Friday, July 18, 2003
There's nothing new about clusters. Economists will tell you that the concept has been around for years. (They call it "agglomeration economies", though.)
The hard part has always been figuring out how to strengthen clusters in a pragmatic, focused way.
Racine, WI is taking the first steps with its smaller manufacturers. The challenge with all of these efforts is quickly translating challenges into ideas, ideas into initiatives, and initiatives into action.
Figure you have about two meetings to trace this pathway. If, on the third meeting, there's no daylight, then you've lost them. About 10% to 15% of your smaller manufacturers are probably doing pretty well (with value added per employee of over $100,000). Most are not (with value added per employee more in the range of $50,000 to $80,000 per employee). The companies on the edge have no time to waste.
Some Background on EDPro Weblog
The purpose of this weblog is to help economic development professionals -- EDPros -- keep up with the changes sweeping our profession. Strap on your goggles. It's a whole new game. There are no experts any more. The only place to learn about economic development is from other EDPros who are doing it.
One other point: the prevaling approach (paradigm, if you like) in economic development is shifting from competition to collaboration. There are a lot of reaasons underlying this shift, but here's the important insight: You, your community, and your region will do better by collaborating and sharing information.
If you are using a news reader, here is the link to syndicate this site:
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Speaking and workshops on Open Source Economic Development
As the idea of Open Source Economic Development starts spreading, more people are asking about it. Visit the I-Open web site to learn more. My colleagues and I are happy to explain the basic concepts in a talk or a workshop. E-mail Susan Alshuler if you'd like to learn more about workshops and speaking.
Background on Ed Morrison
Download some background information on me here.
Starting a cluster organization for small manufacturers
