The Road to Regionalization Key Recommendations for a Creating a Regional Workforce Board
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Panel • Dave Smith, Board Chair, CEO & President, The Employers’ Association (TEA) • Jim Fisher, Board Vice Chair, Director, PADNOS (regional employer) • Rob Sarro, County Administrator, Allegan County • Jacob Maas, CEO, West Michigan Works!
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The Road to Regionalization • Background: The factors that provided the impetus for regionalization • Mission‐Driven, Data‐Directed: The data that supported the decision to regionalize • Good Governance: Creating a solid and equitable foundation for a regionalized entity • Culture of Inclusion: Intentional efforts to create ownership and acceptance 3
About West Michigan (Region 4b) • 7‐county region • Population 1,363,009 • 6 ISDs, 3 Community Colleges, 11 Colleges & Universities • 5 Economic Development Agencies • Manufacturing, Healthcare, IT & Construction
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Perception vs. Reality
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Background
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! Regionalization could not have happened unless and until we made the transition to an EMPLOYER‐FOCUSED mission.
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Benefits of Regionalization 1. United Focus & Direction 2. Cost Savings & Greater Financial Flexibility 3. Consistent Service Delivery 4. More Impactful Workforce Investment Board
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Risk Factors 1. Effect on Performance 2. Differences in Governance and Service Delivery Structure 3. Increased Liability
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Workforce Agencies
16…
to
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Regional Prosperity Initiative Empowering Local Private, Public and Non‐Profit Partners to Drive Economic Prosperity
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Timeline Gov unveils vision for regionalization 3/11/2013
MWAs in West Michigan meet to discuss benefits and risks 8/1/2013 RFP for consultant 9/1/2013
Mar
MAR 2013
Jul
Nov
Mar
2014
Jul
Formal conversations begin 8/1/2014
State response to initial plan 1/1/2015
Nov
Committees formed 3/1/2015 Mar
2015
New entity: West Michigan Works 10/1/2015
Jul
OCT 2015
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Mission‐Driven, Data‐Directed
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Commuting Patterns % In-County
% Region 4b
% Region 4A
% Outside of Region
100% 90%
15% 1%
80%
10%
16%
13% 1%
23% 31%
4%
31% 38%
1%
70% 30%
0%
39%
0% 2%
60% 42% 50% 40%
38%
42% 33%
74%
30% 50% 20%
47% 34%
31%
27%
26%
Allegan
Montcalm
10% 0% Kent
Muskegon
Ottawa
Ionia
Barry
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Regional Employers
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Good Governance
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Building a Team Environment
Figure 1. DiSC Profiles. Retrieved from https://www.intesiresources.com/25‐disc‐profile‐facts.html. Figure 2: Lencioni, Patrick and Wiley Workplace Learning Solutions. Retrieved from http://www.fivehehaviors.com.
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Key Issues
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Representation Structure
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Culture of Inclusion
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Organizational Structure‐ ACSET History of ACSET’s Interlocal Agreement 1985 Grand Rapids Area Employment and Training (GRAETC)and Kent Grand Rapids CAP merge with approval from the State of Michigan to become Area Community Services Employment and Training (ACSET) Council. 1996 Allegan County joins the service delivery area and is added to the Interlocal Agreement to form Michigan Works! Kent & Allegan Counties. 2000 The interlocal agreement was amended to reflect Workforce Investment Act changes. 2014 Barry County joins the service delivery area and is added to the Interlocal Agreement to form Michigan Works! Kent, Allegan and Barry Counties.
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Merger
vs
Acquisition
Mutual decision
One entity takes ownership of another
Integration in order to expand operations
Can be difficult and/or hostile environment
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CEO Legal Dept
Marketing/Comm Depart
HR Dept
CFO Fiscal Dept
Chief Operating Officer
Reg’l Service Center Director
Policy Dept Performance/ Quality Dept
Facilities Dept
Service Center Manager
Service Center Manager
Service Center Manager
Service Center Manager
IT Dept
Business Solutions Dept
Service Center Manager
Michigan Works! Kent Allegan
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Creating a Culture of Inclusion • Requested approval from GB to revise some pay ranges and added new ones based on compensation studies. (June 2015) • Union changes, seniority, no probation • Did not have to apply for positions‐ direct hire • Logo • Intranet • Met with incoming staff individually
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Communicate Early and Often • Transition teams, marketing, WIOA, legal • Met regularly • Service center meetings with proposed org charts with new names and titles • All staff meeting in October 2015 • Regular updates with boards
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CEO CAA Assoc Director
Staff Attorney
CAA Progr Manager
Staff Attorney
Marketing/Comm Director
Chief Financial Officer
HR Director
Accounting Manager
Accounting Supervisor
Chief Operating Officer
Reg’l Service Center Director
WIOA/WP Policy Manager PATH Policy Manager TAA Policy Manager
Facilities Manager
Service Center Manager
Service Center Manager
Service Center Manager
Service Center Manager
IT Manager
Reg’l Business Solutions Director
Business Solutions Manager
Service Center Manager
Youth Policy Manager
WM-Reg 4B WMA
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The West Michigan Works! Workforce Development Board • Board structure • 35 members • Mirror demographics of industries and communities • Merging 4 boards: from 70 to 35
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Keys to a Successful Merger • Perception vs. Reality • Seek Outside Counsel • Mission‐Driven, Data‐Directed • Establish Good Governance • Challenge Yourself to Think Differently • Communicate Early and Often 32
Resources • US Chamber of Commerce: Managing the Talent Pipeline • US Census: On the Map
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Contact Information • Dave Smith, Board Chair
[email protected] • Jim Fisher, Board Vice Chair
[email protected] • Rob Sarro, Allegan County
[email protected] • Jacob Maas, West Michigan Works!
[email protected] 34