Report Warns New England on Manufacturing Regional Approach Sought to Preserve High-Tech Advantage
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Report warns New England on manufacturing Regional approach sought to preserve high-tech advantage By Jay Fitzgerald GLOBE CORRESPONDENT APRIL 08, 2015 New England’s competitive edge in advanced manufacturing could erode over time if a regional approach to job training and other measures are not implemented by the six states, according to a report due Wednesday. The region is considered a leader in advanced manufacturing, which relies heavily on cutting-edge machinery, software, and robotics to make sophisticated products, ranging from medical devices to semiconductors, according to the report, produced by Deloitte Consulting LLP for the New England Council, a business group. But the study, which is a follow-up to a 2010 report, cautioned that there are persistent challenges facing the industry. In particular, the report warns of a “skills gap” between available workers and what employers increasingly need to make sophisticated, higher-end products. Most jobs in advanced manufacturing, which usually pay more than traditional manufacturing jobs, require computer, software, math, and other special skills to operate the machinery and laboratory-like equipment. “Coupled with a generation of incumbent [manufacturing] workers nearing retirement, the concerns over where to find and how to train the next generation of advanced manufacturing workers is reaching critical levels of need,” the report says. Advanced manufacturing in New England encompasses sectors such as aerospace, defense, signal processing, navigation, optics, biotechnology, medical devices, precision machinery, and other technology-driven sectors, the report notes. To bolster advanced manufacturing in the region, the report recommends: ■ Creating “program offices” that would track education, job training, and other programs designed to promote advanced manufacturing. The offices would also share information with program offices in other New England states. ■ Jointly applying for federal funds to create a New England “advanced manufacturing center” that would act as a business incubator for companies that want to collaborate on industry issues. In 2013, President Obama launched the National Network for Manufacturing Innovation, an initiative that’s already funding centers in Illinois, Ohio, and Tennessee. ■ Expanding partnership and apprentice programs between companies and schools, including community colleges. ■ Rebranding advanced manufacturing to make it more attractive to young workers, parents, and school administrators. Referring to advanced manufacturing as part of a “maker revolution” or “maker movement” could help eliminate an unfair stigma that manufacturing is dirty, dangerous, and low-paying. James Brett, president of the New England Council, said he hopes the report will help galvanize support for advanced manufacturing in the region. “We can’t rest on our laurels,” said Brett. “This is a call to action. Today's advanced manufacturing is not the dark and dirty manufacturing of years past.” Brett’s group on Tuesday briefed Ron Walker, Governor Charlie Baker’s secretary of labor and workforce development, about the report’s findings and recommendations. “The NEC report confirms what we have heard anecdotally from employers, that a skills gap exists in advanced manufacturing,” Walker said in a statement. He said the Baker administration is “poised to deal with the skills gap on two fronts” — through a newly created “workforce skills cabinet,” which would address education and training programs for all industries, and a new task force that would focus on how to find jobs for those who face chronic unemployment. Jay Fitzgerald can be reached at [email protected]. LINK: http://www.bostonglobe.com/business/2015/04/07/state-leadership-advanced- manufacturing-faces-challenges-says-report/FJL5rlxLnbgplfB4dfqF7M/story.html Report on advanced manufacturing pushes education, branding 4/8/2015 A new report is urging stronger efforts to train those who will work in advanced manufacturing industries throughout New England while altering the public’s image of the sector by focusing on its safety. The report, released Wednesday by The New England Council and the consulting firm Deloitte, provides several recommendations for more growth from the sector and improved global competitiveness. The report, “Advanced to Advantageous,” identifies areas in New England where industries are setting the pace in advanced manufacturing. These industries include: aerospace and defense, medical devices and biotechnology, as well as software that change additive manufacturing and the Internet of Things (IoT), helping to position the region as a leader in advanced manufacturing. The report identifies progressive programs as being “islands of excellence,” combing existing advantages and replicating them into widespread adoption. The 112-page report, an update of a 2010 report, had a few key recommendations. 1. Creation of a federally funded manufacturing center in New England by improving partnerships between government, educators, and industry. 2. Rebranding the industry to “make it” a better brand by altering the public’s perception of manufacturing from being a dangerous environment to a safe one. 3. Increasing industry partnership and apprenticeship opportunities so students can be matched with industry positions and have training in critical skills, allowing them to have careers in advanced manufacturing. “Manufacturing and higher education organizations across New England have told me how invaluable our 2010 report has been to them as they seek to rebound from the recession and train the skilled workforce our region requires,” said James T. Brett, president and CEO of The New England Council, a regional advocate for business, in a statement announcing the findings. “Our hope is that this new report builds on the progress of the first, and helps drive a broader discussion among public and private sector stakeholders about how we collaboratively invest in and support advanced manufacturing to both promote sustained economic growth in every corner of New England and strengthen our regional competitive advantage. LINK: http://www.wbjournal.com/article/20150408/NEWS01/150409948 Maine trails rest of New England in advanced manufacturing By Darren Fishell, BDN Staff Posted April 08, 2015, at 7:59 a.m. PORTLAND, Maine — New England is primed to compete with other regions in advanced manufacturing, according to a study released Wednesday, but Maine’s share of such jobs lags behind the rest of the region. The study, commissioned by the New England Council and completed by national consulting firm Deloitte, reviewed federal data sources and solicited input from regional experts to compare the competitive advantages of the region for advanced manufacturing jobs, such as biotechnology and precision machining. The new study updates a 2009 report. The latest study found that about 40 percent of Maine’s manufacturing jobs are in areas it deemed “advanced manufacturing,” compared to an average of about 59 percent for the entire region, according to 2012 job sector figures. While lagging as an overall share of the economy, the study found Maine excelled in several specific areas, including aerospace and defense. The state ranks behind others in the region in the area of medical devices and biotechnology when measured by per- capita value of shipments. The study overall suggests strategies to boost development in New England of technologies in optics, measurement and navigation; aerospace and defense; medical devices and technology; semiconductors and complex electronics; and precision machining. The study also estimated the costs of doing business for metropolitan areas in New England, looking only at the Portland area in Maine. The study compared wages, real estate costs, energy and tax rates for various New England cities against a “low-cost county” in a southern state. That comparison found all New England cities studied were disadvantaged compared by energy costs and state and local taxes but competitive on wages and rents with the exception of Boston. In addition to Portland and Boston, that analysis looked at costs in Keene, New Hampshire; Burlington, Vermont; Pawtucket, Rhode Island; New Bedford, Massachusetts; and New Britain, Connecticut. The study suggests strategies for the region to develop more advanced manufacturing, citing examples in Maine that include seed funding through the Maine Technology Institute and Thornton Academy’s partnership with the National Tooling and Machining Association that allow students to earn a certificate in precision manufacturing. Region-wide, the study suggests New England could become a standout nationally for advanced manufacturing if it improves educational options and apprenticeships related to advance manufacturing; rebrands manufacturing in general “to reflect the high pay, critical thinking, advanced technologies and designs” of advanced manufacturing; secures a federal Revitalize American Manufacturing and Innovation grant; and develops research and development incentives and assistance with intellectual property issues. LINK: https://bangordailynews.com/2015/04/08/business/maine-trails-rest-of-new-england-in- advanced-manufacturing/ Boston Business Journal Report calls for expanded effort to promote advanced manufacturing in New England Apr 8, 2015, 4:00am EDT Eric Convey Web Editor- Boston Business Journal New England lawmakers and business leaders should work together to position the region to receive federal help for expanding advanced