TDL & Exports Regional Intermediary Design III

TDL & Exports Regional Intermediary
Public/Private Partnership Model RecommendationWorkshop Three - June 10, 2011
Sponsored by
New Economy Initiative
Hosted by
Detroit Regional Chamber
and
Michigan State University

Acknowledgements
MSU, DRC, WSU and all participants would like to personally thank NEI for the resources to continue with the implementation of project results
We are encouraged by the enthusiasm of all stakeholders to contribute to and continue with this important economic development and new jobs creation project
Thank you to NEI for your vision and support to help transform the region!

Regional Intermediary Recommendation
Workshop Three Desired Outcomes:
Discuss and synthesize survey results
Finalize Regional Intermediary characteristics to share with Intermediary Sponsors
Discuss next steps for implementation

Regional Intermediary Recommendation
Workshop Guidelines:
All participants will give the meeting our full attention, positive energy and commitment to the project
All participants will be open, candid and honest and allow others to do the same
Respect will be the foremost goal of all participants; we will center on issues, not personalities
All participants will center first on gaining understanding, second on convincing others
All input raised will be captured for future use and shared with all attendees
Think FUTURE; Think strategic; Think CAN DO !

Introductions
Name
Role
Representing

Workshop Three Agenda
Welcome and Introductions
Synthesize findings from survey
Finalize Regional Intermediary characteristics
Planning for implementation

Workshop Follow-Up Survey
Background…
Conducted online using surveymonkey.com
139 workshop attendees & invitees were asked to complete the survey
45 people completed the survey (32%)

Survey Results: Organization

Survey Results: Region

Model Capabilities: Best Practices Research

Highest Priority Capabilities: DTW Hub

Survey Results: Perception of Importance
1 = not important
5 = very important

Survey Results: Perception of Performance
1 = lagging
3 = average
5 = above average

Survey Results: Hub Capabilities – Importance and Current Performance
1 = not important
5 = very important
1 = lagging
3 = average
5 = above average

Survey Results: Performance vs. Importance
1 = lagging
3 = average
5 = above average
1 = not important
5 = very important

Survey Results: Performance vs. Importance

Survey Results: Implementation Obstacles
1 = minor challenge
5 = major challenge

Survey Results: Hub Growth Perception
Question wording: “Assuming we overcome these obstacles, how realistic do you think it is that this region, building on its current supply chain capabilities, will grow in success as a recognized supply chain hub?”

Survey Results: Hub Buy-In

Survey Results:Strengths to Emphasize
Airport
Supply chain skilled labor
Interstate highways
International trade corridor
Border crossing facilities
Railroad network
Understand global landscape
Identifying strategic corridors
Hub operations cost

Survey Take Aways:Largest Gaps in Performance
Highest priority capabilities with the largest gaps in performance include:
Use of marketing
Streamlined government
Strategic transportation plan
Leveraging business partnerships
Community involvement

Survey Take Aways:Major Obstacles to Implementation
Major obstacles to implementation include:
Cultural mindset
Infrastructure funding
Regional collaboration
Global perception of region

Survey Take Aways
Local initiatives to close the gap in capability performance and overcome obstacles:
Local marketing and community outreach
Streamlined government and regional collaboration
Pilot implementation focused on improving the leveraging of business partnerships
Multi-state and multi-nation collaboration initiatives to close the gap in capability performance and overcome obstacles:
Create multi-state and multi-nation collaboration board
Create multi-state and multi-nation strategic supply chain asset, infrastructure, and transportation plan
Create global branding, marketing and communication plan

Initiatives + Strengths = Success
Gaps
Obstacles

Local Initiatives
Marketing and outreach
Implement pilots
Multi-national and multi-state initiatives
Collaborative board
Strategic asset plan
Global marketing
Gaps
Obstacles

Key Strengths
Airport
Interstate highways
Railroad network
Hub operations cost
Local Initiatives
Implement pilots
Collaborative board
Global marketing
Gaps
Obstacles

Key Strengths
Airport
Interstate highways
Railroad network
Hub operations cost
Local Initiatives
Implement pilots
Collaborative board
Global marketing
Gaps
$ & JOBS
Obstacles

Survey Synthesize
How would you synthesize the results of the survey?

Vision
Capabilities and key strengths
Targeted industries
Performance metrics
Structure of operating board
Critical success factors

Rationale for our Regional Intermediary Model Recommendation
The Regional Intermediary recommendation is not an exact model, but rather identifies key characteristics offered by several models
The Regional Intermediary recommendation relies on a hybrid model approach similar to the Public/Private Partnership Model
The Regional Intermediary recommendation will not be implemented from scratch, but should leverage existing organizations as feasible

Organizational Model Recommendation: Public / Private Partnership Model
Provide public sector advantages of good Infrastructure and support capabilities
Provide public sector advantages of availability of very good human, land, supplier, and financial capital
Provide private sector value propositions which offer economic competitiveness and lowest total cost to serve
Provide private sector the advantage of serving global markets

Public / Private Partnership Model: Vision
World class cross-border distribution hub
Air freight to motor freight
Rail freight to motor freight
Value added services
Lowest overall cost to serve for industry partners
Superior customer service for industry partners and their respective customers
State of the art supply chain technology
Excellent management and labor talent
Win-win-win relationships with industry partners, service providers, and supply chain hub

The Bottom Line !
Opportunity Assessment has re-enforced the economic development potential for the Hub
66,000 new jobs created
Doing nothing may run the risk of additional jobs lost
Maintaining momentum over the next few months will be critical to project success
Each of us will play a key role to assure 66,000 new jobs are created…..starting today !

Public / Private Partnership Model: Capabilities
Supply Chain Expertise
Economic competitiveness and lowest supply chain cost to serve
Supply chain sustainability
Infrastructure / modal support
Economic Development
Competitive tax environment
Ability to serve global markets
Develop supply chain solutions
Strategic Infrastructure / Intermediary Funding
Infrastructure support and capabilities
Collaboration
Joint commission or authority
Strategic alliances

Public/Private Partnership Model: Strengths and Unique Offerings
Cross-border distribution hub and NAFTA thoroughfare away from congestion of Chicago-Toronto
Trans-loading heavy imports from Canadian ports to U.S. using railroads
Good airport, highway, and rail infrastructure with limited congestion and very good reliability
Skilled Export, TDL management and supply chain labor talent is readily available
Economical outbound motor carrier capacity
Availability and affordable land
Unique Offerings of Our Public/Private Model:
Provide supply chain value propositions to attract companies
Commitment from State of Michigan to make this happen

Summary of Key Strengths for Public/Private Partnership Model
Multi-state and multi-country
Public provide infrastructure; private run it
Existing base of excellent service providers
Implement the infrastructure, talent, and geographic potential that currently exists

Public/Private Partnership Model: Targeted Industries
Heavy Manufacturing
Automotive renewal
Alternative energy
Carbon fiber manufacturing
Chemical processing
Defense
Electronics – industrial
Light Manufacturing
Food processing
Medical technologies
Water technologies
Distribution
Beverage and alcohol distribution
Retail importing and value add
Waste management

Summary of Enhanced Economic Activity by Industry Cluster

Public/Private Partnership Model:Proposed Metrics
Number of new jobs created by industry (Both Direct & Indirect jobs)
Economic activity benefits by industry (Dollars)
The number of new businesses attracted
Business retention rate (New and Existing)
Investment amounts with ratio: Public vs. Private
Inbound/Outbound shipments (Volume and Value)

Public/Private Partnership Model:Proposed Board Structure
Board representation from Canada, OH and MI
Leadership from both public and private sectors
Need private sector champion to take ownership, overcome obstacles and drive change
Small executive board supported by appropriate advisory boards and committees
Create multigenerational commitment (regardless of current administration in office)
Seek foundations and venture capital support

Public/Private Partnership Model:Critical Success Factors
Public sector funding
Integrated Regional and Statewide asset strategy
Commitment from a major logistics provider or shipper as a catalyst to Economic Development
Economic Development driven by aggressive lead management approach across all stakeholders to attract shippers and carriers
Available physical capacity (Land, Facilities, People) to support growth
Hub supply chain competitive advantages

Regional Intermediary: Discussion
What suggested changes or extensions are needed to enhance our Public/Private Partnership Model characteristics?
Vision
Capabilities and Strengths
Targeted Industries
Performance Metrics
Structure of Operating Board
Critical Success Factors

Local Initiatives and Multi-National and Multi-State Initiatives are Keys to Success
Key Strengths
Airport
Interstate highways
Railroad network
Hub operations cost
Local Initiatives
Implement pilots
Collaborative board
Global marketing
Gaps
$ & JOBS
Obstacles

Local Initiatives and Multi-National and Multi-State Initiatives are Keys to Success
What suggestions or candidates do you recommend for the proposed Regional Intermediary (Local) organizational model?
What suggestions or candidates do you recommend for the proposed Multi-Nation and Multi-State organizational model?

Implementation Planning
Regional Intermediary design recommendation
Intermediary Design Workshop One: March 11
Intermediary Workshop Two: April 29
Implementation Workshop Three: June 10
Piloting the implementation approach with partners
April 1 Symposium
Joint Workshop with MEDC: TBA
Launch pilots with interested industry partners
Education, sharing of findings, and communications
Workshop Sessions with Ohio and Canada
Community Outreach meetings/workshops
Global Trade and Transportation: Next Steps

Implementation Planning
Regional Intermediary focus to assure multi-state and multi-nation collaboration:
Secure executive sponsorship from all jurisdictions
Create a common board for regional collaboration
Develop global branding, marketing and communication plan
Creation of a regional strategic supply chain asset, infrastructure, and transportation plan
Design SCM assets framework to complement supply chain strategy and future growth
Assure SCM assets enable pilots and industry growth
Design SCM assets framework to eliminate redundancy across assets while enabling future growth

Regional Intermediary Implementation
Regional Intermediary Implementation:
Proposal for Fourth Quarter, 2011 Symposium
Sponsored by NEI, Michigan State University,
Detroit Regional Chamber, and MEDC
Symposium topics:
Commitment statements from executive sponsors representing Canada, OH, MI and MEDC
Roll-out global branding, marketing and communication plan
Testimonies regarding pilot company implementation progress
Forum to engage region in the TDL and Exports discussions

Regional Intermediary Implementation
Workshop Participant Feedback:
What can you do, either individually or collectively, to help our efforts succeed?

http://www.detroitchamber.com	389
http://detroitchamber.com	36
http://translate.googleusercontent.com	2
url_unknown	1

TDL & Exports Regional Intermediary Design III

by Translinked on Jun 14, 2011

Accessibility

Categories

Tags

Upload Details

Usage Rights

4 Embeds 428

Statistics

TDL & Exports Regional Intermediary Design III — Presentation Transcript