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SUPPORTING THE BUSINESS COMMUNITY
Assuming a leadership role in community development requires a proactive
participation in strategic planning and involvement in broad-based community
partnerships. Because of the close ties with key community stakeholders, this
appears to be a natural role for postsecondary technical institutions.
A number of community and technical colleges have already demonstrated the
benefits of participating in community development by providing technical
assistance to small business in the community. In 1991, for instance, 144
community colleges provided assistance through Small Business Development
Centers (Carmichael, 1991). This contribution can be integrated into
established partnerships with local industry to deliver workers' and
specialized training; and to facilitate technology transfer and development by
supporting and making available databases of resources on markets, products,
and other business-related information to the general public.
Other opportunities to participate in community development efforts include
the provision of business services on international trade, including
international relations, trading operations, information on foreign markets,
import/export procedures, and the creation of local networks of professionals
to support these services. Similarly, two-year technical colleges can provide
business services to assist in product development, patenting procedures,
production, marketing, and management operations to local companies. Further,
training and demonstration centers focusing on computer applications to
business and manufacturing represent effective strategies for community
development.
Even though consulting services can be offered by making faculty available to
the business community, this practice may lead to unconnected and ineffective
efforts. Perhaps the best way to organize the services on a systematic basis is
through two institutional formats: Small Business Development Centers and
Business/Management Institutes.
- Providing Business Services Through Small Business Development
Centers
SBDCs are monitored through the U.S. Small Business
Administration in partnership with public and private entities at local and
state levels. In general, the goal of these centers is to assist those
individuals in the community interested in starting up a business and those who
are already in business with counseling, education, and training services;
access to information; and by referral support to local agencies. More than 100
community colleges are already participating in this partnership, focusing on
the education and training component (Carmichael, 1991). However, there are
instances where this role has been expanded to include business and industry
outreach programs by involving faculty and professionals in services designed
to help the business community. The strategies to set up an SBDC are similar to
those needed to establish an incubator:
The first strategy requires a
commitment from the college administration to support, study the feasibility of
an SBDC, and raise an external commitment from community stakeholders. Internal
and external commitment is important, since the SBDC will involve financial and
political support from within and outside sources. Organizing a task force for
this purpose seems to be appropriate. The second step is to organize an
advisory board to take on the responsibility of providing direction for the
center and help plan the working strategies for operation. Prospective members
can include task force participants, faculty/staff, bankers, accountants,
lawyers, established entrepreneurs, and government officials. The initial work
of the advisory board is to help center staff clearly outline the goals of the
center and the role of the partnership members.
Once the goals and the
contribution of each supporting partner have been established, a plan of action
should be developed, including working strategies, timelines, professional
resources available in the college and the community, and provisions to assure
continuous financial support.
- Providing Services Through Business/Management Institutes
This
institutional format provides consulting services by establishing a college
program with a comprehensive approach to economic development. Under this
approach, a Small Business Development Center may only be part of this
operation. The goal is to offer a variety of programs and services housed in
the same facilities to foster and serve entrepreneurial activities in the
community. The strategies in setting up an operation of this type are similar
to the ones described for Small Business Development Centers. However, since
the scope of the services is broader, an additional strategy is recommended.
During earlier stages, seek a commitment to establish a consortium of two-year
colleges to spread the cost across participant members, ensure a pool of
specialized faculty/staff, and increase the scope of business alliances in the
community for the same purposes.
- Areas of Involvement
Consulting services offered by SBDCs
usually focus on start-up procedures, business management, marketing
strategies, finance considerations, accounting, and sales. Institutes, on the
other hand, offer a more comprehensive approach and would include all services
provided by an SBDC, in addition to international trade procedures, patenting,
licensing, government procurement services, contract training for local
corporations, help in delivery of government training programs, and the
facilitation of technology development.
- Working with Consultants Within and Outside of the College
Three
strategies can be followed to organize a pool of consultants. One is to work
with college faculty. The second is to bring in outside professional help to
manage and deliver consulting services. The third strategy is to rely on a
combination of both by including volunteer and paid professionals from the
community with the college faculty.
Faculty members provide a
diversity of backgrounds and expertise. Through consulting activities, faculty
benefit from direct contact with clients and keep abreast of contemporary
issues in their field. Consulting may serve as an opportunity to identify guest
speakers from entrepreneurs who can offer fresh points of view to college
students. This is in addition to extra income derived from consulting fees. For
the SBDC or Business Institute, faculty members represent a pool of experts who
can be available on campus most of the time. However, one of the problems of
working with faculty is that they may not be available to clients when clients
most need it. Faculty are usually time restricted due to their academic and
other responsibilities. In addition to scheduling problems, depending on
faculty may present other limitations such as having to pay them higher fees
due to college formulas for benefits and compensations.
Bringing in professional help from the community to provide
consulting services and/or even to manage the whole operation is another
alternative that has proven to be effective. External consultants bring a
focused commitment, are fully in tune with the demands and needs of
entrepreneurs, and understand the business community. The cost of this
arrangement is balanced by the savings that can be derived from a less
bureaucratic operation and by the bringing in of consultants on a per-need
basis. The limitations may materialize in the form of loose contacts with the
sponsoring college and deviations from the original goals (e.g., increasing the
presence of the college in the community).
These strategies can be combined with volunteer services to
increase the pool of expertise at low cost, work in partnership with local
agencies, increase and improve the visibility of the college, and reduce the
cost of the operation. SCORE, SBA, and the IRS are just a few examples of
volunteer services that can be used. The limitation with this approach is that
careful logistical support must be in place to coordinate volunteer efforts.
Further, some volunteers may not be available year-round (e.g., SCORE members)
or may be too specialized to be used in various areas (e.g., IRS officers).
Two opportunities to expand the education and training services traditionally
provided by two-year technical institutions are represented by (1) contract and
specialized training and (2) job and basic literacy training. This is in
response to the needs of business and industry and is based on the current
population and economic trends which shape the nature of the workplace and
demands for new competencies. These two opportunities appear to be best
facilitated by developing partnerships with business and industry, large and
small, and with government agencies supporting training programs for various
purposes.
- Providing Contract and Specialized Training
The strategy
recommended here is to set up alliances with local business and industry to
arrange for customized contract training in return for consulting or
instructional services, funding, access to equipment, and/or opportunities for
professional development of faculty. However, strategies to establish contract
and specialized training vary according to the unique circumstances of each
setting and its players. Contract training should be approached with specific
goals in mind, as in any attempt to develop a partnership with local business
and industry. This effort should be developed cooperatively between the college
and the prospective partner firm since its inception to assure a full-working
understanding and success. One's institution may not profit directly from this
arrangement, but the indirect benefits may materialize in many other forms--a
win-win situation for community economic development. An example of a creative
arrangement is represented by a partnership that has worked well for a rural
Midwest community college and a fast-growing corporation. The company approved
plans to build a facility on campus in order to have access to training and
training facilities, professional services in technical areas, temporary labor
(e.g., students majoring in the company's field), and an environment which
lends itself to the fostering of a culture of continuous improvement. The
college agreed to this arrangement and will benefit from access to equipment
and technology, technical expertise, a willingness to participate in
demonstration projects, professional development opportunities for faculty, and
a plan to provide students with exposure to processes and practices in addition
to co-op and internship experiences.
- Providing Job and Basic Literacy Training
Another strategy for
participation in the development of human resources is to focus on new
competencies and skills by serving as a broker to provide educational
opportunities for displaced workers, individuals enrolled in job training
programs, and other adult learners participating in government programs. New
demands in the workplace have created the need to focus education and training
on technology and customer-oriented processes. As the workplace becomes more
competitive, a number of individuals have joined the ranks of the unemployed
and other groups--minorities, immigrants, women returning to the workforce--who
have traditionally been represented in low status occupations. The capacity to
serve these groups effectively rests on the ability to work with government
agencies and local business and industry and to facilitate or provide the
education and training component of job and basic literacy programs.
The
first strategy is to become proactive in education and training for employment
in the community and seize the opportunities provided by current legislation.
In this context, the opportunity for two-year technical colleges to play an
expanded role in preparing workers is given by the Reemployment Act of 1994.
This initiative makes it possible for community and technical colleges to
qualify for funding to provide counseling to displaced workers, participate in
job training programs, and offer basic-skills training services in the
community. Under this system, trainers are able to choose the place of
training. Thus, the opportunity for postsecondary technical institutions lies
in setting up high-quality programs at a low cost and in convincing interested
individuals of these training opportunities. The second strategy is to
re-evaluate the current resources available--the organizational structure and
commitment to be able to participate, facilitate, and/or deliver training
programs in the community. There are a number of possibilities and creative
ways for effective participation as demonstrated by efforts implemented by some
colleges. These opportunities include programs such as Job Training Partnership
Act, One-Stop Career Centers, and Employment Services, which may operate in
partnership or consortium format with other organizations in the community.
These activities can expand or complement existing college programs such as
Tech Prep, career counseling, GED programs, and continuing education services.
Chances are that an international component is housed either in the college's
foreign language or business departments. With few exceptions, these resources
will be found to be underutilized or functioning in isolation both in terms of
integration within the college and in its connections with the community at
large. In these times of increased global competition, each state is fighting
for a piece of the foreign market to survive within the framework of an
international economy, and postsecondary technical institutions can play a
major role in facilitating education and training and related services in the
community. Three strategies that fit this scheme were identified:
The first strategy is to asses the resources available in the
college and the community to integrate a multidisciplinary approach tailored to
the needs of potential trade. For example, it would be helpful to know if there
is interest from foreign language and business faculty, professionals in the
community with expertise in international trade, support from the college
administration, local business and industry, and government agencies supporting
international trade. Further, it would be advisable to identify the potential
goods and services with possibilities for trading in foreign markets to bring
in the appropriate technical expertise to inform the trading operation. In
short, the best option would be to put together a team of players based on the
available resources in the community and objects of trade. As the program
grows, the scope increases gradually to include a comprehensive plan to meet
the needs of those entrepreneurs interested in trading in goods and services
not originally produced in the area.
The second strategy involves a clear definition of the
education and training component, including print and audiovisual materials for
instructional and dissemination purposes. To create awareness and ongoing
visibility in the community, a series of workshops and seminars should be part
of this strategy. Within this strategy, the role of the interdisciplinary team
should be to determine cooperatively the development of a coherent structure of
participation for the common good. For instance, a course or seminar on
international public relations can be team taught by bringing together foreign
language and business faculty with professionals in the community who have
international experience to blend practical experiences into a meaningful
format for entrepreneurs. In short, the point is to have education and training
opportunities with a practical focus on international relations, trading
procedures, import/export regulations, and other related topics available to
the public. This is a strategy which can be used in addition to the print and
audiovisual materials for personal consultation or self-paced instruction.
The third strategy requires addressing the nuts and bolts of
international trade by offering counseling services in key areas of
international trade, and research on markets, products, services, and/or
procedures. These services are a natural progression of strategy number two,
and at this point the establishment of an assistance center with an
international focus should be considered if there is sufficient demand for its
services. The strategies suggested to establish a SBDC and a Business Institute
apply in this case in terms of setting up a center with defined goals and
services and working with faculty and professionals in the community (please
see "Supporting the Business Community: Business Consulting Services," p. 10).
The aim--as in establishing SBDCs, Business Institutes, and/or business
incubators--is to develop partnerships, alliances, and networks in the
community to assure continuous political and financial support.
Facilitating technology transfer and development is another opportunity for
productive participation in economic development. Colleges across the country
are already offering programs in leading technologies and can enhance their
participation by assisting companies in the development and application of new
technologies. This contribution can be channeled through the establishment of
Technology Centers with the following goals:
- To train and retrain on the use of advanced technology.
- To transfer technology to local industry.
- To serve as demonstration sites for new equipment and manufacturing
processes.
- To provide assistance to industry on technological needs.
- To help develop new technology.
The steps in establishing an
Advanced Technology Center (ATC) are similar to those outlined previously for
business incubators and SBDCs. It would be helpful to assess the local needs,
commitments, and resources when planning and designing an ATC; however, to
establish an ATC is very expensive and needs a strong commitment from the
college administration (Ernst & Johnson, 1991). Thus, it is recommended
that visits to other institutions sponsoring ATCs are arranged once approval
has been granted by the college board. The National Coalition of Advanced
Technology Centers can assist in efforts to plan and design the facility,
identify additional sources of funding, assist in the acquisition and
retraining of staff, network with other institutions, and help in maintaining
the operation in an up-to-date manner.
Educational and training programs under the auspices of an ATC must
offer a flexible schedule to meet the training needs of industry (e.g., night
sessions, customized training). Brient (1991) reported some of the
opportunities for education and training in the following areas:
- Design
- Manufacturing
- Materials science
- Hazardous materials
- Telecommunications
- Electro-optics
- Medical technologies
- Office automation
- Management (p. 20)
The work on technology transfer can be
designed around linkages with universities and laboratories to make information
accessible to industry. The strategy here is to facilitate opportunities for
local businesses to learn and become aware of technological developments which
can have an impact on manufacturing processes. These opportunities can be
designed to accomplish the following:
- Identify technological innovations with practical applications for local
industry.
- Create awareness in the business community through formal and informal
meetings, including breakfasts and lunch sessions at a nominal cost to recover
expenses.
- Provide seminars offering hands-on exposure.
- Target both the decisionmakers and users of technology in the local
industry.
The most expensive component of an ATC is the
demonstration services, including new equipment and processes, which may have
an impact on local businesses. One strategy is to develop linkages with
manufacturers to receive donations of equipment and computer hardware and
software. Staff expertise can grow within this cutting-edge environment and
provide customized services to actually work on the development of new
products, equipment, and processes. The benefits of this operation are extended
to students who can use computer-integrated manufacturing processes for
instructional purposes. Vendors can use the ATC to expose their products and
evaluate their performance and applications. Clients, on the other hand, have
an opportunity to observe the potential applications of the new technology to
make informed decisions when upgrading their operations.
The opportunities outlined here represent ways for two-year colleges to
participate in economic development by assisting local industry in recognizing
and considering alternative forms to increase its productivity. In context, an
important function is to help companies assess their technological needs and
develop a vision to improve the effectiveness of their operations. While some
companies can use the more sophisticated services of an ATC, others only need
an opportunity to select the appropriate hardware and software to upgrade
existing equipment and processes. Further, an ATC can serve as an agent to
facilitate technology development either through active participation as
described above or by assisting small firms in their own technological
development efforts.
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