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1Voltedge, Inc. dba Ady Advantage | 613 Williamson Street, Suite 201 | Madison, WI 53703 | 608.663.9218 | AdyAdvantage.com | © Ady Advantage
STRATEGY MATTERS
Janet Ady
President & CEO
Megatrends of Economic Development and
How to Compete in ED Today
Economic Summit
Norman Economic Development Coalition
Thursday, April 16, 2015
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Representative Clients
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The Site Selection Process
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Four Drivers of E.D. Projects
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Five Core Operating Costs for Comparison
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Region-specific:
1.
2.
3.
Site-specific:
4.
5.
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Megatrend #1: Elimination of Risk
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What’s driving it:
• Avoidance of “surprises”
• Competitiveness of economic development field
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Megatrend #1: Elimination of Risk
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Examples of how it plays out:
• High level of interest in availability and productivity of
people at various skill levels
• Certified Sites programs
• Other forms of “readiness”
• Interest in state’s fiscal position and stability of
regulatory/policy platforms
• Interest in long-term cost and availability of water,
electricity, and natural gas
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Megatrend #2: Increasing Role of Regions
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What’s driving it:
• Availability of data
• Better reflection of labor pools than either state or
local jurisdictions
• Close enough to know the local operating
environment, yet distant enough to have a single POC
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Megatrend #2: Increasing Role of Regions
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Examples of how it plays out:
• Some searches now start at the regional level
Have to wave the flag for the whole state
LEDOs need to treat the region and the state as
“customers”
• Always think in terms of the pooled assets that regions
afford local groups
• Work very hard to make sure stakeholders are on
board – dissonance on this point can break a deal
• The locals will always be at the table at the end of the
day
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©2015 Ady Voltedge
State, Regional and Local Roles
in Economic Development
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“Regionalism does not
mean homogeneity.
It means just the
opposite: celebrating
differences within the
region.”
– Janet Ady
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Megatrend #3: Competitiveness Among EDOs
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What’s driving it:
• The maturation of the economic development field
• The increased sophistication of relocating/expanding
companies, especially as incentives have proliferated
• A very limited pool of relocating and expanding
companies
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“Competition for high quality jobs will
intensify in the 21st century and the
communities that are prepared to
address the needs of existing and
relocating businesses will be most
successful in capturing new
investment.”
-- Fantus Study, 1997
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Megatrend #3: Competitiveness Among EDOs
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Examples of how it plays out:• Increased emphasis on BRE programs
Your BRE program is your competitor’s business recruitment
program
How you treat your current businesses is the best indicator of
how you’ll treat my client
• Knowing your value proposition is key
• Branding to communicate your value proposition sets you apart
• Absolute synchronization among stakeholders and local, regional
and state players is essential
• More high-profile, direct-by-company searches
• Community image and reputation matter
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Megatrend #3: Competitiveness Among EDOs
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Examples of how it plays out:• Increased emphasis on BRE programs
• Your BRE program is your competitor’s business recruitment
program
• How you treat your current businesses is the best indicator of
how you’ll treat my client
• Knowing your value proposition is key
• Branding is to communicate the value proposition is also required
• Absolute synchronization among stakeholders and local, regional
and state players is essential
• More high-profile, direct-by-company searches
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A Peek Into My Inbox
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3,315 items and counting
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“The antidote to risk
is readiness
and alignment.” –
Janet Ady
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Dimensions of Preparedness and Alignment
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Organizational Strategy:Budget/Funding
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Organizational Strategy:Organizational Structure
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Organizational Strategy:ED Strategic Plan
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Organizational Strategy: Incentives Strategy
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Economic Assets: Infrastructure
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Growing in importance
Virtually always a key expansion/relocation consideration
Programs are now catching up to the need
In many cases, companies are leading the charge
Economic Assets: Workforce
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Economic Assets: Quality of Life
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Economic Assets: Quality of Life
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“Quality of life doesn’t matter at all…. Until it’s all that matters.”
-- Janet Ady
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Economic Assets: Quality of Life
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Economic Assets: Site Preparedness
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Economic Assets: Quality of Life
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Positioning:Value Proposition/Targeting
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Positioning:Targeting
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Positioning:Brand
Much more than a logo, but also, a logo
Brand standards
Brand story
Unique aspects of branding a place
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Positioning:Marketing
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Economic Assets: Quality of Life
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Programs:Business Start-Up
Pick your horses
Leverage other resources
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Economic Assets: Quality of Life
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Programs:Business Retention and Expansion (BRE)
80/20 rule
How you treat…
Best defense
Reactive, proactive, strategic
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Economic Assets: Quality of Life
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Programs:Business Recruitment
Zero-sum game?
Increasing stakes
State, regional, local roles
Requires focus and resources
Competition is as strong as it’s ever been
More company-directed searches
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Credit: Momastery.com
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Thank You
608.663.9218
[email protected]
www.linkedin.com/in/janetady/
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