2010 Broadcast Broch

Insights from the Synchronist

Reporting System®Volume 3, November 2010

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We have continued to see challenging times for our national economy and the industries in Morgan County in 2010. However, companies are beginning to focus on making capital expenditures and hiring for the future. Opportunities for improving business processes and

services and for MCEDA and our community partners to find creative ways to better serve our industrial customers is always a priority.

The Business Broadcast data gathering process always begins with the question “What has been your company’s greatest achievement over the past three years? The graph below depicts the answers to this question and highlights the continued resilience of companies in Morgan County in coming out of the economic downturn with renewed business success.

Over 110 companies in Morgan County were contacted in 2010 to request an existing industry visit. Of those, 36 companies participated in the data gathering process for The 2010 Business Broadcast. The results contained in these pages present a picture of the state of our existing industries, and in some cases, 2009 comparison data.

Since the 2009 publication:• Areas in the community service evaluation that received below average ratings or showed decreased ratings from previous year

were targeted for consultation and improvement. Stakeholders in these areas were gathered to address concerns and pinpoint specific action items.

• In partnership with the Decatur-Morgan County Chamber of Commerce’s Workforce Development Coalition, strategic workforce development actions have been implemented. Careerpathway.info has been launched as a comprehensive workforce and career development website for Morgan County. In addition, a Workforce Development Resource Guide, Matrix and Facebook page have been developed and advertised to the community. This effort has developed out of a concern for the lack of collaboration in workforce development throughout the county. The Careerpathway.info site recently won the “Outstanding Website” award given at the Web Marketing Associations’ International Web Awards competition.

• The Annual Industrial Wage and Benefit Survey was revised and updated based on existing industry feedback. Participation in the survey increased by 12 companies making the data more beneficial to all participants.

• In order to continue to foster the development of emerging and growing product markets for existing industries, MCEDA partnered with Alabama Technology Network (ATN) to deliver Profit 101. Profit 101 is a half-day, intensive look into growing a business through new development taken from the Eureka! Winning Ways strategy. Four Morgan County companies participated in the process and one company participated in a full Eureka! Winning Ways process with the support of ATN and MCEDA.

• Two Morgan County companies took advantage of TVA’s Valley Investment Initiative, helping promote business expansion and investment at their facilities.

• Fourteen companies announced expansions to their facilities.• Areas of legislative concern noted in 2009 interviews were addressed with the legislative delegation, specifically cap and trade,

EFCA and EPA legislation.

Looking toward the future is the ultimate goal of this process. Based on insights gained from this year’s report MCEDA is working on:• Commending and thanking community service areas who are meeting the needs of our industrial community• Continuing dialogue and actions to improve community service areas and address legislative concerns• Working with the Decatur-Morgan County Chamber of Commerce’s Workforce Development Coalition and other partners to promote

workforce development in the county. This will include continued strategic planning efforts and the upkeep of Careerpathwayinfo, the Career Pathway Facebook page, and the Workforce Development Resource Guide and Matrix

• Continuing to partner with AIDT to deliver free quality Leadership Development courses• Exploring the development of an existing industry raw materials consortium in order to allow existing industries to work together

to integrate business processes and reduce transportation costs.

Thank you to all of the industries who opened their doors to us for this process and to our board members and community partners who assisted in collecting this information. We hope you will find the information contained in the next few pages informative and valuable.

business Broadcast

0 2 4 6 8 10 12 14 16 18 20

Other

Employment Growth

Awards/Recognition

Market or Facility Expansion or Merger Complete

Products or Services Added

Business Growth/Sales Increase

Overcoming Business Challenges

Quality/Safety Improvement Implemented

Number of Responses

Greatest Achievements

Over 110 companies in Morgan County were contacted in 2010 to request an existing industry visit. Of those companies, 36 companies participated in the data gathering process for The 2010 Business Broadcast. The results contained in these pages present a picture of the state of our existing industries, and in some cases, 2009 comparison data. Since the 2009 publication:

• Areas in the community service evaluation that received below average ratings or showed decreased ratings from previous year were targeted for consultation and improvement. Stakeholders in these areas were gathered to address concerns and pinpoint specific action items.

0 2 4 6 8 10 12 14 16 18 20

Other

Employment Growth

Awards/Recognition

Market or Facility Expansion or Merger Complete

Products or Services Added

Business Growth/Sales Increase

Overcoming Business Challenges

Quality/Safety Improvement Implemented

Number of Responses

Greatest Achievements

Over 110 companies in Morgan County were contacted in 2010 to request an existing industry visit. Of those companies, 36 companies participated in the data gathering process for The 2010 Business Broadcast. The results contained in these pages present a picture of the state of our existing industries, and in some cases, 2009 comparison data. Since the 2009 publication:

• Areas in the community service evaluation that received below average ratings or showed decreased ratings from previous year were targeted for consultation and improvement. Stakeholders in these areas were gathered to address concerns and pinpoint specific action items.

Morgan County has a diverse array of industrial companies. The followingdisplays information on the types of businesses surveyed. As evident by the comparison data from last year, this year’s process resulted in data gathered from smaller industries. The majority of companies participating in 2010 have less than 25 employees and are privately held or family owned.

respondent Demographics

0 5 10 15 20

1-25

26-50

51-75

76-100

Number of Responses

Years

Years in Business

Company Ownership

Private or Family Owned 80%

Public 11%

Foreign Owned 9%

0 5 10 15 20

1-25

26-50

51-75

76-100

Number of Responses

Years

Years in Business

Company Ownership

Private or Family Owned 80%Public 11%

Foreign Owned 9%

0 5 10 15 20

1-25

26-50

51-75

76-100

Number of Responses

Years

Years in Business

Company Ownership

Private or Family Owned 80%Public 11%

Foreign Owned 9%

Business Sector

Industrial Goods 55%

Durable Goods Producer 14%

Consumer Goods Producer 7%

Diversified 3.5%

Aeronautics and Defense 3.5%

Building & Construction 10%

Wood Products 7%

Business SectorIndustrial Goods 55%

Durable Goods Producer 14%Consumer Goods Producer 7%Diversified 3.5%

Aeronautics and Defense 3.5%Building & Construction 10%Wood Products 7%

Yes2%

No98%

Union Presence

Yes2%

No98%

Union Presence

Respondent Demographics

Morgan County has a diverse array of industrial companies. The following displays information on the types of businesses surveyed. As evident by the comparison data from last year, this year’s process resulted in data gathered from smaller industries. The majority of companies participating in 2010 have less than 25 employees and are privately held or family owned.

0 5 10 15 20

1-25

26-50

51-75

76-100

101-250

251+

Number of Companies

Number of Employees

Respondent Demographics

Morgan County has a diverse array of industrial companies. The following displays information on the types of businesses surveyed. As evident by the comparison data from last year, this year’s process resulted in data gathered from smaller industries. The majority of companies participating in 2010 have less than 25 employees and are privately held or family owned.

0 5 10 15 20

1-25

26-50

51-75

76-100

101-250

251+

Number of Companies

Number of Employees

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Yes56%

No31%

No Response13%

Do you anticipate legislative changes that will adversely impact your

business?

Yes56%

No31%

No Response13%

Do you anticipate legislative changes that will adversely impact your

business?

Individual employers were asked several questions in regards to their business performance and product development including market share, company sales, product life cycle, and new products developed recently and/or new products anticipated in the near future. Also telling of our business climate is information on industry changes including production for industry segments and pending legislation that could have an impact on business processes.

Certain graphs highlight comparisons between previous Business Broadcast cycle’s information. Improvements in company sales and market share from 2009 are positive indicators of a stronger economy. The amount of maturing and declining product life cycles from years past also points to positive economic improvements.

product development, Industy & Market Changes

Yes 57%

No43%

New Products Anticipated Within 2 Years

17%

35%38%

10%7%

36% 36%

7%

14%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Emerging Growing Maturing Declining No Response

Life Cycle Comparison

2009

2010

17%

35%38%

10%7%

36% 36%

7%

14%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Emerging Growing Maturing Declining No Response

Life Cycle Comparison

20092010

Production in your Industry

Supply greater than Demand 28%

Balanced 47%

Demand greater than Supply 17%

No Response 8%

Production in your Industry

Supply greater than Demand 28%Balanced 47%

Demand greater than Supply 17% No Response 8%

Product Development Industry and Market Changes

Individual employers were asked several questions in regards to their business performance and product development including market share, company sales, product life cycle and new products developed recently and/or new products anticipated in the near future. Also telling of our business climate is information on industry changes including production for industry segments and pending legislation that could have an impact on business processes.

Certain graphs highlight comparison between previous Business Broadcast cycle’s information. Improvements in company sales and market share from 2009 are positive indicators of a stronger economy. The amount of maturing and declining product life cycles from years past also points to positive economic improvements.

16%

26%

58%

36%

28% 28%

7%

0%

10%

20%

30%

40%

50%

60%

70%

Increasing Stable Decreasing No Response

Company Sales Comparison

2009

2010

Product Development Industry and Market Changes

Individual employers were asked several questions in regards to their business performance and product development including market share, company sales, product life cycle and new products developed recently and/or new products anticipated in the near future. Also telling of our business climate is information on industry changes including production for industry segments and pending legislation that could have an impact on business processes.

Certain graphs highlight comparison between previous Business Broadcast cycle’s information. Improvements in company sales and market share from 2009 are positive indicators of a stronger economy. The amount of maturing and declining product life cycles from years past also points to positive economic improvements.

16%

26%

58%

36%28% 28%

7%

0%

10%

20%

30%

40%

50%

60%

70%


Company Sales Comparison

20092010

New Products Anticipated With 2 Years

Yes58%

No42%

New Products Introduced in Last 5 Years

New Products Introduced in Last 5 Years

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Expansion and Market Information

Many companies in Morgan County have capital expenditure plans at their facilities. Of companies surveyed, 47% plan to expand their local operations within three years. Because existing industry growth is vital to economic success, MCEDA will increase its efforts to follow up with these companies to support their expansion plans and ensure that they are able to take advantage of all tax and business incentives available to qualifying expanding industries.

No47%

Yes47%

6%

Does your company plan to expand in the next 3 years?

No

Yes

No Response

Expansion and Market Information


No47%

Yes47%

6%

Does your company plan to expand in the next 3 years?

NoYesNo Response


Morgan County recognizes the need to assist companies with expansion and trade issues in order to help our industries remain competitive in the global market place. Therefore, we provide the following services and resources pertaining to these issues:

Expansion & Market Information

• Provide assistance with tax, utility, infrastructure and training incentives for expanding industries

• Provide grant exploration and support for industries considering expansion.• Host the North Alabama International Trade Association’s (NAITA) annual

Trade Tour for Morgan County • Partner with the Alabama Development Office (ADO) and NAITA, when

importing and exporting assistance is needed• Mallard-Fox Creek Industrial Park is a part of General Purpose Zone no. 83

and a U.S. Customs Port of Entry, offering resident industries a number of shipping and customs-related advantages

Export Sales

No Exports 62%

Stable 32%

Increasing 6%

Imports

No Imports 67%

Decreasing 3%

Stable 11%

Increasing 3%

No Response 16%

Export Sales

No Exports 62%Stable 23%Increasing 6%

Imports

No Imports 67%Decreasing 3%Stable 11%Increasing 3%No Response 16%

Export Sales

No Exports 62%Stable 23%Increasing 6%

Imports

No Imports 67%Decreasing 3%Stable 11%Increasing 3%No Response 16%

Primary Markets

Local 17%

Regional 36%

National 28%

International 17%


• Provide assistance with tax, utility, infrastructure and training incentives for expanding industries.

• Provide grant exploration and support for industries considering expansion.

• Host the North Alabama International Trade Association’s (NAITA) annual Trade Tour for Morgan County.

• Partner with the Alabama Development Office (ADO) and NAITA, when importing and exporting assistance is needed.

• Mallard-Fox Creek Industrial Park is a part of General Purpose Zone #83 and is considered a U.S. Customs Port of Entry, offering resident industries a number of shipping and customs-related advantages.

Primary Markets

Local 17%Regional 36%National 28%International 17%


• Provide assistance with tax, utility, infrastructure and training incentives for expanding industries.

• Provide grant exploration and support for industries considering expansion.

• Host the North Alabama International Trade Association’s (NAITA) annual Trade Tour for Morgan County.

• Partner with the Alabama Development Office (ADO) and NAITA, when importing and exporting assistance is needed.

• Mallard‐Fox Creek Industrial Park is a part of General Purpose Zone #83 and is considered a U.S. Customs Port of Entry, offering resident industries a number of shipping and customs‐related advantages.

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A skilled workforce is imperative to the success of any business community. Changes in workforce ratings have been slight over the past few years. However, many companies cite difficulty finding certain skilled positions as seen in the positions difficult to fill chart.

Because of the importance of workforce development, MCEDA continues to partner with Decatur-Morgan County Chamber of Commerce’s Workforce Development Coalition and other partners to target strategic workforce development efforts. The Careerpathway.info site is being promoted in the community as a resource for career and workforce development information specifically for Morgan County residents and businesses. There have been over 3,700 visits to the site since its launch in December 2009. A key feature of the site includes resources for businesses about workforce development programs and incentives. The site recently won the “Outstanding Website” award given at the Web Marketing Associations’ International Web Awards competition.

The Workforce Development Resource Guide and Matrix can also be downloaded from the site. These pieces pinpoint where industries can go to receive workforce development help through various local providers.

Industries were asked to rate different areas of the workforce on a scale 1 (low) to 7 (high). Ratings have changed slightly compared to 2009 ratings.

Workforce Evaluation

Industries were asked to rate different areas of the workforce on a scale of 1 (low) to 7 (high). Ratings have changed slightly compared to 2009 ratings.

5.615.23

5.53 5.335.03

4.56

5.475.91

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

Availability Quality Stability Productivity

Workforce Evaluation Comparison

2009

2010

5.615.23 5.53 5.335.03

4.56

5.475.91

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

Availability Quality Stability Productivity

Workforce Evaluation Comparison

20092010

12%

66%

22%19%

75%

3% 3%

0%

10%

20%

30%

40%

50%

60%

70%

80%


Employment Needs Comparison

2009

2010

12%

66%

22%19%

75%

3% 3%0%

10%

20%

30%

40%

50%

60%

70%

80%


Employment Needs Comparison

20092010

0 1 2 3 4 5 6 7

Welders

Technicians/Operators

Industrial Maintenance

Machinists

Engineers

Drafters

Sales

Skilled Crafts/Trades

Truck Drivers

Number of Responses

Positions Difficult to Fill

0 1 2 3 4 5 6 7

Welders

Technicians/Operators

Industrial Maintenance

Machinists

Engineers

Drafters

Sales

Skilled Crafts/Trades

Truck Drivers

Number of Responses

Positions Difficult to Fill

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Utility services and rates are a key issue for our existing industries. TVA provides power generation for the Tennessee Valley and distributors that serve our area include Joe Wheeler Electric Membership Cooperative, Decatur Utilities and Hartselle Utilities. Industries were asked to rate each utility service on a scale of 1 (low) to 7 (high). Consistently all services are given an above average ranking. Comparison has been made between last year’s rankings as well. MCEDA will continue to foster strong relationships with all utility providers in order to meet the needs of existing industry.

utility Evaluation

6.396.16

6.6

6.06 6.03

6.56.16

5.91 5.94 5.975.66

5.945.67

5.89

1

2

3

4

5

6

7

Water Sewer Natural Gas Electric Telecom Cellular Internet (Speed and

Access)

Utility Comparison

2009

2010

6.396.16

6.6

6.06 6.036.5

6.165.91 5.94 5.97

5.665.94

5.675.89

1

2

3

4

5

6

7

Water Sewer Natural Gas Electric Telecom Cellular Internet (Speed and

Access)

Utility Comparison

20092010

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community evaluationStrengths

Morgan County’s prime location, business climate, and workforce and labor market attributes were key strengths noted this year. Extensive transportation systems including interstate, highway, waterway, and rail promote and support the business community. Tax rates remain low and the work ethic of the labor force provides competitive advantages for businesses.

Companies were asked to rate the quality of 23 community services from a business perspective on a scale of 1 (low) to 7 (high). All community service ratings remained above the midpoint.

Community Strengths

Workforce/Labor Market Attributes 24%

Transportation System/Infrastructure 5%

Business Climate Positive 35%

Quality of Life 5%

Location (Including Accessibility to Customers & Suppliers) 24%

Cost of Living/Doing Business 3%

Community Services 3%

Community StrengthsWorkforce/Labor Market Attributes 24%

Transportation System/Infrastructure 5%

Business Climate Positive 35%

Quality of Life 5%

Location (Including Accessibility to Customers & Suppliers) 24%Cost of Living/Doing Business 3%

Community Services 3%

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0 1 2 3 4 5 6 7

Zoning and Building PermittingTrucking

Traffic ControlTech/Community College

Streets and Roads Regulatory Enforcement

Public TransportationProperty Tax Assessment

Police ProtectionK-12 Schools

HighwaysHealthcare Services

Fire ProtectionEconomic Development

County ServicesCommunity Services

Community PlanningColleges and Universities

Child Care Services Chamber of Commerce

Ambulance Paramedic ServiceAirline Passenger Service

Air Cargo Service

4.185.53

4.976.08

4.655.5

44.93

5.85.58

5.55.47

6.215.93

54.84

5.766.06

4.715.65

5.94.79

5.62

Average Rating

2010 Community Service Ratings

0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00

Zoning and Building PermittingTrucking

Traffic ControlTech/Community College

Streets and Roads Regulatory Enforcement

Public TransportationProperty Tax Assessment

Police ProtectionK-12 Schools

HighwaysHealthcare Services

Fire ProtectionEconomic Development

County ServicesCommunity Services

Community PlanningColleges and Universities

Child Care Services Chamber of Commerce

Ambulance Paramedic ServiceAirline Passenger Service

Air Cargo Service

4.185.53

4.976.08

4.655.50

4.004.93

5.805.58

5.505.47

6.215.93

5.004.84

5.766.06

4.715.65

5.904.79

5.62

Average Rating

2010 Community Service Ratings

Community Service Ratings Average 2008

Average 2009

Average 2010

Air Cargo Service 6.21 5.88 5.62 Airline Passenger Service 5.83 5.72 4.79 Ambulance Paramedic Service 6.47 6.17 5.90 Chamber of Commerce 5.98 5.92 5.65 Child Care Services 5.36 5.00 4.71 Colleges and Universities 6.35 6.16 6.06 Community Planning 4.20 5.03 5.76 Community Services 6.13 5.03 4.84 County Services 5.39 5.83 5.00 Economic Development 6.19 6.43 5.93 Fire Protection 6.43 6.48 6.21 Healthcare Services 5.22 5.38 5.47 Highways 5.44 5.72 5.50 K-12 Schools 5.84 5.67 5.58 Police Protection 6.07 5.93 5.80 Property Tax Assessment 5.62 5.08 4.93 Public Transportation 4.07 4.89 4.00 Regulatory Enforcement 5.69 5.71 5.50 Streets and Roads 5.11 5.50 4.65 Tech/Community College 6.05 6.04 6.08 Traffic Control 4.52 4.94 4.97 Trucking 6.27 5.94 5.53 Zoning and Building Permitting 3.82 5.00 4.18

Slight declines in community service ratings have been over the past two years. This is something that MCEDA will continue monitor and will continue to foster open dialogue with all of our community partners to ensure quality services are provided to our industrial sector. Continuous improvement is the goal of this ongoing process.

There have been slight declines in community service ratings over the past 2 years. This is something that MCEDA will continue to monitor and continue to foster open dialogue with all our community partners to ensure quality services are provided to our industrial sector. Continuous improvement is the goal of this ongoing process.

300 market Street Ne, Suite 2decatur, alabama 35601

phoNe: (256) 353-1213FaX: (256) 353-0407

email: [email protected]

www.mceda.org

MORGAN COUNTY, ALABAMAECONOMIC DEVELOPMENT ASSOCIATION

2010 Broadcast Broch

Documents

Transcript of 2010 Broadcast Broch