2 By Sol Kimsa
A continuing glimpse into the tsunami torn community of Aceh, Indonesia where Canadian nGO’s and Canadian International Development Agency (CIDA) programs are enabling the rebuilding of devastated lives. Private Enterprise Participation project (funded by CIDA) is a partnership of Canadian Manufacturers & Exporters (CME) and Indonesia Business Womens’ Association (IWAPI). Microloans were made possible through a contribution from Manulife.
Peace dividends
Canada’s Industry Association Magazine2�
over-extended. The women’s business culture in Aceh has shied away from seeking terms with distributors. These changing conditions are paralyzing to traditional businesses.
Just ask Stan Jung, Private Enter-prise Participation project (PEP) technical consultant.
“Unfortunately in Aceh, it’s not the artisan (who) makes the money,” Jung says. “It’s the vendor.”
Today, through a sigh of despera-tion, she tells of her trusted agent of 12 years who, herself, fell on hard times and disappeared with Cut Asni’s Lebaran (gifting holiday after Ramadan fasting month) stock valued at– Rp. 7.6 million. She continues, ‘I may have to miss this month’s payment’.
Mariana Soenkono, Manager PEP, Jakarta, asks if there is something that she could sell us. Ibu shakes her head no. We discover she does not even have ‘pulsa’ phone credit. The Cempala Bordir has become priority number one. She can’t let her credit circle down.
After more work on her situation, Mariana says ‘Stan contacted the ICMC (International Catholic Migration Com-mission) and they have agreed to replace Ibu Asni’s inventory … (Rp. 4,400,000 worth of fabrics)…‘next week they’re going to shop for that fabric.’
The tools necessary for reaching a changing market, retaining profitability and negotiating terms with distribu-tors are some of the business skills that Canada, through the PEP project funded by CIDA, is bringing to Aceh. Sometimes the most important first step is of contact – whether on the phone or
within the donor community.In the tsunami devastated areas, the
norm has changed due to losses.In Aceh province, male survivors
outnumbered women by a ratio of almost 3:1. (Source: Oxfam, “Tsunami’s Impact on Women,” March 26, 2005.) This has left many widowers. There have been 40-50 per cent more weddings (every month) after the tsunami for Ibu Nuraini, Nyak Ni Salon, wedding co-ordinator.
Mother and daughter businesses are across the street from one-another. The mother, Ibu Halimaton is a 65-year-old grandmother of seven who owns Nyak’ni Souvenir Aceh, producing wedding costumes and decorations.
They were inaugurated into their credit circle on the same day.
Says Tim Reynolds, PEP Jakarta director: “that day the meeting was held on the main floor of the Business Development Centre so that the matri-arch, stroke victim, could fulfill her legal obligations from her blue truck parked at the front of the building.”
During the flood that same truck, filled with 25 family and staff, sped away from the oncoming water. Nuraini’s emotions surface as she remembers, “we couldn’t save them all …so they tried to escape the wave by climbing to the second floor…I am haunted by their memory on the stairs.” In Aceh, 600 artisans were lost that day.
Although business is brisk - the chal-lenge is payment… the bride and groom wait until they receive the wedding gifts (traditionally money) in order to pay the coordinator. Yet Ibu Nuraini finds a way
to shelter a small family and an orphaned girl in her home, ‘they came and asked I couldn’t bare them going to barracks….we share what we have’.
This story was produced with the support of the Government of Canada through the Canadian International Development Agency (CIDA). 20/20
“ these changing conditions are paralyzing to traditional businesses.”
www.cme-mec.ca 25
GeNeRATiON Y
HelP WANTed:
GeNeRATiON YtAlKInG ABOut
MAnuFACturInG’s BOOMers retIrInG, YOuth nOt FIllInG the vOID
by Jeff brownlee
A sparkling-silver Audi TT Coupe, shadowed in the background by big, white bold lettering MANUFACTURE YOUR CAREER, drives home the simple yet powerful message of the glossy brochure – rev up your future and prepare yourself for an exciting, fast-paced
career in the manufacturing industry. Not exactly the general perception of a profession in the manufacturing
sector held by today’s GENERATION Y – a force of as many as 70 million in North America – but that’s why Mohawk College’s crafty promotional bro-chure is turning heads with high school students and parents alike.
As Cheryl Jensen, Vice-President Technology, Apprenticeship and Cor-porate Training at Mohawk explains, in this technology-dominated era, you must reach out to students in a way they understand, be a little creative as well as different.
“Honestly, it’s not easy attracting students into these programs,” she says. “High school kids are hit with so many forms of media (today) and like short, spiffy pieces of information. (In the brochure) We tell them what the program is; give them a few bullets on the possible careers and a salary.”
It’s that simple, just connect the dots. Fore example, a degree in the me-chanical engineering field could lead to a career in the manufacturing sector that pays, on average, $19 to $32 per hour.
Lauding a brochure that extols high-tech careers in manufacturing may seem simplistic, but it is actually charting new territory in the Canadian manufacturing industry – communicating effectively with youth.
Today’s GENERATION Y’ers understand little about Canada’s largest business sector and more importantly, don’t consider manufacturing as a possible career path.
“What did you know about manufacturing when you were 14?” asks
www.cme-mec.ca 2�
CME Senior Vice President and Chief Economist, Jayson My-ers. “The answer is likely the same among 14-year-olds today as it was 30 years ago – not much.”
Tina Pomroy, CME Newfoundland and Labrador’s HR Program Manager wanted to test Myers’ theory. In conjunction with John Hennebury, Partnership Facilitator at the Com-munity Career Centre in St. John’s, Pomroy polled a group of Level 1 secondary students about their perceptions of the industry and a possible career in manufacturing.
The results reinforce conventional thinking. Only two re-spondents said they had considered a career in manufacturing while others revealed they “had never thought about working in the manufacturing industry before” or “are not interested in the field.”
What was telling however, were the overwhelming reasons why they would consider a job in the industry:
1) IF manufacturing had good pay2) IF manufacturing had good hours3) IF manufacturing was challenging and had
a variety of work – not boring; not repetitiveIronically, a 21st century career in manufacturing pays
approximately 25 per cent above the national average and is labeled high tech and highly skilled.
“There’s an obvious disconnect. I don’t think secondary students are being steered away from a career in manufactur-ing, it’s more likely that they are not being exposed to the op-portunities,” Myers adds. “Whatever the reason, this is a critical issue for both the industry and for Canada.”
Myers isn’t kidding. Consider the following statistics, pub-lished by the Canada Labour Business Centre in a 2004 report on the manufacturing sector:• Over the past five years, the number of workers under
45 years increased by seven per cent, while the number of workers 45 and over increased by 35 per cent. Approximately 36 per cent of the workforce is currently 45 years or older, rep-resenting 823,000 workers. Within this group, 255,000 workers – 11 per cent of the sector’s workforce – are 55 or older. Given a median retirement age for the sector of 61, the age distribu-tion implies that a large contingent of these 255,000 workers will leave the labour force over the next five years.
Putting this in perspective, today’s average worker in the manufacturing industry was likely listening to the Bay City Rollers and watching Happy Days during his/her graduating year of high school. It was the Pontiac Firebird – complete with a huge Phoenix insignia of some type on the hood – not the German-engineered Audi TT of today that made those high school graduates swoon.
So, why aren’t youth looking to the trades and manufac-turing for a career today?
“A lot of this goes back to an education system that is populated almost exclusively by people that went to university and so we don’t find many counsellors or advisers that tell kids to go into manufacturing,” says John Engler, President of the US-based National Association of Manufacturers (NAM). “That’s an alien thing to them – they didn’t go into manufac-turing themselves.”
Engler’s view is consistent with what CME heard during its Manufacturing 20/20 consultations, says CME President and CEO Perrin Beatty.
“At numerous meetings across Canada, people told us that when they were in high school, focus was on university, never on the trades or manufacturing,” says Beatty. “In fact, some told us that there was a stigma attached to trades-based careers. You were only to pursue those if you couldn’t get into university.”
Just ask Shane Chafe – he knows all about it. “In high school, you had to go to university, you had to
be something like a teacher, a lawyer or an accountant,” he says. “It wasn‘t until I started working in manufacturing that I realized how wrong I was and how the perception of doing a trade or a non-university degree program is throughout high
COntInueD On PAGe �0
Canada’s Industry Association Magazine2�
schools – it’s almost like its looked down upon in society to do a trade program.
After studying business for two years at Newfoundland’s Memorial University, he opted to pursue a career in the manu-facturing sector.
“I didn’t always want a career in this field (manufactur-ing),” he explains. “I first explored business/commerce field, but found it boring after I got involved in it. The more I get involved in manufacturing/industrial sector the more I like it. The idea of trying to make the perfect process to make a prod-uct and the continuous improvement of that process is what I like most about the field.
“Well, here I am working in the manufacturing sector, mak-ing great money and I had the job before I graduated. Many uni-versity graduates with a degree in folklore or political science are serving food at Tim Horton’s and can’t find work in their field,” he says. “I do everything I can to try to change that perception. University is great, don’t get me wrong, but it isn’t for everybody. There are a lot of great skilled trade careers out there.
There is a new trend emerging. As many as 20 per cent of students enrolled in community colleges in the US hold four-year university degrees.
“They (students) were advised by their parents to go to university and get an education and some of them took that advice and they are now earning half of what their parents earn,” adds Engler, referencing that graduates are enrolling in community college diploma programs to learn a viable skill. “If you want to be a poet that’s fine, but it might be good to take your apprenticeship in plumbing and learn to how to be a plumber first so that you can support yourself.”
There are a few success stories found in the industry already thanks to innovation, creativity, vision and most im-portantly, sweat equity.
CME’s Quebec wing (QME) has had great success with its Portes Ouvertes (Open Door) program, started in 2003, that takes students on tours to manufacturing facilities.
In the words of QME President Daniel Charron: “We can talk about research and development, innovation and exports, but these are all concepts. If we can get them into the plant, then they will understand.”
In Manitoba, manufacturing is now part of the cur-riculum for a select number of students in the Garden Valley School Division. The school board purchased a factory to equip its students with ABC’s of manufacturing by the time they graduate, including LEAN 101 certification.
Fostering linkages between industry and the education sector will be vital in the future. While Mohawk College has had to be innovative on its marketing pitch to increase recruit-
ment, the Hamilton-based college is also a model for appren-ticeship training, with over 2,465 apprentices making their way through the ranks each year.
Another innovator in the education sector is Humber College Institute of Technology and Advanced Learning. Over nine years ago, post-secondary institution created a liaison-marketing person specifically for skills with a mandate to make connections with industry, but high schools and public schools as well.
“They key is to get them (educators) into Humber to see what is going on and to see what we are about,” says Bob Moulton, Dean, School of Applied Technology.
Humber also employs an integrated manufacturing centre that enables the students to collaborate on manufacturing a product from design to production. The institute also employs continuous improvement and “lean” principles both in the curriculum and in the classroom.
In today’s new global reality, a skilled workforce capable with adapting to the needs of the manufacturing industry is increasingly gaining importance and is becoming a key factor of a country’s competitiveness.
“Canada’s workforce must be prepared to meet the future requirements of manufacturing, “says Beatty. “ And that means careers in the industry must be viewed as attractive opportuni-ties for young people, bottom line. This will undoubtedly take a concerted effort by industry, education and government.”
“We must educate the kids on the opportunities; expose them to the people and the processes and give them the hands-on training,” Beatty adds. “The only real test to figure out if you like something is to try it.” 20/20
Jeff Brownlee is CME’s VP of communications.
helP wAnteD… COntInueD FrOM PAGe 2�
Canada’s Industry Association Magazine�0
how do we improve the Canadian economy? Is it with corporate tax breaks and deregulation? Or is it with greater investments in workers and social services?
These are some of the questions that usually fuel a de-bate between Canadian business and labour leaders. But when reviewing their options, both sides are now realizing that a new approach is needed. With the advent of technological innova-tion, demographic shifts and globalization, business and labour have agreed that they must find common purpose in addressing labour market challenges. Getting beyond the rhetoric to a more constructive dialogue is one of the key challenges for the new initiative called the Workplace Partners Panel (WPP).
About a year ago, the Canadian Labour & Business Centre (CLBC) approached the federal government to consider a new initiative. It was the view of the CLBC’s Board of Directors that today’s labour market challenges call for a more collaborative approach. Whether the issue is the shortage of skilled workers in Alberta, the workforce integration of immigrants or the out-migration of talented young workers from Atlantic Canada, our Board believes that business, labour, educators and all levels of government need to do a better job of co-coordinat-ing their response.
The CLBC has provided a forum for business and labour to discuss labour market issues for more than 20 years. The co-chairs are Ken Georgetti, President of the Canadian Labour Congress and Perrin Beatty – more familiar to readers as the Chief Executive Officer of Canadian Manufacturers & Export-ers. Our Board of Directors includes other senior business and labour leaders. It also involves the non-voting participation of provincial governments, university and community college along with representatives from the federal government.
In response to our suggestion to the federal government, an agreement was reached to create a new initiative under the leadership of the CLBC. The Workplace Partners Panel was formally launched in October 2005.
The first topic we are tackling is the impact of Canada’s aging workforce on the labour market, skill shortages and skill needs. Through a series of regional task forces comprised of business and labour leaders, we are hosting stakeholder consul-
tations. We know that the impact of the demographic changes on our economy differs from province to province and this regional focus allows us to consider the challenges and responses that reflect on-the-ground economic realities.
The first task force was launched this spring in Atlantic Canada. Over the past few years, Atlantic Canada has seen its workforce numbers stagnate and in some cases actually decline. For example, during the past ten years, Newfoundland and Lab-rador has lost the equivalent of three-and-a-half to five per cent of its 20 – 24 year olds to migration each year. Demographers believe that in 2006, the number of deaths in Newfoundland and Labrador will exceed the number of births. The combination of demographic pressures and migration presents a daunting challenge.
The WPP presents business and labour with a great opportunity to play a new role in formulating labour market strategies. Rather than sitting in the back row, hoping for a chance to ask a question or offer an opinion, business and labour are taking the stage.
In support of this ambitious agenda we will be pulling together research from all sources – governments, think tanks, business and labour organizations. We have canvassed business and labour leaders with our own national leadership survey – with results available on line at www.wpp-clbc.ca . We are also doing a modest amount of public opinion research that will allow us to contrast the opinions of all Canadians with those inside the business and labour leadership.
The centrepiece of our efforts, however, is the work of the regional task forces. Each task force will engage the broader community- improving the dialogue among the stakeholders and pushing everyone to consider the real options and the best course of action. In addition to the in-person dialogues, we will be hosting a similar on-line dialogue inviting all Canadi-ans to contribute their experiences and ideas.
Our first two task forces in Saskatchewan and Atlantic Can-ada will be reporting their findings to the national Workplace Partners Panel in Winnipeg this June. Our goal is not to insist on a business/labour unanimity or short-term policy fixes. Instead, we hope to capture the ‘best thinking’ of all those who partici-pate in the exercise. Surely this is the kind of co-operative and
tOGether FOr A COMMOn CAuse
by Shirley SewardlAbOuRWPP: BrInGInG
AnDbusiNess
www.cme-mec.ca �1
innovative federalism that can find support from all Canadians.Federal and provincial governments have very important
roles in the education and training of Canada’s workforce. Our colleges and universities understand the need to match their programs with workplace realities. Nevertheless, given the un-charted labour market territory we are entering – the Workplace
Partners Panel affords business and labour an important opportunity to take on a much needed leadership role. I invite you to join the dialogue – visit us at www.wppdialogue.ca. 20/20
Shirley Seward is the CEO of the Canadian Labour and Business Centre
APPReNTiCes“CeNTs”ON-THe-jOb TRAiNiNG:
Only 1� per cent of Canadian manufacturers hire apprentices
by beverlie cook
Canadian businesses from coast to coast are feeling the crunch from the shortage of skilled workers.
The bad news is that the situation may soon get worse given Canada’s aging workforce and
declining birthrates. Factor in the negative image of skilled trades – one held particularly by Canada’s youth who view apprenticeships as second-best to university or college educa-tion – and it is evident our lack of a skilled workforce may become a competitive disadvantage in the future.
the situation requires urgent action.We need to do more to educate the next generation of Canadi-ans that university is not the only viable post-secondary option available. With more than 200 trades to choose from, there are plenty of challenging and rewarding opportunities that fit every interest and aptitude.
This strategy, however, will only take us so far. Employ-ers are also a big part of the solution, given the key role they play by providing apprenticeship training to young Canadians looking to develop their skills and obtain meaningful and productive jobs.
But, according to a pan-Canadian study of 1,038 employ-ers conducted by the Canadian Apprenticeship Forum – Forum canadien sur l’apprentissage (CAF-FCA) and Skills/Compétences Canada® (S/CC), less than two in 10 employers (18 per cent) currently employ apprentices in the manufactur-ing, transportation, service, and construction and maintenance sectors – all areas intimately linked to trades work.
This low number speaks directly to Canada’s skills shortage. Apprenticeships equip young people with the skills and knowledge they need to be successful in today’s knowl-
edge economy. They also help employers protect themselves against future shortages of skilled workers.
But, according to our research, some employers treat ap-prenticeships as a stop-gap measure to fill short-term labour needs, or as a luxury to be afforded when profits permit. Employers told us, for example, that they stopped hiring ap-prentices when they no longer needed extra staff, or when they weren’t sure of their future workload needs.
Admittedly, apprenticeship training can be a major invest-ment in time and resources for employers, particularly for those running smaller businesses. But the fact remains that the system is not producing enough apprentices to meet the country’s skill needs.
so, what are we going to do about it? To address the challenge posed by the skilled worker short-age, we must look to constructive and collaborative solutions. By working together, we can expand training opportunities for youth and ensure that there are enough apprentices in the system to replace current workers who will be retiring over the next 10 to 15 years.
To that end, CAF-FCA and S/CC launched two years ago a joint campaign called, “Skilled Trades: A Career You Can Build On.” It includes a number of strategic partnerships with national corporations, unions, sector councils, trade associa-tions and business groups that promote apprenticeships as an attractive and cost-effective way for employers to develop highly skilled and productive employees.
Governments at all levels are also working closely with industry representatives to help meet the demand for skilled workers. For example, the tax credit proposed by the new federal
MAKe GOOD BusIness
Canada’s Industry Association Magazine�2
Conservative government will make it easier for employers to take on apprentices. So will the $90 million the B.C. Govern-ment recently set aside for a new credit program to be designed in consultation with business groups over the next three years. These efforts build on existing programs in other jurisdictions, such as Ontario’s Apprenticeship Training Tax Credit.
Meanwhile, a number of employers are taking a lead role. While some have made important investments to the expan-sion of technical colleges that provide trades education, others are playing an advocacy role in their communities. Many are doing both.
These are just some examples of the many positive part-nerships underway. Momentum is building, but there is still a long way to go.
Increasing the number of registered apprentices has be-come all the more important given the way technological inno-vations are changing the face of trades. Today, crane operators work with sophisticated onboard computers. For carpenters, understanding the latest technology in hand and power tools, including computerized machinery, is now a must. Few trades are performed today the same way they were performed even a decade ago.
The good news is that there are no apparent barriers
related to the image or reputation of apprenticeship training among employers. Our research shows that 90 per cent of the companies surveyed have a favourable opinion of apprentice-ship training in Canada
There is an important opportunity to increase the number of registered apprentices in Canada. There is no time to waste. By working together we can meet this challenge head-on and secure the skills and workforce of the future. 20/20
Beverlie Cook is the project manager Skilled Trades Promotion Project. Visit www.careersintrades.ca for more information on skilled trades careers.
APPReNTiCes
MAnItOBA sChOOl BrInGs FACtOrY tO the stuDents
APPrOACh tO trAInInG theWORkfORCe OF the
fuTuRe
the HANds-ON by Steve coleman
the Garden Valley School Division takes its manufactur-ing seriously. Six Grade 10 students in Winkler, Manito-ba are living proof of how serious trustees have become about technical education.
While most Grade 10 kids with shop in their timetables stroll to the school tech wing between bells, a half dozen in the first year of a new program at the southern Manitoba school cross town in the city of 10,000 to a city industrial park and the Garden Valley Collegiate Technical Education Campus.
The school board spent $1.5 million in July, 2004 buying the former “Trainex Centre” from Eden Health Care Services, a church-based organization running an acute treatment mental health facility, residential care, counselling services as well as vocational assessment and training for the unem-ployed. When the assessment and training part got too big, the church group sold it.
“The manufacturing piece was becoming a business on its own,” said Garden Valley Tech Vocational Program Developer
www.cme-mec.ca ��
Dave Hildebrand. “They (Eden) decided it was beyond their man-date and they made the factory available to the school division.”
What trustees got for the $1.5 million was a turn-key fac-
tory that made wooden components for Palliser Furniture. The school board also set aside the money to bring the building up to tougher institutional building codes.
It was also cheaper than putting up a new addition at the high school to accommodate a small population boom that gave Winkler city status when the number hit the 10,000 mark last year.
The building will be finished by the time the first class graduates. The curriculum for Manufacturing Engineering Technology is a work in progress, too.
“It’s a bit of a gamble on the part of the students,” said Hildebrand. “We asked them to sign up for this with all of the equipment in place, but no curriculum.”
School officials hope that once students have completed all three years, they’ll have gone from the course curriculum’s ba-sic assumption that they know nothing about manufacturing to possessing a solid understanding of lean manufacturing and how they can take a product from a vague idea to something they can hold in their hand.
By the end of the third year, students will leave with an understanding of computer design software, production pro-cesses and Lean 101 certification.
The program is a good indication that Manitoba schools are starting to look beyond the traditional ways of doing things, said Ron Koslowsky, CME’s human resources person for the province. With some prodding, they’ve started looking at more ways of teaching than having a teacher stand at the front of the classroom.
“It’s of real value to the kids,” said Koslowsky, “They get to know what happens in the real world of work. Most of them get an education and wonder what it’s good for. There’s this void.”
Tech teachers are better at it than academic types. Teachers who’ve been to university tend to steer students in the same di-rection because it’s what they know. It’s also one of the reasons Canada has a skilled labour shortage.
“For every Einstein you need an Edison,” said Harv Gies-brecht, Coordinator, Red River Technical Vocational Area. “You need someone to put the idea down on paper. Then you need a Henry Ford to put wheels under the thing and make it acces-sible to the masses.”
Because provincial governments were given the final say on education, schools haven’t been able to co-ordinate their efforts or share ideas country-wide. Instructors have a bet-ter connection with U.S. schools than they do their Canadian counterparts.
“There is not national network of technical schools at the secondary level,” Giesbrecht said. “Every province looks after their own K-12 education system themselves. There’s very little dialogue going across this country. If you want to know what’s going on in a larger group, you have to go to the States...We have to go to the States to talk to the Canadians.” 20/20
Canada’s Industry Association Magazine��
Opening the dOOr tO the future:
the Quebec government employ-ment ministry has predicted that 640,000 positions will need to be filled between now and 2008
and it estimates that at least 28,000 new positions are expected in the manufac-turing sector.
According to Quebec Manufactur-ers and Exporters (QME), the manu-facturing sector accounts for more than 600,000 jobs in Quebec and is respon-sible for 85 per cent of the province’s exports. But with an aging workforce, a declining birthrate and a lack of inter-est among the youth in the manufac-turing industry, there is a real risk of a worker shortage in this sector which has been called the economic engine of the province.
A 2003 Statistics Canada labour force survey says there are 280,000 workers in the Quebec manufactur-ing sector who are over 45 years of age. QME president and director general Daniel Charron predicts that by 2013 there will be more workers leaving the labour market than coming in – espe-cially with skilled and trained employees
needed in the manufacturing sector.“This will be a huge challenge to
the economy and the manufacturing sector said Mr. Charron. “To avoid a potential crisis, it is important to do something today.”
What manufacturing firms across the province have been doing is wel-coming students and youths for tours of their offices and shop floors in hopes that these workers of tomorrow will get a first-hand look at the opportunities offered by the sector.
Manufacturers hope these tours, which run from January to July, will help dispel some of the negative percep-tions that have kept young people from looking to them for a career.
Mr. Charron says that young people’s vision of manufacturing can be summed up as the 4-D’s: dirty, depress-ing, declining and dangerous.
Over the past 20 years, young work-ers have been staying away. In 1980, there were 112,000 graduates from voca-tional training but by 2000, the number had dropped to 32,000.
In 2003, the QME responded to
Opening the dOOr tO the future:
ouvertesportes A Quebec success story
Quebec manufacturers are looking for a few good men
and women. Actually, they could be looking for as many
as several thousand.
by mike Scandiffio
www.cme-mec.ca ��
these industry concerns and set up the Portes Ouvertes (Open Doors) Program. Under this initiative, the QME works with the province’s French and English school board associations and hun-dreds of Quebec manufacturing firms to organize tours of their businesses by students and teachers.
In the first year, firms hosted 500 guidance counselors. But since 2004, Open Doors has shepherded almost 7400 youth through some of Quebec’s thousands of manufacturing firms. The tours have included small and medium size businesses and such large compa-nies as the pulp and paper giant Abitibi Consolidated.
Abitibi’s Belgo pulp and paper plant in Shawingan employs 560 workers but its human resources director Herve Morissette says as the workforce hits retirement age, he is expecting “massive departures over the next 10 years.”
“I think we will see 40 departures per year,” said Mr. Morissette. “We have to anticipate these departures and that is why we have to establish partnerships with the educational institutions.”
In 2005, Abitibi Consolidated brought in 400 Grade 8 and 9 students over 14 visits to the Belgo plant. As these young students are at the early stages of high school, the goal of the tours is to make them aware of the pulp and paper industry and to guide them towards training programs such as technical, electrical or water treatment that would enable them to work in the industry.
“We want to have these visits with the youth before they make their choices on what they want to take at the second-ary school level,” he said.
Despite last year’s parade of stu-dents through the plant, the Belgo plant will not be participating in Open Doors this year. Mr. Morissette would not specify why the company is bowing out for 2006. However, he said that the com-pany will look at the program next year and there is a chance it will come back.
QME organizers say this year’s goal is to have 5,000 students participate in 200 visits. So far, 105 businesses have lined up for this year to bring in Quebec youth for tours.
One of these businesses is Norclair. It’s a family-run company, located outside of Montreal, which produces high-end wood cabinets and furniture for companies including for retail outlets such as Tommy Hilfiger in Beverly Hills and Holt Renfrew and manufacturing gambling tables for the Montreal Casino.
Norclair employs about 100 car-penters, saw operators, painters and designers and like other manufacturers, is starting to think about the future of its workforce.
“We have people here who in five years will retire,” said director of operations Nathalie Lachance.” These are people with great experience in their positions. I have to start to prepare to replace them.”
Last month, Ms. Lachance gave the company’s first Open Doors tour to a group of nine young people, ranging from 17 to 22 years who have dropped out of school and are now looking to what is out there for their future.
With some of its cabinets already filling shops on Rodeo Drive in Beverly Hills, Norclair wants to target the U.S. market specifically. Facing stiff com-petition from countries such as China, Ms. Lachance tells the youth that her company will need talented people who not only have technical training but also have drive and creativity to meet the demands of clients.
“The world is knocking at our door, we have to be able to react,” she tells the students.
Ms. Lachance says the tours are a first step in developing new people to work in manufacturing by giving them a new view of things.
“I want to give them the taste that they can take life in their hands and go further, I want to show them a certain quality of life that they did not know was there,” she said.
On this tour, most of the students say that they do not intend to work in manufacturing but they say that the tour has opened their eyes to what a modern plant looks like.
“It is good to see what is out there and to see what I like and what I don’t like,” said Marc Lemay, 17, who plans on becoming a police officer. “If that
Norclair Director of Operations Nathalie Lachance (left) gives a tour to a group of youths at the plant in Boucherville, Quebec.
Canada’s Industry Association Magazine��
doesn’t work, I would think about this.” Alexandra Savard, 20, said she wants
to be a writer, but Norclair is something that would interest her boyfriend.
These comments should give some encouragement to educators as well as the businesses. French and English Quebec school board associations are working with the QME on the Open Doors project. The associations say schools have tried to get youth to con-sider professional training programs, but with little success.
“There seems to be an intrinsic reflex among parents that the future of their children must pass through university,” said David Birnbaum, executive director of the Quebec English School Board Association. ” Unfortunately that negates a whole sector of professional life and gives short shrift to some really interesting opportunities” said Mr. Birnbaum.
He said bringing in students to see businesses firsthand will help show students that to work in manufacturing is not “to mindlessly staff a conveyor belt”
“One of the best messages for any teacher is show don’t tell. You can talk about anything, be it a chemical reac-tion, about what happens in nature, or in manufacturing, or you can show them what really is happening.”
Andre Caron, the president of the Federation des commissions scolaires du Quebec, says the best way to reach stu-dents is through low-key measures such as Open Doors and other grass roots
efforts such as theatre pieces on profes-sional training which create face-to-face contact with the students.
“We absolutely have to do these things,” said Mr. Caron. “There is no magic solution. If we want to change perceptions we have to go step by step.”
Rosanna Pettinati coordinates training at Interquisa Canada – a pet-rochemical company in Montreal. She also chairs the QME’s committee which oversees the Open Doors program. Her company has given tours to Quebec students which she describes as “multi-sensory experience.”
“Many of the students don’t have family members who are in manufactur-ing,” she said. “So they come here. They put on the boots, they put on the safety equipment and they meet people who are passionate about their jobs working in good conditions for good pay. They see the products being made and (the workers) have pride in it.”
QME Open Door organizers see the program as a piece of a larger strat-egy that will have to be developed by schools and government. Some compa-nies are already working with schools on their own to develop ways to follow up on the visits.
“We (Abitibi) are developing part-nerships with schools to develop place-ment programs to bring in students to work in different aspects of the pulp and paper industry,” said Mr. Morissette.
Mr. Charron said the QME is now developing a program to get key deci-
sion makers such as politicians and bureaucrats into the manufacturing plants to see what is being done and to discuss key issues.
“We can talk about research and development, innovation and exports but these are all concepts,” he said. If we can get them into the plant, then they will understand.”
What Quebec manufacturers are facing is playing out across the country as well. Canadian Manufacturers & Ex-porters (CME) predicts that employers will be looking at replacing more than 400,000 workers who will retire over the next 15 years.
Businesses have already told the CME that the shortages of skilled workers having an effect, constraining performance improvement, innovation export development and overall growth potential.
In a recent speech on skills devel-opment CME President Perrin Beatty announced that the association will participate in a special panel on skills development headed by the Canadian Labour and Business Centre.
“The panel will sponsor task forces on skills issues at a regional or provin-cial level, with the capacity to roll these up into a national-level initiative,” said Mr. Beatty.
If the Open Doors program continues to reach more students and key decision makers, it may be a model that the task force could consider for all provinces. 20/20
www.cme-mec.ca �9
Date City Host Company Learn about
3 may Guelph, on
mcneil Consumer Healthcare
Health, Safety and Environment • Continuous Improvement/ Supply Chain Management • Innovation
10 may mississauga, on
Cts of Canada Co. CTS of Canada Co. CTS Visioning, Kanban systems, Value Stream Management, Poka-yoke • One Piece Flow Assembly, Employee Involvement, Visual Management • Rewards and Recognition programs, Excellent 5S+1 and Simulations
10 may Delta, bC
arpac storage systems Corp.
“Breaking down the silo” • A strong Continuous Improvement culture through clear goals, effective communication, cross-training • Lean tools - 5S, VSM, one-piece flow, dashboard metrics, and set-up reduction
11 may Collingwood, on
Voa Canada inc. Achieving tangible results through employee involvement • Transition to autonomous manufacturing teams
17 may Hartland, nb
Craig manufacturing Ltd.
Our 8-month rebuilding journey • Our main asset is our people. You do not recover from this kind of loss without the support and dedication of a focused, hard-working and passionate staff
18 may saskatoon, sK Canada post Corporation
Continuous Improvement • Change Management • Lean Thinking - Parcel Delivery
31 may Halifax, ns
Canada post Corporation
Using Lean and Six Sigma tools to achieve customer success and business excellence
15 June Coquitlam, bC roboweld inc. On-site building of manufacturing cells • Robotics, automation, latest in welding technology
21 Jun richmond, bC Great Little box Company
The number one asset - people. Profit sharing, idea recognition and other employee-based programs encourage employees to have ownership in successful outcomes
Access best practices in action The secret to success lies behind the closed doors of first class manufacturers. You pass them every day on your way to
work. Chances are that beyond those closed doors is a best practice in action that solves a similar challenge you are faced
with on your plant floor. “Behind-the-scenes” Innovation Insights events help stimulate team members to learn what works,
what doesn’t and how to achieve results. Innovation Insights is delivered by Canadian Manufacturers & Exporters and
the National Research Council - Industrial Research Assistance Program. For more information, visit: www.tvp-ii.org.
sp
rin
g 2
006
eve
nts
Cal
end
ar
Date Country Host Companies Visit LeaDinG eDGe manufaCturers in tHe uK
17-22 sept
united Kingdom
World Class aerospace, electronic and automotive manufacturing Companies
Get an inside look at world class, lean facilities. Explore, benchmark and share ideas on how award-winning companies in the UK apply best practices for supply chain management, continuous improvement, lean manufacturing, Six Sigma, and global marketing. Establish international contacts, build partnerships and solicit global business. space is limited. Call 1-800-999-4129 or email [email protected]
tern
atio
nal
with products and services ranging from Export financing to risk management, we help Canadian exporters
succeed around the world.
De la gestion des risques au financement à l’exportation,
notre gamme de produits et ser-vices contribuera à votre réussite.
20/20 industry leader profilessYSPRO software meets the comprehensive
information technology needs of growing companies with a totally integrated solution that encompasses: ERP, APS, CRM, Business Analytics and E-Commerce.
tSI Terminal Systems Inc. (“TSI”) is a Vancouver-based company owned by
Orient Overseas (International) Limited (“OOIL”) of Hong Kong.
It is the Port of Vancouver’s largest container terminal operator (Deltaport and Vanterm container facilities), operat-ing under long-term leases with the Van-couver Port Authority. TSI is the largest employer of longshore labour in the Port.
Handling more than 80 per cent of the Port’s containers, TSI’s ocean carrier customer base is predominantly
Pacific Rim-focused, with the vast majority of volumes originating from/destined to China.
In the course of our long history, TSI has played a principal role in the evolution of our industry on North America’s west coast. Our corporate structure is geared to address the demands of an increasingly special-ized and highly competitive worldwide
shipping industry – our leadership in the design and operation of marine terminals is unparalleled.
Looking ahead to the growing needs of our Pacific Gateway, TSI remains committed to providing the Port of Vancouver world-class marine terminal services through the strategic development and integration of leading edge, progressive management and a dedication to excellence.
OUR VISION: To be the marine terminal operator of choice in North America.
www.tsi.bc.ca
tsi terminal
through the application of its patented fast pyrolysis process, DynaMotive En-
ergy Systems unlocks the natural energy found in the world’s abundant organic residues produced by the agricultural and forest industries. The Company’s technol-ogy economically converts biomass into BioOil and char. Unlike fossil fuels, BioOil and char are renewable, clean burning, and greenhouse gas neutral.
Actively deploying the technology worldwide, BioOil successfully replaces
fossil fuels in gas turbines, stationary diesel engines, kilns and boilers. Dyna-Motive is further enhancing the value and applications of its commercial technology, including the development of transport fuels and derivative products.
BioOil and char dramatically reshape the world’s energy map. Cre-ated from local, above ground biomass resources, BioOil and char are secure sources of energy unaffected by fluctuat-ing world markets. www.dynamotive.com
dynaMotive energy systems Corporation Fueling a renewable World
Andrew Kingston President and CEO and Richard Lin, Chairman of DynaMotive holding the NRC-IRAP award for New Technology 2005.
www.cme-mec.ca �1
new MeMBer PrOFIles
ernst & Young Orenda Corporate Finance Inc. is one of Canada’s
largest corporate finance firms focused on mid-market transactions. With more than 60 professionals in 10 offices across the country, we offer significant regional and industry depth. In Canada, over the past three years, we have com-pleted an average of 40 transactions a year worth $7.3 billion.
our services include:Divestitures • Mergers and Acquisitions • Management and Leveraged Buyouts • Raising Capital – Private Placements of Debt and Equity • Recapitalizations • Public-Private Partnerships • Strategic Advisory Services
the dealmaker you need:Our approach encompasses our in-dependence, objectivity and aligned interests, unique capabilities and a wealth of deal experience – all concentrated on our client’s transaction. A dedicated team of experienced professionals re-mains focused from the initial meeting through completion of the transaction.
At Ernst & Young Orenda, our mission is to develop options that add value for our clients, while helping them achieve their objectives. We create a competitive environment – whether raising capital or selling a business – in order to obtain the optimal transaction terms. Our extensive contact base extends across North Amer-ica and to global markets. In addition to our proven corporate finance capabilities, we deliver a fully integrated approach to transaction services. As part of Ernst &
Young’s Transaction Advisory Services practice, we provide valuations, due dili-gence, transaction tax and restructuring services in a coordinated and responsive manner. Our professionals provide manu-facturing companies with independent, professional capabilities with proven results. The following tombstones are a sample of our recent transactions.
Contact: François Tellier 514-874-4351 francois.tellier.ca.ey.com
ernst & young orenda Corporate finance inc.
Canada’s Industry Association Magazine�2
new MeMBer PrOFIles
A popular misconception is that a skilled trade does not have the same
earning potential or job guarantees as a profession. It’s a misconception that needs to be corrected with today’s youth.
Young people don’t seek out ap-prenticeships in nearly the numbers the economy will need to sustain current growth rates and it includes planned growth in western Canada and the oil patch, in particular.
Alberta has the lowest provincial unemployment rate in Canada at 3.3 per cent and predicts that it will need an additional 40,000 workers – both skilled and unskilled – this year alone. In fact, skilled labour shortages in Alberta are the most acute in the country. Only British Columbia comes close.
Unemployment rates in the rest of the country average 6.7 per cent. Four years into a career as a skilled tradesper-son, average earnings are in the range of
$55-70,000. An accountant or human resources professional with comparable experience and a university education can anticipate earning $45-60,000.
An apprentice welder, plumber or millwright with technical training can ex-pect to earn around $45-$52,000 in base wages in his/her first year on the job.
Year-over-year wage rate increases for skilled trades have significantly out-paced the average salary increase rates of 3-3.5 per cent per year for the past few years. Journeymen and qualified trades-people have enjoyed wage rate increases of eight-12 per cent on average for the past two years. Drafters top the list with two year increases of 12-15 per cent.
Employers have an important role to play in educating our future workforce about the prospects for both challenging and interesting work and competitive compensation. The entry level challenge of attracting young talent into skilled
trades should be given immediate at-tention by employers, particularly given current demographics. The Canadian marketplace is experienced, but ageing. Knowledge and expertise will soon be lost as many long-serving tradespeople retire and exit the workforce.
Immigration can, and must be, a part of the solution given the level of predicted need, but will not be enough. Know your marketplace. With an understanding of the going rates of pay for tradespeople, employers can help manage the talent gap.
To access this comprehensive and reliable source for compensation infor-mation, participate in the CME Compen-sation Survey Suite. Participants enjoy discounted results and advanced analyti-cal access available only to participants to customize reports by location.
Visit imercer.ca/CME-MEC or call 1-800-631-9628 to participate.
recruiting for skilled trades Are you looking for talent in the right places?By Danielle Bushen, principal and leader of Mercer’s Human Capital business
established in 1966, Toronto-based Global Group is one of the largest
manufacturers, distributors and mar-keters of office furniture in the world. Canadian-based Global Group has over 8,000 employees worldwide, working in seven million square feet of manu-facturing and distribution space on five continents.
The Global Group’s facilities in-clude more than 80 just-in-time manu-facturing and product assembly plants,
plus offices, showrooms and marketing and distribution facilities throughout the world. The company’s business reach covers North America, Europe, the Middle East and Asia. Global has also received recognition for providing the Russian Parliament and the U.S. White House with just-in-time office furniture products. Toronto-based Global Group is an amalgamation of Global and Global Contract.
The Global Group approaches its business from an international perspective, with manufacturing and
sales facilities in Israel, the US, Brazil, United Kingdom, France and Australia.
www.globaltotaloffice.com
global group
www.cme-mec.ca ��
new MeMBer PrOFIles
the huMAn DIMensIOn
As you read this issue of 20/20, you are undoubtedly asking yourself
one question: What do the pandemic and the skills gap have to do with one another?
The answer is simple – nothing at all, yet everything. Both the pandemic and the skills crisis are two issues facing Canada which could have profound ramifications on our industry, on our economy and on our nation.
The possibility of a pandemic outbreak is relatively new, yet the skills crisis has been around for years.
There are many questions and “what ifs” surrounding a pandemic. How will it affect us? How much will it cost? And the list goes on. In comparison, we believe that we have a good understand-ing of the skills challenges facing our nation, we know what must be done to overcome these challenges and we even have a semblance of a time frame.
While we know that the biggest impact of the skills crisis will be experi-enced in the next five to 10 years, we are not certain when a pandemic will strike – it could be a week from now; a month from now or even 10 years from now.
However, the media is tapping into and fuelling concern surrounding the possibility of a pandemic outbreak and the result is growing concern not just in business communities, but among general populations around the western industrialized world.
A search for pandemic on GOOGLE returns a myriad of responses from North America, Europe and even China. Sponsored links on the search engine include:
next Pandemic: Protect Yourself; Bird Flu Wreaks Havoc – Will Your Income Be Secure? next Pandemic – Protect Yourself.
A similar search on GOOGLE us-ing skills crisis as keywords, returns no sponsored links, but a shorter reference of links, including one that was espe-cially intriguing:
India Faces Offshore IT Skills Crisis by 2010. Now even the low-cost, developing and original “offshore” nations are facing their own version of a skills crisis.
The apparent dichotomy between the pandemic and skills is visible even on our own web site. CME released its report on workforce capabilities last spring that outlines what we need to manufacture a skilled workforce of the future. In mid-March, we unveiled our guide for business continuity planning.
Our workforce capabilities report has been downloaded over 2,000 times since last June. In just one month, our pandemic planning guide is nearing 40,000 downloads.
It’s time that we created the same sense of urgency and media hype around the skills crisis facing Canada, the clock is ticking and while we are making some headway, we need a more
collaborative effort on the part of in-dustry, government and the education and training systems. Tackling the skills crisis will become a bottom-line issue of competitiveness for many nations in the future.
As you read this issue of 20/20, understand that it was our intention to bridge these two important issues by shedding some light on the critical challenges facing Canada. We are trying to tap into the fear created by the un-certainties surrounding the pandemic and subsequent hype to highlight the importance and create a new sense of urgency surrounding the skills issue.
If we want to be competitive in the future we have no other choice. 20/20
Crossing the road to get to the competitive side A new sense of urgency like that surrounding Pandemic, needed to tackle Canada’s skills crisis By Perrin Beatty
In PersPeCtIve
Canada’s Industry Association Magazine��
