International Toy Manufacturer Puts Indy on Short List For Worldwide Headquarters Move

Thursday, December 24, 2009 by Ron Gifford

INDIANAPOLIS (Dec. 24, 2009) -- The Indianapolis region has been chosen as one of three finalists for the new world headquarters of a multi-billion dollar international toy manufacturer and distributor, the Indy Partnership announced today. 

                "While we can't publicly identify the company, due to a clause in our confidentiality agreement, we can tell you that we're thrilled to have ended up on the company's 'nice' list," said Indy Partnership President and CEO Ron Gifford.  

                The company realized last year that it had outgrown its existing location in the northern hemisphere. "Twas the night before Christmas, which is traditionally our busiest time," said Will "Buddy" Keebler, director of Elfonomic Development and company spokesman for the project.  " It became clear that our current facilities were like a bag of misfit toys."

                To find a new home, Keebler said the company made a list, checked it twice, and relied heavily on the Indy Partnership's award-winning website to find out which places would be nice.

                The Indianapolis region presented several assets that could meet the company's unique manufacturing and logistics needs.  "We operate an extensive global logistics operation,"  noted Rudy Cervidae, team leader for the company's extensive global logistics operation. "If you ask me, with jewels like the world's second-largest FedEx hub, major distribution centers like Amazon.com, and a great airport, Indianapolis is likely to nose out the competition." 

                Rudy's face also lit up when he talked about being so close to Purdue's Veterinary School. "Although I can't disclose why, some of our team were prancin' and dancin' when they heard about that," he glowed.

                The toy maker was also impressed that central Indiana is home to the most productive manufacturing workforce in the Midwest. "While our workforce might look small, they are extremely talented and efficient, " Keebler observed. "You certainly have an abundant supply of talent to join our workshop associates."

                Indianapolis has some unique characteristics that favor it. "When you spend as much time in shopping malls as our boss does, you can't underestimate the value of being down the street from the headquarters of the Simon Property Group," Keebler said. "Plus, the whole 'World's Largest Christmas Tree' thing on the Circle -- talk about brand alignment!" 

                Easy access to southern Indiana's plentiful coal supplies also caught the company's eye. "Sadly, coal delivery has been a growing part of our business," Keebler lamented.

                The State of Indiana has put together a very attractive incentive package in an attempt to lure the company here, according to Indiana Secretary of Commerce Mitch Roob. "While I can't talk about what's on the company's wish list, let's just say we put out some serious cookies and milk on this one," Roob noted.  Governor Daniels also met privately with the company's founder and chairman, but Roob would not disclose what the Governor asked for. Roob also denied that the Governor sat on the old man's lap, noting that the Governor hasn't done that since he was 9 years old.  

                The company expects to make a final decision after the holiday season. The other two finalists for the site are Santa Claus, Indiana and Bethlehem, Pennsylvania.   Although Santa Claus is considered a sentimental favorite, most observers are skeptical about the Pennsylvania site. According to local site consultant Larry Grinch, "It would take a miracle for this baby to end up in Bethlehem."  

Mapping the Green Economy in Central Indiana

Monday, November 16, 2009 by Matt Waldo
Mapping the Green EconomyHere is a map of the companies in central Indiana that the Environmental Defense Fund shows will benefit directly from federal and state "green" incentives.  A full listing of the company names is available on the EDF site here.  You can also add your company to the list at the EDF site.

Key
Green = Renewable Energy Companies
Blue = Energy Efficiency Companies

CNBC - "Indy One of Best to Find a Job"

Monday, November 9, 2009 by Matt Waldo

Published: Friday, 6 Nov 2009 -  CNBC just completed a study on "Best Cities to Find a Job" and Indianapolis is ranked 8th.  CNBC specifically highlights central Indiana's Life Sciences and Medical Device Manufacturing industries as bright spots.

The report, released by employment Web site CareerBuilder.com, ranked the top metro areas with the most job postings on the site between January and October 2009.

 “The cities that are more economically diverse and have a variety of industries” have the most jobs available, said CareerBuilder.com spokesperson Jennifer Grasz.

"The Indianapolis Region also has and advantage from the perspective of employers in clean energy, defense, automotive, and information technology
," said Matt Waldo, Director of Research and Information for Indy Partnership.  "More highly skilled workers are available now in central Indiana than ever before, and at a competitive cost - and we'll quantify that for you," he continued. 

Check out all that the Indianapolis Region has to offer here.

The CNBC report may be accessed here.


Purdue University Highlights $20M DOE Grant at Biotech Conference

Thursday, October 22, 2009 by Matt Waldo

I had the pleasure to attend a session at the BioCrossroads conference this week where Marshall Martin and Maureen McCann highlighted Purdue's advanced biofuels research plans as part of a $20M grant from the U.S. Department of Energy.

Below is an excerpt from Purdue's May 2009 press release on this:

Purdue to find game changing way to produce biofuels

 

WEST LAFAYETTE, Ind. - The U.S. Department of Energy plans to fund a $20 million effort to create an Energy Frontier Research Center to advance work in biofuels at Purdue University.

The center will investigate methods to bypass the currently used processes involving biological fermentation, reducing the need for large and expensive biorefineries and expanding the range of biofuels beyond ethanol.

 

The Department of Energy also chose Purdue's project as one of 16 that will be funded by President Obama's American Recovery and Reinvestment Act.

The five-year project to develop direct conversion technologies of plant biomass to fuels will create at least 20 new jobs for students, postdoctoral researchers and professional staff in Indiana and another eight jobs at partner institutions, said Maureen McCann, the associate professor of biological sciences who leads the project.

"This center will not only build the knowledge base that will give us a new generation of technologies in energy research for future implementation, but also has the potential to impact work force opportunities," she said. "New jobs are created directly through the funds given to the center, but there also will be a ripple effect as those we train go on to academia or industry and conduct their own enterprises in energy research. If we are successful in this program of high-risk, high-reward research, then it will result in job creation on a much wider scale as these new technologies are implemented into the green economy."

The Purdue center, named the Center for Direct Catalytic Conversion of Biomass to Biofuels, or C3Bio, will investigate methods to directly convert plant lignocellulosic biomass, the bulk of the plant, to biofuels and other bio-based products currently derived from oil by the use of new chemical catalysts and thermal treatments. The team aims to produce fuels that closely resemble gasoline in terms of their molecular makeup and energy density, she said.

The center team, which includes experts from the fields of biology, chemistry and chemical engineering, will study the interactions between catalysts and plant cell walls to design improved chemical reactions for the biomass-to-biofuel pipeline.

Mahdi Abu-Omar, a professor of chemistry, will co-chair the center with McCann. The research team also includes Nick Carpita, Clint Chapple, Dan Szymanski and Nathan Mosier from the College of Agriculture; Rakesh Agrawal, Nick Delgass, Fabio Ribeiro and Kendall Thomson from the College of Engineering; and Hilkka Kenttämaa, Chris Staiger and Garth Simpson from the College of Science.

The center will collaborate with the University of Tennessee, the National Renewable Energy Laboratory and Argonne National Laboratory, which have facilities capable of examining the interaction of catalysts with biomass at the atomic level, McCann said.

"The science of chemical catalysis hasn't been much applied to turning biomass into biofuels," McCann said. "We thought there was a real gap in applying a science that is the foundation of the petrochemical industry but for which very little research exists on living plants, or as we like to call them, young coal."

Most of the reactions used in the petrochemical industry, starting from oil, rely on inorganic chemical catalysts, McCann said. For example, inorganic catalysts are used to generate ethylene and propylene, which are then used to create polymers, paints and other materials.

In current fermentation technology, biological catalysts are used to break down starch in corn kernels to glucose, and living organisms, such as bacteria or yeast, also use their own enzymes to produce ethanol from the glucose. Research is being carried out to use biological catalysts to break down plant biomass as a much more abundant source of glucose and other sugars for fermentation by the bacteria or yeast.

"Biological catalysts are fragile," Abu-Omar said. " Chemical catalysts have played a critical role in providing us fuels in the 20th Century from petroleum. In the 21st Century we will need robust and cheap chemical catalysts to provide us with renewable fuels directly from biomass."

The current biological catalysts used also have difficulty in dealing with lignin, a highly complex macromolecule within the plant cell wall. Lignin prevents access to the polysaccharides in the wall that are the source of the useful glucose and xylose, McCann said.

"The fermentation technologies are only 40 to 50 percent efficient in terms of the carbon atoms you started out with in the biomass ending up in fuel molecules," she said. "We think with different catalysts, the lignin could actually be used and converted to fuel molecules. If we can use the lignin, there is the potential to double the amount of fuel from each unit of biomass. Also that fuel could be more energy-dense, more similar to gasoline, than ethanol."

Bypassing the fermentation process also could help scale down biorefinery size, she said.

"If you could use chemical catalysts or a combination of catalysts with heat, you might be able to scale down the large and expensive refineries that you need to carry out the fermentations," McCann said. "It may even make mobile hydrocarbon refineries possible, where you could take the refinery to the field instead of having to transport heavy biomass to another location."

McCann said the interdisciplinary team that draws on a variety of Purdue's strengths was instrumental in getting the award and will drive the center's success.

"With a group that combines multiple areas of expertise, ideas that are at the boundaries of disciplines start to emerge," she said. "Purdue has deep expertise in plant cell wall biology,  developing new scientific instrumentation, the chemistry of catalysis, and in thermal process engineering and the design of catalysts. In addition, we are located in Indiana, which has the necessary agricultural landscape for the development of biofuels, and great connections already exist between farmers, agribusiness, the state of Indiana and Purdue researchers. 

Purdue's long history of research in biofuels and supporting areas add to its strength, McCann said. The center has plans to establish connections with various research hubs across campus and other national research centers.

"Purdue has researchers that have been working on different aspects of energy biosciences for decades, building the foundation for the future," she said. "This center will bring together the massive amount of talented work that the university has accrued and will apply it to the next step in achieving a viable alternative energy source to finite and foreign oil."

Source:  www.Purdue.edu, May 7, 2009.

You may view other regional assets in the alternative fuels area in Indiana by clicking here.

New GIS Data Layers Available

Sunday, October 18, 2009 by Matt Waldo
The following new data layers are now available on Indy Partnership's web site - recently voted the best web site in the economic development industry:
  • Largest Life Sciences Companies (Statewide) - Available as point data on "Map Overlays"
  • Manufacturing Employment (Region) - Available as county-level thematic layer
  • Logistics Employment (Region) - Available as county-level thematic layer
  • 2007-2008 Population Change (Region) - Available as county-level thematic layer

Click here to go to the page.  Then select the grey tab at the top of the map, titled "Data".

It's A Small World When You're A Pacers' Fan!

Wednesday, October 14, 2009 by Ron Gifford
You just never know who you're going to run into at a Pacers game -- even when you're halfway around the world.  So it was a lot of fun to stop by one of the suites at Wukesong Arena in Beijing last Sunday afternoon and pay a surprise visit on Carla Liebrich and Tina Merriwether, our oldest daughter's social studies teacher and principal, respectively, at Northview Middle School.  Along with two other teachers from Northview (Ms. Krieger and Ms. Williams), Ms. Liebrich and Ms. Merriwether are part of a group of central Indiana educators traveling with Global Indiana -- a nonprofit dedicated to helping educators make connections with other schools around the world.  When the Pacers learned that the group was going to be in Beijing on Game Day, the team lined up suite tickets for all of them.  Sweet, indeed!

The Indiana delegation is participating in some cultural exchange opportunities in Beijing and Shanghai, before traveling to Hangzshou to spend time at the Hangzhou Yongjin Middle School and several other schools.  As you may know, Hangzhou recently became a sister city with Indianapolis, and is located in Zhejiang Province, the sister state for Indiana (we visited Hangzhou last month on the Governor's trade mission).

Oh, yeah, they also played a basketball game that afternoon.  The crowd was certainly into it, especially at the very end when the players tossed autographed mini-balls into the stands.

Blogging from Beijing

Sunday, October 11, 2009 by Ron Gifford

It's 9:30 a.m. on Sunday, and we're packing up to go to Wukesong Arena for the noon tipoff between the Pacers and Denver Nuggets.  It's been a whirlwind of activities since we landed in Beijing 48 hours ago.

We left Taipei immediately after the game on Thursday night, which meant getting to the airport around midnight, with wheels up at 1:00 a.m.  The Chinese government permits very few flights to fly directly from Taiwan to the mainland, and sadly, we weren't one of those.  So we had to do a touch and go in Seoul, Korea before flying to Beijing.  Unfortunately, we had a mechanical problem that kept us on the ground an extra 90 minutes; so instead of landing in Beijing at 5:00 a.m., we landed around 6:30 a.m. -- which put us right in the middle of rush hour.  Two hours later we were finally in our hotel room.

A couple hours later, we were back on the bus for an hour and a half ride to the Great Wall at Mu Tian Yu.  Much has been written about the awesome scale of the Wall: it's all true, and I won't even try to replicate those descriptions here.  Instead, here are a couple of my personal memories from this trip:
  • In order to experience the majesty of the Wall, you take a gondola ride to the top of the ridge where the Wall is built -- probably a couple thousand feet up in elevation.  But before you reach the gondola, you have to run a gauntlet of souvenir vendors, each grabbing and yelling at you, trying to get you to buy T-shirts or mugs, or a Mao hat, or postcards, or the like.  That actually worked out pretty well for one of our tour companions, a prominent Indianapolis business man whose polo shirt wasn't quite warm enough for the chilly weather on the mountain.  After spending time haggling with one of the vendors, he rejoined our group wearing a "I Climbed The Great Wall" sweatshirt.  He claims he got a good deal on it.
  • After touring the wall, you have two ways to get back down: take the gondola back, or take an "alpine slide" type luge ride down.  We chose the latter; and after hiking the Wall for about 2 kilometers, we came to the luge ticket booth.  By happenstance, Rich and Lisa Jones and my wife and I ended up with about 10 of the Pacers and members of the power pack at the top of the luge run.  Each person sits on an individual sled, which has a brake lever to control your speed (and no other controls).  I barely fit on the luge sled; watching Jeff Foster, Solomon Jones and Roy Hibbert squeeze onto one was pretty humorous.  It was a hilarious ride down; I'll post some pretty funny video of the trip down, once I get back home.
Traffic in Beijing is horrible.  There's just no other way to say it.  It feels like we've spent more time sitting in traffic jams than touring the sites.  And a brown haze just sits over the city.  Those of us with a touch of asthma have been spending lots of time with our inhalers.

Final thought on this post:  I'll have to post pictures and video when I get back, because the Chinese government blocks Internet access to websites like YouTube, Facebook, Twitter, and other social network sites.  That's a very interesting experience -- trying to log on and being denied access. 

Off to the game now.  Then we head straight to the airport for the 13 hour flight home.  We leave 5:00 p.m. this afternoon (Sunday) and arrive home in Indy at 6:00 p.m.  That will be the longest one hour flight of my life, to be sure.

NBA Games Taipei Welcome Reception

Wednesday, October 7, 2009 by Ron Gifford

The opening reception for the NBA Game in Taipei just ended a few hours ago, and by all accounts, it was a smash with the local fans, who jammed the Grand Ballroom at the Shangri-La hotel.

The reception began with a traditional dance number performed by a group representing one of the native tribes of Formosa, or "beautiful island."  Both teams were introduced by their respective coaches, and a handful of government dignitaries addressed the crowd.  The Mayor of Taipei seemed particularly pleased to be part of the festivities, and told the audience that when he was a graduate student in Massachusetts between 1978 and 1983, he was a big Larry Bird fan.  "I'm still a big fan today, Mr. Bird!" the Mayor told the crowd.

Most of the players took off after the introductions.  We had dinner before the reception with Earl Watson and Dahntay Jones, both of whom said they were worn out from the long flight, as well as another one of Coach Jim O'Brien's tough practices earlier in the day.  But Coach O'Brien and Denver coach George Karl hung out, signed autographs and posed for pictures.

The team has a shoot around tomorrow morning, then square off against the Nuggets at 7:30 p.m. (7:30 a.m. on Thursday in Indianapolis).  The rest of us are touring some of the sites in Taipei, including a trip to the top of Taipei 101, reputedly the world's tallest office tower. 

Hope you enjoy some of the highlights from the reception:


State of Indiana Is Key Focus of Federal Electric Automobile Funding

Tuesday, October 6, 2009 by Matt Waldo
A study appearing in the latest issue of Site Selection magazine shows that Indiana advanced manufacturing companies have received the second-highest amount of funding from the U.S. Department of Energy for battery and electric drive manufacturing. The companies are:
  • Allison Transmission
  • Delphi
  • EnerDel
  • Magna E-Car
  • Remy
Coincidence? Not likely. General Motors developed the first battery-powered auto (EV-1) in Central Indiana decades ago. Couple historic and current innovation with more than 150,000 central Indiana advanced manufacturing workers (15% of total employment) and two of the best engineering schools in the U.S. nearby (Purdue and Rose-Hulman Institute of Technology), and you get a recipe for success in what appears to be the start of the next industrial revolution -- green technologies.   

Other alternative energy companies of note in central Indiana include Cummins, AltairNano, Bright Automotive, Brevini, Horizon, AlgaeWheel, and the list goes on. 

Read our report on the renewable energy assets in Central Indiana by clicking here.

You can see the map of federal projects from Site Selection here.

It's also worth noting that the Indianapolis Region is internationally known for the Indianapolis Motor Speedway and its Indianapolis 500 Mile Race. Indiana motorsports businesses employ more than 8,000 people at more than 400 companies in Central Indiana.

DOWNLOAD CLEAN-TECH ENERGY PRESENTATION  |  SITE SELECTION MAP

Mission Accomplished!

Sunday, October 4, 2009 by Kristie McKillip
Alas, after almost two weeks in Germany, on Friday evening (Oct. 2nd), I put my feet on U.S. soil once again.  Luckily, my travel back to the States went very smoothly (no delays and no cancellations....which can sometimes be rare these days)!  Nevertheless, I had quite a bit of time to reflect on the trip (approximately 12 hours when you count the time in flight and transfer between airports).  So, I thought it would be a good idea to write down a few observations from this mission - since I had so much time on my hands, anyway!

Overall, I think this was by far, the most productive trip I have ever taken to the Federal Republic of Germany.  It is important to remember these missions abroad are long term commitments that require continued follow up.  Between my previous employment at the Boone County EDC and now at the Partnership, I have been to Germany a total of five times (three of which have occurred in the last 12 months).  Again, to truly have a successful FDI attraction program, you have to make a long term commitment and you have to be consistent with frequent visits (at least 2 times per year).  You also have to be committed to frequent follow-up and touches throughout the year when you're not meeting with people face-to-face.  

Though I cannot disclose company names, I can say the majority of this trip consisted of company meetings.  This is very exciting because it is very difficult to get into meet with companies.  Most of the companies our group met with were medium-sized manufacturing companies in various stages of growth.  A few companies we met with will undoubtedly result in some form of investment in Indiana as they are much further along with their U.S. investment plans.  These companies have already been evaluating various locations in the U.S. and they were already somewhat familiar with our State and Region.  However, most of the company visits we made were very preliminary.  These prospects had little or no knowledge about the State of Indiana, let alone the Indianapolis Region.  Therefore, we accomplished our goal of raising awareness about the Region and our business advantages.  The good news is that we can continue to monitor these prospects throughout their growth continuum.  This means when they are ready to take the next step, we will already have a long-term relationship built with them.  Germany is no different than the U.S. in that people like to do business with people they know and trust.  As long as we can continue to foster a good relationship and provide useful and beneficial services to our new friends, it is all the more likely they will want to make their next move with us. 

In addition to company meetings, we filled in the rest of the trip with valuable meetings with industry trade organizations.  In Germany, industry organizations are very powerful and influential - much more-so than similar organizations here in the U.S.  For instance, in the State of Bavaria, there is an organization called Vereinigung der Bayerischen Wirtschafte (vbw) which represents the social, political and economic interests of its more than 1600 member companies in the electrical and metalworking sectors.  Vbw is an employer association in Germany that actually represents their member companies in collective bargaining agreements and other labor negotiations.  When you compare U.S. verses German manufacturing companies in the mid-sized range, German companies appear to be much leaner from an administrative and management perspective then their U.S. counterparts.  That is why employer organizations such as vbw are so important.  Their staff and experts (most of which are labor attorneys) actually step in and serve the needs of their members.  This frees up senior management to focus on running the business rather than being too involved in labor issues.  In addition to meeting with vbw, we also met with representatives from some of the following organizations: 
-IHK Munich (Chamber of Commerce and Industry)
-Network of Automotive Excellence (NoAE)
-American Chamber of Commerce (AmCham)
-VDMA Munich
-Ministry of Economics in Bavaria
-Strategic Partnership for Sensor Technology.   

Finally, our team attended four different trade shows in the last two weeks.  If there were moments of downtime, our group was walking the trade show floors at the European Photovoltaics Solar Show, MOTEK, Renexpo and FachPack.  Though we had little downtime on this trip, it is always smart to try and schedule a trade mission in conjunction with a major trade exhibition to ensure that you cover as much ground as possible.  These trade exhibitions are also very educational.  At these shows, you can really learn who the major players are in the industry and you can see first hand which companies may be launching new product lines.  

It has been a very hectic two weeks.  In that short amount of time, we met with 15 different companies, 10 industry/trade organizations and visited 4 trade shows across 11 German cities and towns.  Now, the hard work begins.  Now we must revisit our notes from our trip and follow up with our new German friends in a meaningful way that will add value to their operation.  If we can do that, then we can honestly say, "Mission Accomplished!"

 

Catching Up, Coming Home.

Friday, October 2, 2009 by Kristie McKillip
This trip has been a whirlwind. Everyday has been a new adventure of some sort, and because of difficulties with Internet service while I've abroad, I've had quite a difficult time updating this blog. While I'm now back in the USA, I've got a bit of a wait before my next flight, and thanks to airport WiFi, I'd love to bring you up to speed with the latter parts of my trip.


This is Mr. Herbert Koepplinger (Managing Director) for the Network of Automotive Excellence (NoAE) and I. The NoAE is an organization dedicated to finding new innovations for automobiles. They research problems in the automotive market and try to identify solutions with the goal of improving all aspects of the automotive manufacturing process. They work with all of the major automotive manufacturers in Germany as well as their suppliers.


This is a picture of our group with Mr. Burkhard Linke from the American Chamber of Commerce in Germany. They are one of the largest American Chambers in Europe. In the background of this picture is the Amerika Haus, home to many other chamber and industry-related organizations. This is also where several other states have their Germany outreach office located. 

Here our group is pictured in the TV studios of the Vereinigung der Bayerischen Wirtschaft (vbw). We met with Mr. Kelvin Strausman, Chief Economic and Diplomatic Advisor for North American Relations & International Economic Organizations. The vbw is a very powerful and influential organization in Bavaria. vbw essentially is an umbrella organization for most of the employer associations in Bavaria. They represent many of Bavarias companies during collective bargaining situations and through other labor issues. They also lobby on behalf of industry. Their network is extremely large. In fact, in our meetings with company CEOs throughout the week, we found many of them actually served on the Board of Directors for this organization. This will be a great contact in the future.


Another picture with Kelvin Strausman.  He is responsible for helping his member employers make connections and be successful in North America.


One of the great things about Germany is that this type of selection of freshly baked food can be found in any train station in Germany. We spend so much time in train stations on these trips, and are often eating on the run. The good news is that the train stations have some of the best and freshest food you'll find.  It is great (as far as eating on the run is concerned).

The last picture is our group on the train.  We spend a lot of time getting from place to place because we have to cover so much ground at one time.  This is a picture of an ICE train (one of the fastest in Germany).  As you can see, it is definitely geared to the business traveler.  They have a desk and plenty of room to work. Internet access is available (but it is always patchy due to the high speeds of the train).


I hope to share some more of my trip in the coming week. There were so many exciting observations to share!

Best Business Tax Climate in the Midwest; One of the Best in the Nation

Friday, September 25, 2009 by Ron Gifford
Indiana continues to score well in the Tax Foundation's annual survey of states' business tax climate.  We ranked 12th in the country and best in the Midwest.  Here's a press release issued today by the Indiana Economic Development Corporation:


INDIANAPOLIS
(Sept. 24, 2009) - Indiana's growing national reputation as a great state to do business has received another boost. The state moved up two places in the Tax Foundation's 2010 Business Tax Climate Index for business tax climate. Indiana is 12th overall, up from 14th in 2009, and remains the top state in the Midwest for business tax competitiveness.

The Tax Foundation is a nonpartisan tax research group based in Washington, D.C. 
 
Rankings for other nearby states include Michigan 17th; Kentucky 20th; Illinois 30th; Wisconsin 42nd; Minnesota 43rd; Iowa 46th; and Ohio 47th. In its seventh year of publication, the report measures five indexes of states' business tax competitiveness including property tax rates, sales tax, individual tax, corporate tax and unemployment insurance taxes.  The Tax Foundation presents the Index annually as a tool for lawmakers, businesses and individuals to gauge how their states' tax systems compare.


"While other states are imposing tax increases to cover budget shortfalls, Indiana's solid fiscal house and competitive tax environment have earned us national attention as a frontrunner for new jobs and investment," said Mitch Roob, Secretary of Commerce and chief executive officer of the Indiana Economic Development Corporation.  "While there is still much work to be done, Governor Daniels' focus on job creation and economic development continues to pay off, even during a time of national recession."
 
The Tax Foundation study is the latest in a series of national accolades the state has scored in economic development.  In March, Chief Executive magazine found the Hoosier state to be the best place to do business in the Midwest and among the top 11 states nationwide for business, according to feedback from more than 500 businesspersons and published in its annual "Best & Worst States" survey.
 
The Tax Foundation's full report is available at www.taxfoundation.org .
 

Packing the Essentials for a Trade Mission

Tuesday, September 22, 2009 by Kristie McKillip

For anyone who travels frequently, you know there is a fair amount of strategizing when it comes to packing a suitcase. You don't want to pack too much, but you don't want to be left without your essentials. I think we all have our little traveling essentials, right? For me, especially when I travel to Europe, it is my comfy little black flats that go with any suit or outfit. I'm always running to my next appointment or trying to catch a train or a plane. Believe me, it is absolutely essential to have a great pair of shoes. I also have this great suit jacket that goes with anything - dress slacks, jeans - it's very versatile.

As you can probably tell by now, I take packing very seriously. Packing smart and thinking ahead means you're prepared (even for the unexpected). In fact, when I think about it, I have really been packing for this trip since mid-June (or really since last fall). Okay, so now you're really thinking I'm high maintenance! No, what I'm referring to is all of the planning and strategizing that has taken place up until now - all of the activities that go on BEFORE I pack my suitcase.

So I thought my first blog about this trip would be dedicated to the essentials. It is also a tiny peek into the process that we go through in preparing (or packing for) a business development mission.

1.)  Let your strengths be your guide.

Our primary strengths include our location, cost of doing business and workforce (among other strengths). Workforce is probably the most important. I always tell people that in Indiana, we make things and we make them well. Whether it's pharmaceuticals, vehicle engines or batteries, we have the manufacturing talent here that enables companies to be extremely competitive in the marketplace. So, we started with our strengths. Southern Germany is known around the world for its manufacturing base. The two German States of Baden-Wurttemberg and Bavaria (which basically make up all of southern Germany) are where Germany's major manufacturers are located -- including Daimler Benz, BSH Bosch, Siemens, BMW and EADS. High-tech companies account for nearly 60 percent of manufacturing employment in Bavaria alone. Though there are many large, global companies in this region, there are also a lot of small to mediums sized manufacturers that have not yet made investments in the U.S., or they may have a small sales presence only. These are the companies we want to engage.

2.)  Do your homework.

After evaluating our strengths and applying that value chain to a specific region, I then turn to our research staff. Our research department at Indy Partnership has several databases they subscribe to that track and compile data on companies around the globe. Their sources for a company's revenue growth, employment, recent investments and other important details coupled with their data analysis help me to develop a quality prospect list.

3.)  Leverage all resources and partners assets.

Partners are critical. Our targets and search criteria are less effective if we don't seek input and cooperation from other partners engaged in the similar activities with the similar goals. When working in Germany (or anywhere else outside of the U.S.), it is important to engage our state of Indiana partners with the Indiana Economic Development Corporation. Through their international office in Berlin, Germany, IEDC officials help us with outreach and securing meetings abroad. They also give us important, on-the-ground feedback about our targets. In addition to our resources at IEDC, we reach out to the private sector (our investors, stakeholders, existing industry base) and our world renowned universities who are also engaged with global players and global initiatives.

4.)  Bring something valuable to the table.

At the Indy Partnership, we like to pride ourselves on providing not just good information, but information customized to our customers and their needs.  This requires us to know a lot about our customers before we even walk into meetings. It requires us to find the messages and information that are specific and will be most important and compelling to our target clients. It also requires us to be good listeners and follow up in a timely fashion.

Any business development trip, whether it be domestic or abroad takes a lot of preparation and a lot of hard work. It is a continual process that you have to keep building upon.

European Trade Mission Essentials:
 

  • Comfy black flats - $40;
  • Stylish, Versatile Suit Jacket - $120;
  • Flying to Germany with the peace of mind that you're prepared and ready to meet your customers - Priceless

FOLLOW ME IN GERMANY ON TWITTER


And here's a fun picture I found when I did a simple Google images search for "packing suitcase." Some things simply MUST be shared!


A Quick Clarification On My Comments About New Deals

Thursday, September 10, 2009 by Ron Gifford

Well, it's not surprising that once in a while the ambiguities of email, 12 time zones and 7500 miles of distance might create a bit of confusion.  Thankfully, we can use tools like these to be clearer.

I responded to some questions from the IBJ yesterday about our trip, and the IBJ was kind enough to cover those remarks in its IBJ Daily.  I'm a bit concerned that the first paragraph of the story conveys a broader view about our trip that I didn't intend to convey -- specifically, that I didn't think people should expect to see any deals or announcements to be made at any point in our journey, including in Japan.  

Well, here's the confusion:  my mental state was focused solely on China, but my written comments might have been broader than that.  The other thing I want to be crystal clear about is that I never intended to leave the impression that I was speaking on behalf of the entire delegation or on behalf of Governor Daniels. 

Here's what I meant to convey.  The IBJ asked:

What do you hope to accomplish as a result of this trip? (any tangible ROI in mind?)


Here's my reply:

 

We decided to invest in this trip so we could begin building relationships in those Chinese business sectors that are on the verge of making significant investments in the United States -- sectors such as advanced automotive and life sciences, for example. Chinese companies will begin investing in the U.S. for one of three reasons: access to technologies and innovation; access to customer markets; and access to a better platform for global marketing (in other words, "Made in the USA" carries more brand value than "Made in China.")


In China, business opportunities are driven by "guanxi" -- that is, relationships. If there's no guanxi, there's no deal. So we see this as a long-term investment. People have asked me if we're going to bring any new deals home, or have any new business announcements from this trip. As much as we wish that the world worked that way, frankly, that's just wishful thinking. Deals don't happen from one-time visits in the States, and they certainly don't happen that way in China. This is a long-term strategy, not unlike the successful strategy that the state has followed in attracting Japanese investment. Contacts originally made back in the 1980's have borne recent fruit; and we plan to cultivate long term relationships that we hope will eventually lead to a series of "overnight" successes.

 

Our specific strategy is to create a network of business and government contacts in these key sectors; keep those business advisors, officials and other "influencers" well-informed about the opportunities in the Indianapolis region; and invite Chinese business leaders to visit our community to experience its assets first hand.


I was just focusing on China in my answer, but in hindsight, I can see how it might have been seen as a broader comment on the trip to Japan as well.

One other thing:  I'm certainly not the spokesman for the delegation, and there might be other deals in the works that I don't know about.  We have business people from all over the state on this trip, and many of them have extensive experience in both countries.  So if it appeared that I was speaking on behalf of the whole team, I'm sorry that this confusion occurred.  I was only speaking for the Indy Partnership. 

And to emphasize the point, I'm certainly not speaking for the Governor, and I'm not privy to the subjects of the private business meetings that he has scheduled in Japan.  It's worth noting that our relationship with Japan is years ahead of that with China as it relates to the cultivation and timing of new investments in the U.S.  Again, I don't have any insider info on this, but if the Governor's past trips to Japan are any guide to the future, I wouldn't be surprised at all if we saw some significant and interesting outcomes from those meetings with Japanese business leaders. 

Thanks; I just wanted to clarify this post.  Hope it doesn't seem too defensive or critical of the IBJ -- that's not my intent.  

One of the great things about living in the future (as we joke about in our blog title) is the chance to make things clearer, almost before they happen! 

Thanks for reading. 

Wakeboarding in Downtown Indianapolis, Great Views

Friday, September 4, 2009 by Joshua Hall
Every once is a while I run across a video that just impresses me. I live on the river on the northeast side of Indianapolis where boats and aquatic life are part of every day. I forget, however, that downtown Indianapolis has some truly beautiful views from the canal. This professional wakeboarding video shows you what I mean.




I understand that targeted companies aren't going to choose to locate new jobs in Central Indiana because we have a canal. But when I start making my lists of all of the "little things" that make this region special, the canal and all of the wonderful activities and cultural features that have grown up all along it definitely deserve a mention.

Feds Put Money Where The Action Is -- Indiana Clean Technology

Thursday, August 6, 2009 by Joshua Hall

President Obama visited Indiana on August 5, to announce $2.4 billion in high-tech federal grants. It turns out that $400 million is going to six different Indiana companies, the second-largest amount doled out among 25 states. Three of these grant recipients are located in the Indianapolis Region.

There are plenty of high-tech stories to tell relating to clean-technology, renewable energy, and advanced manufacturing operations in the 10-county Indianapolis Region, which is the focus of the grants. And while each individual story is newsworthy, it’s “the sum of the parts” that communicate a compelling message to the rest of the nation and the world.

That message is that Indiana has a great deal of activity going on in major growth industries – namely hybrid-electric cars, lithium-ion batteries, and other components for electric cars and “heavy hybrid” work vehicles.

I spoke with Indy Partnership President and CEO Ron Gifford about the grants this morning and he said it’s fitting that President Obama traveled to Indiana for the announcement because “we’re for real.” Not that other regions and other states don’t have quality projects underway, but few have the advantages that we’re experiencing in the Indianapolis Region.

For example, the electric car was invented in the Indianapolis Region and several of the original GM engineers who worked on the EV1 are now leading hybrid-electric car companies and suppliers making headlines here. The region’s strengths in manufacturing and advanced manufacturing are already nationally recognized as well as our strong competitive position in transportation distribution and logistics. Together with leading research universities and other post-secondary institutions (six of which just received clean-technology stimulus grants of their own) and a trained, available advanced-manufacturing workforce, the Indianapolis Region is “for real.”


More Evidence of Indiana's Clean-Tech Energy Leadership

Thursday, July 2, 2009 by Joshua Hall

In a news story released today by our friends at the Indiana Economic Development Corporation, a Portland, Ind. company called Sertech Heating and Air Conditioning Inc. was recently awarded a $77,000 grant from the United States Department of Agriculture to further develop its proprietary solar technology.

From the story: "Under development by Sertech Owner Wayne Blevins for nearly five years, the company's Solar Thermal Energy Storage Vessel is similar in size to a residential water heater and contains a proprietary mix of environmentally friendly chemicals that can more efficiently store the sun's heat. Sertech is using the grant to fund a feasibility study with Ball State University."

While Portland, Ind. is located just outside of the 10-county Indianapolis Region, this story is yet another example of Indiana innovation and leadership in the clean-technology, renewable energy space. There are currently more than 100 Central Indiana companies working with or developing new products and technologies that reduce our dependence on fossil fuels.

Both Bright Automotive with its 100 miles-per-gallon fleet vehicle, and EnerDel with its comprehensive hybrid-electric battery production have been making national headlines for a while now. But lesser known clean-tech energy projects are underway here, too.

Projects such as the collaboration between Cummins, Allison Transmission and Delphi called Hoosier Heavy Hybrid, which seeks to bring more cost effective light, medium and heavy duty hybrid trucks to market. And Project Plug-IN, a collaboration among auto, technology and utility companies, including Duke Energy and Indianapolis Power & Light Company (IPL). The project will build the infrastructure to support plug-in vehicles, such as "smart grid" technology that would allow Indianapolis metro commuters to plug-in and recharge their vehicles at home and in downtown parking garages.

And there are many, many more projects underway.

In fact, there is so much activity in Indiana in the clean-tech energy space and so much potential for more activity, that Indy Partnership President and CEO Ron Gifford recently made a bold statement in an address to Indy Partnership investors.

"No other region in the U.S. is better positioned to become the manufacturing epicenter for clean-tech energy compared to the Indianapolis Region," Gifford said. "In addition to our high renewable energy rankings, we offer the most productive manufacturing workforce and the best business climate in the Midwest. When coupled with our central location, our logistics infrastructure, and experienced workforce, it's hard to imagine anyone else competing on this level."

RECENT RANKINGS:

  • #1 Advanced Manufacturing Technology
    The Ewing Marion Kauffman Foundation ranks Indiana as the top state in the U.S. in advance manufacturing technology.
     
  • #1 Manufacturing Productivity
    The Census of Manufacturers determined that Indiana has the most productive manufacturing workforce in the Midwest.
     
  • #1 Wind Energy Growth State
    The American Wind Energy Association ranked Indiana the fastest-growing wind energy state in the country in 2008 and continuing today.
     
  • #2 Renewable Components Manufacturing
    The Renewable Energy Policy Project (REPP) recently identified Indiana as the 2nd best state for jobs and investment in renewable energy when normalized for population. 
     
  • Twice the National Average
    Manufacturing employment makes up 13% of the Indianapolis Region's workforce, which is more than twice the national average.
     
  • High Manufacturing Facility Concentration
    The Indianapolis Region has more than 375 manufacturing facilities with greater than 50 employees.
LEARN MORE ABOUT INDIANA CLEAN-TECH ENERGY

Work Begins on New Technology and Life Sciences Incubator at Indiana University

Thursday, November 20, 2008 by Indy Partnership Staff
Pervasive Technology Institute

Work has officially begun on Indiana University's new Pervasive Technology Institute in Bloomington, Ind., and it's a good thing because the school's Emerging Technologies Center located in Indianapolis is already 98 percent full!

Two sister workforce and industry development organizations that, like the Indy Partnership, are private non-profit initiatives of the Central Indiana Corporate Partnership, are intimately involved with Indiana University's economic development efforts. Both BioCrossroads and TechPoint were mentioned in a press release about the new institute as key contributors to "progress in establishing Indiana as a nationally recognized hub of innovation."

The Pervasive Technology Institute is expected to have a significant impact on connecting, accelerating and promulgating technology and life sciences startup companies within the state of Indiana. In addition to the new facility in Bloomington, the Pervasive Technology Institute will also have a facility on the campus of Indiana University Purdue University Indianapolis (IUPUI) close to the existing Emerging Technologies Center. All of these higher education and business incubator resources are located within the 10-county Indianapolis region.

"There is no denying that the Indianapolis Region boasts some of the most active higher education institutions in the nation when it comes to tech transfer and commercializing the research and development efforts of our universities," said Ron Gifford, president and CEO of the Indy Partnership. "Indiana, particularly the Indianapolis Region, is becoming more well known for its tech-based business clusters including advanced manufacturing, information technology and life sciences."

Ron Walker, president of the Bloomington Economic Development Corporation, said "Bloomington already has six times the national average in life sciences employees and we are a national leader in technology due to e-learning, Bioinformatics, homeland security, Department of Defense and the world’s first School of Informatics. We are thrilled to include the new Pervasive Technology Institute on the roster of economic development assets that make our city so appealing for new jobs and investment."

Learn more about the Indiana University Pervasive Technology Institute.

Read media coverage.

Posted by the Indy Partnership Staff

Indy Partnership Supports Urban Land Institute Indiana

Thursday, November 6, 2008 by Indy Partnership Staff

Inaugural Real Estate Trends in Indiana Report to be released at "Emerging Trends in Real Estate" event on Nov. 18

The ups and downs and areas of opportunity within the real estate industry have great impact on economic development here in the 10-county Indianapolis Region and across the nation. As critical as superb transportation, distribution and logistics infrastructure as well as world-class workforces are, real estate issues can make or break a business relocation or expansion project.

"It is the combination of our assets that gives the Indianapolis Region its competitive advantage over the coasts and neighboring states,” said Ron Gifford, president and CEO of the Indy Partnership. “Having better access to rail service and interstates wouldn’t do us much good if our real estate rental rates were three or four times higher like they are in California and Florida, for example.

“That’s why we are supporting the Urban Land Institute Indiana as a sponsor of its upcoming ‘Emerging Trends in Real Estate’ event and why we are particularly eager to see its Real Estate Trends in Indiana Report become a successful annual resource.”

According to Area Development magazine’s 2007 Annual Corporate Survey, real estate issues were said to be “important” and “very important” by between 79 percent and 89 percent of all respondents when ranking their expansion and relocation priorities. These issues range from availability of buildings and land, construction costs, “fast-track” permitting, energy considerations and residential housing availability and costs. In fact, real estate issues account for three of the top five site selection factors tracked by the survey.

According to Matt Waldo, director of research for the Indy Partnership, the Indianapolis metropolitan area ranks as the “second most affordable” among 46 major metro areas for industrial warehouse rental rates (based on 2008 Mid-Year Market Report data from Cushman&Wakefield) and is highly competitive in Class A and Class B office space.

“The Indy Partnership was directly involved in the decision making process for seven of the 10 largest real estate lease transactions in Indianapolis from the middle of 2007 through the middle of 2008, and I can tell you with the highest degree of certainty that understanding the real estate trends in the Indianapolis Region as they relate to the nation was critical to making the argument to create jobs and invest here. The Urban Land Institute Indiana’s report will enhance our ability to continue this track record of success for our region,” Waldo said.

Learn more about the "Emerging Trends in Real Estate" event .

Indiana and Purdue Universities Form Life Sciences Research Alliance

Thursday, October 30, 2008 by Indy Partnership Staff

IU, Purdue use YouTube spot to highlight Indiana Innovation Alliance



BLOOMINGTON, Ind. -- Indiana University and Purdue University may be oil and water when it comes to athletics, but thanks to the Indiana Innovation Alliance, an effort to foster life sciences research and partnerships throughout Indiana, they're more like . . . Indiana corn and butter. Persimmons and pudding. YouTube and viral marketing.

A new, 30-second YouTube video expresses the partnership in a humorous tone that gets the point across: IU and Purdue are actually working together. The spot hints at a new, research-based collaboration between the two powerhouse universities that will ultimately result in better health and more jobs in the state.

A screen shot from the new IU-Purdue YouTube video to promote the Indiana Innovation Alliance.
Bill Stephan, vice president for engagement at IU, said the video -- which pairs quirky graphics and hand-drawn sketches with a humorous voice over -- is designed to heighten awareness of the Alliance and highlight the collaboration between the two universities. "We're trying to take advantage of emerging communications trends and technology to communicate what we think is an important message to a range of stakeholders," Stephan said.

"The Alliance allows us to optimize the research capacity that exists at both Indiana University and Purdue University in core strategic areas and at the same time, bring an advantage to the state's economic prospects in both the biosciences and life sciences arenas," Stephan said.

In this video, viewers won't be saddled with a lengthy explanation of the Alliance or the life sciences, said Victor L. Lechtenberg, Purdue's vice provost for engagement.

"It is simply meant to create a little buzz about an unprecedented partnership," Lechtenberg said.

The video was created by staff in the IU Office of Public Affairs and Government Relations, with input from Purdue colleagues. Both universities have developed concept papers, presentations, a Q and A, a Web site and a brochure about the Alliance. A series of op-eds are in the works. The YouTube video is a way to get the word out to a diverse audience before rolling out the rest of the public relations campaign.

"We want to convey the message that by Purdue and IU working together, the entire state will benefit," Lechtenberg said. "We have a diverse set of stakeholders in this, from state government, agencies and organizations to business investors to researchers and even to upcoming students and a work force that could benefit. So we're reaching out in many different ways."

The video -- which may be the first in a series -- is a fun, low-budget clip that expresses the essence of the project through humor and the campaign's theme: "Building the Indiana Innovation Alliance, to create better health and more jobs . . . for all of us."

For more information about the Indiana Innovation Alliance, see http://www.indianainnovationalliance.org/index.html.