Ryan Hundt hundtr1@michigan 517.614.1274

1. Ryan Hundthundtr1@michigan.org517.614.1274

2. Panel Members MAT2 Panel Discussion Mike Gidley CEO, Pontiac Coil Bernie Berrigan Director, Human Resources Brose Patrick Hillberg, PhD Solutions Architect Siemens 2

3. The need for CHANGE 2

4. Addressing Critical Issues Formation of MAT 2 • Shortage in Skilled Labor • 82% of manufacturing companies report a moderate to severe shortage in skilled labor • Aging Workforce • Average worker in manufacturing industry is 44.5 years old • Cost of Postsecondary Education • Average published charges for full-time undergraduates in 2013-14: $18,391.00 4

5. Benchmarked on German Dual Education System Formation of MAT 2 • Learning by doing • Combines time spent in a classroom with real-world experiences at a company • Ensures Return on Investment • Students contribute work like a regular employee, require less training once they have a job, and companies don’t spend as much money on recruitment, retention, and re-training of new employees • Contributes to low youth unemployment rates (Germany: 8%; Spain: 56%; Italy: 38%) 5

6. What is MAT2? Michigan Advanced Technical Training Industry Government Colleges K-12 Schools

7. ➔The System • A dual education system • Industry-Driven • Partnership between industry and educators • Major System Standards • (Processes, tools, agreements) • Standard Process for Development of programs • (curriculum, program and learning outcomes) • Can incorporate any technical profession • Social responsibility combined with an industry-focused approach The MAT2System MAT 2 Program Overview MAT 2 Program Overview 7

8. The MAT2Programs • Individual professions, based on MAT2 System • Content Development : Industry and Colleges • 2-3 year program (depending on profession) • Classes in cohort format ➔The Programs MAT 2 Program Overview MAT 2 Program Overview 8

9. Fall 2014 Programs Offered Technical Product Design Information Technology • Mechatronics 9

10. Timeline 13

11. Year 4 &5 Full-time Work School and Work Schedule Year 1 ,2 and 3: Work periods: 8 Weeks School periods: 8 Weeks

12. School and Work Schedule Year 1 Year 2 Year 3 Work School Work School School Work School Work Work Work School Work School School Work Work Work Work School School

13. Accepted Model: Mechatronics • Non- Exempt Position, Employment on at-will basis • Hourly rates increasing with work competences • Annual Vacation & Benefits (based on federal employment law and established company policies for part-time employees) • Reimbursement • Tuition, certification fees, allowance (terminate for cause)

14. Industry Participation 18

15. MAT 2 Industry Partners Current Participating Companies 21

16. How MAT2BenefitsCompanies 16

17. 3. Year 1. Year 2. Year Investment Time available to assess and improve the “fit” between company and employee Salary+ costs Salary+ costs Salary+ costs Benefit • School Stipends • Hourly Salary for work periods • Instructor(s) work in Production 18 weeks    School and Lab 14 weeks • Training on in-house equipment from beginning • Standardized competencies and practices • Pipeline of well-trained talent as outcome • Internationally accredited tests and standards • Bridging today’s skills gap • Increasing involvement in real VA (value added) processes (projects and production) – added value () School and Lab 21 weeks work in Production 27weeks School and Lab 28 weeks work in Production 36 weeks    MAT 2 Program Overview MAT 2 Program Overview ➔MAT2 Benefits Beneficial situation for enterprises (Business Case) -> VA added Interview comment: “human investment with great business case profitability ” 17

18. Value of MAT2 • Known, reputable model of building a competent workforce • NOT a short term Certificate training strategy • Industry defined curriculum (DACUM) resulting in Associates Degree, and (pending) Department of Labor journeyman card, and German certificate • Statewide standardized curriculum minimizing educational variations between colleges

19. Value of MAT2 • Competency based learning, NOT time based • School/Work pattern builds long term behavior and memory patterns • Behavioral and attitudinal components addressed • Grow commitment on both sides • Long term loyalty and identity with company • Less turnover • Building work rotations add business value sooner than internship/co-op, etc.

20. Value of MAT2 • Social good and business sense • Continued employment upon graduation assures return on investment. • (3 yr. school + 2 yr. full-time employment) • “Equal play” policy negates competition between companies • Pro-rated pay back if student quits/fired

21. MAT 2 Program Overview Academic Providers

22. Participation Want to participate?

23. Initial Meeting Submit Reservation Self Evaluation: Participation Readiness Preparation and Development Formal Committment Looking Ahead: Steps for Interested Companies • Check Min. • Requirements • ( Program/ • Curriculum • Standards, • Resource • Commitment) • Attend Webinar (optional) • Decision: • Non-Developer • OR Developer • Select Profession (Program) • Select Cohort, Community College and # of students • Indicate interest to MAT2 Administration • Contact MEDC/Orbitak to schedule a meeting at your location. • Finalize remaining details Begin preparing for Company Fair, submit necessary info (instructor name, web info, schedule CEO video) Agreement to participate and adhere to program and system standards

24. Contacts Ryan Hundt Michigan Economic Development Corporation 517.614.1274 hundtr1@michigan.org Valerie Jemerson Michigan Economic Development Corporation 517.373.1201 jemersonv@michigan.org Dr. Thomas Baumann Orbitak International 248.701.4625 Thomas.Baumann@ORBITAK-INTERNATIONAL.com

25. Contacts Website: www.mitalent.org/MAT2

26. Questions?

27. Panel Members MAT2 Panel Discussion Mike Gidley CEO, Pontiac Coil Bernie Berrigan Director, Human Resources Brose Patrick Hillberg, PhD Solutions Architect Siemens 27