indiana economic development course january 2015 kate mcenroe 770.333.6343 [email protected]

Site SelectionIndiana Economic Development Course

January 2015

Kate [email protected]

©Kate McEnroe Consulting 20132

Today’s Agenda

What do theprojects look like?

What do they want?

What canyou do?

Site Selection

Projects


What is a “project”?What is a “project”?


We need more

capacity (Maybe in a new place)

It’s too expensive where we

are

We need fewer

locations

We can’t find the staff we

need

We need better

access to . . .

Talent pool and talent pipeline

Ready-to-go infrastructure

Competitive costs

Access


What do they want? (Product)

PROOF

Single point of contact – probably regional

Web-based information Quick response Stable political, tax, regulatory process To be treated like a customer


What do they want? (Process)

Many decisions are made at arm’s length

Expertise and process varies

Many intermediaries are developing metrics and formulas to screen out communities

Reputations travel and linger – for better or for worse


How do they decide if you have “it”?

The Way I Work a Traditional Project

The Way I Work a Traditional Project


Create the search area

Eliminate areas thatfail to meet benchmarks

Compare remainingareas to one another

Field Work

$$$

Time Zones Logistics Radius Community Size Cities with Existing Operations Specialty sites and buildings


Common Search Area Definitions

Standardized Commute AreasMetro/Micropolitan Area

Unique Criteria Sites

frequently not

CountyStateCity


Initial Unit of Analysis

A PROCESS OF ELIMINATION designed to identify a short list of options for

detailed research


What is a Screening Study?


Limited Interaction

No Interaction

SEARCH AREA

FATAL FLAWS

COMPARISONS

Field Work

$$$

Databases plus phone

Databases preferred

On-SiteInteraction

Sites/Building Availability

Size Benchmarks

Cost Benchmarks

Avoidance Factors

Access Factors

Proprietary metrics


Fatal Flaw Possibilities

Same factors, tighter standards

Refined and expanded cost

comparisons

Qualitative Factors


Comparative Factor Possibilities

Frequent Searchers In-House GIS In-House Databases

◦ Demographics◦ Power Costs◦ Real Estate Costs

On-Line Third Party Data On-Line Site & Building Databases On-Line State, Region, Community Web Sites RFP Responses

©Kate McEnroe Consulting 2013 14

What information is used?


Occasional Searchers Government Data Perception, Rumor, Assumption Public Access GIS RFP Responses MAYBE:

◦ On-Line Third Party Data◦ On-Line Site & Building Databases◦ On-Line State, Region, Community Web Sites


What information is used?

Supply◦ ESRI◦ Alteryx◦ EASI Analytic Software – The Right Site◦ Woods and Poole◦ Claritas◦ Zoomprospector.com

Occupations◦ EMSI◦ Chmura

Salaries◦ ERI◦ Bureau of Labor Statistics◦ Salary.com


Workforce Data Source Examples


Third Party Data – Electric Rates

GIS (aggregate statistics, not information)

Community Profiles (usually bad)

Databases (always incomplete)

◦ D&B Marketplace

◦ Harris Directory

When all else fails, call economic

development agency


Existing Employer Data

National Center for Education Statistics

Directories (Peterson’s)

Rating Surveys (US News, Carnegie)

State, regional, local on-line community

profiles


development agency


Education Institution Information

Magazine Directories

State, Regional, Local Web sites


development agency


Incentive Program Information

Garbage in/garbage out Dated information Poor search parameters Inability to see “close calls”


Word of WarningGIS and Sites & Buildings Systems


Weighting, Rating, ScoringScreening Analysis

Weighting Community 1 Community 2 Community 3

Labor Cost 40% 10 8 5

Rental Rate 10% 3 7 10

LaborAvailability

50% 8 6 5

SCORE 8.3 7.7 5.5

Screening Analysis

Community 1 Community 2 Community 3

LaborSupply

Preferred Preferred Acceptable

LaborDemand

Marginal Acceptable Preferred

Labor Cost Acceptable Marginal Acceptable

OverallLaborRating

Marginal Acceptable Preferred

Designed to save consultants/company’s time, not

your time

Used when researchers have limited internal

resources

Used when other external sources are of

questionable validity and accuracy

Used to generate apples-to-apples data

Used to demonstrate thoroughness to clients


About RFPs

What do employers say about the labor force?

Are existing buildings workable? Are the local service providers responsive

and sophisticated? Are incentive programs applicable, is

administration efficient, are “strings attached” reasonable?

What is the impact of quality of life?


Field Work - Typical Issues

ALL Relative to the Competition


Add Value

Be Disruptive

Surprise Me

What Should You Do?

Uniquely available information

Capacity Building


This Adds Value

Same Information, New Channels

Marketing Aspirations, Not Assets

Duplication


This Doesn’t Add Value

Wider variety of sites and buildings

Talent/population recruitment

Pipeline training programs

Infrastructure expansions

Regional cooperation


Capacity Building


What about Social Media?

Employer Detail

Testimonials

Anecdotes

Incentive Calculation Detail


Better Information - What

Web sites

Newsletters – preferably hard copy

Announcements

Personal Meetings


Better Information- Where


Be Disruptive


Interfere with the Invisible Process




Field Work

$$$

Screening Analysis


What’s the point?

Get to them with information before there is a project at stake

(That Means Marketing & Promotion)


Surprise Me


Stories Interfere with the Invisible Process




Field Work

$$$

Screening Analysis


Give it to us from the horse’s mouth

Talk about results, not feelings

What is a meaningful testimonial?

Relationships Referrals References


How can the process be circumvented?


BYPASS

BYPASS

Field Work

$$$

Make Yourself

One of

The Places We’ll Remember


indiana economic development course january 2015 kate mcenroe 770.333.6343 [email protected]

Documents

worse kate mcenroe consulting

proof slide

onsite interaction slide

bad databases

phone databases

better access

carnegie state

information community