Economic Development Strategies

Economic development strategies allow institutions, municipalities, regions, provinces, and federal governments to participate in the technology revolution sweeping the world. Our report entitled “Technology-Driven Growth: The Rules of the Game”, indicates that technology drives over half of global economic growth. It does so by creating new products and new industries, like microchips and software, and by improving the performance of long established industries, from banking to retailing. Since World War II, governments have embraced technology development as an instrument to support economic growth.

Doyletech has assisted economic development agencies to develop plans to participate in this growth. Our experience has shown that such plans fall into three broad categories:

A Grow-Your-Own Strategy – where the emphasis is on the creation and growth of locally-owned companies;
An Importation Strategy – where the emphasis is on attracting branch plants and branch offices;
A Linkages Strategy – where the emphasis is on establishing linkages with technology-based companies (or resources) in other communities.

Doyletech has developed proprietary economic development products and services in these areas. While technology-based economic development is a core competency, we are experienced in the full spectrum of activities from municipal administration and community facilitation to economic development strategy and planning.

Doyletech’s ED/Grow-Your-Own Cluster strategies have provided economic developers with realistic action plans leading to the creation and growth of local companies. In several cases, the development of a New Ventures Advisory Committee has been recommended. It is designed to assist the economic developer in the creation of new local business ventures. Its members are expected to provide financial, marketing, business planning, and general business advice to entrepreneurs who are starting a new business.

Our multi-year ‘grow-your-own’ development program for the Government of Saskatchewan led to the transfer of several technologies from the University of Saskatchewan, the creation of more than 40 companies over a five-year period, and the development of Saskatoon as a major technology cluster with a technology engine focused around the University of Saskatchewan and Innovation Place.

Doyletech’s ED/Benchmark Service helps economic developers assess area strengths and weaknesses, identify critical factors holding back economic growth, and prioritize targets for economic development. The data that we collect to develop the economic base assessment can be classified as follows: (1) Costs (utilities, housing, land, labour, taxes, etc.); (2) Qualities (worker skills, industrial/office/technology); (3) Outputs (employment, GDP, etc.); (4) Access (to airports, railroads, etc.); and (5) Supporting Infrastructure (broadband, business services, entrepreneurship, etc.). Our team of researchers must collect data on all these variables in order to develop an accurate base assessment.

Doyletech’s ED/Export Assessment Service is designed to assist economic developers measure the exporting capacity of a given area. It provides tools for identifying companies that are already exporting products or services outside the area as well as those that could transform their current local businesses into export businesses. A common characteristic of such companies is that they must have the capacity to add value to locally acquired products and services so that they can address markets that are outside the area. We help them in identifying those markets and in drawing up the specifications for the related products and services. As the export capacity becomes better known, economic developers can actually prepare a roadmap showing how that capacity might evolve in the future. Very often, it evolves in response to a unique local requirement that is not being properly met by an existing supplier from outside the area. On the other hand, it may be met by a local supplier (e.g. a machine shop) who could identify similar needs outside the area.

Doyletech’s ED/Linkages is our proven toolset to support community economic development through the enhancement of supply linkages between regional companies (suppliers) and neighboring urban economic centres. The success of the program depends on a comprehensive understanding of the supply capabilities of regional suppliers and the needs of receptor companies in the urban economic centre. This would not be possible if it were not for the extensive data gathering capabilities of our consultants, who are able to identify the capabilities and the needs based on extensive interviewing, proprietary survey instruments, and the analysis of secondary data.

The first step in the program is procurement behaviour forecasting, this is the application of proprietary data gathering, analysis, and forecasting tools to estimate the current and future procurement activity of the principle economic hub. The second step is the supply potential analysis where we collect specific data on regional (often rural) suppliers (such as attitudes, skills inventories, technology and machine inventories, plant capacities, constraints, etc.).

For more information on this service, click on the following link:

Discussion Paper: The ED Linkages Experience in Eastern Ontario

In addition to our strategy development, we can assist economic developers in the following additional ways:

	Business retention and expansion programs;
	Site evaluations;
	Prospect identification;
	Mock prospect visits;
	Evaluations / audits of specific economic development activities (or the entire economic development function);
	Positioning / marketing / selling programs;
	Policy analysis (e.g. business licensing, property taxation, etc.);
	Public relations programs to raise the awareness of federal and/or provincial governments;
	Community development absorption modeling;
	Economic and demographic trend studies; and
	Community facts books.

Sample Projects:

Assistance with the Development of the Ontario East Wood Centre & Eco-Industrial Park
Eastern Ontario Model Forest

The Ontario East Wood Centre & Eco-Industrial Park is being developed as an environmentally attuned complex designed for research, development and demonstration (RD&D), and for the manufacture of value-added wood products destined for domestic and international markets. We assisted in the development of a marketing strategy, utilizing our technology commercialization and economic development experience.

Community Development and Renewal Strategies for the Town of Chesterville
Chesterville Community

This project arose due to the announced closure of the Nestle plant in the town in 2006. We researched opportunities in the functional foods and neutraceuticals sector as an area for new businesses.

Economic Development Strategy for the City of Kanata
The City of Kanata, Economic Development Department

We worked with the former City of Kanata (now part of Ottawa) on several economic development strategies in support of the community’s vision to be known as ‘Silicon Valley North’ – the home of Canadian-owned high technology companies.

An Economic Strategy for the Ottawa Market Sector
The City of Ottawa, Development Services Department

Economic activities producing goods or services that are consumed by Ottawa residents or companies are often referred to as the “internal economy”, or the “Ottawa Market Sector”. We developed an economic strategy with the goal to maximize the contribution of the Ottawa Market Sector to the growth of the Ottawa economy overall. The first step was a complete analysis of relevant economic conditions impacting the Ottawa Market Sector, with a particular focus on employment and the labour force. An economic base analysis was completed using location quotients, shift-share analysis, and other benchmarking tools. This research served to identify which Ottawa Market Sectors/Sub-sectors were more competitive, or less competitive, than the same sectors/sub-sectors in the Canadian economy.

Master Plan for the Redevelopment of the Community of Kitsault, British Columbia (including Social, Physical, and Economic Development Strategies)
Kitsault Resort Ltd., Kitsault, British Columbia

A comprehensive redevelopment plan for the privately-owned town of Kitsault was developed. This involved a lot more than an economic development strategy; it included social and physical infrastructure plans and ongoing operational activities. Kitsault is located on the remote northwestern coast of British Columbia. The town was originally built about twenty-eight years ago by AMAX of Canada to house their employees who worked at their molybdenum mine located eight kilometres east (now closed). The current vision is to transform Kitsault into a campus and conference centre focused on education in the healthcare sector as well as create an environment for cultural development and well being.  We assisted in several planning activities including: upgrading of municipal water and wastewater facilities, roads and related infrastructure, residential, commercial, and recreational facilities, and space, as well as communications facilities and services. Other planning activities included the address the development of potential campus programs and other initiatives consistent with the vision for the renewal of the town. As self-sufficiency is a key strategic objective, we also provided project management support for a number of engineering feasibility studies related to renewable energy and technologies whose objective is to identify viable solutions to enhance the long-term sustainability of the community’s infrastructure and services.

Governance Frameworks and Planning Paper for the Community of Kitsault, British Columbia
Kitsault Resort Ltd., Kitsault, British Columbia

This study provided an overview of local governance frameworks in British Columbia and how they would impact on the Kitsault community. A review of various B.C. legislation was undertaken and go-forward recommendations were developed. Funding program research was also carried out.

A Supply Capability Analysis of the North Central British Columbia Science & Technology Cluster
Innovation Resource Centre (IRC), Prince George, British Columbia

A supply capability assessment was conducted on science and technology companies located in the North Central part of British Columbia (NCBC). The purpose of the assessment was to explore the possibility of establishing stronger supply linkages between NCBC companies and those in the Lower Mainland BC. An inventory of the products and services supplied by NCBC companies was developed which could be matched with the requirements in other clusters. Our opportunity assessment also identified the enabling and impeding factors that influence the exploitation of opportunities.

An Analysis of Cornwall's Industrial Supply Capability
The City of Cornwall and the Eastern Ontario Training Board

In this project, we prepared an analysis of Cornwall’s industrial supply capability as it relates to the Ottawa technology cluster. This study was intended to identify opportunities for Cornwall-based industrial and service companies to supply products and services to the Ottawa high technology cluster. It suggested that the best opportunities for Cornwall companies to act as suppliers to Ottawa companies is specific to those products and services that go into their costs of goods sold (COGS). In 1999, it is estimated that COGS purchases amounted to $2.4 billion for products and $1.5 billion for outside services. The companies spent an additional $2.5 billion on internally supplied services. While a typical high technology company purchases products and services for carrying out all of its activities (sales, marketing, R & D, administration, etc.), COGS purchases offer the best opportunities to outside suppliers. COGS purchases are not only larger in terms of dollar value but they occur on a regular basis.

A Vision of High-Technology Activity in Eastern Ontario during the Period from 2000 to 2030
Ontario Ministry of Agriculture and Rural Affairs (OMAFRA)

In this ‘blue sky’ document, we illustrated what high technology employment could look like in Eastern Ontario (Ottawa and surrounding rural areas) in the year 2020. Various scenario analyses were developed indicating what employment could look like and the identification of potential accelerators and decelerators. The project was an attempt to describe the high technology industrial activity that could occur in Eastern Ontario between the years 2000 and 2030; it was intended to assist policy-makers at all three levels of government who are likely to be in a position to influence that activity.

Economic Development Activities for the City of Cornwall
The City of Cornwall, Economic Development Department

As an advisor to the City of Cornwall’s Economic Development Department, we provided input on a wide range of activities including business retention and expansion programs, and external marketing and personal selling programs. We also assisted in a strategy to enhance the supply linkages between Cornwall firms and Eastern Ontario manufacturing firms.

Developing Economic Development Linkages with the Ottawa Technology Cluster (OTC)
Kingston Economic Development Corporation (KEDCO) & The City of Brockville

This study assessed the ability of local suppliers in the greater Napanee / Kingston / Brockville area to tap into supply opportunities with Ottawa-Gatineau technology companies. Techniques and strategies to encourage more business linkages into the OTC were developed.

A Needs Analysis of Ottawa-Gatineau's High Technology Industry
Ontario Ministry of Economic Development, Trade, and Tourism (MEDTT)

This research study identified the products and services purchased by technology-based companies in the Ottawa Technology Cluster (OTC). It has been used as a tool in assessing the ability of companies located outside the greater Ottawa region to supply such products and services. The major identifiable opportunity for selling products and services to a high technology company is associated with the company’s Cost of Goods Sold (COGS) which is the sum of the labour, materials, and overhead that go into the supply of the company’s own products and services.  It is typically the largest single item of expense on a company’s income statement and the outside purchases are of a more regular nature than purchases made for such activities as selling, marketing, and administration.

The Ottawa Technology Cluster: Past, Present, and Future
Ottawa Centre for Research and Innovation (OCRI)

This paper provided a historical perspective of the development of the Ottawa technology cluster (OTC). It emphasized the critical success factors which allowed the cluster to develop and what the future of the cluster may look it.

An Economic Development Linkages Presentation
Special Ottawa Presentation to Economic Development Officers from Eastern Ontario

We developed and facilitated a special conference attended by economic development officers from across Eastern Ontario. Among the topics presented was Doyletech’s ED/Linkages Program.

Directory of Kanata High Technology Companies
The City of Kanata, Economic Development Department

Several directories and databases were developed and maintained on high technology companies in the former City of Kanata. Working with the economic development department, new startups were identified on a regular basis while data on all existing ones were continuously updated. Sales and employment estimates were developed for each company. Various employment forecasts were also developed, with high, low, and medium scenarios provided.

An Economic Development Linkages Strategy for Renfrew Country
Renfrew County Community Futures Development Corporation

An economic development linkages strategy was developed for Renfrew County. The goal of the strategy was to identify and develop sales and marketing tools (as well as economic development initiatives) which should be used to achieve stronger supply linkages between Renfrew County suppliers and the growing technology companies and manufacturers in Ottawa-Gatineau. Suppliers throughout Renfrew County were identified to assess their interest and ability to supply into the technology cluster in Ottawa. Several suppliers were identified who already do significant business in Ottawa, while others were identified who likely could do the same. 

Assistance in the Promotion of the Community as a Location for Technology Enterprises
Client Names Withheld

We provided assistance to an Ontario community seeking to attract more high technology industry. We provided input as strategic marketing strategies and collaterals were being developed. We also provided recommendations as to appropriate industry segments and receptors.

Technology Venturing Presentations
Ottawa Entrepreneurship Centre

Various presentations to entrepreneurs have been provided over the years. Topics have included the full-range of issues regarding the startup and management of new technology-intensive enterprises as well as economic development strategies for municipalities.

An Economic Development Linkages Strategy for Stormont, Dundas, and Glengarry Counties
Eastern Ontario Training Board

An economic development linkages strategy was developed for the United Counties of Stormont, Dundas, and Glengarry (SDG). The goal of the strategy was to identify and develop sales and marketing tools (as well as economic development initiatives) which should be used to achieve stronger supply linkages between SDG suppliers and the growing technology companies and manufacturers in Ottawa-Gatineau.

An Economic Development Linkages Strategy for Lanark Country
Lanark County Community Futures Development Corporation

An economic development linkages strategy was developed for the County of Lanark. While this project was similar to other linkages projects carried out in Eastern Ontario, there were significant differences in the nature of the work carried out. Since many Carleton Place companies are already significant suppliers to Ottawa technology companies, the study looked at what techniques and strategies seem to work and which do not. In other words, the success of Carleton Place suppliers was used as a case study and role model for other suppliers in Lanark County.

Positionnement du Technoparc de Gatineau et de Son Campus Technologique
The City of Gatineau, Economic Development Department

This project involved a competitive assessment and a marketing/development strategy for the City of Gatineau’s Technoparc. High technology companies in Ottawa-Gatineau (as well as Montreal) who were knowledgeable about the Technoparc were interviewed. Their opinions provided a baseline for assessing the competitive positioning of the technology park with those in Montreal, Quebec City, and Ottawa. Extensive research was conducted including a SWOT analysis. Marketing and development strategies were provided.

Economic Development Presentation to Smiths Falls and Area Companies
Valley Heartland Community Futures Development Corporation

A presentation to Smiths Falls and area companies was provided as a means to identify potential new business opportunities in the technology industry throughout Eastern Ontario.

Linkages in Manufacturing: Creating Supply Linkages between Eastern Ontario Suppliers and the Ottawa Technology Cluster
OCRI and the Government of Ontario

We provided assistance with the development and implementation of a large regional trade show. The event was specifically designed to get rural Eastern Ontario suppliers to interact with Ottawa technology companies. Suppliers from Eastern Ontario were identified who had the interest and potential to supply products and services into the Ottawa technology cluster. We developed the concept of a regional reverse trade show as one of many sales and marketing tools designed to encourage regional economic development in Techarea 613. The project involved following up with both suppliers and manufacturers to determine if further supply linkages may be possible.

Scenario for Technology Development in Kingston: Some Lessons that can be Learned from Ottawa
The City of Kingston

In this project, we developed various scenarios for the development of Kingston’s technology industry, based in part on past experience in the Ottawa technology cluster.

Linkages II: Towards a Regional Economic Development Strategy for Eastern Ontario
Kingston Economic Development Corporation (KEDCO)

This project involved a comprehensive assessment of Doyletech’s proposed economic development linkages program for the 613 area of Eastern Ontario. It involved an assessment of the sales and marketing tools which would be needed to turn the rural 613 region into a manufacturing supply centre for growing technology clusters in Ottawa, Montreal, and Southern Ontario.

Demand Profiles for Commercial and Industrial Office Space
Client Names Withheld

We have completed demand profiles for future commercial and industrial office space by developing forecasts using base real estate data as an input.

From White Pine to Red Tape to Blue Chips: How Technology-Based Industries can provide continued prosperity for the Ottawa Region
Ottawa-Carleton Economic Development Task Force, 1991

This study was one of 10 commissioned as part of a comprehensive economic vision and strategy called Partners for the Future: A Strategic Economic Vision for Ottawa-Carleton in 1991. Our study looked at how Ottawa’s technology industry may be able to contribute to that vision and strategy. It indicated that Ottawa’s technology industry is highly dependent on whether policy makers at the federal and provincial levels of government are determined to increase Canada’s share of the world market for high technology products and services. That share was estimated to be roughly 2% at the time, and was decreasing steadily for the past twenty years. Since Ottawa has the country’s highest concentration of Canadian-owned firms that are exporting such products and services at the time, it was proposed that a joint effort be undertaken by the federal and regional governments to revitalize it. That effort would include an educational program for elected officials on the issues facing the industry, the establishment of local pools of investment capital, intensive training for entrepreneurs, and new federal programs for product and market development.

Establishment of the New Brunswick Entrepreneurship Centre
Government of New Brunswick

We assisted the Government of New Brunswick with the establishment of an Entrepreneurship Centre with a mandate to establish communications between local entrepreneurs and investors.

Distributed Service Centre Strategy for Rural Ottawa: A Discussion Paper
The City of Ottawa

This discussion paper examined the potential for a distributed service centre strategy that may act as a catalyst for local economic development in Rural Ottawa. The paper suggested that there is an opportunity for Rural Ottawa to become a leader in the emerging field of distributed service centres, particularly as access to Broadband becomes widely available. Moreover, as this industry matures, such a different model may be necessary to compete in the future as lower-cost areas develop the technical capabilities themselves.

Starting and Growing New Economy Companies: A Seminar to the Cornwall Business Community
The City of Cornwall & St. Lawrence College Cornwall

This seminar sponsored by the City of Cornwall was intended for entrepreneurs and corporate managers. The goal was to help them start new business ventures. The seminar covered management topics related to the commercialization of technology as well as the important topic of company valuation.

Technology Industry Overview for the Westpark Master Plan Report
Westpark Development Group

We prepared the technology overview chapter in the Westpark Master Plan Report. A justification of the opportunity was presented from the perspective of the technology industry, and marketing the region as a centre for the location of high technology enterprises. This comprehensive planning document was submitted by the park’s developers to the City of Kanata and the regional government of Ottawa-Carleton at the time.

Economic Development Planning Services to the Township of Cumberland
Township of Cumberland

We provided economic development planning reports and advice to the former Township of Cumberland, especially with respect to its activities to develop and attract technology industry.