LEE COUNTY ECONOMIC DEVELOPMENT CORPORATION Southern Base of the Research Triangle Region NEWS RELEASE FOR IMMEDIATE RELEASE Thursday, May 18, 2006 CATERPILLAR TO OPEN INNOVATIVE PREHIRING ASSESSMENT CENTER SANFORD -- Blessed with increased demand for its compact construction machines, Caterpillar was faced with the enviable challenge of finding new assembly technicians, and doing it quickly. But there was one small problem. When the company discovered more turnover than expected among new agency workers brought onto the assembly line, quality improvement teams needed to find a more effective way to ensure the right fit between prospective assembly workers and positions on the shop floor. Their solution: Create an innovative assessment center to evaluate potential new employees and agency workers. But one that wouldn't only serve Caterpillar and its agency vendors, but the entire Lee County industrial community as well. Located at the North Carolina School for Telecommunications in the Lee County Industrial Park, the center is scheduled to open this summer. Though it may be the first of its kind in this area, the center is modeled on successful ventures by automobile manufacturers in other parts of the country. Initially, its work will focus on Caterpillar's immediate need. Caterpillar and its agency vendors will run job applicants through a series of assessments custom-designed to ensure a good match among the employee, the assignment and the company. The new process, quality improvement teams believe, will reduce turnover and allow new assembly workers to hit the ground running. "Sometimes, we hire people and bring people into our facility and they don't really understand what they're buying into," said learning manager Clyde Crider, who is helping develop the center. "We have shared with them information about our culture, the products we build, our legacy and our values. But they still don't know what it will be like to work in our facility. Some walk in the door that first day and it's not what they thought they signed on to do. "This prehiring assessment process really allows the candidate to evaluate the work and our facility as much as we and our agency vendors are evaluating them. It makes sure we have a good job fit." For Caterpillar, screening includes additional questions to supplement the standard employment application, a 20-minute video showing the exact type of work employees will be doing, and a work simulation allowing applicants to demonstrate their ability to perform job-related tasks. The simulation is one of the more elaborate additions to the screening process for assembly workers. Ergonomists have already been through the Sanford facility, selecting typical construction tasks, requiring light to heavy labor, and developing simulations of those entry-level tasks. Potential employees and agency workers visiting the assessment center will be asked to perform job-related tasks, allowing the company and its partner agency vendors to assess the applicant's ability and the applicant to assess the job. The result will not only be good for Caterpillar and the agencies who provide workers for its facilities, Crider believes, but for applicants as well. "It's really a 'win-win' situation," he said. "People who go through this process will understand what they're signing on for, and we'll understand the kind of person we're getting in this facility." It also will be a 'win' for the county and its broader industrial community. Once the center is up and running, it will be available to other companies. Central Carolina Community College has provided office space for the venture, and industrial relations officer R. Ray Epley has taken a lead role in attracting new clients and further developing the center's offerings. The most important benefit for the college is being able to serve local industries and help enhance the quality of life for local employees, according industrial relations assistant Cathy Swindell, who is working with Epley to develop the center. But she also expects the project will raise the college's visibility and create a showcase to attract more clients and students. In addition to reducing turnover, Crider said, there are other benefits of having this kind of facility available to local companies. Among them: having a more-skilled labor pool and being able to entice other expanding companies to locate here. "It's a unique business partnership -- with industry, the college and economic development -- to create a model program they can hold up to other industry," said Crider. "And, everybody wins." The Lee County Economic Development Corp. is a nonprofit organization established to attract industry, enhance job opportunities and promote sound planning across Lee County. Funding is provided by the county, as well as the City of Sanford and Town of Broadway, the county's two municipalities. -- 30 -- Media Contacts Bob Heuts, Director Jane Haber, Administrative Assistant Lee County EDC 919.774.8439 (phone) 919.775.5410 (fax) info@lcedc.com Therese Wojnarowski Division Communicator Caterpillar 919.337.2707 (phone) Wojnarowski_Therese_M@cat.com More on the Web LCEDC Media Web http://www.lcedc.com/media/ This release http://www.lcedc.com/media/releases/nr051806.txt Caterpillar http://www.cat.com