Title: Regional Diagnostics: The Important Role of Industry Cluster Data and Tools
1The Many Faces of Regionalism From the Mega to
the Micro
- Regional Diagnostics The Important Role of
Industry Cluster Data and Tools - Presenters Carol Rogers, IBRC Christine Nolan,
PCRD - Moderator Donald KathanUS Economic Development
Administration
Purdue Center for Regional Development
Conference, April 16th 2008
2Back to the Basics Clusters 101 Revisited
Purdue Center for Regional Development
3What are Clusters?
- Local and regional concentrations of competitive
firms that - Buy and sell from each other
- Use similar technologies
- Share a labor pool
- Share supply chains
- Include supporting services and specialized
infrastructure - Include both high and low-value added employment
- Produce for export outside the region
- Drive the creation of wealth in a region
Source Cleveland State University Minnesota
Metropolitan Council San Diego Association of
Governments.
4Why Conduct Cluster Analysis?
- To Improve
- Understanding of the economy
- Understanding of the Labor Market
- Jobs/skills match in the area
- Knowledge of Competitive Advantages
- Possibilities for import substitution
- Strategic targeting of resources
Source Cleveland State University Minnesota
Metropolitan Council San Diego Association of
Govts.
5What is the Cluster Approach?
- The cluster approach to economic development
undertakes a sequence of steps designed to - Identify the clusters present in a regions
economy - Analyze the clusters strength and weaknesses
- Create a framework for collaboration to
- Maintain or increase the competitive strength of
the clusters that are present, by strategic
targeting of resources (including education and
workforce training) - Build new cluster strength in the area, through
the identification and support of emerging
clusters
Source Christine Nolan, Purdue Center for
Regional Development
6How is this approach different?
- Traditional economic development
- One firm at a time
- Individual problems and needs
- Clusters offer additional approaches
- Solve groups of industry problems/needs
- Reveal groups of industries that have similar
workforce needs - Build sustained business-to-business connections
- Invest and assist groups of firms to build
synergy and economic impact
Source Battelle Memorial Institute, 2003
7Why adopt a cluster-based economic development
strategy?
- Comprehensive information foundation Framework
for collaboration - Enables planning from strengths
- Leads to better jobs and a stronger economy
- Gives key stakeholders a good reason to work
together - Creates significant opportunities for places and
regions - Creates an image of the region as a world-class
competitor - Creates identity and improves marketing
effectiveness
Source Cleveland State University Minnesota
Metropolitan Council San Diego Association of
Govts.
8What does a cluster look like?
Biomed Cluster Example
Adapted from work by Cleveland State University
9Other Ways to Look at Clusters
Indiana Economic Growth Region 8
Source PCRD with data supplied by IBRC
10Clusters are an Advanced Form of Network
- Clusters are not just about agglomeration
economies. - They are mainsprings of economic development in
rural and urban areas. - Provide focal points for investment.
- Assist commercialization of research.
- Build value chains into export markets.
- Engage otherwise unconnected people.
- Workers and businesses can learn from each other
- Identify champions to drive engagement process.
- Involve public sector, and address infrastructure
issues (whereas ordinary networks rarely do)
Source Brown Genoff Associates, Australia
11Cluster Tools How do we Measure and Evaluate
Clusters?
Source PCRD with data provided by IBRC
12So, wheres the data?
On the web, for your convenience!
- www.ibrc.indiana.edu/innovation
13Topics and Tables
Clusters Economic Clusters Education Attainment
Employment and Wages Census of Employment and
Wages (CEW) Housing and Households Building
Permits Household Makeup Housing Units
Income Income and Poverty
Labor Force Resident Labor Force Population
(Census Estimates) Population Population by
Age Population by Race Ethnicity Migration,
Births, Deaths Rurality Index of Relative
Rurality USDA Rurality Codes Distance to
Nearest Metro Area USA Counties in Profile
14Cass County Clusters
sort Estab.sort Jobs.sort Total Payroll sort
Total All Industries 746 15,365 453,786,000
Advanced Materials 23 470 18,207,170
Agribusiness, Food Processing Technology 47 170 4,909,673
Apparel Textiles 2
Arts, Entertainment, Recreation Visitor Industries 19 58 752,562
Biomedical/Biotechnical (Life Sciences) 31 299 10,832,480
Business Financial Services Cluster 58 250 8,876,136
Chemicals Chemical Based Products 10 351 14,044,720
15The Toolkit
Geography ala carte and nationwide
All the clusters, plus totals to compare them to
Multiple ways to save the data
16Build Your Own Region
17Frequent Updates
- Maintained by the IBRC for your benefit and any
rural area wanting to get a sense of their
cluster context - Sources include USDA, Census, Economic Analysis,
Labor Statistics and more
18- For further information about this presentation
and other cluster materials contact - Christine Nolan,
- Purdue University Center for Regional
Development, - Tel 765-494-9262
- cenolan_at_purdue.edu
- or
- Carol Rogers,
- Indiana Business Research Center,
- Tel 317-274-2205
- rogersc_at_indiana.edu
www.ibrc.indiana.edu/innovation