Title: Rethinking Retention: Creating 21st Century R
1Rethinking Retention Creating 21st Century RE
Programs
- Presented to
- Business Retention and Expansion International
2006 Annual Meeting - Presented by
- Phillip D. Phillips, Ph.D./CEcD
- Greater Omaha Chamber of Commerce
- May 18, 2006
2The Way We WereThe Greater Omaha
ChamberAmbassador Business Call Program
3Purposes of the Ambassador Program
- To retain and expand businesses, jobs and
investment in the Omaha area by - Providing proactive contact with leading local
businesses. - Determining the level of satisfaction of Omahas
business community with the local business
climate. - Improving the business climate through input to
programs. - Assisting businesses with one-on-one follow up on
specific company needs.
4History and Goals of the Ambassador Program
- Created in 1995 as part of the Target Omaha
program - Conducted annually
- All surveys conducted in person
- Volunteer Ambassadors conduct most surveys
- Goal Contact 400 companies each year
- Goal Immediate response to needs and
opportunities provided by Chamber staff and allies
5Benefits to Ambassadors
- Improve the business environment of the community
in which their businesses operate. - Gaining a better understanding of Omahas
business community and climate. - Making business contacts by meeting key business
decision makers.
6The Ambassadors Commitment
- Attend orientation program.
- Call each assigned company and arrange an
interview. - Conduct interviews with at least 4 assigned
companies. - Return survey results promptly.
- Contact chamber staff regarding unusual issues or
opportunities discovered in an interview.
7The Chambers Commitment
- Assign companies to be interviewed and provide
contact information - Provide letters of invitation to companies to be
interviewed - Provide training and supporting materials
- Provide general follow-up to all companies
surveyed - Provide detailed assistance as needed to
companies on specific issues - Inform Ambassadors of the outcome of interviews
8Findings 1995 to 2005
- The Omaha Areas Assets
- High labor force quality productivity and
skills - High quality of life Midwestern values,
family environment, cost of living, education,
and health care - A diverse and stable economy
- Ratings of the availability of cultural
activities have been rising - Area businesses are highly satisfied with local
utility services (electric, gas, water, sewer) - Size and quality of the local customer base
9Findings 1995 to 2005
- The Omaha Areas Liabilities
- Labor force availability
- Government tax levels, especially property
- National image/lack of image
- Air connections, especially to the coasts
- Growing number of competitors/small local market
- Hesitancy to accept new businesses/ideas/products
- Climate/culture/outdoor recreation opportunities
10The Way It IsA World of Challenges to RE
11The Way It Is A Multiplicity of Demands
- Impacts of information technology - on the
businesses we serve, how we communicate with them
and how successful economic development
organizations operate. - More sophisticated and creative use of business
incentives and increasing challenges to their
use. - Increased concern for environmental and growth
management issues smart growth, sustainable
development, impact assessment, etc.
12The Way It Is A Multiplicity of Demands
(continued)
- More sophisticated targeting of development
opportunities industry clusters, etc. - Emphasis on retail and service activities as well
as manufacturing and other basic industries. - Increasing focus on serving minority and
disadvantaged communities. - Developing better cooperative relationships at
the local, regional, state, national and
international levels.
13The Way It Is A Multiplicity of Demands
(continued)
- External Trends
- Demographic shifts
- Immigration
- Globalization
- Terrorism
- And so much, much more
14The Way It IsA Multiplicity of Demands
(continued)
- Increasing program and funding demands requiring
a broader portfolio of revenue sources - Membership dues
- special funding campaigns,
- Government grants and contracts
- Private foundation grants and contracts
- Fees for service
15The Way It Is
- An unstable business environment
- Downsizing
- Rightsizing
- Offshoring
- Acquisitions
- Divestitures
- Bottom line Here today, gone tomorrow applies
every business in your region
16The Way It Is
- Key components of a 21st century business model
- Intellectual property/better mousetrap
- Management team
- Strategic partners
- Source of capital
- Marketing channels
- Exit strategy
17The Way It Is
- What a 21st century business model seeks to
avoid - Employees Avoid long term commitments by
contracting out non-core functions and using
contract, contingent and part time employees - Facilities and equipment Lease, never own
contract out as much as possible - This scenario does not fit well with how the
success of economic development efforts is
measured!
18The Way We are BecomingThe Evolving Scope and
Shape of the Omahas BRE Program
19Organizational Structure
- Creation of an Economic Development Council
emphasizing - Wider involvement of staff, allies and volunteers
- Broader mandates and more varied work program
- Action-oriented call program
- Outreach to non-local corporate headquarters
- More focus on specific sectors (insurance,
defense, retail, bioinformatics, etc.) - Greater emphasis on entrepreneurship business
creation (CRE?)
20(No Transcript)
21The Ambassador Program(Existing Businesses
Target Advisory Group)
- Continuity with the past mission and goals
enhanced by - Better data base systems and support
- Orientation to actionable items
- Data bases focus on strategic issues
- More staff involvement in survey process
22The 2006 Ambassador Survey
- Major Survey Sections
- General company information
- Business climate opinions
- Business climate ratings
- Work force
- Expansion plans
- Additional assistance
23Headquarters Target Advisory Group
24Headquarters Target Advisory Group
- Mission
- Encourage the continued operation and growth of
Omaha facilities of companies with home offices
outside of the Omaha area. - Program
- Schedule and conduct headquarter visit trips with
a focus on providing information on the new
Nebraska Advantage program. - Be on constant alert for leads on non-Omaha
companies that are candidates for a new Omaha
location - Be on the alert for and deal proactively with
corporate acquisitions and realignments.
25Headquarters Visits2005 - 2006 to date
- 3M Existing Maplewood MN
- ADT Security Systems Existing Aurora CO
- Ady International Consultant Park Ridge IL
- Aon Risk Services Existing Chicago IL
- Array Services Group Prospect Sartel MN
- Bank of the West Existing San Francisco CA
- Boeing Corporation Prospect Chicago IL
- Cargill Existing Wayzata MN
- CH2M HILL Prospect Englewood CO
- Corporate Real Estate, Inc. Consultant Eagan MN
- CSG Systems Existing Englewood CO
- Cushman Wakefield Consultant Los Angeles CA
- General Atomics Prospect San Diego CA
- KPMG Consultant Chicago IL
- Location Management Services Consultant Mission
Viejo CA - New York Life Insurance Co. Existing New York NY
- Ocean Systems Engineering Existing San Diego CA
- Pacific Life Insurance Company Existing Newport
Beach CA - PayPal Existing San Jose CA
26Entrepreneurship Target Advisory Group
27Entrepreneurship Target Advisory Group
- Mission
- To improve Omahas climate for establishing and
growing new businesses. - The Omaha area is already served by many
governmental, non-profit and for-profit
entrepreneurial assistance groups. - The Entrepreneurship Target Advisory Group will
facilitate cooperation, coordination and service
delivery among these existing organizations.
entrepreneurs.
28Entrepreneurship Target Advisory Group
- Work Plan
- Review entrepreneurial support services already
in place - Conduct a gap analysis to determine what services
are lacking - Bring entrepreneurship service providers together
on a regular basis - Celebrate entrepreneurs in the Omaha community.
- Enlist the services of the Gallup organization to
provide input on successful model case studies.
29Entrepreneurship Target Advisory Group
- Work Plan (continued)
- Support legislation to create a friendlier
business environment for entrepreneurs in
Nebraska. - Collaborate with the Education and Workforce
Development division of the Chamber to better
prepare employers, employees, and independent
workers. - Assist high performance entrepreneurs - those few
companies having the potential to become the
major sector employers.