Defense & Homeland Security Cluster Initiative

Project Update for the BRAC RTF Executive Committee

4/16/09

The TDA Team

Purpose of the Project Key objective is to assist in the transformation of the

regional economy around Ft Bragg: from its traditional base of textiles and agriculture TO a more diverse and resilient economy based on support

for the nation’s defense and homeland security needs. To support this objective, the BRAC RTF needed a

means of projecting the shape of this new economy so that plans could be made to promote and attract critical industries to the region.

To achieve transformation, those industries linked to the changes that BRAC is bringing must be

targeted and attracted to the region

Presentation Overview Preliminary results

Definition and identification of targeted D&HS industries

Identification of key occupations Military spouses as an asset

Preview of other tasks in progress Identify regional assets Identify regional gaps Develop strategic plan and

implementation matrix

Step 1: Define & ID IndustriesD&HS Industry Groups and Subgroups

Defense Technologies

Base Construction Defense Consumables

Base Support Services

•Building Support•Infrastructure•Non-residential•Residential

•Education/Training•Equipment Repair Services•Facilities Maintenance

and Support•Personnel Support

•Distribution•Food & Drink•Printing•Textiles and Apparel

•C4ISR•Fuel & Power•Human Factors•Land Warrior

•Performance Materials•RESET•UAS

120 industries are in the D&HS Industry Cluster

Step 1: Define & ID IndustriesJobs in D&HS Industries

All American Defense Corridor & Eastern Military Triangle 2008 Jobs

D&HS Industry Groups

Fort Bragg ResearchTriangle

GreaterWilmington

Eastern Military TOTAL

Base Construction 7,510 20,666 4,480 4,358 37,014

Base Support Services 11,388 40,817 4,476 6,663 63,344

Defense Consumables 4,735 8,209 549 899 14,392

Defense Technologies 6,929 63,488 6,900 4,243 81,560

Total D&HS 30,562 133,015 16,405 16,163 196,145

Total ALL INDUSTRIES 384,181 904,894 168,686 248,031 1,705,792

D&HS/Total 8.00% 14.70% 9.70% 6.50% 11.50%

Step 1: Define & ID IndustriesJobs in D&HS Industries

 Fort Bragg Region

D&HS Industry GroupsTotal

EmploymentGrowth2003-08

Growth2008-13

Relative Concen-tration

Average Earnings

2008

Base Construction7,510 1.20% 1.60% 0.98 $39,960

Base Support Services11,388 4.30% 3.00% 0.73 $29,056

Defense Consumables4,735 -9.30% -1.40% 1.2 $28,063

Defense Technologies6,929 5.90% 3.00% 0.43 $53,004

D&HS Total30,562 0.90% 2.00% 0.72 $37,011

Historical/Projected Employment Growth

Historiclal/ProjectedWages

Geographical IndustryConcentrations

REGIONAL INDUSTRY METRICS

EmergingTechnologies

DefenseContracting

FUTURE OPPORTUNITIES

Which industri

es support a D&HS cluster?

Step 1: Define & ID Target IndustriesFactors Considered

Step 1: ID Target IndustriesExisting Fort Bragg Contracts

Contractors Outside the

State/Region , $410,438,620

Contractors in the BRAC RTF

Region, $90,486,089

ALL CONTRACTS,FORT BRAGG 2008

Step 1: ID Target IndustriesExisting Fort Bragg Contracts

Base construction, $3,217,897

Base support, $22,536,774

Defense consumables, $1,557,809

Defense technologies, $1,880,600

Local Contracts > $500 thousand (2008)

Step 1: ID Target IndustriesFORSCOM/USARC Contracts Twenty-one contracts valued at over $2B at

FORSCOM and USARC Two contracts are responsible for 96% of the

total spend, and one contract alone accounts for 86% of the annual value of FORSCOM contracts.

$75-$80 M in annual contract spending and 750 FTEs are a reasonable assumption of what will move with FORSCOM and USARC to the new Headquarters.

Step 1: ID Target IndustriesEmerging Technologies of Interest Infrastructure Technologies

Access Control Information Security Data Transmission and Storage

Battlefield Technologies Radar and Unmanned Vehicles Personal Protection Performance Enhancement Mobile, Ruggedized Devices Energy

Step 1: ID Target IndustriesRecommended Target Industries Manufacturing and Repair of Mobile

Ruggedized Devices and Unmanned Battlefield Vehicles Electronic and precision equipment repair and

maintenance - 811200 Navigational, measuring, electromedical, and control

Instruments manufacturing – 334510 Motor and generator manufacturing - 335312

Step 1: ID Target IndustriesRecommended Target Industries Professional/Technical Services

Consulting services (Management/Technical/Process/Logistics) – 541611, 541690, 541614

Computer systems design/Custom Computer Services (e.g. Training and simulation) -541512, 541511

Management training - 611430 Research and development - 541710

Step 1: ID Target IndustriesValue Chains Identify private sector suppliers and markets

specific to each of the “core” targeted industries. Considers two factors:

The structure of the linkages—to whom to does the core industry buy from, and sell to, most directly, and

The strength of the linkages—from what industries does the core industry buy from, and sell to, the most.

Step 1: ID Target IndustriesSample Value Chain Map

Step 2: Occupational AnalysisTop Jobs – Professional Services11-3021 Computer & information systems managers $40.22 Degree plus work experience

11-1021 General & operations managers $37.46 Degree plus work experience

13-1073 Training & development specialists $21.49 Bachelor's degree

13-1081 Logisticians $24.27 Bachelor's degree

13-1111 Management analysts $28.68 Degree plus work experience

13-1199 Business operation specialists, all other $27.24 Bachelor's degree

13-2011 Accountants & auditors $23.44 Bachelor's degree

15-1021 Computer programmers $38.63 Bachelor's degree

15-1031 Computer software engineers, applications $39.39 Bachelor's degree

15-1032 Computer software engineers, systems software $41.06 Bachelor's degree

15-1051 Computer systems analysts $28.55 Bachelor's degree

15-1061 Database administrators $30.83 Bachelor's degree

15-1071 Network & computer systems administrators $27.66 Bachelor's degree

15-1081 Network systems & data communications analysts $25.32 Bachelor's degree

19-1042 Medical scientists, except epidemiologists $35.12 Doctoral degree

19-2041 Environmental scientists & specialists $21.86 Master's degree

Step 2: Occupational AnalysisTop Jobs – Manufacturing and Repair

49-9042 Maintenance & repair workers, general $14.58 Moderate-term on-the-job training

51-2011Aircraft structure, surfaces, rigging, & systems assemblers

$18.33 Long-term on-the-job training

51-2023 Electromechanical equipment assemblers $12.38 Short-term on-the-job training

51-2092 Team assemblers $11.05 Moderate-term on-the-job training

51-4011Computer-controlled machine tool operators, metal & plastic

$14.18 Moderate-term on-the-job training

51-4041 Machinists $16.30 Long-term on-the-job training

51-9061Inspectors, testers, sorters, samplers, & weighers

$11.77 Moderate-term on-the-job training

Step 3: ID Regional Assets Human Capital Colleges and Universities K-12 Schools Research and Development Connective Organizations Industrial Base Physical Infrastructure Quality of Life

Step 3: ID Regional AssetsActive-Duty Military Spouses Presently there are an estimated 26,328 spouses living

locally and 26,920 spouses expected in 2013 In 2008 spouses were married to the following personnel:

3,977 officers 766 warrants 21,585 enlisted

In 2008 spouse labor force characteristics include: Employed – 11,094 (16% have no college, 50% have

some college, 24% have a 4-year college degree, and 10% have a graduate or professional degree)

Unemployed and seeking work – 2,218 Not in labor force and not seeking work – 11,430 Active-duty spouse – 1,586

Step 3: ID Regional AssetsDoD Civilian Spouses Presently there are an estimated 5,748 DoD civilian

spouses at Fort Bragg and Pope AFB, with an 1,842 expected to arrive in the next five years. Sixty-eight percent of the spouses are female.

Approximately 3,228 are employed with an expected 1,041 that will move into the workforce over the next five years and be employed in the area.

The following occupations are common. For females, sales and office (34%), and management,

professional, and related occupations (33%) For males, production, transportation, and material moving

occupations (24%), construction, extraction, and maintenance occupations (23%), and management, professional, and related occupations (23%).

Professional/Technical Services

Technical Consulting services

Process and logistics consulting

Computer systems design

Management training

Physical, engineering & biological research

Manufacturing and Repair

Electronic equipment repair

Computer peripheral mfg.

Measuring and controlling device mfg.

Motor and generator mfg.

INDUSTRY TARGETS AND OCCUPATIONAL NEEDS

HumanCapital

Colleges andUniversities

-12KEducation

REGIONAL ASSETS

Research &Development

ConnectiveOrganizations

IndustrialBase

PhysicalInfrastructure

GAPS

Step 4 & 5: Develop Strategic Plan and Implementation Matrix

ImplementationMatrix

Strategic Plan

QUESTIONS?