Vancouver City Council

VANCOUVER ECONOMIC DEVELOPMENT COMMISSION

2005 BUSINESS PLAN

Date: February 1, 2005

OUR VISION

Vancouver Economic Development Commission (VEDC) will be a strong organization that contributes to Vancouver’s overall community wealth through leadership in creating a green, diverse and sustainable economy.

OUR MISSION

To provide leadership, strategic direction and initiatives that enhance the strength, sustainability and diversity of Vancouver’s economy.¹

OUR MANDATE

Working closely with the business community, all levels of government and other stakeholders, VEDC’s mandate is:

· To provide leadership in the definition and realization of Vancouver’s economic potential.

· To provide core services that promote sustainable economic development and job creation and retention for Vancouver.

2005 GOALS

VEDC has three goals in 2005:

1. Plan for the Long Term.

2. Drive Core Activities.

3. Build A Strong Organization and Strategic Relationships.

The objectives, activities and related outcomes are presented in the following text.
Goal #1: Plan for the Long Term

Vancouver is one of the few North American cities of its size without a long-term economic development strategy. The development of such a strategy was articulated in VEDC’s 2004-2006 business plan; determining the potential size and scope of this project is the first step in a multi-year plan for funding and implementation.

2010 creates a second longer term planning need. Other host cities have used a 6 year window to maximize the economic development benefits of hosting the Olympics. VEDC must develop a plan this year to take advantage of this window.

1. Prepare a plan to develop and fund a sustainable economic development strategy for the City of Vancouver.²
2. Develop VEDC 2010 plan.
3. Support regional economic development efforts.
4. Ensure competitive film industry.

Objective

Rationale

Specific Activity

Outcome

Prepare a plan to develop and fund a sustainable economic development strategy for the City.

An Economic Development Strategy does not exist for the City of Vancouver.
A clear plan outlining the scope of work and budget will raise the funding and commitment required to develop the strategy.

· Develop a project scope and process plan
· Develop a budget and potential funding sources

· A detailed plan that results in funding in 2006 for an economic development strategy for the City

·

· Identify current City of Vancouver policies, projects, and studies with an economic development focus
· SWOT analysis and key background reports - collect and consolidate existing economic and sector information
· Identify relevant economic studies, and analysis underway in 2005 by other organizations, including the City of Vancouver, and become actively involved
·

· A framework of the City’s economic policies is in place
· Existing sector and economic information is summarized and gaps identified for further work.
· VEDC participation and input into key reports and planning exercises

·

· Conduct workshops with informed economic development stakeholders in the city
· Focus on sector-based organizations and strategies

· Strengthened economic partnerships with solid external support with key influencers
· Representatives from key organizations volunteering to help with strategy development

· Present plan to key city staff and council for agreement on the scope of the plan and to secure City commitment

· Commitment and funding to move forward with development and implementation in 2006

Develop VEDC plan for 2010.

2010 is a huge marketing opportunity for City of Vancouver.
There are numerous agencies and organizations with 2010 mandate/strategy.
VEDC needs to define its role – a coordinated approach that avoids duplication or overlap.
VEDC plan to stretch over 6 year period (2006-2012).

· Work with City of Vancouver, VanOC, Provincial Government to understand their strategies and define context for VEDC
· Contact Economic Development organizations in other Olympic cities to understand how they capitalized on the Olympics
· Develop a three stage plan: pre 2010 contact, Hosting 2010, Post 2010 follow up

· Understanding the Olympic experience from an economic development perspective; to use the experience and advice from other host cities to build the VEDC plan
· List of detailed activities and actions for VEDC action that will result in positive gains for the Vancouver economy
· VEDC develops corporate partnerships on specific projects

Support Regional Economic Development efforts.

Municipal boundaries are irrelevant to most companies, employees and strategic infrastructure providers. New business investment in GVRD, regardless of actual site, will benefit the region as a whole and the City of Vancouver in terms of job creation, economic vibrancy, and international credibility. City Council acknowledges that results can be better achieved on regional basis, where efficiencies are maximized, costs are shared and strategies developed and implemented regionally.

· Identify and implement joint regional projects to demonstrate potential for success
· Continue supporting Gr. Vancouver Economic Leadership Council
· Identify and communicate specific results achieved in the GVRD to illustrate the advantages of a regional approach to economic development and how Vancouver benefits

· Labour Market Study with Richmond and Surrey
· Formation of regional structure with a regional economic development strategy
· Coordination of GVRD municipalities on key activities
· Increased public understanding of regional economics

Ensure Competitive Film Industry

Vancouver has built a significant film production industry. Increased competition, increased incentives from other cities and the higher Canadian dollar all pose threats to our industry.
An assessment of Vancouver cost structures will be undertaken in order to understand our competitive position and take appropriate actions to secure long term industry health,

· Comparative assessment of key costs for a feature film, Vancouver to be compared to 3 other cities with vibrant film sector

· Specific measurement of the cost structures in four cities
· Action taken to reduce our costs to be competitive with other cities

Goal #2: Drive Core Activities

VEDC will ensure that core economic development functions are provided to high standards:

1. Business Retention
2. Business Friendly Environment – Policy and Recommendations
3. Business Services and Research
4. Business Attraction and Recruitment

Objective

Rationale

Specific Measurable Activity

Outcome

BUSINESS RETENTION

Implement the BusinessFirst! program with active outreach to existing businesses.

Existing businesses create the majority of new jobs within a community. By recognizing their needs and providing support , their success becomes Vancouver’s best advertising.

· Conduct in-person interviews with senior management of local companies/enterprises

o Establish target sectors and businesses for 2005 interviews (4 Sectors/150 business interviews)
o Incorporate questions to probe sustainability and 2010 opportunities, barriers and practices
o Recruit interested VEDC Commissioners to assist with interviews

· Increased local business satisfaction
· Current profile of businesses, key sectors and their concerns.
· Strong relationship with Vancouver business community
· Better information to drive VEDC strategies
· Increased interview capacity and more direct board involvement in VEDC retention activities

· Coordinate with Provincial and Federal government interview programs – encourage use of a common web-based software and database platform

· Common platform (Synchronist) will increase and standardize the information base available to all organizations for policy, action and comparison

· Translate BusinessFirst! findings into policy advice and recommendations for Council & staff. Prioritize general and sector-specific barriers and opportunities for growth.

· Quarterly reports to Council with key issues
· Economic development perspective becomes part of policy development and land use decisions

BUSINESS FRIENDLY ENVIRONMENT

Identify key issues affecting the business climate in Vancouver.

A positive business climate supports Vancouver’s high standard of living.

· Work through BusinessFirst! , BIAs, and strategic industry partners to identify and communicate issues that impact the economic climate.
· Conduct opinion polling of key business leaders on key issues as appropriate.
· Make recommendations to Council and City staff to ensure strategies, policies, infrastructure, land use zoning and a business friendly attitude support growth of key sectors.
· Identify new technologies that support sustainability and develop pilot project opportunities with the City of Vancouver

· Clarity regarding issues that affect economic development in the city; taking a proactive rather than reactive approach.
· Increased awareness of the factors influencing the economic climate and positive changes made
· Increased economic perspective in City policies
· Increased business confidence that Council is interested and supportive of business concerns
· Increase in interest to serve on VEDC board

BUSINESS SERVICES

Provide business assistance to existing and new businesses.

VEDC has an important role in providing services to both existing and potential business.
Developing cost efficient delivery of high quality services is key for VEDC success and credibility.

· Provide assistance to existing business through a network of community organizations and resources.
· Work with other organizations, such as the BIAs, to identify small business needs and co-ordinate action
· Improve and maintain online small business resources
· Maintain key comparative data on the website; 24 hour turnaround for all but most complex inquiries
· Manage corporate site visits and trade delegations as appropriate
· Develop and make available information about sustainability

· VEDC is well known and highly regarded for its services
· Small business takes advantage of existing programs and services at a higher take-up rate
· Satisfied client expectations and improved client (business) decision making.
· Increased awareness about sustainability principles in the City of Vancouver

BUSINESS RECRUITMENT

Develop targeted prospect lists for one-on-one sales approach.

Leading Edge BC, and Federal and Provincial governments have increased marketing efforts that will benefit Vancouver. VEDC will shift sales and marketing efforts into more targeted activity areas

· Develop and lever partner network through DFAIT, Leading Edge, Provincial Ministry, consular and other sources to identify specific prospect companies in the Pacific North West for one-on-one sales calls:

o Schedule regular information meetings with lead organizations to develop referral system
o Research prospect companies and ensure sustainability principles
o Arrange introductory meeting to determine needs, timelines and outline our services
o Continue qualifying prospects and manage through our sales funnel

· 40 qualified leads through VEDC funnel in 2005
· Good fit of target sectors and companies with community sustainability goals

Develop strategic alliances to take advantage of specific marketing initiatives to support growth in targeted sectors.

VEDC can take advantage of increased expenditures by other organizations by developing strategic alliances in target sectors.
Partnership opportunities will provide more efficient use of VEDC funds and increase the number of activities we are able to take on.

Support growth in key clusters
· Partner with other organizations to implement sector specific projects to analyze key competitiveness issues.

o With the BC Film Commission assess the relative costs of feature film production in Vancouver and issues effecting Vancouver’s competitiveness

· Work with Provincial government and regional economic development organizations to host sector- specific site visits to the GVRD
· Enhance marketing of the technology sector through strategic alliance with Leading Edge British Columbia

· Two sector-specific initiatives implemented in 2005
· Strong cooperative network of organizations
· Awareness of growth sectors as opportunities for investment
· Vancouver benefits from enhanced promotion and marketing of the technology sector in BC.
· Increased VEDC influence

Emphasize VEDC's service role.

VEDC is the best positioned organization to develop and deliver Vancouver specific information, analysis and client services.

· Leads and prospects generated through federal/provincial or other cooperative marketing activities will be referred to VEDC for location-specific service.

· Satisfied client expectations and improved client decision making.
· Establish VEDC as source for key investment inquiries

Goal #3 – Build A Strong Organization and Strategic Relationships

Significant results are generated by significant organizations. Developing VEDC’s strengths and eliminating weaknesses will drive our success.

1. Build VEDC profile and credibility.
2. Build VEDC capacity.
3. Build on strategic relationships.
4. Benchmark economic progress and Vancouver’s competitive advantages in a global context.

Objective

Rationale

Specific Activity

Outcome

Build VEDC profile and credibility.

Vancouver is one of the largest metropolitan areas in Canada. Commensurate with this status, VEDC will develop profile, credibility and capacity

· Enhanced communications with City Staff, City Council, the Vancouver Planning Commission, stakeholders and the public

o Inviting city staff to present at VEDC board meetings
o VEDC staff to meet with city department heads on a regular basis to exchange information and stay current on city priorities

· Enhance VEDC website content to increase awareness about Vancouver economy and better serve our client base

· Increased VEDC interaction with the City
· VEDC’s role in City policy and decision making is well defined with active participation with a number of city departments.
· Increased ability to attract and retain qualified employees and
· Increased interest in serving on VEDC board
· VEDC website hits increase

Build VEDC capacity.

Strengthening the VEDC at various levels will increase its success and ability to be a global leader in sustainable economic development

· Identify organizational issues and develop strategies for change

o Multi-year city commitment
o Board development
o Staff attraction and retention
o Increased and diversified funding

· Engage Commissioners in specific areas to increase organizational capacity
· Renew committee structure and invite external volunteers to contribute

· Focused organization with long-term view, sound implementation capabilities, and demonstrated results
· Continuity of staff and board members and longer terms of service

Build on strategic relationships.

VEDC is not the only organization with an economic development mandate. Strong strategic relationships will ensure Vancouver benefits from a shared vision, coordination of effort, and efficient use of resources.

· Develop regular update meetings with key organizations to share information and exchange ideas
· Participate in relevant regional, provincial and federal forums, conferences and events.
· Continue work with GVRD REDS to collaborate on economic development issues
· Influence regional, provincial and federal policies and initiatives that affect economic development in Vancouver

o Maintain provincial and federal ex-officio representation on VEDC board.

· Coordination of activities
· Increased cost sharing
· Locally driven feedback to senior government initiatives and policies that support innovation, sustainability and economic development.
· Enhanced communication and credibility

Benchmark economic progress and Vancouver’s competitive advantages in a global context.

Vancouver’s dynamic economic environment requires its economic development organization to keep pace with North America’s best economic development approaches.

Basic economic research and data gathering provide the foundation of organizational development, goal setting and business development implementation.

· Provide quarterly economic indicator reports to Council and the public
· Annual socio-economic summary report comparing Vancouver against competitor cities
· Maintain current comparative information relative to other key jurisdictions (including the GVRD) through:

o KPMG Competitive Alternatives study
o William M. Mercer
o UN Studies

· Monitor best practice and economic development climate in key cities
· Attend professional conferences and provide training opportunities for staff

· Four reports on economic indicators.
· Changes in economic climate of Vancouver monitored.
· New or more precise measures for tracking economic development
· Biannual updates
· Vancouver advantage is well understood in contact network
· VEDC provides informed input to policy recommendations and is respected as an authority on the local economy
· VEDC staff informed and knowledgeable of opportunities to enhance economic development practice

Link to Summary Chart (requires Microsoft Excel)

1 A sustainable economy is one that balances the economic, social and environmental interests so that today’s needs do not compromise the ability of future generations to meet their needs.

2 Plan will identify additional fundraising and support to enable the development of the strategy.

Objective	Rationale	Specific Activity	Outcome
Prepare a plan to develop and fund a sustainable economic development strategy for the City.	An Economic Development Strategy does not exist for the City of Vancouver. A clear plan outlining the scope of work and budget will raise the funding and commitment required to develop the strategy.	· Develop a project scope and process plan · Develop a budget and potential funding sources	· A detailed plan that results in funding in 2006 for an economic development strategy for the City
	·	· Identify current City of Vancouver policies, projects, and studies with an economic development focus · SWOT analysis and key background reports - collect and consolidate existing economic and sector information · Identify relevant economic studies, and analysis underway in 2005 by other organizations, including the City of Vancouver, and become actively involved ·	· A framework of the City’s economic policies is in place · Existing sector and economic information is summarized and gaps identified for further work. · VEDC participation and input into key reports and planning exercises
	·	· Conduct workshops with informed economic development stakeholders in the city · Focus on sector-based organizations and strategies	· Strengthened economic partnerships with solid external support with key influencers · Representatives from key organizations volunteering to help with strategy development
		· Present plan to key city staff and council for agreement on the scope of the plan and to secure City commitment	· Commitment and funding to move forward with development and implementation in 2006
Develop VEDC plan for 2010.	2010 is a huge marketing opportunity for City of Vancouver. There are numerous agencies and organizations with 2010 mandate/strategy. VEDC needs to define its role – a coordinated approach that avoids duplication or overlap. VEDC plan to stretch over 6 year period (2006-2012).	· Work with City of Vancouver, VanOC, Provincial Government to understand their strategies and define context for VEDC · Contact Economic Development organizations in other Olympic cities to understand how they capitalized on the Olympics · Develop a three stage plan: pre 2010 contact, Hosting 2010, Post 2010 follow up	· Understanding the Olympic experience from an economic development perspective; to use the experience and advice from other host cities to build the VEDC plan · List of detailed activities and actions for VEDC action that will result in positive gains for the Vancouver economy · VEDC develops corporate partnerships on specific projects
Support Regional Economic Development efforts.	Municipal boundaries are irrelevant to most companies, employees and strategic infrastructure providers. New business investment in GVRD, regardless of actual site, will benefit the region as a whole and the City of Vancouver in terms of job creation, economic vibrancy, and international credibility. City Council acknowledges that results can be better achieved on regional basis, where efficiencies are maximized, costs are shared and strategies developed and implemented regionally.	· Identify and implement joint regional projects to demonstrate potential for success · Continue supporting Gr. Vancouver Economic Leadership Council · Identify and communicate specific results achieved in the GVRD to illustrate the advantages of a regional approach to economic development and how Vancouver benefits	· Labour Market Study with Richmond and Surrey · Formation of regional structure with a regional economic development strategy · Coordination of GVRD municipalities on key activities · Increased public understanding of regional economics
Ensure Competitive Film Industry	Vancouver has built a significant film production industry. Increased competition, increased incentives from other cities and the higher Canadian dollar all pose threats to our industry. An assessment of Vancouver cost structures will be undertaken in order to understand our competitive position and take appropriate actions to secure long term industry health,	· Comparative assessment of key costs for a feature film, Vancouver to be compared to 3 other cities with vibrant film sector	· Specific measurement of the cost structures in four cities · Action taken to reduce our costs to be competitive with other cities


Objective	Rationale	Specific Measurable Activity	Outcome
BUSINESS RETENTION
Implement the BusinessFirst! program with active outreach to existing businesses.	Existing businesses create the majority of new jobs within a community. By recognizing their needs and providing support , their success becomes Vancouver’s best advertising.	· Conduct in-person interviews with senior management of local companies/enterprises o Establish target sectors and businesses for 2005 interviews (4 Sectors/150 business interviews) o Incorporate questions to probe sustainability and 2010 opportunities, barriers and practices o Recruit interested VEDC Commissioners to assist with interviews	· Increased local business satisfaction · Current profile of businesses, key sectors and their concerns. · Strong relationship with Vancouver business community · Better information to drive VEDC strategies · Increased interview capacity and more direct board involvement in VEDC retention activities
		· Coordinate with Provincial and Federal government interview programs – encourage use of a common web-based software and database platform	· Common platform (Synchronist) will increase and standardize the information base available to all organizations for policy, action and comparison
		· Translate BusinessFirst! findings into policy advice and recommendations for Council & staff. Prioritize general and sector-specific barriers and opportunities for growth.	· Quarterly reports to Council with key issues · Economic development perspective becomes part of policy development and land use decisions
BUSINESS FRIENDLY ENVIRONMENT
Identify key issues affecting the business climate in Vancouver.	A positive business climate supports Vancouver’s high standard of living.	· Work through BusinessFirst! , BIAs, and strategic industry partners to identify and communicate issues that impact the economic climate. · Conduct opinion polling of key business leaders on key issues as appropriate. · Make recommendations to Council and City staff to ensure strategies, policies, infrastructure, land use zoning and a business friendly attitude support growth of key sectors. · Identify new technologies that support sustainability and develop pilot project opportunities with the City of Vancouver	· Clarity regarding issues that affect economic development in the city; taking a proactive rather than reactive approach. · Increased awareness of the factors influencing the economic climate and positive changes made · Increased economic perspective in City policies · Increased business confidence that Council is interested and supportive of business concerns · Increase in interest to serve on VEDC board
BUSINESS SERVICES
Provide business assistance to existing and new businesses.	VEDC has an important role in providing services to both existing and potential business. Developing cost efficient delivery of high quality services is key for VEDC success and credibility.	· Provide assistance to existing business through a network of community organizations and resources. · Work with other organizations, such as the BIAs, to identify small business needs and co-ordinate action · Improve and maintain online small business resources · Maintain key comparative data on the website; 24 hour turnaround for all but most complex inquiries · Manage corporate site visits and trade delegations as appropriate · Develop and make available information about sustainability	· VEDC is well known and highly regarded for its services · Small business takes advantage of existing programs and services at a higher take-up rate · Satisfied client expectations and improved client (business) decision making. · Increased awareness about sustainability principles in the City of Vancouver
BUSINESS RECRUITMENT
Develop targeted prospect lists for one-on-one sales approach.	Leading Edge BC, and Federal and Provincial governments have increased marketing efforts that will benefit Vancouver. VEDC will shift sales and marketing efforts into more targeted activity areas	· Develop and lever partner network through DFAIT, Leading Edge, Provincial Ministry, consular and other sources to identify specific prospect companies in the Pacific North West for one-on-one sales calls: o Schedule regular information meetings with lead organizations to develop referral system o Research prospect companies and ensure sustainability principles o Arrange introductory meeting to determine needs, timelines and outline our services o Continue qualifying prospects and manage through our sales funnel	· 40 qualified leads through VEDC funnel in 2005 · Good fit of target sectors and companies with community sustainability goals
Develop strategic alliances to take advantage of specific marketing initiatives to support growth in targeted sectors.	VEDC can take advantage of increased expenditures by other organizations by developing strategic alliances in target sectors. Partnership opportunities will provide more efficient use of VEDC funds and increase the number of activities we are able to take on.	Support growth in key clusters · Partner with other organizations to implement sector specific projects to analyze key competitiveness issues. o With the BC Film Commission assess the relative costs of feature film production in Vancouver and issues effecting Vancouver’s competitiveness · Work with Provincial government and regional economic development organizations to host sector- specific site visits to the GVRD · Enhance marketing of the technology sector through strategic alliance with Leading Edge British Columbia	· Two sector-specific initiatives implemented in 2005 · Strong cooperative network of organizations · Awareness of growth sectors as opportunities for investment · Vancouver benefits from enhanced promotion and marketing of the technology sector in BC. · Increased VEDC influence
Emphasize VEDC's service role.	VEDC is the best positioned organization to develop and deliver Vancouver specific information, analysis and client services.	· Leads and prospects generated through federal/provincial or other cooperative marketing activities will be referred to VEDC for location-specific service.	· Satisfied client expectations and improved client decision making. · Establish VEDC as source for key investment inquiries