Indiana Logistics Summit Partnering in Transportation, Distribution and Logistics

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Indiana Logistics SummitPartnering in
Transportation, Distribution and Logistics
Indianapolis, IN October 19, 2005
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Converging Forces
Five converging forces.

1. Flattening of the World
2. Productivity Gains
3. Brain Drain
4. Baby Boomer Retirements
5. Homeland Security

are on target to cause a significant skilled
labor shortage for Indiana.
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(No Transcript)
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Skilled Labor Shortage ?

• Engineering pipeline (full-time enrollments)
• China 3,700,000
• US 380,000
• In China, 42 of students earn undergraduate
  degrees in science/engineering compared to only
  5 of US students
• The US will graduate 198,000 students in science
  and engineering to replace 2 million Baby Boomers
  in these fields scheduled to retire between 1998
  and 2008
• The BLS predicts more than 300,000 of the 1.3
  million new IT jobs created between 1996 and 2006
  will go unfilled
• U.S. Department of Education estimates 60 of new
  jobs will require skills possessed by only 20 of
  the current workforce
• 960,000 to 1.2 million Employed Hoosiers possess
  workplace skills below those required for
  successful employment in a knowledge-based
  economy
• Indiana Chambers Economic Vision 2010 2004-05
  Report Card, Indiana received a grade of F in
  the Workforce category

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Priorities and Strategy
Three Priorities
1. Regionalization
Four-Pronged Strategy
2. Integration
3. Alignment
4. Innovation
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The TDL Opportunity

• Average Indiana occupational wages in TDL
  industries are 10 greater than average wages
  across all industries
• TDL industries currently compose 7 of Indianas
  total employment, with projected growth above the
  state average
• 108 occupations within TDL are growing at least
  TWICE as fast as the state average occupational
  growth

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The TDL Opportunity
Seven High-Growth, High-Wage Occupations
General and Operations Managers 84,026 Managemen
t Analysts 66,133 First-Line
Supervisors/Managers 63,693 Sales
Representatives 49,815 -
64,453 Bus/Truck Mechanics and Diesel Engine
Spclts 36,379 Truck Drivers, Heavy and
Tractor-Trailer 36,153 AVERAGE INDIANA
WAGES 33,466
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Innovating Indiana
Conceptual Skills Model
Skill Level
Lift every Hoosier up at least one level.
High-Wage Occupations
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Select DWD Programs

• Strategic Skills Initiative
• Training Acceleration Grant
• Workplace Literacy Initiative
• Skills Assessment Testing (e.g., WorkKeys)
• WorkEthic Certificate
• Career and Technical Education
• Additional brokering of training opportunities

Visit www.in.gov/dwd
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Closing Thoughts
The perfect stormcould best be described as
the confluence of three new gapsThey are the
numbers gap, the ambition gap, and the education
gapThese gaps are what most threaten our
standard of living. Tom Friedman,
Author The World is Flat Today, the terms
of competition revolve around a central axis a
nations ability to mobilize, attract, and
retain human creative talent. Richard
Florida, Author The Flight of the Creative
Class