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A Positive Sense of Community

A Positive Sense of Community

This week, Don Shilling shares the importance of building a positive sense of community.

I know all of us have watched reports in the media or thumbed through articles in periodicals about the wonderful employee benefits some of High-Tech companies provide their workforce. Perks that are used to attract talented people and keep them occupied while at work. The lavish gourmet cafeteria’s, coffee kiosks or fully equipped gyms within the walls of their facilities. Under our breath as read view these perks, we probably exclaim . . .. “How in the world do we compete with that?”

Your organization may be like our company; our environment is such that we just do not have the physical space to offer those kind of amenities as it seems all our facilities are limited to providing services for customers or work environments to efficiently produce and administer the delivery of our goods and services.

Our employees however are just as important to our success as the High-Tech companies’ employees are to their operation. So, the burning question is, what are we doing to attract and retain our employees given the limitations both physically and environmentally of our industry?

We must be employee focused! This focus can be done without adding square footage to our facilities.

Do each of your employees feel they are appreciated? Are they given opportunities for training, job recognition, offered consistent and timely delivery of benefits and real opportunities for advancement? Have you created a culture of shared knowledge of the business and demonstrated caring and compassion during times of personal crisis?

These are all valid questions that require your own personal reflection. Appreciation can start by simply sharing information with employees. Some companies use a Balanced Scorecard approach while others are deep in other management tools like EOS Traction where all personnel regularly hear the company focus, goals and implementation steps required. During the sharing of this information these are golden opportunities to recognize departments and individuals who have contributed to the success. These meetings should be positive events with plenty of sharing of knowledge and open discussion.

We must focus on the individuals. Ways of doing that may include sharing company logo’ d apparel so all can identify with the business, company newsletters distributed weekly used to recognize special things like weddings, anniversaries, birthdays and especially examples individual accomplishment of outstanding company values. (Not just the “big deal” you were awarded, but the small extra efforts made by individuals furthering the company’s efforts)

Our company has also found positive success if we get personally involved in employees after work activities such as helping to sponsor the employee in things ranging from sporting events or teams, charity events, hobbies or personal interest activity and other activities that may include the employee or other family members like their children or spouse. By sponsoring an employee, we ask for photos or shared results of those activities so that activity can be shared in the company newsletter for all to see.

Recognizing milestones of each employee, breaking bread in picnic’s, grill outs or appreciation dinners. Stopping all work for an Ice Cream Break or treating all employees to an entertainment venue can contribute to the relationship we have with one another and bring participants closer together.

Creating this sense of Community is the key element we as smaller business entities need to do to attract and maintain the family values. This becomes the glue that holds us all together. When your employees make a point of bragging about the company, they work for . . . it is generally the customer and a potential future employee that are listening!!

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Virtual Reality as a Tool in Recruitment

Virtual Reality as a Tool in Recruitment

In this week’s guest blog, Don Shilling talks about using virtual reality as a tool in recruitment.

“Lifestyles of the Rich and Famous with Robin Leach”, remember that TV program from a number of years back? Basically, via video the viewer was introduced to a world they could never have imagined and how success and wealth had altered the life style of the subject of each story.

Businesses today are struggling to fill skilled employment positions within their organization. Many of these businesses might be better served to take a page from these reality television shows and invite potential employees into their businesses to see what these jobs are like and how exciting a career can be within their industry.

But there is a new medium that really hits the nail on the head, it is call Virtual Reality (VR). Essentially VR can place the viewer directly into an environment we want to highlight. Whether that be in the office, warehouse, shop floor, production or assembly area. That 360-degree camera captures all the activity and allows the viewer to really see and experience what it is like in a place they may have never imagined!! A short but effective job shadow.

Our company created a number of VR videos to deliver a career experience to High School or Technical College students wondering what it is like working for us or in this industry. As the viewer is guided through some work simulations, they can also look around 360 degrees to see what other people are doing who work in that same setting. They can see our products, facilities, safety, job organization, the specific tools we use and the processes we follow. In their minds they can see themselves working there.

In a four-to-five-minute VR experience you can really sell your company and the positions you are trying to fill. This VR experience opens the eyes of the viewer to the position we are trying to fill and actually makes them feel comfortable with the position. What may have been a bit scary or unknown becomes familiar and understood. They gain a wealth of knowledge.

These VR videos are a few steps ahead of what our competitors are doing in the recruitment process and really create a stir at Career and Job Fairs where we do our recruiting. We literally have lines of students wanting to view our industry from the VR goggles. (Buy plenty of goggles!)

We have even sent the VR experience directly to the home of a potential recruit who can view it over and over and share with his parents. The parents can really “buy into our industry” once they see firsthand where their child might work and the details of our environment.

The VR videos can be used after you hire in the “On Boarding” process where you can share with a new employee the company culture, values, facilities and introduction of key personnel or customers associated with the day to day operation.

Today, if you pick the hardest one or two positions you need to fill and create a VR experience I think you will find you recruitment process to be more interesting and successful. You have a story to tell, you should share it!

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What is your PEOPLE strategy? When should it begin?

What is your PEOPLE Strategy? When should it begin?

What is your PEOPLE strategy? When should it begin?

In this week’s guest blog, Don Shilling addresses your business and asks the question “what is your people strategy?” Not only that, when should it begin?

What is the “definition of a expert”? . . . . . I once heard that an expert was a factory rep at least 50 miles from home who was at your business to give you advice!

As I put words down on this page, I am in admitting I am not an expert. I just like to share thoughts and if you think they make sense then you can figure out how to implement them.

We have all gone through the exercise of developing a business strategy. Most sound a lot alike . . . .  and after we have meetings and cover the walls with Post-It notes or flip chart pages our “Strategy” may be to Increase sales by 5%, or perhaps develop a new store location in new and active part of our territory, maybe we will upgrade 30% of our vehicle fleet, or our focus might be looking for that new idea like taking on a new product line. Your team I am sure puts a lot of effort into this exercise and at the end of the day it all makes sense and gives you a map for the future.

Sometimes our strategy includes elements related to people and sometimes perhaps it is brushed off! The interesting thing is each strategy, like it or not, has to include people. The people who we either need to be hired or the people we must challenge to change to fill the new roles we need to execute this new bold strategy.

Today in our current environment it might take 60 to 180 days to fill a skilled position if you can find that person at all. As I mentioned in a blog before, we grow our own skilled technical people and that takes much longer than just a couple of months. Whether you promote from within or just need to re-train existing people it takes just as long. We must be prepared to admit this will probably be our weakest link in our strategy and address it far in advance of the annual Strategy Session if we want any of our strategies to succeed.

In an earlier phase of my career I was CEO of my organization back when I spearheading strategy development. I soon realized that was not just HR’s job to fill positions, it was mine! Not to “micro-manage” HR or replace them but to assist HR in getting involved with “People Attraction”.

Now People Attraction can take on many forms. We did the same everyone does, we checked our wage packages, our benefit packages, we talked about culture and we did employee rewards programs, reviewed our facilities to make sure they were safe and comfortable for our workforce.  We all have to do that!

However, I felt compelled to go beyond that. I started by getting involved in local Technical Colleges where we might find our next employee.  We tried serving on Advisory Boards and helping connect with these Institutions on a more intimate basis. We got involved in the local Chamber of Commerce committees that dealt with employment practices and trends. Made an effort to get involved with State Technical Education Agencies to see what was going on and to give advice and donations of resources where it made sense to promote our industry.

Last but not least I got involved with our local Workforce Development Council. In our State it is Governor appointed and encompasses a cross section of people and agencies in the State where we get to together and work to solve workforce issues. In most cases we have developed recommendations to our State legislature in development programs to attract, educate or retain our workforce. I have testified numerous times to Legislative Committees to spell out to them the needs of business and industry in our region and promote the things that will improve our workforce efforts. For example, last session we got a law passed to make tuition reimbursement to an employee not subject to income tax and we help enact a program to provide State matching dollars with private dollars for “High Demand Jobs” tuition education reimbursement.

This was kind of a “hidden” part of our strategy. Has it worked you might ask? I think so. As frustrating as it can be to deal with a cross section of leaders from industry, labor, education and government it is worth the effort.

Now when we sit down and set a strategy where perhaps we think we need a half dozen additional skilled employees to increase our market penetration it becomes an attainable goal and not a goal where are the end of the year, we have excuses for its failure. To sum up – as an Executive in your organization you must get involved and become part of the Strategy before there is a Strategy! Good luck.

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Apprenticeship Holds an Important Key to Workforce Solutions

Apprenticeship Holds an Important Key to Workforce Solutions

Don Shilling

Today’s blog post, “Apprenticeship Holds an Important Key to Workforce Solutions,” is a new contribution from Don Shilling.

Brandeis Machinery Inc was recently recognized by the Associated Equipment Distributors trade association for their Industry Recognized Apprenticeship Program (IRAP’s) a program which they initiated in 2015. They are “Growing Their Own” as I have mentioned in my previous blogs. Apprenticeship Programs may be an important key for your organization to participate also in “Growing Your Own”.

Our company developed two Department of Labor Certified Apprenticeship Program a few years back and I must say when you throw around words like “Certification” or “Department of Labor” into the discussion it may sound a bit scary, or cumbersome or onerous. Not True. Let me explain by describing our experience, hopefully after this exercise your organization might be comfortable in developing your own Apprenticeship Program and start solving your own workforce shortages.

The Department of Labor has literally scores of certified apprenticeship programs reviewed and approved each with standards to follow and give guidance. If you go to their website you probably identify an apprenticeship program that exists and fits your needs. Great if that works. If you call your local Department of Labor Apprenticeship Office, they can help you in setting up your own program that follows those existing standards.

In our case, it was not so simple. The two programs we developed were not on the existing DOL list of apprenticeships. We decided to develop our own and not to jump to far ahead in this story but with the help of the Apprenticeship Director at our local DOL Office he approved the elements of our program that were different and married them with an existing program, to catalog a new unique program which is what we have.

A typical Apprenticeship Program is three years in duration and 6,000 man hours of mentoring and on the job training. Your supervisors are the ones monitoring and mentoring the Apprentice and they sign off on completion of each phase of this training.

In our case, we identified skill areas that we felt were more important than others and those areas needed additional skills training for an apprentice in our industry. We also identified Technical college classes we required the apprentice to enroll in, whether On Line or in the Classroom. Our goal was to fit some classroom work into a schedule the apprentice can handle and the On the Job skills training in most cases paralleled the classroom work.

When you break down our Apprenticeship Program it is more like 4,000 to 5,000 man hours of On the Job Skills training and about 1,500 man hours of classroom and on-line learning. On line learning does not have to be limited to Technical College credits but Certified Programs with measured results are important. Besides technical classes we also selected important classes like Safety, First Aid, Forklift Operation, Customer Service, Marketing and Inventory Analysis.

Once reviewed by the DOL Apprenticeship Director our program was signed off on and approved for Certification. As the Apprentice completes each phase of this program, we report to the DOL and at the end a Certification will be awarded to the Apprentice. The Apprentice owns that and takes it with him/her just like a diploma from a Technical College.

What is wonderful about the program is these individuals working through our apprenticeship program have exactly the skill sets we want and we needed. Very positive for us. The real winner however is the apprentice. An apprentice that has worked for you for three years and has achieved his certification is not only proud and loyal to your company but is on a career track with the skills to advance within your system.

Finally, the Department of Labor currently has a major push in place to expand on Industry Recognized Apprenticeship Programs (IRAP’s) thus many local State Agencies have access to funding from the DOL to develop and support these new Apprenticeships. It would be well worth your time to identify where an apprenticeship might work in your business and how that apprenticeship position needs to be configured to best fit your needs. Seek out help from the DOL and local agencies to bring this initiative into your organization. Today the skilled workforce will no longer be just “delivered to your door step”, instead you must develop a pathway for careers in the industry and ways for our youth to access those pathways. Good luck on your Workforce Development journey.

 

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The Return on Investment

The Return on Investment

This week brings our fourth blog post from Don Shilling.

Don Shilling

As we continue the discussion on “Growing Your Own” employees probably one of the most asked questions I get is if our company invests in a tuition reimbursement program for a sponsored future employee or in an Apprenticeship or Mentorship Program what is my return on investment (ROI)?

Business logic tells us that there is a defined cost in everything we do and the better we are at recovering those costs the better the chances are we can show a profit in what we do. Everyone’s formula for this calculation might be different so I would like to answer this a little more generically

ROI In this situation is hard to measure because every situation is different. But I usually answer the question with a question. What does turnover cost you? For every position that is measurable. When you lose an experienced employee, the costs associated with that ranges today from 1/2 of that position annual salary or more. Today filling a skilled position can take 3 months or more. Then after recruitment costs, placement fees and On Boarding and Training expense it can really cost you much more than that 1/2 years annual salary projection.

For our companies skilled positions we fill with either an apprenticeship or tuition reimbursed positions we see direct costs of the entry level salary, the cost of the pay back on the tuition reimbursement or the apprenticeship mentoring. These costs are significant there is no doubt, so typically we amortized these costs over a 3 to 5-year period.

Because these positions start as “entry level” we see an initial lower salary cost but it is important to continue wage reviews and increases with these individuals as their skill levels increase. Typically, by the end of the three to five year pay back on the tuition or apprenticeship periods this employee is at a salary level equal to market value for their skill level. This is important, keeping this employee is critical, also showing this employee he has value by doing wage reviews as they progression of their education adds to that since of pride or accomplishment for each individual.

On revenue side we of course cannot charge customers full charge rates on apprentice or school to work employees but we can recover some of their costs. Typically, that is 10 to 20% initially and steadily increasing as the employee’s skill levels increases. If you graph this out the lines between the salary cost and recovery probably intersect about 1.5 to 2.0 years into the process and usually by the third or fourth year the revenue and profit generated by that employee has normalized. That of course is good news.

Better news is the fact you have taken a potential employee and turned them into a skilled employee who has been integrated into your system, bought into your company culture, is a loyal employee, has spent three to five years becoming part of the “family” and understands that he or she has chosen a career that is meaningful and rewarding. Bottom line the turnover we have experienced with these “Grow Your Own” employees has been very low. Thus, we enjoy savings for many years of not have to fill and re-fill those positions. It adds stability to the employee base plus with less turnover being able to grow your business because of this stability is critical and well worth the effort.

Bottom line is the ROI is gradual but worth the time and efforts. Again, sighting our company, where we engage a lot in promoting from within, we really know these individuals we understand their strengths and their loyalty is undiminished. We are engaged in Filling Careers not just Filling Positions.

I grew up in a construction family and worked for my Dad several summers during and after high school. Then while working on my degree at North Dakota State University I was hired by a construction equipment dealership. I started in their service department part time until I finished college. Then full-time service employment for a couple of years then transitioned into sales management. During the recession of the early 1980’s myself and three other managers started General Equipment & Supplies, Inc.

First as Sales Manager and eventually as President we grew our business from one location and 20 employees to 10 locations in four states and two Canadian Provinces and over 250 employees. Along the way we developed relationships with area Technical Colleges and created a College Tuition Reimbursement Program where today we Recruit a handful of new technicians annually into that program. Our company has also developed two Department of Labor Certified Apprenticeship Programs to fill hard to find skilled positions. I am currently semi-retired as Chairman of the Board.

For more information on how we can help with your employee development, please visit us at Learning Without Scars.

 

 

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Grow Your Own

Grow Your Own

This week brings our third guest post from Don Shilling. Now it is time to talk about how to “grow your own” workforce.

Don Shilling

I grew up in a construction family and worked for my Dad several summers during and after high school. Then while working on my degree at North Dakota State University I was hired by a construction equipment dealership. I started in their service department part time until I finished college. Then full-time service employment for a couple of years then transitioned into sales management. During the recession of the early 1980’s myself and three other managers started General Equipment & Supplies, Inc.

First as Sales Manager and eventually as President we grew our business from one location and 20 employees to 10 locations in four states and two Canadian Provinces and over 250 employees. Along the way we developed relationships with area Technical Colleges and created a College Tuition Reimbursement Program where today we Recruit a handful of new technicians annually into that program. Our company has also developed two Department of Labor Certified Apprenticeship Programs to fill hard to find skilled positions. I am currently semi-retired as Chairman of the Board.

In my previous blog I talked about “High Demand Jobs” and the need to Grow Our Own by recruiting for skilled positions we need filled. It is possible to use the Local, State and Federal Programs that exist today to help underwrite part of the cost of educating our new workforce and/or developing our workforce. . .. That is quite a mouthful but if you break it down it is fairly simple.

Our Federal, State and Local governments are really beginning to understand how the shortages of skilled workforce is impacting our economy. They are all scrambling to help find solutions and frankly they are also looking for your guidance and input.

Because of Covid 19 we are hearing a lot of talk about “re-tooling” our workforce so that people who were employed found themselves suddenly unemployed by what became an unstable and perhaps unskilled career path. These workers are looking to make a change and find a new career that will add stability to their families and futures. Our Adult Learning Centers are going to become busy places as these programs expand and flourish.

Business and Industry are being called on to help support these expanding programs and if you think your business can benefit then you better be seeking out these opportunities. In many cases State or Local dollars are being matched with private sector dollars to bring these programs to life.

What does that mean for you and your organization? It means you might end up hiring or supporting an older than average person(s) who wants and needs a new career. You will help develop this person, first with initial training and inevitably additional continuous training until you have a strong and highly competent employee. That is:  Growing Your Own.

This initial Education coupled with Continuous Training builds your staff in a very positive way. The training starts with a comprehensive On Boarding process as they first report to work. Then things like safety training and specific work center orientation. These new employees don’t know what they don’t know so don’t skip steps. These Employees that you have Grown on Your Own will recognize their new skill sets which creates positive attitudes for all and at the end of the day the customers you serve will see this positive influence. There is no real down side to Growing Your Own!

For help in growing your own workforce, please visit us at Learning Without Scars.
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High Demand Jobs

High Demand Jobs

This week brings our second guest post from Don Shilling. He talks about the not-so-glamorous world of high demand jobs. Don was born to this industry. In his own words:

Don Shilling

I grew up in a construction family and worked for my Dad several summers during and after high school. Then while working on my degree at North Dakota State University I was hired by a construction equipment dealership. I started in their service department part time until I finished college. Then full-time service employment for a couple of years then transitioned into sales management. During the recession of the early 1980’s myself and three other managers started General Equipment & Supplies, Inc.

First as Sales Manager and eventually as President we grew our business from one location and 20 employees to 10 locations in four states and two Canadian Provinces and over 250 employees. Along the way we developed relationships with area Technical Colleges and created a College Tuition Reimbursement Program where today we Recruit a handful of new technicians annually into that program. Our company has also developed two Department of Labor Certified Apprenticeship Programs to fill hard to find skilled positions. I am currently semi-retired as Chairman of the Board.

High Demand Jobs

In my initial blog I discussed the fact that we need to be able to find good people and then train them. This seems simple enough, except what the Workforce Development Council defines as “High Demand Jobs” typically are not considered glamorous. High Demand Jobs don’t get a lot of attention when our youth are exploring their future careers.

Why is that? We find it easy to blame our educational system and all the College promotional materials out there that tout the excitement of degrees in computing or high tech. But, as they say, maybe it is time to look in the mirror if you want to lay blame. The “High Demand Jobs” are typically tied to industries who have allowed this to happen. Owners and managers within these industries have not taken the time to engage the educational system and demand equal time with our youth as they select their career options.

How Do Young People Discover Us If We Don’t Tell Them We Are Here?!

However, thanks to the Pandemic . . . maybe, just maybe, we have reached a time where we can turn that corner. What we have found in our local Workforce Development Council is the jobs that were lost during the Pandemic were tied to people who are perhaps under-skilled. In some cases, these were people who made employment choices early in their careers that were not focused on these high demand employment positions. In fact, most of the jobs that were considered “essential” during the Pandemic are also  on the “High Demand Jobs” lists. Perhaps with only a little additional skills training we can help the now under-employed find a stable career that is also considered “essential”.

Industry needs to react to this immediately! As Ron Slee says at the end of each blog, “the time is now,” especially for all of us who employ people in these “high demand jobs.” It is time for us to pull together to support the Career and Technical Education sector as it begins the process of re-tooling our unemployed or under-employed.

By support, I mean something very simple: you need to get involved. Perhaps you can start an apprenticeship program, or connect with your local Career and Technical Education system and see what they might need to start a program that would benefit your labor shortage areas. You can work at recruiting our youth and consider helping the right candidates with educational expenses. Bring them into your businesses and show them opportunities they might have never imagined. Let’s get started! You are going to like what you see in the mirror when you do.

For further information on re-tooling your skills, please visit us at Learning Without Scars.
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Continuous Improvement and Employee Retention

Continuous Improvement and Employee Retention

Today’s Guest Blogger has a great deal of wisdom to offer us. Here’s a bit more about Don Shilling, in his own words.

Don Shilling

Bio

My background is what has helped make me so passionate about continuous improvement and employee retention. I grew up in a construction family and worked for my Dad several summers during and after high school. Then while working on my degree at North Dakota State University I was hired by a construction equipment dealership. I started in their service department part time until I finished college. Then full-time service employment for a couple of years then transitioned into sales management. During the recession of the early 1980’s myself and three other managers started General Equipment & Supplies, Inc.

First as Sales Manager and eventually as President we grew our business from one location and 20 employees to 10 locations in four states and two Canadian Provinces and over 250 employees. Along the way we developed relationships with area Technical Colleges and created a College Tuition Reimbursement Program where today we Recruit a handful of new technicians annually into that program. Our company has also developed two Department of Labor Certified Apprenticeship Programs to fill hard to find skilled positions. I am currently semi-retired as Chairman of the Board.

Training is an important element of continuous improvement and employee retention. But before we can train our employees, we must find them!

I am currently on the Workforce Development Council in our area. Congress mandates that every state have a Workforce Development Council. The Governor appoints Members and the Council should consist of at least 50% business and industry leaders.

As a Council, we first develop the list of “High Demand Jobs” in our region. After that, we advise the Governor on what programs we need to attract people to these jobs. The High Demand Jobs we all know; some vary from state to state but certainly 75% of them are skilled jobs. These careers require two years of college or trade school or less. Many are apprentice learned skill sets. Certainly all of these skilled positions require additional training annually.

What Comes Next?

We, as business leaders, must explore the information and recommendations from our local Workforce Development Council. All of us need to do our homework by engaging in a deep dive into all the programs available in our area to attract people to these High Demand Jobs. We have to support the recruitment, education and continued training of the employees we attract.

Every State has programs that support us as we fill these High Demand Jobs. These programs can include tuition reimbursement, as well as grants for On the Job Training and Job Shadows. There might be incentives for continuous improvement.

It costs money to educate and train our current employees or these future employees but finding monetary relief through available State Sponsored programs can help you to get engaged and ease that burden. The successful businesses of the future will be the ones who utilize these programs. These businesses will aggressively explore options for finding and training people.

More detail in future blogs.

For more information on how we can help you with continuous improvement and employee retention, please visit our website at learningwithoutscars.org