Entrepreneurship vital for economy
BYLINE: Timothy J. Haffner
A steady decline of northeast Indiana's average wage rate along with a loss of notable employers over the last two decades have forced an evaluation of how the communities of our region have conducted the business of economic development. Historically reserved to cities and counties pursuing a poorly focused and disjointed effort to attract and retain "good jobs," what has become clear to most observers is that whatever we were doing to foster economic development was not working. The problem is multidimensional, but much progress has been made toward finding a solution.
Acknowledging the limited success of past efforts, the Allen County Economic Development Alliance was launched seven years ago as an unprecedented collaboration of the city of Fort Wayne, Allen County and the Chamber of Commerce. Led by Rob Young, the Alliance has been able to transform in a short time the community's ability to react to the potential loss of a key employer as well as more effectively and aggressively attract new businesses. The Alliance has been able to attract millions of dollars of new investment and retain thousands of quality jobs.
In 2006, the Northeast Indiana Regional Marketing Partnership successfully completed a capital campaign securing five years of operating funds. Focusing on a cluster of core business sectors, the mission of the RMP is to market our region to business prospects, both nationally and internationally. Led by John Sampson, the RMP is well positioned to identify and pursue businesses that might logically locate operations or headquarters in northeast Indiana. A win in the region is a win for the local economy.
A third leg of this stool is found in the creation of the Northeast Indiana Innovation Center. Karl LaPan and the NIIC have assembled an impressive facility and program focused largely on developing and commercializing innovation. One of the challenges of creating and sustaining a robust regional economy is to align the development and promotion of regional assets with new drivers of economic growth. Only recently has the importance of the nexus between innovation and entrepreneurship to local economic development become understood.
A 2004 study on innovation and entrepreneurship by Advanced Research Technologies LLC concluded that, "The creation of economic value can only be sustained as firms, large and small, young and old, increase their capacity to generate new marketable ideas, rapidly commercialize those ideas and adjust their competitive offerings to changing market conditions." The eight-track stereo, Bonar Brain and bag phone serve as testaments to the rapid market change brought on by innovation.
Northeast Indiana has historically enjoyed a culture of understanding the importance of creating and commercializing innovation reflected, in part, by our region's relatively high level of patent applications. We have also enjoyed a strong work ethic. In a recent survey of employers and national site selection consultants, our work ethic and "entrepreneurial spirit" were recognized as an asset of the region.
Creating a nexus between our ability to innovate and individuals or firms with both a desire to develop new technologies into commercial enterprise and access to capital is a larger challenge. A great idea ends up being just that without someone with an understanding and a willingness to commercialize the opportunity. The most entrepreneurial and innovative regions of the country enjoy job and wage growth substantially higher than those that are not.
For better or worse, the story of northeast Indiana's economic future remains unwritten. What is clear is that we need the ability to attract and retain key employees, market ourselves to the world as a region and accelerate the development and commercialization of new technology. Northeast Indiana has a rich history of innovation. Our ability to grow and leverage our intellectual capital will significantly influence the success of our economy for years to come. The Alliance, the NIIC and the RMP are all critical components to the transformation and growth of our regional economy.
Timothy J. Haffner, an attorney with Baker & Daniels, is chairman of the Northeast Indiana Regional Marketing Partnership and also serves on the board of the Fort Wayne-Allen County Airport Authority. He is the past chairman of the Allen County Economic Development Alliance and the Greater Fort Wayne Chamber of Commerce. He wrote this for The Journal Gazette.