Major Training Proposal for Engineers by xqq87091


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									                                      Retrainee - Job Creation

                                       Training Proposal for:
                                           C&D Zodiac, Inc.
                                   Agreement Number: ET11-0199

Panel Meeting of: March 25, 2011

ETP Regional Office: San Diego                       Analyst: J. Davey


Contract                                             Industry
Type:        Retrainee - Job Creation                Sector(s):    Manufacturing
                                                                   Aerospace and Defense

Counties                                             Repeat
Served:      Orange, San Bernardino, San             Contractor:     Yes      No
             Diego, Santa Barbara
Union(s):        Yes          No                     Priority
                                                     Industry:       Yes      No
No. of Employees in CA:            2,400             No. of Employees Worldwide:    10,534

   Turnover Rate %
                                     Supervisor %
            8%                             9%


                    Support Costs          Total ETP Funding                   In-Kind Contribution
   $255,150                   $0                $255,150                            $263,000

ETP 130 - Single (02/16/11)                                                             1 of 5
C&D Zodiac, Inc.                                  March 25, 2011                                   ET11-0199


                                                    Estimated      Range of Hours      Average        Post-
Job    Job Description        Type of Training       No. of        Class /             Cost per      Retention
No.     (by Contract Type)                                                       CBT
                                                    Trainees        Lab                Trainee        Wage
 1      Retrainee - Job       Business, Skills,         225        24 - 200       0     $1,134            $14.09
          Creation            Computer Skills,
                                Continuous                          Weighted Avg: 63

Minimum Wage by County: $15.37 per hour for Orange County; $14.81 per hour for San Diego
County; and$14.09 for San Bernardino and Santa Barbara counties.
Health Benefits:      Yes          No     This is employer share of cost for healthcare premiums –
medical, dental, vision.
Used to meet the Post-Retention Wage?:                  Yes        No         Maybe
$3.25 per hour may be used to meet the Post-Retention Wage.
Employer may use health benefits to meet the Post-Retention Wage.

                                        Wage Range by Occupation
                   Occupation Title                                             Wage Range
Administrative Staff
Information Technology Staff
Production Worker
Support Staff
Technical Staff


In this proposal, C&D Zodiac, Inc. (C&D Zodiac) seeks funding for retraining as outlined below:

C&D Zodiac designs and manufactures aircraft interiors such as seats, overhead bins, cabinets,
galleys, lighting, stairways, doors, and other interior cabin components of commercial and
private aircraft. Established in 1972 as an aircraft holding-tank company, C&D Zodiac evolved
into a major manufacturer, supplying cabin components to major aircraft manufacturers such as
Boeing, Airbus, and Bombardier. C&D Zodiac’s corporate headquarters is located in Huntington
Beach. The company meets the Panel’s requirements for out-of-state competition under the
provisions of Title 22, California Code of Regulations, Section 4416(i)(1) for industrially-classified
manufacturers and priority industry reimbursement. This is C&D Zodiac’s second proposed
ETP 130 - Single (02/16/11)                                                                      2 of 5
C&D Zodiac, Inc.                       March 25, 2011                                ET11-0199

The company reports that in late 2010 C&D Zodiac was selected by a major US airline to retrofit
its entire fleet. This project will result in hundreds of millions of dollars in new revenue to the
company. Due to the size of this project the company has changed its design and production

Much of the training will be focused on its new design and engineering processes that will occur
well in advance of production to improve overall efficiency. C&D Zodiac will hire engineers much
earlier in the design and manufacturing cycle; and will hire additional production workers to meet
increased production demand. These new jobs will have a substantial impact on the Southern
California workforce resulting in high quality jobs. The company has hired 40 employees in the
90-day period from December 2010 through February 2011 and expect to hire an additional 185
employees between March and August 2011.

The goal of this training is to support the fleet retrofit project. C&D Zodiac will hire and train at
least 225 new employees for the new project. ETP funding will help the company train
employees faster, allowing engineering and manufacturing processes to be ready more quickly.
The expected result of ETP-funded training is that the company will be able to deliver products
on time and meet customer deadlines.

Training will take place at eight C&D Zodiac facilities in the Southern California counties of
Orange, San Bernardino, San Diego, and Santa Barbara.


C&D Zodiac will provide the following training only to its newly-hired retrainees:

Business Skills All the trainees in this proposal are new to the company. As new employees,
they need to learn to manage products, resolve problems, and communicated more efficiently.
The Administrative Staff, Engineers, Information Technology Staff, Leads, Supervisors,
Managers, Production Workers, Supervisors, Support Staff, and Technical Staff will receive this

Computer Skills New business demands will require expanding software platforms. New
employees need to learn the software applications so that they can keep pace with new
engineering and production requirements. The company will be able to meet delivery schedules
more accurately and highlight and resolve production problems. The result will be more efficient
communication between engineering and manufacturing.

       The Information Technology staff will receive training on Information Technology
        Solutions/Internet Tools, Computerized Status, Database Administrator Tools and
        Utilities, Network Developer Tools and Utilities, Web Application Training, Database
        Developer Tools, and Utilities.

       The Administrative Staff, Engineers, Leads, Managers, Production Workers,
        Supervisors, Support Staff, and Technical Staff will receive training on Inventory
        Management Software, Handling Special Orders, MS Office, Project Management
        Applications, Materials & Logistics Software, Product Types, and Advanced Desktop

ETP 130 - Single (02/16/11)                                                              3 of 5
C&D Zodiac, Inc.                      March 25, 2011                            ET11-0199

Continuous Improvement C&D Zodiac customers require design, engineering, and
manufacturing processes to meet the highest standards. The first ETP project allowed the
company to begin a quality initiative. New employees hired for the proposed project need to
learn the C&D Zodiac Continuous Process Improvement quality system. The goal will be to
have engineering and manufacturing resources available for use as needed, resulting in more
efficient manufacturing and improved product quality. Engineers, Managers, Supervisors,
Support Staff, and Technical Staff will receive this training on C&D Quality Systems, Design
Engineering Processes, and Engineering Procedures.

Manufacturing Skills New employees must learn skills in design, engineering, and production
processes. Workers will be asked to implement new product design and improve manufacturing
procedures. The goal of the training will be to give workers the skills to manufacture products
more efficiently and deliver products on time.

       Leads, Managers, Production Workers, and Supervisors will receive training in Special
        Production Equipment/Tools, Manufacturing Techniques, Operating Test Equipment,
        Blueprint Reading, Technical Specifications, Bonding, Insert Verification, Fabrication of
        Composites, Repair Station Procedures, Electrical Processes, Assembler Processes,
        Production ID and Traceability, and Production Procedures.

       Engineers, Leads, Managers, Supervisors, Support Staff, and the Technical Staff will
        receive training on C&D Zodiac Engineering Requirements, Waste Management,
        Material Planning, and Resolving Production Problems.

Commitment to Training

Currently C&D Zodiac does not have a formal training budget. The company spends
approximately $100,000 per year on training on an as-needed basis. Training is currently
provided to the Administrative Staff, Information Technology Staff, Leads, Managers, Production
Workers, Supervisors, Support Staff, and Technical Staff.

The company provides Required/Mandated Training such as CalOSHA Mandated Training,
General Safety Training, and Sexual Harassment Prevention on an as needed basis. In
addition, the company provides job-related/technology training such as: Introductory MS Office,
New Hire Orientation, Production/On-the-Job Skills Training, First Aid, and Business Ethics, and
Benefits. With the help of the ETP, the company started to formalize its training program. Most
training is done in-house by company subject matter experts.

C&D Zodiac represents that ETP funds will not displace the existing financial commitment to
training. C&D Zodiac anticipates that the opportunity for enhanced training made possible by
ETP funds will encourage an ongoing financial commitment in this area.

C&D Zodiac represents that safety training is, and will continue to be, provided in accordance
with all pertinent requirements under state and federal law.

Retrainee - Job Creation

Pursuant to action taken by the Panel in October 2010, core program funding is available for
single-employers in support of job creation. To be eligible for the Retrainee - Job Creation
program, trainees must be newly-hired within a nine-month period: three months prior to and
six months after the Panel meeting at which the proposal is approved. If workers are hired later
than 6 months out, they will still be eligible, but the approved amount of funding will not be

ETP 130 - Single (02/16/11)                                                         4 of 5
C&D Zodiac, Inc.                          March 25, 2011                                ET11-0199

increased.    Under the Panel guidelines for this program, the Substantial Contribution
requirement is waived.

C&D Zodiac’s recently awarded new contract will increase production and lead to the hiring of at
least 225 newly hired retrainees. The new contract will require C&D Zodiac to hire and train
these new employees. This meets the Panel’s guidelines for 2010/2011 Job Creation funding.
No incumbent workers hired prior to December 2010 will be eligible for ETP reimbursement
under this job creation proposal.


For the reasons set forth above, staff recommends approval of this proposal.


The following table summarizes performance by C&D Zodiac under an active ETP Agreement:

                        Approved                      No. Trainees       No. Completed          No.
Agreement No.                            Term
                         Amount                       (Estimated)           Training          Retained
                                       9/25/09 –
  ET10-0230             $246,960                           245                  0                     0
Training of incumbent workers is taking place at several C&D Zodiac facilities in the Southern California
region. The company expects to retain 280 trainees by the time all training and the 90-day retention is
completed in early fall this year. The company reports that it expects to earn 100% of the approved
amount. Currently, the company is eligible for 74% of total reimbursable training hours, provided all terms
and conditions of the Agreement are met.


C&D Zodiac retained National Training Company, Inc. in Irvine to assist with development of this
proposal for a flat fee of $10,000.


C&D Zodiac also retained National Training Company to perform administrative services in
connection with this proposal for a fee of $29,263, not to exceed 13% of payment earned.


To Be Determined

ETP 130 - Single (02/16/11)                                                                  5 of 5
C & D Zodiac, Inc.                                                         ET11-0199

                                  Exhibit B: Menu Curriculum

Class/Lab Hours

24 – 200                  Trainees will receive any of the following:

                          BUSINESS SKILLS
                             Marketing Strategies
                             Account Development Strategies
                             Putting the Customer First
                             Effective Communication Skills
                             Product Knowledge
                             Accounting Processes
                             Business Processes
                             Project Management
                             Business Continuance

                          COMPUTER SKILLS
                             Inventory Management Software
                             Information Technology Solutions/Internet Tools
                             Handling Special Orders
                             MS Office (Intermediate and Advanced)
                             Project Management Applications
                             Materials & Logistics Software
                             Computerized Status
                             Product Types
                             Database Administrator Tools and Utilities
                             Network Developer Tools and Utilities
                             Web Application Training
                             Database Developer Tools and Utilities
                             Advanced Desktop Applications
                             Windows Server Support and Maintenance

                          CONTINUOUS IMPROVEMENT
                             Philosophy and Culture to Sustain Lean
                             Auditor Procedures
                             C&D Quality Systems
                             Increasing Productivity
                             Lean Processes
                             Design Engineering Processes
                             Engineering Procedures
                             Problem Solving/Team Problem Solving
                             Teamwork/Building Teams
                             Total Quality Management Skills
                             Process Improvement Training
                             Value Added Activities
                             Waste Identification

ETP 100 – Single (11/01/10) Exhibit B                                                  1 of 2
C & D Zodiac, Inc.                                                          ET11-0199

                                  Value Stream Mapping
                                  Quality Control Systems
                                  Quality Inspection
                                  5S
                                  Setup Reduction
                                  Statistical Control Systems
                                  AS9100 Quality Standards
                                  Best Manufacturing Practices
                                  Communication Skills

                          MANUFACTURING SKILLS
                             Special Production Equipment/Tools
                             C&D Zodiac Engineering Requirements
                             Waste Management
                             Material Planning
                             Manufacturing Techniques
                             Operating Test Equipment
                             Blueprint Reading
                             Technical Specifications
                             Resolving Production Problems
                             Bonding
                             Insert Verification
                             Fabrication of Composites
                             Repair Station Procedures
                             Electrical Processes
                             Assembler Processes
                             Production ID and Traceability
                             Production Procedures

        Note: Reimbursement for retraining is capped at 200 total training hours per
        trainee, regardless of the method of delivery.

ETP 100 – Single (11/01/10) Exhibit B                                                   2 of 2

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