Learning Without Scars was created to fill a void in the Capital Goods Industries, specifically the light and heavy equipment space.

With technical schools closing at an alarming rate the markets we serve were becoming unable to find the talents and skills they required in the operational areas of the business, parts and service specifically. I have written extensively on the German trade school structures and the benefits it provides German employers. We no longer have a viable trade school preparation for the parts business.

To that end, here at LWS we have developed training programs for the parts counter job functions. We have the same for the parts office and the service office. We also have programs for the parts warehouse, for service writers and service foreman and lead hands. All of these programs were created after dealer customers had expressed a need and a desire to help employee development.

The report from Edward Gordon, a colleague, is a clear affirmation of why we are doing what we do in training.

I would like to pose a question to everyone. What are you doing to attract new employees, to retain the ones you have and to develop all of your employees to meet the needs of future job?

There is a critical need on our Industry. Without the proper number of talented and skilled employees your business is at risk.   

The Time is NOW.

 

Please read this Edward Gordon article.

Knowledge Shock Part V: Job Evolution Causes Skill Shortages and A Search for Solutions

Job Evolution 1970-2010

In 1970 John, whose father was a plumber, graduated from high school. He began working in a Midwestern automotive-parts factory. It had an entry-level job training program and paid him a good wage. At that time, about 66 percent of entry-level jobs in manufacturing and other employment sectors required only a high school diploma. Business management and professional positions required a college education. Also, apprenticeship completion or specific skill-training certificates were needed to qualify for some mid-skilled occupations.

 Fast forward to 1990 when John’s daughter Linda became an office file clerk after graduating from high school. She found out technologies had changed occupational skill requirements in both offices and factories. High school graduation was no longer a passport to the middle class. By 1990, 55 percent of jobs required education or training beyond high school. However, many employers offered workers on-the-job training.

John’s grandson, George, was always interested in cars. After high school graduation in 2010, George decided to seek employment in an auto-production plant. But he was surprised to discover that a largely unrecognized Fourth Industrial Revolution had radically changed entry-level jobs requirements. Robots now performed many repetitive tasks on car assembly lines. George also learned that this local auto factory only sought workers who could operated computer-controlled equipment. Working on teams, they also need needed to have the technical skills required to assemble many different auto models in smaller runs as sales orders came in from the manufacturer’s dealer network. The plant had no entry-level job training. Applicants were expected to be job ready from day one!

By 2010, low-skill jobs had declined to only 33 percent of the U.S. labor market. They were also low paying jobs. The majority of even mid-level occupations now required special career training beyond high school.

Talent Shortages by the Numbers

In 2010 there were about 97 million mid-level and higher skilled jobs across the United States. Yet only 43 million American workers met the general education and career training requisites to fill them.  U.S. businesses made up a national gap of 54 million skilled workers through increasing automation, importing skilled foreign workers, poaching workers from competitors, or exporting higher skilled jobs to overseas locations with the requisite talent pool. Only about 20 percent of U.S. businesses offered job training programs. This talent shortfall resulted in 4 million vacant jobs across the U.S. economy.

Over the next decade the skills-jobs disconnect continued to expand. By 2017 two-thirds of jobs in the U.S. labor market required workers with post-secondary specialized career training. International talent shortages had also increased, making it much more difficult for U.S. businesses to either import talent or find an off-shore location with the needed skilled workers. A global talent showdown had begun in earnest. In 2017 nine million jobs remained unfilled across the United States. The U.S. Chamber of Commerce estimates a loss of $26,000 per vacant job in profit or productivity for a business. This represents an over $230 billion loss to the U.S. economy.

The U.S. talent shortfall is a significant part of a much broader global talent train wreck. The worldwide estimate of 2022 job vacancies range from 45 to 95 million skilled positions. Many recent surveys of American executives place this talent crisis at the top or near the top of management concerns. For example, a 2018 survey conducted by the Associated General Contractors of America indicated that this industry will be short two million skilled craft professionals by 2020. A recent National Association of Manufacturers survey for the first time reported  “attracting and retaining a quality workforce” as the respondents’ top business challenge.This was also the case in the February survey of the National Federation of Independent Businesses. Ninety percent of businesses seeking workers reported “few or no qualified applicants” for open positions.

Two Major Skills Initiatives

Two significant approaches for confronting the escalating shortages of skilled workers are gaining momentum. The “2017 Training Industry Report” (Training, November 2017) showed that U.S. businesses made an unprecedented $23 billion increase in worker training in the past year. Total expenditures rose from $70.6 billion to $93.6 billion or 32.5 percent. The majority of these funds were invested in specific job raining programs for workers rather than in management education programs as in years past. Over the past few months there has been some increase in the labor participation rate. It is an indication that more companies are again beginning to offer job training to new hires. This is opening the possibility of employment to so called “discouraged workers” who until recently have been sitting on the U.S. labor-market sidelines because their skills were not up-to-date.

A second more comprehensive approach to tacking the current skills crisis are regional public-private partnerships focused on economic development and reforming the education-to-employment system. These Regional Talent Innovation Networks (RETAINs) offer a process for reinventing their local talent-delivery systems. In the short term, these cross-sector initiatives composed of businesses, educational institutions, unions, government agencies, and non-profit community groups focus on retraining workers and the unemployed with the skills currently needed to fill the vacant jobs of regional employers. RETAINs are of particular value to small businesses as they offer a viable way of pooling their resources to inform, attract, and prepare skilled workers to fill jobs.

In the long term, RETAINs seek to rebuild the workforce pipeline through raising K-12 educational standards and implementing career-skills preparation programs. Beginning in elementary school students need to be well grounded in reading, writing, mathematics, and verbal communication skills. To accommodate the wide diversity of students’ aptitudes and interests, a wider diversity of high school programs are needed such as STEM academies, career education programs, and pre-apprenticeship and apprenticeship options. This means more students will leave high school with solid educational foundations that prepare them to successfully complete the post-secondary career education and training needed to fill today’s and tomorrow’s ever-rising job requirements. It is notable that the High School Inc. Foundation (previously profiled in  Gordon Report) has received the 2018 Citation for Career Education and Excellence from the American Association for Career Education for its leadership role in the development of six career academies at the Valley High School in Santa Ana, California. The High School Inc. Foundation is a good example of the over 1,000 RETAINs now operating across America.

More information on many local RETAIN “brands” across the United states is now available in an updated paperback edition of Future Jobs: Solving the Employment and Skills Crisis published by Praeger in March 2018. It offers many case studies of the the accomplishments of these cross-sector partnerships in updating regional training and education programs and thus reviving local economies.

The Urgent Need for Action Addressing the Skills Crisis

Unless business investments in job training are drastically increased and the RETAIN movement grows exponentially, by 2022 the skills-jobs disconnect will have a dire impact on the U.S. economy. America is facing a demographic tsunami of 30 million baby boomers retiring from the workforce. In the cohort of millennials entering the workforce, only about thirty percent have the education and skills needed for advanced technology workplaces, but at least sixty percent need to be at this level for the high tech, knowledge-based economy of 2022.

The Gordon Report “Knowledge Shook Series” has spotlighted some of the most crucial forces behind the jobs-skills crisis. We have examined how American culture across the business community, schools, unions, and parents has failed to keep pace with the significant knowledge expansion required by technology change. We have also seen how popular culture can promote addiction to social media and other internet venues that reduce cognitive development and interpersonal skill growth. Over the past decade Knowledge Shock has morphed into Job Shock as many American workers now fear that escalating technology changes have placed their jobs at great risk. Inventing technology has proved to be the easy part; changing society’s cultural willingness to place education and workforce training on steroids remains very difficult. 

As technology has continued to expand job requirements, simplistic populist solutions for protecting jobs and industries are being advanced by the extreme right and left of the U.S. political spectrum. Populists offer a new form of tribalism. By dividing society into many warring factions, they seek to attack and eliminate the “enemy” opposition rather than pursue consensus through negotiation. This tribalism is in direct opposition to the democratic beliefs and traditions upon which our great American Republic was founded and has developed over the past 242 years. We remain fundamentally opposed to this attempt to undermine U.S. society.

As we contend with this social divisiveness, the American general public needs to be made aware of the urgent need to answer the two great questions of Job Shock.     

  1. Why has technology growth clearly outpaced the knowledge development of the U.S. workforce?
  2. How can we develop a new consensus that will lead to the overall growth of a well-educated American workforce?

The answers to these social issues will define how well we make the historic employment transition that America now faces. Failure is not an option.

Edward E. Gordon is president and founder of Imperial Consulting Corporation (www.imperialcorp.com). His book, Future Jobs: Solving the Employment and Skills Crisis, a winner of an Independent Publishers award, is now available in an updated 2018 paperback edition. 

This is our second installment in our Back to Basics theme, covering the topic of your stakeholders.  Last week, we began with the Balanced Scorecard and the customers.

The next piece of Back to Basics is the value that we deliver to the stakeholders.

When we talk about your stakeholders, who de we mean?

Simply put, your stakeholders means the employees, the company leadership, the owners, the shareholders, and the suppliers of your business.  Since you have all learned that I like to begin with definitions in order to have clarity in each topic, your stakeholders are the individuals and groups who invest in your business with their time, their money, their ideas, and their resources.  The customers benefit from the commitment of your stakeholders, and your stakeholders benefit from the growth and development of your company and your customer loyalty.

Here we go back to metrics and standards of performance, also known as Key Performance Indicators.  These Key Performance Indicators are Revenue, Profitability, Expense Control, Asset Management and how the department and business performs.

One of these metrics is Return on Assets (ROA). That leads us to next step in the Back to Basics – investments. The owners of the business have to continue to reinvest in the Company if they want growth. The effectiveness of the business to steward the company assets will allow the owners to determine the level of risk they want to take on relative to the future growth opportunities. If the management does not deliver performance then owners will not have much interest in reinvestment.

So how does this tie in to everything we do here at LWS?

Employee Development is a straightforward investment into the business, its stakeholders, and its vision for the future.  Employee Development correlates to employee satisfaction, which has a demonstrated impact on customer satisfaction.  Satisfied employees = satisfied customers.

As you can see, getting Back to the Basics comprises many aspects of your business.  But you will find that the results are well worth the work.

The time is now.

How does EQ fit today?

Charles Darwin was the first to identify the value of emotions as a critical element in the life. Sweaty palms for nervousness a churning stomach for anxiety and other signals. This moved to something called “social intelligence” in the 1920’s identified by F.L Thorndike. In 1990John Mayer and Peter Salovey di the research that led to “Emotional Intelligence.”

The world got onboard in 1995 when Daniel Goleman published his book “Emotional Intelligence.”

At the core of the book is the following statement:

“We are being judged by a new yardstick. It’s not how smart you are but how you are smart. The technical skills or the business expertise that so often propelled people to the top are not the abilities that make you effective in inspiring people, in guiding people, in coaching people, in developing people, in motivating people.”

In an International Study of 515 senior executives delivered interesting results. An individual’s emotional intelligence was proven to be a better indicator of success than having strong technical skills, previous experience and the standard “IQ (Intelligence Quotient).” Dr. J.P. Pawliw-Fry, who works with Olympic athletes as well executives refers to a study of sixty of the top US entrepreneurs that states – “Fifty-nine of the sixty went with their gut feeling first and then backed it up with rational reason when they made important decisions. The gut feeling is real. I t helps people make better decisions.”

Why am I focused on EI this week you ask?

Emotional intelligence can be developed. It can be learned. It is not like your native IQ. It ties back into emotions. As people we can control our emotions. Tough but it can be done. We can choose to express or repress our emotions. This also affects our health. The good old Type A personality has been shown to have increased risk of heart damages.

So now let’s return to the recent theme in this blog – change and technology. Change creates anxiety and employees need to have a good leader to help them overcome their fears related to this change. Without strong Emotional Intelligence leaders will be confronted with resistance to change and even anger at change in the work place. Don’t forget that it is the change agent – the individual who is bringing the change – who is the guilty party in this path of development and change. They are viewed with animosity generally. It is only through strong and effective leadership can this emotional feeling be overcome.

One of the life issues hat I have dealt with in my personal and professional life is exemplified by the question “What would you do if you weren’t afraid?” This best viewed with the decision we made to go into business for ourselves when I was 33 years old. I had a comfortable position and had interesting and challenging work and I worked with talented people in a great Company. Yet it didn’t match what I felt were my skills. I was too impatient, needed more speed in process change and faster growth and development opportunities for my co-workers. But that was a large change. From the comfort and security of a regular income to being completely on your own with the skills and work ethic. I am so grateful that we have the courage to overcome our fears.

How about you?

Are you looking at a process, or a method, or a form or a screen that should be changed? What are you doing to make it change and get better? If the answer is nothing then I want you to ask yourself the same question “what is it that you are afraid of?” The answer can be very revealing and if you can overcome your fear imagine the possibilities. You can make your job, your department, your company and the world around you a better place.

The times have changed and they are still changing and the rate of change is accelerating. What are you waiting for?

The time is now.

During the economic downturn, the first budget to be slashed was the training, or employee development, budget.

When it’s time to tighten our belts, training is the first thing to go.

But it is clear that employees need to invest in your business, just as you invest in your employees.  One of the things I teach in our classes is that our procedures and methods must be understood, and agreed upon, by the team.  In other words, your employees must not only understand what they are doing and why they are doing it, but agree with the goal and the approach to that goal.

Lately, we’ve seen more room for employee development again in the budgets.  We have also seen employees taking a greater role and a more vested interest in their business’ success when they are provided with a foundation through training.

People are our greatest asset.  They are your heroes with your customers, and they help to build the relationships that give a business “customers for life.”

It is crucial that we never forget that, although our industry is equipment, it is the people who make or break it for a business.

We must make an investment in the future through providing our employees with the training and tools they need to grow in our business.  This is an investment that benefits every aspect of the business.

The time is now.

 

To say that we are excited about our employee development programs would be an understatement.  We know that what we do is groundbreaking for our industry, and a positive movement for employers, employees, and customers alike.

For too long, training budgets were non-existent.  Now that we have clear paths forward for employee growth and excellence, the video below shows you a glimpse of how a Learning Without Scars program works.

The time is now.

 

Some thoughts for your consideration:

You have seen over the past two to three weeks a change in the approach to the blog. We have been exposing Vimeo based film clips. You have seen our promotional trailer, the animation of Socrates, an introduction to the company and a video clip on market segmentation. I want today to present a situation and then pose some questions in the Socratic Manner. Socratic teaching forces people to come to their own conclusions.

Employees transition through three or four stages in their career:

  • Enthusiastic Beginner
  • Disillusioned Learner
  • Capable but Cautious Performer
  • Self-Reliant Achiever

 

Unfortunately, it is their immediate supervisor that has a direct impact on this transition. Too often we get stuck at the Disillusioned Learner as a result of the style of the boss or the lack of any interest from the boss in the employee.

 

As individuals as we move from school to work we have to overcome a series of things that I will call “personal obstacles.” These things come from our families, our friends and peers and our schools. I have often said we are taught to be obedient in our developmental years and when we get to the workforce we are asked to think on our own.

 

These obstacles normally are

 

  • We are told everything we want to do is impossible
  • We are afraid of hurting those we love by pursuing our own dreams
  • We are afraid we will fail in pursuit of our dreams.
  • We are afraid to succeed.

 

One of the important questions we need to ask of ourselves is “what would I do if I wasn’t afraid?”

 

In our training approach, we are developing an employee development program that will take each employee in the parts and service groups from the enthusiastic beginner to a self-reliant achiever. My question is “how do you achieve that today?

 

The time is now.

Most of what we know about Socrates we have learned from his students, especially Plato.  We know he was a Greek philosopher and a teacher.  From his teachings, we developed the Socratic Method: a style of teaching that involves the asking of multiple, open-ended questions of the students.

It was Socrates who told us, “I cannot teach anyone anything.  I can only make them think.”

As we have learned in the many centuries since then, thinking is the foundation of all learning.

From this Greek Socrates, we have named our Learning Without Scars “mascot.”

lws-owl-logo

We felt that the owl was apt, as owls symbolize wisdom.  And naming him Socrates took our commitment to continuing education into the perfect symbol.

At Learning Without Scars, we are dedicated to continuous improvement for people: managers, supervisors, salespeople, counter people, and every individual working to make your dealership a profitable and effective business in today’s market.

Let us show you what happens when you have highly trained staff who are confident in the job that must be done.

Join us in 21st century, online employee development.  You won’t be disappointed.

The time is now.

Magic words: increase profits.  Service Management is a very simple term to cover the many variables it contains: planning, organization, customer retention, job descriptions, praise, criticism, time management, personnel management.  I could go on with this list, as the Service Management includes so much within the Dealership.

With so many moving parts, how can you train your staff to provide service and satisfaction to your most important asset – the customer?

Our Service Management webinars offer 1 hour programs on the varied topics and skills necessary to run a successful business, without the demands on time or travel that are required in traditional, face-to-face training.

We are back in full swing with our webinar learning series, and we would love to see you this week.

For more information on Service Management webinars from Learning Without Scars, please visit our website on the Service Management – Webinars tab to read short write-ups, and sign up for training.

The time is now.

Management vs. leadership is a topic that comes up in many of the programs I teach.  It is often easy to miss the difference.  When we are managers, we see ourselves as managers of people.

You manage processes, not people.

You lead people.

It is not enough to manage the process: you must have clearly defined goals and procedures that everyone has agreed upon.  The days of the “invisible” employee should be behind us.

Remember Patrick Lencioni’s 3 signs of a miserable job –

  • anonymity
  • irrelevance
  • immeasurability

None of your employees need to be anonymous in your workplace.  We spend so much time at work, we all know each other quite well.  The same applies to irrelevance – with a leader in place who has sought and received feedback, each staff member has a voice and is entirely relevant to the work at hand and the future success of the department and company.

Immeasurability.

How do your employees know when they are doing a good job?  It’s important to ask this question, as both praise and constructive criticism play a key role.

Just some food for thought for you this evening.

The time is now.

Our Parts & Service Marketing seminar will be taking place in Dallas, Texas on April 13-14.

Back by popular demand, this course is geared towards sales personnel looking to make a difference.

Material will cover:

  • Defining Customers
  • Market Coverage
  • Customer Loyalty
  • Measuring and Managing Success

This seminar offers the fundamentals of Parts & Service Marketing for any personnel that deal with your customers.

For more information, and to register for the seminar, please visit https://learningwithoutscars.org/classes/parts-service-marketing/making-a-difference/.

The time is now.