Today, Tom Waltermire, CEO of Team NEO, and Brad Whitehead, President of the Fund for our Economic Future spoke at the City Club about Northeast Ohio’s economic outlook for the next decade. Below are themes and thoughts about business growth for 2020 and beyond.

It seems that 50 out of 50 states claim “bio” as their next industry. In Northeast Ohio, we already know we’re a healthcare hub, but this decade, we’ll become a biomedical business hub. We will build on current clinical and business hubs of excellence in Imaging, Orthopedics and Cardiovascular, capitalizing on the work started by groups such as BioEnterprise, the Austen BioInnovation Institute and Cleveland Clinic’s Global Cardiovascular Innovation Center. Many Northeast Ohio manufacturing companies are already diversifying their customer/industry mix to manufacture medical devices. This will exponentially increase by 2020.  By fully launching a Cleveland Plus biomedical business attraction program in 2010 that blends VC attraction, clinical/research global expertise and Third Frontier, the Northeast Ohio region will make this biomedical business growth a reality.

Advanced energy is just another “buzzword” to some, but with our current base of companies and focused efforts of innovation, we can create real hubs of sector excellence HERE.  Thanks to the efforts of groups such as NorTech, the Great Lakes Wind Network and the Cleveland Foundation, we know that hundreds of Northeast Ohio firms already supply to wind turbine manufacturers; this will only increase as demand for clean energy increases. If we build a wind farm on the lake (which has been predicted for 2020), then OEM presence here for wind turbines is a greater reality. In addition to wind, our region is already recognized as a nationwide hub for fuel cell research and development. Rolls Royce’s recent expansion announcement and Stark State’s Fuel Cell Prototyping Center are testaments to that, with huge potential for continued growth.

Innovation and technology-based economic development programs not only allow us to harness new opportunities quicker and more effectively, as noted with biomedical and advanced energy, but also lead us to new technologies such as flexible liquid crystal displays.  LCD technology was created here in Kent – we all know that.  But without the infrastructure and system in place, the region didn’t do the work to build the business cluster here.  With the next iteration of this flexible technology and manufacturing process being pioneered here, we’re not letting that happen as NorTech leads the charge to create a different outcome this time. 

University and college initiatives such as the Ohio Wind Energy Research and Commercialization Center and the Ohio Bioscience Workforce Training Program will continue to position our region’s workforce and industry base for the future.  Scientific R&D spending in our region doubles that of the United States.  Programs such as Third Frontier and the robust intelligent economic development system now in place are making this possible.

But perhaps the most important difference between making the “teens” successful for the NEO economy is the state and local commitment to economic development.  As Team NEO transitions into new campaigns and capitalizes on the successes of existing efforts, we still don’t stray from our credo that a strong region is made up of strong communities.  Mutual support and collaboration will be more important than ever in making these buzzwords a reality.  We will continue to have it all, together.

Yesterday, about two hundred of Northeast Ohio’s business and community leaders filled the Skyline Hotel for Team NEO’s Annual State of the Region meeting.  This year’s event, sponsored by Akron-Canton Airport, AT&T and Dominion, was perhaps our most successful with all sixteen counties of Northeast Ohio represented.  These meetings are an opportunity for us to update regional leadership on Cleveland Plus business attraction successes, our regional economy, but perhaps most interesting is our discussion with the mayors from our region’s four largest cities. 

The evening began with a pop quiz to see how well attendees know our regional business environment.  Many facts were pulled directly from our Cleveland Plus Economic Reviews…these quarterly reports are stuffed with great information about industry growth and economic indicators.  How would you score?  Check them out then take the quiz.  Please share these reports with your friends and colleagues then test their knowledge! 

Our mission is to advance Northeast Ohio’s economy by attracting businesses worldwide to the 16-county Cleveland Plus region.  Last night, we formally welcomed some of our recent “win” companies to Northeast Ohio, including Affymetrix (pharmaceutical R&D), Collectcorp (accounts-receivable support center), Proxy Biomedical (medical devices), and Steel Warehouse (steel distribution).  These are all great success stories and we should all be proud. Check out the presentation, highlighting many tremendous activities across our region that are transforming the Northeast Ohio economy.

We at Team NEO say “A strong region starts with strong communities.”  A key strength as a region is the strong, diverse economies found within Northeast Ohio’s largest cities.  Our meeting included an open Q&A with Mayor Donald L. Plusquellic, City of Akron; Mayor William J. Healy II, City of Canton; Mayor Frank G. Jackson, City of Cleveland; and Mayor Jay Williams, City of Youngstown. We owe special thanks to these mayors— and the many others who work on building the Northeast Ohio economy.  It is easy to criticize people in these positions, because we can all think of something we would have done differently.  But, is there a harder job anywhere?  Each of the four mayors was asked what single activity in his respective city was having the greatest impact on our region.  Check out the video highlights.

I said it last year and I’ll say it again:  Strong Region, Strong Communities, Strong Companies…..A Winning Formula!  Since we launched our Cleveland Plus marketing program in 2007, Team NEO has helped recruit 25 new companies to the region; creating 3,000 new jobs and $95 million in new annual payroll.  That’s more than $150+ million in regional impact.  It all adds up to $20 of regional impact to Northeast Ohio for every $1 invested in Team NEO…

That said, imagine how much more we could create if more of Northeast Ohio’s business leaders and professionals lend a hand:

• Be the Plus:  Know the facts and be positive about Northeast Ohio
• Pass the Plus: Spread good news about Northeast Ohio to customers & employees
• Build the Plus:  Help Team NEO by referring opportunities to us, assist with specific company site visits, and support the Cleveland Plus campaign

Again, we thank our sponsors Akron-Canton Airport, AT&T and Dominion for there generous support and especially thank Mayors Plusquellic, Healy, Jackson and Williams and their teams for sharing their views so candidly and making this event such a success.

Until next time,
Tom