Waterloo, IA: (319) 232-1156 | Investor Login

Tag Archives: Economic Development

5 ON FRIDAY: FUEL FOR THOUGHT, NOVEMBER 24, 2017

by Steve Dust, CEO, Greater Cedar Valley Alliance & Chamber

 

Remember: 5 on Friday is a two-way street: please send me recommendations on books, reports, articles, blogs, videos, or anything you’re reading or watching that impacts business and the economy.

 

ONE: Standard Distribution Announces Next Project

I can never say “thank you” often enough to the risk-taking capitalists in the Cedar Valley who see a need and fill it with a product or service. This week, I pass along the announcement of another new industrial sector investment by Standard Distribution. Thank you.

Standard Distribution planning large expansion at airport, Tim Jamison, The Courier, November 18, 2017

TWO: The Geopolitics of Thanksgiving

You thought it was about making it through a very bad year and Europeans building alliances with the indigenous people of North America. You were kind of right. This is a lengthy, but fascinating look at the global context in which that first Thanksgiving took place. It’s an eye-opening history lesson, courtesy of Stratfor.

Thanksgiving and Puritan Geopolitics in the Americas, Starfor, November 24, 2017

THREE: Classroom Tech Advances

Here’s a great look at how technology startups are impacting education. So, if the Cedar Valley has the University of Northern Iowa — the highly ranked institution that teaches to be teachers — how do we capture economic development value from this trend?

A Silicon Valley startup is quietly taking over U.S. classrooms, Kia Kokalitcheva , Axios, November 22, 2017

FOUR: Your 2018 Reading List?

If you’re looking for books to read during holiday travel or just to stock up for 2018, here’s what the Gates-Bezos-Buffets of the world are reading.

9 Recommended Books That Bill Gates, Jeff Bezos, and Warren Buffett Think You Should Read, Marcel Schwantes

FIVE: Another Good News Source

Here’s another media source that I’ve included in my bundle, and I thought I’d refer it to you.

Axios

5 on Friday: Fuel for Thought, November 17, 2017

by Steve Dust, CEO, Greater Cedar Valley Alliance & Chamber

 

Remember: 5 on Friday is a two-way street: please send me recommendations on books, reports, articles, blogs, videos, or anything you’re reading or watching that impacts business and the economy.

ONE: Logistics Disruptors

Logistics is a big business in the Cedar Valley. Companies move materials in and products out to fulfill the needs of businesses and consumers — all over the globe. Just last night, Tesla unveiled an electric/battery-powered semi-transport. The PDF attached is a good, high-level research summary on the disruptors in the logistics space. These are things the Cedar Valley must pay attention to, from the perspective of current and future economic activity, and tax base for local government.

[PDF] THE TOP 5 DISRUPTIVE Trends Shaping Transportation and Logistics.September 2017, The Business Insider Research Team, September 2017

TWO: Will Iowa Grads Stay?

Here’s an overview of how Iowa is doing when it comes to keeping our grads at home. Use the Data Tool provided on this page to dig deeper into your industry.

Iowa College Student Retention, Iowa Workforce Development, 2017 Report

THREE: Economic Inclusion

This an excellent and well-documented, but lengthy, report from Brookings on how economic inclusion across sectors benefits the firm and the worker, as well as the overall regional economy.

A key point early in the report: One reason for this is that faster metro-level growth creates the tight labor markets that make broad-based wage gains more likely. One study found that a 10 percent increase in metropolitan employment raises average real earnings per person by around 4 percent. These gains are greater in percentage terms for African-Americans, lower-income individuals, and workers with less education.

Opportunity for growth: How reducing barriers to economic inclusion can benefit workers, firms, and local economies, Joseph Parilla, Brookings Institution, Thursday, September 28, 2017

FOUR: State of New Economy Index

Although this particular ranking only puts Iowa in the middle of the pack of states, you should be pleased with the progress made at the state level to accommodate the New Economy. This progress isn’t necessarily picked up in the Index.

The Index measures new economy activity, regardless of the particular focus of a regional or state economy. However, a defining trend of this era is the degree to which all have become more reliant on innovation as new technologies have become critical drivers of productivity and competitiveness.

The publisher of the Index, the Information Technology & Innovation Foundation (ITIF), is one of the most credible and knowledgeable voices in tech and innovation policy and practice.

The Index measures the degree to which state economies are knowledge-based, globalized, entrepreneurial, IT-driven, and innovation-based. The report then discusses overarching strategic issues facing states, examines the role of large and small businesses in driving growth, and finally discusses a number of innovative models around the nation to spur workforce training and technology commercialization.

This message aligns very nicely with the second of three goals for our Greater Cedar Valley 2021 economic development initiative: Target Technology for Growth, recognizing that it’s the best allocation of our scarce talent resource, moving us farther, faster in creating wealth and economic vitality in the Cedar Valley.

The 2017 State New Economy Index: Benchmarking Economic Transformation in the States, Robert D. Atkinson and J. John Wu, Information Technology & Innovation Foundation, November 2017

FIVE: Irvine CA’s proposal to Amazon

I’ve become more curious about Irvine, California because our youngest son, Andrew, and his spouse, Emily, moved there this week. (She’s a data scientist with a United Healthcare-related firm.) Irvine has been known as the safest city in the nation since the early 1990’s.

Irvine is the home and playpen for billionaire Donald Bren, the wealthiest real estate developer in the nation. Starting as Irvine Ranch, then becoming The Irvine Company, it owns about 20 percent of Orange County. Recently, Bren proposed to Jeff Bezos that Irvine become the location of the new, second Amazon headquarters. Bren offers to bankroll the entire $5 billion project, building initial building space available immediately then constructing new space as necessary. The expected 50,000 employees would fit well in this city that is near, but not adjacent to, Los Angeles, where the mean income level is already above that anticipated for Amazon’s new employees (over $100,000).

The richest real estate developer in the US wrote a letter to Amazon CEO Jeff Bezos offering to pay for the insanely sought-after HQ2, by Tanza Loudenback. Business Insider, Oct. 19, 2017

In the Media: Cutting historic preservation tax credits

“There are a lot of buildings that would continue to sit empty or would have been demolished by now had that tax credit not been available to make the project economically sound,” said Steve Dust, president and CEO of the Greater Cedar Valley Alliance and Chamber. “And that’s repeated all over Iowa.”

Steve Dust is quoted in an article by Erin Murphy, State house reporter for The Courier/Lee Enterprises, about Iowa projects helped by federal historic preservation tax credits and the possible effect on Iowa projects if Congress’ tax reform proposal is approved.

Cutting historic tax credits could cripple economic development, officials warn, Erin Murphy, The Courier, November 13, 2017

5 on Friday: Fuel for Thought

by Steve Dust, CEO, Greater Cedar Valley Alliance & Chamber

image Fuel for thought graphic What's Steve Dust Reading this Week? October 20, 2017

John Deere Waterloo TV ad

John Deere has begun showing a terrific 30-second ad on TV in the Cedar Valley area. You have to watch it. Send it along to your colleagues and friends.

Building the best large tractors :30 TV spot

And here’s a nearly eight-minute version

Building the best large tractors

When Should The Firm Adopt Additive Manufacturing

The University of Northern Iowa’s amazing Additive Manufacturing Center and Design Lab in our TechWorks Tech 1 building continues to expand in size, industrial production scale equipment, and Iowa clients served. We know that additive manufacturing in the industrial setting will be an important growth sector for the Cedar Valley, in terms of our firms’ investment in the technology, as well as the opportunity to recruit the makers of the equipment. I am trying to learn more about how the firm makes that investment decision, as well as be better informed about the technology. Here’s a good article with a process and opinion on how the evaluation should be structured.

Courtesy of Supply Chain Management Review.

Is Your Supply Chain Ready for Additive Manufacturing? André Kieviet and Suraj M. Alexander, Supply Chain Management Review, October 16, 2017

Zappos Hsieh on Business Organization

Zappos’ top guy has been famous for risks and successes in e-commerce and flaming failures. Still, he has more than1,500 employees in one of the attention-grabbing e-commerce firms. And he’s a damned good organizational thinker. Here’s an interview he did with the McKinsey firm to make sense out of his “holocracy” approach to organizational management. It is a good, and thought-provoking read.

Safe enough to try: An interview with Zappos CEO Tony Hsieh, McKinsey Quarterly, October 2017

China Strategy

This week, China commenced a session of its National Congress of the Communist Party. This Congress is held every five years. George Friedman, one of the best, objective observers of global geo-political/economic issues, republished a report with his analysis of the “grand strategy” employed by China. This nation that has seen extraordinary economic activity and growth, according to Friedman, may be operating in a different strategic framework than we might think.

In China, a Strategy Born of Weakness, Geopolitical Futures, October 18, 2017

Surviving the Merger

We haven’t merged again, but many of your firms are acquiring new operations or creating strategic partnerships of various kinds. No matter how small, these moves require thoughtful communications to all involved to ease anxieties about the post-agreement workplace. This is a good Harvard Business Review article on the topic that would be a good tool for individuals engaged in your growth program.

Surviving M&A: How to thrive amid the turmoil, Harvard Business Review, by Mitchell Lee Marks, Philip Mirvis, and Ron Ashkenas, March-April 2017

Diversity & Inclusion Partnership Offers Seventh Annual Summit for Business Professionals

CEDAR VALLEY OF IOWA  — Business owners, managers, and human resource professionals from organizations of all sizes are invited to attend the 2017 Economic Inclusion Summit. Previously called the Diversity & Inclusion Summit, the event is designed to strengthen the Cedar Valley economic region by providing tools and information for businesses to implement effective inclusive practices.

The Summit will be held on October 20 in Tama Hall at Hawkeye Community College, 1501 E. Orange Road, Waterloo, from 8:00 a.m. to 12:00 p.m. Continental breakfast and networking are set for 8:00 a.m. to 8:45 a.m. The program begins at 8:45 a.m.

This is the seventh year the Diversity & Inclusion Partnership of the Alliance & Chamber is presenting the educational event, previously called the Diversity & Inclusion Summit.

Agenda

Attendees are provided a concentrated and focused experience with multiple presentations. This year’s keynote presentation is an interactive theater experience that addresses workforce and cultural difference in the workplace.

8:00 a.m. – 8:45 a.m. Continental Breakfast and Networking

8:45 a.m. – 9:00 a.m. Welcome

Steve Dust, President/CEO, Greater Cedar Valley Alliance & Chamber

Dr. Linda Allen, President, Hawkeye Community College

9:00 a.m. – 9:45 a.m. Presentations

Cedar Valley Data and Demographics, Danny Laudick, Program Consultant, Greater Cedar Valley Alliance & Chamber

Non-Traditional Methods for Finding and Keeping Talent in the Cedar Valley,  Kyle Roed, Sr. Human Resource Manager, Omega Cabinetry/MasterBrand Cabinets

Question and Answer following both presentations

9:45 a.m. – 10:00 a.m. Break

10:00 a.m. -11:45 a.m. Breaking Ice Presentation 

Introduction of Breaking Ice – Sharina Sallis, Community Relations Specialist, CUNA Mutual Group

Breaking Ice Pillsbury House Theatre Performance

Question and Answer

11:45 a.m. – Noon Introducing: Inclusion Toolkit Online Resource
Jean Trainor, Chair, Diversity and Inclusion Partnership

2018 Awards Nominations

During the Summit, the Greater Cedar Valley Alliance & Chamber will announce the call for nominations and application process for the Diversity & Inclusion Awards to be presented at the 2018 Annual Celebration, March 27, 2018 at the Waterloo Convention Center, Waterloo. These awards recognize for outstanding contribution by a business or organization for leadership in creating and strengthening an environment of diversity and inclusion in the workplace culture, business practices and in the community.

To Register

There is no cost to attend, but seating is limited; register online at cedarvalleyalliance.com. Continuing education credits for human resources professionals are available for Summit attendees.

Veridian Credit Union and Wheaton Franciscan Healthcare-Iowa are the Premier Sponsors for The Summit. Hawkeye Community College is the Location Sponsor. Cedar Valley Society of Human Resource Managers (CVSHRM) is providing the continental breakfast.

Other sponsors include Cedar Valley Nonprofit Association, Courier Communications, Hy-Vee Food Stores, KWWL, Omega Cabinetry/MasterBrand Cabinets, and the University of Northern Iowa.

About the Diversity & Inclusion Partnership

The Diversity & Inclusion Partnership is a workforce initiative of the Greater Cedar Valley Alliance & Chamber. The purpose of the Partnership is to strengthen the Cedar Valley economy by collaborating with businesses to promote inclusion and make sure all residents have the opportunity to benefit from a thriving Cedar Valley economy. The Partnership is led by a taskforce of volunteers dedicated to promoting the business case and positive impact of diversity and inclusive practices in the Cedar Valley workforce. More information can be found at cedarvalleyalliance.com, by contacting Lisa Rivera Skubal, Vice President of Economic Development at lskubal@cedarvalleyalliance.com, or by calling the Greater Cedar Valley Alliance & Chamber at 319-232-1156.

5 on Friday: Fuel for thought

by Steve Dust, CEO, Greater Cedar Valley Alliance & Chamber

Globalization is Evolving

Globalization is still about exports, imports, and investment. The link below leads to a good article from The Boston Consulting Group about bringing global market building thinking forward to include digital influences.

Shaping Your Own Growth in the New Global Era, Arindam Bhattacharya, Dinesh Khanna, Kermit King, and Rajah Augustinraj, BCG Henderson Institute, August 17, 2017

Spoofed: Did it hurt?

I don’t know yet: I’ve had a lot of things done to me over the years. Now, I’ve been spoofed, too. Here’s what to do when it happens to your email address.

What to do when your email address sends spam, Lincoln Spector, PCWorld, June 29, 2015

October Market Insights

I receive a number of commentaries on the financial markets. This one, courtesy of Financial Decisions Group, is a good, recent video commentary on the market, generally, and the retail opportunities at Halloween, specifically.

Monthly Market Insights: October 2017, Financial Decisions Group

Performance Evaluations Are Changing

Thank goodness! Here are more observations from PWC’s strategy+business blog that caught my eye. Good stuff.

Want to Kill Your Performance Rankings? Here’s How to Ensure Success, David Rock, strategy+business, October 9, 2017

Apple Incentives, Again

This is a link to a good advocacy article for the Apple incentives that I’ve mentioned here before. Our Lisa Skubal’s comments are highlighted in this piece by Lee Enterprises’ Des Moines Bureau Chief.

UPDATE: After Apple deal, tax incentives face scrutiny, Erin Murphy, The Courier, October 9, 2017

 

5 on Friday: Fuel for Thought

by Steve Dust, CEO, Greater Cedar Valley Alliance & Chamber

One: Cedar Valley on INC 5000 List

This year, we celebrate the listing of BraceAbility from Cedar Falls coming in at number 753 on the strength of a 600 percent growth in this five-year old company. BraceAbility is operated by CEO Shaun Linderbaum, who came from another perennial INC 5000 honoree ClickStop, and COO Therese Stevens, who you may know as a partner in TargetClick Marketing, which became a part of another honoree, Mudd Advertising. My bet is that most have not heard of this fast growing Cedar Valley e-commerce firm that sells orthopedic braces. Take a look at www.braceability.com.

ClickStop, operated by owner/CEO Tim Guenther, made the list for the eighth time. Congrats to you, Tim, for making the list again. ClickStop was founded in 2005 and is south of the Cedar Valley metro area in Urbana just off Interstate 380. Tim has created a very cool workplace and also has several connections of interest in the Cedar Valley. As mentioned above, Shaun Linderbaum was CTO at ClickStop before joining the new BraceAbility. Also, Therese Stevens was an intern there.

Another move that will add to Tim’s chances of being on and perhaps higher in the 2018 INC 5000 is the recent acquisition of Clean Laundry Licensing started by Cedar Valley serial entrepreneur marketing guru Phil Akin. Phil joined ClickStop as CMO and his son, Ethan, is leading the growth of the laundry licensing unit. Take a look throughout www.ClickStop.com to get a glimpse of this successful firm 12 years after start up.

Takeaways: Tim knows talent. E-commerce has a bigger, growing impact on the Cedar Valley economy than you’d recognize. There’s a cluster of that knowledge base in our economic area which is adding to the economic base through that spillover impact that I keep talking about.

Inc. 5000 2017: The Full List: Our annual ranking of the fastest-growing private companies in America, Inc.

Two: Hurricane Harvey’s Impact

There’s so much to say about Hurricane Harvey and its impact on the City of Houston and potential impact on the nation’s economy that I wrote an entire blog post on the topic, with multiple links to informative stories.

The Projected Economic Impact of Harvey, Greater Cedar Valley Alliance & Chamber, September 1, 2017

Three: Case and Kreske Foundations Project in Economic Inclusion

Thanks to iGus Marketing founder Denita Gadsen for directing me to this article. It describes exactly what the Alliance & Chamber says as a part of our economic inclusion work: any business and economy that embraces its diversity through inclusive action will be stronger. While much of our work has been focused on being more inclusive in our workforce, this concept also applies to scaling overall business growth.

That’s the focus of these articles. Read the Governing article first, then the HuffPo coverage.

Can We Build Inclusive, Innovative Local Economies? Governing, August 15, 2017

Four cities learn how to create inclusive communities, Huff Post, August 18, 2017

Four: Impact of Robots on Workforce Needs for Site Selection

Randy Thompson is senior director of a commercial real estate services group that does site selection for clients. He has some interesting and reasonable views about the role of automation and robots in the shift of distribution to fulfillment and customized manufacturing. Thompson ponders how the site selection process differ if business is driven by direct to consumer fulfillment rather than bulk from wholesale to retail stores. He wonders if manufacturing can reduce the reliance on large supply of humans. It’s all about location and brainpower.

How Technology Will Overcome Demographics, Area Development Online, Q2 2017

Five: Apple, Again. Anatomy of a good deal for Waukee

This excellent analysis of the Apple deal in Waukee, from an incentives perspective, is penned by a fellow some of you have met – John Stineman, Executive Director of the Iowa Chamber Alliance (ICA). The Alliance & Chamber is part of ICA, which focuses on public policy to advance economic development in Iowa.

In this column, John does a good job breaking down the deal and its rationalization. He did this to counter the whiners who don’t understand what a win — even a heavily incentivized data center project — can be for a city government that can supply the energy, broadband, and other significant requirements.

On the other hand, as I mentioned last week, we were in the competition until site requirement jumped from 500 to over 1,000 acres. What these people are going to do with 2,000 acres is yet to be determined: it’s not likely to be covered in more data center space, but stranger things have happened.

Apple deal gets an ‘A’ for return on investment, The Des Moines Register, August 31, 2017

5 on Friday: Fuel for Thought

One: Yes, the Cedar Valley Was Considered for Apple’s New Data Center

So, I was walking through the office early Thursday afternoon, and Director of Communications Dorothy de Souza Guedes asks, “What’s your big item to accomplish the rest of the day?” “Getting over the depression of hearing the Governor and Tim Cook announce the Apple data center in [deleted] Des Moines,” was my immediate response.

The Cedar Valley was a strong competitor when this was a 300- to 500-acre project. When Apple discovered it could have a 2,000-acre site with similar features, the competition was, practically speaking, over.

The Apple project has spurred Vice President of Economic Development Lisa Skubal and our Economic Development team to work with our regional partners to discover and work to control two mega-sized sites — one with rail and one without. Why two? The data center mega site has much different requirements than, say, a Toyota plant.

These mega sites are not anomalies. Requests are returning to the market after a fairly long absence of demand with a few exceptions – mostly auto assembly plants throughout the United States and Mexico.

The link is to the article discussing the project and the embedded video reviews the incentive package offered.

Apple’s billion-dollar data center ‘puts Iowa on world stage’

Two: VGM Group Took My Blues Away

At the end of the day Thursday, August 24, my blues were chased away by an Alliance & Chamber’s ribbon cutting.

An open house and ribbon cutting celebrated the newest expansion of the VGM Group’s campus at Ansborough and US 20.  Wow! Thank you, Jim Walsh, Mike Mallaro, and team for delivering such a stunning new office building to the Cedar Valley market.

Designed to give new amenities to the growing VGM team that now numbers 760 in the Cedar Valley, the building is a $20 million investment that brought the complex to over 190,000 square feet.

Celebrating the opening of this amazing office with a ribbon cutting ceremony, I laughed through Jim Walsh’s “welcome and thank you” remarks. Talking with the VGM team and their VIP guests — many Alliance & Chamber investors — reminded me how grateful we should be for the loyal, growing, investing, employers we have in the Cedar Valley. Thank you, again, VGM.

VGM shows off latest addition at Waterloo complex

Three: Editorial on Job Skills to Fill the Gap

If you are an employer, you know the employability and job-specific skills gap is real.  If you’re not a hiring manager or owner, believe us, the issue is real.

It’s troubling when research expresses that vocational training is too specific and stymies older workers from progressing in or to a new career ladder. There are times when we must say “get over it.”

We cannot afford to have a valuable contributor leave the workforce just because they prefer not to be retrained. The incentives that permit that preference need to lead back into lifelong learning and retraining. That’s particularly painful for boomers who love what they’ve done for 30 years. We as a society can’t let these valuable workers slip out of the workforce: the incentive must be to keep learning and keep working through the reasonable career span.

And I almost refuse to give credence to the idea presented in the article below about young men with less than a bachelor’s degree working fewer hours each year because of video games. I know the data is real, but good grief.

This is an editorial of The Courier, which is absolutely on point with the issues of job skills to fill the gap. Thank you, Roy, Nancy, and The Courier team for a very good piece on a critical issue.

Learning job skills is no game

Four: Critical Few Behaviors and Organizational Culture

We’re all looking for ways to make our workplace a place where people are productive for the firm and our clients. There are a lot of people writing and saying stuff about culture. Strategy+Business is a good business journal and accompanying blog with solid content on a broad range of topics.

This short article helps employers and leaders identify keystone behaviors that will contribute to achieving our strategic and operational objectives. It is worth the time to read to get a start prioritizing culture-building activities in terms of implementation and impact.

Getting to the Critical Few Behaviors That Can Drive Cultural Change

Five: The Robot Apocalypse

Investment Advisor Kevin Wilson makes the case I have advanced since 1981: automation is an improvement in our careers and businesses, not a revolutionary challenge to our intellect. Yes, of course, we can conjure a Jetson’s and HAL-lific artificial intelligence tragedy. But let’s back up to where we are in advancing technology, how we’re using it, and how it can leverage our scarce American human capital. Instead, think about how we quickly ramp up from here. That’s what this lengthy, chart-rich SeekingAlpha.com article does.

Much Ado about Nothing: The Robot Apocalypse Is Actually an Economic Renaissance In Disguise

What are you reading that would help me do my job for you? Email me at SDust@CedarValleyAlliance.com.

Waterloo’s Crystal Distribution Approved for IEDA Award

CEDAR VALLEY OF IOWA (August 18, 2017) — The Iowa Economic Development Authority (IEDA) today approved a tax credit award for Crystal Distribution Services, Inc. The company qualified for sales tax rebate on construction materials for a $5.5 million expansion project of its Waterloo facility.

IEDA application assistance was provided through the Alliance & Chamber’s business retention and expansion (BRE) services which focus on keeping and growing businesses in the Greater Cedar Valley. These services are provided to any business in the region, including investors in the Alliance & Chamber.

The Greater Cedar Valley Alliance & Chamber economic development team of Lisa Skubal, Vice President of Economic Development, and Cassie Evers, Business Services Coordinator, collaborated with the City of Waterloo and IEDA to assist Crystal Distribution owner Tom Poe with the application process. Their goal was to ensure that the company’s project qualified and was approved this month by IEDA to allow time for construction to begin this year.

On Monday, Waterloo City Council unanimously approved development incentives for Crystal Distribution’s expansion and agreed to serve as a sponsor for the IEDA application.

Today, the IEDA board today awarded this project tax benefits under its High Quality Jobs (HQJ) program which provides qualifying businesses assistance to offset some of the costs incurred to locate, expand, or modernize an Iowa facility. In addition to the capital investment, Crystal Distribution’s project will create one additional job at a qualifying wage of $17.29 per hour.

According to the company’s website, Crystal Distribution provides temperature-controlled warehouse and repackaging services to food processing companies around the world. The company began operation in the Cedar Valley more than 100 years ago by cutting ice from the local river and distributing it around the country. Crystal Distribution is a current investor in the Alliance & Chamber.

Read August 28, 2017, IEDA news release here: Economic Development Board approves awards to support over $48 million in capital investment in Iowa

Read August 15, 2017, The Courier article here: Incentives for Crystal approved

 

 

Grow Cedar Valley

We are the leader in bringing business and community together to grow opportunities for the Cedar Valley. Partner with us to grow your business. Together we'll help the Cedar Valley thrive.

© 2024 Grow Cedar Valley. All rights reserved.