It's All on the Table

Joanna Hanks and Fred Williamson


 

Williamson

Hanks

Creativity Is Where You Find It

 

Even rural regions can pursue a "creative class" economic development strategy. But success will require attention to lifestyle amenities and a new openness to newcomers and cultural diversity.


 

In the recent spate of enthusiasm for the ideas of Professor Richard Florida of Carnegie Mellon University, who spoke to the Richmond Chamber, et al, about how the creative class is the key to economic growth, we have seen not only the musings of the publisher and

columnists for this publication but even a news article and a column from the Richmond Times Dispatch – so maybe it is real.

 

In our own column on the subject, as well as in our previous endeavors, we have made the case that not only is this linkage between new ideas and a strong economy applicable to Richmond but it also fits the circumstances of much of rural Virginia. This belief springs from our past experiences of traveling around the state carrying either the banner of state government or that of workforce development programs intended to create a sufficient pool of trained workers that can be used as bait to attract new investment into the region in question.

 

Our findings can be boiled down to a few principles. First, not everyone is trainable and not every area can even find enough qualified trainers to have a chance at creating a sufficient body of folks with the latest and greatest skills. Therefore it is hard to “home grow” a critical mass of the type of workforce that will knock a company’s socks off and make them want to move to a given area.

 

Second, workforce is not the only, or in many cases, even the determining factor in whether a company chooses to locate in a given area. A huge factor is the presence or absence of what we call “amenities.”  A starter list would include good restaurants, decent theatres that show first-run movies of something better than “Giant Bug-Eating Armadillo” quality, other evidence of a vibrant local arts program, churches that have evolved past fire and brimstone and that have great youth programs, excellent K-12 programs (excellence defined as something more than just passing SOL scores), affordable and easily attainable high-bandwidth Internet access, decent cell phone coverage, and a true appreciation for diversity in the local culture.

 

Third, companies are way ahead of Dr. Florida -- although, we concede, he does an excellent job of describing actual practice -- and way ahead of most local governments and economic developers in recognizing that such amenities attract the workers, especially higher level workers such as engineers, financial types, and general managers, which don’t magically appear through “workforce training” programs.

 

If these things be true – and they are – then it is ever so much easier for company executives to send themselves or their colleagues into a region, and easier to conclude that they will be able to actually sign the young people they recruit to come manage and work in the plant. The new rule of thumb, as Florida points out, is not that workers attract companies but that companies attract the workers, and companies can do so because they carefully locate in places that are “cool,” i.e., have a creative, entrepreneurial climate that produces sufficient amenities to add a high quality of life to the local scene. 

 

We well remember from our collective past experience how Eastman Kodak Company, headquartered in Rochester, New York, an area not distinguished for its balmy climate and sunny skies, strongly supported local arts and cultural programs and even gave up some prime downtown land on which the city could build an upgraded stadium for the local AAA baseball team.  Locked in a competitive death struggle with companies both domestic and foreign for a strong position in the emerging digital imaging market, supporting and enhancing local amenities was a small price for Kodak to pay in order to improve their chances of successfully recruiting the top talent they needed in Rochester.

 

What has all this to do with the plight of poor, little East Bugsmash as it struggles to attract some company to replace the 300 $7.50 per hour jobs it lost when the sock factory moved overseas? At its heart, the principles outlined above mean that ol' Bugsmash will have to undertake some big changes to have a chance at economic recovery.

 

Earlier articles on the subject have pointed that regions seeking to advance economically need to be prepared to not only tolerate but celebrate software engineers with nose rings and the gay couple that opens an art gallery, but we can see how that might be too big a first step for some conservative rural areas. We’d like to propose an idea that is both “doable” and has high potential payoff: Why not welcome and pay some positive attention to the retirees and other newcomers in your midst?

 

Instead of pigeonholing retirees as “come-heres” or “came-backs,” thus, presumably, of lesser value, recognize that these people may well have played a significant role in building the very kind of economically successful communities that Bugsmash is striving to become. There’s a reason that they had the money to come to Bugsmash and buy a nice piece of land and build that nice home. They have been there and done that.

 

Retirees, not all of whom look forward to a life of bingo and shuffleboard, often have the knowledge, time and interest to help build an arts program, teach at a local college, help a school district bolster its standing, and advise on how to build a more diverse local culture. They are not radicals. They likely came to Bugsmash because they appreciate the values and benefits of the rural lifestyle. If an area is serious about economic development, it needs to tap whatever expertise is available.

 

The old formulas and approaches just aren’t working.  We’ve seen evidence of that all over the Commonwealth, and Rich Florida has documented it all over the country. Does rural Virginia really want economic growth? Or do local leaders enjoy playing victim so much they just can’t give it up? The scorecard is straightforward: dollars of new investment in industries with long-term growth potential. Maybe the number of nose rings counted on the town sidewalks is a leading indicator. How is your region doing?

 

-- February 24, 2003

   

 

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Contact Information

Hanks-Williamson & Associates
P.O. Box 9637
Richmond, VA 23228

Joanna D. Hanks
(804) 512-4652
jdh@hwagroup.com

Fred Williamson
(804) 512-4653
fhw@hwagroup.com

Website: Hanks-Williamson & Associates