From Don Kirkman, President & CEO, Piedmont Triad Partnership

The Piedmont Triad Aerotropolis
The term "aerotropolis" was coined by Dr. Jack Kasarda, Director of the UNC-Chapel Hill Kenan Institute of Private Enterprise, to describe a new form of urban development comprising significant levels of concentrated enterprises surrounding and extending outward from an airport. Several business, demographic, and political trends are converging to underscore the economic significance of the emerging aerotropolis land form. Among them are globalization, speed-to-market, miniaturization and the related growing importance of air cargo, mass customization, transportation costs, fast cycle logistics, and business efficiencies.

The Piedmont Triad has a unique combination of assets that position the Region to become a leading East Coast aerotropolis. The Piedmont Triad is centrally located between New York and Florida, Washington and Atlanta, and the Charlotte and Research Triangle regions, placing it within a two-day truck haul of nearly 75 per cent of the U.S. population. As city and county political boundaries blur into regional economic geographies, the Piedmont Triad is ideally situated in the center of the rapidly growing Charlotte/Piedmont Triad/Research Triangle megalopolis that includes more than 6,000,000 people and many of the world’s most recognized companies and research universities.

The Piedmont Triad Region has a transportation infrastructure that is unparalleled on the East Coast. The Region boasts five interstate highways—I-85, I-40, I-77, I-73, and I-74, providing excellent north-south and east-west access. These interstate highways, along with other interstate loops and connectors and an excellent network of four-lane federal and state connecting highways, provide a superior surface transportation network with significant capacity for additional growth without confronting the congestion and gridlock prevalent in many peer metro regions. The Piedmont Triad is also located proximate to the ports of Charleston, Norfolk, Wilmington, and Morehead City, as a result of which many companies are locating major East Coast distribution centers in the Region.

Perhaps the most distinguishing infrastructure asset of the Piedmont Triad Region is the new FedEx Mid-Atlantic hub at Piedmont Triad International Airport. FedEx Express recently reiterated its commitment to open the new hub building in June 2009, with the sort operation opening in the fall. The FedEx hub has already had a profound economic impact on the Piedmont Triad Region, catalyzing over $1 billion in direct airport and related highway and business investment in the Piedmont Triad Region. A new 9,000-foot runway, with one-mile separation from the existing 10,000-foot runway, will give PTI simultaneous flight capabilities and significant capacity for expansion, including direct cargo and passenger aviation activities, as well as manufacturing, distribution, and ancillary businesses.

In addition, FedEx Ground has recently announced a major hub near Piedmont Triad International Airport, providing FedEx customers with unmatched logistics and transportation solutions. UPS and the U.S. Postal Service also have major distribution centers in the Piedmont Triad, contributing to the Region’s growing reputation as a major East Coast logistics and distribution center. The Piedmont Triad has been North Carolina’s manufacturing and transportation center for generations. Manufacturing success depends on speed, innovation, and agility, and the Piedmont Triad Aerotropolis provides the perfect solution for companies that manufacture or distribute goods to East Coast markets.

Regional Leaders Collaborate to Position the Piedmont Triad as “The Capital of the World Furnishings Industry”

Piedmont Triad leaders are pursuing a strategy to connect and leverage the Region’s world-class furnishings cluster assets to position the Piedmont Triad as “The Capital of the World Furnishings Industry.” A recent Piedmont Triad Partnership-commissioned report by J. Holmes LLC, an international business consulting firm, concluded that the Piedmont Triad was uniquely positioned to be the global center of the furnishings industry.

Aside from its largest and best-known entity – the High Point Furniture Market -- the Region’s furniture cluster encompasses diverse businesses including domestic and international case goods and upholstery manufacturers, internationally recognized retailers, accounting and law firms with furniture specialties,, photography studios, designers, trade associations, specialized transport and distribution companies, educational institutions, trade publications, and other specialized assets – extending from the Piedmont Triad into the Unifour Region and southern Virginia. “We have a unique set of assets and resources that differentiate us from any other region in the world,” says Don Kirkman, president and CEO of Piedmont Triad Partnership. “We want to connect all the elements and leverage them in a way that has never been done.”

The Piedmont Triad Leadership Group, chaired by BB&T President/CEO Kelly King, is already working on a fundraising and development plan to hire a director to manage this new regional cluster. In addition, the Piedmont Triad Partnership has created a Furnishings Roundtable of industry executives and has formed working teams around six specific strategies: capital, design, education, logistics, manufacturing, and marketing.

There is one other critical ingredient identified in the Holmes report that underscores this unique opportunity. “This region and the state have a passion for the furnishings industry that is more than economics-driven,” Holmes states. “There exists a genuine affection for the furnishings tradition throughout North Carolina. The state is blessed with natural resources and beauty, creative capital, the High Point Market, total furnishings resources, intellectual capital, and a host of human assets. Meanwhile, North Carolina is the East Coast’s fastest growing state economy.” Together, that is a recipe for success.

Recent efforts of the Creative Enterprises and the Arts Roundtable include: developing a regional strategy with regard to Creative Enterprises and increasing education opportunities in two workforce areas projected to grow in the coming years: design- specifically architecture-- and interactive media.

Focus on Architecture
Design is a diverse industry in the Piedmont Triad, including various specialties such as industrial design, graphic design, animation, interior design and architecture. “The Design field is projected to be one of the fastest-growing clusters in the Piedmont Triad, one reason being that design jobs in the Triad currently pay an average of $51,654, well above the Region’s average salary,” said Margaret Collins, Director, Creative Enterprises and the Arts for the Piedmont Triad Partnership. The Creative Enterprises and the Arts Roundtable has identified the need for a “first professional degree” in architecture in the Triad as a top priority. In an effort to address this need, an assessment team has been assembled to explore architectural education in the Piedmont Triad Region. This assessment team consists of representatives from various regional universities along with selected architectural industry professionals. PTP has retained the services of a nationally-recognized consultant team to conduct a feasibility study to determine whether the Region could support an architecture program and what type of program might be successful in the Piedmont Triad.

Gaming and Interactive Media
The Creative Enterprises and the Arts Roundtable also convened representatives of the Triad’s two- and four-year institutions and high schools that offer programs related to game development and interactive media. This field includes careers such as game design, simulation and animation. The representatives from the Roundtable discussed how their current programs can work together to strengthen and grow this rapidly expanding field. “Our academic institutions realize that there is great benefit to collaboration and that the collective regional wisdom in the gaming/simulation field will be a powerful asset to harness. This area is in demand and has a great future,” Collins said.

A Regional Strategy for the Future
The project that the roundtable is working on that has the greatest potential for regional impact has been six months in the making. The Creative Enterprises and the Arts Roundtable is working on the development of a regional strategic plan that will offer specific recommendations for growing these and many other sectors of the creative economy. In developing the plan, the Roundtable solicited input from creative industries, educators, artists, workforce and economic developers. The plan will be presented at the Regional Stategic Plan for the Creative Enterprises & the Arts Event on Thursday, February 26, 2009.

Advanced Manufacturing Roundtable Focuses on Education and Connections

Shifts in the global marketplace continue to have an impact on the Piedmont Triad Region. While many industries and companies struggle, the Advanced Manufacturing Roundtable provides a forum for industry and partners to address workforce issues related to manufacturing on a regional basis.

Manufacturing for International Markets
On February 5, 2009, Derek Chen, Director, Motorsports Development, N.C. Department of Commerce International Trade Division, moderated a panel discussion, “Manufacturing for a Global Market.” Thirty representatives of regional businesses and educational institutions attended the discussion. Panelists included: Jim Vice, Dell Operations Manager; Eitan Stern, AFG Wipes VP and CFO; Tom Crafton, ThermCraft President; Kurt Roehrig, Roehrig Engineering President; Kim Rash Roehrig Engineering CFO.

The panelists discussed the challenges of international trade that might affect regional manufacturing operations. Panelists agreed that several factors affect the ability to conduct business internationally, including differences in currency; language barriers; and logistics and legal requirements. Panelists recommend that manufacturing firms interested in international trade hire native human resources managers/recruiters; collaborate with existing firms in the target country and thoroughly research a country’s culture and workforce prior to engaging in business. The panel also discussed the importance of reliable shipping and distribution, ways to approach financing and regulatory impacts. With an alternative perspective, Eitan Stern, who represents an Israel-based firm, spoke about the challenges of foreign-based companies operating in the U.S.

Addressing Critical Competencies in Advanced Manufacturing
The Advanced Manufacturing Roundtable hosted a CNC (Computer Numerical Control) Summit on Nov. 6, 2008. Industry and community college leaders met to discuss implementing and expanding machining technology programs in the Region. The long-term need for highly skilled CNC programmers remains an issue even during a protracted economic slowdown. The Summit included information about nationally recognized certifications, workforce needs and skills assessments. The Roundtable will be following up with additional information about certifications, and there will be future summits on other critical competencies identified by the Roundtable.

Lean Manufacturing in the Piedmont Triad
Just as career opportunities are changing for individuals, industry leaders are also interested in shifting their businesses to be competitive in a global environment. . In October, the Advanced Manufacturing Roundtable, in partnership with the Logistics Roundtable, presented a panel discussion on Lean Manufacturing. Lean Manufacturing offers the tools and methods to improve efficiency and productivity, and ultimately the bottom-line. About 85 business, community and educational leaders attended the panel and learned the basics of Lean and how it has transformed companies in the Region. The Q&A discussion provided all the opportunity to hear real-world examples of how Lean has had an impact on manufacturing operations.

Ship the World Over From Here.

Here’s Where the Rubber Really Hits the Road.

Combined with eye-catching photography and smart graphics, these slogans are part of the Piedmont Triad Partnership’s new logistics and distribution-based creative marketing messages.

Designed to promote the Piedmont Triad Region as the "Premier Logistics Hub" on the East Coast, and to capitalize on the scheduled opening of the FedEx Mid-Atlantic Hub later this year, the ads creatively tout the Region’s assets as they relate to logistics and distribution. The ads also deliver compelling facts, including the fact that 75 percent of the U.S. population lives within a two-day truck drive of the Triad.

"The new marketing strategy is designed to make the Piedmont Triad Region ‘top of mind’ when decision- makers think of the best place for locating or expanding warehousing, distribution, logistics or transportation facilities," said Dawn Booker, Vice President, Marketing for PTP. "To achieve this objective, it will be necessary to place the logistics and distribution messaging in front of several target audiences related to this industry."

Those audiences include regional stakeholders, logistics industry decision-makers, site selection consultants, and writers and editors of logistics industry trade media. Creative messaging will be placed in national publications including: Traffic World, Logistics Management and Outsourced Logistics trade publications as well as their associated websites and e-newsletters.

Expanded marketing tactics include a revised and updated regional logistics brochure, post cards for direct mailings and a special media event highlighting regional logistics assets will supplement the print ads. PTP representatives will also participate, along with local logistics industry representatives, in conferences held by logistics trade organizations, including Warehousing Education and Research Council (WERC) or the National Shippers Strategic Transportation Council (NASSTRAC) in April, and the Institute for Supply Management (ISM) in May.

"The Piedmont Triad Region already has an outstanding logistics infrastructure and there are many well- established logistic companies in the area," says Bill Fobert*, chairman of the marketing sub-committee for the Logistics and Distribution Roundtable and former President of Epes Carriers, Inc in Greensboro. "Getting our message out effectively can be a tremendous impetus for attracting or relocating logistics- related businesses to our Region. The benefits for the Region in terms of job creation, improved tax revenues and growth of the regional economy could be tremendous, but we have to market our Region to other parts of the country with special emphasis inside the logistics industry."

*PTP has just learned of the unexpected passing of Bill Fobert. We would like to acknowledge Bill's contributions to the Logistics Industry in the Piedmont Triad and beyond. We would also like to extend our sincere condolences to Bill's family, friends and colleagues.

The Piedmont Triad Partnership has taken a leadership role in furthering biotechnology in the Region by helping to establish the N.C. Center for Innovation for Nanobiotechnology (COIN). The Center will be housed at the Partnership offices and is part of an initiative to promote the commercial development of products developed from this particularly promising field of science.

COIN's location in the Triad capitalizes on collaboration between N.C.
Agricultural and Technical State University and the University of North Carolina at Greensboro, which includes the new $60 million Joint School for Nanoscience and Nanoengineering.

N.C. Center for Innovation for Nanobiotechnology is now in an initial planning phase funded by a $100,000 grant from the N.C. Biotechnology Center, this grant will be administered by PTP. This planning phase is expected to lead to another round of funding to officially launch COIN in June. Brooks Adams, who has 14 years of experience in biotechnology, specialty pharmaceuticals/drug delivery and genomics, has been named COIN's executive director and is guiding the planning process.

Wake Forest University also offers significant resources to the COIN initiative including proximity to its Center for Nano-technology and Molecular Materials. "We will work closely with the technology transfer offices of these universities and others around the state and provide them with an added resource, specifically for nanobiotech," Adams said.

Adams' professional experience includes working with both Fortune 500 life science companies and a biotechnology startup in identifying new markets and successfully structuring business development transactions for new technology-based products.

According to Adams, COIN will connect the university research community with industry and funding sources to enable new technology-based products to be developed and commercialized - and potentially form the basis for new companies and job growth statewide. "Our function will be to bring together the right people and organizations to put our universities' research to good use, to take their work to the market in ways that will directly improve medicine and the life sciences and enhance the quality of life," Adams said.

Piedmont Aviation Component Services LLC, a provider of aircraft maintenance services and sales, plans to expand its operations in Kernersville. The company plans to invest $5.8 million and create 120 jobs this year by relocating sister company Limco to North Carolina. The new jobs will pay an average of $44,805.00 a year. >>PRESS RELEASE

Schnadig International Corp., an international furniture company, will consolidate and significantly expand its operations in High Point and create approximately 70 additional jobs. The company will move its corporate headquarters, warehousing, and manufacturing operations in to a consolidated location in High Point. The company’s current sales and product development functions will also relocate to the new facility. Schnadig expects the new facility to be operational before the end of the first quarter of 2009.   Schnadig International Corp. is a wholly-owned subsidiary of Markor International Furniture Co., Ltd., a world-class furniture manufacturing and furniture retail operation based in China. >>PRESS RELEASE

DataChambers , a North Carolina-based technology firm, announced the successful completion of an expansion project to add capacity to its Winston-Salem data center. The expanded data center is located 18 feet underground in a blast-resistant building and houses dozens of systems for DataChambers’ clients nationwide. The renovated data center features a 25% increase in the available floor space, as well as, upgrades in its redundant power, air conditioning, fire suppression and security systems. >>PRESS RELEASE

TransTech Pharma has opened a new clinical research center to conduct the first phase of required testing for compounds the company wants to bring to market. The Mendenhall Clinical Research Center has 12 full-time employees and will allow TransTech Pharma to conduct Phase 1 studies in a local facility rather than contracting them out. The company is studying dozens of other potential drug compounds, ranging from anti-inflammatory compounds to treatments for smallpox. The first Phase 1 trial Mendenhall CRC is running for TransTech is for an obesity management drug candidate. TransTech Pharma’s lead drug compound is being developed in partnership with Pfizer as a potential treatment for Alzheimer’s disease. >>MORE INFORMATION

Cardinal Motorsports Inc. , a new motorsports team based in Davidson County, plans to run 10 to 15 races in the NASCAR nationwide series next year. Cardinal Motorsports Inc. is owned by several partners, including Will Spencer, owner of JKS Motorsports, which moved to Davidson County in 2007. The new company plans to create 10-15 jobs. >>PRESS RELEASE

Graphic Visual Solutions , formerly Graphic Printing Services, Inc., is expanding to offer new capabilities in wide-format graphics, signage and digital printing. The High Point-based company will add a 5,000-square-foot digital production area, hire up to 10 additional employees and invest $2 million in new technology that will include more than 10 new state-of-the-art pieces of digital and imaging equipment. The expansion will allow Graphic Visual Solutions to supplement its current capabilities of commercial printing, labels and packaging. The company, which won an award in 1994 for being the fastest-growing printing company in the United States, has expanded every three to four years since the company was founded in 1985. >>PRESS RELEASE

Questcon Technologies announced that it will expand its test center operations. The company plans to add 25 positions at its Greensboro headquarters. A division of Howard Systems International, Questcon provides quality assurance and process improvement services to software developers and others by testing new programs for bugs and needed areas of improvement. >>PRESS RELEASE

BD Diagnostics (formerly Tripath Imaging) has received premarket approval from the FDA for its new BD FocalPoint Cancer Imaging System, which is designed to improve cervical cancer screening. BD Diagnostics is based in Burlington and is a unit of medical device manufacturer Becton, Dickinson & Co. BD Diagnostics’ new system uses “guided screening” technology to help the cytology labs attempting to diagnose cervical cancer to improve results by reducing false negatives. >>PRESS RELEASE

Ionics Medical Corp. , a medical device developer based in Montgomery County, has received FDA clearance to bring a new product, the “Dyn-ALIF intervertebral body spinal fusion device,” to market. The device mimics the shock-absorbing function of a spinal disc in patients affected by injury, cancer or other problems requiring the removal of the natural disc. >>MORE INFORMATION

Presentation of the Regional Strategic Plan for the Creative Enterprises & the Arts
CLICK HERE FOR MORE DETAILS Thursday, February 26, 2009
4:00-7:00 PM
Proximity Hotel -Weaver Room
704 Green Valley Rd.
Greensboro, NC

RSVP HERE

PTP is sponsoring
Technology Career Days
Guilford Tech Community College
March 24-25, 2009

This is an opportunity for industry, education and organizations to present hands-on activities and interactive demonstrations of technology and careers to about 1,000 juniors and seniors from high schools in the Region. Technology Career Days will showcase the areas of Advanced Manufacturing, Logistics and Design.

800-669-4556
336-668-4556

www.piedmonttriadnc.com
info@piedmonttriadnc.com

7025 Albert Pick Rd., Ste 303
Greensboro, NC, 27409