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The Big Picture San Diego Blog


Economic Development 101

September 21, 2018

San Diego’s Economic Pulse uses data to tell a story about our regional economy. This issue covers data from August 2018. Check out EDC's research bureau for more data & stats about San Diego's economy. 

Monthly Employment Change by Sector
 

 

 


 

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September 6, 2018

In an effort to build a more inclusive economy, San Diego Regional EDC and its Inclusive Growth Steering Committee of 40 employers officially endorsed a regional goal to double the number of skilled workers produced in San Diego County to 20,000 per year by 2030, as well as a set of recommendations, to develop a stronger local talent pipeline – the first of three main goals of EDC’s Inclusive Growth initiative.

“We have untapped talent all throughout San Diego County, especially in our Latino communities,” said Dr. Patricia Prado-Olmos, vice president of community engagement, California State University San Marcos, and Inclusive Growth Steering Committee member. “When higher education and companies come together to provide our traditionally underserved populations with the education, training, and development they need to qualify for highly-skilled and high-paying jobs, we are able to create a better San Diego where everyone can thrive.”

BUILDING THE TALENT PIPELINE
Amid a nationwide battle for skilled talent, San Diego must also look inward and focus on building a stronger talent pipeline locally to sustain its growth. Earlier this year, EDC released research that shows the region’s largest and fastest growing population (Hispanics) is statistically the least prepared for high-skilled high-wage jobs, with 85 percent without a bachelor’s degree.

In its latest study release, EDC found that there are more than 100 key occupations in the region with shortages in skilled labor, many of which fuel San Diego’s innovation economy. Projections show an estimated 20,000 job openings per year in these same occupations, which means that San Diego’s current talent supply falls short in meeting anticipated skilled labor demands of tomorrow’s economy. The study also found that San Diego’s current innovation economy does not reflect the region’s population, as the Hispanic population is glaringly underrepresented at only 17 percent. Guided by the findings of this study and input from expert advisors, EDC’s Inclusive Growth Steering Committee—comprised of 40 regional employers—has endorsed a regional goal to double the number of skilled workers produced in San Diego County to 20,000 per year by 2030.

Companies that have officially endorsed this regional target include Northrop Grumman, Qualcomm, Brown Law Group, Thermo Fisher Scientific, Cox Communications, ResMed, Cubic Transportation Systems, and more. For a complete list of employers committed to this effort, visit the interactive web study online.

To further support this goal, the Inclusive Growth Steering Committee has also developed the following recommendations for employers to adopt and implement at their organizations:

  1. Transparency – provide EDC with anonymized data on workforce demographics to benchmark and track over time. Understanding the composition of the region’s largest employers will provide insight into where the region stands at present and how much progress is being made over time.
  2. Engagement – participate in direct student-workplace exposure programs that directly engage the students aimed to prepare for high-skilled work in 2030. Providing K-12 students with opportunities to visualize themselves in the roles that the regional economy needs them to fill.
  3. Investment – invest in post-secondary educational programs resulting in qualified talent at respective workplace.

“Latinos are the most underrepresented group across innovation companies in San Diego,” said Cynthia Curiel, vice president of communications, Northrop Grumman, and Inclusive Growth Steering Committee member. “We are in a war for talent, and recruiting from outside the region isn’t enough. By investing in building our local workforce, we can fill jobs and lift communities that are currently underrepresented in San Diego’s innovation economy.“

EDC and the Inclusive Growth Steering Committee strongly encourage other regional employers to adopt these recommendations and actively promote inclusion at their respective workplaces.

BUILDING A STRONGER SAN DIEGO: EDC’S INCLUSIVE GROWTH INITIATIVE

Like many of its metro counterparts, San Diego has its fair share of economic challenges. While its innovation economy continues to grow and bring in much wealth and opportunity to the region, it also leaves many San Diegans unable to afford the rising cost of living.

To help sustain San Diego’s future growth, EDC launched a data-driven initiative focused on promoting inclusive growth as an economic imperative, emphasizing that San Diego employers must take active measures to promote inclusion, or the region will no longer be able to compete.

Together with its Inclusive Growth Steering Committee, EDC aims to set regional targets and release actionable recommendations for three main goals: build a strong local talent pool; equip small businesses to compete; and address the affordability crisis.

“The regional economy is changing rapidly, and we must be inclusive to succeed and compete,” said Mark Cafferty, president and CEO, San Diego Regional EDC. “For EDC, this means changing the economic development discussion to be talent-centric and inclusive in nature. These recommendations represent the first step in our regional employers’ commitment to developing local talent and preparing a workforce that is diverse, ambitious, and capable of meeting the demands of our growing economy.”

Over the next several months, EDC will continue to establish regional targets and recommendations for its other two goals. EDC will also support employers by facilitating the collection of data for quick, consistent reporting and serving as a liaison between employers and various community partners to expand reach and increase exposure of scalable programs.

For more information about the Inclusive Growth initiative, visit inclusiveSD.org.

Follow along on social media with #inclusiveSD

View the full interactive web study release – “Building San Diego’s Talent Pipeline” – here.

August 23, 2018

Last week, EDC welcomed a group of next-gen life sciences leaders to San Diego for an exclusive tour of the region’s life sciences industry. Over two days, 26 eager PhD candidates representing 15 schools across 11 states paid visits to seven local employers including ResMed, Takeda, BD, Janssen/JLABS, Thermo Fisher Scientific, Dexcom, and Rady Children’s Institute for Genomic Medicine. Upon completion of their PhD program, these students will enter high-demand occupations within the life sciences industry – namely, positions in bioinformatics, computational biology, genomics, and more. Our hope is that they chose to do so in our region.

EDC launched the San Diego Life Sciences Trek in 2017 as a strategy for attracting talent to support the growth of the region’s life sciences industry, mirroring the more typical MBA Trek model. Across the globe, leaders in genomics and connected health are gathering incomprehensible amounts of data with the power to unlock the human genome, make personalized care a reality, and enhance the way we live on a massive scale. Individuals skilled in bioinformatics, data science, and computational biology are instrumental in deciphering such data sets – a task with stunning implications across pharma, biotech, healthcare, genomics, and much more – and are thus highly sought after by companies and regions alike. The battle for talent is heating up.

Many trek participants attend this two-day program because they are curious about a career in industry, but with backgrounds in academia, have had limited opportunities to explore what one might look like. The Life Sciences Trek provides students a chance to get out from behind the lab bench to tour companies, talk with real professionals, and learn how their skills can be applied in life-changing companies in San Diego.

Through company tours, panel discussions, presentations, and a networking reception, students gained access to influential researchers and executives across leading life sciences employers. From drug discovery to connected devices, genetic sequencing to direct patient care, the breadth of opportunities for bioinformaticians became apparent within San Diego’s diverse life sciences ecosystem. In fact, after attending the trek, 90 percent of participants indicated that they plan to pursue a career in San Diego upon completion of their PhD program.

Below are their thoughts. See more at #SDlifesciencestrek.

“It was a fantastic experience for someone who's always been immersed in academia, but is interested in the industry.”

– PhD candidate in Bioinformatics, University of Michigan

“This was an incredible opportunity to network with the scientists that could be involved in hiring you in the future. It was an indispensable experience to see first hand the types of jobs that recent PhD graduates could be qualified for.”

– PhD candidate in Neuroscience, University of Southern California

“Seeing the positive testimonials from all the people at the companies regardless of their position about work-life culture will make me prioritize San Diego as my primary target for future job applications.”

 – PhD candidate in Animal Biology with a focus on Biotechnology, UC Davis

“The trek was really eye-opening and definitely changed my perspective about potentially pursuing a career there!”

– PhD candidate in Cell and Molecular Biology, University of Southern California

“The SD trek is a great opportunity to familiarize yourself with biotech opportunities in SD and to learn about a great town with a lot of potential for aspiring scientists.”

– PhD candidate in Microbiology and Immunology, Dartmouth College

 

The trek group represented 15 schools: Carnegie Melon, Cornell, Dartmouth, Duke, Georgia Tech, Stanford, Ohio State, UC Davis, UC San Diego, UC Santa Cruz, University of Southern California, University of Idaho, University of Illinois, University of Michigan, University of Texas. 


Trek highlights: Surprise guest Dr. Stephen Kingsmore, CEO of Rady Children’s Institute for Genomic Medicine and Guinness World Record holder for fastest genetic diagnosis through DNA sequencing.

  

You can't talk about San Diego life sciences without talking about startups. Trek participants tour JLABS followed by a panel discussion moderated by Ashley Van Zeeland, co-founder of Cypher Genomics and former CTO of Human Longevity.

 

 

August 6, 2018

Originally published on sdfoundation.org.

The second most populous county in California, San Diego County is a center of entrepreneurship and innovation with one of the most highly educated workforces in the world.
 
However, changing skill requirements, a nationwide battle for talent, and a soaring cost of living are threatening our regional competitiveness.
 
According to the San Diego Regional Economic Development Corporation (EDC), San Diego’s Hispanic population is our fastest growing group and will become our region’s largest by 2030. However, Hispanics and other underserved populations are dramatically underrepresented in our region’s innovation occupations and possess lower rates of educational attainment.
 
For the region to remain competitive, proactive measures to promote economic inclusion must be taken.
 
THE CASE FOR ECONOMIC INCLUSION
The San Diego Foundation Science & Technology Program nonprofit partners are working to close demographic gaps in educational attainment and strengthen our regional resilience by building an inclusive economy.
 
Since 1999, the Science & Technology Program has granted more than $8 million to support scientists and engineers in San Diego, and most recently granted $632,934 to 10 programs aiming to  increase opportunities for those who work and learn in our region.
 
Grantees such as California State University San Marcos and Access Inc. support San Diego’s innovation economy by creating and expanding a pipeline of young adults underrepresented in science, technology, engineering and math (STEM) fields to college and career opportunities for inclusive growth.
 
Inclusive growth is crucial to sustain a successful, regional economy, especially for our innovation sector, which accounts for more than 25 percent of San Diego’s economic activity.
 
PREPARING OUR REGION’S WORKFORCE OF THE FUTURE
The San Diego Foundation Director of Community Impact Katie Rast recently discussed how we can grow an inclusive, regional economy with key stakeholders: President & CEO of San Diego Regional EDC Mark Cafferty, Vice President of Youth Programs at Access Inc. Roshawn Brady, and Associate Professor of Biological Sciences at Cal State San Marcos Dr. Julie Jameson.
 
Watch the recording below of the Facebook Live conversation to learn why preparing our region’s workforce of the future means ensuring our underserved communities are competitive and how visionary organizations are making an impact in the lives of young, underrepresented adults.

July 6, 2018

The California Competes Tax Credit (CCTC) is an income tax credit program available to California businesses expanding or relocating to the state of California. Negotiated by the Governor’s Office of Business and Economic Development (GO-Biz), the California Competes Tax Credit program has awarded more than $600 million in credits to nearly 1,000 California companies since the program’s inception in 2014. In FY17-18 round alone, the state granted more than $194 million in credits.

Each year, the state grants a series of tax credit awards over three rounds: November, April, and June. The completion of the June 2018 round marked the end of the FY17-18 program. Throughout the three rounds of FY17-18, credits were awarded to more than 182 California companies, which are projected to create more than 15,000 jobs and invest more than $2 billion in the state over the next five years.

In the FY17-18 program, 33 San Diego companies were awarded more than $24.4 million in tax credits for the creation of 1,900 new jobs and investments totaling $151 million in San Diego. Compared to other metros in California, San Diego claimed more than 33 percent of the total credits for the fiscal year, the second highest amount of credits in the State.

Businesses are separated into small and large business categories, and more small businesses in San Diego won credits than large. Throughout the fiscal year, 17 small businesses were awarded more than $6 million in tax credits. These small companies will create nearly 300 new jobs and invest $60 million into the local economy over the next five years. More than 22 percent of credits in the small business category we’re awarded to San Diego companies.

One of those small business recipients in the latest round, Urban Translations, was awarded $750,000 in credits for commitments to create 61 new jobs and invest $144,000 in San Diego, with consulting provided by EDC and WTC San Diego. Based in Point Loma, Urban Translations is a local startup that creates digital, interactive menus for the hospitality industry - available in any language. The company recently landed partnerships with Samsung and Google, positioning the company for rapid growth. Samantha Urban, the company’s CEO, intends to leverage savings from the Tax Credit program to convert many of her part-time employees to full time positions to support long-term growth in San Diego.

The next application round for the California Competes Tax Credit program will open Friday, July 30. For more information regarding the California Competes Tax Credit program or with assistance on your application, contact Jesse Gipe, senior economic development manager, EDC.

 

July 2, 2018

Are you a growing, San Diego-based company? Are you looking to expand into foreign markets? Or, are you a defense contractor looking to diversify revenue? San Diego Regional EDC can help.
 
Apply now to EDC's business support programs - MetroConnect and/or the Defense Innovation Voucher Program - which offer $10K-$15K grants and programmatic services to support your business' growth.

 
The details:
  • MetroConnect, World Trade Center San Diego’s flagship export assistance program, is now in its fourth year. Made possible through a grant provided by JPMorgan Chase & Co., small to mid-sized companies in San Diego will receive a $10K grant and programmatic services to assist with international expansion efforts. Learn more.
  • As part of the Department of Defense-funded Propel San Diego grant, the Defense Innovation Voucher Program will provide San Diego headquartered defense companies with $15K in consulting services in one of the following categories: marketing, strategic planning, accounting compliance, lean supply chain analysis and additive manufacturing, and certifications, as well as additional hands-on training for companies looking to diversify revenue. Learn more.
 
The application can be accessed here from July 2 - August 20, 2018.

 

June 27, 2018

So far, 2018 has been a year of transition for EDC. Research performed through a partnership with the Brookings Institution led us to some startling findings about how inequality and affordability pose a threat to the San Diego region’s economic competitiveness. These findings helped to build a case for if and how an economic development organization (EDO) can play a role in region-wide efforts to promote an inclusive economy. Organizations across San Diego have been working for decades with much avail to elevate underrepresented populations, bolster small businesses, and improve quality of life for more local residents. But where does an economic development organization fit in?

For more than 50 years, EDC has been the voice of the business community – lauding the accomplishments of our life sciences, tech, and defense industries. The success of San Diego’s innovation economy has positioned the region for sustainable growth, but in an economy nearing full employment, even the most cutting-edge businesses struggle to find and retain the workers they need to remain competitive.

A strong economy is an inclusive economy, in which residents, businesses, and communities all have the opportunity to contribute and reap the benefits of growth. Over the last quarter, a regional steering committee, supported by technical advisory groups, has embarked on an ambitious effort to develop and drive an agenda that points the region toward a more inclusive economy, and thus, a stronger economy. This agenda will articulate the economic imperative for taking action, identify broad regional goals, and provide concrete recommendations around three pillars of influence: building a strong local talent pipeline, increasing small business competitiveness, and increasing affordability. This process is one that will not be accomplished overnight, but here’s an update on EDC’s progress, followed by some engagement opportunities for those ready to take action now.

Progress update:

  • Inclusive growth steering committee: made up of more than 40 leaders representing academia, nonprofit, and private sector. The steering committee convened for its second gathering to set a regional target for the first pillar of the inclusive growth strategy: building a strong, local talent pipeline. This regional target aims to increase the number of post-secondary degree holders by 2030. Details to come.
  • Advisory group on a creating a strong local talent pipeline: To arrive at this target for building a strong local talent pipeline, the steering committee was informed by an advisory group of 15 subject-matter experts, who met for three working sessions in Q2. These sessions were filled with data-driven discussions on skills, workforce requirements, demographic shifts, and more to help the steering committee arrive at a regional target.
  • Advisory group on small business competitiveness: To begin strategizing for the second pillar of this effort, the advisory group on increasing small business competitiveness met in Q2, as well. To inform this process, EDC, in partnership with the Small Business Development Center, has deployed a mass small business needs assessment survey to better understand challenges facing small business owners. The small business advisory group will analyze survey results to inform a regional target for increasing small business competitiveness. Take the survey here.

Engagement opportunities:

Building an employer-led coalition on inclusive growth will take time and collaboration across multiple industries, nonprofits, academia, and philanthropy. EDC is working hard with our partners and stakeholders to ensure we remain thoughtful and strategic in addressing these regional challenges. That said – we understand you may be tired of talking and ready to take action. Below are just a few opportunities to engage.

  1. Provide a San Diego small business the opportunity to increase its competitiveness through a free coaching program by nominating a small business for the Inner City Capital Connections Program, sponsored by Kaiser Permanente.
  2. Help us better understand the challenges facing our small businesses by taking the small business needs assessment survey.
  3. Showcase career paths for San Diego’s students by hosting a virtual tour as a part of Cajon Valley School District’s World of Work program or contact Ed Hidalgo, Chief Innovation and Engagement Officer at Cajon Valley Union School District - hidalgoe@cajonvalley.net.

We’re just getting started; much more to come. Learn more.

By Kate Gallagher, economic development coordinator

June 21, 2018

In the past two decades, San Diego County Water Authority has invested more than $2.4 billion in five major water reliability projects. A new study released by EDC in partnership with the San Diego County Water Authority, quantifies the impact these investments have on our broader economy. These projects have generated $4.8 billion in total economic impact, supporting an average of 1,475 jobs annually over two decades and creating more than $1.8 billion in local wages and salaries.

The report also found that access to safe and reliable water supplies supports $482 million in total regional sales of goods and services daily – equivalent to the economic impact of nearly three Comic-Cons every day.

In addition, the report shows that more than 2,800 people work in the water and wastewater sectors at the Water Authority and its 24 member agencies. The water industry provides career opportunities across all levels of educational attainment, in everything from customer service to engineering. 

SDCWA has kicked off the "Brought to you by water" campaign to share the impact of water across multiple industries. 

 We all know that water is essential for the viability of our communities, but we often take that for granted and that is a luxury,” said Janice Brown, chair of the EDC’s Board of Directors.  “Without the infrastructure: pipelines, dams, treatment plants - we would not have reliable water. Reliable water makes us economically competitive."  

You can find the full study here: http://www.sandiegobusiness.org/sites/default/files/Water%20Study%202018.compressed.pdf
 
If interested in an economic impact analysis of your company or project, get in touch with EDC's research team

 

June 8, 2018

From Intuit to Amazon and more, San Diego is home to numerous companies that come here to tap into the region’s impressive talent pool. However, Qualcomm aside, San Diego is not often thought of as a headquarter town.

Teradata, a data analytics company, might be changing that. This week, the company announced that it would be relocating its headquarters to San Diego from Dayton, Ohio. While Teradata has had a presence in San Diego for some time, 18 months ago it began to make a strategic shift from being a data warehouse company to a data analytics platform. And where do you find large volumes of software engineers, statisticians, and others to create the world’s premier data analytics platform? That’s right, San Diego.

As part of its shift to San Diego, Teradata will continue its aggressive hiring spree at its Rancho Bernardo campus, which currently holds more than 1,000 employees. 

You can check out Teradata jobs in San Diego here.

 

May 10, 2018

As part of the San Diego: Life. Changing. campaign, EDC has released a recruitment toolkit and company map for use by local employers.

Amid a nationwide battle for talent, San Diego companies must compete with other cities to fill innovation jobs. To address this issue, the toolkit and map provide the resources needed to inform talent of all that San Diego has to offer: meaningful career opportunities, unparalleled lifestyle amenities and highly-talented people.

 “San Diego: Life. Changing. was created by San Diego, for San Diego,” said Lauree Sahba, COO, San Diego Regional EDC. When we spoke to tech and life sciences companies, they said they needed a one-stop shop where they can pull information about the region to help recruit talent and attract investment. We will continue to add and refine resources based on company feedback.”

Talent fuels economic growth, drives corporate decision-making and incubates entrepreneurship. If San Diego wants to remain economically competitive, it must continue to attract and retain a talent pool that appeals to global companies.

In early 2018, Robert Half staffing company named San Diego the number one city for tech job growth in the first half of 2018. Additionally, STEM jobs are 34 percent more concentrated in San Diego than the U.S. average, based on a San Diego Regional EDC analysis of EMSI data.

San Diego: Life. Changing. was created to refine a cohesive regional identity to attract and retain STEM talent. The campaign and the contents of the toolkit have been guided by the “San Diego Brand Alliance” – a group of more than 50 life sciences and tech employers including Illumina, Human Longevity, Inc., Viasat and more. Representing the region in a united front will ensure San Diego continues to compete on the global stage.

San Diego holds such tremendous opportunities for candidates, yet when recruiting top talent from outside of the region we still encounter the false perception that career options in the area are somewhat limited,” said Melinda Del Toro, SVP of People & Culture, Viasat. “The toolkit provides resources that reinforce the message we’ve been telling candidates for years: San Diego is a dynamic, rich environment with incredible opportunities to have both the career and life you want, that you just don't find in other regions.”

The toolkit includes recruitment resources such as fast facts, imagery and b-roll, infographics, industry overviews, social media posts and more. Users can sign up for free access to the toolkit online here

The map was designed so potential recruits and those interested in learning about careers in San Diego can visualize the breadth of companies throughout our region. Representatives from tech, life sciences or lifestyle companies may also request to add their company to the map.

For more information about ways to leverage the campaign, visit SDlifechanging.org.