Thursday, December 10, 2009
It's been a great week! While 1SI picked up the "Best of the Midwest" award from the Mid-America Economic Development Council (www.maedc.net) for our business retention and expansion program, the real winners were our member companies. In 2009 alone, 14 companies either relocated to Floyd and Clark counties (5) or expanded here (9)...adding nearly 1,300 new jobs and $42.9 mil in new payroll. The bottom line is that companies that turn to 1SI and use our services succeed. What do we do? We listen to their needs and connect them to resources to help them go to the next level. Do you know of a company that could use our assistance? Do you have a business that's a member of 1SI but never thought to turn to us to help grow your company? Give us a call (812.945.0266), email me (katec@1si.org) or check us out on line at www.1si.org. We really can help!
2009 - A Reflection in Economic Development
With two recent announcements in as many weeks of significant economic development projects in New Albany (Kemper Foods International and WindStream Technologies, Inc.), it signals the approaching conclusion of a surprising and certainly encouraging year in business growth in Clark and Floyd Counties. We often take for granted Southern Indiana’s strength through its diversified economic base, innovative nature, educational opportunities, and entrepreneurial spirit. During tough economic times, these characteristics have served us exceptionally well – even while other regional economies have suffered extensive economic hardships. Not that we have been impervious to the effects of an economic meltdown but we are emerging from the “worst economic times since the Hoover Depression” relatively intact.
In fact, 2009 saw our newspaper headlines peppered with a lot of positive news about economic growth right here at home. This year One Southern Indiana announced growth plans from 14 different and diverse companies for new jobs, new capital investment, and new payroll dollars. These 14 projects represent growth by both our existing businesses and companies we are welcoming to the community for the first time.
And while victories in new business attraction often garner the most media attention, business retention and expansion projects make up the majority of our successful project location announcements. As every business knows, being able to retain and grow an existing customer is the backbone of its economic success. There is a long ever-present line of competitors waiting to take your customers from you. In the business of economic development, that list includes nearly every community with a formalized economic development program. So every time an existing company expands here at home, it is a victory in retention.
In 2009, One Southern Indiana announced the expansion of nine existing Southern Indiana businesses. These nine projects’ plans include the creation of 590 new Hoosier jobs that will add over $16 million new payroll dollars to our regional economy. Stop and consider that for a moment. When you think about every dollar we each spend on food, entertainment, housing, education, transportation, healthcare, and recreation, you begin to appreciate the effect an additional $16 million in new payroll dollars annually will have on our economy. Furthermore, these companies will invest over $33 million in new facilities, real estate, building improvements, machinery, equipment, and other tangible (and taxable) capital. In other words, the assessed value of our community has increased by $33 million. Increasing our tax base helps ease the burden on government.
2009 was also an eventful year announcing new companies coming to Southern Indiana and investing here for the first time. Five new companies joined our corporate community, bringing with them global recognition (Caterpillar, Inc.), advancements in alternative energy (WindStream Technologies, Inc.), environmental remediation (Specialty Earth Sciences, LLC), frozen food innovation (Kemper Foods International, LLC), and high-tech manufacturing (Cook Compression). Together, these companies will create over 700 new jobs in our community! These jobs will add over $26 million in new payroll annually and these projects represent over $22 million in new capital being invested in Clark and Floyd Counties.
In these challenging economic times, one can imagine the level of competition for each of these projects. There were many states and even more communities vying for these jobs, these payroll dollars, and the capital monies these companies are investing. That these five companies chose our community to locate speaks well toward our goal of becoming the point of destination for successful commerce.
Make no mistake about it…every new job commitment made, every single payroll dollar spent, every capital dollar invested, and every tax dollar collected has real world value and a positive impact right here in our community. In a global economy, these 14 existing and new companies could have invested their dollars and created these jobs virtually anywhere in the world and they would have been welcomed with creative and substantial incentive packages and overwhelming community support. They chose to grow their businesses here in Southern Indiana – 14 testimonials to Southern Indiana’s logistical and cost-of-doing business advantages that make it an ideal place to locate and grow your business.
- Matt
In fact, 2009 saw our newspaper headlines peppered with a lot of positive news about economic growth right here at home. This year One Southern Indiana announced growth plans from 14 different and diverse companies for new jobs, new capital investment, and new payroll dollars. These 14 projects represent growth by both our existing businesses and companies we are welcoming to the community for the first time.
And while victories in new business attraction often garner the most media attention, business retention and expansion projects make up the majority of our successful project location announcements. As every business knows, being able to retain and grow an existing customer is the backbone of its economic success. There is a long ever-present line of competitors waiting to take your customers from you. In the business of economic development, that list includes nearly every community with a formalized economic development program. So every time an existing company expands here at home, it is a victory in retention.
In 2009, One Southern Indiana announced the expansion of nine existing Southern Indiana businesses. These nine projects’ plans include the creation of 590 new Hoosier jobs that will add over $16 million new payroll dollars to our regional economy. Stop and consider that for a moment. When you think about every dollar we each spend on food, entertainment, housing, education, transportation, healthcare, and recreation, you begin to appreciate the effect an additional $16 million in new payroll dollars annually will have on our economy. Furthermore, these companies will invest over $33 million in new facilities, real estate, building improvements, machinery, equipment, and other tangible (and taxable) capital. In other words, the assessed value of our community has increased by $33 million. Increasing our tax base helps ease the burden on government.
2009 was also an eventful year announcing new companies coming to Southern Indiana and investing here for the first time. Five new companies joined our corporate community, bringing with them global recognition (Caterpillar, Inc.), advancements in alternative energy (WindStream Technologies, Inc.), environmental remediation (Specialty Earth Sciences, LLC), frozen food innovation (Kemper Foods International, LLC), and high-tech manufacturing (Cook Compression). Together, these companies will create over 700 new jobs in our community! These jobs will add over $26 million in new payroll annually and these projects represent over $22 million in new capital being invested in Clark and Floyd Counties.
In these challenging economic times, one can imagine the level of competition for each of these projects. There were many states and even more communities vying for these jobs, these payroll dollars, and the capital monies these companies are investing. That these five companies chose our community to locate speaks well toward our goal of becoming the point of destination for successful commerce.
Make no mistake about it…every new job commitment made, every single payroll dollar spent, every capital dollar invested, and every tax dollar collected has real world value and a positive impact right here in our community. In a global economy, these 14 existing and new companies could have invested their dollars and created these jobs virtually anywhere in the world and they would have been welcomed with creative and substantial incentive packages and overwhelming community support. They chose to grow their businesses here in Southern Indiana – 14 testimonials to Southern Indiana’s logistical and cost-of-doing business advantages that make it an ideal place to locate and grow your business.
- Matt
Monday, October 19, 2009
The Future of American Manufacturing
I just read a provocative article in the Economist entitled “Wanted: New Customer” on the future of manufacturing.
Even more interesting than the article itself were the comments by global readers (yes, I’m one of those people…it’s our job at 1SI to be aware!). Bottom line: for American manufacturing to continue to be the economic driver it has always been, two things need to happen – One, we need to up our educational game to the point where the students have access to high-quality, advanced-technology trades training (more science, technology, engineering principles and math to engender more innovators). Secondly, we have to engage the global marketplace (be a stronger and more capable player in international trade). A large part of southern Indiana’s economy revolves around “making things”…we’re great at it. This article and the comments chart a pathway we had better get on of risk losing our standard of living.
~Michael
Even more interesting than the article itself were the comments by global readers (yes, I’m one of those people…it’s our job at 1SI to be aware!). Bottom line: for American manufacturing to continue to be the economic driver it has always been, two things need to happen – One, we need to up our educational game to the point where the students have access to high-quality, advanced-technology trades training (more science, technology, engineering principles and math to engender more innovators). Secondly, we have to engage the global marketplace (be a stronger and more capable player in international trade). A large part of southern Indiana’s economy revolves around “making things”…we’re great at it. This article and the comments chart a pathway we had better get on of risk losing our standard of living.
~Michael
Friday, September 11, 2009
Business Retention & Expansion- What We've Learned After Three Years- by Nick Lawrence
Congratulations, Nick Lawrence- for authoring the following, which appeared in the IEDA Newsletter! Special thanks to the IEDA!
As many of you know, Business Retention and Expansion is the dirty work of economic development. It doesn’t get the headlines that landing the big fish does; you know the one like the newest high tech manufacturer you lured into town with that vacant ode to architectural glory on a piece of Greenfield space that is so pristine it would make both Ray Kinsella and Shoeless Joe ask if they were in heaven. No, BRE is a life in the trenches, where you have to roll up your sleeves and dig in. But as an economic development professional, having an active BRE program is vital to your business community’s survival.
At One Southern Indiana our Business Retention and Expansion program was founded on and guided by three simple, yet critical questions that helped us help our existing businesses:
1. How’s business?
2. Are there any impediments to the operation of your business?
3. Are you planning on doing an expansion or making a capital investment?
As you are probably aware from your interactions with co-workers, friends, and fellow business associates, people absolutely love to talk about themselves. And with this simple approach we have found out so much about what makes a business tick just by giving the floor to them. Owners and managers have opened up to us like you wouldn’t believe, taking a relationship that started initially with asking for 15 minutes of their time to a whole new level; one where we are recognized as a trusted advisor that can be called upon when something goes awry, putting us in the enviable position of having real relationships within our local commerce base. Three simple questions have given us an open door, typically a friendly greeting, and often times an hour of their time where intensive and insightful business knowledge is gained.
Is it rocket science? No, but you’ll never guess what this has done for our business community. Our economic development team covers a two-county area just north of Louisville, KY. We have cultivated this area with the three question technique and have had well over 400 one-on-one business visits in a three year period. These visits and the relationships established have yielded more than 40 announced existing business expansions (commitments of capital investment and job creation). That means we have a project development rate around 10%, all from just sitting down and listening (not prodding, selling, and certainly not by handing over a multi-page survey and expecting them to give us what we need). We turn the equation around and make it customer-centric, helping them chart a course for success by acting as a connector of the dots and a worthy co-pilot as they navigate. It’s using simple customer service etiquette and applying it to the ED world: how has your experience been so far and how can we make it better?
And the funny thing is you’d be surprised by what they ask for and how simple it can be to shine like a rock star in your customer’s eyes. Sometimes they may ask for information on green initiatives…Got it! Other times it’s a support letter for a signal light…Got it! It could be a connection to a local business…Got it! And every now and then you find a company ready to make that next step, one that involves capital investment and job creation, in which you can call in a cavalry of resources, including our partners at IEDC. Every assist you make helps to build the relationship and makes you, the economic development professional, relevant to their daily business activities and, most importantly, their success.
Other interesting outcomes from our BRE visits run the gamut in an attempt to respond to the needs of our local businesses. Our economic development team created the Business Resource Information Guide, a print and online publication that acts as a quick reference guide on incentives and resources available. Noticing our region’s proclivity for family-owned business, One Southern Indiana formed Family Works Network, which is aimed specifically at family-owned business leaders to meet and discuss topics of interest to enhance professional growth and overcome unique business challenges. And the crown jewel is the Metro Manufacturing Alliance (MMA), which recently celebrated its one year anniversary. The MMA is a unique forum where manufacturing managers meet with their peers, discuss common issues and successes, and listen to expert presentations on topics that apply exclusively to manufacturing.
We see the three question model permeating through the entire organization. It is now commonplace in our combined chamber of commerce and economic development organization to find staff members meeting with clients asking the same three questions and literally acting as the sounding board, collecting page after page of notes while putting the client in the driver’s seat.
In this time of bottomline number crunching and elimination of superfluous expenditures and processes, One Southern Indiana’s BRE program thrives by creating value and building relationships. And while we cannot guarantee our technique will work in every community or with every customer, we can guarantee that meeting with your existing business community is time well spent. You never know…your next big fish may already be in your pond!
~ Nick Lawrence
As many of you know, Business Retention and Expansion is the dirty work of economic development. It doesn’t get the headlines that landing the big fish does; you know the one like the newest high tech manufacturer you lured into town with that vacant ode to architectural glory on a piece of Greenfield space that is so pristine it would make both Ray Kinsella and Shoeless Joe ask if they were in heaven. No, BRE is a life in the trenches, where you have to roll up your sleeves and dig in. But as an economic development professional, having an active BRE program is vital to your business community’s survival.
At One Southern Indiana our Business Retention and Expansion program was founded on and guided by three simple, yet critical questions that helped us help our existing businesses:
1. How’s business?
2. Are there any impediments to the operation of your business?
3. Are you planning on doing an expansion or making a capital investment?
As you are probably aware from your interactions with co-workers, friends, and fellow business associates, people absolutely love to talk about themselves. And with this simple approach we have found out so much about what makes a business tick just by giving the floor to them. Owners and managers have opened up to us like you wouldn’t believe, taking a relationship that started initially with asking for 15 minutes of their time to a whole new level; one where we are recognized as a trusted advisor that can be called upon when something goes awry, putting us in the enviable position of having real relationships within our local commerce base. Three simple questions have given us an open door, typically a friendly greeting, and often times an hour of their time where intensive and insightful business knowledge is gained.
Is it rocket science? No, but you’ll never guess what this has done for our business community. Our economic development team covers a two-county area just north of Louisville, KY. We have cultivated this area with the three question technique and have had well over 400 one-on-one business visits in a three year period. These visits and the relationships established have yielded more than 40 announced existing business expansions (commitments of capital investment and job creation). That means we have a project development rate around 10%, all from just sitting down and listening (not prodding, selling, and certainly not by handing over a multi-page survey and expecting them to give us what we need). We turn the equation around and make it customer-centric, helping them chart a course for success by acting as a connector of the dots and a worthy co-pilot as they navigate. It’s using simple customer service etiquette and applying it to the ED world: how has your experience been so far and how can we make it better?
And the funny thing is you’d be surprised by what they ask for and how simple it can be to shine like a rock star in your customer’s eyes. Sometimes they may ask for information on green initiatives…Got it! Other times it’s a support letter for a signal light…Got it! It could be a connection to a local business…Got it! And every now and then you find a company ready to make that next step, one that involves capital investment and job creation, in which you can call in a cavalry of resources, including our partners at IEDC. Every assist you make helps to build the relationship and makes you, the economic development professional, relevant to their daily business activities and, most importantly, their success.
Other interesting outcomes from our BRE visits run the gamut in an attempt to respond to the needs of our local businesses. Our economic development team created the Business Resource Information Guide, a print and online publication that acts as a quick reference guide on incentives and resources available. Noticing our region’s proclivity for family-owned business, One Southern Indiana formed Family Works Network, which is aimed specifically at family-owned business leaders to meet and discuss topics of interest to enhance professional growth and overcome unique business challenges. And the crown jewel is the Metro Manufacturing Alliance (MMA), which recently celebrated its one year anniversary. The MMA is a unique forum where manufacturing managers meet with their peers, discuss common issues and successes, and listen to expert presentations on topics that apply exclusively to manufacturing.
We see the three question model permeating through the entire organization. It is now commonplace in our combined chamber of commerce and economic development organization to find staff members meeting with clients asking the same three questions and literally acting as the sounding board, collecting page after page of notes while putting the client in the driver’s seat.
In this time of bottomline number crunching and elimination of superfluous expenditures and processes, One Southern Indiana’s BRE program thrives by creating value and building relationships. And while we cannot guarantee our technique will work in every community or with every customer, we can guarantee that meeting with your existing business community is time well spent. You never know…your next big fish may already be in your pond!
~ Nick Lawrence
Monday, August 17, 2009
Taking the Fear Out of Networking
But the business world relies more and more on personal, one on one relationships to increase profit and productivity. Combined with shrinking marketing and advertising budgets, business men and women are being forced more now than ever to attend networking events in order to meet their next clients.
As a business growth organization, One Southern Indiana realizes more and more that we have to help our members make these connections. Most hesitancy comes from lack of knowledge. There’s nothing like attending that networking event and not knowing who in the room even fits your business’s profile, or how to find out.
For this reason, when 1SI began the Network of Champions almost two years ago, we introduced the fresh, new concept of having volunteers help our attendees with these very problems. These volunteers are called Champion Connectors and have several things in common, but the most important of these is their true love of meeting new people, and helping others meet new people.
If you attend a Network of Champions event you’ll find that as you walk in a Champion Connector will smile brightly, shake your hand, and ask you about your business. Once he or she gets a grasp on what you do, they’ll ask what your perfect prospect or client looks like. Sometimes, that’s a particular industry; other times, it’s a company that fits a certain size or demographic profile. That Champion Connector will scan the room to identify who there fits that description, and will personally introduce you to your targets. If they don’t know anyone that fits, they’ll introduce you to another Champion Connector and see if they can help. By the end of an event, most attendees will find that they’ve been personally introduced to at least three people that they’re comfortable calling to follow up with in the next few days.
Champion Connectors not only volunteer their time at the event; they also attend a once monthly training session where they discuss the upcoming format and how best to connect businesses to each other. The group meets at Workshop, the Creative Workplace, where creativity and idea sharing is encouraged and promoted, and energy levels run high. Workshop has been the birthplace of some brilliant ideas for the Network of Champions- but would you expect anything less from an innovative and stimulating meeting facility of that nature?
Champion Connectors do more than just help out with Network of Champions. At almost all of our networking events, you’ll find Connectors talking it up, walking people from person to person, and introducing everyone. This has taken the fear out of networking for so many of our new members and clients- and turned that fear into profitability.
Want to know more about Network of Champions, or feel you’d make a fabulous Champion Connector? Contact
Tuesday, August 4, 2009
Recession Dog Days? Not Quite...
Just met with Karla Haas, President of Rudy Green’s Doggy Cuisine (www.rudygreens.com). Whatever you may think of gourmet dog food, this company is really making tracks (pun intended). Karla has such a great enthusiasm and attitude…in talking with her, you’d hardly know there was any kind of economic hiccup. Her product is in Kroger and Whole Foods stores in Louisville , Lexington , Cincinnati and Nashville ~Michael
Tuesday, June 30, 2009
The Coming Wave of Entrepreneurship
This link takes you to a thought-provoking article from the Colorado Business Magazine...the premise is that with many talented people being laid off, many will start their own companies. The author questions how we can best support new business growth. You many not agree with all of his answers, but one of his proposals - the Business Colony Solution - sounds very similar to 1SI...we have the tools to work one-on-one with a business of any size and help them grow.
www.cobizmag.com/articles/the-coming-wave-of-entrepreneurship/
www.cobizmag.com/articles/the-coming-wave-of-entrepreneurship/
Thursday, June 4, 2009
May 5 O'Clock Network- Falls of the Ohio State Park
On May 28, One Southern Indiana hosted our monthly 5 O'Clock Network at the gorgeous Falls of the Ohio State Park. Over 140 people came out to connect and network their businesses! Business relationships were strengthened, appointments were made, and commerce happened.
Thank you to the Falls of the Ohio for hosting this event. Please visit their website at http://www.fallsoftheohio.org/ for more information on this gorgeous local recreation area.
Thank you to the Falls of the Ohio for hosting this event. Please visit their website at http://www.fallsoftheohio.org/ for more information on this gorgeous local recreation area.
Kevin Hammersmith, Duke Energy
View from the Nature Center
Wednesday, June 3, 2009
Economic Gardening
We've worked hard at 1SI to build a business growth stragegies organization that can connect our members to the services and prospective customers they need to reach to increase their profits. This work, what we call business retention and expansion, goes by another more hip and "green" name: economic gardening. It is defined as"...an economic strategy that focuses on supporting local entrepeneurs and small businesses. It is economic development from the inside out, versus from the outside in."
Economic gardening programs focus on three areas to help build small business:
1. Information resources and marketing assistance (also known as 'competitive intelligence').
2. Infrastructure development, including traditional items like roads and taxes as well as quality of life and education
3. Networking and information sharing.
As Shakespeare might say, 'a rose by any other name would smell just as sweet'- and the above paragraph is an exact definition of One Southern Indiana- particularly when you realize that our small buisinesses are often small, privately held advanced manufacturing operations, customer support centers, logistics operations, healthcare providers and construction trades. These are primary industries that bring new dollars into our community. We use our local competitive intelligence knowledge to connect them to cost saving and profit enhancing tools. We also use our advocacy efforts to address those infrastructure needs and use every means availalbe to network and information share.
One Southern Indiana IS economic gardening!
Economic gardening programs focus on three areas to help build small business:
1. Information resources and marketing assistance (also known as 'competitive intelligence').
2. Infrastructure development, including traditional items like roads and taxes as well as quality of life and education
3. Networking and information sharing.
As Shakespeare might say, 'a rose by any other name would smell just as sweet'- and the above paragraph is an exact definition of One Southern Indiana- particularly when you realize that our small buisinesses are often small, privately held advanced manufacturing operations, customer support centers, logistics operations, healthcare providers and construction trades. These are primary industries that bring new dollars into our community. We use our local competitive intelligence knowledge to connect them to cost saving and profit enhancing tools. We also use our advocacy efforts to address those infrastructure needs and use every means availalbe to network and information share.
One Southern Indiana IS economic gardening!
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