Transcript Slide 1

Advancing EDA's Strategic
Priorities Through Improved
Performance Management
Tom Guevara
Deputy Assistant Secretary of Commerce for Regional
Affairs
AUBER 2011
October 11, 2011
Indianapolis, IN
1
EDA’s Mission
To lead the federal economic development
agenda by promoting innovation and
competitiveness, preparing American regions
for growth and success in the worldwide
economy.
EDA: Leading the Federal Economic
Development Agenda
 Provide grant-based investments to state and
local government, tribal organizations, universities,
and non-profits in regions suffering from severe
economic distress.
Target its investments to attract private capital
investment and to create long-term, higher-skill,
higher-wage jobs.
Focused on locally-developed, regionally-based
economic development initiatives that contribute to
economic growth and emphasize innovation,
entrepreneurship, and regional
competitiveness.
In FY 2010, EDA investments totaled approximately
$285 million, which are expected to create or retain
about 48,500 jobs and generate nearly $6 billion in
private investment.
EDA Funding Priorities
 Collaborative Regional Innovation
 Public/Private Partnerships
 National Strategic Priorities
 Global Competitiveness
 Environmentally-Sustainable Development
 Economically Distressed and Underserved
Communities
EDA’s Programs
 Public Works and Economic Development
 Economic Adjustment Assistance (EAA)
 Planning
 Technical Assistance
 Research and Evaluation
EDA’s Jobs Created/Retained and Private
Investment Outcome Measures
Rely on grantee reports of jobs created/retained and how
much private investment by the project itself (directly). EDA
would like to understand better how its investment is
benefiting a region’s economy.
GPRA Requirements: Grant recipients report jobs and
private investment figures that resulted at 3, 6, and 9 years
after the original grant award.
21 st Century Investments require additional impact measures
that go beyond jobs created/retained and leveraged private
investment (i.e. innovation metrics).
Key
Characteristics
20th Century
Economic Development
21st Century
Economic Development
Focus
Domestic competition;
Zero sum game
Global competition &
collaboration, innovation
Approach
Incentives to attract or retain
cost-driven firms & industries
Investments in talent &
infrastructure to support
innovation-driven clusters
Role of Economic
Development
Practitioners
Lead industry attraction and
marketing efforts to firms &
industries
Broker innovation networks,
connecting inventors, financiers,
& transformers, to produce results
Performance Metrics
Quantity of jobs, number of
firms attracted/retained
Logic Model: Additional metrics
for broader regional impact (i.e.,
Quality of jobs, wage and income
growth, innovation).
Outcomes
Economic Growth
Economic Growth, Sustainability,
Diversification, Competitiveness,
etc.
.Enhancing
EDA’s Performance
Measurement Culture
 Effective performance measurement helps
management direct EDA resources to produce
meaningful outcomes.
Adopt strategies that seek to leverage
strengths and reduce inefficiencies for
improved operational performance.
Identify what is being achieved by measuring
additional outcomes that are meaningful.
Embarked in a comprehensive effort to
improve EDA’s performance measurement -transition to a Logic Model that aligns
resources, activities, products, and services to
achieve EDA’s mission.
Logic Model: Developing a Comprehensive Strategy
Input
Activities
• Programmatic
resources, e.g.
funding, staff,
regulations
• Common EDAfunded projects
Output
• Direct project
results
Outcome
• Impact on
communities
Vision
• Long-term impact
on communities
Logic Model: Developing a Comprehensive Strategy
EDA: Developing the Performance
Measurement Improvement Roadmap
Enables EDA’s navigation to a comprehensive
performance measurement structure to assess the effect of
its investments accurately and consistently with state-ofthe-art metrics and methodologies
Depict the tasks and processes required to develop and
implement performance measures to assess EDA’s impact
Display the ensuing deliverables resulting from these
tasks and actions
Roadmap: Performing a Comprehensive Strategy
Deliverables
Planning and
Development
Implementation
3rd Parties
Timeline
DELIVERABLES
PLANNING AND
DEVELOPMENT
IMPLEMENTATION
INTERNAL ACTIVITIES
3rd PARTY
TIMELINE
EDA-UNC Chapel Hill Research Design Project to
Assess and Evaluate Economic Development
Investments
Recent grant to the University of North Carolina at
Chapel Hill to build on EDA’s existing performance
measurement strategies.
The proposed study includes a recommendation on
an optimal data set that EDA could develop and use in
measuring its performance. Co-PIs: Maryann P.
Feldman at UNC and Andrew Reamer at George
Washington University.
The data set could be collected and submitted by
grantees to document results, or make use of easily
accessible independent data sources.
EDA-UNC Chapel Hill Research Design Project to
Assess and Evaluate Economic Development
Investments
 Indentify desired impacts of investments on
regional economies
 Indentify specific outcome and performance
measures
 Pilot proposed outcome and performance measures
 Indentify opportunities to enhance existing data
collection and data sets
 Disseminate findings
 Incorporate into logic model
Typology of Potential Economic Outcomes
Growth
 Employment
 Output
 Incomes
 Wages
 Sustainability
 Diversity
 Resiliency
U.S. EDA Announces Registry to Connect Industry Clusters Across the Country
US Cluster Mapping Site: Strategic Objectives
•
Support the effectiveness of cluster-based organizations across the US
– Communicate their activities to a nation-wide audience
– Identify the most appropriate partners in other clusters
– Develop strategies based on data-rich analysis of current position
•
Improve the quality of economic development practice at the state and local
level
– Provide rich data for policy analysis
– Inform selection of most effective partners
– Share best practices
•
Strengthen the federal government’s toolkit for guiding cluster-based
programs
– Provide rich data for policy analysis
– Inform selection of most effective partners
US Cluster Mapping Site: Elements
LATER
NEXT
NOW
Tiered cluster registry with
qualified cluster organization
data based on multiple criteria
Tools and best practices for
analysis of cluster data and
design of cluster-based policies
Flexible interface
with geographic maps
integrating multiple types of
data
Data on regional
business environment
quality
Registry of cluster initiatives
and other economic
development organizations
Data on the profile and
performance of clusters and
regional economies
Tying it All Together: Research,
Practice and Tools
Harness the results from EDA supported
research of cutting-edge economic development
practices, methods, and tools to:
• Help EDA stakeholders utilize new
economic methods in their applications
and justifications.
• Help EDA advance an evidence-based
culture, and disseminate best practices and
new tools to national audiences.
Consider alternative methods to find
evidence for mitigating contra-arguments
to public-private collaborations.
Tying it All Together: Macro- to Micro- Economic Development Data
macro-level data
Federal and State
Sources
meso-level data
e.g., Harvard Cluster
Mapping Project
micro-level data
e.g., Indiana Business
Research Center
Outcomes and Vision
 A robust dataset containing comprehensive
attributes of each EDA investment
 State-of-the-art performance measurement
methods to fully assess the impact of EDA
investments
 A broad focus on direct, indirect, and induced
effects resulting from EDA-funded projects.
 An effective communication strategy to
publish and demonstrate the benefit of EDA
investments to stakeholders, decisionmakers, and the general public.
Thoughts and Next Steps
What are the likely challenges and limitations
to our approach?
Where can we look for current best practices
used to measure the impact of economic
development initiatives?
Suggestions for variables and attributes to be
collected for our dataset?
How should we craft our message using the
new findings?
Contact Information
U.S. Department of Commerce
Economic Development Administration
Washington, D.C. 20230
Bryan Borlik
Director
Performance & National Programs
[email protected]
(202) 482-3901